Wednesday, October 1, 2014

The Beginning of Religious Man, a new Migrant People?

Of recent I have been receiving questions from friends within the country and in overseas on dealing with multiculturalism. It is a chapter of studies itself at the university level and in many aspects of education.We have to study about other races. (Although I cannot recall whether it is a compulsory study but management studies were compulsory for 1st year)

Since 2008 many nations were economically deprived of their source of income. Some inhabitants chose to change their jobs or migrate to a new land.

There are 232 million migrant workers worldwide and therefore logically we shouldn't have workers or employees shortage.1. That is not the case. What we are short of, are skilled and knowledgeable workers.

To compound business interest on global scale such as China and South Korea, the vast movements from African continents, Middle East and some East Asia basin due to war-torn nations to Australiasia, many of these displaced people brought along their systems of believes. 

Most employers are quite responsible and adaptive towards the changes, but not all are fast enough, and on larger scale, cool-headed to deal with the changes - such as 300-400 employees of two factories clashing over misunderstanding. This then create an atmosphere of distrust among the residences and the factory management.

New Surau just built on extended factory - Kedah

3 Quick Ways to manage new migrant labours.

1. Respect.

Always treat the workers with reasonable respect on the practical side with overall security in mind. For example, would one allow Voodoo-shamans? What about setting up religious halls? Normally there will be the appropriate Government agency to provide advice to setting up community villages.

If the decision is to be setup, then the management will do well to steer away from commenting further, that such a decision- is a business loss. Consider this as an opportunity as part of Corporate Social Responsibility (CSR) and Global Citizenry.

2. Recognise migrant labour rights.

International policies may not work well at local climate. They are for protecting workers rather than employers.

3. Education and Awareness.

Factory managers and supervisors have to recognise the types of leaderships in play. Those granted within the migrant community and that of the employers. One must find a balance to setup a leadership group that reduces chances of mis-communications.

Having some form of leadership and management education and awareness campaign would create a better glue to get people moving in one direction.

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And the  best way to get things started is to first, listen to the new migrants even if a translator is needed to be hired.

Tuesday, September 30, 2014

Visiting P. F. Drucker


Peter Ferdinand Drucker an Austrian-remade American management consultant, educator, and author, whose writings contributed to the philosophical and practical foundations of the modern business corporation 1

Drucker's credo, "Know Thy Time" are of little use to Generation Y aka "Millenials", that existed three (3) American generations above his; the Silent Generation that had fought in Korea and Vietnam, the Baby Boomers and the Generation X.



Drucker came from the so-called American's "The Greatest Generation" or the G.I. Generation that fought in World World 2, undoubtedly much of the larger contributions went to computer age, mechanization of air-crafts and ships which later on lead to the space exploration age.

He was not around to see or to predict what I would call, "The Beginning of the Religious Man", where migrants around the world would have much the impact on managing industrial-wide of workers.

Drucker rightly recommended, 
"A man should never be appointed to a managerial position if his vision focuses on people's weaknesses rather than on their strengths."
Sweat and soul, were the old Spartan way of life, The Greatest Generation time but not this time where Generation Y flexes their backbone with a yawn; where one need not figure how to change a plug-socket head when you can buy and replace a plug for 99 sen, to figure out how hand-phone works when they came in all shapes, sizes at an affordable price and how the Internet works, it just does!



DOTA, Cybercafe games are the in-thing, Alibaba is a stock giant, not 1,001 Arabian Nights and whether it makes profit or not, is not really the question, its popular (and seemed to be the only one viable to trade in this dour time)! Times have really changed and so are the mindset of the "labour market" where the Generations before trying so hard to protect only for labour to go on individualistic rampage.

But at the end, the World and the Individuals must recognise what Drucker had written and talked widely on:

Managing By Results.

All talks, no action, makes Jack and Jill - are over-excess necessity that any organisations should cut down on and getting the goal realized.


Saturday, September 13, 2014

The World, Money and Racism

When Thomas Friedman wrote, The World Is Flat, he could've been predicting 2008 to 2014 onwards to 2016... that more of the upper middle level income are suddenly compressed to be middle or lower middle income.

What happens when a layer of middle - like middle managers had been removed.

What was originally, 60: 35: 5 became, 80:15:5? Transmigration of many people all over the world. It is no longer immigration but a social context issue where races and religions are no longer at their original base.

In much of the confusion, tolerance and acceptance, money is hard to come by and people are pushing for space and recognition. This then will lead to social disorder.

Every other day, authorities across the world, had to come up with clever solutions to pump into the communities; be good, be kind and take care, with the base understanding that people who are religious would have aided their causes by practising what they preach.

Is the world that fragmented? Are we a contributor of it? Or are we doing something about this?

https://www.youtube.com/watch?v=dfccrwUlROU

Sunday, September 7, 2014

MIEN and Its Programs

MIEN has been coming up with its own programs to answer specific management issues.

Besides attracting interests for angel investors and companies that are seeking to join venture in projects, we have been looking into the specific needs in the area of food and beverages, retails, property developing, mobile apps and technology, energy-related and manufacturing.

The indulgence into thinking of the methodologies and first-time use ideas can only be assisted by knowing what others had done and doing it successfully.

For example, we have Membership Programs  created for particular industries. Memberships in truest sense, are no longer limited to certain industries such as Multi-level-Marketing or supermarkets. It has gone on to be applied in almost anything and everything that can be purchased in life.


The technique and the solutions of today and tomorrow are no longer simple.


How does one justify a RM 6 billion "investment" to be pumped into a newco which derived from an old track record and hope to make from it? Of course, there are ways to turnaround the organisation. There has to be a workable program that everyone huddle around it and make things work.

Cross-referencing Materials

Written down ideas vs. unconventional ideas

I am very into unconventional ideas. I won't call it Blue Ocean Strategy (BOS) or Thinking Outside the Box (TOB).

Unconventional ideas require 3 things (see, it is always about 3 things and you got to think what they are)

1. The understanding of basic fundamental of all things.

Like engineering and medicine, there needs to be cross-references, researches, recognition of risk management, the Upper and Lower Limits that needs to be identified, the human resources, the capital outlay and many other things that can turn the world upside down.

2. Observation and thinking.

BOS, TOB, MYOB (mind your own business) and jargons are good folder-names, where you can put all the things you are doing, into the coloured boxes.

The things I love about my MIEN Ultimatum crews are they are very much observant and into thinking. Sometimes, the solutions are right in front of us and other times, it is unexpected.

Just like the discovery of Penicillin and the vaccine to cure smallpox.

3. Trust and determination

There is always a movement to disregard ideas because they do not come from people who want to own them when they are not capable.

Ego, could be part of the answer. I would place, the intention to survive.

By adopting an idea or program, one runs the risk of promoting a mechanism, that will take away their jobs.

For example, would a doctor asked about a new Expert Systems that not only diagnose but can carry out micro-surgery? There is a chance he/she might not for fear of being replaced by automation (no, we haven't reach that stage yet).

Elsewhere, machines and procedures are replacing people - and the only way that these can be contested is either through the Labour Law office or to kill off the ideas before it can even take place.

There were cases, where middle management were removed from the decision-making but these are usually in family managed businesses. For better or worse of things.

The people of businesses must place trust into the change that it will take care of them had they in the first place, took care of the business.

Today, this has been what I have been up to and looking forward to doing things positively together with you.

Kind regards,
Erasmus

Monday, July 7, 2014

Hystory be Damned ... and we allow it

For the past one year, scores of Malaysians remained hysterically and emotionally gripped by events relating to people, policies and communal differences. We failed to see the woods out of the trees. The longer this goes on unchecked, Malaysians are selling themselves shorter and shorter over time.

For a fact, recently I wrote a 4-page letter to the MD of a veteran German car group besides offering my consulting services, chronic problems associating with his veteran and famous car brand, 4 hours kept waiting with no other main customers, on a simple oil and filter change for a car bought 9 months ago. Not only that my first 15,000km was invalidated by the brought-in at 10,000 km.

Casting that aside, I am invited to contribute a historical article for an institute in Penang. It bemuses me that in the wider context of discussions, historical means what is widely accepted by the community without having to charge emotions of what is in the total truth, but what is in the selected facts to share.Nevertheless I do agree that my article will lend support or finale to other eleven articles written before me of a common theme.

Finally, in the recent write-up and worldwide circulation of a Mamak Malaysian-born who set to open a restaurant in Twitter's HQ. Kudos to her when I read the headlines with a smile and sense of "Good on you, girl". Until I read the full article published by our local media and as well as foreign news. I am terribly shocked, to know my neighbours - the Mamak, as this fifth generation claimed to be the lower of caste in Malaysia and treated badly to the point that she was not accepted for higher studies with good results. She had also felt largely insulted that shes still being treated an Indian in her own country. Her story then went on to illustrate due to the lack of opportunities she left Malaysia at the age of 15, leaving behind her OrangUtan and a blind chicken and what-not of wonderful memories as she took on the bigger and better world bravely.

The Americans bought her enterprising story by the hook. But what failed to impress me, was our local media and general population who had read the same news, very happy for achievement - failed to challenge and authenticate her claims. Where in Penang or parts of Malaysia, can a poor person keep an endangered species at home? Therefore from here, I ask you, what kind of role-model are we allowing to permeate the minds of our children to understand and follow as life history?

I sincerely hope the source of information, the principal behind stories and the media will play their roles to ensure good value stories are properly researched, managed and ran before it hits to international circles and give us a red bleeding nose when facts come charging back at us, one day.

Thank you.

Friday, July 4, 2014

The End of Industrialisation for Penang?

In 2008, Penang ushered in its State Government made up of parties from Pakatan Rakyat. They had also successfully defended the State in 2013 to continue governing the Penang state.

Then comes the time for reporting on the sustainable growth in Penang and whether the economic outlook fared well since 2008.

Overall, for the majority of Penangites, they enjoy a time of professional governance.  Like advertised, competency, accountability and transparency had occurred at above the crust where the ordinary people can feel the changes.

But what about what is in the mantle of the State economy?

In the publication of Pilot Studies for a New Penang, circa 2009, there is a chapter 10 on Position Penang for Sustainable Growth by Nungsari A. Radhi and Hamdan A Majeed, where it claimed 50% of the world’s microprocessors are being produced by Penang. In their article, it questioned whether Penang is prepared for the next phase of change? This is backed by a survey conducted by Khazanah from a year (before their publication) that Penang firm’s activities have dramatically changed and no longer just manufacturing based. To conclude their short article as much as the opening and ending suggested, the change simply is not happening as quickly as it should and in fact has decelerated over the years compared to (new) growth cities. Therefore the learned ones, suggested to wing it and see what happens next.

Today July 2014, Datuk Redza Rafiq had reported the Northern Corridor Implementation Authority (NCIA) has attracted RM 6.7billion in foreign direct investments (FDIs) by the first half of 2014 with some 9,800 jobs created. He said, "We are confident of achieving the investment target of RM10bil this year with contributions coming from manufacturing, tourism, agriculture and logistics sectors.”. Reda went on to add in his report prepared for the NCIA 12th Council Meeting chaired by Prime Minister Datuk Seri Najib Tun Razak. NCIA has been looking at designing a completely new manufacturing ecosystem by venturing into new growth sectors like medical devices.

To be very honest, medical devices is not a new growth sector and in fact, it’s one of the areas that we are not capitalising fast enough and we also do not have the quality assurance means to do so at the industrial level in Penang.

Indeed, there are calls for the resignation of the Chief Minister, Lim Guan Eng on what is said as abysmal results as Penang dropped to 6th place in terms of FDIs in the country.

The background of this statement was against National FDI the Economic Transformation Program (ETP) by Najib which reported a highest ever record for foreign direct investment of RM38.7bil last year, a 24% increase over 2012 and 3.9% higher than the last record of RM37.3bil achieved in 2011. I can only suppose that the detractors did not read much into International Trade and Industry (MITI) minister Datuk Seri Mustapa Mohamed’s claim on the contributions, “….all sectors of the economy registered increases in FDI inflows in 2013.” What detractors also failed to comment was the movement of RM over USD that contribute to the record in 2013.




So what is happening to Penang Industry and FDI?

It is the quiet change.

The world industries are now shifting, again. No longer has Business Processing Outsourcing (BPO) automatically gone to India when they have Romania and The Philippines (according to Dr Vinod Devanthas at an American IT MNC) as English-speaking countries. And despite all the human resources hiccups from 2010 until today, Intel insisted on filling up their biggest plant located in Vietnam and slowly closing off their plants elsewhere in the world. Penang and Malaysia industrial leaders, Government researchers are fully aware of these changes. At minimum, information technology research and advisory firms continue to provide positive indicators with the usual, read between the fine-lines.

So where does Penang future economic outline seemed to be heading? One proponent of economic ideas said that Penang being the largest UNESCO historical and heritage city should fully concentrate on its heritage development and creation of very liveable state and shift away from industries. Others had said that Penang will have to move higher up the value chain to create a new ecosystem management for value-chain in the business processing outsourcing.
                                       

Whichever the path is, it is definite that we are seeing to the end of industrialisation for Penang by 2015. It is noteworthy that GST came in at a same time, to latch onto most sectors but for those with the income of RM 500,000 or less.

In any case, evidently both the State and Federal Governments as has been since 2008, must cooperate now and not rivalling each other for the worse in preparation for the next General Election.

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http://www.mole.my/content/penang%E2%80%99s-fdi-free-fall-guan-eng-must-resign-gracefully-0
http://www.thestar.com.my/Business/Business-News/2014/02/14/Malaysia-receives-record-FDI-of-RM39bil-By-DAVID-TAN/
http://www.thanhniennews.com/business/intel-opens-biggest-ever-chip-plant-in-vietnam-14495.html

http://whc.unesco.org/en/list/1223

Tuesday, June 3, 2014

A Piece of Paper

Business in Malaysia especially starts with a piece of paper. It can be a Form A for SSM for registration of an enterprise or Borang 9 certification of incorporation of companies.

Then you start your business proper. Adhering to the local statutory and regulatory requirements of your nature of business. Doing what is necessary to see things being realized and objectively carried out.

Planning comes naturally – you plan daily and periodically. Business, marketing and financial plans are often what were used to be submitted for Grants or Loans.

Almost every business owner is a salesperson. Armed with a name-card with a telephone number and emails, the doers will plod the streets, into trade fairs, meetings with potential customers and gathering of friends. Then phone calls started to come in, customers started to place orders and then you have the business.

Ever so often business owners will tweak and turn but always with the same principle of beliefs in their system of business that it will work. There’s Vision and there’s the reality. We call this the Vision gap. Here is where you are and there’s where you had wanted to be.

As business expands, more and more people trust your business, it then boomed and at times gone bust when the risk factors were not well-identified. But your knowledge and experience on business keeps on expanding. Never leaving you far and at the flick of your thumb, you know what must be done. Hence, there’s always some form of Rule of Thumb especially for the professional business owners.

As we ourselves build documents, processes and systems from scratch and at time restructure them, submissions to government, tenders and presentation, we are mindful of the historical values of these organizations and the attachments of the owners who had built the business with sweat and blood.

But to grow, existing companies must shed their former skins like dragonflies do. 

They cannot continue to rely just on their Grade A builder status, the tons of certifications obtained and in some cases, the Bumiputera status to propel their existence; outward and onwards.

These companies must evolve based on existing needs, market demands and today’s competitors. Business owners should no longer operate the same, doing the same thing and making the same mistakes, over and over again despite the assurance of their systems in place.


Imagine 20 years from today, you the business owner is still handling that one piece of paper, for which it should have long left your table and someone else is looking into it. Then this shall not be a business but a process requiring urgent think-over. As for me, my passion happens to be admiring a piece of paper.

Erasmus KL Koay

Monday, February 24, 2014

High Income Nought

This shall be a 2-part write-up.

First part, shall express my own personal thought.

Second part, will go through 4-page article and provide my critique.

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For the first part, High Income Nought or "Zero High Income".

The very idea that a Company or a Government should bear most of cost for current Generation of Employees is downright insulting.

Previous generation of parents or single parent, would often encourage their child, children or kin to be better. Getting better jobs through higher education. Otherwise, the idea is to work hard and earn money if one cannot study.

"Don't be like us. Be better."

For that to happen, the family will encourage or enroll their child into various co-curriculum to unearth any secret talents. Go, be Michelle Yeoh, Misbun Sidek, Nicole David, Lee Chong Wei, N. Mohanadas and M. Magendran.

Parents did not want the children to repeat the obstacles they went through. And perhaps in doing so, some parents could have overdid things -- pampering. E.g. buy lots of products, dropping a child directly in front of school gate etc. to the point, that the kids are basically and often spoiled or choosy.

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What does Companies have to say about sharing more of their profits? Nothing.

Why should they if they are raised on the literature of Peter Drucker, Steve Jobs, Kaplan and Norton?

Where is the Performance? Where is the technological breakthrough? Where is the leap from the first plane to fighter planes, and thereafter? Is Neutron bomb the first and last?

What should Business Owners or Government pay for... Nought?

Socially people are not getting any better but anti-authority. So who will be bearing all the future costs of Golden Age etc.? No one except for those who have kept the money for their children and to fend for themselves. Most of these had invested into businesses for a better future and in turn to handover to their children, who will somehow have to figure out ways of running (not ruining) the businesses. Or else have qualified managers to do the jobs.


Note: It is equally disgraceful for large organisations, to employ staff with minuscule salaries. The business owners had forgotten their taste of medicine and sought to 'educate' the current generation how it was like 30 years ago.

On the other hand, that employees can choose their employers. If they are adaptable, have the necessary skills and knowledge, they will go very far indeed. In today's highly inflated cost, employees must earn sufficient to live an enjoyable and tolerable life.


The only way to go up to ladder is to work hard, don't mind the initial salary as long as its reasonable (don't even think of wealth independence), get the right number of years experiences under the belt, try to survive the job, don't job hop and of course, stay in the company that cares.

If you wish to risk it all, start your own company, try to earn gazillion ringgits, but make sure you pay your staff as much as what you would have paid yourself - which was one of the reasons you started your own company, so don't blame the staff.

In the nutshell, pick yourself up and don't be lazy, then we will look at this High Income Dream we all have been talking about.