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Annual Report



Outlook for 2008/09

Letter business
- Further invest in the e-Post service and establish another e-Post Centre to capture the business opportunities arising from the outsourcing of statement printing and consolidation.
- Expand the direct mail business in collaboration with Macao Post to facilitate the exchange of direct mail with Macao.
International mail business
- Sign Memorandum of Understanding with Korea Post, collaboration agreement with Singapore Post, and Direct Mail Agreement with Macao Post to enhance mutual business cooperation and competitiveness.
- Launch an iMailR service in July 2008. This service automates major procedures that significantly reduce the time required for mail preparation by customers. An electronic clearance system has also been developed to facilitate customs pre-declaration and expedite clearance in the destination country or territory.
- Develop more value-added services, including insurance and online electronic payment to meet the posting needs of customers.
- Develop a special service which combines the merits of speedy postal clearance and high-quality local delivery service of overseas postal administrations.
- Intensify work to support small and medium enterprises (SMEs) to meet their special posting needs. A special delivery arrangement combining commercial freight, tax payment and local postal delivery is being developed to meet increasing demand for delivery of goods sold online to overseas buyers.
- Develop strategic cooperation with China Post by offering a tailor-made international mail delivery service to online sellers in the Mainland.
- Consolidate Hong Kong's role as an Asia Pacific mail transit hub and a sub-hub for the Mainland.
- Foster closer cooperation with the Airport Authority and airline partners to develop our international businesses.
Logistics business
- Expand our logistics offering by developing freight products and acquiring new customers for an integrated logistics service in the Greater China region through joint postal service offer with China Post Logistics Co. Ltd.
- Launch a one-stop e-shopping service which includes direct mail and web posting together with a fulfillment service and a payment collection solution.
- Develop a service package, including e-Post, PayThruPost, Direct Mail and space rental in response to the demand from insurance companies for a one-stop postal solution to meet their varied business needs.
Productivity and Quality Management System
2007 marked the second year of our three-year Productivity and Quality Management System (PQMS) programme. This is staffed by a team of industrial engineers and operations managers who are spearheading the productivity improvements in the three main mail processing centres. The targets of the programme are to achieve a 5% increase in the productivity index and reduce the manual mis-sort rate by 20% by the end of September 2009.
In 2007/08, workflow in various units of the International Mail Centre was studied and streamlined. Lean management concepts such as 5S and Kaizen programmes, designed to enhance continuous improvement in terms of efficiency, have been successfully introduced on the shop floor.
The PQMS project is financed by the Quality of Service Fund of the Universal Postal Union with the ultimate aim of improving letter post service quality and a particular focus on speed, reliability and customer satisfaction. Cumulative savings of 23,000 man-hours have been recorded since its implementation in August 2006.
Looking forward, the project team will capitalise on the opportunity of the replacement of the MLSS to further enhance mail flow and the efficiency of mail processing. Work procedures will be re-engineered and new postal tools will be developed to support the MLSS and to maximise the benefits of automation.
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