Environmental responsibility is a key principle of KEX business ethics and part of our long-term business strategy. In 2021, KEX extended the scope and requires that new and existing partners are assessed on business standards, financial position, legal compliance, good corporate governance and, social and environmental responsibilities. For key partners of KEX, our quality control and risk management department will perform an additional risk evaluation of good corporate governance as well as social and environmental responsibilities.
Parcel delivery experimental project using electric vehicles
The experimental project uses electric motorcycles at KEX distribution centres in Bangkok for four months to study the energy-saving efficiency, repair costs and reliability. Based on a study of more than 1,000 motorcycles, KEX found that this could reduce greenhouse gas emissions by 0.84 tons of CO2 equivalent per motorcycle, with a total reduction in 12.6 tons of CO2 equivalent in three months. The data from this study will improve deployment in the long run and could support a new area of business development.
Training for drivers and driving-speed control (Eco Drive)
KEX provides safe-driving training for all our drivers and imposes a speed limit of 80 km/hr to save fuel and conducts scheduled maintenance to ensure engine conditions and emissions remain at an optimal level. Our Cross-city line-haul vehicles also never cruise empty so as to maximise fuel consumption efficiency and manage costs.
Route-planning and innovative technology to enhance efficiency of parcel delivery and reduce fuel consumption
KEX uses a GPS planning system to optimise delivery routes. Packages with nearby delivery locations are packed onto the same vehicle. GPS maps are also installed in our fleets for the driver to check the most time-efficient route. Installation of fleet GPS tracking is also in progress to capture incidences of route deviation or accidents.
Sustainable resource consumption and utilisation
KEX values the importance of sustainable resource consumption and improving utilisation of our resources. To reduce waste generated from business operation and consumption, KEX has a “Reduce Reuse Recycle and Separation” plan, which aims to reduce the total amount of waste generated in 2020 by 2 percent in 2022. This will also help KEX achieve item 12.3 of the Sustainable Development Goals (SDG) which targets to reduce half of the global food waste by 2030 and to decrease the amount of single-use plastic. Moreover, office equipment and company’s assets are encouraged to be made use for maximum efficiency.
In 2020, KEX generated approximately 8,000 tons of waste from our offices, customer service locations, sorting hubs and distribution centres. This is a 14% reduction from the 9,320 tons in 2019. To achieve our goal, we began with changing our people’s behavior through a waste sorting campaign, raising awareness about moderate consumption, and decreasing plastic-packaging imports. In addition, KEX encourages customers to reuse the packaging. Through our process design and prohibition of package-throwing throughout the shipping process, we have reduced waste by redesigning our packaging products to be more durable and have required packaging to be reused. For example, at our branches, plastic-recycled envelopes which can be reused more than 4 times are provided for free.
Campaign to turn off lights when not in use
KEX promotes efficient use of energy by encouraging all employees to turn off the lights every time when not in use. Electricity and air conditioning usage is restricted to certain schedules, clearly communicated to all employees.
Raising awareness of water use
KEX encourages employees to use water wisely by hanging reminder signs in the restrooms at offices and distribution centres. Periodic maintenance inspection of the tap quality is also performed.
Innovation and Technology to Reduce Environmental Impacts
Our human resource department also encourages the use of online training so as to reach out to the staff who are located in different locations. This has produced cost savings, for example, KEX has decreased the training cost of department heads (based on headcount of 1,300) between 2020 and April’s 2021 by 1,950,000 million Baht.