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Procurement and Supply Chain profession is having its most opportunistic and challenging timesin the last couple of years with technology disruption and innovation, associated with slowingglobal economic growth, continuous trade disputes, climate change, political and socialinstability. In 2019 heading towards 2020, the “Future Developments of Procurement”continues its focus on digital strategy, technological & AI applications; new talent skills; riskmanagement on unexpected economic, social and political environments; sustainable operation;supplier collaboration; and change management engaging external & internal stakeholders.Procurement practitioners who can capitalize on these areas will bring both operational andfinancial values to the business.

CIPSHK 2019 activities were planned around these areas. We had good turnup in May’s Inno-Visit to the Hong Kong Science & Technology Park. The CLP Innovation Hub, Data Studio andUnmanned Store featured smart home monitoring, smart building and energy management.Our Corporate Relationship Officer Ms. Winnie Au participated as panel member in the SAPChief Executive Roundtable in August. The event attracted attendance from over 50 CPOs, CFOsand senior executive across the industries. The Roundtable explored how procurement candrive financial values and operational efficiency while managing risks. This year, CIPSHKcontinued our collaboration with ICAC. “Innovation” was first time discussed in the CIPS ICACworkshop. Around 60 participants joined the September workshop with “Embracing Innovationin Procurement” being the theme. Ms. Eileen Lau, Chief Corruption Prevention Officer of ICACshared different mitigation measures in addressing risks in Pro-Innovation procurement andrealized benefits of digital procurement process in preventing corruption practices. CIPSHKcontinues to support Green Council in sustainable procurement and the 10th Hong Kong GreenAwards.

This year our “Talk to CPO Program” led by our Professional Development Officer Ms. Carrie Lauinterviewed Mr. Arthur Wong, General Manager (Group Commercial) of Hong Kong Electric andMs. Catherine Yip, Manager-In-Charge (Procurement & Supplies) of Hong Kong Baptist Hospital.Arthur shared with us the category strategy on fuel procurement and talent management ofHong Kong Electric. Catherine explained the process reengineering of the hospital to improveefficiency, compliance and risk management. She also shared the supplier relationshipmanagement and talent development of the organization.

Talent development is critical to future development of procurement as we move to an era ofdigital technology and sustainable operation. Number of talks were conducted sharingprocurement practices in different industries and business with students and teachers incolleges and universities.

CIPS HK branch is a voluntary organization run by a group of passionate volunteers ofprocurement professionals in Hong Kong. We aim to promote the profession, uplift theprocurement standards and nurture young professionals. I am sending here my gratitude to allour outstanding volunteers, executive committee members and CIPSY who put dedicated effortsand time championing different activities during the year. I would like to encourage andwelcome more volunteers to join us on our journey.

Ms. Susan Siu – ChairChartered Institute of Procurement & Supply (CIPS Hong Kong Branch)

Who’s Who at CIPS 2018-2019

(Hong Kong Branch)

Chair: Ms. Susan SiuVice Chair: Mr. John BurchettSecretary: Ms. Grace Tsang

Career Development Committee:Ms. Lily Heo (Chairlady)Ms. Grace Wong

Membership Committee:Mr. Raymond Goh (Chairman)

Professional Development Committee:Ms. Carrie Lau (Chairlady)Mr. Barry Wong, Mr. WL Chiang, Ms. May Yip

Corporate Relationship Committee:Ms. Winnie Au (Chairlady)Mr. Mike Richards

Social Media Committee:Ms. Cheris Tsang (Chairlady)Mr. Raymond Lee

CIPS Youth :Ms. Nicola Or (Team Lead)Mr. Andrew Lo, Mr. Anson Chow, Mr. Arthur Li, Ms. Candice Nam,Ms. Cindy Wong, Mr. Eric Law, Mr. Eric Lo, Mr. Michael Chow,Mr. Rico Lau, Ms. Zoe Lee

Contact: Ms. Grace Tsang – SecretaryTel.: 2708 5339 Fax: 2957 5730

Email: hong.kong@cipsbranch.orgFacebook: www.facebook.com/hkcips

CIPS Year 2019

2017 Newsletter2019 NewsletterHong Kong Branch

>> CLP Innovation Hub

To know more about Smart Home Monitoring, Smart Building Deployment and different Energy Management Apps.

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Events…

Data Studio- This is a new data-driven innovation center with a

mission to encourage and stimulate the development

of solutions to generate economic and social value

from open data and big data.

Unmanned Store- To try on the unmanned shopping experience and

see how goods are tracked by use of RFID.

[Inno-Visit Hong Kong Science & Technology Park] on 10th May 2019Reaching Out to New Technologies & Innovations

[SAP Chief Executive Roundtable] on 29th Aug 2019>> Topic : Preparing for the Unexpected by the Workforce and Procurement Excellence

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Events…

Ms. Winnie Au, Corporate Relationship Officer of

CIPS Hong Kong Branch was invited as one the

guests in panel discussion to share knowledge,

insights and experiences in procurement practices.

The event aimed to explore how procurement could drive savings and efficiency whilst reducing risk.Over 50 CPOs, CFOs and senior executives from leading global corporations attended.

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Events…

Ms. Eileen Lau, Chief Corruption Prevention

Officer of ICAC (middle) joined CIPS HK Branch

Officers (from left) Ms. Grace Tsang, Ms. Lily Heo,

Ms. Winnie Au and Ms. Carrie Lau at the event.

[ICAC Workshop on 25th Sep 2019]>> Theme: Embracing Innovation in Procurement

Over 50 procurement professionals together with ICAC jointly explored mitigation measures inaddressing risks in Pro-innovation procurement and the benefits of computerising procurementprocess from the corruption prevention perspective.

“TALK TO CPO” program In order to understand the key challenges of the Procurement

Leaders in Hong Kong, especially in people development, our Professional Development Committeemembers visited many procurement heads in different organizations to discuss and share experiencesand insights. Below are some highlights.

Managing huge dollar expenditure to provide reliable and quality products and services under

justifiable cost is one of the major responsibilities. Mr. Arthur Wong, General Manager (Group

Commercial), HK Electric, sees that fuel procurement is very challenging and people

management is utmost crucial. His team is working on corporate sustainability target to have

coal, the current major fuel, largely replaced by natural gas by 2023 in support of the HKSAR

Government’s energy and environmental policy. Not long ago, coal was purchased mainly

by fixed price for contract with term supply in effect a form of hedging that had no definite

advantage in long run due to volatility of commodity market. Due to maturity of the index

trading basis and transactions, most of the coal supply contracts are of index-linked that can

reflect the real time market price. Arthur shared that long-term partnership and building

relationship with strategic vendors were key to the success. On people management, he

focuses to lead team to change and innovate. Effective communication is critical, so he

adopts one-on-one dialogue with all staff annually to encourage expression of opinions and

suggestions as well as to receive direct information from and to aware problems encountered

in all levels of staff. From the personal dialogue, colleagues’ talent and potential could also

be identified. Putting right people in right position brings out the best of people’s capability at

work. Arthur mentioned that having mission & vision was a must to provide direction as a

leader, while delegation could empower the team to come up initiatives.

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Talk to CPO …

[Key Procurement and People Management Challenges] on 3rd May 2019Mr. Arthur Wong, General Manager (Group Commercial), HK Electric

(Left 3rd) Mr. Arthur Wong,

General Manager (Group Commercial),

HK Electric and Professional

Development Committee members of

CIPS Hong Kong Branch

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(Right 2nd ) Ms. Catherine Yip,

Manager-In-Charge (Procurement & Supplies),

Hong Kong Baptist Hospital and Professional

Development Committee members of CIPS Hong

Kong Branch

Overseeing the procurement function of consumables, equipment, linen, furniture and services

as well as warehouse management of Hong Kong Baptist Hospital which serves over 800

patient beds, Ms. Catherine Yip, Manager-In-Charge (Procurement & Supplies), is leading

teams of total 20 staffs to provide professional support to the running and development of the

Hospital. Alongside flexibility, “Fair, Justified and Transparent” are the guiding principles that

Catherine has been upholding for the teams to follow. Through the journey, Catherine achieved

to simplify the duplicative hierarchical workflow approval to improve efficiency and enhanced

the work process to be more structured with framework, sourcing rules, compliance awareness

and risk management. Catherine also values the importance of meeting up top vendors every

year to keep close communication in all necessary aspects. In terms of people management,

Catherine engages to form small teams with supervisors so as to build people and knowledge.

For product knowledge, she also levers vendors’ expertise to do technical training which is very

effective. Knowing staff’s strength is important as giving them responsibilities that they are

strong and capable with brings the best at work and satisfaction.

Talk to CPO …

“TALK TO CPO” program In order to understand the key challenges of the Procurement

Leaders in Hong Kong, especially in people development, our Professional Development Committeemembers visited many procurement heads in different organizations to discuss and share experiencesand insights. Below are some highlights.

[Key Change and People Management] on 8th Aug 2019Ms. Catherine Yip, Manager-In-Charge (Procurement & Supplies), Hong Kong Baptist Hospital

University & College Talks…

>> Promoting CIPS membership and the Procurement / Supply Profession

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Ms. Carrie Lau & Ms. Cheris TsangIntroduced Procurement profession to secondary

school students and teacherson 28th Jun 2019

Ms. Lily HeoIntroduced Procurement profession to secondary

school students and teacherson 26th Jun 2019

Ms. Susan SiuConducted a talk “Sustainable Procurement”

to IVE studentson 29th May 2019

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[Hong Kong Procurement Training Workshops 2019]

CIPS and ArcBlue have been providing quality training programs to the procurement practitioners for decades and we are excited to continue offering these opportunities in Asia.

Courses available in 2019 in Hong Kong

Contract Law Workshop held on 21st Jun 2019 Negotiation Essentials Workshop held on

25th Jun 2019