Contents - Singapore Business Federation

ObjectivesMessage from the ChairmanAbout SBFFederation ProfileAn Eventful Year for SBF MembersOur International LinksContents

The objectives of SBF are:To enhance the organization of the businesscommunity in Singapore; andTo represent, advance, promote and protect, inSingapore and abroad, the major business concerns(such as investment and trade opportunities and labourmanagement issues) of business entities carrying oncommerce and industry in Singapore and, in particular,of larger local and foreign companies.

MessagefromtheChairman

Message from the ChairmanThe war in Iraq and the Severe Acute RespiratorySyndrome (SARS) had hit many economies severely.Asian economies like the Hong Kong SpecialAdministrative Region, China, Taiwan and Singaporehad especially been affected by SARS.In April 2003, the Singapore government had reviseddownwards 2003’s economic growth forecast to 0.5 to2.5 % from 2 to 5 % as it unveiled a $230 million SARSrelief package for the tourism and transport-relatedsectors. The relief package included higher propertytax rebates for hotels and other commercial properties,a 50 % cut in the unskilled foreign worker levy for hotels,diesel tax rebates for taxis and rental rebates for tenantsat the airports.However, with the conclusion of the war in Iraq, as wellas the slow but moving recovery of the world economyserving as the chief driver of growth, the AsianDevelopment Bank has forecasted that Singapore’sGDP growth will strengthen to 4.2 % in 2004. Newforeign direct investments in manufacturing andservices as well as improved prospects for globaldemand are also expected to boost gross fixedinvestment by 3.5 % in 2003 and by 5.6 % in 2004.Nonetheless, growth in the services sector (accountingfor 63 % of Singapore’s GDP) is expected to slow downdue to the impact of the SARS outbreak.The outlook is not all gloom. While the domestic sectorremains weak, the external sector continues to performrelatively well. Non-oil domestic exports rose 20.6 % inthe first quarter and although there is likely to be asoftening in the second quarter, due to both baseeffects and weaker international demand, we can behopeful that the external sector will pick up again inthe second half of 2003.Under such challenging economic conditions, twoimportant issues that have been significant to the wellbeing of Singapore’s economy have become evenmore critical. They are the need to attract more tradeand investments to Singapore, as well as the need toensure excellence in the human resource and labourmanagement practices of the corporate sector.

“ In striving to promote business opportunities and networkingwithin the business community both in Singapore and abroad,and in working to represent the Singapore business communityin multilateral, regional and bilateral business organisationsto advance Singapore’s interests in trade expansion, SBF hasembarked on many activities. ”Message from the Chairman [page 5]

The National Wages Council had, in 2002, reiteratedthe need for continuing efforts to develop a wage andbenefits system that slides comfortably into theframework of the current evolving world economy.Singapore requires a more flexible wage system andthe implementation of the MVC (Monthly VariableComponent) should be hastened whenever it is possiblefor companies. In view of the constantly changingways of carrying out businesses, companies must beable to manage operating costs effectively, and beconscious of developments on the HR landscape interms of the dynamic Industrial Relations climate aswell as increasing instances of acquisitions, mergers,and re-structuring of companies.In striving to promote business opportunities andnetworking within the business community both inSingapore and abroad, and in working to representthe Singapore business community in multilateral,regional and bilateral business organisations toadvance Singapore’s interests in trade expansion, SBFhas embarked on many activities. Being the apexbusiness chamber in Singapore, SBF representsSingapore’s business interests in multilateral fora suchas the International Chamber of Commerce (ICC),APEC Business Advisory Council (APEC BAC), Asia-Europe Business Forum (AEBF), the Confederation ofAsia Pacific Chambers of Commerce & Industry(CACCI), ASEAN Chambers of Commerce & Industry(ASEAN CCI) and ASEAN Business Advisory Council(ASEAN BAC). At the bilateral level, SBF has beencoordinating various business councils like theSingapore-US Business Council, France-SingaporeBusiness Council and the Singapore-Korea BusinessRoundtable.been in response to a SBF survey of more than 3000members where 80 % indicated interest in a betterunderstanding of government policies, tradeinformation, labour issues, training programmes, financeschemes, and overseas missions/fairs etc. About 10,000participants from SBF member companies attendedthese events.SBF will continue to provide important and relevantservices to its member companies. It will continue toshare critical information and knowledge with ourmembers and ensure that member companies haveaccess to information that would increase opportunitiesfor their businesses.I look forward to your continuing support to furtherstrengthen Singapore businesses’ interests, both locallyand internationally. With support from all quarters ofthe business sector, I am confident that Singaporewould emerge stronger from this testing economicperiod.Chairman, SBFIn the first year since SBF’s inception , SBF had organizeda total of more than 50 major events and activities inorder to disseminate important business information toSBF members. These include briefings, seminars andtalks (on employment legislations, business opportunitiesin other countries, Free Trade Agreements,ERC recommendations and many other business topics)as well as dialogue sessions, conferences, and trademissions. The organization of the briefing events had

AboutSBFRising To Meet New Business ChallengesThe SBF LogoMembership & Subscriptions

SBF was launched officially byPrime Minister Goh Chok Tongon 11 April 2002

Rising To MeetNew Business Challenges:BIRTH OF THESINGAPOREBUSINESSFEDERATION (SBF)The business environment is highly volatile and dynamic.In order to keep pace with the changing face ofbusiness, it is imperative that business environments beadaptable and flexible, always anticipating andkeeping one step ahead of changing businesssentiments. To this end, Prime Minister Goh Chok Tongissued the challenge to the then Singapore Federationof Chambers of Commerce and Industry (SFCCI) in1998 to restructure itself so as to enhance itseffectiveness in serving its members, as well as betterpromote the national interests of Singapore. SFCCI roseto the challenge and responded with the proposal ofthe Singapore Business Federation (SBF), an apexchamber that will enhance the organisation of thebusiness community in Singapore. SBF would representand advance the interest of businesses both inSingapore and abroad, ensuring the continuedcompetitiveness and flourishing of our businessenvironment. In order to ensure the success of this newbody, an integral part of the SFCCI’s proposal was forthe Government to enact legislation requiring the top20% of companies to pay a business levy to fund thework of SBF.About SBF [page 9]

In February 2001, in response to the recommendations putforward by the SFCCI, the Minister for Trade and Industryappointed a Pro tem Committee to form SBF. Just four monthslater in June, the Pro tem Committee made public itsrecommendations, including those relating to the compulsorymembership of companies with paid up capital of $0.5mand more, and sought feedback from the businesscommunity in order to fine-tune the operations of SBF. TheMinister for Trade and Industry introduced a Bill in Parliamentin July 2001 to establish the SBF Act, which was passed byParliament and became law on 5 Oct 2001. This paved theway for the birth of SBF on 1 April 2002.SBF was officially launched by Prime Minister Goh Chok Tongon 11 April 2002.

The SBF LogoThe logo encapsulates the vision of the SingaporeBusiness Federation (SBF) to champion the interests ofbusinesses in trade, investment and labourmanagement relations. The initials of SBF, the apexbusiness chamber in Singapore, are woven into thelogo, with an ‘S’ taking the form of a rising flame. Asthe flame interlaces with the water ripple, a ‘b’ takesshape. The ‘f’ is formed through the intersection ofthe two elements.The emergence of the flame from the ripple is asymbolic articulation of SBF’s role in representingSingapore’s business interests beyond the nationalboundaries. The ripple effect formed by a drop ofwater underscores SBF’s intention to make a significantimpact on business, the national and the globaleconomy.The logo in its totality, suggestive of a human elementembracing the ‘S’, is an expression of the support andcontribution of all business leaders towards theeconomic development of Singapore.A marriage of orange and blue is used to reflect thevibrant and resilient private sector.SINGAPOREBUSINESSFEDERATIONAbout SBF [page 11]

Membership & SubscriptionsToday, the SBF has over 15,000 members representingthe top 15% of companies in Singapore. As a testamentto its clout, 15 of the major chambers of commerceand business associations in Singapore are alsomembers. These are the:• Singapore Chinese Chamber of Commerce and Industry• Singapore Indian Chamber of Commerce and Industry• Singapore Malay Chamber of Commerce and Industry• Singapore International Chamber of Commerce• Singapore Confederation of Industries• American Chamber of Commerce in Singapore• Australian Chamber of Commerce, Singapore• British Chamber of Commerce• German Business Association in Singapore• Japanese Chamber of Commerce and Industry, Singapore• Association of Banks in Singapore• Real Estate Developers’ Association of Singapore• Singapore infocomm Technology Federation• Singapore National Employers Federation• Singapore Shipping AssociationUnder Sec5(1) of the SBF ACT 2001, every localcompany which has a paid-up capital of or above theamount of $500,000 and every foreign company whichhas an authorised share capital of or above the amountof $500,000 shall without election, admission orappointment become a member of the SingaporeBusiness Federation.The annual subscription fee payable is as follows:Company’s paid-up/ authorised share capitalfee$10m & above S$800$5m -less than $10m S$600$1m - less than $5m S$400$0.5m - less than $1m S$300Companies that are not covered by the Act may also join SBF as Associate Members.The fee for a chamber/association is $2000 per annum.

Board of TrusteesSBF CouncilSBF CommitteesSecretariatFederationProfile

Board of TrusteesAs prescribed by the SBF Act 2001, the Board of Trusteesis responsible for ensuring that SBF acts in furtheranceof its objects as set out in the SBF Act 2001 and itsConstitution, funds and assets are properly accountedfor and safeguarded, and council members are fit andproper to hold office.Lee Hee SengChairmanDUBC, PJG, JP•Served 27 years with Overseas Union Bank, 7 years as its Chairman•Appointed Senior Deputy Chairman of United Overseas Bank in Nov 2001•Actively involved in public service for more than three decades•Was Chairman of Housing & Development Board from April 1971 to March 1975 and chairman, Public ServiceCommission from Aug 1988 to July 1998•Sits on the boards of various major companies within and outside the OUB/UOB Group•Awarded the Meritorius Service Medal (PJG) in 1976 and the Distinguished Service Order (DUBC) in 1989Mrs Theresa Foo-Yo Mie YoenMember•Had an illustrious banking career spanning 35 years•Chairman and Senior Adviser of BNP Paribas Peregrine (Singapore) Limited•Currently on the boards of various companies as their independent director, including PSA Corporation Limited,•NTUC Income Cooperative Limited, Singapore Totalisator Board and Singapore Computer Systems Limited•Also on the board of The Esplanade Co. Ltd•Received the Champion of Arts Award in 2001Sat Pal KhattarMember•Consultant in the firm of Khattar Wong & Partners, which is one of the largest legal practice in Singaporewhich he founded and of which he was Senior Partner until Dec 2000•Chairman of Guocoland Ltd•Chairman of Khattar Holding Group of companies which has substantial investments in Singapore, India, UKand elsewhere•Director of a number of public and private companies in Singapore, Hong Kong, UK and India•Life Trustee of SINDA, a non profit body set up to foster and help the less fortunate members of the Indiancommunity in Singapore•Conferred the NTUC Distinguished Service Award (Star)

SBF CouncilThe SBF Council manages the affairs of the Federationand includes nominated, elected and co-optedrepresentatives. The Council has a minimum of 20 anda maximum of 26 members.The three local ethnic chambers, that is, the SingaporeChinese Chamber of Commerce & Industry, theSingapore Malay Chamber of Commerce & Industry,and the Singapore Indian Chamber of Commerce &Industry, enjoy permanent representation in the Council.Up to 1/4 of the total number of the Council Membersare representatives from foreign chambers ofcommerce. In addition, up to 6 members may be cooptedby the Council. The rest of the council memberscomprise nominees of local chambers or electedrepresentatives of member companies.The members of the first Council were nominated bythe Pro tem Committee and approved by the Boardof Trustees.Stephen Lee, who was Chairman of the Pro temCommittee, was elected to be the Chairman of thefirst SBF Council.Stephen Lee Ching YenChairman•Managing Director of Great Malaysia Textile Manufacturing Co Pte Ltd (GMT), a regional apparel company•President of the Singapore National Employers Federation•Chairman of PSA Corporation Limited•Chairman of Vertex Venture Holdings•Director of Fraser and Neave Limited•Member of the Economic Review Committee, Chairman of the Sub-Committee on Domestic Enterprises,Member of the Sub-Committee on Policies Related to Taxation, the CPF System, Wage and Land•Conferred the Public Service Star in 1998Federation Profile [page 15]

Kwek Leng JooVice Chairman•Managing Director of City Developments Ltd•Executive Director of Hong Leong Group Singapore•President of the Singapore Chinese Chamber of Commerce and Industry•President of the former Singapore Federation of Chambers of Commerce and Industry•Vice President of the ASEAN-CCI•Co-Chairman of Japan-Singapore Business Council•Member, Board of Governor of Chinese Heritage Centre•Conferred the Public Service Medal in 2000Umar Abdul HamidVice Chairman•Executive Director, Strike Engineering Limited•Chairman & CEO, Reed Group Holdings Ltd•President of the Singapore Malay Chamber of Commerce and IndustryDirk PaulsenVice Chairman•Director, C. Melchers GmbH & Co, Geneva Master Time Pte Ltd, Melchers Project Management Ptd Ltd•Co-founder of German Business Association in Singapore•Immediate Past Chairman of the Singapore International Chamber of Commerce•A Vice President of the previous Singapore Federation of Chamber of Commerce and Industry•Awarded Cross of the Order of Merit presented by the President of the Federal Republic Germany for services tothe German community in Singapore and representation of German interests in South East Asia

Barry DeskerVice Chairman•Director, Institute of Defence and Strategic Studies, Nanyang Technological University•Chairman of the Singapore International Foundation, Jurong Port Pte Ltd and Singapore Technologies Marine•Member of the Board of the Singapore Airport Terminal Services Limited and SembCorp Logistics•Was Chief Executive Officer of the former Singapore Trade Development Board (1994-2000) and Singapore'sAmbassador to Indonesia (1986-1993)Cheng Wai KeungHonorary Secretary•Chairman and Managing Director of Wing Tai Holdings Limited•Chairman of Raffles Holdings Ltd•Chairman of Neptune Orient Lines•Holds directorships in several public companies•Member of the ERC Subcommittee on policies related to taxation, the CPF System, Wages and Land•Chairman of the ERC Workgroup for Land•Conferred the Public Service Star in 1987 and the Public Service Star (Bar) in 1997•Appointed Justice of the Peace in 2000Willie Cheng Jue HiangDeputy Honorary Secretary•Country Managing Director of Accenture Singapore•Chairman (2001/2002) of Singapore infocomm Technology Federation•Board Member of Infocomm Development Authority of Singapore (IDA)•Board Member of SPRING Singapore (formerly the Singapore Productivity and Standards Board)and PSB Corporation•Chairman of National Volunteer CentreFederation Profile [page 17]

Peter Seah Lim HuatHonorary Treasurer•President and CEO of Singapore Technologies Pte Ltd•Prior to this appointment on 1 Dec 2001, he was with Overseas Union Bank for 24 years, leading OUB as itsVice Chairman and CEO from 1991 to 2001•Chairman of Sembcorp Industries Ltd, Singapore Technologies Engineering Ltd and EDB Ventures Pte Ltd•Members of the boards of EDB Investments Pte Ltd and the Government of Singapore Investment Corporation,among others•Vice President of the Singapore Chinese Chamber of Commerce and Industry•Member of the ERC Subcommittee on policies related to Taxation, the CPF System, Wages and Land•Conferred the Public Service Star in 1999Bobby Chin Yoke ChoongDeputy Honorary Treasurer•Managing Partner of KPMG•Chairman of Urban Redevelopment Authority of Singapore•Member of the Standing Committee and Council of the Singapore Chinese Chamber of Commerce and IndustryBoard Member of Nanyang Girls’ High SchoolTony Chew Leong-CheeCouncil Member•Executive Chairman of Asia Resource Corporation with regional businesses in trading, manufacturing, hotelsand plantations•Chairman of Del Monte Pacific Ltd•Serves on boards of Keppel Corporation, IES Holdings, Macondray Corporation, KFC Vietnam•Member of the Economic Review Subcommittee for Entrepreneurship and Internationalization•Chairman of Vietnam Business Club and Member of Vietnam Singapore Commission for Cooperation•Member of ASEAN Business Advisory Council•Adviser of Singapore Institute of International Affairs•Member of Myanmar Business Group

David P. ConnerCouncil Member•Chief Executive Officer and Director of Oversea-Chinese Banking Corporation Ltd•Chairman of Bank of Singapore Limited•Chairman of the Association of Banks in Singapore•Director, OCBC Bank (Malaysia) Bhd, KTB Limited, Asian Pacific Bankers Club and Asean Finance Corporation Limited•Director of Dr Goh Keng Swee Scholarship Fund•Member, Advisory Council of the American Chamber of Commerce in Singapore•Member of the f-Next Council of The Institute of Banking & Finance•Member of the Financial Sector Development Fund Advisory Committee•Appointed to the Washington University International Advisory Council for Asia in 1996Philip W. ForrestCouncil Member•Managing Director, Asia for Omega Performance Corporation, a US-based training and consultancy organisation•President of the Australian Chamber Of Commerce, Singapore•Former banker and worked for Citibank for 15 years. His most recent role was Head of Asia for ANZ BankDr. Gan See KhemCouncil Member•Chairman / Managing Director of Health Management International Ltd•Director / Managing Director of Excellent Strategy Sdn. Bhd•Nominated Member of Parliament•Hold directorships in several companies in Singapore, Malaysia and Hongkong•Member, Board of Trustee of Singapore Management University•Council Member of Singapore Chinese Chamber of Commerce & Industry•A British Council Doctoral Programme Scholar (1974 - 1977)Federation Profile [page 19]

Shabbir H. HassanbhaiCouncil Member•Director, Finance and Investments of Indo Straits Trading Co. (Pte.) Ltd. - a non-ferrous recycling company•Chairman, Singapore Indian Chamber of Commerce and Industry•Director, Parameswara Holdings Limited•Steering Committee Member, Network India, IE Singapore•Member, ASEAN-INDIA Economic Linkages Task Force•Member, National Wages CouncilLandis W. HicksCouncil Member•Executive Vice President of Pacific Architects and Engineers Incorporated, Los Angeles•Managing Director of PAE Singapore Private Limited•Chairman of the American Chamber of Commerce in Singapore•Vice Chairman of the Asia Pacific Council of the American Chamber of CommerceShanker IyerCouncil Member•Senior Partner, Shanker Iyer & Co, Certified Public Accountants•President of the British Chamber of Commerce, Singapore•President of the European Chamber of Commerce, Singapore•A Chartered Accountant by qualification and has been practising for over 30 years in UK and Singapore•Member of the Accounting Standards Committee of the Institute of Certified Public Accountants of Singapore•Awarded OBE in the 2002 UK New Year's Honours List

Koh Boon HweeCouncil Member•Chairman, Executive Committee, MediaRing.com Ltd•Chairman, Singapore Airlines Ltd•Chairman of the Council of the Nanyang Technological UniversityLew Syn PauCouncil Member•Managing Director of Stanbridge International Pte. Ltd•Chairman of Ascendas Pte Ltd, a subsidiary of Jurong Town Corporation•President of Singapore Confederation of Industries•Director of several public listed companies including Food Empire Holdings Ltd, Royal Clicks Ltd, Poh TiongChoon Logistics Ltd and Strike Engineering Ltd•A former Member of Parliament from 1988 - 2001, and previously chaired the Government ParliamentaryCommittees for National Development, Education, Finance, Trade & Industry•A Colombo Plan Scholar in 1974 and NTUC-PSC Scholar in 1982Lua Cheng EngCouncil Member•Chairman of International Factors (Singapore) Ltd, Jurong Engineering Ltd and Jurong Technologies Ind. Corpn Ltd•President of the Singapore Shipping Association•Vice Chairman of the Federation of ASEAN Shipowners' Association•Chairman, Committee on Maritime Transport, International Chamber of Commerce (Paris)•Board Member of Maritime and Port Authority of Singapore•Member of the Customs Advisory Committee•Board Director of several other publicly listed companies•Awarded Public Service Medal in 1979 and Public Service Star in 1999Federation Profile [page 21]

Takashi MurakiCouncil Member•Managing Director of Hitachi Asia Ltd.•President of Japanese Chamber of Commerce & Industry (JCCI)•Former General Manager of International Operation Division (Industrial Systems), Hitachi Ltd. (1994) and Deputy General•Manager of Industrial Systems & Equipment Sales Operation Group, Hitachi Ltd (1997)Klaus R. Gerritzen (1 Apr ’02 to 17 Dec ’02)Council Member•General Manager of Westdeutsche Landesbank's Singapore Branch and Managing Director of WestLB AsiaPacific Ltd•Member of the bank's Regional Management Committee, Asia Pacific•President of the German Business Association in Singapore•Founding Chairman and Deputy Chairman of the German Centre for Industry and TradeLoh Soo Eng (1 Apr ’02 to 21 Jan ’03)Council Member•Director - Property, Wing Tai Holdings Limited•President of the Real Estate Developers' Association of Singapore•Resource Panel Member for Government Parliamentary Committee forNational Development/Enviroment•Has 23 years experience in the property sector, including his service at DBS Land/Raffles City•Conferred the Friend of Labour Award by NTUC in 1993

Tileman Fischer (Appointed from 18 Mar’03)Council Member•Chief Executive Officer, Allianz AG - Reinsurance Branch Asia Pacific•President of German Business Association•Chief General Manager, MMI/Allianze Australia, Sydney (1998)•Head of International department, Executive Vice President, Alianz AG, Munich (1991)Kwee Liong Keng (Appointed from 18 Mar’03)Council Member•Director - Pontiac Land Group•President of the Real Estate Developers' Association of Singapore•Deputy Chariman, Singapore Tyler Print Institute (2000)•Member, School Management Committee, Hwa Chong Junior College (2000)•Member, Board of Governors, The Chinese High School (2000)•Chairman, Singapore Art Museum (2000)Federation Profile [page 23]

SBF CommitteesExecutive CommitteeThe Executive Committee has the authority to act for Councilin policy, programmes, procedural and administrative issuesand decisions. The Committee sets the overall goals, shortand long term objectives, policies, programmes and activitiesfor SBF for the Council's approval.Chairman : Stephen LeeMembers : Kwek Leng JooUmar HamidCheng Wai KeungTony ChewLandis W. HicksFinance CommitteeThe Finance Committee supervises and oversees the financialaffairs of SBF. Its primary activities include monitoring actualresults against budgeted results, developing the annualoperating budget, and recommending resource allocationsthat are in accordance with the strategic plan.Chairman : Peter SeahMembers : Dirk PaulsenBobby ChinWillie ChengInternational CommitteeThe International Committee oversees SBF's effort in thedevelopment and promotion of trade & investment activitiesfor Singapore companies. The committee will take chargeof Singapore's representation in international business bodies,e.g. APEC BAC, ASEAN BAC, ASEAN-CCI, bilateral businesscouncils such as FSBC, SUBC; and coordinating businessrequirements in WTO, ASEAN, and FTAs negotiations.The committee also guides the development and promotionof bilateral & multilateral interaction of SBF with otherinternational business chambers/organisations in buildinggoodwill and creating a positive image for SBF. The committeewill take the lead in marketing activities with regard to SBF'sinternational relations, e.g. promotional visits overseas, andreceiving overseas delegations.Chairman : Ambassador Barry DeskerVice Chairmen : Ambassador Michael CheokAmbassador Ridzwan DzafirAmbassador Mark HongAmbassador Veluthevar Kanaga RajanNitin B. DoshiShanker IyerFreddy LamLew Syn PauMember Relations CommitteeThe Member Relations Committee oversees SBF's work inbuilding up close relationships with our member companies.The committee approves all voluntary membershipapplications, procedural programmes, and administrativeissues pertaining to membership matters.The committee is also tasked to develop close workingrelations with all the major chambers & business associationsthat are SBF constituent members, so as to enhance theorganisation of the business community in Singapore.Chairman : Kwek Leng JooMembers : Philip W. ForrestShabbir H. HassanbhaiLoh Soo Eng (1 Apr ‘02 to 21 Jan ‘03)Kwee Liong Keng (w.e.f. 18 Mar ‘03)

SME CommitteeThe SME Committee is responsible for overseeing thedevelopment and upgrading of SMEs in Singapore. Thecommittee works closely with chambers of commerce andother government agencies in areas like research, surveysand publications.To enhance a pro-business environment, the committeeholds regular dialogue sessions to solicit public feedback ongovernment rules & regulations that impede businessprocesses. The committee also organises national andinternational promotional events.Chairman : Lew Syn PauMembers : Umar Abdul HamidShabbir H. HassanbhaiGan Chin YeanSteven GohFreddy LamLawrence LeowPor Khay TiDr. Ron SimFederation Profile [page 25]

Seated (left to right):Ms Tan Ying Ling, Ms Anne Chong, Executive Director Koh Juan Kiat, Executive Director David Chin,Ms Juliana Giam, Ms Christina NgStanding (left to right):Majji Sashibhushana Rao, Eugene Lim, Ms Josephine Tan, Ms Wendy Koh, Mdm Seah Mou Keya,Ms Clariz Ang, Kosuru Nagabhushana H RaoAbsent:Kee Chia ChoonMartin Yuoon

AnEventfulYearForSBFMembersActivities in 2002Major EventsBridging Information Access - ICC publicationsMemorandums Of Understanding

An Eventful Year2002 was a busy year for SBF, with briefings, seminars and talks forming the bulk of the activities undertaken. Thesesessions drew over 5,000 participants and covered a wide range of topics including the business culture of China,NEWater, arbitration, internationalisation, ERC recommendations and NWC guidelines, among many other topicalissues.The calendar also saw dialogue sessions on consumer protection and government rules and regulations as wellas conferences on global franchising and a meeting with the Mongolian National Chamber of Commerce &Industry. Two foreign missions rounded up the eventful year for SBF.

Activities In 2002Topics of Briefings/Seminars/Talks•Understanding the Business Culture of China•Applied International Trade Practice•Singapore Employment Legislation•Marketing & Selling in the New Millennium•NEWater•ASEAN Economic Development•Corporate Restructuring and Transfer of Employment•Part-Time Employment and Increased Flexibility•Arbitration•Basic legal provisions of the Employment Act and Retirement Age Act•Trade Finance•Business Excellence & the Road Towards a Singapore Quality Award•Understanding the Business Culture of China•Corporate Restructuring and Transfer of Employment•Going International: A Tough Issue?•Part-time Employment and Increased Flexibility (re-run)•Basic legal provisions of the Employment Act and Retirement Age Act (re-run)•Registry of Companies & Businesses (RCB) Online Services•Handling Claim for Union Recognition and Union Representation of Executives•Handling Termination and Dismissal•National Wage Council Guidelines for 2002/03•Basic legal provisions of the Employment Act and Retirement Age Act (re-run)•International Enterprise Singapore•Enhanced Strategic Goods Control System•Handling Claim for Union Recognition and Union Representation of Executives (re-run)•Recommendations of the Economic Review Committee (ERC)•Handling Termination and Dismissal (re-run)•Asia Europe Business Forum•Basic legal provisions of the Employment Act and Retirement Age Act (re-run)•ASEAN-China Free Trade Agreement (FTA)•NWC Guidelines for 2003 (Chinese)Dialogue Sessions•Consumer Protection (Fair Trading) Act•Government Rules & RegulationsMissions•India-ASEAN Business Summit, New Delhi, Hyderabad,Chennai•ASEAN-China Business Council And China-Southeast Asia Business Forum/Seminar ( Kunming, Yunnan)[page 29]An Eventful Year for SBF Members

Major EventsBriefing And Dialogue On Newater By Minister For The Environment,Mr Lim Swee Say29 Aug 2002Ensuring the long-term sufficiency of drinking water has always been a challenge for Singapore. The Minister forthe Environment, Mr Lim Swee Say, addressed this issue and announced the four National Taps (Johor water, localreservoir water, desalted water and NEWater) to ensure the constant flow of water for the country. NEWater is oneof the new taps that will help strengthen Singapore’s long-term water supply.The Singapore Water Reclamation Study (NEWater Study) was initiated in 1998 as a joint initiative between thePublic Utilities Board (PUB) and the Ministry of Environment (ENV). The primary objective of this joint effort was todetermine the suitability of using NEWater as an alternative source of water supply to supplement Singapore’sexisting ones.This briefing provided a clearer picture of how the four National Taps supplement each other to meet our needsfor safe drinking water in the future. The Minister gave a detailed explanation on how NEWater is produced, howclean NEWater is and presented a case for NEWater as a sustainable and cost effective source of water supplyfor Singapore.A lively question-and-answer session followed the briefing, with queries posed to the panel of speakers made upof Mr Lim Swee Say, Mr Tan Gee Paw (Chairman, PUB), Mr Stephen Lee (Chairman, SBF), and Prof Ong Choon Nam(Chairman, Expert Panel on NEWater).The briefing attracted some 500 participants.

Dialogue on NEWater byMinister for the Environment, Mr Lim Swee Say[page 31]An Eventful Year for SBF Members

Briefing On National Wages Council(NWC) Guidelines 2002-200319 Nov 2002The National Wages Council (NWC), with tripartite representation from the Government, employers and unions,was set up in 1972 to (i) assist the Government in the formulation of wages policy, (ii) recommend necessaryadjustments to wage structure that is consistent with long-term economic development, and (iii) advise onappropriate incentive schemes to promote productivity and efficiency. The NWC has issued guidelines every yearsince its inception.The 2001/2002 NWC guidelines were issued in May 2001. Due to the worsening economic climate, the NWC issuedrevised wage guidelines in December 2001, which covered the period from December 2001 to December 2002.The NWC convened and issued guidelines on 19 November 2002 for the period January to June 2003.Mr Stephen Lee, Chairman of SBF, briefed members on the NWC wage guidelines. It was followed up with a briefingon the Monthly Variable Component (MVC).A total of 600 company representatives attended this briefing.

Briefing On National Wages Council(NWC) Guidelines 2002-2003[page 33]An Eventful Year for SBF Members

Bridging Information Access-ICC PublicationsSBF, being the apex chamber, is the National Committeein Singapore of the ICC (International Chamber ofCommerce), the world business organisation based inParis.As such, SBF has ready access to the host of ICCpublications. SBF members are able to enjoy theconvenience of purchasing the ICC publications fromSBf directly.The ICC Publishing list covers three broad categories- (1) ICC rules and guidelines, (2) professional advice,and (3) reference works. The rules and guidelines ~which form the core of the publishing programme ~are updated periodically to take account of technicaldevelopments and the evolution of commercial andbanking pratices. ICC Publishing also produces guides,case studies, handbooks and commentaries to assistpractitioners in all sectors of international business.

Smoothening Business Relationships:EstablishingMemorandums of UnderstandingSPRING SingaporeIn order to strengthen cooperation so as to assist companies in Singapore, an MOU was signed with SPRINGSingapore on 6 June 2002. Under this MOU, both SBF and SPRING Singapore will collaborate to promote greatercooperation through joint initiatives for the benefit of companies in Singapore, particularly the SME members ofSBF. The following are the agreed areas of cooperation:• Programme development and delivery;• SBF as Approved-In-Principle (AIP) agency for SPRING Singapore's financial incentive schemes;• Research, surveys and publications;• Organisation of national and international promotional events;• Dialogue sessions to obtain feedback on business rules and regulations, and productivity-related programmes;• Access to information resources; and• Attachment of staffThis MOU will strengthen both SBF and SPRING Singapore’s efforts in assisting in the development of SMEs inSingapore. SBF's SME members can expect to benefit from a range of accessible assistance programmes andservices aimed at boosting their productivity and competitiveness. More importantly, this partnership will play avital role in smoothening the economy’s transition to the new S-curve of innovation-driven development.[page 35]An Eventful Year for SBF Members

International Enterprise (IE) SingaporeThe need for companies in Singapore to internationalise was recognised by both SBF and IE Singapore. Both partiesagreed to strengthen cooperation to provide the necessary assistance to local companies. The MOU with IESingapore will promote cooperation through joint initiatives for the benefit of key stakeholders of both parties.Areas covered include:• Capability Development Programmes;• Financial Assistance Programmes;• International Marketing Activities Programme;• International Partnerships;• Overseas Promotional Events and Activities;• Overseas Market Information and Facilitation;• Research, Surveys and Publications;• Dialogue and Briefing Sessions on Free Trade Agreements;• Business Councils; and• Attachment and Training of StaffThe MOU represents our commitment towards developing, executing and enhancing initiatives necessary to ensurethe success of the collaboration. Through this partnership, SBF and IE Singapore will be able to leverage on eachother's strengths to enhance the competitiveness of Singapore companies. Besides IE Singapore's establishedprogrammes, the MOU provides the opportunity for both parties to jointly develop new ones as and when theneed arises. This is vital in meeting the challenges of today's global economy, where the needs of companies arefast changing and becoming increasingly more complex.

Confederation of Indian Industry (CII)The mutual desire to engage in harmonious and strong trade and investment partnership between India andSingapore was the impetus behind the MOU signed with the Confederation of Indian Industry (CII) on 9 March2002. The agreement was inked in Singapore by the Chairman of SBF, Stephen Lee, and Chairman of CII International,Arun Bharat Ram.This MOU will pave the way for the smooth exchange of information about products, services and industrialprocesses, industrial training, sources of financing, offers and requests for joint ventures and licensing andidentification of possible partners to promote industrial and technological cooperation between both countries.In addition to facilitating future bilateral trade between the two countries, both organisations will strive to supportand promote such activities as seminars, courses and conferences in both countries, and ensure full cooperationin the promotion of trade fairs and exhibitions in Singapore and India. Both SBF and CII will lead in encouragingand assisting their respective member companies to venture into each other's markets. The sharing of professionalexperiences and expertise in areas of economic policy research for the benefit of industry and business is also areward to be reaped from the MOU.The two organisations will be exploring the exchange of economic and commercial information with regard toSingapore and India and on specific industrial sectors of both countries as well as on those areas requested byeither of the signing parties. Both SBF and CII will therefore allow its respective members to engage in trade andinvestment activities that can assist their respective member companies in prospective joint ventures in eachother's markets, and provide valuable expertise and information that would benefit their members.[page 37]An Eventful Year for SBF Members

Federation of Indian Chambers of Commerce & Industry (FICCI)Acknowledging the importance of the Indian market with the view to future growth and business opportunities,SBF signed an MOU with the Federation of Indian Chambers of Commerce & Industry (FICCI) in October 2002. Thekey objective is to further the development of bilateral economic relations by providing a forum for the businessmenof both countries to meet, discuss and explore business opportunities in trade, investments, transfer of technology,services and other industrial sectors.The FICCI and SBF will undertake to initiate and develop bilateral actions of cooperation in:• developing strong institutional relations to establish a sustainable mechanism of dialogue and discussions;• providing our members with information on the general economic situation, taxation, investment opportunities,trade policies and legislative changes;• promoting the establishment of legal & administrative conditions favourable to the creation of a businessclimate enhancing the development of trade & economic relations between India and Singapore; and• encouraging businessmen to participate in exhibitions and fairs held in India and Singapore.Cooperation Agreement withMongolian National Chamber of Commerce and Industry (MNCCI)The Mongolian Prime Minister, H.E. Mr Nambaryn Enkhbayar led a 50-member entourage of businessmen from theMongolian National Chamber of Commerce and Industry (MNCCI) to Singapore in October 2002, a highlight ofwhich was the signing of a Cooperation Agreement between SBF and MNCCI.The Cooperation Agreement aims to accelerate the development of trade and economic cooperation betweenthe two countries. The scope includes the exchange of ideas in areas of mutual interest, as well as informationwith regard to international fairs, exhibitions and trade promotion events in Mongolia and Singapore. Both chamberswill assist their members in participating in such events to ensure fruitful outcomes.

OurInternationalLinksRegional & International Co-operationPlaying Host: Strengthening Ties With Our Foreign Friends

Regional &International Co-operationTHE INTERNATIONAL CHAMBER OFCOMMERCE (ICC)With the formation of the Singapore Business Federation(SBF) on 1 April 2002, SBF assumed duties as the NationalCommittee in Singapore of the International Chamberof Commerce (ICC), the world business organisationbased in Paris.ICC’s fundamental objective is to promote the marketeconomy worldwide and the establishment of an open,rule-based trade and investment system. In this respect,the ICC continues to introduce and improve varioustools to facilitate electronic commerce, internationalcontracts, international financial transactions,intermodal transport, and business self-regulation.For 2002, topics high on ICC’s agenda included theimplications for business of modern biotechnology;business input to governments on competition policy;the place of business in society; and how business andlaw enforcement can cooperate against cybercrime.ICC continues to provide steadfast support for opentrade. To this end, the ICC welcomed the launch of anew round by the World Trade Organisation in Dohaas a much-needed boost to business confidence.In recognition of the dynamic economies of Asia, ICCopened its only regional office in Hong Kong in 1996.This was subsequently moved to Singapore in June2002. The function of the ICC Asia Office includes thedevelopment of the ICC National Committees in Asia.SBF first made its world appearance in May 2002 at the34th ICC World Congress in Denver, USA. Representedby SBF Executive Director David Chin, the occasionprovided the perfect opportunity for SBF to introduceitself, as well as to brief ICC and the other NationalCommittees on the roles of SBF.THE ASEAN CHAMBERS OF COMMERCEAND INDUSTRY (ASEAN-CCI)Following the dissolution of the SFCCI, SBF assumedresponsibilities as the ASEAN-CCI member in Singapore.SBF was represented at the meetings of the 59th ASEAN-CCI Council, 15th ASEAN-CCI Conference in July 2002in Manila, and the ASEAN-CCI Exco Meeting in October2002 in Bangkok.The meetings in Manila witnessed the accession of thechambers of commerce of Lao PDR and Cambodia asthe ninth and tenth members of the ASEAN-CCIrespectively. This historic occasion was graced by H.E.President Gloria Macapagal-Arroyo of the Philippines,who delivered the Keynote Address.At the 59th ASEAN-CCI Council Meeting and the 15thASEAN-CCI Conference, ASEAN-CCI agreed on severalinitiatives to further support private sector cooperationand strengthen its policy advocacy role. In particular,ASEAN-CCI resolved that ASEAN-CCI constituentchambers would align themselves more closely to dealwith issues as a regional body, with respect to theindividual ASEAN governments and to the variousdialogue partners of ASEAN-CCI.The culmination of the Council Meeting andConference was the formal transfer of the presidencyof ASEAN-CCI from the Philippines to Myanmar. For theterm 2002-2004, U Pyone Maung Maung of the Unionof Myanmar Federation of Chambers of Commerceand Industry was elected president of ASEAN-CCI.At the ASEAN-CCI Exco Meeting in Bangkok, ASEAN-CCI discussed several issues including the promotionof regional schemes like inter-ASEAN SME incentivesand the principle of “10-x” in the liberalisation ofservices; non-tariff measures imposed by the EU onfood exporting countries; the introduction of MutualRecognition Arrangement programmes in bothprocessing standards and test standards.

7TH FRENCH-SINGAPORE BUSINESSCOUNCIL (FSBC) PLENARY MEETINGThe 7th FSBC meeting was held in Singapore from 28to 30 May 2002 and attended by 90 top executivesfrom French and Singaporean companies. The themefor the year’s meeting was “Repositioning for BusinessOpportunities” and revolved around discussions oneconomic updates, EU-Singapore FTA and sectors likeinfrastructure, services and public-private partnership.The objectives of the FSBC are to:• identify and develop areas for cooperation betweenthe enterprise sectors of France and Singapore;• encourage and develop further investments in Franceand Singapore;THE SINGAPORE BRITISHBUSINESS COUNCIL (SBBC)In conjunction with its 11th Plenary Meeting inSingapore, the Singapore British Business Council (SBBC)organised an Energy Forum on 16 September 2002. Thekeynote remarks at the forum were delivered by theUK Minister of State for Energy and Construction, MrBrian Wilson, and the Singapore Minister of State forTrade & Industry, and Foreign Affairs, Mr Raymond Lim.After the forum, the British High Commissioner, SirStephen Brown, hosted a lunch with Mr Brian Wilson asthe guest-of-honour. The lunch was well-attended bySBBC members from Britain and Singapore, boardmembers from the British Chamber of Commerce andrepresentatives from the local business community.• enhance and expand trade links between the twocountries;• develop and foster cooperation between Frenchand Singapore companies in third-party countries ofthe Asia-Pacific; and• draw on the expertise of the Council Members toassist the small and medium-sized enterprises (SMEs)of both countries in their expansion and growthoutside their respective countries.The meeting provided an ideal platform for businessmenfrom the two countries to network and exchangebusiness knowledge and experiences.[page 41]Our International Links

FOSTERING GREATER ECONOMIC COOPERATION:ASIA-EUROPE BUSINESS FORUM VIIThe Asia-Europe Business Forum (AEBF) is a businessdialogue that aims to strengthen economiccooperation between the business sectors of Asia andEurope. It serves as an effective platform for in-depthdiscussions and networking between the participatinghigh-level business leaders from the 25 ASEM (AsiaEurope Meeting) partner countries. The AEBF dialogueprovides a unique opportunity to influence the politicalelite as the recommendations from AEBF are highlyregarded in the ASEM meetings between theparticipating heads of states and governments fromEurope and Asia.The AEBF was one of the first initiatives launched at theinaugural ASEM Summit in Bangkok in March 1996.Backed by strong support from ASEM governmentagencies, leading businessmen from the 25 ASEMpartner countries meet to discuss trade and investmentissues and propose recommendations that wouldenhance the attractiveness of the Asia-Europemarketplace.AEBF VII was held in Copenhagen, Denmark, from 18to 20 September 2002. It was held back to back withthe ASEM Economic Ministers’ Meeting and ASEMSummit, thus providing a great opportunity to discussbusiness interests face to face with ASEM Ministers.AEBF VII focused on three themes:The themes were discussed in plenary sessions and ineight individual working groups:• Trade;• Investment;• Financial Services;• Information and Communication Technology;• Infrastructure;• Life Sciences and Healthcare;• Food; and• EnvironmentSBF represented Singapore in bringing a businessdelegation to Copenhagen. This consisted of businessleaders including Mr Han Ah Kuan, Director & GeneralManager of Healthcare Pte Ltd; Mr Woo Siew Fook,Head of Enterprise Banking of OCBC Bank; Mr StephenLim, CEO of SQL VIEW Pte Ltd and Vice-Chairman ofSITF; Mr Edwin Khew, Executive Director of VivendiUniversal Asia Pacific Pte Ltd; Mrs Kuan Kwee Jee,Director of Executive Resources of SingaporeTechnologies Pte Ltd; Mr Khor Poh Hwa, CEO of CPGConsultants Pte Ltd; Dr Lim Cheok Peng, MD of ParkwayGroup Healthcare Pte Ltd; Dr Yap Kok Wei, GM ofGleneagles CRC Pte Ltd; and Mr Tee Peow Keong,International Business Controller of Yeo Hiap Seng PteLtd.• Dynamic regions, metropolitan hubs and moderngovernance;• The growth of small and medium-sized businessenterprises; and• Globalisation, corporate citizenship and socioeconomicdevelopmentASIA-EUROPE BUSINESS FORUM VII

APEC BUSINESS ADVISORY COUNCIL2002 (APEC BAC)The 2002 APEC BAC meeting was concluded in LosCabos, Mexico in October 2002.The meeting was set against a backdrop of a worldeconomy shaken by terrorist attacks andunprecedented corporate scandals. Hence the themeof “Sharing Development to Reinforce Global Security”was chosen to reflect the challenges of an uncertainbusiness environment, the new focus on security andequitable access to the benefits of globalisation.The work of the APEC BAC is organised and managedby 4 task forces: Business Facilitation, Finance,Technology, and SME; and the Action Plan MonitoringCommittee. The 2002 APEC BAC recommendationswere submitted to the APEC leaders, and presentedto the leaders at the dialogue sessions during the APECSummit held in Los Cabos in October 2002.2ND ASEAN-CHINA BUSINESS COUNCIL(ACBC) MEETING/FORUM IN KUNMING,YUNNAN PROVINCE, PRCThe 2nd ASEAN-China Business Council (ACBC) met inKunming on 16 to 17 December 2002. Focusing on thetheme of moving towards an ASEAN-China Free TradeArea, the meeting-cum-forum offered a platform forparticipants to share their opinions and to exchangeideas on how to strengthen contacts andunderstanding, and how to further promote theexchanges and cooperation in business circles.Participants also expounded on potential ways forenhancing cooperation between China and SoutheastAsian countries.The meeting/forum was hosted by the China Councilfor the Promotion of International Trade (CCPIT) andChina International Chamber of Commerce. Nearly 70representatives from the Council and the ASEAN-CCIattended the meeting.The APEC BAC called upon APEC economies to reaffirmtheir commitment to the Bogor Goals and to undertakeinitiatives to secure desirable outcomes from the WTOnegotiations at the earliest possible time; harmonisestandards and eliminate impediments for cross-borderbusiness; join forces to enhance security, curtail terroristfinancing and develop effective managementprocesses to resist, respond and recover from crises;improve corporate governance to restore confidenceand stimulate economic recovery in the region; andeliminate impediments to entrepreneurship and smallbusiness development and to promote microenterprises.APEC BAC 2002[page 43]Our International Links

Playing Host:Strengthening Ties WithOur Foreign FriendsSBF hosted the following meetings / visits :• Meeting with Keidanren on 4 April 2002;• Visit by Delegates From The Vietnam General Confederation Of Labour (VGCL) on 9 September 2002;• Visit By The China Council For The Promotion Of International Trade (CCPIT) on 12 September 2002;• JCCI and TCCI Economic Mission To ASEAN from 29 September to 5 October 2002;• Visit by The Prime Minister Of East Timor on 21 September 2002;• Visit by The All China Federation Of Industry And Commerce (ACFIC) on 28 October 2002; and• Visit by The Federation Of Malaysian Manufacturers on 15 November 2002JCCI and TCCI Economic MissionTo ASEANThe All China Federation OfIndustry And Commerce (ACFIC)