United Nations Public Service Awards Case Studies

The establishment of the One Start One Stop Investment Center (OSOS) was designed to make the process of opening a business easier and provide a central source of information regarding business operations.

Prior to the establishment of the OSOS, the process of opening a business was time consuming, as new business operators (both Thai and foreign) were required to visit several Thai government offices to register their company, apply for BOI tax privileges (Board of Investment, Ministry of Industry ), apply for permission for majority foreign ownership of a business under the Foreign Business Act (Department of Business Development, Ministry of Commerce), apply for corporate tax or VAT registration (Revenue Department, Ministry of Finance ), apply for social security number (Social Security Office), complete an Environmental Impact Assessment Report, which is necessary for large building projects ( Office of the Natural Resource and Environment Planning and Policy, Ministry of Natural Resources and Environment )etc.

With the responsible government agencies spread throughout the Bangkok Metropolitan Area, the process typically took several days.

In addition, in meetings with investors, including foreign chambers of commerce, the government became aware when changes were made to the country’s regulatory framework, investors found it difficult to quickly obtain the clarification that would enable them to comply with the changes, especially when the company’s business was under the regulations of more than one government agency.

What is the initiative about? (the solution)
To resolve the issues raised in consultative meetings with chambers of commerce and individual investors and to facilitate the flow of information to investors, the government assigned the Board of Investment to implement a One Start One Stop Investment Center (OSOS) that would provide comprehensive information and support for investors through a single, centralized office. The OSOS has staff from almost two dozen agencies available to help investors with various applications to make sure investors understand what is needed to register a company, obtain investment promotion privileges, obtain a foreign business license, complete an environmental impact assessment, request permission to use land for industrial operations, obtain utilities, etc. In addition to assisting investors with procedural matters, staff from these agencies is available to consult with investors on a range of topics. The matters can be addressed by the various experts at the OSOS. Furthermore, to maximize convenience for investors, the OSOS offices are located in the Central Business District, in a building that offers easy access to Bangkok’s subway system. To determine if the solution met the needs of the investment community, the OSOS has conducted a Customer Satisfaction Survey. The survey, which was conducted over the OSOS’s first eight months of operation, concluded that investors are satisfied with the services of the OSOS. In particular, investors believe that the OSOS saves them time and expenses and provides comprehensive information that enable companies to start their businesses without delay. At the same time, the survey found that the officers assigned to the OSOS are able to provide services more efficiently and effectively, as having so many agencies in the same facility enables them to ‘cut through the red tape’ and better serve investors. This is borne out by the survey results, which show a 97% satisfaction rating with the knowledge of the officers assigned to the OSOS, the information they provide, and their ability to satisfactorily answer investor questions. The survey also recorded a score of 99% for the hospitality and manner in which OSOS staff interacted with investors, and 100% satisfaction for the offices’ facilities, location and speed of service. The largest number of visitors to the OSOS have been from Japan (Thailand’s most important investor nation), making them the largest beneficiary of the decision to establish the OSOS. They were followed by investors from India, China, and the US.

Who proposed the solution, who implemented it and who were the stakeholders?
When the government of Abhisit Vejjajiva took office in January 2009, one of the urgent tasks it set was to enhance investor confidence. To accomplish this, his administration made it a priority to address issues concerning investors. One of the issues raised by investors in a series of consultative meetings was how to facilitate investors in dealing with multiple agencies spread all across Bangkok. He assigned a Deputy Prime Minister to establish a team comprising key personnel from economic and investment-related agencies to develop the structure for the OSOS, including the range of services that it should provide. Once that was determined, the Prime Minister issued an announcement authorizing the establishment of the OSOS and the Board of Investment was assigned to implement the facility. Through unprecedented cooperation across 10 ministries, within a matter of months, the OSOS was able to open, with a total of 21 agencies represented. Ministry of Commerce 1. Department of Business Development Ministry of Finance 2. Revenue Department 3. Department of Customs 4. Excise Department Ministry of Labor 5. Department of Labor Protection and Welfare 6. Social Security office Ministry of Industry 7. Office of the Board of Investment 8. Department of Industrial Works 9. Department of Primary Industries and Mines 10. Industrial Estate Authority of Thailand Ministry of Natural Resources and Envronment 11. Office of Natural Resources and Environmental Policy and Planning Ministry of Energy 12. Department of Energy Business 13. Department of Mineral Fuels Ministry of Public Health 14. Food and Drug Administration Ministry of Transport 15. Department of Land Transport 16. Office of Tourism Development Ministry of Interior 17. Department of Public Works and Town & Country Planning 18. Department of Lands 19. Provincial Electricity Authority 20. Metropolitan Electricity Authority 21. Provincial Waterworks Authority Since it opened, several agencies have expanded the range of services offered to better meet the needs of businessmen and investors, both Thai and foreign. For example, the Department of Business Registration, Revenue Department and Social Security Office have developed a single form to reduce the paperwork and number of steps required for entrepreneurs to start a business. The IEAT, which originally provided only consulting services, has added the processing of applications to allow foreign skilled workers and their families into the Kingdom. Other agencies are considering adding new services as well. In addition, to make the office even more convenient, the Board of Investment moved the One Stop Service Center for Visas and Work Permits to a space on the same floor as the OSOS offices. The One Stop Center combines the services of the Immigration Bureau, the Department of Employment and the Board of Investment to issue work permits and long-term visas for foreign staff of eligible companies in three hours or less. Going forward, the OSOS is committed to working with investors, both foreign and Thai, to further develop the range of services offered through the OSOS, as the government understands that to remain attractive in the increasingly competitive investment landscape, it is necessary to provide investors with services, before, during and after an application is submitted. The establishment and continued development of the OSOS is the latest step that Thailand is taking to create an enabling environment for investors.

Describe how and when the initiative was implemented by answering these questions
a. What were the strategies used to implement the initiative? In no more than 500 words, provide a summary of the main objectives and strategies of the initiative, how they were established and by whom.
The strategy was fairly simple. Having heard directly from foreign and domestic investors about the logistical and bureaucratic difficulties associated with starting and operating a business, the Prime Minister directed a Deputy Prime Minister to find a solution that would improve the quality and timeliness of service provided to investors, thereby enhancing Thailand’s reputation in the international investment community. A working group comprising key personnel from investment-related agencies was formed and tasked with determining how to resolve the issue of investors having to deal with numerous agencies spread all across Bangkok. The solution was elegant in its simplicity – bring all responsible agencies under one roof! Easier said than done, to be sure, but with the backing and support from the top of the Thai government, the OSOS came into existence in a matter of months, thanks to the support of 21 agencies from 10 ministries. And, even for those agencies that were unable to provide staff to work out of the OSOS, the OSOS was able to enlist their cooperation to develop a specialist network so that when a request came up that could not be addressed at OSOS, the team at OSOS knew who to contact and was able to organize a meeting to resolve the issue facing the investor.

b. What were the key development and implementation steps and the chronology? No more than 500 words
Following consultative meetings between the foreign investment community and the Board of Investment and the Prime Minister, the government formed a working group, headed by a deputy Prime Minister to determine for to best address investors’ concerns regarding the logistical difficulty of establishing companies in Thailand. The Board of Investment, as the secretariat of the working group, prepared and proposed a business model for OSOS. Once the working group, which comprised key personnel from relevant investor-related agencies, reached a consensus on the range of services to be provided and the need for the facility to be convenient for investors, the Prime Minister issued an announcement authorizing the establishment of the OSOS. The Board of Investment was tasked with coordinating the establishment of the OSOS, both in terms fo the physical structure and in terms of recruiting agencies to assign staff to work at the OSOS. Space was rented in a new office building in Bangkok’s Central Business District, a modern office environment was created, and multi-lingual (Thai, English, Japanese & Chinese) support staff (receptionists, operators, liaison officers, etc.) were hired and trained. The BOI then organized meetings with staff from the 21 supporting agencies to work out the logistical flow to ensure investors would be handled efficiently and effectively.

c. What were the main obstacles encountered? How were they overcome? No more than 500 words
At the outset, the scope of services offered was relatively basic. Its purpose is to assist new investors entering Thailand and also advise existing investors, whether Thai or foreign, on a variety of matters. However, as the OSOS became popular, there was demand for additional services, both at the start-up stage and in terms of consultation. So, the challenge OSOS faces is to determine which services we can add and how to deal with investor issues with agencies not represented at OSOS. As we looked into this matter, there were some services that could be added within the original framework of OSOS, whereas others would require additional staffing by the agencies participating at OSOS, and in some cases they have not yet been able to supply the additional personnel. However, what we have done is to build a network of specialists at these agencies so that we can reach out to them when an investor has a question that is specific to their area of expertise, so that we can arrange consultations for issues that are not under the original scope of OSOS. We are, thus, able to arrange either for the agency to send someone to OSOS to meet with the investor or to set an appointment with appropriate personnel at the responsible agency

d. What resources were used for the initiative and what were its key benefits? In no more than 500 words, specify what were the financial, technical and human resources’ costs associated with this initiative. Describe how resources were mobilized
OSOS was established totally from the government budget. The Board of Investment, as the OSOS coordinator, was responsible for the administering the budget for the physical infrastructure of the facility, including the ‘fitting out’ of the space, as well as for hiring and training support staff (receptionists, operators, account executives, etc.). Furthermore, they have assigned key personnel not only to meet with investors, but to oversee day-to-day operations and interact with other government agency representatives. The 21 agencies from 10 ministries each bore the costs of their own personnel, as well as whatever collateral material (e.g. CDs, brochures, etc.) they deemed appropriate. Looking to the future, the costs for OSOS will continue to be mainly borne by the Board of Investment, and supported by individual participating agencies. In addition to their existing budget, agencies are permitted to request an additional allocation from the budget to support their efforts at OSOS, as OSOS is seen as enhancing Thailand’s image as a good place to do business.

Is the initiative sustainable and transferable?
The establishment of the OSOS has proven to be a major success for Thailand in dealing with investors. It is a new service channel that enables Thailand to better serve both new and existing investors, thereby enhancing investor perception and overall ease of doing business. Accordingly, we firmly believe that not only is OSOS sustainable, in the sense of being here for the long haul, we expect that additional agencies will participate in the initiative in years to come to expand the range of services offered. In addition, we are looking at the possibility of utilizing new technologies to help us improve the OSOS service even more. That having been said, no other agencies in Thailand will be like OSOS. OSOS offers true one-stop service through collaboration among numerous government agencies to facilitate support for investors in Thailand. The work model is ideal for supporting business start-ups, as new businesses have involvement with numerous agencies. The OSOS model serves to de-bottleneck procedural delays that can hamper business start-up and operation.

What are the impact of your initiative and the lessons learned?
First, the establishment of OSOS demonstrates the importance of listening to your clients. The Board of Investment has long maintained close relationships with investors, both at home and abroad, and has conducted consultations with foreign chambers of commerce to try and find solutions to obstacles to investment. In a series of meetings, foreign and Thai investors pointed out that to remain competitive in the increasingly-global investment marketplace that characterizes the 21st century, Thailand needed to find ways to cut through red tape to be more responsive to investor needs. The Prime Minister understood the impact on investor confidence if the situation did not improve and made a firm commitment to the investment community to find ways to facilitate the processing of applications and the flow of information to investors. The OSOS is an important step in that effort and Thailand is gratified that the OSOS has received such a positive response from both foreign and local investors. The second lesson learned is that with a clear vision, with a firm commitment from the top, anything can be accomplished. When the idea for an OSOS was broached, there were many skeptics, both in government and in the private sector. Many pundits doubted it would be able to get the support and cooperation of all the regulatory agencies. Yet, one year on, it is clear that the agencies have not only supported the initiative, they are finding that it helps them become more efficient and more effective, while at the same time, enhancing the country’s image on the international stage.


Institution Name:		Thailand Board Of Investment
Institution Type:		Government Agency
Contact Person:		Duangjai Asawachintachit
Title:		Deputy Secretary General
Telephone/ Fax:		+662 936 2559
Institution's / Project's Website:		+662 553 8222
E-mail:		osos@boi.go.th
Address:		555 Vipavadee-Rangsit Road
Postal Code:		10900
City:		Chatuchak,
State/Province:		Bangkok
Country:		Thailand

The Problem

Solution and Key Benefits

Actors and Stakeholders

(a) Strategies

(b) Implementation

(c) Overcoming Obstacles

(d) Use of Resources

Sustainability and Transferability

Lessons Learned

Contact Information