Innovation and Technology for All

Importance

(GRI 3-3a., 3-3b., GRI 3-3e)

Digital & Innovation is an important strategy for business sector to adapt to the rapid changes in consumer behavior today, responding to people’s lifestyles. Therefore, Digital Transformation is a key to effectively managing businesses, increasing competitiveness, and making businesses more sustainable, as organizations driven by data are more flexible and adaptable, and also support the United Nations’ Sustainable Development Goals (SDGs) .
OR is committed to driving the organization with Digital & Innovation by developing digital platforms to strengthen and enhance its existing businesses. With the goal of becoming a Digital Driven Organization, OR aims to achieve full-scale digital transformation across the entire organization. At the same time, the company seeks new business opportunities in the New S-Curve by leveraging its existing capabilities and collaborating with strategic partners. Together, they will harness digital innovation to create new products and services that keep pace with technological advancements and maximize consumer satisfaction.

[1] https://www.weforum.org/agenda/2024/08/how-to-harness-data-for-sustainability-wins/

Management Approach

(GRI 3-3c, 3-3d, 3-3e, 3-3f)

Digital & Innovation is an issue that OR gives importance to and is integrated in OR’s strategy to demonstrate the role model organization that is ready to promote the use of digital innovation to further develop new business models, invent products and services that meet the needs of current and future consumers, as well as seeking new business opportunities that can create value for the business along with creating benefits for society and the environment, which OR intends to do for every current and future business.
OR sets 2030 Goals under the Economic Prosperity framework, operating through the “Innovation and Technology for All” operational approach, which focuses on investing in digital innovation through various Digital Platform & Technology projects to enhance the OR ecosystem. OR has established the OR Digital & Data Governance Steering Committee (DGSC) as a unit to oversee data usage, manage information technology systems in line with OR’s business direction and strategies and related regulations, and set policies, governance frameworks, data management, and review and provide advice on data usage in accordance with personal data protection laws. This is done by establishing the Infrastructure, Security and Governance Management Division to oversee data usage, including appointing a Data Protection Officer (DPO) to help oversee customer personal data to comply with the policies set by the Committee, including reviewing and providing advice on data usage to comply with the Personal Data Protection Act.
For more examples of OR’s outstanding innovation and digital projects, please read more at Highlights: Innovation and Technology for All

OR Business process towards Digital Driven Organization under the business direction of OR Group
OR is committed to implementing Digital Transformation to become a Digital Driven Organization. This is done by organizing activities and planning Digital Competency training courses to promote the development of potential of employees throughout the organization in terms of mindset, knowledge, and skills. This includes a concrete Digital Transformation operation plan, comprising of the use of Digital Technology to support decision-making and business operations to increase efficiency and performance, the development of a Digital Platform to support services in the form of Online to Offline (O2O) and to enhance customer experience and satisfaction, as well as expanding cooperation in innovation and digital management with startups and SMEs in Thailand to increase potential in product and service development for diverse customer groups and consumers.

Monitoring and reporting on the company’s innovation and technology performance
The responsible department shall summarize the results of the operations related to the abovementioned innovations and digital performances to the committee at least once a year. The reported results that are not in accordance with the plan will be analyzed for causes, effects, and guidelines for improvement, which will be developed in future operational plans. Comments and suggestions from stakeholder groups such as customers, consumers, suppliers, and communities have also been incorporated into the development of the company’s innovation and digital roadmap to comprehensively respond to the needs of all groups of stakeholders.

Development of OR’s Innovation Culture
OR places importance on developing an Innovation Culture within the company. It has a policy to support employees to have skills and behaviors to dare to think and dare to try new things (Innovation Mindset) to develop OR’s potential to support future business disruptions and increase efficiency in current business operations. This is done by training or organizing activities within the organization that create awareness, create a culture or knowledge in innovation or invent new work formats to develop and improve work. In addition, OR also has a concrete plan for Digital Transformation. The operation will not only involve the use of technology, but also includes changes in every part of the organization, from work processes, ideas, methods, and organizational culture, which OR must be able to adapt and apply technology to create efficiency and elevate performance, experience, and customer satisfaction, as well as create a driving force for society and a good environment through innovation.

Performance

(GRI 3-3e.)

Internal training and activities to create awareness, culture and knowledge for innovation in 2024

1.1 TECH SPARK Project

OR has prepared to drive the organization towards becoming a Digital Driven Organization and reaffirmed its commitment to Digital Transformation through OR TECH SPARK activities to create awareness and develop potential and skills for employees in the organization. In 2024, the organization emphasized and focused on promoting employees to use corporate data to further develop new use cases. Training was organized to provide knowledge by experts in Data Foundation and Data Analytics to employees. There was a presentation of work ideas and selection of winning teams with outstanding ideas that could be further developed into works that could create value and drive OR to become a leading energy and retail company driven by technology, ready to create sustainable growth together.

1.2 Promote organizational culture with the 5S Digital principles.

OR has promoted the transformation of the 5S operating model, which is the culture of PTT Group based on the principles of “Sort, Convenient, Clean, Hygienic, and Create Habits”, to the 5S digital principle, which increasingly applies digital systems and technology under the 5 sub-principles: “Shift, Speed, Smart, Smooth, and Secure”, to align with the current working model, which will lead to the creation of a culture and foundation for new innovations.
OR places importance on building organizational knowledge in innovation and digital. In 2024, it organized training to provide knowledge on 5S Digital in the form of E-Learning in the LMS system for all employees in the organization, with an average training participation rate of 72 percent of all employees.
In addition, OR 2024 5S Digital Award competition was organized to encourage employees to invent and apply Digital & Technology to their work to be efficient, convenient, and in line with the 5S Digital principles.

OR also encourages employees to join the PTT Group level competition. For the PTT Group 5S Digital Award 2024 competition this year, OR entered the “Power of Data for Excellent Contact Center” project, which received a Platinum award, the highest award at the PTT Group level. ซึ่งเป็นรางวัลสูงสุดในระดับ PTT Group

1.3 Project to promote the concept of continuous improvement/development of work processes

In 2024, OR organized the “Idea to Practice” project, which is a continuation of the Productivity Improvement Idea (PI Idea) project that has been organized for many years. The objective is to support employees to take the ideas from the PI Idea project that are stored in KM Hub, which is the organization’s knowledge repository, and develop them into projects that can actually create added value for the organization, respond to the organization’s goals and sustainable development. There were 31 groups of employees who submitted their work, totaling 90 stories.
Moreover, sharing session is organized for the winners of OR 2024 Quality Awards to share ideas through their perspectives and experiences as role models, create inspiration for new ideas, and transfer knowledge to employees to apply and develop further in their own work. In 2024, there were 234 participants who submitted ideas for the competition, and they were used to further develop business efficiency, reducing costs by 408 million baht.

In addition, OR has organized the “PI Workshop for Oil Retail and Energy Solutions Business” project to strengthen oil retail and energy solution businesses to increase productivity, reduce costs, generate income, reduce working time, etc. This aimed to create opportunities, business advantages and readiness to cope with the changes in the business that will occur, starting from promoting new creativity, learning and understanding customer needs, finding ways to respond to the point (Design Thinking & Creativity), and adjusting to Productivity, in-depth problem analysis and studying the cost of project implementation to set up a Productivity concept in a form that is appropriate to the business.

2. Digital platforms and applications

OR realizes the importance of using technology and innovation in business operations to increase capabilities and competitiveness. Accordingly, OR has developed payment channels in the form of applications and digital platforms that allow consumers to use products and services more conveniently, responding to current consumption. It is also a channel for communication, public relations, and providing promotional information to customers quickly and accurately. In 2024, OR has digital platforms and business group applications as follows:

2.1 xplORe Application

The xplORe application has been developed to be OR’s main digital platform to respond to the delivery of service experiences from the online world to the offline world (O2O: Online to Offline). This is in response to the needs of modern consumers and forwarding transactions from the online platform to OR Group’s stores and partners, such as PTT Stations, FIT Auto service centers, Café Amazon, Jiffy and Ohkajhu stores, etc.

Key features of xplORe	Results and benefits of the project
Deal: Special discount coupons from OR brand stores and partners, activity tickets and entertainment Reservation: Book concert tickets, restaurant reservations from business partners Searching: Search for PTT Stations with fuel prices Mission: Join missions with various activities and receive points or special prizes Wallet: Electronic wallet, can be used to pay at OR stores and partner stores that support Thai QR payment Reward: Collect blueplus+ points and use them to redeem special privileges from leading stores, transfer points, win prizes, redeem points to join activities/redeem many prizes	Increased convenience for customers and created a better experience of engagement with OR Increased the number of purchases via xplORe sent to OR's offline stores New customers who signed up for xplORe spent money both on the xplORe platform and OR's offline stores Become a new revenue channel for OR

Key features of xplORe

Results and benefits of the project

Deal: Special discount coupons from OR brand stores and partners, activity tickets and entertainment
Reservation: Book concert tickets, restaurant reservations from business partners
Searching: Search for PTT Stations with fuel prices
Mission: Join missions with various activities and receive points or special prizes
Wallet: Electronic wallet, can be used to pay at OR stores and partner stores that support Thai QR payment
Reward: Collect blueplus+ points and use them to redeem special privileges from leading stores, transfer points, win prizes, redeem points to join activities/redeem many prizes

Increased convenience for customers and created a better experience of engagement with OR
Increased the number of purchases via xplORe sent to OR's offline stores
New customers who signed up for xplORe spent money both on the xplORe platform and OR's offline stores
Become a new revenue channel for OR

2.2 Fit Auto Application

2.3 OR LPG Application

2.4 Café Amazon Application

2.5 EV Station Pluz Application

2.6 Pacamara Applicatoin

3. Education, research and development in technology and innovation

3.1 OR collaborated with NSTDA and Thammasat University to research renewable energy technology and develop innovations for sustainability

OR collaborates with the Ministry of Higher Education, Science, Research and Innovation (MHESI), the National Science and Technology Development Agency (NSTDA), and Thammasat University (TU) to jointly research and develop renewable energy technologies and innovations for sustainability under the concept of “Good Research and Innovation, Answering Questions, Meeting Needs” and “Focusing on National Key Issues”, namely, Go Green, Sufficiency, Sustainability, Carbon Neutrality, Clean Energy, Environmentally Friendly, Bioeconomy, Creative Economy, and Artificial Intelligence (AI) technology, emphasizing the main principle of “Private Sector Lead, State Supported”, whereby the private sector, the beneficiary, will determine the direction of the research questions and have research institutes and universities support them to promote sustainable business growth together with communities.
In this collaboration, OR focuses on research in the following areas:

Seamless Mobility: including research on Petroleum Products and New Energy
Technology for Life: developing technologies such as Smart Sensor, Smart Grid
Environmental research and development: especially in the areas of Waste Management and Circular Economy

This collaboration is in line with OR’s approach to achieve OR’s sustainable future, or “OR SDG”, especially in the “G” or “GREEN” aspect, which aims to create a healthy environment by promoting all types of OR’s businesses to become green businesses by increasing the proportion of clean energy, reducing greenhouse gas emissions, reducing the amount of waste generated from business operations, and increasing the amount of environmentally friendly materials used to achieve carbon neutrality by 2030 and net zero greenhouse gas emissions by 2050 onwards.

3.2 “Green Innovation Contest” Project

4. Investing in potential technology companies through ORZON

Ventures to strengthen and further develop the OR Ecosystem
ORZON Ventures, a collaboration between OR and 500 Startups, has invested in potential startups to strengthen the OR Ecosystem and focus on generating financial returns from investment.
In 2024, ORZON Ventures has expanded its investment to include AI Palette, which develops AI technology specifically for developing consumer products through in-depth analysis of market trends and consumer needs from various data sources, including social media. This technology enables the company to develop products that precisely meet consumer needs, while effectively reducing costs and product development time.
This investment reflects ORZON Ventures’ commitment to creating added value for OR’s business and promoting the sustainability of the OR Ecosystem in the long run.