NewsNet Q2-Q Strategic Moves to Expand the Group s Software Product Business. Contents. Headline. Highlights of Solutions Business Successes

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1 NewsNet Q2-Q Contents Headline p1-3 Strategic Moves to Expand the Group s Software Product Business Strengthening Management Team to Pursue Group s Strategy - Warm Welcome to Edmund Lau, President of North Asia New Enterprise Information Management (EIM) Customers Promoting Group s EIM Products at Software Exhibition and Industry Seminars C&T HRM Product Suite continues to gain market acceptance The Group s flagship HRM Product Suite - IPL HRIS continues to gain acceptance in both Hong Kong and China markets Innovation and Proven Track Records of Group s HRM Software Wins Nationwide IT Awards HRM Best Practices Sharing to AgBank and HKIHRM Practitioners p3-4 Highlights of Solutions Business Successes SOA-QPS3 Contracts for Solutions Services Solutions Services Serving Government and Enterprises Other Major Project Wins of Solutions Services ARCOMS Project Recognized in ICT Award by Reinventing Old-Industry Systems p5-6 Events & Partnerships p6-7 Lifestyle Portal Launched to Enhance Ge-TS Customer Benefits Gold Partner Certification for Excellent Cisco Network Integration Leveraging New OpenText Partnership to Maximize Client Reach Enriching SME Workshops with New Partners People & Places p7-8 Relocation of SZ and SH Offices Supporting the Community Chest Dress Casual Day Movie Leisure Night with Iron Man 3 Committing to Happy Organization and Industry Cares Headline Strategic Moves to Expand the Group s Software Product Business As we have revealed in the latest annual report, a strategic focus of the Group is to further expand its Software Product business. Apart from continuously investing in developing additional functions and features on its existing products suites, the Management has also been actively pursuing new business initiatives to enlarge its software products line. In May 2013, the Group has taken a further step to expand its Application Software business by acquiring 100% of VITOVA Limited (VITOVA), a well-established company renowned for its document imaging and management software. This acquisition will not only increase the Group s software Revenue with enlarged customer base but also enrich the Group s product portfolio to cover the area of Enterprise Information Management (EIM). With more than 15 years of expertise in document management systems, VITOVA served hundreds of customers including multi-national corporations, Government departments, tertiary institutions and local enterprises. Its comprehensive software product suite connects people to business-critical information with enhanced data matching and search efficiency. Among its popular products, VitalScan converts paper into polished electronic documents for accurate archival and fast retrieval of information, and the web-based VitalDoc integrates seamlessly with VitalScan to capture all information in a single repository for easy management. To complement the core products of VitalScan and VitalDoc, VitalFax, VitalNotes, VitalForms, VitalScan One-Touch, VitalDoc OCR and VitalDoc ipad further enhance user experience in specific areas of EIM.

2 Highly recognized in the industry by customers and partners, VITOVA won many awards including Hong Kong Awards for Industry, Hong Kong IT Excellence Awards, Microsoft Winning Customer Award (Regional Winner of Greater China), and, for three years, Microsoft Best ISV of the Year Award of Hong Kong. Under the leadership of Mr. Allen Lee, Executive Director, the VITOVA professional software and service team as well as the VITOVA product suite will further complement the Group s Human Resources Management (HRM) and Enterprise Procurement Management (EPM) teams and products, resulting in a more comprehensive software product portfolio to better service the enterprise market. This acquisition not only signifies our continuous commitment to our Software Product Business but also represents the extension of our product strategy to the area of EIM and the expansion of our customer base. The management is confident that VITOVA will create further synergy to our business growth and support the Group to achieve new heights. As a long-term business strategy, the Group will continue to put in more resources in expanding its software business and further explore related acquisition opportunities. Mr. CS Ng, Chairman of C&T Holdings, commented. The management is optimistic that the enhanced software product portfolio and enlarged customer base will enable the Group to grow at a higher rate. Furthermore, the increasing need for betterment in corporate governance of companies in the region will also drive for a continuous growth in demand for the Group s enlarged software product offerings in the coming years. Strengthening Management Team to pursue Group s strategy - Warm Welcome to Edmund Lau, President of North Asia Mr. Lau Sze Yuen, Edmund, joined the Group as President of North Asia in September. He reports directly to Mr. CS Ng, Group Chairman, for the Group s business operation on the mainland and business development in North Asian countries. He has more than 20 years of management experience in software and professional services business with previous senior positions held in major industry peers including CDC Software, Viador, etc., in the US and Greater China region. He graduated from Shanghai Jiao Tong University with a Bachelor s Degree in Computer Science in 1982 and received a Master's Degree in Computer Science from University of Southern California in Edmund, welcome to our big family! New Enterprise Information Management (EIM) Customers Our newly acquired VITOVA Ltd. has been selected by several government bureaus to offer one-stop document management services. Home Affairs Bureau Community Care Fund This is the 4th project that Home Affairs Bureau (HAB) Community Care Fund (CCF) has adopted VitalDoc of our VITOVA product range as their document management solution for processing incoming application forms with supporting documents. VitalDoc is not only a central repository to store application data but also a managed system to process application from case creation to completion of subsidies. The system would also generate special reports as instructions for banks to release payment. Users can enjoy the benefit of easy searching, which improves the response for daily enquiries. Constitutional and Mainland Affairs Bureau The Hong Kong Economic, Trade and Cultural Office in Taiwan The Hong Kong Economic, Trade and Cultural Office in Taiwan (HKETCO) is a representative office located in Taiwan operated under The Constitutional and Mainland Affairs Bureau (CMAB). Its objective is to strengthen ties between Hong Kong and Taiwan. Our VITOVA product range was adopted by HKETCO as a document management solution to cater for their need for standardizing the internal filing structure and indexing profiles to conform to HKSAR Filing Policy and Security Guidelines. The VITOVA solution would help their staff speed up document management processes, saving time, costs and space. It also facilitates convenient backup and relocation of documents. 2 NewsNet Q2-Q3 2013

3 Promoting Group s EIM Products at Software Exhibition and Industry Seminars The Group exhibited our award-winning document management systems, VITOVA products, in the Software & Creative Industries Exhibition on August Jointly organized by Hong Kong Productivity Council and Chamber of Hong Kong Computer Industries, the event at HKCEC gathered various industries to showcase the latest trends of technologies that advocate intelligence and creativity. In recognition of VITOVA's recent successes, we were invited to be a Hong Kong representative to exhibit at the Shenzhen-Hong Kong-Macau Outstanding Software Pavilion. VITOVA representatives use this great occasion to expand brand exposure and explore business opportunities. They interacted with ICT professionals and potential customers with VitalDoc and VitalScan demonstrations. Hong Kong Productivity Council (HKPC) offered SMEs a valuable opportunity to start considering automation of management and business as a way to improve operation efficiency. Our VITOVA product specialist Ms. Iris Lin was invited to guest-speak to attendants at the seminar held on September 6. Iris demonstrated the application of VITOVA products with intelligent document filing and sharing to build a reliable base of automation. This is a great step of promoting automation in our competitive market that records over 300,000 SMEs striving to excel. C&T HRM Product Suite continues to gain market acceptance The Group s flagship HRM Product Suite - IPL HRIS continues to gain acceptance in both Hong Kong and China markets A number of organizations signed agreements with us for installation of our signature products, IPL HRIS and web-based IPL HRIS.NET, to cater for their HR operation needs. BOCI-Prudential Asset Management Limited (BOCI-Prudential) selected IPL HRIS, a comprehensive HR suite to enhance their HRM cost efficiency. Besides the essential IPL HRIS Core System, BOCI-Prudential selected Attendance and Training modules to manage their workforce schedule and review staff license or professional membership requirements. IPL HRIS helps automate BOCI-Prudential s HR operation thus releases HR users from administrative burdens and eliminate human errors. It also leverages the ready availability of systematic and statistical data to prepare instant and accurate analytical reports for management. Besides BOCI-Prudential, AEON Credit Service (Asia) Co. Ltd (AEON) is another well-known company in the consumer financial sector selected our HR products to manage their workforce attendance. As a one-stop solution, we provided recommendations to AEON in the sourcing of access and attendance control partner, resolving their payroll concerns specific to their unique attendance rules. Our customer list of new installation also covers customers from various industries, ranging from statutory body, media, sourcing, transportation and logistics companies, etc. We offer consultancy service for these organizations based on their industry characteristics. With IPL HRIS, each organization is given the highest flexibility to customize its own total solution that aligns with their long term HR strategy. NewsNet Q2-Q

4 Innovation and Proven Track Records of Group s HRM Software Wins Nationwide IT Awards Our HRIS product received a row of three mainland awards between April and June, marking three consecutive years of award recognition for our excelling strength of serving the immense market across the country. For two years becoming the one-and-only HRM solution winner, our HRIS received the China Outstanding Software Product Award (COSPA) 2012 at International ICT Expo on 15 April. The COSPA is the well-known ICT award event in the country, organized annually by the nationwide China Software Industry Association and supported by Ministry of Industry and Information Technology of PRC to foster the development of national-class software products and bridge the market gap between awarded brands and government departments and enterprises. Worldwide practitioners and potential clients also witnessed our HRIS receiving the China International Software & Information Service (CISIS) Annual Award at the CISIS Fair in Dalian on 20 June. The annual CISIS Fair is organized by Dalian Municipal People s Government as the only state-level and the most influential fair in the IT industry. The CISIS Annual Awards aim to lead the development of the software and information industry by fostering innovation and competition among practitioners. At the same occasion, our HRIS was also awarded the Shenzhen-Hong Kong-Macau Information Technology Award This award is jointly organized by Shenzhen Information Software Association, Hong Kong Software Industry Association, and Macau Productivity and Technology Transfer Center to recognize the IT achievements of enterprises in the three noted regions. The awarded HRIS product has reached a record of over 1,000 times of installation in large and multinational corporations, including Fortune-500 and Global-500 companies covering customers across the world. It has obtained superior comprehensiveness and flexibility through 20 years of improvement with our expertise. Such a unique position enables us to effectively serve customers in various regions and industries with unique business requirements. This year the product has also enriched its collaboration integration capabilities with ERP applications such as Dynamics NAV, PeopleSoft, SAP and Workday, thus uplifting the efficiency and accuracy of transferring information. New built-in functionalities also deliver the highest practicality by attending to the needs of different industries and different company sizes. HRM Best Practices Sharing to AgBank and HKIHRM Practitioners Two organizations invited the Group to share our experience in applying IT in HRM. Agricultural Bank of China led an exchange group of over 30 HR staff to Hong Kong and attended a seminar on June 18 given by Mr. Steve Yeung, Vice President of Corporate Development and Communications. Steve introduced the application of our IT business and HRIS product in the areas of bank staff training and services. This was the second arrangement organized by the Hong Kong Financial Services Institute to the Group in giving presentation to their selected mainland official mission. The Group is proud to share its strong IT experiences with the government professional officials. Invited by Hong Kong Institute of Human Resource Management, Steve delivered another presentation on June 28. Sharing with over 60 HKIHRM members, Steve presented his views on the emerging of cloud solutions to revolutionize HR operation and promoted the values of our cloud computing and HRIS product in the trend of heightened demand for cost savings and effectiveness. 4 NewsNet Q2-Q3 2013

5 Highlights of Solutions Business Successes SOA-QPS3 Contracts for Solutions Services As recognition of expertise and credibility in the SOA-QPS2 term, which expired after July, Solutions was granted three new standing offer agreements (SOAs) under the Government scheme of Quality Professional Services 3 (QPS3) for a period of 48 months until July With this new term, Solutions would provide the Government with a wide variety of IT professional services that cover three categories: on-going services (Minor Service Group of Category 2); implementation & combined system development services (Major Service Group of Category 3); and information security and independent testing services (Service Category 4). The Management believes this renewal is a major achievement to ascertain stable orders for our Solutions Services business from the Government in the coming four years. Solutions Services Serving Government and Enterprises In these two quarters, C&T Solutions was awarded a number of projects from various organizations of the Hong Kong SAR Government (Government) and large organizations to provide a wide arrange of professional services from application development services, software maintenance services, testing services to security audit assessment services. Among the projects, we were engaged to provide system analysis & design and system implementation & system integration for Implementation of Computer System for 2014/15 Household Expenditure Survey (HES) for the Census & Statistics Department; system implementation services for Upgrading HKAS Internal System for Innovation and Technology Commission; and system development, implementation and maintenance & support services for the Electronic Recordkeeping System for the Government Records Service. We were also entrusted to provide a number of security risk assessment and audit services for various Government departments, such as Labour Department, Department of Health, Education Bureau, Leisure and Cultural Services Department, Food and Environmental Hygiene Department and Hongkong Post. Our Security Team is honored to work for various Government departments and continue to contribute our expertise as in the previous projects. Other Major Project Wins of Solutions Services With a strong experience on government projects, Solutions was awarded by various government departments on several new contracts or extension of existing contracts. Included in the newly signed contracts, The Hong Kong Council for Accreditation of Academic & Vocational Qualifications (HKCAAVQ) enlisted us to upgrade their Qualifications Register (QR) website ( and its layout based on the functional specifications supplemented by the proposed screen shots and referenced to the Usability Analysis Technical Report (UATR). We were also awarded a new contract from Hong Kong Deposit Protection Board (HKDPB) to provide simulation test based on the information provided by two non-retail banks. Under the contract, we would develop a simulation test plan with detailed test schedules and test scenarios to include test execution, result recording and reporting. Our testing team has rich experience in system testing and will work closely with HKDPB to deliver professional services. NewsNet Q2-Q

6 ARCOMS Project Recognized in ICT Award by Reinventing Old-Industry Systems C&T Solutions and our renowned customer the Board of Management of the Chinese Permanent Cemeteries (BMCPC) jointly received the Hong Kong ICT Award 2013 for its All Round Cemeteries Operations Management Solution (ARCOMS). During the Awards Presentation Ceremony held at HKCEC on April 8, Mr. Steve Yeung, Vice President of Corporate Development and Communications, received the Best Business (Application) Award: Certificate of Merit on behalf of the Group. This is an encouraging recognition for our Solutions project team, which created the first cemetery management solution ever to win a Hong Kong ICT award and illustrated our distinguished abilities to adopt information technology in traditional industries. The Hong Kong ICT Awards were established in 2006 under a collaborative effort amongst the industry, the academia and the government to recognize, promote and commend the excellent achievements of Hong Kong ICT professionals and organizations. A unique project commissioned by BMCPC, the award-winning All Round Cemeteries Operations Management Solution (ARCOMS) successfully integrated all of the standalone BMCPC functions to cater for contemporary needs by applying innovative information technology. The Award truly revealed the outstanding quality and business acumen that our professional Solutions Service team brought to our customers. Events & Partnerships Lifestyle Portal Launched to Enhance Ge-TS Customer Benefits Our Ge-TS unveiled Lifestyle Portal as an innovative reward scheme to customers of electronic trade declaration. Under this scheme, Lifestyle Portal automatically accumulates the GET$ (Ge-TS Dollar) of registered customers upon their submission of trade declaration, and what they are simply happy to do is pick their own choice of rewards with their GET$ from time to time. To select their preferred gift items, customers are also offered the option to buy Ge-T$ with cash. Offering five ranges of popular rewards (Electronic & Photographic, Food & Drink, Health & Beauty, Household Products and Premium Services) from business partners, Ge-TS services are now moving ahead to shape our customers leisure lifestyle beyond simplifying their trade declarations at work. Gold Partner Certification for Excellent Cisco Network Integration Our Shanghai branch was once again awarded as Cisco Gold Certified Partner, the highest recognition of expertise in leveraging Cisco products and solutions with state-of-the-art network integration services. Behind the certification for this new term, , was a series of stringent tests in specialist expertise and quality management. This recognition in return guarantees a full range of support from Cisco for mastering their products and solutions and delivering better services to our clients. 6 NewsNet Q2-Q3 2013

7 Leveraging New OpenText Partnership to Maximize Client Reach Our Solutions attained the status of Authorized Partner from OpenText, industry leader in enterprise information management. Since incorporation in 1991, OpenText has helped more than 50,000 global customers build digital enterprises by discovering the potential power of information. Upon the authorization, in the term of we will work with OpenText to offer quality solutions, services and technologies, and our solutions will be listed on their online partner directory to reach their over 100-million users and website visitors. Enriching SME Workshops with New Partners Our Ge-TS recruited a number of new partners with expertise in various business areas and enlarged our scope of SME workshops to business law, logistics, negotiation, financial risk management, intellectual property rights, employee performance management, etc. Compared with the previous year, we recorded a leap in the number of workshops conducted. Among these popular workshops, our partner EOS Hong Kong Limited designated two senior professionals to share their expertise and insight on June 6 in a recent hot topic, controlling financial risks in adverse export conditions. The attendants from SMEs had the opportunity to study all the key elements from estimation of the upcoming trend and identification of risky debts to choosing appropriate control measures and debt collection skills. People & Places Relocation of SZ and SH Offices Our offices in Shenzhen and Shanghai were relocated as part of our plan to maintain sustainable growth in the mainland market. The new offices are conveniently located in popular IT hubs and provide better workplaces that fit the needs of our colleagues. Their new meeting rooms are equipped with upgraded facilities to improve the quality of staff briefings, business presentations and video conferences, which are particularly important for quality coordination among our branches in different cities. Supporting the Community Chest Dress Casual Day To support the charity and help the needy in our community, the Group took part in the Community Chest Dress Casual Day 2013 on September 27. We donated HKD5,000 in total contributed by our HK staff that aiming to benefit the 156 member social welfare agencies supported by the Chest. The 50 warm-hearted colleagues joined this meaningful charity activity and experienced a great Friday with casual dressing at work. NewsNet Q2-Q

8 Movie Leisure Night with Iron Man 3 A relaxing Friday night again! Thanks to top management s continuous support, the Group for the 3rd time organized an after-work movie show on April 26 to gather and entertain colleagues. Same as the two previous movie shows, that night featured an amazing blockbuster, Iron Man 3 in 3D, in front of around 130 colleagues and their family members at UA City Plaza. Casting popular Marvel Comics character Iron Man, this superhero movie presented a combination of humor and sensation that simply created an enjoyable time for everyone. Committing to Happy Organization and Industry Cares The Group received the Happy Organization label for 2013 in recognition of our pledge to maintain a happy workplace for our staff and raise their happiness-at-work level. This is the goal we share with the Promoting Happiness Index Foundation and the Hong Kong Productivity Council, which co-organize the Happy Organization Label Scheme. Actively advocating corporate social responsibility (CSR), the Group also received the Industry Cares certificate from the Federation of Hong Kong Industries (FHKI). FHKI set up the Committee on Promoting Corporate Social Responsibility in 2011 and launched the Industry Cares scheme to advocate CSR and encourage and acknowledge members active participation. As part of the Group s commitment to being a socially responsible enterprise, we continue to initiate activities and plans to help our staff maintain work-life balance and improve the quality of life. We also actively contributed to the local community, e.g. sponsoring the 1st HKCS IT Career Expo 2012 and HKPASEA Leadership Mentoring Competition. Suggestion Box To make the NewsNet more interesting, we want to listen your comments and ideas. Please send to Suggestion_Box@ctil.com Thank You! Computer and Technologies Holdings Limited (SEHK: 00046) 29/F and 30/F, Prosperity Millennia Plaza, 663 King's Road, North Point, Hong Kong Tel : (852) Fax : (852) info@ctil.com Web : The following are subsidiaries of Computer and Technologies Holdings Limited: Computer And Technologies Integration Limited (C&T Integration) Computer And Technologies (Shanghai) Co., Ltd. (C&T Shanghai) Computer And Technologies Solutions Limited (C&T Solutions) Global e-business Services Limited (GO-Business) Global e-trading Services Limited (Ge-TS) IPL Research Limited (IPL) VITOVA Limited (VITOVA) Y&A Professional Services Limited (Y&A)