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Friday, March 06, 2020, 14:27
Digital transform — a critical asset in a crisis
By Pamela Lin in Hong Kong
Friday, March 06, 2020, 14:27 By Pamela Lin in Hong Kong

A cameraman in Hong Kong communicates with clients from his home with merely a stylus and an iPad. (PARKER ZHENG / CHINA DAILY)

Hong Kong people are renowned for their hectic work pace in one of the most densely populated cities on the planet, and long accustomed to getting to the office under the most adverse conditions, such as typhoons or chaotic traffic jams. This may well have all changed, at least for the time being, with the unwelcome arrival of the novel coronavirus, which has stalled people on their tracks.

Workers have been left with little choice but to slow down as offices pull down the shutters to fight the epidemic and tell their staff to work from home. But are Hong Kong enterprises versed enough in crisis management, and can employees deliver as effectively remotely, during an epidemic?

The virus that emerged in the Central Chinese mainland city of Wuhan late last year has reached virtually all shores worldwide, and pushed businesses to test the feasibility of working remotely on a large scale to curb  the pathogen’s spread.

Digital platforms and software have taken up key roles in the process, with basic tools, such as WeChat, Slack, Zoom and Google Handout, widely applied by enterprises to beef up communication channels and lift efficiency.

The epidemic has profoundly altered the way companies manage their operations and handle their employees, changing their approach to engaging and communicating with staff, noted Renee McGowan, chief executive officer for Asia at US-based global consulting firm Mercer. 

For more than a month following the virus flare-up on the mainland, the HKSAR government had advised civil servants to work from home in a bid to contain the outbreak. Private-sector organizations were told to follow suit. Although some public services are gradually returning to normal, some companies are still encouraging their employees to deliver from home and stick to social distancing.

Since July, as violent anti-government protests began crippling Hong Kong, local businesses have been testing the water on the feasibility of flexible or staggered working hours for the sake of their employees’ safety. 

“For companies in Hong Kong, it’s an ongoing challenge,” said McGowan, explaining that the ongoing social unrest has caused disruptions to normal business operations. The double whammy has forced companies to review their resilience and crisis response strategies so as to be equipped enough to handle the huge potential impact.

Corps need resilient plans

In her view, enterprises should have resilient plans in place, with actual emergency responses in different scenarios. Companies need to know in advance how to run crisis communication in advance and to look at insurance protection for business and employees, she said. The latest survey by Asian professional services company Tricor Group found that just 30 percent of businesses in the Asia-Pacific do have a robust crisis management team and feel fully prepared to manage a sustained epidemic. According to Tricor’s historical client data, about 50 percent of APAC businesses have business continuity plans in place.

“This shows that companies have to constantly review and update their business continuity and crisis management plans to ensure they remain vigilant and prepared,” said Wendy Wang, Tricor Group’s chief operating officer and chief financial officer.

The poll covered business leaders and finance executives of 1,050 companies in the Asia-Pacific, who were asked how the coronavirus outbreak has hit business sentiment, business continuity planning and strategies in the region.

Businesses, ranging from startups to listed companies, have admitted they’re not “adequately prepared” for the business disruptions, particularly on such a large scale and over an extended period of time, according to Wang. 

Specifically, companies are unfamiliar with how to conduct business efficiently using remote working arrangements as they lack the technology infrastructure to facilitate collaboration, information security and business processes to ensure a seamless transition from in-office to remote working arrangements.

Besides digital workspace tools that help employees to work remotely, Tricor suggested that companies consider adopting risk management strategies, like restructuring, outsourcing internationally and undertaking offshore operations.

Franco Lan, general manager of VMware Hong Kong and Macao, told China Daily that inquiries about their Workspace ONE — a digital workspace platform — have gone up lately.

The New York-listed software and technology company provides cloud computing and virtualization software and services. Its virtual desktop allows people to work on a laptop, a computer or a mobile phone with a secure desktop that is running in the corporate data center or in the cloud. It delivers and manages apps on any device by integrating access control to ensure security.

Lan said one of VMware’s clients in Hong Kong recently expanded its access to the company’s virtual desktop 10 times to help employees better manage work remotely.

Digital switch to face risks

In the past, when the digital workplace wasn’t that well promoted, most companies would provide it only to executives and managers who travel frequently on business. However, the current situation has motivated company managers to drill down on digital transformation and expand the deployment of digital tools among more employees, he said.

Digital transformation hasn’t been fully adopted by Hong Kong companies in recent years because of security concerns, high costs and misconceptions. The social unrest and the epidemic have now prodded them to enhance their risk management, and part of it is actually digital transformation, Lan said. 

“We’ve seen companies speeding up digital transformation as part of their risk management plans in response to the current situation,” he added. 

Edmond Lai Shiao-bun, chief digital officer with the Hong Kong Productivity Council, said with the evolution of technology, working from home has been made much easier than ever. But he warned that companies need a strong internet security system to guarantee flexible working schedules.  

Lan also pointed out that security is still one of the top concerns for companies in embracing full digital transformation. “But the good thing is that company leaders are changing their mindset and are willing to know more about digital tools that provide high information security.”   

“Although it looks like it’s a short-term need, digital transformation, in the long term, will not only help companies cope with the crisis, but also train them to keep up with the pace of change,” he said. 

VMware has some 300 business clients in Hong Kong, mostly financial institutions that use hundreds of applications and software programs to run their businesses. The company acquired cloud security provider Carbon Black last year and launched a new security business unit. 

pamelalin@chinadailyhk.com


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