Business Process Management
Journey of HK Housing Society
Peter Miao
Head of IT
15 Nov 2013
Graphic Section Divider
Background of HK Housing Society








Found in 1948 with a donation of £14,000 from
the Air Raid Distress Fund of...
Our Products & Services
1.
2.
3.
4.

5.
6.
7.
8.
9.

Public Rental Housing
Property Management & Commercial Leasing
Buildi...
2 Pilot SEN Projects
(All 576 units already let and currently 500+ applicants at the waiting list)

Cheerful Court (2004)
...
Home Feel - Non-Institutional

Bedroom

Living Room

Bathroom

Kitchen
Design - Tailor-made for elderly

Hobby Room

Swimming Pool

Library

Barrier-free

Security Viewer (high/low)

Wireless W...
Tanner Hill

588 Units
Size: 31-104 m² SA
Target Completion: early 2015

Residence Garden

Main Entrance
Tanner Hill

Members’ Club

Library

Banquet Room
Day Care Centre

RCHE
H21 Mixed Development

Coming Soon

Cross–generation Care and Support

Harmony Place
No. 333 Shau Kei Wan Rd.
Hong Kong

2...
Demographics Characteristics in HK
Population Pyramid of Hong Kong, Mid-2011
+58

85+

48-08

80-84

97-57

75-79

47-07

...
Demographics Characteristics in HK
Projected Population Pyramid of Hong Kong, Mid-2041
After
30 years

85+ +58
80-84 48-08...
HS Senior Housing Initiatives
IRM
Joyous Living
Universal Design project
Guidebook
Elderly Units
in Rental
Estates

SEN
pr...
HKHS’ 4 Core Values
• Conduct Tenant
Survey Annually
• Learn Tenants’
Expectation
• Tenants’ Satisfaction
Rate > 90%

• En...
Typical Procurement Process of HKHS

Business
Plan
Agreed

Annual
Budget
Approved

Expenditure
Commitment
Approval

Tender...
The Typical “Procure to Pay” Process
Workflow Systems
ECA Approval
Create
ECA

Approval

Update ERP
Read
budget and
accoun...
Budget Tracking From End to End
Original Addit’l
Budget
Fund

$100

$10

ECA
Contract
Fund
CommitApproval
ment

$30

$25

...
The Journey Highlights (I)
1. 1st e-process launched in Dec 2003
2. Dozen e-processes implemented between
2004 to 2006
3. ...
The Journey (III)
SOA: Service Oriented Architecture
Service Repository
Composite
Application

Service

Packaged
Applicati...
The Journey (IV)
SOA Example
Building Maintenance Loan System
Vetting

Application

Drawdown

Collection

Arrears

Early S...
The Journey (V)
HKHS BPM/SOA Application Architecture
Switched to
Oracle BPM
Suite in mid 2011
due to limitations
of the l...
The Journey (VI)
Examples on Business Services Exposed form ERP
1.

2.

3.

4.

Get account info – check the general infor...
The Journey (VII)
Integration by Web Service
iHousing Web
Service

JDE
Web Service
eLeave Web
Service

ECA

Oracle
Service...
The Journey (VIII)
Examples on Automated Business Processes










E-Leave Approval
Expenditure Commitment Appl...
The Journey (IX)
Benefits Gained
 All approval of ECA/Works Order/PO/Payment can be easily
traced & tracked
 Shortened p...
BPM Journey is an Evolution

It starts with the Strong Will:
• to pursue Continual Improvement and Service Excellence
• to...
3 Most Important Attributes to Success
1.

2.

3.

Continual Improvement (要不斷地自我
檢討和改進)
Principles & Ethics (要有原則和操守)
Appr...
Who is this guy?

“I am prepared to die.”

“I’ve learned how to respect”
Nelson Mandela
Thank You
Contact details:
Peter Miao
Head of IT of HK Housing Society
(Email) peter@hkhs.com
(Tel) 852-28943398
Chairman ...
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B5 business process management journey of hkhs

  1. 1. Business Process Management Journey of HK Housing Society Peter Miao Head of IT 15 Nov 2013
  2. 2. Graphic Section Divider
  3. 3. Background of HK Housing Society       Found in 1948 with a donation of £14,000 from the Air Raid Distress Fund of the Lord Mayor (London) Aims to serve the needs of the HK community in housing and related services NGO, not-for-profit, self-financed Work closely with the Government to help implementing housing policies Housing laboratory ~1,300 Employees ~1,200 PC’s Web site : www.hkhs.com ~80 Physical Servers 60+ Site Offices
  4. 4. Our Products & Services 1. 2. 3. 4. 5. 6. 7. 8. 9. Public Rental Housing Property Management & Commercial Leasing Building Mgt & Maintenance Scheme Urban / Rural Improvement Schemes Various Subsidized Interest Loans Schemes Flat For Sale Scheme Sandwich Class Housing Scheme Senior Citizen Residence (SEN) Quality Retirement Living & more …….
  5. 5. 2 Pilot SEN Projects (All 576 units already let and currently 500+ applicants at the waiting list) Cheerful Court (2004) - 333 units Jolly Place (2003) - 243 units
  6. 6. Home Feel - Non-Institutional Bedroom Living Room Bathroom Kitchen
  7. 7. Design - Tailor-made for elderly Hobby Room Swimming Pool Library Barrier-free Security Viewer (high/low) Wireless Watch Transmitter & Nurse Call
  8. 8. Tanner Hill 588 Units Size: 31-104 m² SA Target Completion: early 2015 Residence Garden Main Entrance
  9. 9. Tanner Hill Members’ Club Library Banquet Room Day Care Centre RCHE
  10. 10. H21 Mixed Development Coming Soon Cross–generation Care and Support Harmony Place No. 333 Shau Kei Wan Rd. Hong Kong 214 Private Flats ( 12/F - 42/F ) 60 Rental Flats for Elderly ( 6/F - 11/F ) Club House Shopping Arcade Basement Carpark Estimated Completion: December 2014
  11. 11. Demographics Characteristics in HK Population Pyramid of Hong Kong, Mid-2011 +58 85+ 48-08 80-84 97-57 75-79 47-07 70-74 96-56 65-69 46-06 60-64 95-55 55-59 Age Group 94-54 45-49 44-04 40-44 93-53 35-39 43-03 30-34 92-52 25-29 42-02 20-24 91-51 15-19 Male 9 -5 4 -0 0-4 003 002 0 01 Female 41-01 10-14 5-9 004 Soon-to-be old 45-05 50-54 0 0 100 200 No. of persons (Thousands) Note: excluding foreign domestic helpers Source: Hong Kong Population Projections 2012-2041, C&S Dept. 300 400
  12. 12. Demographics Characteristics in HK Projected Population Pyramid of Hong Kong, Mid-2041 After 30 years 85+ +58 80-84 48-08 75-79 97-57 70-74 47-07 65-69 96-56 60-64 46-06 55-59 95-55 Age Group 50-54 45-05 45-49 94-54 40-44 44-04 35-39 93-53 30-34 43-03 25-29 92-52 20-24 42-02 15-19 91-51 Male Female 10-14 41-01 5-9 9-5 0-4 4-0 004 003 0 02 0 01 0 100 No. of persons (Thousands) Note: excluding foreign domestic helpers Source: Hong Kong Population Projections 2012-2041, C&S Dept. 200 300 400
  13. 13. HS Senior Housing Initiatives IRM Joyous Living Universal Design project Guidebook Elderly Units in Rental Estates SEN projects Integrated Redevelopment Model H21 Ageing- Elderly In-Place Resources Centre Mixed Development 2007 Study 2003 Study 1996 Study 1970s 1999 2005 2008 2010
  14. 14. HKHS’ 4 Core Values • Conduct Tenant Survey Annually • Learn Tenants’ Expectation • Tenants’ Satisfaction Rate > 90% • Enforce Stringent Expenditure Controls • Conduct Processes Re-engineering • Use IT to Speed Up Processes and Reduce Cost
  15. 15. Typical Procurement Process of HKHS Business Plan Agreed Annual Budget Approved Expenditure Commitment Approval Tendering & Contract Award Payment Approval (Goods & Services Received)
  16. 16. The Typical “Procure to Pay” Process Workflow Systems ECA Approval Create ECA Approval Update ERP Read budget and account data from ERP Contract Award Manual Tendering or Quotation Process Create ITB Read ECA and supplier data from ERP Approval Update ECA and add PO to ERP Payment Approval Payment Request or Goods Receipts Read PO data from ERP Approval Update PO and accrual account in ERP
  17. 17. Budget Tracking From End to End Original Addit’l Budget Fund $100 $10 ECA Contract Fund CommitApproval ment $30 $25 Budget Cash Based Variance/ Actual Balance $40 Timely monitoring of compliance with Expenditure & Procurement policies All exceed budget items can be tracked more efficiently $60 $35 $15 $5
  18. 18. The Journey Highlights (I) 1. 1st e-process launched in Dec 2003 2. Dozen e-processes implemented between 2004 to 2006 3. Identified many business rules and workflow services repeatedly used in many e-processes 4. Decided to use Rules Engine and Service Oriented Architecture (SOA) Approach in Mid 2006
  19. 19. The Journey (III) SOA: Service Oriented Architecture Service Repository Composite Application Service Packaged Application Custom Developed Application
  20. 20. The Journey (IV) SOA Example Building Maintenance Loan System Vetting Application Drawdown Collection Arrears Early Settlement Arrears Collection Interest Holiday Draw Down Application System Declaration Interview Vetting Balloting Application Service Interview Loan Administration System
  21. 21. The Journey (V) HKHS BPM/SOA Application Architecture Switched to Oracle BPM Suite in mid 2011 due to limitations of the legacy Workflow platform, upgrade of ERP & revamp of our Chart of Accounts (COA)
  22. 22. The Journey (VI) Examples on Business Services Exposed form ERP 1. 2. 3. 4. Get account info – check the general information of COA, e.g. Accounts type, Accounts description, Accounts Head, posting nature, annual budget or job budget etc. Web Service Budget Checking function - customized a budget check function into 9 options by annual or job budget and different nature of COA. Web Service General Ledger Creation Service - Provide various kind of ledger transaction creation services with auto posted. Web Service Payment Voucher Creation Service – Provide various type of a Payment Voucher creation service Web Service
  23. 23. The Journey (VII) Integration by Web Service iHousing Web Service JDE Web Service eLeave Web Service ECA Oracle Service Bus CA Works Order
  24. 24. The Journey (VIII) Examples on Automated Business Processes         E-Leave Approval Expenditure Commitment Application (ECA) [& Revised] Approval ECA Closure Approval Contract Award (CA) [& Revised] Approval Payment Request Approval Works Order (day2day & term contract)Approval Fixed Fee Service Contract Approval General Purchase (being implemented) & Many More ……..
  25. 25. The Journey (IX) Benefits Gained  All approval of ECA/Works Order/PO/Payment can be easily traced & tracked  Shortened procurement cycle time through electronic routing and approval (by 35% to 95%)  Accurate and up-to-date funding approval accrual and actual accounts for performance and progress monitoring  Improved Agility without scarifying control  Better Tenant Satisfaction due to much faster response to tenants’ needs on repairs and maintenance requests  Easy work around to tackle business and organizational changes  Millions of paper saved (ISO 14000) and more ……
  26. 26. BPM Journey is an Evolution It starts with the Strong Will: • to pursue Continual Improvement and Service Excellence • to Understand Business; and • to become a Valuable Partner of Frontline Business.
  27. 27. 3 Most Important Attributes to Success 1. 2. 3. Continual Improvement (要不斷地自我 檢討和改進) Principles & Ethics (要有原則和操守) Appreciate & Respect others (懂得欣賞, 感謝和尊重別人)
  28. 28. Who is this guy? “I am prepared to die.” “I’ve learned how to respect” Nelson Mandela
  29. 29. Thank You Contact details: Peter Miao Head of IT of HK Housing Society (Email) peter@hkhs.com (Tel) 852-28943398 Chairman of itSMF (HK Chapter) (Email) info@itsmf.org.hk slide 29
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