Striving to Raise Artistic Standards and Enhance Corporate Governance

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Striving to Raise Artistic Standards and Enhance Corporate Governance Council Chairman Dr. Carlye W. L. Tsui expresses deep regret over the false and exaggerated allegations made by the three principals, and is surprised to learn of their meeting with the press without first seeking internal communication. The Council gives full support to the Executive Director and Artistic Director and reaffirms their indisputable merits in their capacities as directors of the Orchestra. English Version of Chinese Press Release issued on 25.1.2015 Striving to raise artistic standards and enhance corporate governance The Hong Kong Chinese Orchestra would like to respond to public statements made on 25 January 2015, by individuals who are either current or former members of the Orchestra, viz: The Hong Kong Chinese Orchestra Limited took over management of the Hong Kong Chinese Orchestra in 2001. Its Council Members, who come from the fields of music, law, marketing, accounting, finance, education, publicly-listed companies and corporate management andare broadly representative of various sectors of society, have brought with them professional experience and expertise from various trades and professions, and balanced the interests of all stakeholders. Among them, one third is appointed by the government according to the company’s constitution. The Home Affairs Bureau also has a representative in attendance at the Orchestra’s council meetings for effective supervision. The Audit Commission also carried out “value-for-money” audits in 2009, covering comprehensively all matters relating to the Orchestra’s corporate governance, main activities, human resources management and other administrative concerns, and made relevant recommendations. In a meeting with the Public Accounts Committee of the Legislative Council, representatives of the Home Affairs Bureau and the HKCO followed up on the questions raised and recommendations made in the Audit Commission’s “value-for-money” report, and all follow-up work has been completed. It is well-known that since its incorporation, the Orchestra has made tireless efforts to reform and implemented best-practice corporate governance, which earned it the Best Corporate Governance Disclosure Award and Directors Of The Year Award in 2004. The Orchestra has never ceased to increase its transparency, enhance communication and make permanent all systems according to best-practice governance principles. In fact, the allegations in questions have been raised before and dealt with; in the past few years, the Orchestra has already put them to the Home Affairs Bureau, the Secretariat of the Legislative Council, the Public Complaints Office of the Legislative Council, and individual Legislative Councillors and other government departments, that the allegations are not fact-based and the alleged inappropriate behavior non-existent. The Orchestra has always maintained good communication with the professional music sector. Internally, it has made available ready channels for complaint and appeal, and welcomed communication over matters concerning the Orchestra. In the present case, the individual members in question have not made use of this channel but have instead demanded meeting directly with the Council. The latter is flexible about their demand, and hopes that an open and sincere exchange will present the facts and clear away any misunderstandings among the parties so that the Orchestra will continue to work together in pursuit of excellence for the Orchestra. Apart from the effective supervisory measures of the Hong Kong government, the Council of the Orchestra has always managed the Orchestra with a high degree of accountability and under the principle of best practice corporate governance. The Council and the four committees under it (Finance and Audit Committee, Marketing Committee, Human Resources Committee, and Nomination committee) meet regularly to discuss in depth management and operation issues. It has the overall interest of the Orchestra as its guiding principle, and observes closely the conservation of its resources and the appropriate use of public funds. The Orchestra’s accounting has always been open to the public and is reported in its annual report, which can be accessed on its website. In order to manage the Orchestra effectively, the Council and Committees vet annually the governance handbooks of the various sections of the Orchestra, and the management supervises the daily operations of the Orchestra according to established procedures. While observing closely the principle of optimal use of public funds, the Orchestra never fails to promote Chinese music and its efforts are hailed by the music circles as well as other sectors in society. Parallel to the pursuit of excellence, the Orchestra is also aware of its social responsibility: it researches and promotes eco-friendly musical instruments, and through repeated improvements, enhances the instruments’ effectiveness and sound quality. Regarding the governance and operation of the Orchestra, all efforts are geared strictly towards promoting the interest of the Orchestra. As for human resources management, there is in place a system that stresses engaging the service of the most apt and suitable, a fair rewarding system, a human-based management style, wider opportunities for members who have achieved a higher level of performance, and suitable re-deployment for veteran members whose performance is becoming less satisfactory. In line with the long-term development of the Orchestra, re-deployment is inevitable. The Orchestra has also in place strict recruitment procedures which include the commissioning of senior members in the music circle to serve as recruitment panel members under the principles of openness, fairness and impartiality. In view of Mr. Wong On-yuen’s departure from the Orchestra as from 1st September 2008 (the Chinese nomenclature for the post of “concertmaster” having been changed from “團長”to “樂團首 席”), the Council had held many in-depth discussions concerning the enhancement of the huqin section within the overall development of the Orchestra, and solicited the opinions of experts. Upon the Council’s discussions and resolution, the Orchestra began public recruitment for the post of “Huqin Principal”. Following stringent selection procedures, and after six rounds of rigorous assessment, the recruitment panel, including external professionals, selected Zhang Chongxue for the said post. (Appendix – Press Release). To align with the future development of the Orchestra, raise the artistic standards of the strings section, and reserve talent for the future post of Concertmasterof the Orchestra, the Council has discussed on many occasions the further restructuring of the string section. From 1st September 2015, the functions of the existing Gaohu Principal, Zhonghu Principal and Erhu Principal will be expanded and the posts upgraded to “Co-principal of Huqin and Gaohu Principal”, “Co-principal of Huqin and Zhonghu Principal” and “Co-principal of Huqin and Erhu Principal” respectively so as to assist the Huqin Principal in leading and managing the entire huqin section. The posts concerned have already been advertised and announced in internal circulars. Applications from current Gaohu, Zhonghu and Erhu principals, other members of the Orchestra and outsiders who qualify are welcome. Applications remain open until 31 January 2015. ------------------------------------------------------------------------------------------------------------------------------ Media Enquiries: Tracy Huang Kelly Lee Head of Marketing & Development Marketing Manager Tel: (852) 3185 1608 Tel: (852) 3185 1670 Email: [email protected] Email: [email protected] Fax: 2815 5615 HKCO Website: www.hkco.org Hong Kong Chinese Orchestra is financially supported by the Government of the Hong Kong Special Administrative Region Hong Kong Chinese Orchestra is a Venue Partner of the Hong Kong Cultural Centre .
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