Page 37 - One report AUCT2024_Eng

Part 1
Business Operation and Operating Results
In addition, to prevent unnecessary damage during transportation, the Company requires that the contractors that are hired to transport the vehicles provide insurance that covers damage to vehicles and covers full liability of the contractors and the sub-contractors. Through these measures, the Company is confident that it is able to reduce the risk of loss or damage to the vehicles to a certain extent.
2. Emerging risks from business operations during the next 3 - 5 years
2.1 Risks from utilities system which may impact to the auction process:
Given the fast changing of technology: the use of AUCT Live system, the Company’s online auction service, has been significantly increased by a large amount of customers, so the Company may have risks if there is a problem with main utilities system, such as power outage, electricity brownout, internet’s signal malfunctioning, as it will make the Company lose income during such period and it will also have impact to confidence of the Company’s customers and trade partners in the future. Therefore, the Company has arranged the business continuity plan to minimize risks and impacts from interruption of online auction system, which is the main business operation channel, both at present and in the future.
2.2 ESG Risk
In order to ensure that the corporate governance in line with the sustainable development guidelines, the Company has stipulated the procedures on assessment, management and reduction of ESG risks by taking into consideration environmental, social and corporate governance aspects as follows:
1) On environmental aspects: Control pollution emitted from transportation or vehicle condition inspection.
2) On social aspects: The Company has established the policy on fair treatment of employees, provision of medical check-up and safety in the workplace, design the transparent bidding process. There is a policy to protect the privacy rights of the customers and build good relationships with the local communities.
3) On corporate governance aspects: The Company has stipulated the business ethics manual, the anti-corruption policy and the practices to prevent conflict of interest The Company also has the strict internal control system which conform to the relevant standards or laws with aims to strengthen the management structure and enhance confidence to the stakeholders, as well as build long-term values for the organization.
3. Investment risk imposed on the securities holders
-None-
4. Foreign investment risk
-None-
บริษัท สหการประมูล จากัด (มหาชน)
37
Union Auction Public Company Limited