Richard Li and PCCW: Meeting the Challenge of SARS
In the early spring of 2003, the SARS virus (Severe Acute Respiratory Syndrome) spread from southern China into Hong Kong. The virus infected over 1,750 people in Hong Kong and threatened the economy with quarantines, high worker absenteeism and lack of confidence in the market. Hong Kong's business community faced a formidable challenge. Under the leadership of Chairman Richard Li, PCCW rose to meet that challenge.
The Government of Hong Kong was not fully prepared for SARS and drew on aid and donations from the private sector to contain the virus. The outbreak hit during a hard year for PCCW. The company, the largest telecom in the territory, already faced immense local competition and years of falling stock prices. SARS threatened to send the giant into a tailspin.
But despite the real threat of SARS, Richard Li and PCCW maintained their course. Not only did PCCW survive, but the company also provided Hong Kong with much needed money and emergency aid during the outbreak, including contributing special communications centers quarantine camps and free phone services.
In May 2003, PCCW joined forces with the Hong Kong Hospital Authority to provide video conferencing for SARS patients at the United Christian Hospital. Working with nine non-governmental organizations, videoconferencing services were extended to several other hospitals, enabling SARS patients in quarantine-wards and also medical staff in voluntary quarantine to communicate with their families.
Similar services link the homes and isolation quarters of doctors, nurses and other medical staff, enabling quarantined front-line medical personnel treating SARS victims to remain in touch with their families.
Medical authorities note that family support is critical to the recovery process, meaning that PCCW is able to contribute to community health and welfare by offering the latest communications technology.
PCCW also contributed special hotlines for medical consultation with outpatients, for medical and legal advice and for Community Chest donations; call-center facilities and company volunteers to help with local cleaning and education campaigns.
Schools were closed and a story time hotline was set up so that children, kept at home to prevent infection, would have something to occupy their time. Other hotlines were established in order to raise funds for Operation UNITE Fund, Hong Kong's official SARS charity. Finally, PCCW donated HK$1 million to the Business Community Relief Fund for Victims of SARS.
These efforts would not have been possible without strong support. Richard Li praised the hard work and volunteer efforts of PCCW employees in his annual report. "I wish to thank PCCW's people for their contribution to Hong Kong's fight against SARS. Our people served the community through the company's efforts to ease social and economic hardships- and many gave up their free time to work as volunteers."
Richard Li's rapid response earned the company an Outstanding Award for Fighting Against SARS, one of the highest honors for a business in Hong Kong. Despite sending 12 percent of their workforce home, sanitation education, teleconferences, and self-quarantining practices allowed PCCW to maintain a stable work environment throughout the crisis.
At the company level, it tested the company's resilience and crisis management programs. The Company emerged in a stronger position - as did Hong Kong as a whole.
This level-headed approach permitted the company to meet increased demand for internet and phone service at the peak of the crisis - and the company turned a modest profit that year. According to a 2003 interview with Li, Hong Kong weathered SARS because of the "resilience and capacity for rapid adjustment" of the people.
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