Isnin, Mei 31, 2010

Living expenses to go up by 20% in 3 years

Press Digest by Kong See Hoh

PETALING JAYA (May 31, 2010):
IF the government starts to reduce various subsidies this year according to the proposed five-year subsidy rationalisation roadmap, the living expenses for the average household are expected to go up by at least 20% in three years. 

This estimate has not taken into consideration the resulting inflation, such as hikes in prices of goods, food items and service charges, Nanyang Siang Pau reported today. Once the government "passes on" the additional expenses to the consumers, the hardest hit will be those in the lower and middle-income brackets.

According to government statistics, the average household enjoyed RM12,900 in subsidies last year.
Minister in the Prime Minister's Department Datuk Seri Idris Jala, who is also the chief executive officer of the Performance Management and Delivery Unit (Pemandu), explained the subsidy rationalisation roadmap at the Subsidy Rationalisation Lab Open Day in Kuala Lumpur last Thursday.

The lab was held to get suggestions and feedback from the public on the government’s plan to gradually scrap the subsidies. Idris said if the current heavy subsidies continue, Malaysia would accumulate RM1,158 billion worth of debt by 2019, enough to take us into bankruptcy.

Government subsidies, which were introduced in 1961 under the Control of Supplies Act 1961, currently cover healthcare, social welfare, education, scholarships, fuels, electricity, toll, rail transport, edible oil, sugar, flour, white rice and fishery among others. Based on the daily’s estimates, an average family of four or five with two cars, two air-conditioners, and does its own cooking will have to foot a bill of close to RM10,000 a year on petrol, cooking oil, sugar, flour and electricity.

With the gradual removal of subsidies, the bill is estimated to go up by at least 20%. By conservative estimates, and based on the assumption that one of the two cars has an engine capacity of less than 1,000cc, the family will incur a petrol bill of RM650 a month for transport to the school and workplaces.
Although the small car will enjoy a yearly rebate of RM125, under the proposal subsidy rationalisation roadmap, the above household will have to fork out an average of RM848 a month by 2012, which is 30.5% more than now.

The power tariff is another area of concern. The government has given an assurance that 56% of the consumers will not be affected by the cut in power subsidy as households which consume less than 100kWh a month will continue to enjoy free electricity.

Isnin, Mei 24, 2010

Attracting the young to invest in M'sian stock market

Monday Starters - By Soo Ewe Jin, THESTAR,May 24, 2010, BURSA Malaysia chief executive officer Datuk Yusli Mohamed Yusoff and his senior team came over for lunch at The Star recently.Among other things, they were wondering how to get the young generation excited over the stock market and whether, instead of the usual birthday presents, parents should give their children shares instead.

I was reminded that at a recent roundtable discussion with StarBizWeek, Yusli had lamented that 15 to 20 years ago, Malaysia was one of the most exciting emerging markets in the world and many investors wanted to trade here.“But now, we're like a little boy with so many taller guys around us, hence the need for us to shout louder and to jump higher just to get investors' attention,” he said.So, if getting investors' attention is a problem, what more getting the attention of the young?

At this point, I suggested that Bursa should add some razzmatazz to the event that heralds a company going public. If you want someone who is fiddling with his iPhone on one hand and updating his FaceBook on another to get excited over what is going on at the exchange, the image of a man in a suit hitting a gong is about the last thing he would be interested in.When Marvel became the first comic book company to be listed on the New York Stock Exchange in 1991, the Wall Street Journal announced: Spider-Man is coming to Wall Street.The event was in turn promoted with an actor in a Spider-Man costume accompanying Stan Lee to the Stock Exchange. Cool!

And what about the role played by parents to get their children interested in the exchange?
Yusli suggested that parents could buy shares as a form of investment for their children. That is a good idea, especially if the shares are solid blue chips and the companies also represent values that are appropriate.
According to a recent report, if you had invested in 1,000 Public Bank shares when it went public in 1967, you would have been a multi-millionaire by now based on the share price and dividends received over the years.Imagine, if you had given those shares to your new-born child as a gift, he would be so grateful to you for making him so rich at a relatively young age.

In the United States, this is commonplace because there are many companies there that are familiar to children. Apart from Marvel, companies like Disney, McDonald's and Nintendo connect to the children because their products are all over the place. In the United States, you can open up a custodial investment account in your child's name and he or she can select companies they have an interest in, and with your guidance they can invest in and become owners of these companies. You can also buy stock as a gift whereby actual stock certificate from the company you choose comes beautifully framed and engraved for your little shareholder.

But with everything going scripless these days, we no longer get certificates of our shares, so how do we do this here? The next question to ask would be, what are the children-friendly stocks on Bursa?
So the real challenge for Bursa is still to ensure that there are enough companies on the exchange that will appeal to Gen Y and beyond. Otherwise, in terms of retail investors, it will still have to be content with retirees and housewives with plenty of cash and time on their hands.

Deputy executive editor Soo Ewe Jin appreciates that besides shares, there are many creative gift ideas, like an online voucher or a prepaid stay at a beach resort, that we can give to our loved ones.

8 ciri eksekutif syarikat berbakat gagal dalam kerjaya

SYDNEY, Australia 23 Mei - Kajian terbaharu yang dijalankan oleh pakar perancangan penggantian ketua pegawai eksekutif, TalentInvest telah mengenal pasti lapan ciri-ciri yang boleh menyebabkan eksekutif syarikat yang paling berbakat 'tergelincir' di dalam kerjaya mereka.

Satu daripada empat eksekutif kanan gagal dalam tempoh 18 bulan pertama selepas pelantikan mereka, demikian menurut Majlis Kepimpinan Korporat yang berpangkalan di Amerika Syarikat. Ini hanya dipercepatkan sejak krisis kewangan global ekoran kesulitan dan kekaburan yang belum pernah berlaku yang dihadapi oleh banyak perniagaan.

Ketua TalentInvest, Meena Thuraisingham berkata, "Punca utama kegagalan di dalam kerjaya bagi para eksekutif adalah kerana terlalu mengikuti dan bergantung kepada sifat dan tindak-tanduk yang berjaya dan digunakan oleh mereka di dalam kerjaya sebelum ini. Kekuatan yang telah memacukan seseorang eksekutif ke puncak sesebuah organisasi boleh juga menjadi punca yang menyebabkan kejatuhan mereka." "Ketika perniagaan menjadi lebih rumit, ketidakupayaan untuk menyesuaikan diri dan belajar dengan pantas dan cekap menjadi punca utama kegagalan mereka.

Perkara ini sangat ketara semasa krisis kewangan global, yang menguji ketabahan walaupun pemimpin perniagaan yang paling berjaya."Thuraisingham menawarkan khidmat nasihat kepada syarikat- syarikat senarai awam di United Kingdom, Singapura, Hong Kong dan India mengenai perancangan penggantian ketua pegawai eksekutif telah menjalankan penyelidikan itu pada 2008.

Penyelidikan itu memberi tumpuan kepada eksekutif yang telah menjadi sebahagian daripada proses formal perancangan penggantian ketua pegawai eksekutif dan telah dikenal pasti semasa proses ini sebagai mempunyai potensi memiliki ciri- ciri ketua pegawai eksekutif.

Lapan ciri-ciri penting yang dapat menggagalkan eksekutif itu ialah;
  • Membiarkan kekuatan untuk menjadi liabiliti
  • Salah tanggap orang dan perhubungan
  • Memperkecilkan kerumitan cabaran
  • Tidak dapat menerima hakikat
  • Menjalani pemulihan terlalu perlahan selepas sesuatu kekecewaan
  • Kegagalan untuk belajar dan menyesuaikan diri
  • Mengetepikan kelemahan atau maklumat balas mengenai kelemahan ini
  • Terlalu lama berada dalam kumpulan yang salah. 
Ciri-ciri ini dan toksid dan mengehadkan struktur organisasi yang membawa kepada satu peningkatan di dalam kegagalan eksekutif telah dimasukkan di dalam buku terbaru Thuraisingham, bertajuk Derailed - What Smart Executives Do to Stay on Track. "Buku ini bertujuan memaklumkan kepada para eksekutif kepada gejala bahaya yang tersorok dan isyarat amaran dan menyediakan kepada mereka dengan beberapa strategi kejayaan yang praktikal untuk membantu mereka membina GPS dalaman seperti sistem bagi mengemudi menerusi halangan dan cabaran yang tidak boleh dielak," kata Thuraisingham.

Namun, ia juga penting untuk merealisasikan bahawa kegagalan dan halangan itu tidak semestinya tidak baik. Pembelajaran peribadi yang penting boleh terbit daripada kekecewaan dan kegagalan bagi seorang eksekutif yang bersifat terbuka untuk belajar daripada kekecewaan itu.

Maklumat latar belakang Meena Thuraisingham adalah merupakan Pengetua TalentInvest ( dan adalah seorang ahli psikologi organisasi, yang memberi nasihat kepada syarikat-syarikat senarai awam di Australia, Asia dan United Kingdom mengenai perancangan penggantian ketua pegawai eksekutif.Beliau adalah penulis 'Careers Unplugged-Essential Choices for a Great Career' (Blue Toffee) yang telah mencatatkan jualan paling laris.