CJ Logistics plans Thai expansion

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  • Chung Chan Kyo
  • Cha Dong Ho

CJ Logistics plans Thai expansion

Corporate October 01, 2018 01:00

By PHUWIT LIMVIPHUWAT
THE NATION

2,249 Viewed

CJ LOGISTICS, the sector leader in South Korea, aims to be the leader in logistics in Thailand by 2020, the company’s managing director, Chung Chan Kyo, said.

The company entered the Kingdom in 1988 and has been involved in parcel delivery service since 2012.

“For CJ Logistics, Thailand is the most important country in Southeast Asia as it is geographically located at the region’s centre,” said Cha Dong Ho, senior executive vice president/Parcel Biz Unit, CJ Logistics.

“The Thai e-commerce market has been growing continually for 10 years. Given the market opportunity, we plan to invest up to Bt5 billion in Thailand by 2020,” Cha said.

The new investment from CJ Logistics will be for the construction of more distribution hubs, internal system development and the launch of a mobile application, Cha said.

As the pioneer in the logistics industry in South Korea, the company now boasts of four core businesses since its establishment in 1930 – food and food services, entertainment and media, logistics and retail, and bio and pharma.

“We are now the No 1 parcel-delivery company in South Korea with the highest market share in the country,” says Cha.

The company currently has 74 service points throughout the country, aiming to increase to 200 by 2020. CJ Logistics now delivers 20,000 boxes per day, four times higher than the volume in 2014 while its workforce has also doubled in the same period. Currently, it employs 650 drivers and has set a target of 4,249 by 2020, Cha said.

88 years of experience

“CJ Logistics has over 88 years of experience in the logistics sector, with a strong global network of comprehensive services. Present in Thailand since 1998, we are currently focused on helping to drive the growth potential of the e-commerce market in Thailand,” Cha said, adding, “from a long-term business perspective, this is a key factor in the growth of the logistics industry. Our goal is to help provide value to Thai companies and consumers with our service.”

In most countries where it has a presence, the company teams up with a local company for expansion of service. However, in the case of Thailand, the investment capital will solely come from the parent company in South Korea, said Cha.

The company is committed to become the leader in the Thai parcel-delivery market through the introduction of new technologies from South Korea, he added.

CJ Logistics (Thailand) Ltd plans to develop a 71,900-square-metre central logistics centre, Bangna Mega Hub, in the border area between Bang Na-Trat Road and Samut Prakan at an investment of Bt581 million. The new facility will be equipped with state-of-the art technologies and is scheduled to start operations in May next year.

Innovation agency plans major push for startups

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Pun-Arj
Pun-Arj

Innovation agency plans major push for startups

Corporate October 01, 2018 01:00

By JIRAPAN BOONNOON
THE NATION

THE NATIONAL Innovation Agency aims to transform Thailand into what it calls the Startup Global Platform of Asia within the next three years. The agency expects Thailand to have at least 1,000 startups and more than 5,000 high-tech experts.

The government will spend a budget of more than Bt30 billion by 2021.

Pun-Arj Chairatana, executive director of the National Innovation Agency (NIA), said the agency has three directives – innovation, investment and internationalisation – in order to drive and transform the country into the Startup Global Platform of Asia, a startup global hub by 2021.

To encourage innovation, the agency will promote and support startups to develop disruptive innovation and technology in terms of deep technology such as artificial intelligence, healthcare and green technology so that it could solve the needs of the market.

For investment, the agency will encourage local startups to invite domestic and international venture capital to invest around US$10 million (Bt320 million) to $100 million in each startup.

To promote internationalisation, the agency will collaborate with private sector entities such as True Group and Huawei to set up startups in the Punnawithi and Rama IX areas in Bangkok. It will also set up a startup zone in the Yothi area and invite international investors from other countries such as Japan, Singapore, Austria, France and Germany to expand their business and invest in startups in those areas.

“I think we have the potential to invite international investors to enter and expand their business in Thailand since the government is providing privileges such as smart visa and supporting international firms to set up operations in Thailand,” said Pun-Arj.

He added that the agency will submit the National Startup Act for the Cabinet’s approval in October so that it could identify startup privileges, identify startups and create a startup ecosystem in the country to promote S-curve businesses.

The agency also expects that in the next three years, by 2021, Thailand will have around 1,000 startups with around 5,000 highly skilled experts, which could boost the country’s gross domestic product by up to 5 per cent. The government agencies will also spend budgets to utilise innovation, technology, services and products from startups valued at over Bt30 billion or around 1 per cent of the entire budget by 2021.

Venture capitals funded startups in the country during 2017-18 to the tune of $1.2 billion. The country has around 750 active startups nationwide.

Top jobs await fast learners, change-embracers

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Natiya, left, and Punyanuch
Natiya, left, and Punyanuch

Top jobs await fast learners, change-embracers

Corporate October 01, 2018 01:00

By SIRIVISH TOOMGUM
THE NATION

BEING AN expert in one’s own field may no longer be enough for candidates to get their preferred job in today’s digitalised world, as employers need someone who can adapt quickly to change, learn fast and make use of technology in their roles, according to two directors of the recruitment consultancy firm Robert Walters Thailand.

Robert Walters is a global specialist professional recruitment consultancy. Its office in Bangkok recently marked a decade of operations. The company focuses on seeking high-calibre professionals for permanent, contract and temporary positions at all levels of seniority.

“Ten years ago, employers sought candidates who were an exact match for the job description. Routine roles, such as administrative and operational jobs, were very common for both employers and candidates back then,” said Punyanuch Sirisawadwattana, Robert Walters Thailand’s director of commerce, HR, banking & IT division.

Given the advancements in technology, the administrative and operational tasks can now be completed easily by computers. Companies are expecting people to deliver more than just routine work and need individuals who can work strategically, she said.

“Candidates will need to have a good grasp of all the business functions and a strong understanding of what is core to the success of the business. Being an expert only in your field is no longer enough. Now that we’re living in a digitalised world, employers need someone who can adapt quickly to change, learn fast and can make use of technology in their functions,” she said.

Natiya Saul, the consultancy’s director of sales and marketing, supply chain and engineering division, said that diversified experience is very important, as employers want to see candidates with multiple skill sets and experience across various industries.

“Hiring managers are now looking for candidates who can apply their experience from another industry to their own. Candidates with experience in different fields will also find that they are able to advance their careers more quickly,” said Natiya.

“In the past, when employers looked for top management, they turned to expats as they have international experience. However, nowadays they prefer to hire locals who have both exposure and experience working for multinational companies,” Natiya said.

She added that she has seen growing demand across different industries for commercial directors, though it is not a new role. In the past two to three years, there is also more and more demand for e-commerce and digital marketing experts.

Both directors share a common view that one thing their clients are particularly seeking is a candidate with working experience with multinational companies. The clients want someone who can work smart, not just hard. Candidates with a long healthy tenure for a minimum of three years in their previous companies are also favoured, as this shows their loyalty.

Employers are also looking for candidates with strong English communication abilities and leadership skills, as well as strategic, logical and analytical thinking.

In discussing the technology trends that could disrupt the recruitment industry in the future, Punyanuch sees Artificial Intelligence (AI) replacing functions such as operational tasks but believes the technology will not be able to replace recruitment consultants.

“At the end of the day, humans will still be required to make a decision whether a person is the right choice. For us, AI and technology is a tool that supports and augments our existing knowledge and processes, allowing both our consultants and the business to work faster and in a much more efficient way.”

Robert Walters Thailand is now using the International Knowledge Measurement (IKM), an IT professional third-party online testing program, to enhance and improve the hiring process, and ensure clients secure the skilled talent they seek.

“In an increasingly digital world, technology has allowed us to work more effectively and efficiently with our clients and candidates,” said Punyanuch. “We have an innovation team within the company to help us understand new developments and technology within the industry. We are not afraid to adapt to change. For example, we’ve leveraged social media to easily connect and reach out to candidates and clients. When face-to face interviews are not possible, we use video calling applications.”

And as to the future of her own industry, Natiya said: “As the world becomes increasingly digital, we see the role of a recruiter becoming even more meaningful. Recruitment is a process that involves humans, and our expertise in the field is invaluable. AI may take over some tasks over the next five years; however, the relationship which we have with our clients and candidates will allow us to stay strong in this competitive market.”

Trading PLACES

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Adul Chotinisakorn has been steadily transforming the image of the Department of Foreign Trade.
Adul Chotinisakorn has been steadily transforming the image of the Department of Foreign Trade.

Trading PLACES

Corporate September 29, 2018 01:00

By PHUWIT LIMVIPHUWAT
THE NATION WEEKEND

ADUL Chotinisakorn has taken an unlikely path to the top office in a government department. The former temple school student also cuts a distinctive style and likes to think of himself as a marketing man – in contrast to the staid, regulatory mindset associated with many of his peers.

With his background in marketing and communication, Adul has taken it upon himself to transform the image of the Department of Foreign Trade (DFT) by bringing people together with an open style of communication.

Back in his days at the temple school in Ayutthaya province he never dreamed he would one day become the director-general of the DFT, which comes under the Ministry of Commerce.

As a child, he devoured books about other countries and this habit, he says, gave him the desire to work abroad in the future.

His quest to fulfil this dream of travel led him to initially apply for a job at the Department of International Trade Promotion (DIPT), then called the Department of Export Promotion, which offers positions abroad for its officers.

His goal of working abroad was achieved soon after he joined the department, taking up his first international posting in the German city of Hamburg – just three and a half years after joining the department.

After staying in the northern port city for two years, he moved to Rotterdam in the Netherlands in a posting that lasted four years.

After arriving back in Thailand, he was unexpectedly moved to the DFT. With years of work in trade promotion under his belt, he solidified his credentials as a marketing man and deepened his skills in networking and communications.

“When I came back I felt like a stranger. I walked into the DFT without knowing anyone”, he recalls.

“There are two types of people: those who come back from abroad who feel alienated and simply give up and those who focus on using their strengths in their new environment while trying to learn and adapt. I chose the latter path.”

He started to adapt to his new working environment. But three years into his return to the DTF office in Thailand he was then sent on a posting to Mumbai. That stint in India’s business capital lasted three and a half years and saw him gain prominence within the department.

“The order came for me to go to India without me being notified in advance. By that time, I did not have any desire to live in India. I went as a confused officer who felt like he was being punished,” Adul says.

However, his views on India soon changed. He discovered how much business potential the country had and, with this, the imperative for Thailand to strengthen ties with the emerging economic giant.

Adul saw that Thai people disliked India and had misconceptions about the country. That’s where his marketing and communication skills came in handy. He set about contributing to an improved image of India among Thais and conveyed to them its vast potential.

“I wrote hundreds of articles about India and sent them to the Thai press during my time in Mumbai. I often gave interviews with Thai radio stations in order to let Thai people know about how exciting India is as a country,” Adul says.

His outspoken personality, along with his relentless attempts to publicise India as a country filled with business potential, made him prominent within the DFT. When he came back to Thailand, he was promoted to the post of deputy director-general of the DFT. His elevation to the post of director-general came in March this year.

Using his marketing man persona, Adul has changed the public perception of the DFT by improving the DFT’s communications with the public. This includes making clear what the outlooks and goals of the DFT are.

“Since my foundations are with the DIPT, my character is not typical of a DFT officer. While most people in the DFT often have the character of a regulator, my character is that of a marketing man,” he says. “Using my expertise in marketing and communications, I quickly implemented changes within the DFT.”

By publicly working on various projects, the DFT has become more recognisable than ever before under the guidance of Adul. For this reason, the public image of the DFT has changed over the past decade.

“The DFT has become a lot more outspoken because we believe that communication is very important,” Adul says. “We have to communicate with the public to let them know what we are doing and where we are heading. When people have a better understanding of what we do, they will not attack and criticise us.”

In terms of personal achievement, “the shift in the public perception of the department is one of my biggest contributions to the DFT”, Adul says with pride.

One of Adul’s most successful projects is the Young Entrepreneur Network Development Programme (YEN-D), an initiative that brings young business owners from Cambodia, Laos, Myanmar, Vietnam and Thailand (CLMVT) together in order for them to form meaningful relationships and develop healthy and long-term business relations. Four seasons in, the programme now has up to 1,200 entrepreneurs within its network, generating up to Bt3 billion in investment and trade value.

“YEN-D has become the most popular programme for young entrepreneurs in Thailand. With my being its founder, all the young entrepreneurs in the YEN-D network call me daddy,” Adul says. “I feel excited when working on this programme because I get to work with young minds. Working with the new generation means you are working for the future of the country.”

Until he retires in the next year and a half, he aims to work on improving the interpersonal networks and efficiency of the department.

When he leaves the DFT, he wants the department to be able to continue growing strongly without him.

He wants to be remembered as a director-general who is adaptable, down to earth, easy going, and accessible. “I want to be remembered as a hands-on director-general whom you can get to easily,” he says.

Adul stresses that a position of power is only granted so that individuals can use that power to advance the goals of the government according to the law.

“Power is not granted so that people can exploit them to get special privileges and cause trouble for other people,” he says.

True CJ seeks content lead in Asean

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Apicha, left, Birathon, centre, and True CJ Creations’ deputy director content partnership Joon Sik Im.
Apicha, left, Birathon, centre, and True CJ Creations’ deputy director content partnership Joon Sik Im.

True CJ seeks content lead in Asean

Corporate September 28, 2018 01:00

By   SIRIVISH TOOMGUM
THE NATION

TRUE CJ Creations, a joint venture between True Corp group and CJ ENM from South Korea, has set a goal to become Asean’s content production hub within five years, Birathon Kasemsri Na Ayudhaya, chief content and media officer of True Corp, said yesterday.

CJ ENM is a leading integrated entertainment and e-commerce company based in Seoul. The joint venture got off the ground last |year.

Birathon said that the joint venture is expanding its content creation, which offerings ranging from drama series and variety programs to games and reality shows, to supply the domestic and overseas markets.

The content can be viewed on a wide variety of channels, especially the convergent platforms via omni-channels of |True Group and its local and global partners.

The joint venture has leveraged on True’s leadership in integrated entertainment business and CJ ENM’s strong expertise in the content industry and know-how to tap the local and global markets.

Apicha Honghirunruang, managing director of True CJ Creations Co., Ltd., said that in the past year and this year the company has focused on building a strong production team as well as forging local and global partnerships to create business opportunities.

He said the company spent between Bt300 million and Bt400 million last year on the development of content and personnel.

CJ ENM originated from the merger of CJ E & M and CJ Group’s Home Shopping and online business, CJ O Shopping, on July 1.

The company’s department that covered its entertainment businesses was divided into five core businesses: television, film, (CJ Entertainment), live music and concerts, and animation.

CJ ENM has produced and created numerous well-known events, including the largest music awards in Asia, the Mnet Asian Music Awards (MAMA).

Exim funds solar project of PEA ENCOM

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Exim funds solar project of PEA ENCOM

Corporate September 28, 2018 01:00

By The Nation

The Export-Import Bank of Thailand (EXIM Thailand) has signed a credit facility worth Bt1.15 billion with state enterprise PEA ENCOM International Co Ltd to finance its investment in the installation of 40 mega watts solar rooftop systems for industrial plants nationwide. PEA ENCOM International Co Ltd is a subsidiary of the Provincial Electricity Authority (PEA).

 EXIM Thailand’s senior executive vice president Warangkana Wongkhaluang said that the financial support to PEA ENCOM aims to promote electricity generation from solar panels – a clean, sustainable and environmentally friendly renewable energy source with high potential. It will not only contribute to the country’s energy conservation and environmental protection, but also reduce consumption of fossil fuel-based electricity and save entrepreneurs’ production costs, in line with the government policy of sustainable national development.

New models back Epson revenue target

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New models back Epson revenue target

Corporate September 28, 2018 01:00

By Jirapan Boonnoon
The Nation

EPSON (Thailand) expects to generate revenue growth of 6-7 per cent by the end of this year.

The company’s announcement coincides with the launch of five ink tank printers.

Yunyong Muneemongkoltorn, director-sales and marketing of Epson (Thailand), said that the firm in the first five months of this year gained revenue growth of around 5 per cent, with robotics categories showing the highest growth early this year.

To drive its achieve business growth and achieve the revenue target, the firm has come out with the new Eco Tank printers, with the models L3110, L3150, M1100, M1120 and M2140.

The Eco Tank L-Series, including the L3110 and L3150 printers, comes with a set of colour ink bottles.

They can print up to 4,500 black-and-white pages and up to 7,500 colour pages, and are backed by a two-year warranty.

The Eco Tank M-Series, including the M1100, M1120 and M2140 models, are mono-printers that can print up to 6,000 black-and-white pages. They have a four-year warranty or coverage for up to 50,000 printed pages.

Yunyong said that the launch of the Eco Tank series is a strategic move and is aimed at replacing laser printers over the next five to 10 years.

The M-Series will directly compete against black-and-white laser printers.

The Eco Tank L-Series comprise multi-function devices with four-colour printing and borderless printing of up to 4R size for photos and images.

The firm expects that the new series will become flagship products that will drive its business growth by the end of this year.

Market share

Yunyong said the inkjet printer market in Thailand numbers some 1,331,784 units and will have a value of Bt4.5 billion.

Ink tank printers account for 564,188 units or 42 per cent of the market, followed by ink cartridge |printers at 415 613 units for a 31 per cent share, |and laser printers with 351,983 units for a 26 per cent share.

The firm by the end of this year expects to distribute around 3,000 ink tank printers to the market. It is mainly targeting the small and medium enterprises market (SMEs) and has plans to continuing launching products.

The Mall branches out into arenas

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Scheduled to be opened in 2022, Em Live at the EmSphere arena and entertainment complexes will be developed under the theme of "The Iconic New Retail
Scheduled to be opened in 2022, Em Live at the EmSphere arena and entertainment complexes will be developed under the theme of “The Iconic New Retail

The Mall branches out into arenas

Corporate September 28, 2018 01:00

By   KWANCHAI RUNGFAPAISARN
THE NATION

THE MALL GROUP yesterday announced a joint venture with AEG, a US-based sports and entertainment company, for the Bt10-billion development in Bangkok of two arenas and entertainment complexes in a downtown part of Sukhumvit and Bangna.

The venture will see Thailand become the first country in Southeast Asia for the development of AEG’s arenas and entertainment complexes.

Supaluck Umpujh, chairwoman of The Mall Group, said that the new developments are in line with the company’s mission and goals that are set to elevate Bangkok and Thailand to become the leading retail and entertainment hub in Asia.

She said that The Mall Group holds two-thirds of the joint venture, while the rest is owned by AEG.

Supaluck said that the development of the first arena and entertainment complex, Em Live at the EmSphere, will be on a 16-rai plot on Sukhumvit Road, near Benjasiri Park in a prime downtown district of the capital. It will cost about Bt3.5 billion, with the arena accounting for 7,000 square metres of building space and having a capacity to seat about 6,000 people. The arena will be opened in 2022.

Meanwhile, the Bangkok Arena at the Bangkok Mall will developed at KM 1 of Bangna-Trat Road, opposite the Bangkok International Trade & Exhibition Centre (Bitec). The arena will have 40,000 square metres of indoor building space and a further 20,000 square metres of outdoor space. Costing Bt6.5 billion, the arena will have seating for about 16,000 and is scheduled to open in 2023.

Adam Wilkes, president and chief executive officer of AEG Asia, said that Southeast Asia is going through a transformation. As incomes rise and spending power increases, consumers in the region are demanding more sophisticated entertainment experiences.

“For AEG, we are a big dreamer. In every dream, we share together with someone else. With The Mall Group, we have the same dream and the same kind of business philosophy. We share a common vision, which is to create immersive experiences, which are something that cannot be duplicated anywhere else,” said Wilkes.

“For The Mall Group, we have not only found an outstanding partner, but an innovative company that is led by an insightful and forward-thinking leader, Khun Supaluck. The company shares our vision for creating best-in-class destination experiences and our partnership will bring unique entertainment districts to the city that will redefine and revolutionise Bangkok’s entertainment scene. These two significant developments will be a game-changer giving even greater opportunity to Bangkok and Thailand to become the most important retail and entertainment hub in Southeast Asia.”

Wilkes said that AEG is looking to expand its portfolio of arenas and other entertainment complexes – as well as its content business, such as for music and sport events – all over the world and with a strong focus in Asia. “However, the expansion depends heavily on uncontrolled commercial and government factors, such as finding the land and right partner,” he said. “However, Bangkok is very lucky in that everything comes together in the right way.”

He said that this partnership, which marks AEG’s first major investment in Southeast Asia, expands the proven entertainment district model to the region and demonstrates the company’s strong commitment to Thailand. Over the last decade, Bangkok and Thailand have seen rapid urbanisation and changing consumption trends, and is a market with great potential, driven by an expanding middle-class with growing spending power and demand for premium experiences. He noted that Thailand has been named one of the world’s most visited tourism destinations, which welcomed more than 38 million international travellers in 2017 and this number is expected to reach 42 million this year.

As the co-owner and operator of both entertainment venues, AEG will be responsible for the management and operation of the two arenas, as well as working together with The Mall Group and its alliances on the marketing of events, including those for entertainment, the music industry, live performances, sport events, along with MICE and arts and cultural events.

JD Central officially launches

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JD Central officially launches

Corporate September 27, 2018 20:13

By The Nation

JD Central, an e-commerce joint venture between Central Group, the biggest retail conglomerate in Thailand, and JD.com, the largest retailer in China, has announced its official launch in Thailand.

It said it wanted to bring the number of warehouses to five within this year, in support of its e-commerce business’s robust growth.

To provide a boundless online shopping experience, the firm guarantees all 100 per cent authentic products on its platform and relies on its integrated logistics service to offer fast delivery, with an aim to be the most trusted brand and leading online e-commerce player.

Vincent Yang, chief executive officer of JD Central, said: “Since JD Central has opened its platform to the public this past June, the company has received a warm reception from Thai customers.

“This shows JD Central’s potential in becoming the leader in the online retail market, driven by technology integration. The company strictly adheres to 100 per cent authentic products policy with zero tolerance to counterfeit goods, as our ambition to build confidence and establish trust among our customers.

“Since June, JD Central has received online orders that are 15 times higher than what was originally expected; which 80 per cent of our customers access the platform via their mobile phones, reflecting an impressive surge in growth.”

True partners with Korean content provider

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Birathon Kasemsri na Ayudhaya, True chief content officer
Birathon Kasemsri na Ayudhaya, True chief content officer

True partners with Korean content provider

Breaking News September 27, 2018 20:04

By The Nation

True CJ Creations, a joint venture between True Group and CJ ENM from South Korea, an integrated entertainment provider, announced the expansion of its content creation business, covering series, variety programmes, games and reality shows, to supply both domestic and overseas markets.

The joint venture takes the models of the original format from CJ ENM to blend with the needs of the Asian consumers in creating an international-standard quality content that can be viewed on a wide variety of channels, especially the convergent platforms via omni-channels of True Group and its Thai and global partners.

True CJ Creations also sets its goal to become a hub for content production in Asean and push forward Thai entertainment industry to be globally recognised.

Birathon Kasemsri na Ayudhaya, True chief content officer, said: “True Group’s policy is to focus on content selection to address a variety of lifestyles of the Thai consumers and the trend of digital platform in this current digital era to order to add more channels for consumers to access creative contents.

“As a result, it allows a chance for producers to create various contents as to meet the needs of audiences who can watch them from all channels. We are glad that True has successfully partnered with the internationally recognised producer like South Korea’s CJ ENM to found our joint venture, True CJ Creations.

“The new venture will leverage on True’s leadership in the integrated entertainment business that produced and tailored many popular contents as well as its prominent convergence communication platform.”