Materiality

Climate change is a material issue to AWC, creating both physical and transition risks, like changes to national regulations and policy, as well as natural disasters (e.g., flooding or windstorms) that could cause potential damage to AWC properties and services leading to potential business disruption. From CoP 28, there has been a concerted effort to limit the global surface temperature increase to below 1.5 degrees Celsius. Thailand has also committed to achieving carbon neutrality by 2050 and net zero by 2065. A failure to meet global targets can result in increased frequency and intensity of natural disasters, and water shortages, that may inevitably damage AWC’s properties but also lives of society. This would increase costs to AWC in restoring damages and installing new systems that are environmentally and socially friendly.

Risk

To achieve AWC’s commitment to become carbon neutral by 2030, we have implemented the following practices: 1) Building design practices that reduce energy consumption, 2) Increasing the use of renewable and circular energy, 3) Develop project designs that generate environmental value, 4) Increasing and conserving green areas, 5) Opt for eco- friendly construction materials and building management practices in line with green building concepts. To combat climate change, AWC continues to implement energy saving initiatives on heating, ventilation, lighting, and air conditioning systems to reduce energy consumption and carbon emissions. We have implemented a Sustainability Certification Plan to guide management practices as well as adopted green building standards like LEED, WELL, EDGE and FITWEL. To highlight on AWC’s continuous efforts to reduce electricity consumption, its Empire Tower was awarded the “MEA Energy Saving Building” Award which accentuates its energy- saving scheme.

Sustainability-related performance indicators as part of Corporate KPI 5.3 Drive Sustainable for all stakeholders using principle of Better Planet covering Energy consumption and Reduction of GHG Scope 1&2 which is under the responsible of Chief Strategic Marketing and Sustainability Officer (CST) and Chief Project Development Officer (CPD).

Human Capital Development is a material issue to AWC because in a time of external uncertainties, whether economic or physical risks. Considering challenges in attraction and retention of top talent within the industry, the company recognizes importance of nurturing existing skills, promoting continuous learning, and developing leadership within the organization to help its personnel better adapt to forthcoming changes, navigate new business landscapes amidst volatility, uncertainty, and complexity, and ensure business continuity in critical times. AWC recognizes that its employees are the company’s most important assets and are committed to provide opportunities and initiatives for employees to contribute ideas and grow alongside the company. Doing this will support AWCs ability to attract and retain top talent while also mitigating risks in the case of sudden departures of key drivers, ensuring the organization will be able to continue operating and minimize potential revenue loss.

Revenue

AWC has developed a human resource strategy, comprising organization development, talent acquisition, performance management, rewards, learning & development, leadership & succession planning. AWC developed an action plan to achieve their human capital development target as follows: 1) Strengthen succession planning and management to identify and develop successors who are ready to assume key driver roles within one year, utilizing effective tools for recruiting and internal development 2) Develop additional executives and managers through leadership development programs, and reinforcing the AWC leadership DNA across all levels. To enhance overall skill development, AWC facilitates knowledge exchange within and across departments, has policies to support employees in planning and advancing their career path, requires employees to create individual development plans to enhance current roles and prepare for future positions, and offers e-learning programs for self-learning.

Sustainability-related performance indicators as part of Corporate KPI 5.3 Drive Sustainable for all stakeholders using principle of Better People covering key-driver roles have ready-now successors which is under the responsible of Chief People Officer (CPO).

Circular Economy is a material issue to AWC because the rapid growth of businesses and increasingly resource intensive lifestyles have led to a rise in waste production and mismanagement, and depletion and degradation of natural resources, posing risks to human health and ecosystems. AWC realizes the importance of circular economy adaptations to continue providing customers with quality products and services minimizing adverse impacts on the environment and society. AWC generates a substantial amount of waste and material consumption during project construction and development, and food and general waste from hotel operations, requiring effective waste management practices across its operations. Adopting circular economy practices will help AWC to continue to attract visitors, reduce waste disposal costs and overconsumption of natural resources, limit biodiversity loss, and enhance long term quality of life for all stakeholders.

Risk

For resource efficiency and circularity, AWC has committed to Zero Waste to Landfill by 2030. To reach this ambitious target, it is necessary to transform our business model from a linear to circular economy model, where all materials used in business activities must be reused, reduced, renewed, recycled, and redesigned to maximum benefit. The reConcept project refurbishes, upcycles and repurposes old furniture, collectibles and appliances, extending product lifespan. The electronic signature workflow reduces paper usage, and biodiesel project sees used cooking oil converted into clean energy. We also collaborate with Scholars of Sustenance Foundation (food rescue organization) and Ikigai (sustainable food chain management expert) to tackle food waste. AWC leverages circular economy techniques, innovations, technologies, collaborates with partners, and selects durable recyclable materials to reduce consumption and waste sent to landfill.

Sustainability-related performance indicators as part of Corporate KPI 5.3 Drive Sustainable for all stakeholders using principle of Better Planet covering water intensity, reduction of non-hazardous waste and hazardous waste to landfill, from operation and construction phase which is under the responsible of Chief Strategic Marketing and Sustainability Officer (CST), Chief Project Development Officer (CPD), and Chief Corporate Officer (CCO).