Human Resource Management
Challenges and Opportunities
Human resource management play a crucial role in business operations, as Central Retail relies on its workforce at every activity from supply chain management to customer service. Developing employees' potential through training and upskilling in alignment with evolving market trends is essential. To thrive in an era of rapid change, particularly in the digital landscape where technology and innovation are advancing at an unprecedented pace, Central Retail embraces artificial intelligence (AI) to enhance adaptability and better respond to shifts in consumer behavior. Beyond skill development, fostering career growth within the organization is key to boosting employee motivation, reducing turnover, and strengthening engagement. A highly engaged workforce drives service excellence and customer satisfaction, both of which are critical to sustaining business growth.
Equally important is employee well-being, which encompasses providing comprehensive benefits such as medical coverage, health insurance, a safe working environment, and support for work-life balance. Prioritizing employees' physical and mental health helps reduce stress, enhance engagement, and improve overall productivity. Furthermore, offering competitive benefits helps mitigate human rights risks, such as unfair labor practices and exploitation, which could otherwise damage Central Retail’s reputation and trust from customers.
Recognizing the strategic importance of human resource management, Central Retail is committed to the holistic development of employees at all levels, with a particular focus on digital and AI skills to enhance operational efficiency and adaptability. At the same time, it remains dedicated to fostering a safe, supportive, and inclusive workplace. This commitment reflects the belief that employees are the foundation of Central Retail’s stability and long-term sustainable growth.
Management Approach
Central Retail is dedicated to a comprehensive approach to human resource management, ensuring employees have the necessary skills, support, and motivation to thrive both personally and professionally. By aligning human resource management’s strategies with business objectives, Central Retail strives to boost productivity, strengthen employee engagement, and build a resilient workforce. Focused on fostering continuous personal and professional growth, Central Retail offers a strategic framework that focuses on skill enhancement, capability building, and career growth. This includes hands-on work experience, comprehensive training opportunities, the identification of skill gaps, and the nurturing of strong management-employee relationships. By promoting effective communication and collaboration, Central Retail nurtures a positive and inclusive workplace culture. Through a combination of career development initiatives and employee well-being programs, Central Retail ensures that the employees are equipped with the skills, resilience, and motivation needed to drive long-term success and sustainable business growth.
Central Retail's employee training and development process is divided into three key areas:
- Onboarding Program: Enhancing the capabilities of new employees to integrate effectively into the organization
- Functional Program: Developing specialized skills required for specific roles
- Core & Leadership Program: Building essential competencies and leadership qualities for all employees
Preparing new employees from their first day is a cornerstone of talent development. Central Retail has designed an Onboarding Program focused on continuous learning and skill enhancement during the first 180 days. This program covers organizational knowledge, essential work skills, and career development opportunities, aiming to reduce adjustment periods, boost employee confidence, and foster engagement and a sense of belonging from the outset. This also helps to improve work efficiency, enabling Central Retail to develop a high-performing team that is prepared for long-term success. The Onboarding Program is not merely a welcome process, it is a strategic investment that underscores Central Retail's dedication to sustainable and continuous human resource development.
For the development of core competencies and leadership skills across all employee levels, Central Retail has conducted a gap analysis to identify the necessary skills and potential required for employees in alignment with the business strategy. Consequently, Central Retail has established a capability development strategy, currently implemented through ten key training programs. The training programs are conducted by CRC Academy through both classroom sessions and self-paced learning via Central Retail’s online training platform. This approach facilitates comprehensive development and equips employees with the essential skills needed to drive the organization’s success.
In addition to providing comprehensive training in leadership and soft skills, Central Retail places significant emphasis on the development of diverse, specialized skills tailored to the unique needs of various roles within the organization. To ensure inclusive training for employees across the six key functional areas listed below, Central Retail has developed a structured training plan. This plan outlines targeted training programs, group activities, practical exercises, and mentorship opportunities tailored to the specific requirements of each department. Measurable goals and key performance indicators (KPIs) are subsequently established to evaluate the effectiveness of the training plan.
Currently, Central Retail has created over 200 training courses focused on cross-functional collaboration. These training initiatives were launched in 2023 and have been continuously implemented into 2024. Central Retail plans to expand the scope of these training programs to cover other business groups by 2025.
Employee Performance Management
Central Retail places significant emphasis on the development of employee skills and the recognition of achievements through a structured performance management system. This process applies to all employees and is conducted on an annual basis. At the commencement of each cycle, employees are required to establish specific individual goals that are aligned with team objectives and the broader corporate strategy. During mid-year, supervisors hold sessions with employees to review progress, identify support needs, and discuss opportunities for professional advancement. The year-end assessment provides a comprehensive evaluation of individual accomplishments and areas for development, ensuring that employees receive detailed and constructive feedback. This all year round process aims to address emerging challenges and leverage opportunities for growth. Consequently, employees undergo a minimum of two performance reviews per year, with a structured approach followed during each cycle to promote continuous improvement and alignment with the organization's objectives:
| Objective-based Appraisal: | Objective-based key performance indicators (KPIs) are set for each employee, in line with the broader corporate and business unit objectives and KPIs. This approach ensures that supervisors and employees are aware of their responsibilities in achieving the organization’s objectives related to key areas, including financial performance, customer satisfaction, operational efficiency, sustainability, and people management. |
| Team-based Performance: | Individual employees are assessed based on team-based key performance objectives and targets. This approach emphasizes the importance of every employee to the overall success of the team, while recognizing personal achievements and increasing awareness of corporate objectives. |
| Multidimensional Appraisal: | To provide a comprehensive assessment, feedback on each employee is gathered from various sources, such as colleagues, direct supervisors, and customers. This approach takes into account multiple aspects of the employees’ contributions. |
| Agile conversations: | Central Retail actively encourages year-round coaching and feedback exchanges between supervisors and employees, facilitating opportunities for regular personal development. |
To develop effective human capital training programs, Central Retail needs to conduct a thorough analysis of employee performance to identify skill gaps that may hinder the achievement of organizational goals. In addition, the program’s objectives and performance indicators should be clearly defined to ensure that the effectiveness and value of the training can be measured in a concrete and measurable manner.
Personnel Development Policy
Employee Well-Being
Central Retail is dedicated to creating a workplace that prioritizes employee well-being, employee engagement, and a supportive environment where employees can thrive. To ensure a balanced and inclusive work atmosphere, Central Retail has established a Welfare Committee made up of representatives from both employees and employers, ensuring that welfare programs are fair, inclusive, and aligned with the employees’ needs. Acknowledging that well-being goes beyond physical health, Central Retail adopts a holistic approach that integrates mental, emotional, financial, and employee well-being into its corporate culture. By prioritizing employee well-being, Central Retail ensures that employees feel valued, motivated, and empowered, which in turn leads to increased employee engagement, productivity, and long-term business sustainability. Central Retail supports employee well-being through the following benefits:
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Work from Home and Flexible Working Hours
Central Retail has implemented Work-from-Home policy and flexible work hours to align with modern work practices. Employees can choose to work from home one day per week, reducing commuting time and costs while supporting flexibility that caters to diverse employee needs across all age groups. Additionally, employees in certain departments can select from five different work shifts, further enhancing flexibility.
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Part-Time Working Options
Central Retail offers opportunities for new employees seeking part-time work and for individuals who wish to work with Central Retail while managing other personal responsibilities. Current employees approaching retirement can voluntarily transition to part-time work.
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Family Benefits
Central Retail has enhanced family benefits to support employees at all life stages. These include a dedicated nursing room designed for safe and comfortable breastfeeding, play areas for child skill development, and scholarships for employees’ children from low-income families, with conditions that encourage good behavior and academic performance. Paid parental leave is available for both male and female employees, with 45 days for primary caregivers and 3 days for non-primary caregivers, promoting work-life balance. This benefit helps support and retain employees during key life transitions.
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Provision of Support Facilities for Employee Care
Central Retail has established dedicated spaces to support employee well-being, including prayer rooms across office buildings and shopping centers. This initiative aims to foster religious and cultural diversity, ensuring all employees can conveniently practice their faith.
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Sports and Wellness Programs
Central Retail provides modern fitness facilities within the workplace, along with yoga and Zumba classes that promote both physical and mental well-being.
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Mental Health Support
Central Retail continues the iSTRONG to provide mental health consultations. Employees can conveniently access support through online channels, including a 24-hour mental health hotline, psychological assessments, and a comprehensive learning center for mental well-being.
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Financial Benefits
Employees can join the Central Department Store Employees’ Cooperative to build long-term financial security. Additional benefits, such as general and emergency loans, are offered.
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Sustainable Life Planning Before Retirement
Central Retail is committed to helping employees prepare for their future through financial and life planning education. This initiative emphasizes the importance of budgeting, investment, and retirement preparation. Activities include expert-led financial seminars, one-on-one financial counseling, and experience-sharing sessions from individuals who have successfully planned for retirement.
Project Highlights
AI Academy
Central Retail recognizes the importance of adapting and developing in response to the rapid changes in the digital era. Leveraging Artificial Intelligence (AI) in human resource management forms a cornerstone of our strategy, “HAI” (Happy & Healthy Organization, Advancing Working Systems & Skills, Inclusive Growth). This initiative aims to cultivate a workplace where employees thrive with happiness, foster continuous learning and development, and promote inclusive opportunities for growth across the organization. By integrating Human Intelligence (HI) with Artificial Intelligence (AI) in a hybrid working model,This helps to enhance operational efficiency, reduce redundancies, and create meaningful opportunities for our employees.
To achieve these goals, the AI Academy was established with a commitment to nurturing a workplace culture driven by AI. The academy empowers employees at all levels to access and enhance their capabilities through seamless collaboration between humans and AI, aligning with Central Retail’s strategic vision of becoming CRC-Retailligence. This effort is supported by a dedicated team that ensures alignment with the academy's objectives and developmental processes.
The AI Academy focuses on three primary areas of development:
- Driving AI Awareness: To provide all employees with foundational knowledge of AI, ensuring readiness and understanding of how AI can support their roles effectively.
- Motivating AI Adoption: By offering tools, learning courses, and AI-centered communities, the academy equips employees to integrate AI into their work processes, enabling enhanced productivity.
- Fostering AI Collaboration: Through platforms that promote sharing best practices in AI utilization and encouraging cross-functional collaboration on AI-related projects, the academy enhances teamwork and innovation within the organization.
Central Retail supports a diverse range of learning initiatives designed to maximize knowledge and skill development in AI. These include e-learning programs, specialized AI classes, AI Talks discussion forums, the AI Community for sharing experiences, and Central Retail visits for hands-on learning opportunities. By the end of 2024, these activities have upskilled over 10,000 employees (27% of total workforce). Looking ahead, Central Retail aims to expand AI education and skills training to 50,000 employees by 2025. This ambitious goal includes comprehensive foundational and specialized courses tailored to the needs of employees at every level, ensuring the organization remains at the forefront of AI-driven innovation.
Live Talk – Retail Trends & Tech Talk
Central Retail Academy hosted a Live Talk event under the theme "Retail Trends & Tech Talk," aimed at sharing insights and experiences from executives across key departments, including Marketing, Merchandise, Operations, and Supply Chain. The event focused on the application of digital technologies, particularly Artificial Intelligence (AI), to enhance operations within various business units. It also provided updates on relevant industry trends, fostering employee understanding of technology impact on the creation of innovative products, services, and solutions. This initiative seeks to strengthen the organization’s workforce, preparing them for new challenges in the retail industry.
The Live Talk was conducted in the panel discussion format, featuring leaders from different departments who shared their experiences and perspectives on integrating technology within the organization. The event was held quarterly, with each session attracting around over 300 participants. Over four sessions, the total attendance has over 1,500 employees, who have gained valuable knowledge on the latest business trends and practical applications of technology in various functions. This initiative has broadened participants’ perspectives, enabling them to apply these insights to their respective roles. The success of the event is reflected in its high Net Promoter Score (NPS), with 94% satisfaction and 70% of attendees recommending the event. These metrics underscore the employees’ enthusiasm and commitment to personal and professional development.
Sustainability Development Program
Central Retail places great importance on Green and Sustainable Retail & Wholesale and has launched the Sustainability Development Program to enhance knowledge and awareness of sustainability within the organization.
The program’s curriculum addresses key aspects of sustainable business development, starting with fostering awareness of the importance of sustainability in the organization. Participants are introduced to the principles of sustainability management and the integration of sustainable practices into business operations. The program highlights the critical role of executives in driving the organization toward environmentally and socially responsible practices.
In addition to understanding sustainability concepts, participants learn how to apply these principles to organizational management, integrating sustainable processes to achieve holistic and impactful outcomes. The program emphasizes the role of leadership in cultivating a culture of sustainability within the organization, fostering Sustainability Leadership as a cornerstone for developing policies and practices that support the organization’s long-term sustainable growth. This year, four sessions for executives have already been conducted, with over 400 participants.
This program represents a significant milestone in advancing the knowledge and understanding of sustainability among executives and employees. It also promotes active participation in steering Central Retail toward becoming a truly Green and Sustainable Retailer & Wholesale, in alignment with the CRC ‘ReNEW’ strategy.
360° Evaluation
The 360° Evaluation Pilot Project was initiated in collaboration with the Business Unit to demonstrate our commitment to enhancing workforce capabilities. Alongside offering a variety of development programs with both broad and in-depth approaches, Central Retail places significant emphasis on monitoring behavioral changes post-training, particularly in areas such as leadership and soft skills. This initiative began with employees at the management and senior management levels, utilizing comprehensive behavioral assessments that incorporated feedback from employees across all organizational levels. The results revealed notable progress in key skills, including team management, openness to diverse perspectives, and coaching abilities. Furthermore, the evaluation highlighted on employee development can effectively bridges the gap between management and their subordinates, fostering positive relationships within the organization. This significantly reducing employee turnover rates among employees ranging from officer to manager levels. Data from 2024 indicated a decline in employee turnover compared to 2023, with a reduction of 0.42 percent. Additionally, the evaluation identified specific areas where management skills require further development. These findings serve as valuable tools for setting clear development objectives and enhancing the capabilities of senior management in a targeted manner. This project not only empowers employees but also cultivates a robust organizational culture, paving the way for sustainable growth in the future.
Talent and Career Development to Build a Robust Leadership Pipeline
According to the dynamic business environment, sustainable human capital and talent development are key to ensuring long-term organizational success. Central Retail focuses on strengthening human capital and fostering a robust talent pipeline to secure successors for critical roles while promoting internal career growth and mobility.
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Strengthening Human Capital for Sustainable Growth
Central Retail’s commitment to human capital development is deeply rooted in sustainability. By implementing strategic talent management initiatives, Central Retail ensure that 166 key positions are filled with capable successors, achieving our goal of having a 100% identified successor for the key positions. This proactive approach minimizes talent gaps and ensures business continuity.
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Ensuring Comprehensive Career Development
A crucial part of our talent development strategy is ensuring that 100% of our top talents complete their Individual Career Development Plans (ICDPs). These tailored plans provide structured guidance for our top talents to enhance their skills, expand their knowledge, and prepare for higher responsibilities aligned with their career development plans.
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Driving Career Movement for Talent Mobility
Talent mobility is a key driver of sustainable development. We strive for at least 80% of our top talents to experience career development, including job rotation, transfers, job enlargement, and job enrichment. These opportunities enhance employees’ competencies, broaden their perspectives, and cultivate a resilient and adaptable workforce.
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Elevating CRC Career Opportunities through the Build vs. Buy Approach
Central Retail are committed to developing our internal talent rather than relying on external recruitment. Central Retail continuously nurture and equip our workforce with the necessary skills and competencies to step into management-level roles. By the end of 2024, CRC successfully achieved a Build vs. Buy ratio of 68% to 32% for management-level vacancies. This strategic focus not only strengthens employee engagement and retention but also aligns with our long-term vision of fostering a sustainable and capable workforce. This program has the advantage of reducing personal development and hiring costs by 29 million baht per year.
Central Retail’s commitment to human capital and talent development ensures that we have a strong and capable leadership pipeline while fostering a culture of growth and continuous improvement. The strategic investment in talent development enhancing career growth opportunities, upskilling workforce, and nurturing future leaders has led to a significant reduction in talent turnover from 9% in 2023 to 5% in 2024. By investing in our people, Central Retail not only secure our organization’s future but also contribute to the broader goal of sustainability in the business landscape.
Central Group I•CARE Games 2024
The Central Group I•CARE Games 2024 is designed to foster employee engagement and unity through sports competitions and various activities. This event encourages participation from employees across all departments, whether as athletes, supporters, or event organizers, to create an atmosphere filled with joy and camaraderie. By combining sports with inclusive activities, the initiative plays a key role in promoting diversity, equity, and inclusion (DEI) while ensuring equal recognition for everyone in the organization.
Additionally, I•CARE Games 2024 emphasizes environmental sustainability. The event has been certified as a Carbon Neutral Event by the Thailand Greenhouse Gas Management Organization (TGO), demonstrating a strong commitment to balancing carbon emissions. Environmental awareness is highlighted through initiatives such as the introduction of 7 types of waste separation bins and promoting the Zero Waste to Landfill concept. These efforts aim to educate and inspire employees to actively participate in sustainable environmental conservation. Through its combined focus on DEI and sustainability, the I•CARE Games 2024 supports a culture of inclusivity and environmental responsibility within the organization.
Office Relaxation Massage Project
With the intention of promoting employee well-being, Central Retail has initiated an office relaxation massage project conducted by visually impaired individuals. This project aims to provide employees with relaxation during work hours, foster a positive work environment, and promote the health and welfare of employees within the organization. Additionally, this initiative provides visually impaired individuals with career opportunities and a source of income. Central Retail has supported a total of 45 visually impaired individuals, who provide massage services to employees across 19 office locations. The project has received positive feedback from employees and helped them feel more relaxed during work hours.
Performance Summary 2024
Employee Training
Average hours of training for employees
Average cost of training for employees
Human Capital Return on Investment (HCROI)
Employee Training
Employee Level
Executive / Top management
Senior employee and junior management
Middle management
Non-management
Gender
Male
Female
Employees that Receive Regular Individual Performance Appraisal
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