Taking a leap onto the first stepping stone, Sooksunt Jiumjaiswanglerg entered Chia Tai Co Ltd as a fresh graduate with hopes of gaining professional experience and broadening his horizons, not knowing he was embarking on a lifetime career move.
"I used to think of staying for three or four months to pick up some experience of running a business to help my family business [in the future], but the organisational culture, which cultivates gratitude, provide rewards to diligent, honest employees, and takes care of them akin to family members, has prompted me to work here and see how the company has grown into a global conglomerate today," Mr Sooksunt, 66, tells the Bangkok Post in an exclusive interview.
Rising through the ranks from a starting monthly salary of 3,000 baht to the highest management position as chief executive for agro-industrial business at Thailand's largest agriculture conglomerate, now known as Charoen Pokphand Foods Plc (CPF), Mr Sooksunt showed dedication and perseverance in the course of 40 years.
He was appointed as co-president of CPF in March 2017 after successfully expanding the company's business in Vietnam, a foreign operating unit where he used his time to boost revenue and overcome challenges for over a decade.
CP Vietnam Corporation reported revenue of US$200 million in 2005, but the figure rose to $2.2 billion 11 years later under his leadership.
"The turning point of my life was in Vietnam," Mr Sooksunt says.
Two mementos in his office acknowledge his time in the country. One is a photo of the 25th anniversary celebration of CP Vietnam Corporation. The other is a small statue of first Vietnamese president Ho Chi Minh, a gift from the Communist Party's secretary, situated beside a sofa in the reception corner.
"Vietnam taught me plenty of new experiences and created changes for me," Mr Sooksunt says. "[My work experience there] helped reset my mindset on subordinates and induced a change in my management style. The ease or difficulty of doing business is about human resource management. Whoever manages their people better will achieve success in running business operations."
BIRD FLU CHALLENGE
H5N1 avian influenza, commonly known as bird flu, was Mr Sooksunt's first challenge in Vietnam, where he realised that his top-down management approach wouldn't work during the virus outbreak, which had spread to many provinces, especially in the northern region.
More than 3 million poultry birds in Vietnam were eliminated or died because of the virus, including more than 10,000 of CP Vietnam's.
Poultry and eggs disappeared from restaurant menus and wet markets amid mounting fears of infection and contamination. Mr Sooksunt was under pressure to restore consumer confidence.
As an attempt at risk management for disease outbreak prevention, CPF established rules and regulations along with training for its employees to minimise risk, according to the company's 2006 annual report. CPF also set up a system to prevent disease outbreaks and an internal control system for monitoring the quality of animal farming.
With the help of modern technology, CPF invested in R&D and reduced its exposure to carriers of various diseases.
Winding the clock back to the first six months, Mr Sooksunt's main objective in Vietnam was to drive fast-paced business growth. But by his own admission his management style was rather uncompromising and temperamental, resulting in enormous pressure on the staff he worked with.
The assignments he had given did not make much progress. When asked about the results, his subordinates would merely respond that they were "still working on it" without detailing work progress or results.
"I rarely received cooperation from local staff," Mr Sooksunt says. "I made assignments based solely on my own ideas without listening to local staff opinions. It was the moment that I had a realisation, through meditation, and started reviewing myself and pertaining concerns. Local staff have a better understanding of local traditions, geology and consumer behaviour than a Thai person."
After a lot of contemplation, he decided to change his management style after a few months. Adopting more patience, listening actively and allowing local staff to implement their own ideas with his support, Mr Sooksunt's assignments began to bear fruit.
In his own words, the mission was to provide food that met safety standards and to lend support whenever local staff sought solace. Thai staff in the beginning numbered about 100, while local staff totalled 2,000-3,000.
"Vietnamese people are smart," Mr Sooksunt says. "They can implement policies and guidelines for their business units, and they always go beyond our expectations in work performance."
KITCHEN OF THE WORLD
Founded in 1978, CPF has grown from producing and distributing animal feed in southern Thailand to a global agro-industrial and food conglomerate in the span of 41 years.
"We initially grew from feed, expanded into farms and will progress [further] on food," Mr Sooksunt says. "Our mission is to become the Kitchen of the World for sustainability and excellence, with a strong foundation. The Kitchen of the World concept does not mean that we will produce food for everyone in the world, but rather produce processed food with good hygiene and safety standards."
Based on the current structure, CPF's food business contributes 17% of total sales revenue, while the feed and farm businesses respectively make up 42% and 41%.
The performance of the company's farm business depends on various factors. Problems like contagious diseases, meat price fluctuations and production oversupply can take a bite out of operating results.
On the other hand, branded products are stable in terms of price.
"CPF wants to develop its food business further to enhance investor confidence, as there is still a 41% risk [associated with the farm business] even though such risk is not substantial because losses are incurred for a short period," Mr Sooksunt says.
For the next five years, the company aims to increase revenue from international operations to 75% of the total from the existing 67%. Differences in culture and consumer behaviour are identified as the main challenges for CPF as it advances its food business worldwide.
To accomplish its objectives, the company set up the CPF Food Research and Development Center on 1.6 hectares in Wang Noi district, Ayutthaya province.
Health-conscious individuals and the elderly are key demographics whose needs the company is striving to meet, Mr Sooksunt says.
The company's business operations span 18 countries, including China, Russia, the US and the Philippines.
CPF's total revenue in this year's first quarter was 125.3 billion baht, up 4% year-on-year, mainly due to increased sales from international operations. Revenue from international operations reached 83.4 billion baht, making up 67% of the total, while domestic operations generated 41.88 billion baht or 33%.
First-quarter net profit was 4.5 billion baht, up 40% year-on-year, thanks to operating results for the swine business in Thailand, Vietnam and Cambodia, along with production efficiency.
PEOPLE MANAGEMENT
Having worked at a global food and agriculture conglomerate and weathered many challenges for decades, Mr Sooksunt attributes his success to the emphasis on people management and fair treatment of subordinates.
"I am a leader with 'feelings' for the subordinates," he says. "They will work for us if we think they are important. People management is a key factor to determine [the results] of a business because people manage jobs and jobs manage money."
Giving advice without uttering a set of commands is an ideal approach for managing people's emotions, he says, because people will naturally feel defensive when they are being ordered to do something.
"Before they [subordinates] leave my office, I will always thank them for helping with a project or completing a task," Mr Sooksunt says. "I also tell them that if anything happens, the responsibility is on me."
When the executive board convenes or at any meeting, a fault committed by subordinates will be attributed to Mr Sooksunt because he was the one who ordered the job.
"This makes my subordinates feel safe when working with me," he says. "They can work harder and better because the blame will not be placed on them. People management is an art and a key factor behind the success of executives."
Having reached the zenith of his career path, Mr Sooksunt admits that he never expected to sit in this position, but rather had clear targets in life for specific periods.
"I consider this [an executive position] as a lifetime profit from diligence and honesty to the organisation," he says. "I have a good family that gives strong support, allowing me to devote my time to yielding the best results of work."