Thai Const Group | APEA - Asia Pacific Enterprise Awards

OUTSTANDING CATEGORY

Dr. Prasit Kanchanasakdichai
Group Chairman & CEO


Thai Const Group
www.thaiconst.com


Dr. Prasit Kanchanasakdichai is currently the Group Chairman and CEO of Thai Const & Building Manufacturing PCL. The 55-year-old entrepreneur has an education background consisting of a Degree in Mechanical engineering from Kasetsart University, an MBA in Marketing from the National Institute of Development and Administration and DBA in Finance from Boston University.

In 2000, Dr. Prasit successfully took over a Japanese joint venture company in Thailand, and changed its name to Thai Const & Building Manufacturing PCL; one that manufactured and exported scaffolding to Japan. During the financial crisis, his company accrued considerable debt in foreign currency and also suffered a substantial decrease in sales. Dr. Prasit was however, able to turn the company around within a brief period following the deal. He bought the company loan at a steep discount from the foreign bank, and switched business strategies from selling to renting, to account for the sheer quantity of defective inventory that had been kept in the company warehouse for such extended periods of time. This was the first time such a strategy had been implemented in the Thai scaffolding market, and it turned out to be one that was well-suited to its environment. Most general contractors had low liquidity, but retained bank guarantee credit facilities, which guaranteed payment from rental fees, as well as from loss and damage. These customers were thus not required to spend excessive amounts of money on scaffolding, and could focus their liquidity elsewhere. The company experienced a sharp increase in revenue following the implementation of the rental strategy, and the entire warehouse inventory was able to be used.

The entrepreneur also came to discover that Japan was in a very similar situation to Thailand, in that there was an excess of used inventory, much of which were booked at 1 yen, due to high warehouse costs. Dr. Prasit brought much of the inventory from Japan to be offered for rental in the Thai market, and was recognised both as the primary importer of used scaffolding from Japan and, by Japanese companies, as an individual that helped resolve the problem of overstock inventory in their country.

In 2002, Dr. Prasit was offered the neighboring factory to his existing one, by a Japanese company in Thailand. To reduce business risk, he decided to apply a diversification strategy, which involved running a second business - one that would allow him to pool facilities and resources with his original company. Thus he founded CM Manufacturing Company Limited, which focused on steel pallets and racks for the Automobile sectors, which were booming due to the support of new government policies. During this time, many international automobile companies had also moved to Thailand.

In 2007, Dr. Prasit’s overseas group became qualified to apply as a listed company in Japan. A few large funds approached to make offers. Considering the instability of the global economy, and the fierce competition in Japan, he decided to sell the company to a Japanese bank. His fears were realised when the Lehman Shock occurred six months later.

Most of the companies under Thai Const Group came from both local and overseas mergers and acquisitions. Dr. Prasit was one who was able to quickly turn these companies around from states of near bankruptcy to those of great financial health and stability. The most important assets to him are the members of his staff. The vitality of the companies is founded on the cooperation and dedication of his staff. As such he acts as a guiding hand and moral compass for both his partners and his employees, combining his three core values of wisdom, knowledge and ethics to solve any obstacles faced.

As an experienced entrepreneur who has built a business empire from scratch, Dr. Prasit believes that his formula for success was a balanced mixture of wisdom, knowledge and ethics. Wisdom is the product of kindness and a peaceful mind, while the knowledge came from an empty cup willing to listen and learn everything thoroughly. And the most important factor is his business ethics, based on achieving a win-win situation with all involved parties are the key to gain trust from potential and current business partners. Following these philosophies has provided a continuous flow of opportunities which have enabled him to successfully expand his business empire. Furthermore, his passion in arts where he gained a creative mind, has set him free from any constraints or boundaries in business ideas.

Dr. Prasit hopes Thai Const Group will maintain steady growth by implementing the right strategies to grasp upcoming opportunities. For instance, during an economic crisis or slowdown, he will monitor for possible merger and acquisition deals, and during an economic upturn, he will focus on expanding his existing business.

OUTSTANDING CATEGORY

Dr. Prasit Kanchanasakdichai
Group Chairman & CEO

Dr. Prasit Kanchanasakdichai is currently the Group Chairman and CEO of Thai Const & Building Manufacturing PCL. The 55-year-old entrepreneur has an education background consisting of a Degree in Mechanical engineering from Kasetsart University, an MBA in Marketing from the National Institute of Development and Administration and DBA in Finance from Boston University.

In 2000, Dr. Prasit successfully took over a Japanese joint venture company in Thailand, and changed its name to Thai Const & Building Manufacturing PCL; one that manufactured and exported scaffolding to Japan. During the financial crisis, his company accrued considerable debt in foreign currency and also suffered a substantial decrease in sales. Dr. Prasit was however, able to turn the company around within a brief period following the deal. He bought the company loan at a steep discount from the foreign bank, and switched business strategies from selling to renting, to account for the sheer quantity of defective inventory that had been kept in the company warehouse for such extended periods of time. This was the first time such a strategy had been implemented in the Thai scaffolding market, and it turned out to be one that was well-suited to its environment. Most general contractors had low liquidity, but retained bank guarantee credit facilities, which guaranteed payment from rental fees, as well as from loss and damage. These customers were thus not required to spend excessive amounts of money on scaffolding, and could focus their liquidity elsewhere. The company experienced a sharp increase in revenue following the implementation of the rental strategy, and the entire warehouse inventory was able to be used.

The entrepreneur also came to discover that Japan was in a very similar situation to Thailand, in that there was an excess of used inventory, much of which were booked at 1 yen, due to high warehouse costs. Dr. Prasit brought much of the inventory from Japan to be offered for rental in the Thai market, and was recognised both as the primary importer of used scaffolding from Japan and, by Japanese companies, as an individual that helped resolve the problem of overstock inventory in their country.

In 2002, Dr. Prasit was offered the neighboring factory to his existing one, by a Japanese company in Thailand. To reduce business risk, he decided to apply a diversification strategy, which involved running a second business - one that would allow him to pool facilities and resources with his original company. Thus he founded CM Manufacturing Company Limited, which focused on steel pallets and racks for the Automobile sectors, which were booming due to the support of new government policies. During this time, many international automobile companies had also moved to Thailand.

In 2007, Dr. Prasit’s overseas group became qualified to apply as a listed company in Japan. A few large funds approached to make offers. Considering the instability of the global economy, and the fierce competition in Japan, he decided to sell the company to a Japanese bank. His fears were realised when the Lehman Shock occurred six months later.

Most of the companies under Thai Const Group came from both local and overseas mergers and acquisitions. Dr. Prasit was one who was able to quickly turn these companies around from states of near bankruptcy to those of great financial health and stability. The most important assets to him are the members of his staff. The vitality of the companies is founded on the cooperation and dedication of his staff. As such he acts as a guiding hand and moral compass for both his partners and his employees, combining his three core values of wisdom, knowledge and ethics to solve any obstacles faced.

As an experienced entrepreneur who has built a business empire from scratch, Dr. Prasit believes that his formula for success was a balanced mixture of wisdom, knowledge and ethics. Wisdom is the product of kindness and a peaceful mind, while the knowledge came from an empty cup willing to listen and learn everything thoroughly. And the most important factor is his business ethics, based on achieving a win-win situation with all involved parties are the key to gain trust from potential and current business partners. Following these philosophies has provided a continuous flow of opportunities which have enabled him to successfully expand his business empire. Furthermore, his passion in arts where he gained a creative mind, has set him free from any constraints or boundaries in business ideas.

Dr. Prasit hopes Thai Const Group will maintain steady growth by implementing the right strategies to grasp upcoming opportunities. For instance, during an economic crisis or slowdown, he will monitor for possible merger and acquisition deals, and during an economic upturn, he will focus on expanding his existing business.


Thai Const Group
www.thaiconst.com