“An even balance.”
CPC Corporation achieves profit, environmental protection and social care.
CPC Corporation, Taiwan was formally established in Shanghai on 1 June 1946. After the registrar of companies’ relocation to Taiwan in 1949, its headquarters was set up in Kaohsiung.
CPC’s scope of business is dealing with all aspects of oil and natural gas throughout Taiwan. This includes exploration and production, procurement and imports, refining, storage and transportation, marketing and sales, and the production of petrochemical raw materials, making the oil and gas pioneer an integral component of the Taiwanese petrochemicals industry.
The 70-year-old company has business facilities distributed throughout Taiwan. In 1999, the Taiwanese government liberalized the domestic oil market, thus giving rise to fierce competition from the domestic plastic industry leaders and international gas station brands. However, 20 years after the liberation, CPC still maintains its status as a market-leading brand, with an 80 percent share in the domestic market.
The oil and gas giant strives to find an equilibrium between being a profitable corporation and prioritizing environmental protection and social care. CPC not only aims to be a comprehensive international energy group, but also aims to be an international enterprise that sets a great example of fulfilling corporate social responsibilities. As such the corporation has made numerous adjustments in accordance with international trends and government policies. The market leader promotes energy conservation and waste reduction, emphasizes pollution prevention and source control, and abides by all rules and regulations governing the industry. Moreover, in response to the Taiwanese government’s electric vehicles promotion plan, the company actively establishes charging/exchange stations, invests in green energy battery materials, and actively develops renewable energy such as geothermal and solar energy.
CPC now operates two refineries in Taiwan with a combined daily refining capacity of 600,000 barrels. To ensure stability, CPC works to both maximize procurement on long-term contracts, and to diversify its sources of crude oil, which is imported from the Middle East, United States of America, South-East Asia, Africa and other sources such as Azerbaijan and Brazil. Refined products are primarily exported to Korea, Indonesia, the Philippines, Pakistan, Singapore, the UAE, Papua New Guinea and Australia, and are increasing year by year.
CPC also operates eight mining fields in six countries including three located in the United States, Africa and Australia. Under the New Southbound Policy (NSP) promulgated by Taiwan’s present government since 2016, CPC is active in pursuing opportunities for both trade and investment in ASEAN member countries.
CPC has had the highest net profit among Taiwanese state-owned enterprises for three consecutive years (2017-2019) and is ranked 394 in the 2019 Fortune Global 500. Company revenue, profitability, total number of employees, innovation capabilities, market brand influence, and compliance with regulations, are all aspects which go into making CPC an industry champion.
When it comes to good governance, effective corporate governance and sustainable operations are the cornerstones of CPC’s sustainable development, and the requisite for corporate social responsibility. CPC Taiwan complies with laws, perfects its corporate governance structure, honestly discloses and enhances information transparency and financial reports, and audit fees. Relevant information is available on its official website based on its core value of integrity and transparency.
CPC currently employs a total of 15,836 people. The company endeavours to bring out the potential of its employees through long-term training and career development. In addition, the company strives to improve employee welfare and work incentives by offering life-long learning subsidies, maternity and paternity leave, paid annual vacation, payment for overtime and a secure working environment. The human capital turnaround of CPC is low because it believes that happy people make a company remarkable. The petrochemical giant makes staff retention very successful by implementing talent development. In its recruitment and selection process, CPC takes not only professional qualifications, but also personal characteristics and achievements into consideration.
CPC established the e-Petroleum Institute and the New e-Petroleum Institute online platform to integrate its training systems. Meanwhile, the promotion of talent focuses on the consideration of professionalism and capabilities, and creating a happy workplace with the right person in the right position. CPC encourages employees to participate in national skills qualifications. It helps them obtain required professional certifications in fields such as occupational safety and environmental protection. In line with the needs arising from the company’s transformation process, a second-skill training program has been introduced. This second skill program is implemented to refine and strengthen the expertise of employees in the organization.
Employees are the most precious asset of CPC. They act as a symbol of organizational success. The corporation values talents and cares for employees, striving to provide a warm working environment with an inspiring human development system, a sound and worry-free welfare system, and professional knowledge training programs.
CPC’s biggest challenge for the next five years is climate change and the constant need for reorganization in the energy and petrochemicals industries. CPC actively embraces these challenges and aims to successfully develop new business models and create new business opportunities in the transformation process.
The organization will constantly reinforce its core businesses, speed up the development and production process in its existing overseas oil and gas fields; and further, look to increase its participation in joint-ventures for investment-worthy projects overseas. CPC will also continue to seek involvement in energy-related projects arising from the national New Southbound Policy. In terms of refining its business operations, CPC will also work at raising the higher value-added quotient in its products, as well as put into practice the protocols of the circular economy. In line with the Taiwanese policy for transitioning to a new national energy mix by 2025, it will play its part in boosting the percentage of natural gas used in electricity generation to the required 50 percent.
The oil and gas powerhouse will carry forward its green energy research and development programs, including the installation of distributed photovoltaic systems and developing geothermal source infrastructure. In developing new fields of business, it will build on the foundation of its existing core technologies and work with other companies, both domestic and international, to expand its capability into innovative energy technologies.
“CPC endeavours to bring out the potential of its employees through long-term training and career development via improving employee welfare and work incentives”
Shanggari Balakrishnan, Chief Executive Officer, MORS Group