Company History & Profile

Company History & Profile

The company was first established on May 16, 1969 A major development at the company came in 1998
as Siam City Cement Company Limited with the initial when Holcim Limited of Switzerland became a major
registered capital of 100 million baht and began shareholder. Then in 1999, debt restructuring and
cement production after the completion of its cement refinancing was completed with the capital increased
plant in 1972. to 3,000 million baht. Siam City Cement Plc continued
to expand their production capacity and new products
After five years of continuously successful operation, in the market while
the company proudly became a listed company in the
Stock Exchange of Thailand in 1977. Then in 1981, the On December 21, 2012, a change in major shareholding
company’s Saraburi plant endeavored to replace the occurred when Thai Roc-Cem Company Limited and
imported bunker oil used as fuel in cement production HOLDERFIN B.V. sold their holdings in the amount of
to domestically sourced lignite coal. 21,390,000 shares in the aggregate, representing
9.3 percent of the issued and outstanding capital shares
In order to reduce the consumption of fuel which of the company, to Bangkok Broadcasting and Television
represented a major cost of cement production, in Limited, a company in the Ratanarak Group. Thus, the
1989 the company became the first cement producer proportion of the Ratanarak Group shareholding to
in Southeast Asia to introduce a waste heat recovery increase to 104,360,272 shares or approximately
system which converted heat captured from the 45.37 percent of the issued and outstanding capital
cement kiln to produce electricity. Then in 1993, the shares.
company was officially renamed “Siam City Cement
Public Company Limited” to reflect the nature of its In 2013, SCCC acquired assets of two Superblock Plc
being a fully listed company in Thailand’s stock light-weight block plants – the Singburi operations
exchange. early in the year, and the Ratchaburi plant towards the
end of the year.

Shareholding Structure of SCCC

Other
27.11%
Ratanarak
Group Company
45.37%
Holcim Group
27.52%

Annual Report 2013

 Vision, Mission, Core Values and
Fundamental Goals
Corporate Vision, Corporate Mission, Core Values and Fundamental Goals

Corporate Vision

To Provide Foundations for Society’s Future

Corporate Mission

To increase value to all stakeholders by providing the best cement and concrete solutions, achieving above industry
profitability through quality, service and innovation

Core Values

At Siam City Cement, We Deliver

Corporate Fundamental Goals

To be preferred…..

by customers:

To provide the best solutions on cement, aggregates and related products, and to support their success

by community:

To be socially responsible and environmentally conscious within communities and society, and to provide support
with sustainable solutions

by business partners:

To collaborate with all stakeholders to grow business opportunities together

by employees:

To develop strong skills, reward high performance, and promote passion for people, customer service and excellence

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Business Porfolio

Business Portfolio

Since its founding 45 years ago, Siam City Cement portion. INSEE Mortar Max has currently offered
Public Company has placed great value on commitment cement for 4 applications:
to corporate vision in providing foundation for
Thailand’s future. Consistent with the past to achieve • Plastering mortar: For general plastering, Fine
the vision, SCCC has been supporting Thailand’s plastering, Light-weight block plastering, Fine
development by offering innovative solutions in light-weight block plastering, Concrete plastering
cement and other cement related products. As of today, and Skim Coat
SCCC has three cement plants with six kilns in • Brick laying mortar: For normal brick laying and
Kaengkhoi District, Saraburi Province. Light-weight block brick laying
• Floor leveling : For floor screeding and leveling
Siam City Cement through its three subsidiaries, • Tile adhesive: For general application and High
Siam City Concrete Co., Ltd., CONWOOD Co., Ltd. adhesion application
and INSEE Superblock Co., Ltd., is engaged in cement-
based building materials, wood replacement products INSEE Concrete, as a result of the diversity of
and light-weight concrete blocks. construction projects all over the country and different
kinds of concrete applications required, has its plant
Siam City Cement, as one of the leading cement network covering Greater Bangkok, Eastern Seaboard
producers, currently offers two major types of cement and major cities in upcountry. Also the expansion of
products; “Mixed cement” and “Portland cement”: INSEE Concrete Franchise to extend strategic
partnership network has increased steadily and
• Mixed cement: specially formulated for plastering covered all areas nationwide in order to service and
and bricklaying works where smooth and finishing meet customers’ requirements in concrete business.
works are required.
• Portland cement: specially developed for production CONWOOD manufactures architectural, decorative
of high strength reinforced concrete, high quality building materials, made from high quality cement and
concrete tiles, and all kind of concrete piles and poles recycled cellulose fibers that help sustain the
and panels, as well as pre-stressed concrete products. environment and reduce real wood consumption.
CONWOOD offers a wide range of products under four
INSEE Mortar, fulfills customers’ need for absolute major areas of applications:
convenience and quality by providing the ready to use
cement; namely, INSEE Mortar Max which can be used • Eaves and Ceiling Applications: CONWOOD Eave,
instantly by mixing with clean water in the appropriate CONWOOD Lath, and CONWOOD Ceiling Border

Annual Report 2013

 Business Porfolio
• Wall Applications: CONWOOD Lap Siding BG, agricultural sectors, into alternative fuels and raw
CONWOOD Lap Siding G-Series, and CONWOOD Mold materials and used in cement production process. This
• Floor Applications: CONWOOD Decorative Deck, business unit has been well developed and equipped
CONWOOD Deck with experienced employees working at one of
• Decorative Applications: CONWOOD Plank 1” and 2”, Thailand’s best and biggest alternative fuels pre-
CONWOOD Decorative Stairs and Handrail, processing platforms.
CONWOOD Fence, and CONWOOD Sunshade
In 2013, Energy and Environmental Services Co., Ltd., a
INSEE Superblock, the most recent subsidiary of new subsidiary, was incorporated to principally engage
Siam City Cement, operates the production and supply in the industrial waste disposal and alternative fuel
of Autoclaved Aerated Concrete Class4 (G4), comprising and raw material trading. Its first project is Transfer
blocks, panels and lintels. INSEE Superblock Co., Ltd Station located in Hemaraj Industrial Estate.
provides building materials that combine light-weight
with high strength and provide a number of The company uses thermodynamic technology that will
advantages through: not generate any problematical pollution. In additional,
a Power Plant project was launched to generate
• Highest quality product under Class 4 electricity from waste heat recovered from cement
• Thermal insulation production process. The electricity thus produced would
• Fire resistance be able to replace up to 25 percent of its electricity
requirement, saving precious natural resources for the
The Company, being aware of the importance of Company as well as for the national power grid.
alternative fuels and raw materials in cement
production process, is one of the pioneers in AFR Siam City Power Co., Ltd., a subsidiary, was incorporated
development in Thailand with the founding of a in 2011. It engages in the electricity generation business,
business unit to focus on AFR development. Called and has received Board of Investment (BoI) promotional
“Geocycle”, the firm specializes in the recovery of privileges for electricity generation from waste heat
materials, which would otherwise be sent to landfills, arising from cement production.
trash incinerators or illegal dumps, to be co-processed
in cement kilns as fuel and raw materials. With the strong believe in the value of corporate vision,
mission, and goal, at Siam City Cement will constantly
Since 2005, Geocycle has been offering a total waste ensure commitment of business growth and achievement
management service to our customers by transforming of performance to provide quality of innovative products
wastes derived from industrial, community and and services for sustainable perspective.

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Personnel & Organizational
Development

Personnel & Organizational Development

Siam City Cement Public Company Limited puts great The company has also collected and analyzed the data
importance on the development and growth of its in regards to succession management planning and
employees along with the sustained growth of the the development of high potential staff in preparation
business according to the belief that the employees are for succession. This is necessary in order to identify
the company’s essential business stakeholders. the job positions and the potential successors for
systematic succession into critical positions. At the
The opportunity is always open for employees to same time, the company would also accelerate the
unleash their potentials under a conducive environment development of the high potential staff to make sure
while expanding their horizon into areas in which they that they will be able to fill the targeted positions
are interested as well as matching with their own when the time comes.
abilities.
Another factor is to build up international exposure and
These are the motivation factors for all employees. As expand global perspective for interested employees in
we know well that with proper motivation, the more order to develop in them a global mindset. The activities
effective and more determined the employees will be in may range from assigning the employees to attend
creating value for the company and customers as well international meetings, conferences, seminars and
as responding to the needs of all stakeholders. forums to allow them the chance to garner experience
and exposure, to offering them exchange programs to
In past years, Siam City Cement has continuously strove Holcim companies abroad which may last 3-12 months
to motivate the employees in areas such as leadership on the short term to over a year for the long term.
development and leadership training. These courses
cover the entire spectrum of management levels from It is also important to build pride among employees
supervisors to top managers. This is because the at all levels considering that they are equally critical to
company believes that supervisors with good leadership the company’s success. At the same time, this will also
quality is directly instrumental in the motivation of serve to motivate all the employees. The practice may
subordinates. As such, leadership quality would cover take the form of allowing shop floor employees to
result management, praise and reward, and advice and present their works as well as any new innovations to
mentoring.

Annual Report 2013

 Personnel and Organizational
Development
their supervisors and higher management, or successful information and advice on planning for the future in
SCCC employees may be asked to relate their stories to terms of both savings and health care. Also included is
university and college students. the welfare and benefits plans which are numerous and
very flexible to allow each employee to choose what is
No less important is the Employee Wealth & Health the most useful and beneficial to each of them while
program which has the target to disseminate carrying the minimal risks that are acceptable.

Business Group Structure

GEOCYCLE

MORTAR MAX
CEMENT MORTAR

99.99% 99.99% 99.99% 99.99% 99.99% 100% 44.99%

SIAM CITY POWER SUPERBLOCK

CONCRETE SIAM CITY POWER CONWOOD INSEE Superblock COAL PRODUCTION AND DISTRIBUTION

99.98%
PT CONWOOD
INDONESIA

Energy and Environmental Services Co.,Ltd. Khmer Cement Industry Co.,Ltd

AGGREGATES AFR BUSINESS INSEE DIAMOND

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Growth Strategy

Growth Strategy
In 2013, Siam City Cement Public Company Limited the company further acquired light weight blocks
(SCCC) has supported the growth of cement which is manufacturing assets in Ratchaburi with additional
its core business in medium to long term by investing annual capacity of 1.6 million sq.mt. in late 2013.
1.45 billion baht to reactivate mothballed kiln No. 1 at
Saraburi to add 1.2 million tons of clinker production CONWOOD, a subsidiary with high growth in premium
capacity. In addition, the company invested more than architectural and decorative building material business,
300 million baht in logistic innovations to enhance is expanded with three key growth strategies: develop
cement dispatching capacity by more than 60 percent high quality innovative products, increase production
and increase logistics efficiency with new technologies, capacity, and expand in regional markets, especially in
not only to support the production capacity expansion Indonesia and India. Over 1 Billion baht is invested for
but also to increase customer services excellence. local production in Indonesia with its plan to start
operations in 2014.
In order to secure bulk cement channels and respond to
rapid growth of concrete demand, ready-mixed Border markets: SCCC achieved goals in cultivating
concrete plant network was expanded through own business partnership in countries bordering Thailand:
batching plants investment, rental plants and Cambodia and Myanmar. The alliance with exclusive
franchising with the strategy to secure material supply dealers was the key driving SCCC’s products further
by own aggregate production capacity expansion and into even more remote areas. One of the key success
acquisition of new material reserves, especially in factors was SCCC’s focus on grooming the partners’
Central area and East. strength in terms of:

With strategy to diversify with synergy into other • Business strategic development consultant; SD SAP
building materials to increase product portfolio and module, Sales Force application, I2C systematic
response to trend change in the construction industry, process, command batch in ready-mixed concrete
A new SCCC 100 percent owned subsidiary, INSEE system, Club card mechanism, other concrete
Superblock Co., Ltd. was incorporated with an product manufacturing businesses, i.e. Pre-
acquisition of light weight blocks manufacturing assets fabrication and Pre-cast concrete products, etc.
in Singburi Province. The new subsidiary successfully • Other key business training programs: Managing
entered the light weight blocks market under the brand cement channel and distribution, constructing
“INSEE Superblock” with production capacity of 3.1 customer database, management leadership
million sq.mt. in 2013 and planned to double its competency and skills, and sales knowledge and
production capacity in the next few years. In addition, skills training.

Annual Report 2013

 Growth Strategy
Meanwhile, the main markets, including Laos, Hemraj Transfer Station aims to produce high-quality
maintained a strong foothold by penetrating a variety Refuse-Derived Fuel (RDF) from a wide range of
of INSEE products, i.e. mortar, TilesFix and mixed industrial wastes in an environmentally sound manner
cement, and by repetitiously promoting SCCC brand for cement producers and power plants. It is
awareness and quality among small retails up to large strategically located in Hemaraj Industrial Estate
projects. SCCC also produced tailor-made cement to Chonburi. The Hemraj Transfer Station will position
accommodate contractors’ needs for large projects in SCCC closer to the customers where they can use
Laos, such as hydroelectric power dams and a coal-fired proper and reliable services regardless of their waste
power plant. property, type, and quantity at reasonable cost.

Hemraj Transfer Station The Company’s services across the value chain will be
enhanced, relating directly to better service flexibility
SCCC has been active in waste management services and competitiveness. This will allow access to a larger
with the use of co-processing technology since 2001. slice of the demand pie from increased waste type and
As recognized by the Basel Convention, co-processing is increased volume from existing and new customers.
the most environmental friendly method in industrial The customers are mainly industrial manufacturers in
waste disposal as it enables resource recovery where automotive, consumer, petrochemicals, agriculture and
waste is transformed into alternative fuel and raw electronics sector, etc.
materials in cement kiln.
With international standard procedures, our customers
With the dedication to superior environmentally can be assured that their waste materials will be
friendly waste disposal via co-processing, the highest treated, pre-processed to high standard RDF, and
standards of operations and total compliance policy, eventually disposed of through co-processing in full
SCCC is trusted by industry leaders in all fields to compliance with local regulations and environmental
handle their industrial waste disposal needs. To requirements. Ultimately, RDF will be the future source
continue the growth of this business and capture high of alternative fuel in cement kilns and power plants,
potential opportunities from industrial expansion in reducing reliance and pollution from the use of
the Eastern region, Hemraj Transfer Station was traditional fuels.
established under the Energy and Environmental
Services Co., Ltd., another SCCC subsidiary.

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Construction Projects
& Green Products

Construction Projects & Green Products

New National Parliament Complex CAT Telecom Plc headquarters office

The 12,300-million-baht New National Parliament The new CAT Telecom headquarters now under construction
Complex project being constructed by Sino-Thai by Sino-Thai Engineering & Construction Plc, will need
Engineering & Consultant Plc being constructed in approximately 50,000 cu.mt. of INSEE concrete for the
Bangkok will consume 430,000 cubic meters of concrete, entire project with the bored piles needing about
part of which is being supplied by Siam City Concrete 12,000 cu.m. The delivery of the concrete is being made
Co., Ltd. (SCCO). The construction of the bore piles alone mainly from Chang Wattana 3 plant site.
would need a total of 125,000 cu.m. of concrete with a
120-day timeframe. After which low-heat, high-strength BIPI Combined Cycle Cogeneration Plant
concrete will be used to pour a huge foundation.
SCCO won the contract to supply 11,000 cu.m of concrete
Phuket International Airport for the BIPI Combined Cycle Cogeneration Plant project in
Bang Gadi Industrial Park, Pathum Thani, that is being
The 6,000-million-baht Phuket International Airport constructed by Glory Construction Co., Ltd. SCCO was
extension, located in the southern tourist island province, awarded the contract to supply 11,000 cu.m. The three
is being constructed by Sino-Thai Engineering & SCCO plants responsible for supplying the concrete to this
Consultant Plc. project are Tiwanond, Chang Wattana and Pakkred.

The main contractor has required SCCO to supply American Axle & Manufacturing (Thailand) Company
53,500 cu.m. of concrete for the project which include the
international passenger terminal group and the support The American Axle & Manufacturing (Thailand) Company
buildings group. The concrete is being supplied from two (AAM) has begun the construction of its manufacturing
SCCO plants: Thalang and Koke-loy. plant and office building in Hemaraj Eastern Seaboard
Industrial Estate, Rayong Province.
Sri Ratcha Expressway (Kanchanapisek Section)
The first AAM plant in Thailand and the sixth in Asia
The 17-kilometer Sri Ratcha Expressway (Kanchanapisek will produce axles and drivetrains for vehicles in a factory
Section) which will be completed in 2017 is being covering an area of 125,000 sq.ft., with an additional
constructed in two parts by Sino-Thai Engineering & 13,000 sq.ft. of office space.
Construction Plc and Ch. Karnchang Plc.
Trusted with the supply 12,000 cu.m. of concrete for the
Under Ch. Karnchang Plc’s portion, the pouring of bored construction of the AAM facility being constructed by
piles each of which needs about 100 cu.m. of concrete Christiani & Nielsen (Thai) Plc is SCCO, from its Hemaraj 1,
has begun. Supplying the concrete for this part are three Hemaraj 2 and Eastern IE plants.
SCCO plants: Bangkok Noi 1, Bangkok 2 and Banggruay.
U Place building
MRT Blue Line (extension phase)
The new 12-storey, 40,000 square-meter headquarters
SCCC is supplying concrete for the construction of the of Unilever in Thailand – U Place Building on Rama XI
diaphragm walls for the tunnel of the MRT Blue Line Road – is now under construction by Italian-Thai
extension being constructed by Italian-Thai Development Development Plc. This “green” project will eventually
Plc. Each wall unit would need about 200 cu.m. of encompass an office building, a conference center and
concrete produced and delivered mainly from the SCCO a hotel. Supplying the concrete for the construction of
Klongtoey plant. the complex’s foundation are three SCCO plants, namely
Asoke 6, Asoke 7, and Asoke 8.

Annual Report 2013

 Construction Projects
& Green Products
Condominium projects: • Star View
• 5 Sansiri projects in Hua Hin, Cha-am area SCCO has been trusted to produce and deliver
INSEE Concrete has been trusted to produce and concrete to Eastern Star’s Star View condominium
deliver ready mixed concrete to Sansiri Plc’s project in Bangkok. The project would need about
condominium projects around Hua Hin and Cha-am 6,000 cu.m. of concrete delivered mainly from SCCO
areas. Concrete for all projects are delivered from Rachada 3 and Klongtoey plants.
three SCCO plant sites; Hua Hin, Cha-am 1 and
Cha-am 2 as in details below: • New Green Projects and Marketing Effort
• Kunkoei KooKiang: 20,000 cu.m. of concrete to be SCCC products and services have been initiated and
delivered improved throughout the year. These are to ensure
• Piang Ploen:15,000 cu.m. that we are able to satisfy our customers in order to
• Im Aim: 10,000 cu.m. sustain our markets. Details are:
• Kiangfah: 20,000 cu.m. • VAS: New solutions in 2013: Provide VAS floor
• Tew Lom 20,000 cu.m. resolution family by introducing a new concrete
for floor with steel fiber solution
• 11 Sansiri projects in Phuket area • VAS: New products in 2013: Introduce Baan U-Sabai
INSEE Concrete has been trusted to produce and COOL PLUS featuring integrated light-weight Block
deliver ready mixed concrete to Sansiri Plc’s material and technology to increase the insulation
condominium projects in Phuket. Concrete for all property
projects are delivered from three SCCO plant sites; • INSEE Mortar: Introduce TileFix 42+, adhesive Mortar,
Thalang, Rassada and Vichit as in details below: for tile fix application with new packaging
• Habitown Koh Kaew: 20,000 cu.m. technology for durability and high printing resolution,
• Burasiri Koh Kaew: 20,000 cu.m. to high potential border markets and promotion in
• The Deck, Patong: 15,000 cu.m. domestic retail markets
• D Condo Patong: 20,000 cu.m. • INSEE Superblock – ERP SAP: Implement single
• D Condo Katu:15,000 cu.m. ERP-SAP to operate business data flow for planning,
• Creek: 15,000 cu.m. ordering to cash purchase, controlling cost and
• Mike: 15,000 cu.m. reporting
• The Base Downtown: 10,000 cu.m. • Release 2 TVC: a) RMX product TVC, aimed to
• The Base Height: 15,000 cu.m. demonstrate the prompt service with tracking
• The Base: 10,000 cu.m. system and the ability of SCCC concrete small trucks;
• Campus Resort: 15,000 cu.m. and, b) Suan Ming Mongkol TVC to promote the park
• Digital Billboard: Expand brand awareness via digital
• Q Asoke billboards in 16 locations in Bangkok, and also a
SCCO has been trusted to produce and deliver significant SCCC building wrap on Vipavadee Road
concrete to Quality House Plc’s 41-storey Q Asoke • INSEE Smart Tip: Stimulate brand engagement
condominium project near Makkasan Airport Link by employing knowledge through TV program,
station in Bangkok. The project would need ‘INSEE Smart Tips’ in new format
25,000 cu.m. of concrete delivered from five SCCO
plants, namely, Asoke 6, Asoke 7, Asoke 8, Rama XI
and Klongtoey.

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