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Posts Tagged ‘Hong Kong’

Water Bill Foul-Ups vs. Outsourcing Management

Posted in Frown, Hope, tagged , on December 22, 2010| Leave a Comment »

I applaud what the territory’s Ombudsman Alan Lai Lin said during a press conference over the Water Supplies Department’s mixed-up meter readings screw-ups over the last 20 years.  Apparently over 100 cases of water-meter mix-ups are reported each year.  A complainant received water bills up to HK$900 even though her flat was vacant for 6 months.   The Ombudsman pointed out that although the installation of water meters has been contracted out in recent years, greater supervision is needed by the Department.  “Even though the work is contracted out, the responsibility should not be contracted out.”, said Mr. Lai.

This couldn’t be more spot on.  Whenever I lead contract negotiations on outsourcing deals, mediate issues and performance complaints with incumbent outsourced providers, or conduct qualification analysis over whether or not to outsource with senior business partners, I always see people with the wrong understanding over the objectives of outsourcing, or contracting out in the above scenario.  Aside from obvious savings on costs and headcount, many corporations look at moving part of their processes offshore so as to focus on core elements of their businesses.  This has been gaining traction over the last 10 to 15 years.  In fact, no one would be surprised to see that a lot of the customer facing functions are being contracted out.  Call handling, customer services, direct selling, payroll, HR, and installation like what we see above for water-meters.  Oh yes, procurement can be outsourced as well.

Many clients think that the worst is over once the decision is made and endorsed by management.  They believe that they can then sit comfortably and bark orders at the outsourced providers and transferring all business targets onwards.  These are clearly the most irresponsible clients.  Experienced leaders understand how much more difficult it is to manage outsourced providers, much more so than running their own team of staff in-house.   Businesses need to undergo what we call risk analysis.  They need to brainstorm and  list out everything that could go wrong, and then place relative likelihood and precautionary as well as handling guidelines for each scenario.    They need to assign specific resource (in-house) who is tasked with managing the outsourced provider on a daily basis.  Sometimes this resource needs to work on-site with the provider.  Accountability has to be set right from the start with clear distinctions.   I have seen too many clients who think that the outsourced providers are the only party shouldering responsibilities.  In fact they themselves are equally liable to provide the necessary direction, management and rectification whenever they see problems ahead.  Laying the blame on the outsourced provider only proves how incompetent the client really is.  To me, they share the biggest part of the blame.

Most outsourced relationships fail because of issues like this.  There is nothing wrong about the concept.  Technical competencies maybe, but it could easily be rectified by trainings and investment.  I see time and time again that my clients fail to grasp the right techniques, processes and mentality to manage the providers.  Whenever catastrophes appear like the water bill foul-ups cases above, they pass on the blame and ask for more money from the top!

 

 

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Swipe Baby, Swipe!

Posted in Frown, tagged , , on December 16, 2010| Leave a Comment »

Trying to take advantage of all the bargains and promotional offers in town is not an easy task.  It takes efforts to do the necessary homework to hopefully save a few bucks.  Lately I have been following closely to all the promotional cash back deals offered by virtually every other credit card issuing bank in the city, and I have to admit it is much harder than it looks.

A couple of years ago cash back promotions were less common.  The banks were more focused on acquisitions and to grow their card holder base as quickly as possible.  Most deals were focused on flat screen TV, Sony Playstation, or the latest mobile phone model as welcome gifts.  It seems that most cardholders nowadays own enough cards that the acquisition base is getting smaller.  The issuers need to now focus on initiating spend value on cards.  If we don’t swipe, they will not make merchant fees. 

So you now have all the major supermarkets, electronics stores, department stores and pharmacies linked up with different card issuers, offering cash back to induce spend on cards.  The catch is that they make it so complicated that it requires diligence, preparation and photographic memory to figure all this out.

1. Get the mailings

First you need to know what deals there are available for your card(s).  Some issuers send you direct mailing, but usually by the time you receive them, a few days have passed since the limited promotional period begins.  For those issuers who have a huge card base, they advertise on newspapers instead since direct mailings are relatively more expensive.  The digitally inclined may get to hear about the offers via e-mail. 

2. Remember the promotional period

Each offer is valid only through limited time.  Most concentrate around the holiday season when we do most of our purchases.  Some however limit the offers only from Fridays to Sundays. 

3. Know the qualification spending threshold

Each offer requires a minimum spending amount per transaction in order to qualify for the cash back.  It’s not entirely out of reach, but it means you should accumulate your purchases to a particular day during the weekend to meet the threshold.

4. Register

I don’t know why they cannot let everyone just enjoy the offer provided the above criteria is met.  No no, they need you to register for it by dialling their hotline, or online via their website.  If you don’t, you have no cash back.

5. Figure out how much cash back you are entitled

They make it so tempting on the flyers that your cash back entitlement can go as high as 50% of your purchase amount.   So when you register, you will get into a draw and realize how much percentage cash back you will get for the entire promotional period.  You register once and the same percentage stays on throughout the whole period.  Of course, I presume most cardholders get the lowest cash back entitlement, which is normally around 8%.

6. Understand the maximum cash back you can get

Even if you are satisfied with the 8% cash back (a penny is a penny), they also tell you what maximum cash back amount you can ever get within the period.  So no point of making any advance purchase if you have already met your rebate ceiling.

7. When will I see the cash?

Finally, you will be pleased to find out the rebate will be credited back into your account 6 months after the promotional period ends.  Remember to check your account, and hopefully you wouldn’t have forgotten about the whole thing or terminated your card for whatever reason.

Alright, multiply the above steps by 3 or 4 times for the total participating issuers and I guarantee you will be as lost as I am.  Now when I need to make a purchase, I have lost count as to what else I should buy, which card I should use, what day today is, and most likely, why I am seduced to spend more by the illusionary savings programs. 

Bravo on the marketers!

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Civility & The City

Posted in Frown, Sick, tagged , on December 13, 2010| Leave a Comment »

I admit I walk fast, and I mean really fast.  I seldom wander around aimlessly on the streets of crowded and densely populated Hong Kong, and walking in the city for me is a mission to get from point A to point B.  Yes I know it sounds robotic and industrious, but to me there’s not much fun rubbing shoulders with thousands of strangers, be stepped on by people behind me, or bumping into people who have no intention looking forward when they walk.  I am rather impatient with people like that and hence walking on the streets for me is like steering myself in a video game: sliding through as many pedestrians as possible while picking the shortest, more direct routes.

It’s exactly the opposite when I am in the countryside.  I want to soak up all the fresh air, scenery and the hard-earned quietness.  I really could sit down on the grass and let my mind ponders, perhaps into absolutely nothing.

Back to the city.  To add to all the craziness, there are plenty of product and restaurant promoters standing in the middle of the most crowded streets holding up large signboards with one hand, and handing out pamphlets that will give you nasty paper cuts if you don’t have your arms and fists protected.   These days, there are also plenty of street donation booths popping up everywhere, usually coupled with supposedly volunteers holding out donation boxes approaching each and every person passing by.  They would sometimes stand guard at all the zebra crossings so that you have nowhere to run whiling waiting to cross the roads.  There are simply obstacles everywhere.

Yes I do have a thing with all the street side donation booths.  Even if you don’t count the possible scams out there, I still do not give out donations on the streets.  When I donate to charities, I will make an informed choice based on reasearch I have done both on the mission as well as to the handling agencies.  I respect those who donate on the streets, but it is just not my thing.  I seriously think it is an invasion of my privacy by anyone trying to stop me for whatever agenda they have.  It is downright harassment.   I will still smile at the volunteers but at the same time shaking my head signalling my unwillingness to slow down.

I don’t mind being approached by innocent tourists asking for directions, because I know how helpless I can get if I am lost in a foreign land.  I get approached in all the weirdest places you can think of, and virtually in every foreign city that I have been.  I don’t know why even when I look nothing like the locals.  Perhaps it’s my hectic pace that convinces people as if I know where I am going?  Though one thing I particularly have a problem with is when they try to grab my attention by patting or even pinching me.  Body contact by strangers creeps me out.  I think it is downright rude and I usually would simply stare right back at them.   What happens with civility these days?

Any don’t get me started on civility.  Countless times have I been stuck in the elevator because people jump right in without waiting for others to get out first.  What’s the rush of 10 seconds?  Same thing with getting on and off the subway and this is witnessed all around the world.   You can see people eating and drinking on the subway and buses all the time.  People are leaning their entire body on railings so that they can free their hands holding up newspapers to read, leaving zero room for others to hold on.  People screaming at the top of their lungs into their mobile phones.   When I see parents praising their kids who literally run pass the line and jump into subway carts grabbing the 4 empty seats for the whole family, I lose all hope in mankind.

I have friends who tell me that I need to contain my rage by avoiding all forms of public transportation and crowded public areas.  They told me driving would be my best alternative.  But seriously, wouldn’t I do a lot more damage with a high-speed motor vehicle?  Who says this city’s driving manners are anything more civilized?

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December’s Foes?

Posted in Grin, tagged on December 6, 2010| Leave a Comment »

I have very little expectations over the coming holiday season.   In fact, I’m not sure if it has anything to do with age, but I just find festivities today way too commercial.  It seems that all holidays are focused around elaborate dining, shopping, gifts and parties.  Don’t get me wrong, I am all for getting together with my family and friends enjoying cozy discussions over good food and wine.  All I am a bit tired of, is waiting in lines for the cashier and gift wrapping, paying deposits for festive Christmas party reservations, and squeezing through jam-packed subway exits to get in and out of the city’s most popular destinations.  It just seems to be too much work for a few hours of supposedly happy time.

Instead, I strive to make myself happy in whatever ways regardless of the time of year.  Last weekend I paid enough money for a whole new wardrobe that keeps me excited for weeks if not months ahead.  I have also just made vacation plans to get myself out of the city to wind down, at least for a few days, after the new year.  Keeping myself healthy is also what I have seriously started to do since 4 months ago.   The nutrition routine that I’ve been following since has given me so much energy while losing weight.  If I have not accomplished anything else this year, this could be my biggest achievement so far in 2010.

I usually don’t take time off during December because the peak travel season means exorbitant prices on airfare and hotels.  Plus, many colleagues at work are off on vacation with their families and kids and usually the workload and productivity has sunk to an all time low.  Getting to work in this season is actually a delight.  I remember in my old workplace we have this tradition of “Director/VP for a Week” as an excuse to find a stand-in for senior executives who are on leave.  Of course we sugar-coat the exercise to be one golden opportunity for us to showcase our leadership capabilities by literally attending all the senior level meetings and conference calls during the entire stand-in period.  Supposedly, nothing should be left waiting for the executives to come back from vacation. 

I had the pleasure to become Director of the Week one year, though technically, I had it for three weeks.  The originally quiet December work month turned out to be a hectic one since I had to deal with a few emergency personnel issues across the region.  On top of my then existing Greater China responsibilities, I also attended to operational and personnel matters in India, Singapore, Malaysia, and Thailand.  There were a few major decisions that I had to make based on incomplete facts, but I made them anyway.  Certain things could have been managed better, but out of all the circumstances, the acting Director role was a satisfactory one. 

Work wise, December is a month of recuperation.  The year’s cost savings targets should have been met by now (or too late to recover).  Next year’s target is already set with a whole lot of uneasy feeling toward how on earth everyone is going to meet them.  All leaders are plotting their engagement plan with senior stakeholders once they return from vacation in a few weeks’ time.   So technically, there isn’t much that can be done instantly.

Ok, perhaps now I get why so many people are fanatically looking for party invitations, dinner reservations, various shopping expos  and 4-hour waits at the airports.  Since there is nothing much better to do at work or at schools, everyone is working their butts off to keep themselves busy by playing really really hard.  Why can’t Hong Kongers just take a breather and relax, for once?

 

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