MSQH Annual Report 2020

Treasurer’s Report RESOLUTION 3

Registration No: PPM-006-14-17101997

PERSATUAN KUALITI KESIHATAN MALAYSIA
(MALAYSIAN SOCIETY FOR QUALITY IN HEALTH) (MSQH)

(Registered in Malaysia under the Societies Act, 1966)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2020

18. RESERVES 2020 2019
RM RM
Accumulated funds
At 1 January 3,025,641 2,135,044
(Deficit)/Surplus recognised in statement of (898,969) 890,597

income and expenditure ___________________________ ___________________________
At 31 December
2,126,672 3,025,641

19. CASH AND CASH EQUIVALENTS

The Society’s cash management policy is to use cash and bank balances to manage cash
flows to ensure sufficient liquidity to meet the Company’s obligations. The components of cash and
cash equivalents consist of the following at the reporting date:

2020 2019
RM
WWW.MSQH.COM.MY RM
49,463
Cash on hand and at banks 27,407 3,395,419

Fixed deposits with licensed bank 2,344,810 ___________________________
___________________________
3,444,882
2,372,217

20. COMPARATIVES

Certain comparative figures in note 14 have been reclassified to conform with the current year
presentation.

20

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Treasurer’s Report RESOLUTION 4 & 5

MALAYSIAN SOCIETY FOR QUALITY IN HEALTH
PROPOSED BUDGET FOR 2021 (REVISED) AND 2022 (NEW)

REVENUE NOTE Dec-20 Dec-20 Dec-21 Dec-21 Dec-22
DIRECT COSTS 1 AUDITED APPROVED APPROVED REVISED BUDGETED
GROSS PROFIT 1 BUDGET
1,134,484 BUDGET BUDGET 4,611,425
(275,940) 3,771,550 (2,118,325)
858,545 2,180,950 4,797,050 2,493,100
(1,635,950)
(890,130) (2,178,560)
2,135,600
1,290,820 2,618,490

OTHER REVENUE 2 87,600 62,400 162,000 90,400 192,000

Human Resource Expenses 3 (1,301,932) (1,292,340) (1,570,740) (1,241,620) (1,562,540)
Marketing, promotional and publication expenses 4 (73,413) (80,000) (50,000) (50,000) (50,000)
Depreciation of equipment (55,327) (46,630) (102,450) (120,280) (31,260)
Other expenses 5 (484,515) (647,750) (684,600) (861,800)
(1,027,800)

OPERATING PROFIT (969,042) (713,500) 29,500 129,500 179,500
FINANCE INCOME
FINANCE COSTS 6 79,709 80,000 80,000 80,000 80,000
PROFIT/(LOSS) BEFORE TAX
ZAKAT 6 (949) (2,000) (2,000) (2,000) (2,000)
INCOME TAX EXPENSE
(890,282) (635,500) 107,500 207,500 257,500
SURPLUS/(DEFICIT) FOR THE YEAR
(1,594) - - - -
(7,093) (7,500) (7,500) (7,500) (7,500)

(898,969) (643,000) 100,000 200,000 250,000

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Treasurer’s Report RESOLUTION 4 & 5

NOTES TO THE
PROPOSED BUDGET FOR 2021 (REVISED) AND 2022 (NEW)

1 ACCREDITATION REVENUE Dec-20 Dec-20 Dec-21 Dec-21 Dec-22
AUDITED APPROVED APPROVED REVISED BUDGETED
Subscription fee BUDGET
103,304 BUDGET BUDGET 105,000
Accreditation Program Income 90,500 98,000 105,000
A. Accreditation Program - Hospital
958,050 1,968,650 3,584,350 3,570,150 4,260,025
Less: Direct Costs
Accreditation Expenses - Hospital (21,168) (162,762) (218,378) (314,015) (398,485)
Accommodation & Meals (27,852) (203,463) (364,137) (392,500) (498,115)
Airfare & Transport (186,700) (372,596) (873,510) (788,555) (975,845)
Councilors, Survey & Training Allowance (120,000)
Non-Executive Technical Advisor - (75,000) - (75,000)
Training, development & update - (25,000)
(23,284) (25,000) (50,000) (25,000) 2,242,580
Surveyors & Councilors 699,047 1,129,830 2,078,325 1,975,080
9,400
Sub Gross Profit 17,600 11,800 - 9,400
(4,230)
B. Accreditation Program - Clinic (1,690) (5,310) (8,625) (4,230) 5,170
Less: Direct Costs 15,910 6,490 (8,625) 5,170
Accreditation Expenses - Clinic
Sub Gross Profit 24,000 20,000 20,000 20,000 20,000
8,840 7,000 20,000 7,000 7,000
C. Accreditation Program
- Chronic Dialysis Survey (10,566) (12,150) (18,000) (12,150) (12,150)
- Chronic Dialysis Seminar & Workshop 22,274 14,850 22,000 14,850 14,850
Less: Direct Costs
Accreditation Expenses - Chronic Dialysis - 6,000 6,000 3,000 3,000
Sub Gross Profit - 7,000 4,000 7,000 7,000

D. Accreditation Program - (5,850) (4,500) (4,500) (4,500)
- Dental Survey - 7,150 5,500 5,500 5,500
- Dental Workshop
Less: Direct Costs 22,690 70,000 550,000 50,000 200,000
Accreditation Expenses - Dental (4,679) (28,000) (210,000) (20,000) (80,000)
Sub Gross Profit 18,011 42,000 340,000 30,000 120,000

E. Accrdn Hospital - Seminar & Workshop 858,545 1,290,820 2,535,200 2,135,600 2,493,100
Less: Hospital Workshop Costs
Sub Gross Profit

Total Gross Accreditation Profit

2 OTHER REVENUE Dec-20 Dec-20 Dec-21 Dec-21 Dec-22
BUDGETED REVISED BUDGETED
AUDITED REVISED BUDGET
500,000 -
BUDGET (250,000) - -
250,000 - -
A. Conference and Workshop -
12,000
Conference QA -- -
-
W W W . M S Q H . C O M . M YLess: Conference Expenses -
Net Conference Surplus
-- -
-- -
262,000
B. Others 12,000 12,000 12,000 12,000
Administrative Revenue 75,600 50,400 8,400 -
PRIHATIN SOCSO Subsidy
Development of COE Guideline - - 260,000 140,000
Less: Development of COE Expenses� - - (190,000) (110,000)
Seminar/Forum/Workshop (GPSD�L) ess:
Seminar/Forum/Workshop Expenses - - - 250,000
Total Gross Other Operating Profit - - - (100,000)
87,600 62,400 90,400 192,000

3 HUMAN RESOURCE EXPENSE Dec-20 Dec-20 Dec-21 Dec-21 Dec-22
AUDITED REVISED BUDGETED REVISED BUDGETED
Staff salaries, reward and bonuses BUDGET BUDGET
Salaries and bonuses 1,146,616 1,123,520 1,419,900 1,094,750 1,356,730

EPF - Employer 129,554 141,820 178,700 115,520 172,700
Socso - Employer 14,315 13,500 14,800 17,850 19,610
Medical Expenses 8,916 8,500 9,500 8,500 8,500
Training and development - Staff 2,532 5,000 15,000 5,000 5,000

1,301,932 1,292,340 1,637,900 1,241,620 1,562,540

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Treasurer’s Report RESOLUTION 4 & 5

NOTES TO THE
PROPOSED BUDGET FOR 2021 (REVISED) AND 2022 (NEW) (CONT'D)

4 MARKETING, PROMOTIONAL AND PUBLICATION EXPENSES

Advertisement and promotion Dec-20 Dec-20 Dec-21 Dec-21 Dec-22
AUDITED REVISED BUDGETED REVISED BUDGETED
BUDGET BUDGET
73,413 50,000 50,000
80,000 50,000
50,000 50,000
73,413 80,000 50,000
Dec-21
5 OTHER EXPENSES BUDGETED

A. Administration Dec-20 Dec-20 15,000 Dec-21 Dec-22
Accommodation & Meals AUDITED REVISED 20,000 REVISED BUDGETED
AGM Meeting BUDGET 50,000 BUDGET
Development of Standard 3,611 35,000 15,000
Insurance 19,913 15,000 52,000 15,000 20,000
ISQua Accreditation Fee 30,746 20,000 20,000 100,000
Maintenance - 20,248 100,000 30,000 100,000 25,000
55,495 25,000 20,000 25,000 56,000
Information System 48,000 56,000
Office & Equipment 72,124 1,800 90,000
Other Administrative Expenses 11,538 80,000 - 80,000 20,000
Penalties 20,000 20,000
Printing & stationeries 1,200 30,000 1,800
Research & Development - 1,800 50,000 1,800 -
Rental of office premises - 220,000 -
Stamp Duty 11,566 25,000
Subscriptions - 25,000 - 25,000 15,000
15,000 6,000 5,000 220,000
158,918 158,950
- 50,000 220,000 -
- 40,000 - 7,000
4,501 7,000 90,000
7,000 10,000
Training, development & update - 15,000 35,000
100,000 10,000 80,000
Consumers (PFPSM) - 10,000 10,250
40,000 80,000 15,000
Travelling Expenses 21,315 35,000 15,000 15,000
40,000 -
Utilities Expenses 65,919 80,000 2,550 -
5,000 15,000
B. Conference and Meeting 45,000 - 40,000
-
APHM Annual Conference -- 6,000 - 5,000
700 - 45,000
ISQua Annual Conference -- - -
300 6,000
IHF World Hospital Congress 2019 Oman - - 6,000 700
976,800 700 -
ASQua -- - 300
300
BMJ -- 861,800
684,600
MMA --

ISQua Accreditation Council Meeting

W W W . M S Q H . C O M . M YC. Statutory Fees
--

Audit fee 6,000 6,000

Tax agent's fee 700 700

Service tax 420 -

Statutory disbursement 300 300

484,516 647,750

6 FINANCE INCOME AND COSTS Dec-20 Dec-20 Dec-21 Dec-21 Dec-22
AUDITED REVISED BUDGETED REVISED BUDGETED
Finance Income BUDGET BUDGET
Profits earned from Fixed Deposit 79,709 80,000 80,000
80,000 80,000
Finance Income (949)
Bank Charges (2,000) (2,000) (2,000) (2,000)

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Treasurer’s Report RESOLUTION 4 & 5

MSQH STRATEGIC DIRECTION 2021-2022

Number of Facilities Forecast Revenue for 2021

Total / Month Number of Facilities 2021

No. Description Rate RM Jan Grand
591,300 Feb Total
1. Survey RM 1,770,000 Mar
(i) Specialist (>6 specialities ) 98,550 251,850 Apr
118,000 102,000 May
(ii) Specialist (1-6 specialities ) 83,950 680,000 Jun
102,000 Jul
(iii) Non-Specialist 40,000 - Aug
(iv) Medical Institution 50,188 Sept
(v) Surveillance 30,000 Oct
(vi) Focus 10,000 2,400 Nov
(vii) Medical Clinic Survey 2,400 Dec
(viii) Chronic Dialysis Survey (Stand Alone) 4,000 20,000
(ix) Dental Survey (Stand Alone) Public 3,000 3,000 1 1 11 11 6
Private Survey Total
2. Training Public 3,450,550 42 1 1 1 1 1 2 2 15
(i)Training at Hospitals Private RM RM 24
(ii)Hospital Standards Training MSQHHospitals Public 10,000 11 1 3
(iii)Medical Clinic Trainings Public 9,000 100,000 4 45-
(iv) Chronic Dialysis Training 7,000 45,000 11
(v) Dental Training Public/Private 7,000
7,000 7,000 22 2 2 1 2 17
Onsite TrainingTotal 7,000
Centralized 7,000 0
Centralized Grand Total 166,000
Centralized 0
Centralized 3,616,550
1 11 3

11

11 11 1 5

11

5 5 5 5 5 5 5 4 52

Hospitals 11 2 2 2 2 10
1 1- - - - - 11111 5
11

11
11

2 4 3 4 3 18

5 5 5 0 5 5 5 7 9 8 9 7 70

Number of Facilities Forecast Revenue for 2022

Number of Facilities 2022

No. Description Rate Total / Month Jan Grand
Feb Total
Mar
Apr
May
Jun
Jul
Aug
Sept
Oct
Nov
Dec

1. Survey RM RM

(i) Specialist (>6 specialities ) Public 98,550 492,750 11 11 1 5

Private 118,000 2,714,000 53 3 11 1 1 1 1 1 5 23
22 11
Hospitals (ii) Specialist (1-6 specialities ) Public 83,950 167,900 2
555 33
Private 102,000 - 11 0

(iii) Non-Specialist Public 40,000 640,000 1 1- 11 121 16
6 65
(iv) Medical Institution Public 50,188 100,375 11 2

(v) Surveillance 0

(vi) Focus Public/Private 10,000 - 0
W W W . M S Q H . C O M . M Y(vii) Medical Clinic Survey
2,400 2,400 11

(viii) Chronic Dialysis Survey (Stand Alone) 4,000 20,000 11 11 1 5

(ix) Dental Survey (Stand Alone) 3,000 3,000 11

Survey Total 4,140,425 - 5 5 5 5 5 5 5 5 55

Hospitals2. Training Onsite RM RM 2 2 2 2 10
(i)Training at Hospitals Centralized 10,000 100,000 11111 5
(ii)Hospital Standards Training MSQH Centralized 9,000 45,000 11
(iii)Medical Clinic Trainings Centralized 7,000
(iv) Chronic Dialysis Training Centralized 7,000 7,000 11
(v) Dental Training 7,000 7,000 11
TrainingTotal 7,000
- -- - 2 4 3 4 3 18
166,000

Grand Total 4,306,425 0 5 5 5 7 9 8 9 8 73

Note : With in assumption of one (1) On-line Training apply for RM350 fee/20paxs - Medical, Chronic Dialysis & Dental
With in assumption of one (1) On-line Training apply for RM450 fee/20paxs - Hospital Standards

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Treasurer’s Report RESOLUTION 4 & 5

MSQH HUMAN RESOURCE EXPENDITURES DIRECTION 2021-2022

No. Details 2022 2021 2021
Budgeted Revised Approved
Budget
Budget

Corporate Affairs and Finance Division 111
1 Chief Executive Officer
2 Executive Manager 111

Corporate Affairs, Finance & International Relations 111
3 Finance Manager 111
4 Finance Assistant 222
5 PR & Marketing Officers 111
6 IT Manager 1-1
7 IT Program Officer 222
8 IT Assistant 111
9 Administrative & HR Manager 111
10 Administrative Assistant 111
11 Administrative Clerk 111
12 Executive Assistant 14 13 14

Sub-Total 111
545
Technical Division
13 Executive Manager Technical 111
14 Technical Officers
767
Accreditation Policies & Surveyor
15 21 19 21

Management Officer

W W W . M S Q H . C OSub-Total M . M Y

Grand Total

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Treasurer’s Report RESOLUTION 4 & 5

MSQH CAPITAL EXPENDITURES DIRECTION 2021-2022

Capital Expenditures Forecast for 2021 Depn Costs Accumulated Depreciation NBV
Additional*
1 Computer Rates b/f Balance b/f 2021 Balance Balance
2 Office Equipment 33% 486,605 20,000 506,605 36,318
3 Furniture 7% 114,709 114,709 (463,687) (6,600) (470,287) 3,309
4 Renovation 10% 313,178 - 323,178 0
5 Information Technology System 10% 113,441 113,441 (103,370) (8,030) (111,400) 23,743
20% 211,469 10,000 411,469
Total 1,239,402 (295,077) (28,101) (323,178) 160,000
- 1,469,402 223,390
(78,349) (11,349) (89,698)
200,000
(185,269) (66,200) (251,469)
230,000
(1,125,752) (120,280) (1,246,032)

*Additional Details 2021 Filing Tables Hardware & Office Total
Cabinets & Chairs software Devices
Particulars 10,000
Furniture 10,000 20,000 - 20,000
Computer
Office Equipment 10,000 200,000 -
Renovation - 220,000 -
Info. Tech. System 200,000
230,000

Capital Expenditures Forecast for 2022 Depn Costs Accumulated Depreciation NBV
Additional*
1 Computer Rates b/f Balance b/f 2022 Balance Balance
2 Office Equipment 33% 506,605 20,000 526,605 (470,287) 49,718
3 Furniture 7% 114,709 114,709 (6,600) (476,887) 10
4 Renovation 10% 323,178 - 333,178 0
6 Information Technology System 10% 113,441 113,441 (111,400) (3,320) (114,719) 12,404
20% 411,469 10,000 611,469
Total 1,469,402 (323,178) (10,001) (333,179) 360,000
- 1,699,402 422,133
(89,698) (11,339) (101,037)
200,000
(251,469) - (251,469)
230,000 (1,246,032) (31,260) (1,277,291)

*Additional Details 2022

Filing Tables & Hardware & Office Total

Particulars Cabinets Chairs software Devices 10,000
20,000
Furniture 10,000
-
Computer 20,000 -
200,000
Office Equipment 230,000

Renovation

Info. Tech. System 200,000

- 10,000 220,000 -
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RESOLUTION 6

PROPOSE RELOCATION OF
OFFICE TO ACADEMY OF
MALAYSIA WITH OPTIONS

TO PURCHASE OR
RENT-TO-OWN

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MSQH
B.6-1, Level 6, Menara
Wisma Sejarah, 230
Jalan Tun Razak, 50400
Kuala Lumpur

Malaysian Society for Quality in Health | Annual Report 2020

RESOLUTION 6

PROPOSAL TO PURCHASE OFFICE SPACE
OWNED BY THE ACADEMY OF MEDICINE OF MALAYSIA
AND ACADEMY OF FAMILY PHYSICIANS OF MALAYSIA

(HEREIN REFERRED TO AS “ACADEMIES BUILDING”)
LOCATED AT

PLOT 8C8, PRESINT 8, PUTRAJAYA
(NEAR TO NATIONAL CANCER INSTITUTE AND HOSPITAL PUTRAJAYA)

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109

RESOLUTION 6

Procurement Objective

Malaysian Society for Quality in Health (MSQH) proposes to purchase an office space on the
3rd Floor of the Academies Building located at Presint 8, Putrajaya.

Property Description

The property is located on the 3rd Floor of the Academies Building from its plot of freehold land
measuring 2.5 acres at 8C8, Presint 8, Putrajaya. An office layout designed is shown as per
Appendix 1. It is a stone’s throw away from the National Cancer Institute and Hospital Putrajaya
and is only a 5 to 10-minute drive to the Ministry of Health Malaysia’s office. A parcel site map is
enclosed in Appendix 2.

The premise is expected to be completed by 2023. The office space’s selling price is RM1,000.00
per square feet inclusive of ceiling and floor tiles installation. The down payment is 5% of the total
value.

Office Space Projection

Description Sqf Remarks

Existing office 5,400 Staff rooms, conference room, printing room, server room,
space workstations, surau, staff R&R, library, pantry, store for filing, PR
Marketing and stationeries.

Proposed office 9,500 Add: staff rooms for new accreditation programmes and
space standards development, bigger ergonometric and new
workstations, dedicated server room, media studio, stores,
conference cum training room.

Strategic Goals for Procurement

Provide adequate and the right office space for MSQH secretariat, in tandem with the growth in

WaccrWeditaWtion p. rMograSmmQes aHnd .inCcreOaseMin s.traMtegiYc partnerships.

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RESOLUTION 6

Cost Benefit Analysis

It is worth noting that there is no urgency or pushing factor in moving out from Wisma Sejarah as
the existing office is also strategically close to prominent hospitals and professional medical
associations. On the contrary, there is also the pulling factor to consider as it is nearer to specialist
associations and close proximity to the Ministry of Health Malaysia. Additionally, the offer from
the Academy of Medicine of Malaysia to acquire its office space is a once in a lifetime opportunity
in the long term considering the close and direct relationship MSQH and AMM have where
accreditation programmes are concerned. Nonetheless, the factors of advantages and
disadvantages are also considered below:-

Academies Building

Monetary Advantages Disadvantages
Non-Monetary

1) Long-term investment as 1) Business continuity plan under 1) Mid-high range of upfront
property appreciates in value risk management where threat is non-refundable 5% down
overtime payment
minimised when office rental is
2) Cost savings in terms of office concerned. Owner has control over 2) Limited financing option.
rental and storage namely in IT and price, tenure and terms. Seller not offering financing.
filing infrastructure 3) Challenge in obtaining loan
2) Strong relationship where AMM – requires Committee’s
income to support
is a Committee member and

established a powerful network of

medical professionals and

specialists contributing to the MSQH

accreditation programmes

3) Create new revenue to conduct 3) Convenient to conduct training as 4) Distant location from city
in-house training and conference auditorium and training rooms are centre offering less attractive
room rental (refer Page 6) located in the same building and
have large capacity to participants to travel
4) Potential revenue in training with
large auditorium and numerous 4) Comply to MPC 5’S’ Quality
breakup rooms by building owner. Environment Programme and
(refer Page 6) ISQua’s international requirement on
ergonometric and green building

5) Lucrative procurement rate per 5) Proximity to MOH and other
sqf compared to the market rate of ministries, medical specialist’s
between RM950 to RM1300 per sqf associations facilitating standards
(bare unit). AMM offered RM1k//sqf development, surveyor management
W W W . M S Q H . C O M . M Yw/fixtures ceiling and tile
and accreditation programmes

6) 3.3% interest on bank loan for 6) Easy accessibility to the
20 years maximum. highway, public transport, airport
and ample parking lots for staffs,
clients, members and visitors.

Minimum traffic congestion during
peak hours.

7) Property agent fee is eliminated
where procurement is done directly

3

Malaysian Society for Quality in Health | Annual Report 2020 111

RESOLUTION 6

Cost Benefit Analysis (…continue)

Wisma Sejarah

Monetary Advantages Disadvantages
Non-Monetary

1) Cheap rental at RM3.20 / sqf 1) Established goodwill with 1) Hazard - traffic congestion
landlord during peak hours. Long
queue and waiting period for
2) Close to public transport with
MRT due completion in 2023 public transport.

2) Possible increase by 50% of
rental rates in 10 year’s time
(based on existing revision

1998-2022)

Feasibility Analysis - Summary

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112

RESOLUTION 6
Cash Flow Projection - Purchase

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RESOLUTION 6

New Revenue

1) Accreditation fees
Increase of hospital accreditation fees by 10% from year 5 onwards (not revised since 2009)

2) Annual Conference – Quality or Hospital
Income (Delegates): RM1k x 2-days x 250pax = RM500k | Expenses: 35% x RM700k = RM170k
Net Surplus: RM330k per year

3) Medical travel accreditation programme
Income: USD25k x 5 surveys per year x 8% x RM4.00 = RM40,000 per year

Training

4) Hospital, medical clinics, chronic dialysis, dental clinics and partnership trainings

PER YEAR

Facilities Income Expenses Surplus

Hospital RM1k x 2-days x 150pax = RM300k RM300k x 35% = RM100k RM200k

Medical Clinics RM350 x 1-day x 30pax = RM12.5k RM12.5k x 5% = RM500 RM12k

Chronic Dialysis RM300 per 2-day x 50pax = RM16k RM16k x 5% = RM1k RM15k

Dental Clinics RM800 x 1-day x 30pax = RM30k RM30k x 20% = RM7k RM23k

Partnership RM800k x 1-day x 150pax = RM120k RM120k x 20% = RM20k RM100k

Grand Total RM350k

Timeline

W W WYears . M S Q H2.02C1 O M . M Y 2022 2023
Description Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

1. Down payment 11 1 1 22 2 2
2. Site inspection 2222 33333333
3. Loan repayment 4
4. Building completion 55
5. Renovation 66
6. Move in/startup

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RESOLUTION 6
Appendix 1 – Office Layout Design

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RESOLUTION 6
Appendix 2 – Parcel Site Map

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RESOLUTION 6
Appendix 2 – Parcel Site Map (…continue)

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RESOLUTION 6

Agenda 5 – Resolution 6

Propose relocation of office to Academy of Medicine of Malaysia with options to purchase or
rental as follows:

Either,
Approve to purchase at the price of RM7.5m, authorise President and Deputy President to sign
the Sales and Purchase agreement, approve payment of 5% non-refundable deposit amounting
to RM375,000 (5% of purchase price) and procure for a loan for the remaining balance;

Or,
Approve the option of rent 7,500 sqf at RM5 per sqf for a tenure of 10 years with the option to
purchase and authorise the president and/Deputy President to sign the rental agreement and to
pay 3 months refundable rental deposit amounting to RM112,500;

Or,

Not in favour of both

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RESOLUTIONS

RESOLUTION 1
That the minutes of the 22nd Annual General Meeting of the Society is hereby received and adopted.

RESOLUTION 2
That the Committees’ Report 1st January 2020 to 31st December 2020 of the Society is hereby received
and adopted.

RESOLUTION 3
That the Audited Accounts of the Society for the year ended 31st December 2020 is hereby received
and adopted.

RESOLUTION 4
That the revised budget for 2021 of the Society is hereby received and adopted.

RESOLUTION 5
That the proposed budget for 2022 of the Society is hereby received and adopted.

RESOLUTION 6
That relocation of office to Academy of Medicine of Malaysia with options to purchase or rent-to-own
is hereby received and passed.

WWW.MSQH.COM.MY

MSQH
B.6-1, Level 6, Menara
Wisma Sejarah, 230
Jalan Tun Razak, 50400
Kuala Lumpur

Malaysian Society for Quality in Health | Annual Report 2020 119

CONSTITUTION

CONSTITUTION
PERSATUAN KUALITI KESIHATAN MALAYSIA (MALAYSIAN SOCIETY FOR QUALITY IN

HEALTH)
CLAUSE 1 NAME

1. The Association shall be known as
PERSATUAN KUALITI KESIHATAN MALAYSIA (MALAYSIAN SOCIETY FOR
QUALITY IN HEALTH)
Hereinafter referred to as "the Association".

2. Meaning of name : PERSATUAN KUALITI KESIHATAN MALAYSIA (MALAYSIAN
SOCIETY FOR QUALITY IN HEALTH)
3. Level : Lain-lain

CLAUSE 2 ADDRESS

1. The registered address is
C/O B.6-1, LEVEL 6, MENARA WISMA SEJARAH, 230 JALAN TUN RAZAK,
50400 KUALA LUMPUR
WILAYAH PERSEKUTUAN KUALA LUMPUR

or at such other place as may from time to time be decided by the Committee; and
the postal address is

C/O B.6-1, LEVEL 6, MENARA WISMA SEJARAH, 230 JALAN TUN RAZAK,
50400 KUALA LUMPUR

WILAYAH PERSEKUTUAN KUALA LUMPUR

W W W T. hMe reSgisQtereHd a.nCd pOostaMl ad. dMressYes shall not be changed without the prior
2.
approval of the Registrar of Societies.

CLAUSE 3 OBJECTIVE

A. OBJECTIVE
3A.1 Vision
The internationally recognised accreditation organisation for the promotion and
improvement of quality and safety in healthcare

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3A.2 Mission
Advocating,educating and monitoring continuous quality improvement and patient
safety in healthcare

B. VALUES
3B.1 Safety culture
Promote safe practices, facilities and environment
3B.2 Integrity
Evidenced by good governance, transparent, effective and efficient planning and
professional management
3B.3 Professionalism
Achieving excellence through evidence based decision-making, adoption of best
practices and continuous process evaluation which meets the needs of stakeholders
3B.4 Patient and people centred
Always striving to engage patients and the public to meet their quality and safety
expectations
3B.5 Teamwork
Good leasdership, nurturing of human capital, ongoing consultation and smart
partnerships with standard-setting and accreditation organisations

C. GOALS
3C.1 Advocate and facilitate continuous improvement of quality and safety in the
provision of health services, including standards development, education,
performance assessment, and accreditation
3C.2 Develop and strengthen collaboration and partnership with stakeholders and
acreditation organisations

W 3WC.3WUnd.eMrtakeSanQd pHrom.otCe reOseaMrch.inMto qYuality and safety in healthcare

3C.4 Promote best practices and dissemination of information in relation to quality
and safety of healthcare
3C.5 Ensure the organisation's financial sustainability, growth and recognition

D. POWERS & RESPONSIBILITIES
The powers and responsibilities of the Society shall include the following :-
3D.1 to create , implement and execute accreditation programmes which are to be

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recognised throughout the country ;
3D.2 to invest or handle monies of the Society not immediately required for the
purposes of the Society in a manner from time to time determined ;
3D.3 to raise or secure or borrow monies in such a manner as the Society deems fit
with power to grant mortgages charges or any security upon or charging all or any
of the property of the Society whether real (i.e. to do with land or rights/interest in
land) or personal (i.e. all other kinds of property) and to redeem or pay off existing
or future security;
3D.4 to exchange, lease, mortgage, sell, dispose of, hire or otherwise deal with all
or any part of the real and personal property purchase and to take lease or hire or
otherwise acquire and maintain any real or personal property of the Society;
3D.5 to receive funds to be utilised for activities of the Society which are specifically
organised;
3D.6 to purchase and use equipment, goods and services in the conduct of its
business;
3D.7 to hold scientific and educational meetings alone or in collaboration with other
legally constituted societies or associations whose objectives are wholly or in part
similar to those of the Society;
3D.8 to employ personnel and to provide and charge for services;
3D.9 to be involved in publication activities such as the publication of journals and
other publications related to quality in health with the prior approval of the
authorities concerned;
3D.10 to determine Membership and to do all such other matters as are incidental
and conductive to the attainment of the objectives of the Society and to be affiliated
with such legally constituted societies or similar organisation
3D.11 to collaborate with the other similar legally constituted societies in respect of

W W W e.vMentsS, prQojecHts, a.nCd acOtivitMies. . M Y

CLAUSE 4 MEMBERSHIP

There shall be five (5) types of membership, Ordinary, Corporate, Associate,
Honorary Life and Life Membership. Membership of the Society shall be open to
both citizens and non- citizens of Malaysia and to corporations which have been
incorporated or created both in and outside of Malaysia.
4.1 Ordinary Membership
(a) Ordinary Membership shall be available to individuals above the age of 18 years
who are interested in quality in health and are working in healthcare facilities,

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healthcare education institutions or healthcare related services.
(b) All applicants for Ordinary Membership shall agree to abide by this Constitution.
(c) Application for Ordinary Membership shall be in writing to the Society or in any
other manner which may be determined from time to time by the Committee.
4.2 Corporate Membership
(a) Corporate Membership shall be available to any legally constituted healthcare
facility, service or society.
(b) All applicants for Corporate Membership shall agree to abide by this Constitution.
(c) All applicants for Corporate Membership shall be in writing to the Society or in
such a manner determined from time to time by the Committee
4.3 Associate Membership
Associate Membership shall be available to organisations or individuals who are not
eligible for ordinary or corporate membership or who are eligible for ordinary or
corporate membership but are non-citizens of Malaysia, organisations incorporated
outside Malaysia, or any other person interested in quality in health.
4.4 Honorary Life Membership
The Committee may appoint anyone who in their opinion merit due recognition as
Honorary Life Member. Honorary Life Member shall be exempted from paying
registration fees and annual fees.
4.5 Life Membership
The Committee may consider life membership to individual members, who have
maintained their membership for more than 3 years consecutively and opt to
become a life member by paying a one time payment of RM500-00.
4.6 Applications for Membership
All applicants for membership shall be submitted in the prescribed form and shall be
considered by the Committee and approval of membership shall be at the discretion
of the Committee.
4.7 Privileges and Rights of Members
(i) Ordinary Members:-

W (tWhae) tSoWoacitete.tynMdasatSnhdeQpCaormtHicmipi.attteCeeimnOasyuMcohrgfa.unnMiczteiofYnosr,meevmenbtesrso;r activities for members of
(b) to receive the journal of the Society;
(c) to be nominated and elected to the Committee provided membership
subscription is not in arrears;
(d) to utilise such facilities as are made available for members of the Society to
utilise generally;
(e) to receive notice of General Meetings of the Society;
(f) to attend General Meetings of the Society and exercise one vote in respect of
any motion put to a vote at such meetings;
(ii) Corporate Members:
(a) to attend and participate in such functions events or activities for members of the

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Society as the Committee may organise for members generally;
(b) to utilise such facilities as are made available for members of the Society to
utilise generally;
(c) to receive any publications of the Society;
(d) to receive notice of General Meetings of the Society;
(e) to attend General Meetings of the Society and exercise one vote in respect of
any motion put to a vote at such meetings;
(f) to be nominated and elected to the Committee provided membership
subscription is not in arrears;
Corporate Membership shall be allocated to the Chief Executive or equivalent of the
organisation in question. The Chief Executive, or equivalent, may nominate a
representative for the purposes of Society business; if so, he/she must inform the
Committee of the Society of the same.
(iii) Associate Members:-
(a) to attend and participate in such functions, events or activities for members of
the Society as the Committee may organise for members;
(b) to receive any publications of the Society;
(c) to receive notice of General Meetings of the Society;
(d) to utilise such facilities as are made available for members of the Society to
utilise generally;
(e) to attend General Meetings of the Society.
(iv) Honorary Life Members
(a) to attend and participate in such functions, events or activities for members of
the Society as the Committee organise for members;
(b) to receive any publications of the Society;
(c) to receive notice of General Meetings of the Society;
(d) to utilise such facilities as are made available for members of the Society to
utilise generally;
(e) to attend General Meetings of the Society and exercise one vote in respect of
any motion put to a vote at such meetings provided he/she was an Ordinary
member.
(v) Life Members
(a) to attend and participate in such functions, events or activities for members of

W tWhe SWocie.tyMas tSheQComHmi.tteCe oOrgaMnise.foMr mYembers;
(b) to receive any publications of the Society;
(c) to be nominated and elected to the Committee;
(d) to utilise such facilities as are made available for members of the Society to
utilise generally;
(e) to receive notice of the general meetings of the Society;
(f) to attend General Meetings of the Society and exercise one vote in respect of
any motion put to a vote at such meetings
4.8 Register of Members
4.8.1 The Secretary of the Society shall establish and maintain a Register of
Members of the Society containing the name, Identity Card Number, date and place
of birth, name and address of employer and residential address of each member

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and the date on which that person or institution became a member.
4.8.2 The Register of Members shall be kept at the registered place of business of
the Society.
4.9 Annual Subscription
4.9.1 The Annual Subscription fee shall be payable to the Treasurer in advance on
or before the 1st November every year.
4.9.2 Members who allow their Annual Subscription to be owing on or after 1st
March of the current year immediately ceases to be member of the Society.
4.9.3 Membership Fee Exemption
The main body of Ministry of Health Malaysia (MOH), Association of Private
Hospitals of Malaysia (APHM), Malaysian Medical Association (MMA), Malaysian
Nurses Association (MNA), Academy of Medicine of Malaysia (AMM) and
STANDARDS MALAYSIA shall be exempted from paying Corporate Subscription
fees.
4.9.4 The Committee has the power to review the application for re-admittance and
impose penalties for the member whose Membership has ceased or terminated by
reason of unpaid arrears.
4.9.5 Notwithstanding the provisions of the Rules of this Constitution, the Annual
General Meeting or Extraordinary General Meeting shall have the power to amend
the amount of the Annual Subscription Fee or the Entrance/Registration Fees from
time to time as and when necessary on the condition that the said amendment has
been approved by the Registrar of Societies beforehand.
4.9.6 Special Fees or monetary contributions from members for an ascertained
purpose may be collected with the approval of members at a General Meeting.
4.9.7 The Membership Year shall be the financial period of one year, being the
Calendar year commencing on the first day of January.

CLAUSE 5 RESIGNATION AND TERMINATION

5.1 Cessation and Termination of Membership:
5.1.1 A member shall cease to be a member:
(a) when an Ordinary Member, Associate Member or Life Member is adjudicated

W W W b(.baM)nfkorruSpeti;tQher Han O. rCdinOary MMem. bMer, YAssociate Member, Corporate Member or Life
Member upon conviction of a criminal offence which is punishable by payment of a
fine/or imprisonment;
(c) such a member is not eligible for any refund of membership fees.
5.1.2 Any Member who loses all rights and privileges of membership shall have no
right to or any claim upon the property or funds of the Society.
5.1.3 The Committee may at any time re-admit any member who has resigned or
whose membership has been terminated upon such terms as it thinks fit.
5.1.4 Any one member who fails to comply with the Rules of the Constitution or acts
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in a manner which tarnishes the good name of the Society may be expelled or have
his/her membership suspended for a period which is deemed as reasonable by the
Committee. Before the Committee expels or suspends the said member, the
member must be told of the reason for the expulsion or suspension in writing. The
said Member must be given an opportunity to give an explanation and defend
him/herself. The expulsion or suspension must be carried out unless the next
General Meeting defers or cancels the decision of the Committee.
5.2 Committee
5.2.1 If a Committee Member dies or relinquishes his/her post, the Committee shall
be empowered to appoint another member to fill the vacant post until the next
election takes place.

CLAUSE 6 SOURCE OF INCOME

6.1 Membership Fees
6.1.1 The Entrance/Registration Fees shall be as follows:-
(a) Ordinary Membership RM50.00
(b) Corporate Membership RM100.00
(c) Associate Membership
i) Ordinary Member RM50.00
ii) Corporate Member RM100.00
6.1.2 The Annual Subscription Fees shall be as follows:-
(a) Ordinary Membership RM60.00
(b) Corporate Membership RM120.00
(c) Associate Membership
i) Ordinary Member RM60.00
ii) Corporate Member RM120.00

CLAUSE 7 GENERAL MEETING

W W W 7..1MThSe suQpreHme .auCthoOrity Mof th.eMSocYiety is vested with the management of
this Society which shall be conducted through the General Meeting of
the members. At least half (1/2) of the number of members who are
entitled to vote or two (2) times the number of the Committee Member,
whichever is lesser, must be present at the General Meeting in order to
validate the meeting being proceed with and constitution a quorum.
7.2 If the quorum is not met after half an hour from the time fixed for a
meeting, such meeting must be postponed to another date (not more than
30 days) which is to be fixed by the Committee; and if the quorum is
not met after half an hour from the time fixed for the postponed
meeting; the members present are empowered to hold the meeting but are
not empowered to amend the Rules of the Constitution nor to make
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decisions affecting the whole membership.
7.3 The Annual General Meeting for the Society shall be held as soon as
possible after the end of the financial year but not later than 30th
April on a date, time and place fixed by the Committee. The business of
the Annual General Meeting shall be as follows:
a) to receive and accept the Committee's report on the management of the
Society for the previous year;
b) to receive and accept the Treasurer's report and statement of accounts
which has been audited for the previous year;
c) to elect a Committee if election is due and appoint auditors for the
ensuing years;
d) to table and sanction the proposed estimated budget for the coming
year; and
e) any other matters which are put before the Meeting.
7.4 The Secretary shall send to each member at least twenty-one (21) days
before the Annual General Meeting an agenda including copies of minutes
and a copy of notice of the Annual General Meeting, report and audited
accounts of the Society for the previous year. Copies of such documents
shall also be made available at the registered address of the Society
for the perusal of members.
7.5 (a) A motion by any member(s) intended to be discussed and passed at
the General Meeting shall be sent in writing to the Secretary no less
than fourteen (14) days before the date of the Annual General Meeting.
7.6 An Extraordinary General Meeting for the Society shall be held if:-
(a) it is deemed necessary by the Committee; or
(b) upon the written request of not less than one-fifth (1/5) of the total
number of members entitled to vote, stating the objects and the reasons
for the Meeting. Such a request must be sent to the Secretary of the
Society.
7.7 An Extraordinary General Meeting requested by the members must be held
on a date within one (1) month of the date of receipt of the request

W WfoWr suc.hMmeeStinQg anHd a.nCannOounMcem.eMnt aYnd agenda of the Extraordinary
General Meeting is to be circulated by the Secretary to all Members at
least fourteen (14) days before the date fixed for such meeting.
7.8 Clauses 7.1 and 7.2 of these Rules in respect of the quorum and the
postponement of the Annual General Meeting may be applied for
Extraordinary General Meetings on the condition that if the quorum is
not reached after thirty (30) minutes from the time fixed for the
Extraordinary General Meeting upon the request of the members, such a
meeting shall be cancelled and a similar meeting upon the request of
the members shall not take place within 6 months from such date.
7.9 The Secretary shall send to each member a copy of the draft minutes of

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each Annual General Meeting and Extraordinary General Meeting as soon
as possible after the meeting.
7.10 In the absence of the President as Chairman of General Meetings, the
Deputy President shall step in as Chairman and on top of his/her own
vote, exercise a casting vote when it comes to equality in votes at the
meetings.
7.11 All Ordinary and Life Members shall have one vote at any General
Meeting of the Society and all Corporate Members shall have one vote.
Votes are to be registered in person or by a designated proxy, in which
case, a notice of intention to vote by such designated proxy must be
communicated to the Committee no less than twenty-four (24) hours
before the date of the General Meeting.

CLAUSE 8 COMMITTEE

8.1 A Committee to be named as Office Bearers shall have interest in quality in
health and accreditation.
The number of the Office Bearers shall be Sixteen (16) comprising of the following:
i) One nominated member from the Ministry of Health Malaysia to be appointed as
Vice President
ii) One nominated member from the Association of Private Hospitals of Malaysia to
be appointed as Vice President
iii) One nominated member from Malaysian Medical Association to be appointed as
Vice President
iv) One nominated member from Malaysian Nurses Association
v) One nominated member from Academy of Medicine of Malaysia

W W W v.i)MEighSt eQlecteHd m.eCmbOers Mfrom.thMe OYrdinary Membership:
a) One President
b) One Deputy President
c) One Secretary
d) One Treasurer
e) Four Ordinary Committee Members
vii) One nominated ex-officio member from Department of Standards Malaysia
viii)The Chief Executive Officer of the Society appointed by the Committee is an ex-
officio member
ix) One ex-officio member representing patient advocate selected by the Committee

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8.2 The office-bearers of the Society and each officer carrying out executive duties
within the Society must be Malaysian citizens
8.3 The names chosen to fill the above stated posts must be proposed and
seconded and the Committee elected at the Annual General meeting. The Term of
office of an office bearer shall be two (2) years. Each office bearer shall be eligible
for re-election for a maximum of three (3) consecutive terms. After the completion of
the third term, the same office bearer can be re-elected after a lapse of one (1) term.
8.4 Except for inaugural Office Bearers of the Society, the positions of Office-
bearers of the Society may only thereafter be held by Members who have been a
member of the Society for a minimum of twelve (12) months.
8.5 The function of the Committee is to organise and supervise the daily activities of
the Society and to make decisions on matters affecting it, running within the general
policy laid down by the General Meeting. The Committee cannot take action
contrary to the decisions of the General Meeting without having first consulted it and
the Committee must always comply with the decision of the General Meeting. The
Committee shall give their report in respect of the previous years activities at each
Annual General Meeting.
8.6 The Committee shall meet for a minimum of two (2) times a year. A notice for
each meeting must be given to the Members at least 7 days beforehand. The
President him or herself or not less than 4 Committee Members collectively may call
for a Committee Meeting at any time. At least half the number of the Committee
Members must be present to validate the meeting being proceed with and to reach
the quorum of the Meeting.
8.7 If an important matter arises which requires the approval of the Committee and
a Committee meeting cannot be held, the Secretary may obtain the approval of the
Committee by way of circulating letters on the condition that the following must be
satisfied before the decision of the Committee is regarded as having been accepted:
a) The problem must be clearly stated in the circular-letter which is to be circulated
to each Committee Member;
b) At least half the number of Committee Members must state their assent or
dissent to the matter being suggested or addressed; and

W cW) ThWe de.cMisionSmuQst bHe b.yCa mOajoMrity v.oMte. AYny decision obtained by way of circular-
letter must be reported by the Secretary to the subsequent Committee Meeting and
recorded in the minutes thereof.
8.8 A Committee Member who fails to attend a Committee Meeting on three (3)
consecutive occasions without a satisfactory explanation shall be deemed to have
relinquished his or her position in the Committee.
8.9 The Committee shall give directions to the Chief Executive Officer and other
Office-Bearers to run the affairs of the Society and appoint managers and staff
deemed as important and necessary. The Committee may also suspend or dismiss
any manager or member or staff for reason negligence, dishonesty, incompetence
at work, failure to follow decisions of the Committee or any other reason which is

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deemed as damaging to the interest of the Society.
8.10 Sub-Committee
a) The Committee may create Sub-Committee for a specific purpose consisting of
such members of the Society as it thinks fit.
b) Any Sub-Committee so formed shall conform with the rules of the Society.
c) Any such Sub-Committee shall be chaired by a Committee Member.
d) The Committees shall have the power to dissolve Sub-Committee established
under this Constitution.

CLAUSE 9 DUTIES OF OFFICE BEARERS

9A. Committee
9A.1 The President, during the period of his/her office shall be the Chairman of all
General Meetings and all Committee Meetings and shall be responsible for the
smooth running and completion of all meetings. He/she shall have the casting vote
(in addition to his/her vote) in the case of an equality of votes.
9A.2 The Deputy President shall act as acting President during the absence of the
latter.
9A.3 The Secretary shall carry out the administrative work of the Society pursuant
to the Rules and shall carry out the orders of the General Meetings and the
Committee. He/she is responsible for all the correspondences of the Society and
shall keep all books, letters, paper except the accounts and financial books. The
Secretary shall maintain a register of Member's which shall include details of each
Member such as name, place and date of birth, identification card number,
occupation, name and address of employment and residential address. The
Secretary must attend all meetings and take down minutes of meetings. The
Secretary shall, within sixty (60) days from the date of the Annual General Meeting,
send the Annual Returns to the Registrar of Societies pursuant to Section 14 (1) of
the Societies Act , 1966.
9A.4 An Assistant Secretary appointed from among the members by the Committee
shall assist the Secretary in the latter's work and duties and shall act as acting
Secretary during the latter's absence.
9A.5 The Treasurer is responsible for all financial matters concerning the Society.
He/she shall prepare and keep accounts concerning all financial matters and is

W W W r.eMsponSsibQle foHr its.aCccuOracyM. . M Y
9A.6 Ordinary Committee Members shall assist the Committee in the carrying out of
duties as directed by the Committee.
9B. Secretariat
9B.1 the Society shall maintain a Secretariat, to be headed by a Chief Executive
Officer, who shall be responsible for the administration and technical input of the
Society under the direction of the Committee.
9B.2 the function of the Secretariat shall be as determined by the Committee.
9B.3 the Secretariat shall be located in a place to be determined by the Committee
9C. Chief Executive Officer
9C.1 the Chief Executive Officer shall be appointed by the Committee on
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Contractual basis
9C.2 the Chief Executive Officer shall be an Ordinary Member of the Society
9D. Custody of the Books, Documents and Securities of the Society
With the exception of the books of accounts, the documents and securities of the
Society shall be held securely by the Secretary.

CLAUSE 10 FINANCIAL PROVISION

10.1 Subject to these Rules, the Society's monies shall be used for matters
beneficial to the objectives and purposes of the Society, including administrative
costs, wage payments, expenditures and subsidies of Office-Bearers and salaried
staff as well as the fees for the checking of accounts. However, the monies may not
be utilised towards the payment of fines incurred by members as sentenced by the
Courts.
10.2 The Treasurer shall be permitted to hold a petty cash not exceeding
RM3,000.00 (Ringgit Malaysian Three Thousand only) at any one time. Monies
exceeding such amount must be deposited into a bank approved by the Committee.
The Bank Account(s) must be held in the name of the Society.
10.3 All cheques or statement of cash withdrawals from the Bank Account( s) below
RM15,000 (Ringgit Malaysia: Fifteen Thousand Only) and below, shall be signed by
any of the two (2) of the six (6) individuals comprising of the President, the Deputy
President, the Secretary, the Treasurer, the Chief Executive Officer or the Executive
Manager Corporate Affairs & Finance.
All cheques or statement of cash withdrawals from the Bank Account(s) exceeding
RM15,000 (Ringgit Malaysia: Fifteen Thousand Only) shall be signed by any of the
two (2) of the five (5) individuals comprising of the President, the Deputy President,
the Secretary the Treasurer or the Chief Executive Officer.

10.4 Any expenditure below RM15,000 (Ringgit Malaysia: Fifteen Thousand Only)

W W W . M S Q H . C O M . M Ymay be approved by the President, the Deputy President, the Secretary, the
Treasurer, the Chief Executive Officer or the Executive Manager Corporate Affairs
& Finance.
Any expenditure between RM15,000 (Ringgit Malaysia: Fifteen Thousand Only) to
RM100,000 (Ringgit Malaysia: One Hundred Thousand Only) shall need the
approval of the Committee.
Any expenditure exceeding RM100,000 (Ringgit Malaysia: One Hundred Thousand
Only) shall need the approval of the General Meeting.
10.5 The Statement of Receipts and Payments together with the Balance Sheet
must be prepared by the Treasurer and audited by the Auditors appointed under
Clause 11 of the Rules as soon as possible after the end of the financial year. The
audited Statement of Accounts shall be presented for approval at the subsequent
Annual General Meeting and a copy of the same shall be made available to the
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members at the Society's registered place of business.
10.6 The financial year for the Society shall commence on the 1st of January and
end on the 31st of December every year.

CLAUSE 11 AUDITORS

11.1 Two (2) Ordinary Members who are not the Office-Bearers of the Society shall
be elected at the Annual General Meeting as Internal Auditors. They shall hold the
posts for one (1) term and may be re-elected. An External Auditor shall be
appointed by the Committee and hold the post for three (3) years.
11.2 The Auditors are required to audit the Society's accounts for the year and to
prepare a report or certification for the Annual General Meeting. They may also be
required at any time by the President to audit the accounts of the Society at any
time during their tenure of office and to submit a report to the Committee.

CLAUSE 12 PROPERTY ADMINISTRATOR

12.1 Three (3) Trustees of above 21 years of age shall be appointed at a General
Meeting and they shall serve for howsoever long a period as required by the
Society. All Fixed assets belonging to the Society shall be entrusted to the Trustees
through the execution of a Deed of Trust.
12.2 The Trustees may not sell, withdraw or transfer any of the property belonging
to the Society without having obtained the approval and the power of a General
Meeting of the members.
12.3 The Trustee may be removed from office by a General Meeting for reasons of
illness, being of unsound mind, not being in the country or other reasons which has
resulted in him/her not being able to carry out his/her duties/work satisfactorily. If a
Trustee dies or relinquishes his/her post or is dismissed from his/her post, the
vacancy created may be filled by a Trustee, newly appointed at a General Meeting.

WWW.MSQH.COM.MY

CLAUSE 13 INTERPRETATION

13.1 The Committee may interpret the Rules of the Society and may decide on
matters not included in the Rules.
13.2 Except for matters which are contrary to or not in line with the principles laid
down at a General Meeting, the decisions of the Committee are absolute if
unamended by the decisions of a General Meeting.

CLAUSE 14 ADVISOR / PATRON

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The Committee may, if thought necessary, appoint individuals who are eligible to be
an Advisor for the Society on condition that the person so appointed consents to the
appointment in writing.
CLAUSE 15 PROHIBITION
15.1 Games as stated below may not be played on the Society premises: Roulette,
Lotto, Fan Tan, Oh, Penh Bin, Belangkai, Pai Kau, Tau Ngau, Tien Kow, Chap Ji
Kee, Sam Cheong, Dua Puluh Satu, Tiga Puluh Satu, Sepuluh dan Setengah , all
dice games, banker's game, all video games and all games relying on luck;
15.2 The Society or its Members should not try to restrict or in any other way
interfere with the trade or prices of goods or engage in any Trade Union activities as
defined under the Trade Union Act, 1959;
15.3 The Society is not permitted to run a lottery whether specially for its members
or not, in the name of Society or its officers or Office-Bearers or members;
15.4 "Interest" as explained under Section 2 of the Societies Act, 1966 may not be
given by the Society to any of its Members.
CLAUSE 16 AMENDMENT OF CONSTITUTION
These Rules may not be amended or altered except by resolution of a General
Meeting. The application for amendment or alteration to the Rules must be
forwarded to the Registrar of Societies within sixty (60) days from the date of being
passed by the General Meeting and can only be enforced from the date of approval
by the Registrar of Societies (pursuant to Section 11 of the Societies Act, 1966).
CLAUSE 17 DISSOLUTION
17.1 The Society may be voluntarily dissolved by a resolution of not less then three-
fifths (3/5) of the total number of voting members present at a General Meeting
called specially for such purpose.
17.2 If the Society is dissolved in the manner provided above, all valid debts and

W W W . M S Q H . C O M . M Yliabilities legally incurred on its behalf must be fully paid and any remaining funds
must be settled in a manner agreed to at the General Meeting.
17.3 A Notice of dissolution must be forwarded to the Registrar of Societies within
fourteen (14) days from the date of dissolution.
CLAUSE 18 FLAG, LOGO AND BADGE

1. Flag
-
Description
-

14

Malaysian Society for Quality in Health | Annual Report 2020 133

CONSTITUTION
2. Logo

Description
Keterangan
Red: Strength and Passion
Blue: Authority, Trustworthy, Non-threatening and Success White: Neutral and
Impartial
Q: Symbolise Quality in Health
Stripes: 7 red and 7 white = 14 states in Malaysia
3. Badge
-
Description
-
CLAUSE 19 DISPUTE AND GRIEVANCE RESOLUTION
19.1 The Committee shall take all reasonable steps to resolve any disputes or
grievances between members and between the members and the Society.
19.2 Goodwill, natural justice and the principles of quality management and quality
improvement shall be the basis upon which disputes and grievances shall be
approached.

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15 134
Malaysian Society for Quality in Health | Annual Report 2020

MSQH
B.6-1, Level 6, Menara Wisma Sejarah,
230 Jalan Tun Razak, 50400 Kuala Lumpur
Phone : +603 26812232 | Email : [email protected]

WWW.MSQH.COM.MY