17 May 2004

For enquiries, please contact the Corporate Affairs Department, tel.: (852) 2115 3751, email:cad@ModernTerminals.com.


Organizational Changes Enable Us to Further Enhance Services to Customers

Modern Terminals has undertaken a comprehensive programme of customer-focused service enhancements during recent years. Our Customer Experience Programme aims to produce brand promises and a service strategy that deliver a unique, world-class customer experience. The introduction of our rapidly expanding Inland Gate offers shipping lines, consignees and shippers a faster, more efficient, cost-effective and reliable way to transport their freight to and from major Pearl River Delta ports. Other convenient one-stop logistics services have also been added.

At the same time, we have been expanding our presence in Mainland China, to deliver the same high service standards to our customers that we have been providing in Hong Kong for the past 32 years.

All these new initiatives have been underpinned by the implementation of a new corporate culture and systems within the company, to ensure we continuously become more customer focused and dedicated to exceeding customersˇ¦ expectations.

As the next stage in our companyˇ¦s development, we recently instituted a number of organizational changes. They reflect the growing scope of our operations in Mainland China; our intention to optimize the deployment of senior management resources; and our dedication to greater flexibility to meet changing customer needs in an ever-evolving business environment. They are also in line with our commitment to develop new products that further differentiate our company and its services; and to strengthen our cross-functional accountabilities to maintain customer services that are second to none.

The major changes affect all levels of the company. The role and accountability of our Management Board has been adjusted to achieve a higher level of empowerment to cross-functional management teams. Jackson Ng and Horace Lo have joined other Directors in the Management Board, in their respective capacities as Chief Financial Officer and Director. Meanwhile, our Management Committee is being replaced by a more empowered Operations Management Group formed by all functional heads.

In response to the increasing complexity of our Mainland China operations, their leadership and management structure is being strengthened. Additional organizational resources are being earmarked to support our China activities, with an extra emphasis on people development initiatives and a focus on accelerating the pace of preparing human resources in line with their increasing scope. As a Director, Horace Lo is now responsible for all our development and investment projects, including our joint ventures in China. Horace will continue to be responsible for our Terminal Development team, which services both Hong Kong and Mainland terminal developments.

The reporting lines of our Hong Kong-based operations are being repositioned, in line with our new corporate and management culture. The new structure emphasizes empowerment, teamwork and cross-functional efficiency.

The former Marketing and Logistics departments have been integrated into one business unit for delivering even better customer driven services; and our Personnel Management and HR Development departments have now been consolidated into the new Corporate Development Function. Senior management resources are being allocated to further strengthen our cultural change programme and focus on our expanding range of strategic initiatives.

There will be even closer collaboration and coordination between Engineering & Planning and Operations departments as our productivity and efficiency improvements in Hong Kong operations continue to make good progress. Alfred Yu, General Manager, now leads the Engineering & Planning Department. K.T. Lee is promoted to Assistant General Manager with accountability for planning and development support for Hong Kong as well as Mainland activities including equipment sourcing.

This restructuring process has also been designed with a view to achieving our corporate ˇ§Vision 2010ˇ¨, which paints a picture of Modern Terminals in the year 2010 as being ˇ§the No. 1 or No. 2 container terminal operator in Hong Kong and in Mainland China, relentlessly driven by uncompromising standards for our world class people, facilities and services and cherished by our customers as their preferred business partner.ˇ¨

Modern Terminalsˇ¦ Functional Organization Structure

   
With Jackson Ng, Chief Financial Officer (left) and Horace Lo, Director (right), joining the Management Board, there is more empowerment to the cross functional management teams.
   
Alfred Yu, General Manager (left) and K.T. Lee our newly promoted Assistant General Manager (right) take the lead to excel the Engineering and Planning team for continuous enhancement in our productivity and efficiency.
   
Frank Jensen, General Manager (left) and Jessie Chung, Assistant General Manager (right), join hands to drive the companyˇ¦s marketing and logistics initiatives striving to provide even more responsive and truly customer-centred services.
 
   
  Berth One, Kwai Chung, Hong Kong
Tel: (852) 2115 3861
Fax: (852) 2115 3962
Email: cad@ModernTerminals.com
Website:http://www.ModernTerminals.com
Portal: http://www.ModernPorts.com