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Four firms and Ministry sign MoU on capability enhancement

Published on: Wednesday, April 30, 2014

Kota Kinabalu: Four major firms and the Industrial Development Ministry signed a memorandum of understanding (MoU) with the Malaysia Productivity Corporation (MPC), on Tuesday, to focus all efforts on capability enhancement.

MPC is an agency set up under a joint project between the United Nations Special Fund and the Federal Government to enhance productivity, quality, management and entrepreneurship in the country.

The four firms are Sabah Electricity Sdn Bhd (SESB), Saleh Truck and Trailer Manufacturer Sdn Bhd, Nicaria Sdn Bhd and Simply Chocolate Sdn Bhd.

MPC Deputy Director-General Datuk Abdul Latif Abu Seman said various tools would be used to assist the firms to undergo enhancements, with one called the "Malaysia Business Excellence Framework."

"The framework provides a guide to organisations to assess their practices and identify areas for improvements," he said after the MoU signing ceremony, here.

Under the framework the firms have the choice to adopt this makeover process, which Abdul Latif said are being done based on seven criteria, looking into various angles like people, management, customers, knowledge, market and so on.

While the process of assessing this may take up to about three weeks, the firm will then formulate or adopt measures to remedy their shortcomings, he said. The same processes can be repeated to further reduce the weaknesses until results are materialised, which according to Abdul Latif "may sometime take years."

Deputy Chief Minister cum Industrial Development Minister Datuk Raymond Tan, who witnessed the MoU signing ceremony, meanwhile welcomed the MPC move, saying it is vital for firms to adopt best practices in performance.

"This move is very important be it in the private or public sectors," said Tan, adding that this is what the government wants from companies, especially government-linked, to "out-perform" themselves.

Tan said this should go across the board from good governance to financial performance, saying the government doesn't want, "anymore bad reports coming from the Auditor-General."