There are a number of organizations that are involved in gas business in the city of Hong Kong. One of the key company that engages itself in the business is the Hong Kong and China Gas Company Limited. In this paper, an overview of the company is given that is followed by a highlight of the operations strategy that the company engages in carrying out its businesses. The new products that the company has taken part in production have been highlighted in the paper as well as the production planning and control done in the company. Additionally, the paper has highlighted on the environmental and ethical issues that are linked to the company’s supply chain. All these elements are wrapped up in a conclusion and some recommendations have been offered to improve on the efficiency and the effectiveness of the organization.

I. Introduction

The Hong Kong and China Gas Company Limited that is commonly known as the Towngas is a sole gas provider of Towngas in the city of Hong Kong, China (Poon, Choy and Lau, 2011). The Hong Kong and China Gas Company Limited as founded in the year 1862 and its operations in the city have made it to be termed as one of the oldest listed companies in the region where it offers its products. Being a leading public utility, the company offers Towngas to an estimated eighty-five percent of all Hong Kong households as well as to its industrial and commercial clients in different parts of the city (Cheng et al., 2002).

Additionally, The Hong Kong and China Gas Company Limited has an estimated total of two hundred projects in Mainland China that include the water supply project, city-gas, telecommunications, and environmentally friendly energy (Ingaldi and Škůrková, 2014). Additionally, the company engages itself in the field of property development that are named the international finance center with up to 15% share, fifty percent share at Grand Promenade, and Grand Waterfront thus making it the largest stakeholder in the city of Hong Kong (Poon, Choy and Lau, 2011).

The operations of the company entail the importation of natural gas from Australia by way of sea and store it at the Dapeng Liquefied natural gas terminal in Shenzhen. The whole operation is expected to run under a period of 25 years contract. From its initial storage facility at Dapeng, the gas is supplied to the Towngas’ Tai Po plant using a 34-kilometer submarine pipeline that connects the two points (Cheng et al., 2002). As a result of the connection, the Tai Po plants ends up producing an estimated 97 percent of all the gas supplied by the company with eh remaining 3 percent being produced at the Ma Tau Kok Plant (Ingaldi and Škůrková, 2014).

II. Operations strategy

The management of the company has been highly committed to maintaining a proper corporate kind of administration in the organization that is always aimed at improving the operations of the company all over the region. As such, the management of the company strongly believes that good governance principles as well as practices should always emphasize on accountability as well as transparency (Cheng et al., 2002). These two aspects are important in making the organizations stakeholders, investors, customers, employees, suppliers and shareholders as well as the community