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PR Newswire
29-07-2019, 09:55 AM
In most countries, the people in power and the people in business are separate.
Singapore is quite unique because most of those in power are also in business. I am referring to the many businesses owned by the state, which, unlike your regular family-owned business, are led and managed by salary men/women with no ownership of the business.
While this arrangement has produced stable growth and more or less satisfactory results for the company/employees/country, it is also the reason why these GLCs do not become 'superstars' and/or 'innovation leaders.' Even though the salary men/women of SIA have missed the opportunity to do what AirAsia has done, it should be agreed that these people -- who are not of any business/tycoon heritage -- has done as well as one could reasonably expect them to. The good thing about such an arrangement is less wastage/corruption, which could have a far deeper negative impact on the development of a country.
But to expect such salary men/women to lead and manage GLCs, will require no less than the 'best' human resources, identified and given responsibilities as young as possible, so as to hasten their learning, and then maximise their useful life. To attract the best people, you have to offer the most attractive incentive. If I were to sign my life away to 'The Man,' through, say, an overseas military scholarship, I must know that I will be well taken care of, for the rest of my life. Especially if I am bright and have plenty of better, competing offers.
It is interesting that the retired general here has been posted to companies (NOL & SPH) which most will agree, are/were struggling very hard. It is not likely that the Board of these two companies truly believe that he will be able make a significant improvement to the businesses. Why then is he put there?
The retired general here is simply doing his job, because, well someone has to. Some may see that he is having it good, because of the comparison between his salary and relative performance. My opinion is more nuanced. Have you been in a job, doing something over an extended period of time, and the result of which you think/believe is ultimately futile? There are a lot of people in such frustrating situations, across all income levels. But they do it still.
Maybe NYC does it for the money. Maybe he does it because he really thinks he can turn it around. Or maybe he has little choice in what he can do. I don't know. But Straits Times' raison d'etre is nation building. And so SPH's management will be mindful of any initiatives to improve business, especially if they may damage its core interest. The powers that be probably do not expect SPH's media business to turn around.
Singapore's system of salary men/women running GLCs is only possible if there are retired generals like NYC running SPH. If I am a bright young kid contemplating an overseas military scholarship, I will look at Ng, and probably say, "Hey, once I'm done with my military career, I still have a shot at running a huge corporate." That's a lot more than what any kid in the street can hope for in life.
By the way, I think this should be in the SPH thread. For a moment, I thought NYC has been brought over to QAF.
Singapore is quite unique because most of those in power are also in business. I am referring to the many businesses owned by the state, which, unlike your regular family-owned business, are led and managed by salary men/women with no ownership of the business.
While this arrangement has produced stable growth and more or less satisfactory results for the company/employees/country, it is also the reason why these GLCs do not become 'superstars' and/or 'innovation leaders.' Even though the salary men/women of SIA have missed the opportunity to do what AirAsia has done, it should be agreed that these people -- who are not of any business/tycoon heritage -- has done as well as one could reasonably expect them to. The good thing about such an arrangement is less wastage/corruption, which could have a far deeper negative impact on the development of a country.
But to expect such salary men/women to lead and manage GLCs, will require no less than the 'best' human resources, identified and given responsibilities as young as possible, so as to hasten their learning, and then maximise their useful life. To attract the best people, you have to offer the most attractive incentive. If I were to sign my life away to 'The Man,' through, say, an overseas military scholarship, I must know that I will be well taken care of, for the rest of my life. Especially if I am bright and have plenty of better, competing offers.
It is interesting that the retired general here has been posted to companies (NOL & SPH) which most will agree, are/were struggling very hard. It is not likely that the Board of these two companies truly believe that he will be able make a significant improvement to the businesses. Why then is he put there?
The retired general here is simply doing his job, because, well someone has to. Some may see that he is having it good, because of the comparison between his salary and relative performance. My opinion is more nuanced. Have you been in a job, doing something over an extended period of time, and the result of which you think/believe is ultimately futile? There are a lot of people in such frustrating situations, across all income levels. But they do it still.
Maybe NYC does it for the money. Maybe he does it because he really thinks he can turn it around. Or maybe he has little choice in what he can do. I don't know. But Straits Times' raison d'etre is nation building. And so SPH's management will be mindful of any initiatives to improve business, especially if they may damage its core interest. The powers that be probably do not expect SPH's media business to turn around.
Singapore's system of salary men/women running GLCs is only possible if there are retired generals like NYC running SPH. If I am a bright young kid contemplating an overseas military scholarship, I will look at Ng, and probably say, "Hey, once I'm done with my military career, I still have a shot at running a huge corporate." That's a lot more than what any kid in the street can hope for in life.
By the way, I think this should be in the SPH thread. For a moment, I thought NYC has been brought over to QAF.