Of Merit in Malaysia

This issue has been spinning around in my head, for the last few weeks now.

Just that I've not been in the mood to write anything regarding public issues, lately. Perhaps, it's the old and weary part of me talking.

Or it's nauseating to see empty vessels, incessantly shouting for reform - totally, not cognizant that having an opinion and shouting loudly, on every single issue - encourages the powers-that-be to tune you out as "noise".

Or maybe, I'm just recharging. I have no idea.

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The question creeped into my mind about a few weeks ago: Do Malaysians know how to measure merit? And the context, in which it has to be measured?

Ask any middle-class Malaysian out there and he can probably roll-off to you about 5-10 hugely successful business personalities, that DOES NOT deserve to be there. They probably could not name an equivalent number of people who DESERVES to be there, though. It's as if our radars are tuned to detecting people, who are not deserving of their good fortunes.

And the reasons given are quite standard - these people succeeded with the Government's help and affirmative action, they were "hand-picked" by the powers-that-be, these people are strongly politically connected (especially to the PM), these people are involved in corruption and abuse of power, they do not know the domain, they're just Oxbridge young brats, it's because people like themselves are not selected, they're born with a silver spoon, they're UMNOputras, they're too young to be successful, etc.


Everyone has a perception of what merit (and more so, what is NOT)in Malaysia. It comes out in the way they talk about other people. It comes out in the way they write. It comes out in the way they think.


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Admittedly, there is blatant corruption and abuse of power in Malaysia, that distorts the perception of merit.

We can't explain how our Ministers live in huge mansions and have more cars than some successful entrepreneurs (I bet you that if some were asked, they can't explain it, either). We can't explain why there are more rich people, than businesses. We can't explain how people have so much money to spend on their "downliners" in politics. We can't explain why current or former civil servants, are living a lifestyle, way above their income.

But does that mean, that there is no merit within the system? And does that mean that all those who have benefited from (direct or indirect) Government or political patronage are undeserving of their success?


When we ask someone to describe someone who they think is truly a success, without Government assistance, political patronage or affirmative action policies - at an extreme, they will describe someone who is from a poor family (or at least, not from a rich one), has a business that sells to the consumers (and does not deal with the Government or lobbying for Government contracts/licenses), is not politically-linked, is not linked to criminal or vice activities and is almost always, street-smart.


Everything else - seems to have non-merit elements within merit elements. Therefore, condemning the merit side.

For example, if you hire a chartered accountant to run a national car company, people say that he has no automotive background and he does not deserve to be there. Even if the national car company, is financially bleeding like it's gone to war in Iraq.

If a young politician is successful in business and is family-linked to the leadership of the country, people will say that his success (and the firm that he's associated with) is successful, because of politics. Forget the fact that he's not the first or the last, of these sort of animals and there's many giant corporations out there, that got to where they are, due to Government concessions or political patronage.

If he's public about his involvement in business - he's asking for a media hanging. In Malaysia, if you're rich - it's best that you keep a low profile - like Tan Sri Ananda Krishnan, like Tan Sri Quek Leng Chan, like Dato' Tong Kooi Ong (formerly of Phileo) or Tan Sri Hamdan of Ranhill. It's better to be rumoured that you're politically-connected than for it to be publicly known.

If a few young bright sparks from some of the best universities and successful MNC consulting firms in the world, comes in to do policy work for the PM and DPM in the Government - he will be said to be unfairly "hand-picked" by the mafioso few who are politically-connected, because they're young and green and have never been in the civil service - regardless of their merits.

If you're a 2nd generation entrepreneur who has succeeded in growing the family business by three-folds, people say that you were lucky, because you had a father who was an entrepreneur and a rich man. You had the foundation that others, perhaps, did not.

And at any occasion when any of these people fall, many sections of the public will celebrate.

Because they perceive it as justice. Because they perceive that true merit means that the persons deserving will never be a failure, regardless of external circumstances like an economic crisis or a political clean-up and witch-hunt(like post Anwar Ibrahim downfall of the corporates and business personalities closely linked to him). Even though this does not bear out the general reality of success, anywhere in the world - but the perception is such.


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Yes, there is abuse and corruption in the system. That's undeniable. It happens everywhere and all of us have had instances where we've closed our eyes, to it. Perhaps because the corruption and abuse is so closely linked to our familly members, people we consider friends or business partners.

We absolve our responsibility by saying - at least, I was not involved in the corruption/abuse of power. I am clean and I obtain an honest living. I don't cheat anyone and I'm not political. And I have to guard the rice bowl for my wife and children and I don't want to create enemies. That is all I can do.

But the truth is - we're all involved. Every time we keep silent about a corrupt act or an abuse of power. Especially the ones, which we can prove. We are intimately guilty, of conspiring with thieves and sophitsicated thugs.

Even though we may have our own reasons for doing so. But our hands are equally stained - as quiet accomplices, to criminals or worse, hypocrites who are criminals and accuse others of being criminals.

And we lose our legitimacy to criticize our leaders. We lose our honour. We lose our merit, as citizens.

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But there must be a recognition of a few things, in Malaysia - for us to be able to recognize merit for what it is.

1) The Government is one of the biggest demand source in the country. There will be thousands of businessmen that will have to do business, with the Government.

The question is: how transparent is the system in dealing with the Government and to what degree?

Where the Government is involved, there WILL BE political involvement - and hence, you will see people joining political parties, for political advantage, rather than public service. It's inevitable, regardless of what line (or which country) you're in. Even if you don't see it - someone's doing the lobbying out there for you to get your business. It doesn't just land on your plate, by open tender - although theoretically, it should.


2) There's no such thing as a perfect candidate for the GLC job. If the person is one of the best candidates for the job and he gets it, give him time to prove himself. Don't attack him while he's still doing his job - you're setting him (and the GLC of which he is in charge of) for failure.

A GLC cannot be run from a direct democracy of majority opinions. Once you pick the manegement team, you give them the space and you stand aside, monitor and pray really hard. Because otherwise, thousands will lose their jobs, due to "management by political pressure".


3) People are both good and bad. They cannot be judged to be evil, because of one or a few mistakes. Nor are they all good, even if they've done a few good things in their lives, so far.

As a citizen, you have a right and an obligation to fight corruption. But don't sentence everyone with a political or family advantage, to the same verdict - that they're undeserving of what they have.

Look deeper and you will see that there may be merit in their existence - even getting contracts in, is a definite revenue value-add. You must recognize elements of merit where it exists - even in a system which may be manifestly corrupt.

Advantage is in the eye of the management. Corporate tactics are not supposed to be public domain knowledge.


4) UMNO is a contract distribution mechanism in this country. It has been so, since the mid-late 80's. That is a reality.

It is a reality that has created many Malay millionaires - sometimes, just purely out of "Ali Baba" sub-contracting or "middleman" profiteering arrangements.

It is a reality that has benefited many non-Bumiputras too - some of them secretly are the "proxies" to the patronage and wealth of politicians. It has been an unholy alliance - but certainly not as one-sided, as it's made out to be. Behind closed doors, the benefits of this abuse has been shared by all races.

And it has created some successful genuine Bumiputra businessmen too - except that once in a while, they've had to share their pecuniary gains with their political masters. Which in Government concessions, inflates the cost of the project and passes the buck to the taxpayers.

It has even benefited NGOs, humanitarian, industry and youth associations. Without these successful wealthy Bumiputras from UMNO, there will no donations, press coverage and patronage funds for events held. If we're honest enough to ourselves, we would admit that.

Yes, the system lacks merit. It's not the best people that gets the Government contracts. Sometimes, it's the worst and the most expensive - perhaps, because there are many "layers" that have to be financially greased.


Here you have a few choices.

a) Fight to change the system and encourage a true merit-based open tender system be it with or without affirmative action policies. Take the contract distribution system out of UMNO and other political parties.

Here you will have to change the culture of both political parties and the civil service. You may even have to do a major sacking and restaffing of the civil service. Tall order, but the best economic returns in the long run.


b) Failing that, you will have to maintain the status quo and befriend many politicians and civil servants at many levels, to get the Government jobs, contracts and concessions.


c) And if you refuse to do that - stop going for Government jobs and start selling to the consumers and the private sector. Although unless you have an extensive international reach, that may be equivalent to cutting your demand market, by half.


d) Migrate. And even that, there are no guarantees that problems like these, do not exist in developed countries, albeit, perhaps, to a lesser extent.

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There are some things which make up the underlying context of this country. And it will take time to change - because the changes cannot happen faster, than the mindset of the governed.

Affirmative action for more equitable economic distribution, eradication of poverty, a unity that depends on the give-and-take between race-based political parties, close business and political nexus, creation of a large Malay middle-class, etc.

You can either accept it or work to change the context. Or you can reject it and play outside of the context. But bear in mind, that there are many others, that cannot (or will not) escape the "context".

That is the reality. Don't judge them for it. Don't cheapen their success and accuse all of them, for lack of merit - it's unfair to sweep everyone, with the same broad brush, just because they're politically-connected. Aren't all of us, in some way or another?

Politics is a context and reality that cannot be avoided, in Malaysia.

It stares back at us everyday - mostly, because the abuse or imprudence has resulted in taxpayers paying for the mistakes of the Government and politicians. It makes us pay more for things. It encroaches on our individual rights. It threatens the viability of our businesses, sometimes.

But please find it in your heart and mind, to recognize the merit of others, where it exists. There are 2 sides to every story.

It may be relative, in some cases - but without a recognition of merit, in some of these gray cases - we will only create a society that is suspicious, cynical, politically-driven, contemptuous of the success of others and is critical, without being constructive.

We will be creating crabs in a basket - instead of eagles that can soar.