Annual Report 2000 - 01

Introduction

Financial Performance

In the year ended 31 March 2001, we achieved a net profit after taxation of $92.3 million as against $77.3 million projected in the Business Plan. Overall revenue decreased by $36.7 million (a decrease of 8 % over the previous year) while the operating expenses decreased by $ 24.4 million (a decrease of 7%), resulting in a return on average net fixed assets of 25.7%. This outturn will enable the Land Registry to continue its investment in the Colour Imaging of Plans and the Strategic Change Plan to bring about even more efficiency at reduced cost. There was no increase in statutory fees during the financial year. There has been no increase since June 1996.

Business Volume

The business volume in various areas decreased when compared with the previous financial year. The number of documents lodged for registration dropped by 3 % when compared to 1999/2000 and by 27 % when compared to the peak year in 1997/1998. Searches of land registers and records were down by 3.4 % on the previous year and by 32.7 % on the peak year. Copies of imaged land records and certified land records were down by 9.2 % and 20% respectively when compared to the previous financial year.

Due to the decrease in workload, permanent staff were reduced from 593 at the beginning to 570 at the close of the financial year, representing a reduction of 3.9%. Some staff were deployed to prepare reports on title for the Buildings Department to assist in their operations - reports for 859 buildings involving 30,140 units were prepared in the financial year.

Performance Pledges

Despite staff reductions during the year, all performance targets were met or exceeded. As part of our continuous commitment towards meeting customers' needs and expectations, enhanced performance pledges were introduced in 2000/2001. The certification of computerised land registers standard through the Direct Access Services was reduced from four to three working days while the approval of the Memorial Day Book applications was reduced from three to two working days.

Service Imporvements

Following the success in the introduction of the Cross District Search service in the Central Search Office in Queensway on 2 January 1999, we extended this improved service to our New Territories customers on 3 October 2000. Customers can conduct land searches and place orders for land registers and land records for properties anywhere in Hong Kong.

Our major computer systems were enhanced. On the Land Registration System side, in July 2000 the Monthly Memorial Information on Mortgage Transactions was provided on compact disc to customers. The remote order screen of the Direct Access System was improved in January 2001 to provide a more stable and reliable system performance. For the Document Imaging System, an enhancement to control the flow of remote orders was implemented in July 2000 and a database health check was conducted in March 2001 to enhance the reliability and further improve the performance of the system.

The 33rd edition of the Street Index was released for sale in compact disc on 2 January 2001. It has been improved to allow for direct retrieval from the compact disc without prior downloading and an additional retrieval key using Chinese street names. The long-awaited New Territories Lot/Address Cross Reference Table on compact disc was released for sale for the first time on 25 April 2000. This enables convenient retrieval of data and helps land searches of properties in the New Territories.

The project on the Colour Imaging of Plans has been progressing smoothly. The tender notice for the project was gazetted on 22 September 2000 and tender evaluation is now underway. When the project is implemented, our customers will be able to obtain good quality colour plans quickly.

The Land Registry is committed to complying with intellectual property law. Software Asset Management was fully implemented in December 2000. No unauthorised software was found during implementation. The Software Asset Management will be an on-going process.

The Land Registry's Local Area Network users were connected to the Central Cyber Government Office (the Government Intranet Service) in May 2000 and to the Secure Central Internet Gateway system in December 2000. Our staff can access Government materials, disseminate information and communicate with members of the public in a more secure, fast and convenient manner.

Strategic Change Plan

The Land Registry has made steady progress in 2000/2001 in implementing the Strategic Change Plan. This aims to provide faster registration and search services and simpler and more cost-effective conveyancing. Thanks to the work of the various Task Forces led by managers and in-house IT experts, the 500 pages tender document was gazetted on 19 January 2001. The tender calls for proposals for digital imaging, Chinese language processing, internet technology, on-line processing, high level security measures, other leading edge technologies and best practices. It is expected that the contract will be awarded by the end of 2001. System development will take 18 to 21 months, so the first phase of the Integrated Registration Information System should be delivered in mid-2003.

In order to involve every staff in the change process and to keep them up-to-date on the development of the change programme, a quarterly newsletter, the ChangeNEWS, was published for the first time in April 2000. To keep customers and members of the public abreast of the change, a publicity pamphlet, " Strategic Change & IT Renewal - for the Benefit of Our Customers" was produced in August 2000.

Training

The Land Registry has adopted a strategic approach on staff training and development by linking training and development initiatives to departmental goals and objectives, reviewing training policies and plans regularly and promoting a continuous learning culture. Each year, there is an annual staff development theme. " Change in Action: Rebuilding for Further Success" was the theme for 2000/2001 with the aim to reinforcing the change momentum in support of the implementation of the Strategic Change Plan. The theme training workshops were well received and attended by 430 staff, representing 77% of the total workforce, a record high participation rate.

The Training Unit also organised a variety of in-house training activities to equip staff with the necessary knowledge and skills to cope with the business needs of the department. Major activities included IT, language, writing skill and management courses. Computer-based self - learning programmes are popular in the Land Registry. Among the various programmes, 461 staff attended the training on "Stress Management" and "Customer Service".

The Land Registry supports the Civil Service Reform initiatives in promoting a culture of continuous learning and livelong development. To this end, self-learning is encouraged in the Land Registry. Videos, CD-ROMs, books and periodicals are replenished regularly; the Learning Resource Centre is opened during lunchtime on Mondays and Wednesdays and computer booths for self-learning purpose had been installed in each of the nine outstation offices.

In November 2000, the Land Registry participated in the Civil Service Training and Development Institute Best Practices in Human Resource Development Award 2000 and won an Award of Merit.

Legislative Amendments

The Land Registration (Amendment) Bill was introduced into the Legislative Council in January 2001. The amendments cover implementation of the various improvements on the current registration procedures, such as temporary withdrawal of instruments, registration of certain certified copy documents and a new power for the Land Registrar to remove long pending entries of instruments withheld from registration. It also caters for the implementation of the Integrated Registration Information System.

The Land Registry has been further reviewing the Land Titles Bill in the light of comments received from various consultations. It is anticipated that the Bill will be ready for introduction into the Legislative Council in 2001/2002.

Looking Ahead

Taking over as Land Registrar at the end of the department's eighth year of operation, I cannot claim credit for the work done by the staff under my predecessors Kenneth Pang - who established the department and trading fund - and Anthony Cooper - who put in place the Strategic Change Plan in the midst of the roller coaster swings in the property market between 1997 and 2000. A strong team and a clear vision have been established. The task ahead is to turn plans into real reforms of our operations and customer services. And we have to ensure that our vision and values are fully reflected in every aspect of internal performance and public service.

The coming year will see the introduction of a new service of colour imaging of plans. While this represents a significant capital investment it is simply an upgrading of an existing service. Of fundamental significance to the Land Registry is the passage of the Land Registration (Amendment) Bill. This will allow immediate improvements to registration procedures. It will also open the way to implementation of centralized registration services once the first phase of IRIS is up and running in 2003. We are also aiming to introduce the Land Titles Bill into the Legislative Council by the end of the year. If passed, that will allow us to proceed to the second phase of IRIS and to achieve the goal of transforming Hong Kong's 19th Century land registration framework into a system that will give assurance to the property owners of the 21st Century that they have security of possession.

The new legislation and information management systems are vital building blocks, but their use and benefit to the community depend upon the staff of the Land Registry. Ensuring that we have the skills, commitment and initiative to deliver a new organization that will give a greatly improved business service to the community - and that we maintain momentum for improved quality of management and service beyond the present plans - are equally vital matters for the department.

Over the coming year, as the various divisions get on with the heavy workload of assessing tenders, preparing legislation and managing our core business of land registration services, I will be making time to review with staff whether our stated mission and goals are still what our customers require; whether we are doing enough in staff training and quality of management to put our stated values into practice; and, whether we have identified all the opportunities that the coming changes will give us to provide new services to the community over the next ten years.

I look forward to working for all the customers of the Land Registry. I count myself fortunate to have come to a department that has shown itself to be a leader in the improvement of public services. I have no doubt that everyone in the department will work with me as they have with my predecessors to serve the community well


K. A. Salkeld, J.P.
The Land Registrar & General Manager
The Land Registry Trading Fund, Hong Kong
6 September 2001

Major Events in 2000/2001