COMMENT In the article, ‘Private sector also needs to buck up" ( NST Dec 3, 2011) Pardip Kumar Kekreja pointed out some inefficiencies in the private sector which most us could had similar experience of, too. In the same article, the writer also informed the public at large of the establishment of the Task Force on Private Sector Efficiency and Accountability Towards Consumerism.

The government of the day had come up with special committees and special units of sorts since the commencement of the Transformation Programme : SME Corporation; Pemudah; Pemandu and the introduction of quality and performance measures.

I had previously written articles on the implications of GTP on ETP and I must express my appreciation of the progress made under the GTP efforts. Those tough demands from the top such as "reducing processes by months is not enough; efficiency must measured by days" were never heard before. But they bore visible results which invited much applause.

Under ETP, each ministry had identified main National Key Economic Areas (NKEA) for driving growth, arriving at the current promise of GNI of RM228.55 billion which would create 372,261 jobs ( www.pemandu.gov.my , 2011). These are promised projects with results yet to be realised.

How can the country arrive at the high income status? Will these EPPs alone take us there? It was a fact that the Deng Xiaoping theory of first creating an echelon of super rich had contributed much to the present day economic status of China. However, Malaysia has progressed way beyond this stage of growth.

A look at the SSM (formerly Registrar of Companies) annual report revealed the number of companies registered as at end of December 2010 was almost a million (927,045), with 4.36 million businesses registered. Business failures had reduced by 26 percent in 2010 and the number of companies struck off declined by 35 percent.

Signs of vibrancy

These are the signs of vibrancy of the business intention of a young population. I blame it on the country's education policy if 43 percent of the workforce does not possess qualifications beyond SPM.

During my HRM (human resource management) days, satisfaction came from living the adage that every cloud has a silver lining. Words could not describe the elation in seeing this group of sidelined employees doing well.

The government had identified areas where these young, yes, young businesses existed. Is it not common sense that besides merely counting future golden eggs, one also needs to breed more mother gooses which will lay these golden eggs?

Take Port Dickson, for example. It never arrived at the "Playground of the East" it was aiming for more than half a century ago. Pemandu officers were aware of not just the roadblocks but the business potentials as well. But, how far has Pemandu gone into aiding those business projects with billion ringgit GNI prospects?

The private sector is the driver of the country's economic growth. Yet files were closed in government departments. Officers were transferred and promoted to new positions. Private-public sector negotiations were left to oscillate in circles.

What were the implications when a project file was closed? The government had stamped a death knell on projects on which a member of the private sector had spent millions of ringgit together with a hundred-fold business opportunities from multiplier effects of the project.

And how long did it take for the same agency to re-open a file when the same company made an appeal? What was the level of urgency of government offices which dragged their feet on refunding deposits involving thousands of ringgit?

Treasury instructions were only meant to regulate new expenditure of public funds. Deposits by companies, be they in thousands or millions of ringgit, were in the government Treasury in temporary custody only. Once projects had been satisfactorily completed the deposits must be refunded. I read with admiration the Tourism Ministry's commitment of 14-day payment of claims on their website.

Pemandu officers, with adequate business knowledge, I presume, should be able to identify problems that the private sector is facing and knock on the doors of government offices to help the companies to overcome those hurdles. Just pushing papers from one office to the next is not enough.

Country needs results more

If over 90 percent of business establishments in the country are SMEs (Small and Medium Enterprises), Pemandu officers should shed those chauffeured and stiff jacket images to walk into backyard factories or meet entrepreneurs in coffeeshops to listen to their grouses and to proactively provide assistance. Although careful planning is needed, this country needs results more.

I was greatly impressed with Bank Negara setting up financial advisory service in village barbershops. The bank was aware that economic growth was a numbers game. They, together with Pemandu officers should be the eyes and ears of public service integrity and performance. Both Pemandu and Pemudah should live the motto, "Our business is to ensure your business prospers" - (quoted from the Singapore government).

A last word for Pemudah, please thoroughly examine McKinsey's 7S framework on organisational performance before implementing the proposed task force. Appreciate the differences in the private sector particularly in management and manpower characteristics. There is no one-size-fits-all in change management.

 

DR DAPHNE LOKE, former director of the Graduate School of Business of SEGi University College, spent more than 20 years in the local and international civil service. She is currently on special appointment with a public listed company.