Vanachai invents wood-based panels to replace natural wood.
Wood was building material many Thai used because it was beautiful, durable and valuable. However, forest has been immensely decreasing. Wood-based panels were another alternative. Vanachai was the first wood industry company in Thailand who had predicted Thai forest’s situation and produced wood-based panels to substitute.
Vanachai started their business in 1943 as a sawmill processing hardwood. Later on, they opened plywood mill using modern machine to support Packing industry, construction and design projects. It didn't take long period to success so they extended their business. In 1989, Vanachai became the first company in Thailand manufacturing wood-based panels and the first one in the world manufacturing particleboard from rubber tree scraps. They then built MDF Board plant that made the company become the first wood industry company in Thailand who could manufacture both particleboard and MDF Board wood-based panels. The resin plant was built afterward to reduce importing it from abroad. Vanachai eventually became integrates business and entered the stock market under the name Vanachai Group Public Company Limited or VNG in 1995. Now, Vanachai is operated by the third generation.
Introduced product to more customer through T Mark publicized channels.
Victory of saving forest.
Saving forest was Vanachai’s principle. Therefore, the company seek for alternative wood material. They used innovations to invent new product like particleboard to reduce real wood usage. This proved that Vanachai could save environment and forest while operated their wood business at the same time by manufacturing wood-based panels.
Listed in stock market not only showed the huge income, but also meant that the company had the most efficient organization management. Vanachai applied good governance when managing tasks and employees in every sections. All employees were proud to work, had good quality of life and were happy to work in the organization because they received good care, benefit, fair treatment, bonding activities and consistent trainings.
Vanachai also contributed to the society through many activities such as giving money or medical equipment to the hospital located in the same province as Vanachai group’s plants and hosting useful activities for communities around.
Vanachai covers all materials in a house.
Vanachai at the moment earns 70% of income from exporting and 30% from domestic sales. Their current direction is to develop new products that help reduce set up cost, for example, door with frame, which requires less set up time and has lower price. Vanachai plans to produce more of these kinds of product to attract more customers and makes them use the products in construction or design projects for all area in the houses.
T Mark is another publicized channel for Vanachai.
Although Vanachai has extensive experience and quality products, they are some customers who still have doubts and don’t know Vanachai well enough. Thailand Trust Mark or T Mark they have received brings more customers. T Mark helps publicize the company and brings them to domestic and international trade fairs. It obviously creates brand’s awareness and trust.
If one compares Vanachai to a human being, he must be a very old but wise man who continuously develops himself. His only rule is to reduce usage of real wood to save the vanishing forest while supplying customers with the best quality products.