UFIDA Software Co. Ltd is China’s largest supplier of management software, employing approximately 6,000 staff. Founded in 1988, the company has recently further expanded its Hong Kong office, choosing to set up its International Product Development Centre in the city.

Growth of the Hong Kong office

In 2003, UFIDA opened a small office in Hong Kong, employing four staff. The office dealt with lots of enquiries from within the Asia Pacific region and worldwide, because Chinese businesses were increasingly internationalising and required bespoke management software solutions. The Hong Kong office was best placed to manage these enquiries. The staff could easily travel in the region to provide the necessary in-house after-sales client support and also had the required language skills, including Cantonese, Mandarin and English. They became established and skilled in the UFIDA products and its business.

So, it was logical for the Hong Kong office to be responsible for the training of all UFIDA staff in the region. “By default, the Hong Kong office became the regional headquarters,” says Mr Frederick Kong, General Manager of UFIDA (Hong Kong) Co. Ltd.

Over the last 4-5 years, the Hong Kong business has grown by more than 400 to 500%, and the number of staff has increased from four to 20. Increasingly, UFIDA software needs to be internationalised as well as localised to meet the requirements of global clients based in Thailand, Japan, Singapore and elsewhere in the region.

“This adaptation could be carried out in the Mainland or Hong Kong, but it was more efficient to have the developers based in Hong Kong. Therefore, we set up the International Product Development Centre in Hong Kong,” explains Mr Kong.

Why Hong Kong?

Before UFIDA set up its first overseas office, it was approached by countries in the region offering tax breaks and other inducements. However, the company still decided to internationalise via Hong Kong for some compelling business reasons:

• Hong Kong is very close and convenient in terms of distance from the Mainland.
• It is not difficult to employ talented staff fluent in Mandarin and English – the language of international business.
• Hong Kong has an independent and transparent legal system.
• It is very easy to get up-to-date information, whether about China, the region or the rest of the world.

“As a company going global, we found that Hong Kong is a very good place to explore the international marketplace and to research what other companies are doing and the needs of existing and potential clients, in order to fine tune our own solutions. Hong Kong people, both locals and expatriates, have a lot of international business exposure and experience and knowledge that they can bring to UFIDA – helping to shape the future culture of the company,” explains Mr Kong.

Future Plans

In setting up the International Product Development Centre, UFIDA will be employing an extra nine staff: a Chief Architect, Chief Developer and Product Manager from the Mainland, and six Product Developers from Hong Kong. The research and development will initially focus on two core products for the Hong Kong market. They include a manufacturing software solution to enable companies to monitor and oversee the smooth running of their factories in Mainland China from their head offices in Hong Kong, and a corporate finance solution to provide complicated consolidating reporting for conglomerates in Hong Kong operating 100 plus companies.

“The Hong Kong expansion is a very important part of UFIDA’s long-term business. We have a three-year plan to fine-tune existing software to meet the needs of the Hong Kong and Asia Pacific markets. This year, our target is to increase revenue 100%; in the following two years, we expect our income to rise a further 100% and 50%,” says Mr Kong.

InvestHK services

Mr Kong is full of praise for the support and services that InvestHK provided to UFDIA (Hong Kong) Co. Ltd. He said, “InvestHK were very helpful when we were setting up the new office and continued to help our business success. They provided all the information on the legal situation, including employment laws and regulations, cultural norms, finding an office and visa applications. They attended our opening and events as VIP guests, provided media advice and ongoing business networking opportunities. They have helped a lot.”

Hong Kong: two-way platform for international business

“A question lots of companies ask me is should they establish a regional centre in Hong Kong or go direct into China. I believe Hong Kong has lots of talent, including a good legal system and multi-lingual workforce knowledgeable in business in the Mainland. If a company has a presence in Hong Kong, it can utilise the city as a gateway to Mainland China,” Mr Kong concludes.

www.ufida.com