Innovation and creative (industry classification)

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Dear Sir/ Madam,

May I have the industry classification of the companies which are mainly engaged in the development of the following technologies as stated in items 1 to 34?

(A) eCommerce, Logistics and Supply Chain Management
1. E-Lock Based Enabling Technology for Container Cargo Transshipment Process
2. Advance Trucks' Arrival Notification System for Air Cargo Industry at the Hong Kong
International Airport
3. Coordinate-based Indoor Positioning System for Tracking and Finding Mobile Items in Highly
Dynamic Environment
4. RFID-based Sensing Technologies for Real-time Environmental Monitoring and Facility

Management
5. Innovative and Efficient Wireless Mesh Network for Outdoor Environment
6. Container Management System
7. Product Authentication at Retail Points - Infrastructure and Systems
8. Integrated Barcode / RFID Reader for Retailing and Inventory Applications
9. SMe-Plug for Small and Medium-sized Enterprises
10. e-Cheque Apps Development Cloud
11. Video Analytics for Resource Tracking and Management at Hong Kong International Airport

(B) Location-based Services (LBS) Technology
12. Indoor Localisation, Tracking and Navigation
13. Development of a Hong Kong Positioning Infrastructure Based on GPS, Beidou, and Ground

Based Augmentation System
14. Development of Hong Kong Indoor Positioning Infrastructure Based on GPS Technologies
15. Indoor Location Analytics System for Exhibition and Convention Industries
16. Location-based System for Indoor and Outdoor Tracking
17. Smart AP: Wi-Fi Positioning and Optimisation for a Smart City

(C) Hardware Implementation
18. Development and Commercialisation of RFID Reader Chip for NFC Application
19. Lightweight UHF RFID Gen2 (ISO 18000-6C) Reader Chip
20. Optimal Design of Novel Reconfigurable UHF Antenna Systems for the Smart Shelf RFID

Technology
21. Novel Low Profile 3-Axis Polarisation Technology for the Near Field UHF RFID Reader

Antenna System
22. Low-Cost and "Green" UHF RFID Tags
23. Package-specific RFID Tagging and Embedding Technology
24. Passive UHF Detachable RFID Tag for Different Range Access

(D) Construction
25. Location-based Technologies for Real-time Site Safety Management System
26. Safety Belt Alarm System for Construction Safety
27. Raw RFID Alarm Sensing System for Vehicle in Construction Industry
28. Enabling Technology for IoT Mesh Network and Building Information Model for Building Life

Cycle Management
29. Enabling Technologies for Baby Tracking in Hospital Environment (Tamper Resistant and

Reusable Baby Tag)
30. Active RFID System for Equipment and Personnel Tracking

(E) Social Services
31. RFID Technologies for Monitoring of Elders
32. GPS Locationing Technologies for Monitoring of Elders' Location
33. Home-stay Wellness Sensing System
34. RFID Reader White Cane System
35. Infrared Thermal Sensing Safety Alert System for Elderly

Also, I would like to request the following statistics based on the HSIC codes (in term of 6-digit codes) of the mentioned items (Period: 1991-2015)

(1) CR10, CR20, CR50 and Herfindahl-Hirschman Indices
(2) Labour Productivity Indices
(3) Business Receipts Indices
(4) Number of regional headquarters, regional offices and local offices
(5) R&D expenditure
(6) R&D expenditure as a ratio to GDP (%)
(7) No. of working persons by activity status such as no. of boss, employee, etc.
(8) Average annual wage of working persons

Yours faithfully,
Gordon H. N. Yip

政府統計處

4 Attachment

Dear Mr Yip,

I refer to your request for information about (I) industrial
classification of establishments related to the 35 technologies and (II)
statistics of related industries, made under the Code on Access to
Information on 5 May 2016.  Our reply is provided below.

(I) Industrial classification of establishments engaging in business
activities related to the 35 technologies

        The Hong Kong Standard Industrial Classification Version 2.0 (HSIC
V2.0) is modelled on the International Standard Industrial Classification
of All Economic Activities Revision 4 (ISIC Rev. 4) promulgated by the
United Nations.  Therefore, HSIC V2.0 shares the same nature as ISIC Rev.
4 in that it is a classification according to kind of productive activity
rather than a classification of goods and services and it is in general
not possible to establish a one-to-one correspondence between productive
activities and products.  Hence, we have difficulty in mapping the 35
items of technology activities listed in your email specifically to
individual industry codes in the existing HSIC framework, as such
technology activities are much more detailed than the generic descriptions
applicable to the HSIC codes.  Notwithstanding this, we have made our best
attempt to map them broadly to the most relevant HSIC codes as far as
possible based on our understanding of the descriptions provided in your
email [filename: Technology classification v1.0 Annex.doc].

2.         As you may note from the Annex, more than one HSIC code are
mapped to each of the items because development of technologies usually
involves a spectrum of activities (e.g. research & development,
feasibility study, project design, software & hardware development,
testing and analysis, system implementation, design & manufacture of the
final output, etc.) which could be carried out by more than one units
engaging in different kinds of business.  Taking Item 6 “Container
Management System” as an example, business units with major economic
activity falling within those listed in the table below may possibly take
part in related productive activities:

+------------------------------------------------------------------------+
| Major economic activity of the unit | Corresponding HSIC V2.0 code |
|--------------------------------------+---------------------------------|
| Development of / consulting | 620200 |
| activities on integrated “Container | Information technology |
| Management System”, including | consultancy activities and |
| integration of computer hardware, | computer facilities management |
| software and communication | activities |
| technologies, as a service vendor | |
|--------------------------------------+---------------------------------|
| Development of computer software, | 620199 |
| network systems, internet | Development of other softwares |
| applications, etc. associated with | and programming activities |
| “Container Management System” as a | |
| system vendor | |
|--------------------------------------+---------------------------------|
| Development or testing of the | 712000 |
| operation processes under “Container | Technical testing and analysis |
| Management System” | |
|--------------------------------------+---------------------------------|
| Basic (experimental or theoretical) | 721000 |
| or applied research and development | Research and development on |
| on technologies associated with | natural sciences and |
| “Container Management System” | engineering |
| |---------------------------------|
| | 729000 |
| | General and miscellaneous |
| | research and |
| | development services |
|--------------------------------------+---------------------------------|
| Product design of equipment (e.g. | 751400 |
| RFID tag / reader) specifically for | Industrial design services |
| “Container Management System”, | |
| without actual manufacturing | |
|--------------------------------------+---------------------------------|
| Manufacturing of equipment (e.g. | 261100 |
| RFID tag / reader) specifically for | Manufacture of electronic parts |
| the “Container Management System”, | and components for computer and |
| with or without product design | telecommunications equipment |
| |---------------------------------|
| | 263000 |
| | Manufacture of communication |
| | equipment |
+------------------------------------------------------------------------+

3.        It is noteworthy that apart from those HSIC codes listed in the
Annex, there is the possibility that business units principally engaging
in other economic activities which apparently are not so relevant are
actually undertaking activities related to development of technologies as
well.  Using item 6 as an example again, some sea cargo terminal operators
(classified under HSIC 522201 “Container terminal and marine cargo
terminal operators”) may choose to develop their own container management
systems in-house by employing a team of technical staff instead of
procuring a suitable product from the market.  It is also possible that
some sea cargo terminal operators prefer to commission a university
research centre (classified under “853000 Universities and colleges
providing post-secondary courses”) to do the initial research and design
work and then hire an IT firm to develop and implement the computer
system.  Given the numerous possibilities, the HSIC codes of those
industries of lesser association are not included in the Annex.  

4.        For details on the industrial classification, please refer to
the publication “Hong Kong Standard Industrial Classification (HSIC)
Version 2.0” which is accessible via
[1]www.censtatd.gov.hk/hkstat/sub/sc452.jsp?productCode=B2XX0005.  

(II) Statistics of related industries

5.        The requested statistics (Items 1 to 6) for the industries
concerned are not available because the related surveys cannot support
compilation of the corresponding statistics (incl. HHI, LPI, BRI, etc) at
such refined industry breakdowns (i.e. 6-digit HSIC codes) by nature of
the sample design.  Nevertheless, the statistics of broader industry
groupings are available as follows :-

-- Item (1) CR10, CR20, CR50 and Herfindahl-Hirschman Indices (HHIs)
CRs and HHIs measure the extent of business concentration within
individual sectors.  CRs and HHIs of selected industry groups are
available at the following link:
[2]www.censtatd.gov.hk/hkstat/sub/sp70.jsp?productCode=FA100084.

-- Item (2) Labour Productivity Indices (LPIs)
LPIs show how efficiently labour input is used for generating real output.
 LPIs of selected major economic activities are available at the following
link:
[3]www.censtatd.gov.hk/hkstat/sub/sp70.jsp?tableID=103&ID=0&productType=8.

-- Item (3) Business Receipts Indices (BRIs)
BRIs gauge the changes in business receipts of individual service
industries in a particular period as compared with a base period.  BRIs of
selected service industries and service domains are available at the
following link:
[4]www.censtatd.gov.hk/hkstat/sub/sp70.jsp?tableID=093&ID=0&productType=8.

Indices of industrial production (IIPs) reflect the changes in local
industrial output in real terms (i.e. changes in the volume of local
production after discounting the effect of price changes).  IIPs of
selected industry groupings are available at the following link:
[5]www.censtatd.gov.hk/hkstat/sub/sp310.jsp?tableID=096&ID=0&productType=8.

-- Item (4) Number of regional headquarters, regional offices and local
offices
The major line of business (MLB) (i.e. the industry) of the regional
headquarters/regional office/local offices (RRLs) was asked only in broad
term as classified in the report.  The broad MLB of the RRLs are available
at the following link:
[6]www.censtatd.gov.hk/hkstat/sub/sp360.jsp?productCode=B1110004.

-- Item (5) R&D expenditure and Item (6) Ratio of R&D expenditure to GDP
R&D expenditure of Hong Kong and their breakdowns by performing sector
(i.e. business sector, higher education sector and government sector) are
available at the following
link:[7]www.censtatd.gov.hk/hkstat/sub/sp120.jsp?tableID=207&ID=0&productType=8.

R&D expenditure of selected industry groupings and their ratio to GDP are
presented in the attached document [filename: Business R&D expenditure,
1995 to 2014.xlsx].

6.        Item (7) Number of working persons by activity status such as
no. of boss, employee, etc. for such refined industry breakdown is also
not available.  Nevertheless, you may wish to refer to the number of paid
and unpaid persons engaged by industry section from 2000 to 2015 as
attached [filename: Paid & Unpaid PE by industry (rounded figures).xlsx]
for reference please.

7.        For Item (8) Average annual wage of working persons, the
statistical table compiled based on the results of the General Household
Survey is attached [filename : MME_ind(detail) (1991-2015).xlsx] for your
reference please :

* Median monthly employment earnings of employed persons by detailed
industry of main employment, 1991 - 2015

Notes:
The General Household Survey (GHS) conducted by the Census and Statistics
Department (C&SD) is a continuous sample survey to collect information on
the labour force, employment, unemployment and underemployment.  It covers
the land-based non-institutional population of Hong Kong but excludes
inmates of institutions and persons living on board vessels.

In GHS, industry refers to the activity of the establishment in which the
respondent worked during the 7 days before enumeration.  GHS basically
follows the major industry sections of the Hong Kong Standard Industrial
Classification (HSIC) to classify the industry of employed persons.  As
GHS is a sample survey and in view of the large sampling error due to
small number of observations involved, most GHS statistics by industry
have been released with board groupings of industry while only some of
them have been released at the 2-digit level.  Statistics prior to 2008
have been compiled based on HSIC Version 1.1.  Starting from 2009, the
statistics are compiled based on HSIC Version 2.0 and the series has been
backcasted to 2008.  Hence, figures from 2008 onwards may not be directly
comparable to the earlier figures.

In addition, statistics on annual wage of employed persons are not
available from GHS.  Instead, information on monthly employment earnings
of employed persons is collected in GHS.  So far as measuring of the
central tendency of income data is concerned, “median” is considered more
superior to “average” (or mean).    It is because the average is more
vulnerable to the effect of extreme observations (i.e. those with
exceptionally high/low income).  This effect will be intensified in
statistical surveys if a few of these extreme observations are included in
the sample.    On the other hand, the median statistics as compiled from a
statistical survey is very robust, i.e. not easily affected by the
presence of extreme observations in the sample.  This robustness enables a
more meaningful comparison of the median statistics over time.  It is
therefore the usual practice of C&SD to publish the median statistics
rather than the average statistics as a measure of the central tendency in
respect of income distribution compiled from the results of GHS.

With best regards,

Patrick Lam
Census and Statistics Department
Tel: 2582 4731

From:        Gordon Yip <[FOI #71 email]>
To:        FOI requests at 政府統計處 <[Census and Statistics Department request email]>
Date:        05.05.2016 14:01
Subject:        Freedom of Information request - Innovation and creative
(industry classification)

--------------------------------------------------------------------------

Dear Sir/ Madam,

May I have the industry classification of the companies which are mainly
engaged in the development of the following technologies as stated in
items 1 to 34?

(A) eCommerce, Logistics and Supply Chain Management
1. E-Lock Based Enabling Technology for Container Cargo Transshipment
Process
2. Advance Trucks' Arrival Notification System for Air Cargo Industry at
the Hong Kong
International Airport
3. Coordinate-based Indoor Positioning System for Tracking and Finding
Mobile Items in Highly
Dynamic Environment
4. RFID-based Sensing Technologies for Real-time Environmental Monitoring
and Facility

Management
5. Innovative and Efficient Wireless Mesh Network for Outdoor Environment
6. Container Management System
7. Product Authentication at Retail Points - Infrastructure and Systems
8. Integrated Barcode / RFID Reader for Retailing and Inventory
Applications
9. SMe-Plug for Small and Medium-sized Enterprises
10. e-Cheque Apps Development Cloud
11. Video Analytics for Resource Tracking and Management at Hong Kong
International Airport

(B) Location-based Services (LBS) Technology
12. Indoor Localisation, Tracking and Navigation
13. Development of a Hong Kong Positioning Infrastructure Based on GPS,
Beidou, and Ground

Based Augmentation System
14. Development of Hong Kong Indoor Positioning Infrastructure Based on
GPS Technologies
15. Indoor Location Analytics System for Exhibition and Convention
Industries
16. Location-based System for Indoor and Outdoor Tracking
17. Smart AP: Wi-Fi Positioning and Optimisation for a Smart City

(C) Hardware Implementation
18. Development and Commercialisation of RFID Reader Chip for NFC
Application
19. Lightweight UHF RFID Gen2 (ISO 18000-6C) Reader Chip
20. Optimal Design of Novel Reconfigurable UHF Antenna Systems for the
Smart Shelf RFID

Technology
21. Novel Low Profile 3-Axis Polarisation Technology for the Near Field
UHF RFID Reader

Antenna System
22. Low-Cost and "Green" UHF RFID Tags
23. Package-specific RFID Tagging and Embedding Technology
24. Passive UHF Detachable RFID Tag for Different Range Access

(D) Construction
25. Location-based Technologies for Real-time Site Safety Management
System
26. Safety Belt Alarm System for Construction Safety
27. Raw RFID Alarm Sensing System for Vehicle in Construction Industry
28. Enabling Technology for IoT Mesh Network and Building Information
Model for Building Life

Cycle Management
29. Enabling Technologies for Baby Tracking in Hospital Environment
(Tamper Resistant and

Reusable Baby Tag)
30. Active RFID System for Equipment and Personnel Tracking

(E) Social Services
31. RFID Technologies for Monitoring of Elders
32. GPS Locationing Technologies for Monitoring of Elders' Location
33. Home-stay Wellness Sensing System
34. RFID Reader White Cane System
35. Infrared Thermal Sensing Safety Alert System for Elderly

Also, I would like to request the following statistics based on the HSIC
codes (in term of 6-digit codes) of the mentioned items (Period:
1991-2015)

(1) CR10, CR20, CR50 and Herfindahl-Hirschman Indices
(2) Labour Productivity Indices
(3) Business Receipts Indices
(4) Number of regional headquarters, regional offices and local offices
(5) R&D expenditure
(6) R&D expenditure as a ratio to GDP (%)
(7) No. of working persons by activity status such as no. of boss,
employee, etc.
(8) Average annual wage of working persons

Yours faithfully,
Gordon H. N. Yip

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industry classification
innovation
research and development
HSIC