Sunday, June 13, 2004

Non bumi to head glc

The govt have decided to recruit capable non Malays to head the glc, perhaps to inject new culture in the corporations, so that it is capable of surviving global competition if there is such a thing. However this is not a new initiative. The first CEO at MISC and MAS was ethnic Chinese, and the appointment was never controversial then. Later we have colourful corporate figures like Abdullah Ang and Eric Chia who were appointed to lead govt companies and the outcome was disastrous, and both were shady character even prior to the appointment. Later when some govt companies was privatised, the Malay management was cleaned out (some called it ethnic cleansing), although nominally the shareholders was majority owned by the Malays. These companies have since been bailed out by the govt. The key to successful public enterprise management does not only depend capable manager, irrespective of race, but also on the integrity of the manager. Their ability to manage must not be compromised by political interference.
The Minister also demands that non Malay firms, especially those listed on KLSE, not to discriminate against the Malays in their recruitment, and this is highly contentious. It will take a long time before attitude and prejudices of the Chinese towards the Malays changed. It may take a least one generation for the change to take effect, and that must start from the school system. Secondly the Malays, should have pride not to accept position as stooge especially as director, who sometimes not even aware that they have been used for illegal activities like related party transactions etc. Professional firms like the accounting firms, normally affiliated to international firms, are the worst practisioner in what the Minister described as tokenism. A firm like Price Waterhouse Coopers is noted in making sure that the Malay trainee is demotivated and eventually leave the firm, and quickly confirm that the Malays cannot work under pressure. This problem is a vicious circle. Only a strong political will can break this practice of demolishing the Malay professionals right in the bud.

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