Leading by Example - Singapore Technologies Engineering

PART IGOING THEDISTANCExix

LEADING BYEXAMPLE

At The Book ClubBoard Of Directors“When I commit to a cause,be it in my personal life orthe vision for the company,I believe in giving it my bestand going the full distance.Success can only be achievedwith true commitment to acause, a vision or a dream.”PETER SEAH LIM HUAT,CHAIRMAN“Coming from humblebeginnings has taught menever to take anything forgranted and to treasure everybit I have. Never be afraidto dream, and to work hardtowards that dream. Thereare no short cuts in life, andno promises. But if you'repassionate enough aboutwhat you believe in, you cansucceed.”TAN PHENG HOCK“After a long stint as afinancial regulator,adjusting to and meetingthe challenges of theprivate sector is excitingfor me. Particularly inmanufacturing andtechnology, which areentirely different fromfinance. I intend to leverageon my background to delivervalue to shareholders bystriking a balance betweensound financial managementand commercialconsiderations.”KOH BENG SENG“I love working onchallenging assignments. Itgets my adrenalin allpumped up and requires meto focus all my energy andabilities to deal with the task.Always one to look on thebright side, I treat alldifficulties not as problemsbut as challengingopportunities.”TAN GUONG CHING“We all have one life, andit's up to us what we makeof it. No one owes us successin life, and it's up to us tochoose what is importantand work hard towards it.For me, I would be happy toknow that I have done mybest and that I have been ablessing to my friends andloved ones.”MG NG YAT CHUNG“I have been in public servicesince I graduated as I feelthat there is so much to doto help make Singapore abetter place to live and towork in. But as governmentadministration is anextremely complex processwith the needs ofSingaporeans so diverse andever changing, there is noend of things to be done inthe limited time andresources available.”DR TAN KIM SIEW“My teachers at schooland the Boy Scouts helpedchannel my energy intodiscoveries and having fundoing things. They let meskip classes to collect filmsfrom distributors for ourFriday school viewings, andhave a free run of the Physicslab to improvise newexperiments. Withencouragement and practice,dreaming and doing becamesecond nature.”PROF LUI PAO CHUEN“Being the youngest in thefamily with seven siblings hastaught me the meaning ofservice excellence, especiallysince I was always imposedwith high standards andexpectations. For me, successmeans being able to satisfyall those I care for, whetherit's my family, bosses,customers, subordinates orfriends. This value hasalways spurred me to greaterchallenges.”WINSTON TAN TIEN HIN

TAN GUONG CHINGBG BERNARD TANKOK KIANGMG NG YAT CHUNGWINSTON TANTIEN HINPROF LUI PAO CHUENDR PHILIPNALLIAH PILLAI

DR TAN KIM SIEWQUEK POH HUATPETER SEAHVENKATACHALAMKRISHNAKUMARTAN PHENG HOCKKOH BENG SENGLUCIEN WONGYUEN KUAI

Print To ScreenSenior Management“Going the Distance” is the chronicle of ST Engg’s search for businessexcellence. It is a story filled with opportunities and challenges, resilienceand flexibility, energy and passion. Here at the Book Club, the ST Engg Boardof Directors prepare for the launch of the book that traces the Group’sjourney through 2003. Hot off the press and ready to hit the streets.JOHN G. COBURNChairman and CEO,US Operations“One of my favourite Bibleverses is from MicahChapter 6, Verse 8: “Andwhat does the Lord requireof you? But to act justly andto love mercy, and to walkhumbly with your God.” Asa lawyer, I could identifywith that calling. I havetried, consciously orotherwise, to excel in mylegal career by acting justlyand loving mercy.”LUCIEN WONG YUEN KUAI“Hope for a better Age(Auspicium Melioris Aevi)encapsulates the Singaporestory of the hope and faithof exceptional leadership,which under stress tests,revealed qualities ofexcellence, honesty, courageand endurance. AllSingaporeans have a betterlife as a consequence. Thetruths of faith and hopeshape and sustain me.”DR PHILIP PILLAI“After working withcolleagues from NationalService days to TemasekLinked Companies tooverseas businesspartnerships, my greatesttakeaway from my careerwill always be the many longlasting friendships fostered,and the smiling faces of theyoung ones as theyconfidently overcome theirtests and tribulations ofworking life. It is so satisfyingto see them emerge, pickthemselves up, and climbhigher and higher.”QUEK POH HUAT“I have an old plasticframe on my desk my wifegave me years ago. It holdsa saying, “If you have adream, never let it go. Fordreams are little seeds fromwhich tomorrows grow.” Itisn’t great poetry but it is aninspiring thought. I oftenwish I had the courage tofollow it always.”VENKATACHALAMKRISHNAKUMAR“From an early age, I wastaught that the only thingrestricting a person fromachieving great things is thelimits he chooses to imposeupon himself. Life istherefore a journey ofconstantly pushing theboundaries of what ispossible – and mostimportantly, one must havefun doing it!”BG BERNARD TAN KOKKIANGTAY KOK KHIANGPresident,Aerospace SectorSEAH MOON MINGPresident,Electronics SectorTAN PHENG HOCKPresident and CEO

Teamwork is a critical component of any major production. The performancedelivered by ST Engg in 2003 is the culmination of strong fundamentalsbolstered by Senior Management's ability to leverage each other'sstrengths for the best results. Stay tuned for the sequel in 2004.WEE SIEW KIMPresident,Defence BusinessWU TZU CHIENPresident,Land Systems SectorSEE LEONG TECKPresident,Marine Sector

SINGAPORE TECHNOLOGIES ENGINEERINGAnnual Report 2003ProfilesBOARD OF DIRECTORS & SENIOR MANAGEMENTDIRECTORS’ PROFILEThe names of the Directors holding office at the date of this report areset out below together with details of their academic and professionalqualifications, date of first appointment as directors, date of lastre-election as director as well as directorships in listed companies.Peter Seah Lim HuatMr Peter Seah Lim Huatwas appointed non executiveChairman on 15 April2002. He was last re-electedas Director on 3 April2003. He is President andChief Executive Officer ofSingapore Technologies PteLtd and also a member of theBoard of Directors. He wasa banker for 33 years beforeretiring as Vice Chairmanand Chief Executive Officerof the former Overseas UnionBank in 2001. Mr Seah isChairman of SembCorpIndustries Limited* andsits on the boards ofCapitaLand Limited*,Chartered SemiconductorManufacturing Ltd#,ST Assembly Test ServicesLtd# and StarHub PteLtd. Mr Seah is alsoPresident Commissionerof PT Indonesian SatelliteCorporation Tbk. His otherappointments include beinga member of the Board ofSiam Commercial BankPublic Company Limitedand Economic ReviewCommittee’s Sub-Committeeon Policies Related toTaxation, The CPF System,Wages and Land. He is alsoa member of the Institute ofDefence and Strategic Studies.Mr Seah also serves on theBoard of the Governmentof Singapore InvestmentCorporation and is Chairmanof EDBV Management PteLtd. He is also the VicePresident of the SingaporeChinese Chamber ofCommerce and Industry andTreasurer of the SingaporeBusiness Federation. MrSeah was awarded the PublicService Star (Bintang BaktiMasyarakat) for his roleas Chairman of the Sub-Committee on Finance andBanking, Committee onSingapore’s Competitivenessin 1999. Mr Seah graduatedfrom the former Universityof Singapore in 1968 with anHonours degree in BusinessAdministration.Tan Pheng HockMr Tan Pheng Hock isthe President and CEO ofST Engg and an executiveDirector. He was appointedDirector on 1 May 2001.He was last re-elected asDirector on 3 April 2002.Mr Tan sits on the Boardof SembCorp Marine Ltd*.He is also a member of theTemasek Defence SystemsInstitute, Singapore Trainingand Development AssociationAdvisory Council and theConsultative Committeeof the NUS Department ofMechanical Engineering.Mr Tan began his careerwith the Group as anengineer in Singapore8

LEADING BY EXAMPLEChapter One: ProfilesTechnologies Marine Ltd(“ST Marine”) in 1981.Mr Tan’s previousappointments includedExecutive Vice President ofST Marine, President ofST Kinetics, President &Chief Operating Officer ofST Engg and ST Engg GroupPresident. Mr Tan holds aBachelor of Science (MarineEngineering) (First ClassHonours) from the Universityof Surrey and a Master ofScience in Management fromStanford University, USA.Koh Beng SengMr Koh Beng Seng iscurrently a Board Memberand Deputy President ofUnited Overseas BankLtd* (“UOB”). He wasappointed our independentnon executive Director on15 September 2003 andwill be due for re-electionat this coming AGM underArticle 104 of our Articlesof Association. Prior to hisappointment with UOB, hewas the Senior Advisor toAsia Pulp & Paper Co Ltdand Advisor to the Bank ofChina. Mr Koh is active inthe financial services sectorand was with the MonetaryAuthority of Singapore from1973 to 1998, where heserved as Deputy ManagingDirector from 1988 to 1998.Mr Koh joined the IMF asadvisor for the reform of thefinancial sector of Thailandduring the period 1998to 2000. Mr Koh holds aBachelor of Commerce (FirstClass Honours) from theformer Nanyang University,Singapore and a Master ofBusiness Administration fromColumbia University, NewYork, USA.Tan Guong ChingMr Tan Guong Ching iscurrently the PermanentSecretary of the Ministryof Home Affairs. He wasappointed our independentnon executive Director on1 October 1997. He will bedue for retirement and willnot seek re-election at thecoming AGM. Mr Tan chairsthe Boards of SP PowerGridLtd, Singapore TechnologiesTelemedia Pte Ltd andStarHub Pte Ltd and is also aDirector of Singapore PowerLtd. He holds a Mastersin Chemical Engineeringfrom McMaster University,Canada.Major-General (MG)Ng Yat ChungMG Ng Yat Chung is theChief of Defence Force. Hewas appointed non executiveDirector on 15 June 2003and will be due for re-electionat this coming AGM underArticle 104 of our Articlesof Association. He joinedthe SAF in 1979 and wasawarded the SAF OverseasScholarship in 1980. In thecourse of his military career,he has held various keycommand and staff positionsin the Ministry of Defence.MG Ng is a Council Memberof the National Universityof Singapore. MG Ng holdsa Bachelor of Arts (Hons)(Engineering TRIPOS) and aMaster of Arts (Mathematics)from the University ofCambridge, UK as wellas a Master of BusinessAdministration from StanfordUniversity, USA.Dr Tan Kim SiewDr Tan Kim Siew is SecondPermanent Secretary,Ministry of Defence. He was9

SINGAPORE TECHNOLOGIES ENGINEERINGAnnual Report 2003appointed our non executiveDirector on 15 December2003 and will be due for reelectionat this coming AGMunder Article 104 of ourArticles of Association. Priorto his present appointmentwith the Ministry of Defence,he was the Deputy Secretary(Policy) with the Ministryof Finance. He was formerlythe CEO and Chief Plannerof the Urban RedevelopmentAuthority from 1996 to2001. Dr Tan is a Director ofKeppel Offshore & MarineLtd and HDB CorporationPte Ltd. Dr Tan holds aBachelor of Arts degree inEngineering Tripos and aPhD in Engineering from theUniversity of Cambridge, UK.Professor Lui Pao ChuenProfessor Lui Pao Chuen isthe Chief Defence Scientistin MINDEF. He has beenour non executive Directorsince 1 October 1997 andwill be due for re-electionat this coming AGM underArticle 98 of our Articlesof Association. ProfessorLui sits on the managementboards of various scientificand research institutes. Heis also an Adjunct Professorin the Engineering Facultyof the National Universityof Singapore. He is also amember of the Board ofSembCorp Engineers &Constructors Pte Ltd, asubsidiary of SembCorpIndustries Ltd and isChairman of the ManagementBoard of Temasek DefenceSystems Institute andTemasek Laboratories, NUS.Professor Lui graduated fromthe former University ofSingapore with a Bachelor ofScience (Honours) in Physicsand obtained a Master ofScience degree in OperationsResearch & SystemsAnalysis from the U.S. NavalPostgraduate School, USA.Winston Tan Tien HinMr Winston Tan Tien Hinis the Managing Directorof Corporate BrokersInternational Pte Ltd.He was appointed ourindependent non executiveDirector on 1 October 1997and will be due for re-electionat this coming AGM underArticle 98 of our Articles ofAssociation. Mr Tan is alsoa Director of Ascendas PteLtd and a Member of theSalvation Army AdvisoryBoard. He holds a Bachelorof Science degree in Physicsfrom the former Universityof Singapore.Lucien Wong Yuen KuaiMr Lucien Wong Yuen Kuaiis the Managing Partner ofAllen & Gledhill. He wasappointed our independentnon executive Director on1 October 1997. He was lastre-elected on 30 March 2001.Mr Wong is a Director ofCapitaLand Limited*, JohnHancock Life Assurance Ltdand Raffles Investments Ltd.Mr Wong graduated fromthe former University ofSingapore with a Bachelorof Law (Honours).Dr Philip Nalliah PillaiDr Philip Nalliah Pillai iscurrently the Senior Partnerof Shook Lin & Bok. He wasappointed our independentnon executive Director on1 April 2000 and was lastre-elected on 30 March 2001.Dr Pillai is a Director ofHotung Investment HoldingsLimited*, Lindeteves-Jacoberg Ltd*, SingaporePress Holdings Limited*and a Board member ofthe Monetary Authority10

LEADING BY EXAMPLEChapter One: Profilesof Singapore. He is also amember of the Board ofGovernors of the SingaporeInternational Foundation.Dr Pillai obtained his LL.B(First Class Honours) fromthe former University ofSingapore, LL.M and SJDfrom Harvard University,USA.Quek Poh HuatMr Quek Poh Huat isthe Executive Director ofSingapore Power Ltd. Heis also a member of theTemasek Holdings AdvisoryPanel. He was appointedour non executive Directoron 15 April 2002 andwas last re-elected on 3April 2003. Mr Quek isa Director of SingaporeTelecommunicationsLimited*. He obtainedhis Bachelor of Science(Chemical Engineering) fromthe University of Leeds,UK and Master of Sciencein Management from theNaval Postgraduate School inCalifornia, USA.VenkatachalamKrishnakumarMr VenkatachalamKrishnakumar is currentlythe Chief Operating Officer& Chief Financial Officer forthe Asia Pacific ConsumerBank for Citigroup. He wasappointed our independentnon executive Director on15 April 2002 and was lastre-elected on 3 April 2003.He is also a member of theBoard of the Singapore LandAuthority. He also serveson the boards of e-Serveand Polaris (India), andCitibank Berhad in Malaysia.He holds a Bachelor ofEngineering and Master ofBusiness Administrationfrom The Indian Institute ofManagement, India.Brigadier-General (BG)Bernard Tan Kok KiangBG Bernard Tan Kok Kiangis the Commander of aDivision and concurrentlyChief Armour Officer in theMinistry of Defence. Hewas appointed AlternateDirector to MG Ng YatChung on 1 June 2003. Hehas held various positionsin the Ministry of Defencein the last 17 years andassumed his present officein 2002. He joined the SAFin 1984 and was awardedthe President cum SAFScholarship in 1985. He wasalso awarded the Lee KuanYew Scholarship in 2001.BG Tan is currently also theVice President of SAFRAand a Board Member of theAgri-Food and VeterinaryAuthority of Singapore.BG Tan holds a Bachelorof Social Science (Honours1st Class) (Economics,Political Science) from theUniversity of Birmingham,UK and a Master of BusinessAdministration fromMassachusetts Institute ofTechnology, USA.* Listed on the Singapore Exchange Securities Trading Limited# Listed on both the Singapore Exchange Securities Trading Limited and NASDAQ11

SINGAPORE TECHNOLOGIES ENGINEERINGAnnual Report 2003SENIOR MANAGEMENT’S PROFILETan Pheng HockHe is also the ExecutiveDirector of ST Engg.(Mr Tan’s profile can befound on page 8 of thisAnnual Report)Wee Siew KimMr Wee Siew Kim wasappointed President, DefenceBusiness of ST Engg on1 May 2002. In this capacity,Mr Wee will help to align keydefence customers’ interestswith the overall objectivesof ST Engg. Prior to hiscurrent position, Mr Wee wasPresident of ST Engg’s Europeoperations from July 2001where he helped spearhead theGroup’s foray into Europe.Mr Wee joined ST Aero asengineer in 1984 where hecontributed to the acquisitionof aeroscience capabilities andparticipated in the design ofre-engined A-4 Skyhawks.He was appointed Presidentof ST Aero from December1997 to July 2001. Mr Weewas awarded a First ClassHonours from the ImperialCollege of Science &Technology, University ofLondon, and holds a Masterin Business Administrationfrom Stanford University.As part of his public service,Mr Wee is also a Member ofParliament for the Ang MoKio Group RepresentativeConstituency.Tay Kok KhiangMr Tay Kok Khiang wasappointed President ofSingapore TechnologiesAerospace Ltd (“ST Aero”)on 10 July 2001. As Presidentof ST Aero, Mr Tay isresponsible for growing theAerospace sector businessas well as its financial andoperational performance.Mr Tay joined ST Aeroas Vice President/GeneralManager of ST AerospaceEngineering Pte Ltd in1993 and held many seniormanagement appointmentsbefore becoming President.He was Deputy Presidentand Chief OperatingOfficer prior to his currentappointment. Mr Tayholds a Master of Science(Industrial Engineering) fromthe National University ofSingapore.Seah Moon MingMr Seah Moon Ming wasappointed Managing Directorof Singapore TechnologiesElectronics Ltd(“ST Elect”) on 1 July 1997and subsequently becameits President on 8 December1997. Tasked with thechallenge of creating businesssuccess and wealth forST Elect, Mr Seah hasembarked on an aggressivestrategy of launching newinitiatives, regionally andinternationally, to developbusinesses that add value andfocus to ST Elect’s currentofferings. Mr Seah wasGeneral Manager of CETTechnologies, a subsidiaryof ST Elect, from July 1994to July 1997. Mr Seah holdsa Master of Science (EE)with distinction from theNaval Postgraduate School,Monterrey, USA.12

LEADING BY EXAMPLEChapter One: ProfilesWu Tzu ChienMr Wu Tzu Chien wasappointed President,Singapore TechnologiesKinetics Ltd (“ST Kinetics”)on 9 February 2000. Mr Wuleads the ST Kinetics team asit addresses new challenges inthe modernisation of defencerequirements worldwide,in addition to pursuingopportunities for strategicacquisitions and partnershipsand forging strategic allianceswith technology partners.Mr Wu joined the formerSingapore TechnologiesAutomotive (“ST Auto”)group in 1986. He becamePresident of ST Auto in 1993.He was appointed President,Chartered Industries ofSingapore Pte Ltd (“CIS”) in1999. With the acquisitionof CIS by ST Auto, ST Autowas renamed “ST Kinetics”and Mr Wu assumed hiscurrent position as President,ST Kinetics. Mr Wu holds aBachelor of Engineering fromthe University of Melbourne.See Leong TeckMr See Leong Teck wasappointed President,Singapore TechnologiesMarine Ltd (“ST Marine”)on 8 December 1997. Mr Seeoversees ST Marine’s push tobe a world class provider ofniche products and services inshipbuilding and shiprepair.Mr See joined ST Marine asNaval Architect in the early1980s. He played a significantrole in the achievements ofST Marine ranging from thetransfer of technology forthe building of fast patrolboats to a shipyard in Indiato the design and buildingof Landing Ship Tanks andPatrol Vessels for the Republicof Singapore Navy. Mr Seeholds a Master of Science(Naval Architecture) fromthe University of London,UK and Master of BusinessAdministration from CranfieldSchool of Management, UK.General (Retired)John G CoburnGen (Ret) John G Coburnwas appointed Chairman andChief Executive Officer ofST Engg’s US subsidiary, VTSystems, Inc on 1 December2001. Gen (Ret) Coburnjoined the Group after anillustrious 39-year careerwith the U.S. Departmentof Defence. Prior to takingup this position, Gen (Ret)Coburn was CommandingGeneral of the U.S. ArmyMateriel Command (AMC),one of the largest commandsin the army with 60,000employees and activities in40 states and over a dozenforeign countries. Gen (Ret)Coburn holds a Juris Doctordegree from the University ofMissouri, USA.13

SINGAPORE TECHNOLOGIES ENGINEERINGAnnual Report 2003Organisation ChartAS AT 16 JANUARY 2004President and CEOTAN PHENG HOCKDefence BusinessPresidentwee siew kimSenior Vice Presidentlow yee kahNew BusinessSenior Vice Presidentsteven cheongInternational MarketingExecutive Vice Presidentpatrick choyFinanceChief Financial Officerkuah boon weeHuman ResourceVice President/Directortan nga kokLegalBusiness ExcellenceVice President/Assistant Directorharnek singhAEROSPACE ELECTRONICS LAND SYSTEMS MARINEPresidenttay kok khiangPresidentseah moon mingPresidentwu tzu chienPresidentsee leong teckDeputy President andChief Operating Officer,(In charge ofDefence Business)ho yuen sangPresidentCommunication and SensorSystems Group andDeputy President,Corporate Servicesand Marketingng chong khimPresident,Defence andInternational Businesslee fook sunExecutive Vice President,Defence Businesssew chee jhuenExecutive Vice President,Commercial Businessteo boon sweeChief Operating Officer,(In charge ofDefence Business)han yew kwang14President,Asia Pacific Operationstay hun kiat

LEADING BY EXAMPLEChapter One: Organisation ChartStrategic PlansVice Presidentshae toh hockTechnologyChief Technology Officerfong saik hayProcurementVice President/Chief Procurement Officergoh bak nguanInformation TechnologyChief Information Officerteo chin sengSpecial ProjectsPresidentchang cheow teckSenior Vice Presidentsimon cheongCorporateCommunicationsVice President/Headlim beng seeADVANCED ENGINEERING CENTRE INTEGRATED SERVICES US OPERATIONS EUROPE OPERATIONSPresidentfong saik hayVice President/General Managerlim soon hengChairman and CEOjohn g. coburnExecutive Vice Presidentooi ling heong15