Issue.2 July 2009

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• FOREWORD BY THE CHAIRMAN

• MINDA BOARD OF DIRECTORS

• PROGRAMME HIGHLIGHTS 2008/2009

• FEATURE ARTICLES

MID-TERM PROGRESS REVIEW REPORT
GLCs are Much More Resilient and Focused on Catalysing
Growth and Realising the Programme’s 2015 Aspirations

by Transformation Management Office, Putrajaya Committee on GLC High Performance (PCG)

MANAGING IN A DOWNTURN
What Now, Board Members?

by Professor Dr. Ulrich Steger, IMD Switzerland

CORPORATE GOVERNANCE FOR THE
HUMAN LEADERS
A Time to Contemplate

by Professor Dato’ Dr. Aziuddin Ahmad, PhD &
Associate Professor Dr. Arfah Salleh, PhD, FCPA, Universiti Putra Malaysia

WHAT DRIVES BOARD EFFECTIVENESS?
Findings from a Global Survey of the Boards of 200 Companies

by Ashley Summerfield, Egon Zehnder International, London

1 MINDA NEWSLETTER  FOREWORD

CONTENTS FOREWORD BY THE CHAIRMAN

MINDA BOARD OF DIRECTORS 2 Welcome to MINDA’s Second Edition Downturn: What now, board members?’
Newsletter. This July 2009 issue marks MINDA is pleased to have a MINDA
PROGRAMME HIGHLIGHTS 3 MINDA’s third year of establishment. alumni, Professor Dato’ Dr Azziuddin
2008/2009 The Government Linked Companies Ahmad and Associate Professor Dr.
(GLCs) Network has currently given the Arfah Salleh, on ‘Corporate Governance
FEATURE ARTICLES means for MINDA to spread its wings for the Human Leaders’ where he invites
and I thank you for all your support readers to reflect on the manner in which
Article 1 4 towards MINDA and its programmes to the corporate world has addressed the
Mid-Term Progress Review Report: date. The MINDA Alumni in particular issue of Governance thus far. In addition,
GLCs are Much More Resilient and plays a key part in advocating their Ashley Summerfield of Egon Zehnder
Focused on Catalysing Growth and experiences during MINDA programmes International, London shares the findings
Realising the Programme’s 2015 to Boards and other fellow directors. Our from a global survey of the Boards of
Aspirations. efforts in terms of providing programmes 200 companies by identifying seven
for the Board will continue and we strive top issues faced by Boards in his article
by Transformation Management to provide the best quality and standard “What drives Board Effectiveness?”.
Office, PCG in support of Directors’ development. Also in every issue, a special column
Alongside this, the varied activities of on GLC Transformation Programme
Article 2 8 MINDA events will help strengthen and update is provided to keep the Boards in
Managing in a Downturn: establish MINDA within the Directors the know of the programme’s progress.
What Now, Board Members? community. For this issue, the focus is on the Mid-
term Progress Review report of the
by Professor Dr. Ulrich Steger, IMD Switzerland MINDA launched its Inaugural programme.
Newsletter during the MINDA
Article 3 10 Graduation Dinner in December 2008. I hope you will find this newsletter
Corporate Governance for It was distributed to the Government enlightening you. We welcome and
the Human Leaders: Linked Investment Companies (GLICs) appreciate your feedback. Best wishes
A Time to Contemplate and over 300 GLCs Directors. The main for the rest of 2009.
goal is to channel and disseminate
by Professor Dato’ Dr. Aziuddin Ahmad, PhD & news and knowledge on MINDA Dato’ Ahmad Pardas Senin
Associate Professor Dr. Arfah Salleh, PhD, FCPA, activities, and other useful information The Chairman
Universiti Putra Malaysia as well as highlights on past and future
programmes. In addition, in line with
Article 4 15 MINDA’s aim of addressing Board
What Drives Board Effectiveness?: performance by equipping Directors
Findings from a Global Survey of of GLCs with world class knowledge,
the Boards of 200 Companies skills and mindset, this twice-yearly
publication also reflects the diversity
by Ashley Summerfield, Egon Zehnder and dynamics of issues being discussed
International, London in the articles contributed by invited
academicians, practitioners and
MINDA ALUMNI LIST 17 prominent individuals in the area of
EDITORIAL TEAM Board Effectiveness, Leadership,
Corporate Governance and relevant
Editor In Chief topics for the Boards as part of our
Wan Ahmad Saifuddin Wan Ahmad Radzi continuing efforts to provide value-
added service to our clients. Apart from
Contributors being relevant, we also strive to provide
Transformation Management Office, PCG articles which discuss current issues. I
sincerely hope you are all weathering
Professor Dr. Ulrich Steger, IMD Switzerland well the current difficulties in the world
economy. In conjunction with this,
Professor Dato’ Dr. Aziuddin Ahmad, PhD & Professor Dr. Ulrich Steger discusses
Associate Professor Dr. Arfah Salleh, PhD, FCPA, Corporate Governance and boards
Universiti Putra Malaysia in a crisis in his article ‘Managing in a

Ashley Summerfield, Egon Zehnder
International, London

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MINDA NEWSLETTER  MINDA BOARD OF DIRECTORS 2

MINDA BOARD OF DIRECTORS

Dato’ Ahmad Pardas Azzat & Izzat Advocates & Solicitors Abdullah has also previously held
Senin, (now known as Azzat & Izzat). He was various management positions in United
Chairman a member of the Securities Commission Engineers Malaysia, Permodalan
from March 1993 to March 1999. He is Nasional Berhad, Ford Motor Company
Dato’ Ahmad Pardas also presently a director of Boustead and IBM. Abdullah holds a Masters in
Senin was the Managing Director and Holdings Berhad, Affin Holdings Berhad, Business Administration from Wharton
Chief Executive Officer of UEM Group KPJ Healthcare Berhad, Celcom (M) School of Business, University of
Berhad and UEM World Berhad. He is Berhad, PSC Industries Berhad and Pennsylvania, as well as a Bachelor
a Fellow of The Chartered Institute of Visdynamics Holdings Berhad and of Technology from Loughborough
Management Accountants, a Chartered Axiata. University of Technology, United
Member of the Malaysian Institute of Kingdom. Abdullah’s role in the
Accountants, a Member of the Institute Tan Sri Datuk Dr. Investment division was to primarily
of Internal Auditors, Inc. and a member Muhamad Rais bin lead the Transformation Management
of the Financial Reporting Foundation. Abdul Karim, Director Office that acts as the Secretariat of the
GLC Transformation Programme.
He had been with the UEM Group since Tan Sri Datuk Muhammad
1992, where he had worked in numerous Rais bin Abdul Karim has Dato’ Puteh Rukiah
positions including Managing Director of about 38 years of working experience in binti Abd Majid,
TIME Engineering Berhad, Executive government service. Before retiring at Director
Director/CEO of TIME dotCom Berhad, the age of 55, he has held several high-
Group Managing Director of Renong level positions, among them, Director Dato’ Puteh Rukiah binti
Berhad and Managing Director of Time General of the Malaysian Administrative Abd Majid held various
Telekom Sdn Bhd. He was also the Chief Modernisation and Management Unit positions in the Government such as
Operating Officer and Managing Director (MAMPU) of the Prime Minister’s the Deputy Under Secretary, Minister
of EPE Power Corporation Berhad (now Department (1996-2003), Deputy of Finance (Incorporated), Privatisation
renamed Ranhill Power Berhad). He Director-General in the Public Services and Public Enterprise Division (2000-
had also served on the boards of Faber Department (1994-1996) and Director 2004) and later as Under Secretary,
Group Berhad, The Malaysian Industry- of the National Institute of Public Investment, Minister of Finance
Government Group for High Technology Administration or INTAN (1991-1994), (Incorporated) and Privatisation Division
(MIGHT) and Costain Group plc. the premier official training Institute of (2004-August 2006). She is currently
the Government of Malaysia. In the past, the Deputy Secretary General (Systems
Previously, he had worked for the British he was also appointed as Vice Chancellor and Controls), Ministry of Finance.
American Tobacco Group for more than of Universiti Pendidikan Sultan Idris, on
17 years. contract basis, beginning 11 February, She sits on the Boards of Perbadanan
2004 until 31 August, 2007. Currently, Usahawan Nasional Berhad, Pengurusan
Datuk Azzat bin he is the Non-Executive Chairman of Aset Air Berhad, Pelaburan Hartanah
Kamaludin, Malaysia Qualification Agency (MQA). Bumiputra Berhad and Penerbangan
Director Malaysia Berhad.
Abdullah Abdul Hamid,
Datuk Azzat graduated Director Professor Dr. Ulrich
from Queens’ College, Steger, Director
University of Cambridge, with a Degree Abdullah Abdul Hamid
of Bachelor of Arts in 1968 and a Degree was Khazanah Nasional’s Ulrich Steger is professor
of Bachelor of Law in International Law Executive Director, Investments. Over the emeritus at IMD. He
in 1969. He was admitted to Honourable last 27 years, Abdullah has held several previously ran the board
Society of the Middle Temple, London senior positions in the financial services programme and corporate governance
and called to the “Degree of the Utter and management consultancy sector research. He has been a board member,
Bar” in 1970. including as President/Chief Operating both on the executive and non-
Officer of the Malaysian Exchange executive side, for 25 years. He was
Datuk Azzat served as an Administrative for Securities Dealing and Automated a member of the managing Board of
Diplomatic Office with the Ministry of Quotation Berhad (MESDAQ) and as Volkswagen. Before becoming involved
Foreign Affairs Malaysia from 1970 till Chief Executive Officer and Co-founder of in management education, he was active
1979. Since 1979, he has been a partner turnaround and management consulting in German politics.
of the legal firm, Messrs Chua Brothers, firm Turnaround Managers Inc.

3 MINDA NEWSLETTER  programme highlights for 2008/2009

Programme Highlights for 2008/2009

Programme Description/Participant Comments Photos

MINDA Graduation On 3rd December 2008, the MINDA
Dinner 2008 Graduation Dinner 2008 was held at Mandarin
Type : Tier 3 Oriental, Kuala Lumpur. MINDA celebrated
Date : 3 December 2008 16 graduates of Programme for BHPD
Venue : Emerald (known as BHPD) and 15 graduates of CF
of 2008. The certificates were presented by
Ballroom, the then Finance Minister II Y.B. Tan Sri Nor
Mandarin Mohamed Yakcop. Professor Paul Strebel
Oriental, Kuala from IMD, Switzerland was the guest speaker
Lumpur with a presentation entitled “Board’s Role
in sustaining Transformation : The Next Big
Move. Will it be smart?

MINDA Awareness MINDA held its first networking event in
Nominee Directors 2009 for Directors, Chairmen and Company
Networking Event Secretaries of GLCs with Ashley Summerfield
of Egon Zehnder International, London. Ashley
Type : Tier 3 is the Head of Board Practice and his areas
Date : 21 April 2009 of expertise are Board search and Board
Venue : Le Meridien, consulting focusing on board appointments,
effectiveness reviews and senior level
Kuala Lumpur executive work for PLCs, private equity
portfolio businesses and public sector bodies.

1. Breakfast Talk for The day commenced with a Breakfast Talk for
GLC Boards: 26 GLC Directors entitled Enhancing Board
Effectiveness in a Turbulent Environment.
“Enhancing Board Discussions centered on areas for increased
Effectiveness in a Board focus during the current global financial
Turbulent Environment” crisis which included risk, morality & ethics,
strategy, Board composition, remuneration and
Board review.

2. Luncheon Talk for A closed luncheon with GLC Chairman
GLC Chairmen: on Getting the Right Board Behaviours in
Navigating Delicate Issues was held over an
“Getting the Right intimate setting and covered key points on how
Board Behaviours in a Chairman can effectively engage a Non-
Navigating Delicate Executive Director, Chairman as leader and
Issues” driver of Board review to result in better Board
performance and the importance of succession
planning especially the position of the CEO.

3. Company Secretaries The day concluded with a Company
Lecture Series: Secretaries Lecture on the crucial role
company secretaries play in enhancing Board
“The Crucial effectiveness and functioning as the key link
Role Company between Board and Executives to ensure Board
Secretaries Play in decisions are trickled down. As companies
Board Effectiveness continue to grow and possibly become more
Enhancement” complex, company secretaries assume a
greater responsibility to ensure the quality of
the process of decision making is strengthened
and not just the quality of the decision.

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 1 4

Mid-Term Progress Review Report: GLCs are much more resilient
and focused on catalysing growth and realising the Programme’s
2015 aspirations

by Transformation Management Office Team, Putrajaya Committee on GLC High Performance (PCG)

As the GLC profit, turning around from an aggregate strength of over 25,000, BCHB serves
Tr a n s f o r m a t i o n economic loss of RM3.5bn in FY2005 close to 7 million customers.
(“GLCT”) Programme to an economic profit of RM1.3bn in
reached the half way FY2008. Other GLCs have opted to make
point of a ten year strategic divestments (e.g.) Upon
journey that began Several GLCs have undertaken sizeable completion of TIME dotCom’s tailored
in May 2004, a Mid-Term Progress operational turnaround programmes transformation plan aimed at ensuring
Review detailing the Programme’s (e.g.) MAS achieved a net profit of its long term operational and financial
progress since its launch was presented RM831.4m in 2007 and RM244.3m in sustainability as well as injecting key
at the 19th meeting of the PCG held on 2008 as opposed to an RM136m loss in senior management talent, including the
13 March 2009. 2006; Bank Islam reported a loss before CEO, to fill existing gaps in the company;
zakat and tax of RM1.29bn for 2006 and it will serve as a developmental model to
1. G-20*1 show Financial then proceeded to record a historical nurture sustainable local and Bumiputera
Resilience, with Several PBZT of RM308.3m in 2008. entrepreneurs in the country.
Undertaking Successful
and Transformational A number of GLCs have initiated To enhance performance and to
Transactions and executed bold transformational promote results-orientation, GLCs have
moves to enhance their strategic been announcing their Headline Key
Since the launch of the Programme, position (e.g.) Sime Darby’s merger Performance Indicators (“HL KPIs”)
G-20* have made significant was the largest Malaysian corporate annually and have been showing overall
progress on financial and operational merger and created one of the largest improvements. Number of HL KPIs met
improvements, as well as on balance listed companies on Bursa Malaysia, increased from 72% in FY2006 to 76%
sheet restructuring. In spite of a more with operations spanning across 20 in FY2007. However, the present harsh
challenging economic environment countries and more than 100,000 economic environment has reduced
in 2008, much progress has been employees worldwide; TM’s demerger number of HL KPIs met in FY2008 to
achieved since 2004. Although below aimed to accelerate operational 54%. Nevertheless, recognising that it
the RM19,307m in FY2007, the G-20* improvements and growth through is critical to stay performance focused
FY2008 aggregate earnings are now clearer strategic and organisational despite the economic turbulence, the
53% higher than FY2004 at RM14,692m focus by the formation of two separate G-20* continue to publicly announce their
in FY2008, as compared to RM9,602m entities – a regional mobile champion forward looking HL KPIs, as documented
in FY2004. Compared to the 1997 Asian and a domestic broadband champion. in the “GLC Transformation Programme
Financial Crisis, the G-20* are now in Mid-Term Progress Review” report.
a much better position to weather the Some GLCs have started pursuing
crisis as a result of their more robust major regional expansions (e.g.) With 2. GLCT Programme Delivers
balance sheets and stronger operating an existing presence in Hong Kong, with Benefits Expanding to
fundamentals. Operating cashflow London and New York and key Asian Broader Stakeholder Groups
for non-financial G-20* firms grew by growth countries such as China,
42% from RM13,978m in FY2004 to Cambodia, Maybank continues with its The GLCT Programme has delivered
RM19,918m in FY2008. expansion strategy and over the past according to plan, supporting the
few months completed the acquisition of successes of GLCs to date. All 10
G-20 total shareholder returns an additional 5% equity interest in MCB GLCT 2005/6 Initiatives and supporting
(“TSR”) continue to outperform KLCI Bank of Pakistan, the acquisition of 15% Circles were effectively launched and
by a compounded annual growth of the total charter capital of An Binh have been well-received. In addition,
rate of 4.8% since the launch of the Commercial Joint Stock Bank in Vietnam, PCG has maintained momentum and
Programme. G-20* return on equity and the acquisition of 71.86% equity broadened engagement, by generating
(“ROE”) grew from 8.2% in FY2004 to interest in Bank Internasional Indonesia; healthy performance pressure and
10.4% in FY2008, peaking at 14.6% in BCHB’s foothold in 11 counties with key transparency via HL KPIs and GLCT
FY2007. The G-20* had also shown a regional offices located in Singapore, annual reports, whilst providing regular
significant improvement in economic Indonesia and Thailand. With a staff

1. A selection of 20 GLCs controlled by GLIC constituents of the PCG. As of 28 February 2009 there are 19 GLCs following the Sime Darby merger and TM demerger. UEM
Group has replaced UEM World following UEM’s restructuring exercise. The Group’s TSR and market capitalisation are computed by using their listed subsidiaries value as a
proxy

5 MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 1

networking opportunities for GLC leaders EXHIBIT 1 - Key Highlights of the Mid-Term Progress Review
and engaging beyond GLCs to the civil Financial & Operating Performance
service and other stakeholder groups.
Total Shareholder Returns Economic Profits Key Performance Indicators
As GLC performance improves, they
are increasingly delivering benefits As of 14 May 2004 to RM m 6,350 Headline KPIs met
to all Malaysians. Customers of 28 February 2009 8,000 (%)
GLCs are benefiting from fewer 3,137 4,528 76%
service interruptions and higher 280 CAGR1 6,000 3,651 90%
quality of services. G-20* have 260 G-20* Index 10.0% 2007
been continuously supporting their 4,000 1,340 80% 72%
suppliers, spending RM3bn on vendor KLCI ex G-20* 5.2% 2,000 1,928
development programmes covering 240 70%
4,155 vendors since 2004. In human
capital development, the G-20* have 220 60%
spent RM884m on employee training
and development and have given 200 G-20* has 2005 2006 2007 2008 50% 54%
RM335mil worth of scholarships since (2,000) (1,197)
2004. They have also adopted 161 outper- 40% 2008
schools with 64,400 students under 180 formed (2,698)
PINTAR2. Under the recently launched (3,188) 30%
Graduate Employability Management 160 KLCI by (4,000) (3,544)
Scheme (GEMS), GLCs will train 12,000 4.8% (4,333) 20%
unemployed graduates over the next
2 years. Since 2004, G-20* have also 140 (6,000) (5,472) 10%
contributed an estimated RM312mil
to provide support to society and ease 120 0%
the burden on vulnerable communities.
Under the proposed ‘Program (8,000) 2006
Sejahtera’, GLCs will provide home
to 5,000 families and assist them in 1 Compounded Annual Growth Kotal Economic Kotal Economic
maintaining a sustainable livelihood. Rate for the period 14 May 2004 Profit for G-20* Loss for G-20*
100 to 28 Feb 2009 with positive EP with negative EP
3. Aspirations to create Regional
& Global Champions by 2015 100=14/05/2004 Source: PCG analysis, Bloomberg KfkXc<Zfefd`Z KfkXc<Zfefd`Z
Profit for G-20* Loss for G-20*
Notwithstanding the encouraging 80
achievements to date, GLCs still
underperformed relative to top regional May- Nov- May- Nov- May- Nov- May- Nov- May- Nov-
sector peers and in recognition of this
gap, much more still needs to be done 04 04 05 05 06 06 07 07 08 08
to achieve the ultimate Programme
aspiration to raise the performance of Strategic Achievements
GLCs to at least be on par with domestic
peers and even transforming into Transformational Regional Growth Strategic
regional or global champions. Transactions Divestment

Although ambitious, Malaysia must › Sime Darby, Golden Hope › DXpYXebXZhl`j`k`fej`e8j`X › K@D<[fk:fd[`m\jkd\ekf]
strive to create regional and world- and Guthrie merger › 9:?9\ogXej`fej`eJflk_ payphone business
class companies if it seeks to maintain
its economic sovereignty. Developing › KDXe[KD@[\d\i^\i East Asia
countries are increasingly driving › UEM restructuring
global growth – Asia is projected to
contribute 60% to global growth in GLCT Programme Delivery
the next two decades, with 5 of the 10
Initiative Performance Programme
Delivery Monitoring Activities

› 8cc('@e`k`Xk`m\jXe[\o\Zlk`fe › ?\X[c`e\BG@jcXleZ_\[Xe[ › (0G:>D\\k`e^jZfem\e\[
YffbjjlZZ\jj]lccpcXleZ_\[ kiXZb\[XeelXccpj`eZ\)''- › /#0(/gif^iXdd\dXe$[Xpj
and progressively
implemented › 8eelXc>C:KGif^i\jj worth of participation from CEOs
Review published in to operational line managers
2006, 2007, 2008 › //f]gXik`Z`gXekjiXk\[
programmes “Good” or
È<oZ\cc\ekÉ

Tangible Stakeholder Impact

Customers Vendors & Suppliers Community Labour force
& Society & Employees
› GLCs are winning › ~4,155 Bumiputera and
› RM221m per year › GLCs have won corporate
customer service awards local vendors benefited invested in human capital responsibility awards
development between
› ¿[\c`m\i`e^Y\kk\ihlXc`kp from G-20* Vendor 2004-2008 by G-20* › Some GLCs are signatories
of UN Global Compact
services e.g. Development › Scholarships worth
RM335m awarded since › ~64,400 students reached
› J_fik\ihl\l\k`d\j Programmes since 2004 2004 by G-20* k_ifl^_k_\G@EK8IjZ_ffc
adoption programme
› Fewer service › Kf[Xk\#ID*Ye › 2,368 participants
benefited from G-20* › RM312m spent on
interruptions aggregate spending by graduate employment providing aid and relief,
schemes since 2004 alleviating poverty and
› …and offering more G-20* for vendor contributing to community
› G-20* employee welfare since 2004
services e.g. development engagement scores higher
than Malaysian average in
› <ok\e[\[j\im`Z\ › GLCs offering training 2008

hours opportunities for

› Wider access to entrepreneurs

facilities

2. PINTAR (Promoting Intelligence, Nuturing Talent and Advocating Responsibility) is a programme initiated by PCG, where GLCs adopt schools to provide support in terms of
access to motivational and team building activities, tuition classes, teacher capability building and education on social issues. 9.5% of PINTAR students scored straight ‘A’s in
their UPSR exam in 2008, compared to the national average of 9.2%.

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 1 6

largest economies in close proximity EXHIBIT 2
to Malaysia – India, China, Indonesia,
Japan and Vietnam. Middle-income The Glct Programme Aspires to Create Regional or Even
countries like Malaysia face increasing Global Champions by 2015
challenges in building and sustaining
country competitiveness, and creating GLC Starting Point Domestic Regional champion Global
economies of scale. We risk falling champion
behind by eventually being neither champion [~5 GLCs by 2015]
innovators nor lowest cost producers.
[All GLCs by 2015] v5.0

v4.0

Today, while Malaysia occupies v3.0
a very respectable position in the
competitiveness indices published by v2.0
the World Economic Forum (ranked v1.0
20s out of 130 countries) and Institute
of Management Development GLCs GLC Board &
(“IMD”) (ranked in the 20s out of 55 Management to
countries) we are lagging behind more Other GLCs determine appro-
advanced and highly competitive global priate level of
economies. Importantly, some of our
key regional competitors are in that aspirations
league – Singapore, South Korea and
Hong Kong. Majority of Comparable to Top Comparable to Comparable to
Current GLCs Domestic Peers Top Regional Top Global
In an increasingly globalised world, the Companies
internationalisation of local companies Peers
(both GLCs and private sector
enterprises), and creation of regional Examples of Performance Scope Scale Capabilities Resilience
or global champions, are critical Metrics for (e.g. Profitabil- (e.g. (e.g. (e.g. (e.g. against
for Malaysia to move to developed Success: ity, Growth, Geography, Revenues) Operations, systemic and
country status. With a small home Market Share) No. of branding, etc.) non-systemic risk)
market of 28 million people, Malaysia Markets)
has no option but to continue to build
and reinforce stronger linkages with by GLCs since the inception of the GLC Transformation
regional economies. GLCs must rise to Programme have been reversed with Programme : Mid
this challenge. GLCs now increasingly operating in a Term Progress Review
much harsher economic environment. March 2009
4. GLCT now Faces Key
Challenges Around Closing Four structural issues have emerged
the Gap with Ultimate and are constraining GLCs going
Aspirations forward on this transformation journey.
They are as follows:-
The journey ahead is likely to present
greater challenges such as the structural • The massive gap in talent, execution
lack of capabilities, and the need to skills and capabilities at GLCs,
tackle reforms that require broader
stakeholder support. There is a danger • The ongoing need to clarify and
now of complacency and fatigue, with a synchronise Programme-level, GLC-
risk of enthusiasm and commitment for level and sector-level objectives,
the GLCT Programme wavering.
• The need for continued and broader
The structural and Programme-level support from stakeholders beyond
challenges have been compounded senior government leadership, and
by the current global economic
crisis. Despite the improvements in • The need to enhance public sector
performance, the global economic crisis transformation in parallel with GLCT
is presenting its own challenges for GLCs reforms.
and much of the early gains achieved

7 MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 1

Exhibit 3 - GAlscpTirraatniosnfosrmation Agents to Play Pivotal Roles to Ensure Achievement of Programme

Roles of GLC Transformation Agents

GLC Board and Top Manage- GLICs to catalyse and acceler- PCG mandate affirmed
ment to strengthen execution ate change as active share- with evolving roles and
momentum while building holders responsibilities
buy in from all stakeholders
Institutionalise capabilities to Four main priorities
Develop and update Business intensify active monitoring of GLCs Priority 1:
Transformation Plans Continue to undertake calculated Support institutionalising
Build execution capabilties while moves as active shareholders of 2005/2006 initiatives
delivering results Role-model GLCT implementation
Instill conviction for change amongst Priority 2:
employees Government to continue Orchestrate and selectivel expand
Actively engage stakeholders to providing visible support and PCG forums
build buy-in commitment to Programme
Priority 3:
GLC Board to upgrade Continue visible support and Intensify Programme-level
capabilities of the Board, commitment from Government monitoring on progress and impact
CEO and top management Capitalise on the opportunity to of GLCT Programme
build broader understanding and
Accelerate critical improvements support across Government Priority 4:
to Board agencies Intensify Programme
Facilitate capability building of Capitalise on opportunity to communications and stakeholder
CEO and Top Management continue adoption of best practices engagement
and guidelines on transformation
efforts in the public sector

5. All Five Transformation the Programme with substantial and
Agents in the Programme necessary breakthroughs to ensure
have Pivotal Roles to Play the overall trajectory is sustained
to Ensure Achievement of and accelerated. In light of current
Programme Aspirations challenges, it is the responsibility of all
principal change agents to continue
There now needs to be a relentless focus pushing for, and to collectively
on execution by the five principal change define and drive, the next wave of
agents for the Programme – each of breakthroughs that will ensure ultimate
whom have their own distinct role to GLCT objectives are achieved in 2015,
play in shaping and driving outcomes. and eventually realise our national
GLC top management needs to aspirations of Vision 2020.
strengthen execution momentum while
building buy-in from all stakeholders.
GLC Boards should continue to
upgrade capabilities of the Board, CEO
and management. Similarly, GLICs
must continue to catalyse and accelerate
change as active shareholders. In parallel,
Government should continue providing
visible support and commitment to the
Programme. Finally, the mandate of
PCG remains relevant, and its role
needs to shift to focus on rejuvenating
and institutionalising GLCT.

As with any long-term transformation
programme, it is critical to ensure the
necessary evolution in implementation
focus, and to constantly revitalise

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 2 8

Managing in a downturn: What now, board members?

by Professor Dr. Ulrich Steger, IMD, Switzerland

The saying “recessions reveal what keep the dominant market share it ignored instead of prompting pertinent
auditors did not” also holds true for enjoyed after the second world war, questions.
corporate governance. After all, good it has not earned its (risk-weighted)
corporate governance is about making cost of capital since the 1980s. In the Often the CEO and his top team did not
sounder decisions and ensuring better early 1990s, this led to the ousting of make the effort to educate the board
management. In a booming economy, the company’s CEO and chairman but to give its members a more in-depth
it is more difficult to distinguish between the pattern remained the same. GM understanding of how the company was
well and poorly managed companies as proved you cannot shrink your way to performing. Either they did not know
“a rising tide lifts all boats”. But when prosperity. the risk themselves or they preferred to
the going gets tough, the difference enjoy the party as long as it lasted. Such
becomes clearer and the role of the GM is looked at as the standard bearer a situation occurs when it is very difficult
board receives greater attention. If a for corporate governance. Probably to understand the decisive details in an
company fails, it is rarely due to some no big US company has more dutifully industry – notably the rapidly moving
operational inefficiency, but rather the implemented the Sarbanes-Oxley high-tech sector and the financial
design of the business model and if the Act; the company website offers a services industry. As the executive team
company has followed a poor strategy, wealth of information on governance is successful, it becomes overconfident
which is directly related to the board. processes and procedures; and it has and often the CEO is ruling the board
won many awards for governance. But (whether he or she is chairman or not).
Corporate governance and a well- economically, GM is a disaster and would The necessary challenge from the (non-
performing board cannot avoid all have been in the bankruptcy courts had executive) board is missing and it does
“mistakes” – some are only seen it not been for government intervention. not help that, after the eruption, finger
in hindsight. A series of poor board pointing starts and blame is distributed
decisions and behaviour generally leads The board has been unable to break the to everybody except oneself.
a company to disaster. cycle due to groupthink, risk aversion
and helplessness. Since 2001, the whole To clean up the mess requires new
We can see a pattern of corporate strategy has depended on two core heads, both on the executive and non-
governance in crisis across four assumptions: inexpensive oil and cheap executive sides of the board. Some
archetypes of board: the complacent credit. The will from the top to work leading banks that have dominated the
board, the surprised board, the on the core structural deficits of GM is headlines since the economic downturn
operational board and the guiding missing – and you do not need GM’s began fit the above description to
board. sophisticated risk management system varying degrees.
to detect this.
The complacent board The operational board
As the company’s decline has
In this situation, the company has been accelerated, desperation has grown, In this scenario, the board is pushed
in decline for a long time and the board as can be seen from a series of ill- into a more managerial, hands-on
just looks on. Typically, the company conceived merger considerations. GM role to help the company out of a
had been successful in the past but is the best-known example, but many crisis. The implicit assumption is that
new competition now dominates the companies are acquired after years of either management is not able to
market. Due to its entrenched culture, it underperformance and show the same stage the turnround and faces specific
responds to the changes with “more of pattern of board behaviour. difficulties that lead to an ad-hoc but
the same” – mostly cost cutting, tighter in-depth involvement of the board; or
budget discipline and more control. The surprised board that management is new and needs
The board is a decisive part of this coaching to understand the specifics
vicious circle. No pertinent questions Where the complacent board could of the company, but has no time to
are asked, no fundamental reviews of observe the decline but did not act move along the learning curve. In
the business model are ordered and no accordingly, the surprised board did not both circumstances, the previous
cultural change is initiated. Occasionally, know what was going on until the long- line that distinguished management
a change in top management occurs, simmering volcano suddenly erupted from governance gets blurred or
but this sacrificial lamb does not lead to and the company was in real trouble. is shifted. Non-executives perform
fundamental changes. The good news gave a false sense of operational tasks that require intensive
security and the board had no incentive co-ordination and communication
A case in point is General Motors. to dig into the underlying profitability with the management team and the
Although it was unlikely that GM could drivers and risks. Warning signals were whole organisation. A board stepping

9 MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 2

out operationally should only be a pro-actively to changes. Decisions decision making, accountability and
temporary situation. are sometimes bold (for example, in responsibility due to governance
mergers and acquisitions), but well processes and structure is necessary
In recent observations of a company thought through and implemented, with but not sufficient. Board decisions
in south-east Asia, I saw first-hand attention to the details. are made in uncertain conditions and
how the company’s old management are, therefore, inevitably subjective.
had disguised declining operational Does such an ideal board exist? Probably In other words, it is impossible to
performance through financial not, but the one that comes relatively make the right decision each time.
restructuring. The majority owner of close is the two-tier board at BASF, the
this listed company brought in a new chemicals maker. This is surprising, as • Board leadership (especially by the
board (five out of eight members) and in the two-tier system the supervisory chairman) is more important than
new chairman to evaluate the existing board is more reactive on the “control” legal differences for the working
management, draw and implement side. Furthermore, the chairman is the of a board and the value added it
the necessary conclusions and ensure previous CEO and the former CFO is provides for the company.
immediate action was taken to avoid chairman of the audit committee – not
bankruptcy. Relations between the exactly what many gurus regard as best • As implications of the first two points,
new board and old management practice. Even worse: the supervisory better decisions come more from
were, predictably, tense, and within six board has co-determination with six of intangibles than from structures.
weeks, four out of the top five company the 12 members from the employee Better decision making comes from
executives were gone. It took three side. managing the board’s paradoxes:
more months to bring in the new top trust but challenge; coach but
team. The whole board was working But nobody could doubt that BASF is well evaluate; know the business well but
frantically during this period. managed. This has to do with how the restrict it to governance; open debate
supervisory board and the management but reach a common conclusion.
Implementation of the decisions needed board interact. The company has
to be supervised tightly while individual a tradition that the CEO becomes Professor Ulrich Steger
board members took specific oversight chairman, but also that the new CEO has
roles and often instructed people further the freedom to run the company and Ulrich Steger is professor emeritus at IMD.
down the line. Although it was a heavy that changes are business-driven and He previously ran the board programme
workload, once the new management do not just represent a critique of the and corporate governance research. He has
team was in place, it was difficult for previous CEO. This requires a “detached been a board member, both on the executive
the board to let go. Reporting was still involvement” from the chairman, and and non-executive side, for 25 years. His
excessive, partly driven by the desire the readiness for honest and timely latest books on corporate governance are
to check in detail the new team’s discussion with the chairman and the “Corporate Governance – How to Add
performance, and partly out of habit. The board on the CEO side. This trust and Value” and “The Insider’s View on Corporate
CEO, with the support of the chairman, consensus also allows for bold moves, Governance – The Role of the Company
fought for more than a year to bring the such as BASF announcing the closure Secretary”.
board back to “normal”. of 100 specific plants to anticipate
declining demand. This shocked the IMD is the leading provider of executive
The guiding board financial markets (an indication that education with over 50 years experience
many analysts did not understand the in developing the leadership capabilities
In today’s corporate governance cost leverages in the chemical industry) of international business executives. IMD
thinking, with its “check-and-balance” and the stock declined in the short term, ranked 1st outside US and 2nd Worldwide for
paradigm, the guiding board would be but the CEO could count on the backing the overall quality for its Executive Education
the ideal. The guiding board provides of the board. in the 2009 Financial Times rankings. IMD
management with ambitious targets, was also ranked 1st worldwide for its MBA
accountability, coaching on new trends Conclusions Programme in the 2008 The Economist
and alerts on observed risks. It pushes rankings.
constantly, including for fast action Observing corporate governance
where necessary. The fine line between and boards in a crisis, there are three * This article was first published in Financial
board (and governance) on the one general points that can be gleaned from Times, Special Reports, 12 February 2009
hand, and management on the other, the above:
is always observed. As the diversity
of information, experiences and • The original hope of corporate
perspectives is brought together in an governance activism – that
open dialogue between the executives compliance with best practice
and non-executives, crises are avoided could prevent bad decisions – was
because management responds always an illusion. Transparency in

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 3 10

Corporate Governance for the Human Leaders:
A Time to Contemplate

by Professor Dato’ Dr. Aziuddin Ahmad, PhD & Associate Professor Dr. Arfah Salleh, PhD, FCPA,

Universiti Putra Malaysia

Considering the conviction emplaced as argued by Korten (2001) created termed by Scharmer (2009), our call
upon corporate governance as the many unintended consequences. for corporate leaders to begin an inner
panacea for corporate misbehaviour, When corporations are allowed to rule journey within them to reflect on how they
the current global financial mess should the world, that is, when the power have arrived to where they are today and
have never happened. Likewise the to govern the global corporate world how to make a difference to the world
case of Satyam and other accounting is concentrated among a few mega tomorrow is timely. Corporate leaders
transgressions should only be players, these corporations can become only have themselves to blame for
hypothetical in light of the existence so powerful that they are detached venerating a make-believe mental model
of the Sarbanes-Oxley. Yet the crises from their accountability to the human of the efficacy of corporate governance
are real and the severity of the damage interest. History shows that there has in controlling human behaviour. On the
is unprecedented. This paper is an always been a continuing pressure by basis of the devastation that has been
invitation to reflect on the manner corporate interests to expand corporate allowed to happen as a result of the
in which the corporate world has rights while limiting their corporate failure of corporate governance, the
addressed the issue of governance thus obligations. In the pursuit to serve their least a corporate leader could do today
far. In particular, we raise the question own narrow ends, these corporations is to begin reflecting on how he or she
of whether the current model upon were non-hesitant to adopt stratagems can confront the challenges that is being
which corporate governance is shaped that even resulted in a destruction of faced and contemplate future actions.
is indeed still relevant. We contend that human and environmental wellbeing.
refining the process alone is insufficient It is imperative that corporate leaders
to achieve a sustainable framework Judging from the chaotic state of become aware of the graveness of their
geared towards governing the human affairs of today’s corporate economy, continued acceptance of the perception
within the corporation in their quest for it is baffling how business leaders have that human problems can be resolved
rightness-of-action. allowed themselves to be lulled into through isolating of variables from the
believing that they could continue with whole that is, fragmentising and reducing
The Mental Model of Corporation their old ways of leadership. They the whole into parts at the same time
and the Worldview of Reality have been held hostage for so long to denying the interconnectedness of
a mindset of command-control. The beings and the role of consciousness
For far too long business leaders behaviorist approach of reward and and spirituality. Bohm, for instance,
have been using the corporation as punishment without internal sensing asserts that “the inseparable quantum
a veil initially to protect the interest and empathy has been second nature to interconnectedness of the whole
of shareholders before moving on to many. The fervour to translate targets universe is the fundamental reality
cover the interest of other stakeholders. into quantifiable performance index and . . . the relatively independently
It is only of late that business leaders only has been the order of the day. The behaving parts are merely particular
began to include the interest of the practice has been to count only what and contingent forms within this whole”
environment in the name of complying can be measured rather than measure (Bohm and Hiley, 1975, p.102). To Capra,
with their corporate social responsibility. what counts. Manifestation of the “the universe is thus experienced as a
We see the manifestation of the intent mechanistic view of man overwhelms dynamic, inseparable whole” where “the
to use corporation even from the the need to recognise the spiritual traditional concepts of space and time,
onset of the formation of corporations. aspect of human. The reality of the of isolated objects, and of cause and
Although initially corporations or oneness and interconnectedness of the effect, lose their meaning’ (Capra, 1975,
“bodies” (as derived from its root word universe and the role of consciousness p. 81). On the role of consciousness,
“corpus”) were formed to share risk and spirituality as revealed by ancient Stapp (2005) views the introduction of
among traveling traders, eventually Eastern traditions and religion and human consciousness into the dynamical
the concept of risk moved to that of strongly supported by quantum science and computational machinery by the
transfer of risk as can be observed in had no place in the mindset of many founders of quantum physics as the
the case of joint stock companies. And leaders. With the wrong model of most radical departure from the classical
as if the granting of legal personality to human and the worldview of reality, the physics. The quantum events in the brain
corporation is not enough, corporations current financial meltdown has been an need not occur either at the level of the
began over time, to be treated as eventuality just awaiting. individual synaptic discharge or at a level
though it were a human person in on the individual neuron-firing: they can
every aspect possible. The invincibility Now that the world at large is facing occur instead at the level of the entire
of corporations created by human has, a “massive failure of institutions” as brain, in conjunction with the event-

11 MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 3

like occurrence of a conscious thought is the notion in modern social science human having emergent qualities, it is
(Stapp, 1992). A person’s thoughts and that both individual and society conform extremely difficult if not impossible to
consciousness can influence his actions to laws of development or change that predict the extent to which human would
(Stapp, 2004). Hollick (2006) explained must apply regardless of time, place go to in pursuit of their interests. From
that spiritual knowing and intuition arise and human circumstance operating the perspective of bad intent and conduct,
from the inner world of the subconscious similarly (or even identically) to the laws the net that corporate governance can
minds, our relationships with what is of physics (Priddy, 1997, Ch. 10). These scoop is limited. Hence, a resultant
known and our connection with spiritual generalisations are then raised to the laggard between legislation imposed
reality including cosmic Consciousness. status of ‘law’. Because these ‘laws’ are in anticipation of future behaviour and
said to operate anywhere, on everyone actual future behaviour becomes a norm
In view of the findings of science that and at any time, they are perceived as rather than the exception. In light of the
parallel ancient Eastern traditions on being scientifically rigorous. The belief limitations of corporate governance, the
the reality of consciousness, business has been that any other alternative onus on corporate leaders’ to ensure
leaders should make conscious attempt to this ahistorical process of raising effective governance now becomes
to check that they are not distanced generalisations into laws would make more profound. Corporate leaders
from this worldview. By being a mere the study less or even non-scientific need to function as steward-leaders and
bystander, a business leader accentuates due to the absence of observation and not just being contented with being in
the superficial belief of the supremacy verifiability. leadership position.
of an external rule-based governance
structure in controlling human greed Positivism and scientism were originally Leadership and Integrity
which is an internal and non-material intended towards entrenching the
attribute. As critiqued by Garratt (2007), essence of the Enlightenment as a Given that today, businesses have
“Human beings have a habit of painting human-based religion with the role of taken over the role of the government
themselves into corners and then spirituality and consciousness removed. in effecting the well-being of society, it
wondering how they got there. What is But their association with science has gives more reason for corporate leaders
worse is that they are the very folk who allowed positivism and scientism to to accept their leadership role as that
created the tools that took them there” create a sense of credibility and an which transcends the self. But what
(Garratt, 2007, p. 11). aura of intellectual respectability of are the traits of a leader and to whom
some sort to social science. This long should a leader be responsible? To
Corporate Governance and the established belief, in our view, is the answer this question, we revisit Plato’s
Emergent Qualities of Human origin of the application of a wrong work on leadership. Plato examined
mould of the worldview of reality among the issue of leadership in the context
Human as defined by Salleh and Ahmad social and human scientists, including of sailing a ship. He stated that neither
(2008) is at the core, soul but embodied among today’s corporate leaders. physical strength nor popularity with the
in a physical form for locomotion. With Upholding this faith as the underlying sailors would keep a ship afloat. The
the non-material spirit being central, dictum to resolve human agendas true captain who is in control of the
human has emergent qualities. It is this and conflicts, corporate leaders apply ship must consider the seasons of the
characteristic that distinguishes human rule-based external governance to year, the time of the day, the sky, the
from machines. While the behaviour ensure that human behave in a manner stars and the winds, and all the other
of machine can be predicted with expected to, and shaped against a subjects appropriate to his profession
consequences that may be independent backdrop of perceived fragmented and (Plato, 360 BC). Hence, a leader from
of each other, the same does not non-connected universe. Theoretical Plato’s viewpoint is the one who knows,
apply to human. Benchmarking to a underpinnings of practices are framed in other words possesses wisdom. In
standard norm and designing a standard upon findings of positivist-based models light of today’s misdeeds by corporate
operating procedure is useful in a model where antecedents of good behaviour leaders, the extension of the domain of
of decision making for machines where are identified. This is shaped by the knowledge transcending the technical
the scope can be defined with almost obsession to describe human behaviour is most apt. Corporate leaders must
a certainty. The rules of the physical in terms of ‘general laws’ about its causes not only be knowledgeable individuals
laws of Newtonian science would have and effects under given conditions. And from the technical sense, but more
created little problem when applied the rest, proverbially, is history. importantly must be knowledgeable of
to this set up. But when you govern a the idea of being a leader. It is such
human as if it is a machine, you lose out Although declared as a mechanism for wisdom in leaders that can distinguish
it’s spiritual aspect. self-governance, corporate governance a real human leader from those who
which is systems-centric and process- are not. And fundamental to the idea of
Unfortunately, scientism and positivism focused has over the course of time leadership is integrity.
have coloured the fabric of social science emitted an essence about rules and
to the extent that the same physical regulations to incarcerate anticipated The word ‘integrity’ derived from the
laws are applied to human problems. It non-ethical human behavior. With Latin integritas means ‘integer’ or whole

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 3 12

or complete as in one. Again, we see “Leadership is authentic self-expression leaders whether as board members
the philosophy of interconnectedness or or influence that really creates value… or management executives are the
oneness being elemental in the concept It’s about full awareness of self and full first who need to believe and actualise
of integrity. The interconnectedness, awareness of others” (Cashman, 2001, rightness-of-action work culture in order
wholeness or oneness concept is also of p. 20). “The hallmark of a community of to be role-modeled by subordinates.
primacy in non-linear systems thinking truth is in its claim that reality is a web The cognisance of the internal, non-
where it is the relationship between of communal relationships, and we can material fundamental framework is
the parts that is emphasised instead of know reality only by being in community crucial for a sustained rightness-of-
the objects per se. But as underscored with it” (Palmer, 1998, p. 97). action culture. With the industrial-based
in earlier sections, this oneness diagnostic approach having met its
phenomenon contradicts the physical In order for leaders to actualise oneness shelf-life, leaders need to embrace a
laws of the classical Western-based in leadership, they must first internalise new paradigm in viewing rightness-
Newtonian science which has assumed the complete interconnectedness and of-action work culture. And for that,
a fragmented universe of separate parts interdependence between them and leaders of corporations must appreciate
and from which the business model has those being led just like of all things in the their role in promoting the internal,
been shaped. Classical science axioms universe. “Everything we have to say non-material aspect of human within
too, form the base from which many … starts with understanding the nature their corporation. They can no longer
management and entrepreneurship of wholes, and how parts and wholes rely on the tools of compliance-based
frameworks have been developed. And are interrelated” (Senge et al., 2005, governance that may have been found
more importantly, leadership thoughts p. 5). It is the unseen connections that effective during the industrial era: tools
have also been sculpted along the are the essence of creativity (Knowles, that were drawn upon the mechanistic
same principles where leaders’ role 2001). Leaders need to create an “edge model of man absence of spirit. The
was confined to the self. Therefore, we of chaos” in order to drive innovation. knowledge-based age epitomised by the
strongly believe that in order to form an Leaders cannot straightjacket their need for innovation and creativity entails
understanding of what true leadership is mind to be bound by the decisions on a mindset beyond conformance.
about, leaders cannot, but subscribe to precedent. Prefabricated responses
what the true model of reality is, based lack insight and run the risk of being As the first step, leaders need to accept
on the science and ancient traditions of inappropriate for the situation at hand. the centrality of human within the
oneness. Leaders need to have the capacity to corporation. It is only when human
change, learn and adapt – to create is brought back to the forefront that
Leadership, Governance and complex adaptive systems through self- strategies to promote rightness-of-action
Rightness-of-action organisation; to weave relationships; to among human can be achieved. Next,
transform akin to the morphing of the leaders must accept human as being
The oneness of the universe is manifested caterpillar to chrysalis to the butterfly. spiritual rather than only physical and
in the presence of paradoxes and dyadic To us, leaders should not subscribe to a mechanistic. It is the failure of leaders to
state of affairs. These paradoxes rather particular path but instead leave a trail be human that leads them to fail in their
than needing an “either-or” decision, where no path has been created. Hence, leadership role. With respect to public
presents a continuum state of situation. a holistic but humanistic approach to corporations, it is only those leaders
Balancing of the paradoxes usually managing risks and solving problems is who are able to transform their mindset
results in a series of dilemmas and needed. towards actualising internal inside-out
requires taking the right action that is principle- and values-based governance
applicable to the whole (universe) not Among the main role of corporate that would be able to perform their role
just a part of the whole. In the corporate leaders is to inculcate a work culture of as stewards and custodians of public
leadership context, this will involve rightness-of-action. Towards this end, trust. We call upon corporate leaders
being responsible to all three strands business leaders need to understand to actualise human governance in their
at once: the self, as an individual; the the significance of the non-material journey towards becoming real human
corporation, as leaders of organisations; aspect upon which rightness-of-action leaders.
and the universe, the planet and its culture is founded. Rightness-of-action
people. Leaders must seek balance and work culture is about the internal Towards an Internal Journey of
harmony between the three strands. motivation to perform one’s job to Leadership: The Way Forward
the best of one’s ability. We strongly
Leaders must also create a sense of believe that central to giving one’s best In order for corporate leaders to
identity and integrity with those whom is the desire to actualise accountability actualise human governance, they
they lead. Leaders should value their rather than as a consequence of some need to practise genuine or authentic
position and must remain connected material incentives. To the contrary, leadership which in essence is about
to those below them genuinely material incentive should be viewed being human. To achieve authentic
without aspiring for the trappings of only as a corollary of the actualisation of leadership, leaders need to move inwards
aggrandisement, honor and prestige. rightness-of-action work culture. Hence, towards consciousness away from the

13 MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 3

periphery of corporate governance. In significance of letting go of legacy can when leaders subscribe to an internal
other words, leaders must shift from a never be overstated. Letting go of the governance structure, they no longer
compliance paradigm to a paradigm of legacy however is not about assuming a need to rely on corporate governance.
sincerity: to give one’s best. It is about different identity but about being the same Corporate governance now takes on a
moving from the eye of the mind to the self characterised by new or emergent backstop role.
eye of the heart as the driver of action. qualities representing one’s highest
For the shift to take place, leaders must potential or possibility. The emergent In practising authentic leadership in the
be truthful to themselves about wanting qualities will then equip the leader with context of a business entity, a leader
to practise rightness-of-action. It is not knowledge and wisdom bounded by needs to appreciate the consequences
about conducting themselves in a manner ethical values and compassion to steer of the business transactions to the larger
to conform to perceived expectation the corporation as the authentic leader, community and other stakeholders. We
by others. It is about returning to the the self. As reminded by Scharmer, “We contend that the traditional motivation
original way of being. It is about being are now called to step up … to learn to for profit drawn upon the maximisation
your leader self not the self that has act from our heart in a more intentional, of shareholders’ wealth now needs
assumed other leaders’ self. conscious, and collective way, to act from reviewing so that in the final analysis, the
the power of our emerging authentic wellbeing of human and the environment
As with all physical journeys, leaders self” (Scharmer, 2009, p. 462). are of primacy. Kofman (2006) calls for
need to will themselves to embark on the business leaders to practise conscious
journeyandstayoncourse. Nonetheless, By weaving a tapestry of the emergent business that is a business conscious
unlike a physical route which is common qualities of knowledge and wisdom, a of inner and outer worlds. This is when
to everyone along the same journey, leader can practise authentic leadership business takes into account body, mind,
the path to consciousness is peculiar to with rightness-of-action. And rightness- and spirit in self, culture, and nature.
each leader typified with personalised of-action is not about being right
terrain. This is because every leader according to some codified rules or The leader must also appreciate the
brings along a milieu: legacy of prior man-made laws but benchmark against faculties or devices that he or she can
experience as leader and subordinate; primordial and innate nature. Being use as receptor for information and
perceived expectation of others; anxiety human is about making choices. But for making decisions. Human are
about not conforming to people’s with choices come responsibility. blessed with the three devices: the
expectation; belief on the oneness of physical sense perception (eye of the
the universe; level of spirituality and “Classical physics portrayed man as a flesh), intellection (eye of the mind),
etceteras. Hence, there is no standard puppet controlled by the iron hand of and contemplation (eye of the heart).
operating procedure, recipe or one- destiny ordained at the beginning of Leaders need to use the right device
size-fits-all formula which is applicable time. Man was thereby automatically under different circumstances since
to all leaders in order to reach the relieved of all responsibility for his each has its limitation. The physical eye
destination on this non-material journey. acts. In quantum theory …negation of for instance is only sensitive to a narrow
Rather, what is available is only a list of personal responsibility is no longer band of light, the “visible light” between
ingredients which are required to begin the unavoidable logical consequence 400 to 700 nanometres (NASA, 2009).
and sustain in this journey. This is akin of accepting the scientific world view” This is extremely minuscule compared
to a mountaineer who has a backpack (Stapp, 1985, p. 44). to the entire electromagnetic spectrum
of tools to equip him or her to tackle the which spans from the diameter of a
mountain slope. Scharmer (2009) believes that authentic hydrogen atom to beyond several
leadership is about making the choice hundred kilometres. While the width of
The philosophy of the journey is about between acting in habitual ways and the visible light is 300 nanometres, the
letting go of the legacy. However, letting connecting with one’s deepest source width of a human hair is in the range of
go of legacy becomes difficult because of creativity which to him is influenced tens to hundreds micrometres.
it entails letting go of one’s familiarity by one’s spirituality. With respect to
with everything. On the other hand, if leadership, we posit that it is only when In cognisance of the fact that the human
familiarity is not let go off, it will act as a a leader’s level of spirituality that is, the eye is not capable of “seeing” radiation
veil to new information. It is familiarity in connectedness beyond transcendence is with wavelengths outside the visible
the form of one’s habits that brings along deep, will he or she be conscious of the spectrum, other special apparatus
with it standard operating procedures in need to be accountable to the universe are used to take up and illuminate the
addressing issues that a leader has had and the community transcending the “blind” spot. Likewise, in the context of
experience with before the journey. In self. Instead of having to be monitored leadership, leaders must learn to move
this instance, new signals to the brain are by an external governance mechanism, on to a different device to address the
suppressed so that the leader will only the leader will actualise transcendental shortcoming of another. To sense the
draw on the same formula to address leadership guided by his or her non-material attributes of human, a
the problem. This veil of familiarity also consciousness and conscience out of leader should move to the use of the
impedes transformation. Hence, the sincerity and genuineness. In short, eye of the heart given the limitation of

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 3 14

the physical eyes and intellection. Take Kofman, F. (2006). Conscious business. Stapp.H (2005). Quantum Interactive
for example the beauty of the greenness Boulder: Sounds True. Dualism: An alternative to materialism.
of grass. The visible green light has a Journal of Consciousness Studies,
wavelength of about 510 nanometres. Korten,D.C.(2001). Whencorporations 12(11), pp. 43-58.
But this does not register much meaning rule the world. 2nd edition, Bloomfield,
in relation to the beauty scale from Connecticut: Kumarian Press Inc. Professor Dato’ Dr. Aziuddin Ahmad
the eyes of the flesh and mind. The
observer therefore needs to use the NASA (2009). What wavelength goes Professor Dato’ Dr Aziuddin Ahmad though
eye of the heart to appreciate beauty with a color? Atmospheric Science Data trained in electrical & electronics engineering,
and aesthetics or for that matter any Centre. Retrieved 6 April, 2009 from reactor neutron physics and law, has
other non-material or esoteric elements http://eosweb.larc.nasa.gov/EDDOCS/ spent more than 20 years in the corporate
including values, morality and ethics. With Wavelengths_for_Colors.html. sphere initially in the financial services as
the heart we do not mean the physical an entrepreneur and corporate strategist
pumping instrument but the sentient Palmer, P. (1998). The courage to before serving as director of various listed
heart. In regard to decision-making, teach: Exploring the inner landscape companies whose shareholders include GLCs
ideally, a leader should use the physical of a teacher’s life. San Francisco: and GLICs. He has also served at the Tun
sense perception and the intellection Jossey-Bass. Ismail Atomic Research Centre (Malaysian
but temper with contemplation all at Institute of Nuclear Technology).
once. According to Goethe as cited by Plato (360, B.C.E). The Republic.
Scharmer, Translation by Jowett, B. Retrieved 10 In March 2007, Professor Dato’ Dr. Aziuddin
December, 2008, from http://classics. entered academia as a full-time Professor of
“Man knows himself only to the extent mit.edu/Plato/republic.html. Risk Management at the Graduate School
that he knows the world; he becomes of Management, UPM. He teaches Risk
aware of himself only within the world; Priddy, R.C. (1997). Science and Human Management, Islamic Finance and Human
and aware of the world only within Subjects. In Priddy, R.R. (1997) Governance as the founding instructor. At
himself. Every object, well contemplates, Science Limited. Ch. 10. Web book. UPM, Professor Dato’ Dr. Aziuddin was
opens up a new organ within us” Retrieved 30 March, 2009, from http:// the Head of Industry-Academia Linkage
(Scharmer, 2009, p. 161). home.no.net/rrpriddy/lim/01.html. Programme, GSM and a member of the
Senate.
References Salleh, A. And Ahmad, A. (2008). Professor Dato’ Dr. Aziuddin is a regular
Human governance: A paradigm invitee to seminars and conferences as
Bohm, D. and Hiley, B.J. (1975). On the shift in governing corporation. Kuala speaker, chair person and panelist. More
intuitive understanding of nonlocality as Lumpur: MPH. recently, he has addressed the Global
implied by quantum theory. Foundations Responsible Leadership Summit 2009
of Physics, 5 (1), pp. 93-109. Scharmer, C.O. (2009). Theory Lausanne at the invitation of IMD.
U: Leading from the future as it
Capra, F. (1975). The Tao of Physics. emerges – The social technology of Associate Professor Dr. Arfah Salleh
New York: Bantam Books. presencing. San Francisco: Berrett-
Koehler Publishers Inc. Dr. Arfah Salleh is an Associate Professor of
Cashman, K. (2001). Leadership Accounting at the Faculty of Economics and
from the inside out. Provo: Executive Senge, P., Scharmer, C.O., Jaworski, Management, UPM. She has gained training
Excellence Publishing. J. and Flowers, B.S. (2005). Presence. and work experience in investment and fund
London: Nicholas Brealey. management at James Capel International
Garratt, B. (2007). Dilemmas, uncertainty, Asset Management, London and UPM. She
risks and board performance. BT Stapp, H. (1985). Consciousness is a Fellow of CPA Australia and a member
Journal, 25 (1), pp. 11-18. and values in the quantum universe. of MIA. Throughout her academic career,
Foundations of Physics, 15 (1), pp. 35- Dr Arfah has maintained a close linkage with
Hollick, M. (2006). The science of 47. the accounting profession through serving
oneness: A worldview for the twent- on their various committees including as
first century. Ropley, Hants, UK: O Stapp.H (1992). Mind, matter, and member of the Malaysian Accounting
Books. Pauli. Berkeley: Lawrence Berkeley Standards Board (MASB). Her research
Laboratory. interest is in the areas of human governance
Knowles, R. (2001) In Heurman, T. (2001). and stewardship; philosophy of research and
The new leaders: Humble warriors. An Stapp.H (2004). Mind, matter, and epistemology in social science; the application
interview with Richard Knowles. quantum mechanics. (2nd Edition) of quantum physics in management; and
Retrieved 11 December, 2008, from Heidelberg, Berlin: Springer-Verlag. inter-subjectivity in accounting.
http://www.selfhelpmagazine.com/
articles/wf/newleaders3.html.

15 MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 4

What Drives Board Effectiveness? –
Findings from a Global Survey of the Boards of 200 Companies
by Ashley Summerfield, Egon Zehnder International, London

A sceptic might say that Boards are behaviours at Board-level to enable high and does not engage in a sufficient
the apex of a career in business for the quality dialogue and ultimately better challenge.
most successful business people – a decision making by the Board.
place where ex-CEOs can relax whilst What should be done? More
still maintaining a key-decision making 7 top issues faced by Boards effective Boards have established
role .There may be some truth in this, a good system of delegation to
however, in majority cases former Egon Zehnder has conducted almost committees and routinely review the
leaders of global organisations never lose 200 Board Reviews over the past seven content, format and presentation of
their desire to truly ‘make a difference’. years applying a thorough and consistent information receive.
It is for that reason that Egon Zehnder process of analysing areas affecting
has seen its Board Reviews become both individual and team effectiveness 2. Poor or non-existing succession
increasingly attractive to Boards. It is on Boards. The following seven areas and talent management, and
our experience that what starts out have consistently been highlighted by a general misunderstanding of
as a “governance” project becomes a Directors as the main reasons why remuneration
“business effectiveness” assignment, Boards are not getting most value from
the value of which increases during individual Directors and Boards as a Whilst we find that Boards are
subsequent Board Reviews. whole. highly professional in the way they
undertake new Director and CEO
Boards do play a number of very 1. Non-efficient processes searches, time and again Directors
important and complex roles: They admit that succession management
‘sign-off’ strategy and choose the people Board processes tend to fail most and talent retention does not receive
who are in charge of executing upon this frequently as a result of poor similar attention. The disadvantage
strategy; and they also act as custodians management of the Board agenda is that companies are not getting the
of culture and values; All of this often in and poor information flows to the most from their people and capability
an environment of time constraints and Board. gaps are met too late.
limited information.
The Board agenda is often set a year One obvious solution is to just devote
It is then no wonder that sometimes in advance and details the topics of more Board time on the topic by
Boards get their decisions wrong. Egon discussion. This makes it prone to discussing and meeting top talent and
Zehnder recently conducted interviews two major problems: creating development plans. Creating
with over 40 Chairmen from around the a Nomination Committee is often the
world to understand what they see as 1) It is harder to introduce new topics best route to ensure that the topic
the areas promoting or hindering good mid-way through the year, e.g., gets sufficient attention throughout
decision making. Across all regions the current market turmoil may require a the year.
answers that came back consistently revisit of strategy; and
pointed to three core reasons for poor 3. Inappropriate board
decision-making: 2) It does not put any rules on how composition
the topic needs to be discussed. As a
1) Decisions were made with insufficient result many Board Directors complain Board Directors almost never have a
challenge (often due to over-optimism that Board meetings are putting too deep understanding of the workings
of the management, especially where much focus on presentation and too of the company where they serve
the decision was not consistent with the little on discussion. (unless they are executive members).
strategy); However, the capabilities needed
Information flows to the Board are by Board Directors are not only
2) There was poor understanding of the subject to similar issues: Either wrong industry specific, they also include
proposal; information has been requested or it transformation skills, understanding
is untimely, or it comes in an inefficient of local markets, a capacity for
3) There was insufficient and/or format making it harder and more independent thinking, and so on. As
inadequate supporting information. time-consuming to digest. company strategies change, Boards
need to ensure that they have the
Egon Zehnder Board Reviews are trying The ultimate outcome of both right experience on the Board at all
to tackle the causes of these outcomes problems is that the Board may not be times.
by scrutinising the processes and looking at the most important issues

MINDA NEWSLETTER  FEATURE ARTICLES - ARTICLE 4 16

Here the Nomination Committee can 6. Poor or non-constructive Ashley Summerfield
step in again by leading the Board on relationships between the
assessingexistingboardcompetencies CEO and the Chairman or the Ashley focuses on board appointments,
and current capability needs through Chairman and the Directors effectiveness reviews and senior level
regular board reviews and succession executive work for PLCs, private equity
exercises. Boards can also offer initial Effective contribution and challenge portfolio businesses and public sector
Director induction and continuous on the Board, so critical to good bodies.
training on the job. Sometimes the decision making as said above, can
answer is even simpler: too large only happen if the Board members Key PLC clients include: Lloyds-TSB, Land
a Board may hinder discussion and respect each other. Relationships can Securities, Wolseley, Smith and Nephew,
decision-making efficiency. become strained if some Directors Rentokil, Sage National Express and
feel that their opinion is not being Cobham. Key private equity clients include:
4. Unclear strategic direction from listened to. Candover, CVC and Macquarie. Ashley’s
the Board work for the public sector has covered the
Egon Zehnder recommends using Bank of England, BBC, Network Rail, various
It is surprising how many Boards fail a regular Director feedback process regulators and HM Treasury.
to iterate their strategy, for example, to make the people central to the
the top three issues as expressed by personal relationship issues aware of Previous Experience
different members of the same Board the negative consequences of their
are often not consistent. Strategy acts behaviours. An external partner can Prior to joining EZI, Ashley co-founded
as the ‘shared vocabulary’ for any act as a confidential partner to discuss Central Europe Trust with Nigel Lawson,
Board – the ultimate mirror against what needs to change. former Chancellor of the Exchequer, and
which each Board decision should be others. This is a corporate finance advisory
made. 7. Opportunities for improved business, specialising in Central and Eastern
reporting to the shareholders Europe. His early career was with Booz Allen
Fortunately, Boards are increasingly and Hamilton, the strategy consultants.
spending more than half of Board time The final issue that we encounter
on strategic issues and even conduct through Board Reviews and one that Education
1-2 day annual off-sites devoted is echoed in the press is that Boards
solely on the company’s strategy have not always been able to explain Ashley has an MA from Cambridge University
development and formulation. to the shareholders their decisions. and an MPPM from Yale University.
However, when defining strategy, In addition there is sometimes the
it is also important to set metrics feeling that Directors do not have a Egon Zehnder International is the largest
to measure achievement against clear understanding of the stakeholder privately held search firm in the world. It was
strategic objectives. These metrics perceptions of the Company. founded in 1964 with a distinctive vision and
facilitate assessment of any larger structure aimed at achieving two basic goals
budget request against the strategy. Whilst Directors do not have a high - to place our client’s interests first and to
exposure to the external environment, lead our profession in creating value for our
5. Poor feedback loops to learn the current market shows that clients through the assessment and
from experience and improve understanding stakeholder concerns recruitment of top-level management
Board effectiveness by engaging them in discussions resources.
and meeting the key investors could
Feedback is a double-edged sword. warm Boards’ relationships with Its four principal areas are: executive search,
Negative feedback will always meet shareholders. management appraisal, talent
resistance; however opinions even management and board consulting.
when left unexpressed will still impact In summary, effective Boards are
relationships and actions. However, good ‘housekeepers’: They provide The Firm specializes in assessing and
even more importantly positive good risk management and ensure recruiting business leaders with outstanding
feedback can encourage people to that they have done the best they can track records who will create competitive
work harder. when they make decisions that affect advantage and sustainable value.
companies’ futures, shareholder
Regular Board Reviews, ideally fortunes, and the reputation of the The firm has 63 offices in 38 countries which
conducted by an independent body, personal careers of individuals on the are wholly-owned with over 360
are the best way to receive objective directorial Board. Consultants around half of whom are part of
feedback. Boards themselves can the single profit-centre partnership.
regularly review case studies of
decisions previously made. Finally,
it is also a Board’s responsibility to
provide feedback to the CEO.

17 MINDA NEWSLETTER  MINDA ALUMNI LIST

MINDA 2007 & 2008 ALUMNI (shown in alphabetical order)

No Name Company Programme
1. Abdul Farid Alias Khazanah Nasional Bhd KNB ND Programme 2007
2. Abdul Halim Ali Malaysia Building Society Bhd CF 2007
3. Abdul Jabbar bin Abdul Majid Proton Holdings Bhd BHPD 2007
4. Abdul Kadir Md Kassim UEM Group Bhd BHPD 2007/ KNB ND Programme 2008
5. Abdul Rahim bin Abu Bakar Westport Holdings Sdn Bhd KNB ND Programme 2007/ CF 2007/ CF 2008 / KNB ND
Programme 2008
6. Abdul Rahman Abdul Ghani Malaysia Airlines BHPD 2007
7. Abdullah Abdul Hamid Khazanah Nasional Bhd / Malaysian KNB ND Programme 2007/ BHPD 2007/ KNB ND
Directors Academy (MINDA) Programme 2008 / CF 2008
8. Abdullah Hj Kuntom Malaysia Building Society Bhd BHPD 2008
9. Abdullah Yusof Cement Industries of Malaysia BHPD 2008
10. Abu Bakar Ibrahim Khazanah Nasional Bhd BHPD 2008 / KNB ND Programme 2008
11. Ahmad Fuuad b. Mohd Dahalan Malaysia Airport Holdings Bhd KNB ND Programme 2007/ KNB ND Programme 2008
12. Ahmad Pardas Senin UEM Group Bhd / Malaysian Directors KNB ND Programme 2007/ CF 2008
Academy (MINDA)
13. Ahmad Sarji Abdul Hamid Permodalan Nasional Bhd CF 2007
14. Ahmad Shahizam Shariff Khazanah Nasional Bhd KNB ND Programme 2008
15. Ahmad Tajuddin Ali UEM World Bhd KNB ND Programme 2007/ CF 2007/ KNB ND Programme
2008
16. Leo Moggie Tenaga Nasional Bhd CF 2007
17. Amirul Fares Zahir Khazanah Nasional Bhd KNB ND Programme 2007
18. Andrew Lo Kian Nyan Employee Provident Fund BHPD 2007
19. Anuar bin Mohd Hassan Malaysian Reinsurance Bhd BHPD 2008
20. Anwar bin Haji @ Aji Faber Group Bhd CF 2008 / KNB ND Programme 2008
21. Anwarrudin Ahamad Osman UEM Builders Bhd BHPD 2007
22. Aris Othman Malaysia Airport Holdings Bhd CF 2007
23. Aziuddin Ahmad ValueCap Sdn Bhd BHPD 2008
24. Azlan Zainol Malaysia Resources Corporation Bhd CF 2007
25. Badri Hj Masri ASTRO All Asia Networks plc KNB ND Programme 2007/ KNB ND Programme 2008
26. Bashir Ahmad bin Abdul Majid Malaysia Airport Holdings Bhd BHPD 2008
27. Bazlan bin Osman Telekom Malaysia Asia BHPD 2007
28. Elakumari Kantilal Khazanah Nasional Bhd KNB ND Programme 2007/ KNB ND Programme 2008
29. Enita Azlina bin Osman Khazanah Nasional Bhd KNB ND Programme 2008
30. Fuad bin Jaafar Tenaga Nasional Bhd BHPD 2007
31. Haidar bin Mohamed Nor Bumiputra-Commerce Holdings Bhd / CF 2008 / CF 2007
CIMB Bhd
32. Hassan Jaafar PLUS Expressway Bhd KNB ND Programme 2007/ KNB ND Programme 2008

33. Idham bin Ismail Khazanah Nasional Bhd KNB ND Programme 2008

34. Ismael Fariz Ali Khazanah Nasional Bhd Programme for BHPD 2007
35. Izlan bin Izhab Malaysia Airport Holdings Bhd KNB ND Programme 2007
36. Jamilah Hashim Khazanah Nasional Bhd BHPD 2008
37. Jamilah Hashim Khazanah Nasional Bhd KNB ND Programme 2007/ KNB ND Programme 2008
38. Kamarulzaman Mohamed Zin Khazanah Nasional Bhd Programme for BHPD 2008 / KNB ND Programme 2008
39. Khairil Anuar Abdullah Apollo Hospitals Enterprise Limited KNB ND Programme 2007
40. Khairuddin Ahmad RHB Bank BHPD 2007
41. Lau Tiang Hua Malaysia Building Society Bhd BHPD 2007

42. Lau Yin Pin Tenaga Nasional Bhd CF 2008
43. Lim Kheng Guan Telekom Malaysia Bhd BHPD 2007
44. Lodin Wok Kamaruddin Boustead Holdings Bhd CF 2008
45. Mat Rabi Abu Samah Langkawi Tuna Corporation Bhd KNB ND Programme 2007
46. May Quah Bee Fong Khazanah Nasional Bhd KNB ND Programme 2008
47. Md Ali Md Dewal PT CIMB Niaga KNB ND Programme 2007/ CF 2007
48. Md Anwar Md Nor Lembaga Tabung Angkatan Tentera CF 2007

* Programme for Building High Performance Directors (BHPD)
Chairman‘s Forum (CF)

MINDA NEWSLETTER  MINDA ALUMNI LIST 18

MINDA 2007 & 2008 ALUMNI (shown in alphabetical order)

No Name Company Programme
49. Md Nor Md Yusof Bumiputra-Commerce Holdings Bhd KNB ND Programme 2007
50. Michelle Lim Khazanah Nasional Bhd KNB ND Programme 2008
51. Mohamad Hashim bin Ahmad Chemical Company of Malaysia Bhd BHPD 2007/ CF 2008

Tajudin Silterra Malaysia Sdn Bhd KNB ND Programme 2007/ CF 2008 / KNB ND Programme
2008
52. Mohamed Arif Nun KNB ND Programme 2007/ CF 2008
KNB ND Programme 2007/ CF 2007/ BHPD 2008 / CF 2008 /
53. Mohamed Azman Yahya Malaysia Airlines KNB ND Programme 2008

54. Mohamed Khatib bin Abdul Hamid Pantai Holdings Bhd

55. Mohamed Zain bin Mohamed Faber Group Bhd BHPD 2008
Yusof
Khazanah Nasional Bhd KNB ND Programme 2007
56. Mohammad Zainal Shaari Khazanah Nasional Bhd KNB ND Programme 2007
57. Mohan Rajasooria CF 2007
Proton Holdings Bhd KNB ND Programme 2007/ BHPD 2008
58. Mohd Azlan Hashim Khazanah Nasional Bhd KNB ND Programme 2007
59. Mohd Nadziruddin Mohd Basri Langkawi Tuna Corporation Bhd KNB ND Programme, KNB ND Programme 2008, CF 2008
60. Mohd Rafik Shah Mohamad PLUS Expressway Bhd CF 2008
61. Mohd Sheriff bin Mohd Kassim BHPD
Bumiputra-Commerce Holdings Bhd CF 2007
62. Mohd Shukri Hussin Bumiputera-Commerce Holdings Bhd BHPD 2008
63. Mohd Yusof Hussian Island & Peninsular Bhd CF 2008
64. Mohd Zuki Hj Kamaluddin Island & Peninsular Bhd CF 2007
65. Muhamad Fuad bin Abdullah Malaysian Directors Academy (MINDA) KNB ND Programme 2007
66. Muhammad Rais Abdul Karim Telekom Malaysia CF 2008
67. Muhd Radzi Hj Mansor Penerbangan Nasional Bhd KNB ND Programme 2008
68. Nasution Mohamed Pharmaniaga Bhd KNB ND Programme 2007/ CF 2007/ KNB ND Programme
69. Oh Kim Sun Khazanah Nasional Bhd 2008
70. Ong King How Asia Capital Reinsurence Sdn Bhd/ KNB ND Programme 2008
71. Raja Arshad Raja Tun Uda Khazanah Nasional Bhd BHPD 2007
Selat Tebrau Sdn. Bhd. BHPD 2008
72. Rosenah Mohd Hassan Malaysia Resources Corporation Bhd KNB ND Programme 2008
73. Roslan A. Ghaffar Faber Group Bhd CF 2007
74. Rosli Sharif Biotrophics Malaysia Bhd KNB ND Programme 2007
75. Rozana Makhzan BIMB Holdings KNB ND Programme 2007
76. Samsudin Osman Khazanah Nasional Bhd KNB ND Programme 2007
77. Shahazwan Harris Khazanah Nasional Bhd
78. Shahnaz Al-Sadat Khazanah Nasional Bhd KNB ND Programme 2008
79. Shahridan Faiez Mohideen Abdul KNB ND Programme 2008
Khazanah Nasional Bhd KNB ND Programme 2008
Kader Khazanah Nasional Bhd BHPD 2007
80. Shasidharan A/L Prapakaran Khazanah Nasional Bhd
81. Sufyan Abdul Jabbar (BCHB) Bumiputera-Commerce Holdings BHPD 2008
82. Suriaghandi a/l Suppiah Bhd CF 2007
83. Syed Muhamad bin Syed Abdul Lembaga Tabung Haji KNB ND Programme 2007
(TM) Telekom Malaysia
Kadir Khazanah Nasional Bhd KNB ND Programme 2007
84. Syed Saleh Syed Abdul Rahman KNB ND Programme 2007
85. Tan Poh Keat TIME dotCom Bhd KNB ND Programme 2007, KNB ND Programme 2008
86. Tunku Mahmood Fawzy Tunku Khazanah Nasional Bhd
Malaysian Technology Development BHPD 2008
Muhiyiddin Corporation Sdn Bhd, Biotrophics BHPD 2008
87. Wan Muhamad bin Wan Ibrahim Malaysia Bhd
88. Yeo Keng Un Faber Group Bhd
89. Yeoh Keat Seng TH Plantation Bhd

90. Zainal Abidin Alias
91. Zainal Azwar bin Zainal Aminuddin

* Programme for Building High Performance Directors (BHPD)
Chairman‘s Forum (CF)

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