Contents - Pemudah

Issue 1/2012
PEMUDAH
Contents
PEMUDAH
YOUR BUSINESS
OUR PRIORITY
This 1st issue highlights PEMUDAH’s efficiency and policy initiatives & improvements as well as Malaysia’s
international competitiveness performance - all extracted from PEMUDAH’s Annual Report 2011.
Messages
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“YAB commended PEMUDAH for all its efforts and look forward to more positive results
in the near future. He said, ultimately, for Malaysia to achieve its goal of a high-income
economy by 2020, Malaysians have to ensure that their companies are competitive, the
country’s environment is business-friendly, and that Malaysia is a great place to work and
live in”.
Starting A Business
Dealing with Construction Permits
Registering Property
Employing Workers
Enforcing Contracts
Trading Across Borders
Business Process Re-engineering
in Business Licensing
e- Payment Facilities
Halal Matters
Private Sector Efficiency
Kuala Lumpur City Hall (DBKL)
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Employing Workers
Paying Taxes
Services Liberalisation
Abandoned Housing Projects
Immigration Matters
On-going Efficiency
Improvements
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On-going Policy Improvements
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Employing Workers
Closing A Business
Trading Across Borders
Construction Industry Payment and Adjudication (CIPA)
Abandoned Housing Projects
Competition Policy
Registering Property
PEMUDAH Challenge, PEMUDAH at
State Level and PEMUDAH Portal
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Policy Improvements
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The Honourable Prime Minister Y.A.B. Dato’ Sri Mohd Najib Tun Haji Abdul Razak’s
Message
Efficiency Improvements
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• The Honourable Prime Minister Y.A.B. Dato’ Sri Mohd Najib Tun Haji Abdul Razak
• PEMUDAH Chairman, YBhg. Tan Sri Mohd Sidek Haji Hassan
• PEMUDAH Co-chair, YBhg. Tan Sri Datuk Yong Poh Kon
PEMUDAH Challenge
PEMUDAH At State Level
PEMUDAH Portal
Focus Group on Public Relations
Outreach Programmes by Focus Group on Public Relations
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11
Starting A Business
Registering Property
Paying Taxes
Enforcing Contracts
Trading Across Borders
Implementation of e-Payment Facilities
Kuala Lumpur City Hall (DBKL)
Business Process Re-engineering in
Business Licensing
Private Sector Efficiency
Medical Tourism
Published by PEMUDAH FOCUS GROUP ON PUBLIC RELATIONS
International Competitiveness
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Institute for Management Development World Competitiveness Yearbook (IMD WCY) 2011
World Economic Forum-Global Competitiveness Report (WEF GCR)
2011-2012; and
World Bank Doing Business Report (WBDB) 2012
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MESSAGES
The Honourable
Prime Minister
Y.A.B DATO’ SRI MOHD NAJIB
TUN HAJI ABDUL RAZAK
PEMUDAH’s primary focus has moved beyond the
public delivery system, and now covers the private delivery
sector. This strategic move makes sense as national
competitiveness rests not on the Government alone. The
private sector system is equally pertinent. The initiatives
prompted by PEMUDAH have touched the lives of ordinary
Malaysians, and contributed to the message that indeed this
Government cares about their well-being and is brave enough
to make radical changes to ensure that Malaysia remains
competitive.
YAB commended PEMUDAH for all its efforts and look
forward to more positive results in the near future. Ultimately,
for Malaysia to achieve its goal of a high-income economy by
2020, we have to ensure that our companies are competitive,
the country’s environment is business-friendly, and that
Malaysia is a great place to work and live in!
PEMUDAH Chairman
YBHG. TAN SRI MOHD SIDEK HAJI HASSAN
The winning formula should not only
be limited to the federal level. It is at the
state and local government levels that the
rubber meets the road. Henceforth, the
collaboration between public-private sector
is further enhanced with the inception of
PEMUDAH at state level which took shape
in 2011.
To improve the investment climate and
contribute significantly to the goals of
the New Economic Model, PEMUDAH in
collaboration with relevant ministries and
the business community focused on the
autonomous liberalisation of the services
sector.
PEMUDAH Co-chair
YBHG. TAN SRI DATUK YONG POH KON
The Taskforce concentrated on a number
of key initiatives in 2011 to improve the
overall competitiveness of the business
environment to include continuing review
of existing and proposed labour legislation
and policies, enhance the availability and
quality of manpower, engaged the public
sector in an ongoing dialogue on educationrelated policies and programmes, review of
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business licences and business licensing,
compensation for late refunds of income
tax, reduction in time bar for tax audits and
review of logistics costs. PEMUDAH has
also leveraged on public-private engagement
and collaboration to provide inputs on other
relevant policy issues that impact not only on
the business environment but citizenry and
national development goals.
SNAPSHOT OF 2011 INITIATIVES
EFFICIENCY IMPROVEMENTS
Starting a Business
(i) Developed MyCoID Gateway System (MGS) which enables the following services
to be transacted online:
(a) Name Search;
(b) Application of Company Name (Form 13A);
(c) New company incorporation and simultaneous registration with five agencies;
and
(d) Lodgement of post incorporation forms.
(ii) Developed BLESS Phase II.
Dealing with Construction Permits
(i) (ii) (iii) (iv) (v) (vi) Approval for developments can now be obtained in less than six months;
Introduced three Common Templates and Checklists for external and internal technical agencies and One Stop Centre (OSC)
procedures;
Reduced the checklist for building plan approvals from 81 items to 19 items;
Reduced time taken to process building plan approvals from 61 days to 37 days;
Ensured adoption of OSC Online at all Local Authorities (PBT); and
Enforced the certificate of completion and compliance system (CCC) to replace certificate of fitness of occupation (CFO)
system.
Registering Property
(i) (ii) Registration of property or registration of transfer within one day at 98.83 percent of 34,837 transactions. Seven out of
12 States in Peninsular Malaysia achieved 100 per cent of one day registration; and
Implemented Biometric System in 21 land offices.
Employing Workers
Implemented Digital Industrial Court Proceedings.
Enforcing Contracts
Implemented e-filing system (EFS) at Kuala Lumpur Court, Shah Alam
Court, Georgetown Court, Johor Bahru Court, and Palace of Justice (Putrajaya).
Trading Across Borders
(i) (ii) Published information on Permit Issuing Agencies (PIAs), client charter, work process flow and National Single Window (NSW)
liaison officer in the NSW’s portal (www.mytradelink.gov.my); and
Reduced the number of documents for import and export through the merging of invoice and packing list.
Business Process Re-engineering in Business Licensing
(i) (ii) Reviewed procedures related to the application of business-related licenses at 23 ministries and agencies; and
395 of 761 licenses were identified to be eliminated and simplified, reducing business license compliance cost at an
estimated RM729 million when the exercise is completed in June 2012.
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e-Payment facilities
(i) (ii) Focused on e-payment services at multiple channels,
promoting and increasing the use of e-payment
facilities; and
Increased coverage to 236 agencies offering 449
online services through portals of Government
agencies and banks.
Halal Matters
Reduced time taken to process new Halal Certificate
applications from 90 to 30 days.
Private Sector Efficiency
(i) (ii)
(iii) Increased awareness on consumerism in the private
sector;
Introduced the circular for insurance companies to put
in writing the insured value of vehicles; and
Improved the delivery of energy service providers.
Kuala Lumpur City Hall (DBKL)
Introduced a new intelligent monitoring mechanism called
“Eye Zoom” to overcome traffic congestion.
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POLICY IMPROVEMENTS
Employing Workers
(i) (ii) Established the National Wages Consultative Council; and
Passed the Employment (Amendments) Bill 2011 in the Parliament.
Paying Taxes
(i) Introduced option for individuals with a single source of employment income not to file tax
returns;
(ii) Enforced compensation for late refund of taxes; and
(iii) Reduced time frame from six years to five years within which a tax audit can be carried out.
Services Liberalisation
(i) (ii) Liberalised 17 services sub-sectors - this will be carried out in phases
in 2012; and
Allowed up to 100 per cent foreign equity participation in selected sub-sectors.
Abandoned Housing Projects
(i) (ii) (iii) (iv) Completed and resolved 94 of the 116 abandoned housing projects (as
at 31 December 2011);
Introduced Build-Then-Sell (BTS) Concept;
Amended the Housing Development (Control and Licensing) Act 1966
(Act 118); and
Displayed list of developers that are blacklisted and housing projects
that are facing problems, on the website of the Ministry of Housing and
Local Government (www.kpkt.gov.my).
Immigration Matters
(i) Introduced Resident Pass for up to 10 years, effective
1 April 2011;
(ii) Abolished maximum approval of 10 years for
employment passes for Executive Posts and five
years for non-executive posts;
(iii) Removed the requirement for an understudy for all
categories of expatriate posts and 10-year limit on
employment pass;
(iv) Implemented post-approval audit and enforced the
issue of automatic expatriate passes;
(v) Extended Work Permit for temporary unskilled
employees for 5+5 (annually) starting on 1 April 2011;
(vi) Introduced Biometric System for foreign workers under
the 6P Programme;
(vii) Issued International Student Pass;
(viii) Expedited Visa for foreign patients under Medical
Healthcare Tourism Council (MHTC) programme;
(ix) Improved Standard Operating Procedure (SOP) for
conducting raids;and
(x) Granted automatic work permits for expatriates’
spouses.
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ON-GOING EFFICIENCY IMPROVEMENTS
Starting a Business
Improving BLESS Phase I and extending the coverage to
73 agencies and 350 licenses/permits/approvals.
Registering Property
(i) (ii) Minimising the time taken for data entry by
counter clerks in land offices with the introduction
of myForms at all Land Offices; and
Introducing e-mail notification services to notify
applicants/lawyers on registration of applications
or to pick-up documents and/or titles issued in the
land office.
Paying Taxes
Streamlining EPF, SOCSO and HRDF payments to a
single payment date.
Enforcing Contracts
Introducing the Client Charter to further improve the
Court’s delivery system and transparency.
Trading Across Borders
(i) (ii) Standardising the Import and Export Process
Flows; and
Initiating a project to improve efficiency of Logistics
stakeholders using Six Sigma Tools.
Implementation of e-Payment
Facilities
(i) (ii) (iii) 6
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Embarking on the mobile channel of e-payment
via hand phones and computer tablets;
Developing Mobile Government (MyMobile) pilot
projects in Kuala Lumpur City Hall (DBKL) and
National Higher Education Fund Corporation
(PTPTN); and
Driving the public sector e-payment in the coming
years towards the much desired usage level of 90
per cent.
Kuala Lumpur City Hall (DBKL)
(i) Identifying critical junctions and placing
traffic enforcement personnel at these
junctions;
(ii) Restricting slow moving vehicles (heavy
vehicles) from entering city centre at
peak hours;
(iii) Imposing high penalties for traffic offences
and detaining towed away vehicles;
(iv) Introducing a new regulation regarding
a left turn on red at traffic lights at Jalan
Raja Laut turning into Jalan Sultan Ismail;
(v) Increasing feeder services to rail transport
(school buses) during peak hours;
(vi) Introducing
“Motorcycle
Zone”
at
designated intersections;
(vii) Diverting vehicles which are blocking
traffic at yellow boxes in strategic areas;
(viii) Installing CCTV surveillance systems at
high crime rate locations;
(ix) Promoting the use of public transport
through the Public Transport Day or Carfree day Campaigns; and
(x) Providing car park facilities at National
Stadium Bukit Jalil for LRT commuters.
Business Process Reengineering in Business
Licensing
Continuing to enhance the business licensing
process.
Private Sector Efficiency
(i) (ii) (iii) Improving the getting of credit facilities,
business conducts and protection of
consumer rights;
Simplifying and standardising loan
application forms; and
Improving the efficiency of Water Utility
providers.
Medical Tourism
Facilitating the delivery of Malaysia Healthcare Travel
Council (MHTC).
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ON-GOING POLICY INITIATIVES
Employing Workers
(i) (ii) Continuing work on the standard definition of wages; and
Reviewing the issue of permits/licenses under the labour legislation.
Closing a Business
Forming a single insolvency law.
Trading Across Borders
(i) Monitoring ancilliary charges imposed by the logistic players; and
(ii) Promoting transparency among Forwarding Agents, Freight Forwarders and Hauliers by requiring them to list out their charges and fees on their websites.
Construction Industry Payment and
Adjudication (CIPA)
Providing feedback and facilitating the enactment of the Construction
Industry Payment and Adjudication (CIPA) Bill 2011.
Abandoned Housing Projects
Further reducing and curbing the occurrence of housing projects being abandoned:
(a) Home Completion Insurance/Guarantee Scheme; and
(b) Amendment to the Payment Schedule under Act 118 and other related Acts with the view of issuing Land Titles and Vacant Possession simultaneously.
Competition Policy
(i) (ii) Carrying out the objectives and implementing the Competition Act 2010; and
Issuing guidelines to assist the stakeholders in comprehending some of the important provisions and terminologies contained in the Competition Act.
Registering Property
Reviewing the National Land Code (NLC) to reduce the number of
fraudulent or forged land transactions through the control of legislation
and enhancement of registration security.
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PEMUDAH for you
PEMUDAH Challenge
PEMUDAH Challenge is aimed at providing a platform for members of the public to communicate ideas and identify rules/
regulations/licences which are archaic and no longer relevant. In PEMUDAH Challenge Season 1, a total of 67 ideas were
selected while in Season 2, a total of 57 ideas were selected for implementation.
PEMUDAH CHALLENGE:
Back To School
In Collaboration with:
PEMUDAH
MINISTRY OF EDUCATION
PEMUDAH Challenge ‘Back to School’ is a continuation of PEMUDAH Challenge Season 1 and 2 to:
(i) (ii) Allow students to have a say in the improvements in Government delivery as it pertains to their school lives; and
Encourage students to think outside the box.
Two schools have been selected for the pilot initiative:
(i) (ii) Sekolah Kebangsaan Bukit Damansara, Kuala Lumpur; and
Sekolah Kebangsaan Seri Bintang Selatan, Kuala Lumpur.
The programme will be expanded to other schools throughout the country.
PEMUDAH At State Level
In June 2011, PEMUDAH embarked on expanding PEMUDAH at the State level to enhance the efficiency and replicate the
improvements made at the Federal level in the areas of:
(i) (ii) (iii) (iv) (v) Registering of property or land matters;
Dealing with construction permits;
Approving permits and licences for businesses;
e-Payment facilities or online facilities; and
Liberalising of goods and services sectors.
PEMUDAH PORTAL
On 6 June 2011, PEMUDAH “Website” was upgraded to “Portal” consisting of the following new features:
(i)
(ii) (iii) (iv) Third language;
World Wide Web Consortium (W3C);
Online services such as Price Watch and Currency Exchange, Google Map, audio, interactive videos; and
Colour scheme.
These improvements have led to the PEMUDAH Portal being awarded a 5-Star Rating in the Malaysia Government Portals
and Websites Assessment 2011 held by Multimedia Development Corporation.
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OUTREACH PROGRAMMES BY
FOCUS GROUP ON PUBLIC RELATIONS
Focus Group on Public Relation Initiatives for 2011
Continuous efforts have been undertaken by the Focus Group on Public
Relations (FGPR) to further promote the initiatives in 2011, namely:
(i) (ii) (iii) (iv) Television trailers on PEMUDAH’s achievements;
Publication of PEMUDAH e-Bulletin;
Dialogue programmes; and
Print media publication on articles featuring PEMUDAH’s initiatives and PEMUDAH Private Sector Members’ experiences.
Focus Group on Public Relation Initiatives for 2012
In 2012, FGPR will continue its public relations effort through networking
sessions and engagements with trade and service associations,
stakeholders, professional bodies and captains of industries.
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INTERNATIONAL COMPETITIVENESS
Three main international reports which gauge competitiveness among countries are:
(i)
(ii)
(iii)
Institute for Management Development World Competitiveness Yearbook (IMD WCY) 2011
World Economic Forum-Global Competitiveness Report (WEF GCR) 2011-2012; and
World Bank Doing Business Report (WBDB) 2012.
Highlights of Malaysia’s Performance
INSTITUTE FOR MANAGEMENT DEVELOPMENT WORLD COMPETITIVENESS YEARBOOK (IMD WCY) 2011
Malaysia’s Performance 2010-2011
In 2011, Malaysia was still
among the top 20 most
competitive economies although
slipped to 16th in 2011 (10th:
2010) in the WCY report (out
of 59 economies).
2011 2010Change
(n=59(n=58
economies)
economies)
Economic Rank
7
8
+1
Performance
Government
Rank
179-8
Efficiency
BusinessRank
144-10
Efficiency
InfrastructureRank 27
25
-2
WORLD ECONOMIC FORUM - THE GLOBAL COMPETITIVENESS REPORT (GCR) 2011-2012
Malaysia’s Performance 2011-2012
GCR 2011-2012 by the World
Economic
Forum
(WEF)
ranked Malaysia 21st out of
142 countries, gaining five
positions from the previous
year.
Pillars
Financial Market Development Goods Market Efficiency
Labour Market Efficiency
Business Sophistication
Innovation Infrastructure
Market Size
Macroeconomic Environment Institutions
Health and Primary Education Higher Education and Training Technological Readiness
2011-20122010-2011 Change
3
7
+4
15
27
+12
20
35
+15
20
25
+5
24
24
No change
26 30+4
29
29 No change
29
41
+12
30 42+12
33
34
+1
38
49
+11
44
40
-4
WORLD BANK DOING BUSINESS REPORT (WBDB) 2012
Malaysia’s Performance 2011-2012
Malaysia improved its ranking
to 18th place in 2012 from 23rd
in 2011 among 183 economies.
Indicator
20122011 Change
Getting Credit
1
1
No change
Protecting Investors 4
4
No change
Trading Across Borders
29
28
-1
Enforcing Contracts
31
60
+29
Paying Taxes
41
39
-2
Resolving Insolvency
47
57
+10
Starting a Business
50
111
+61
Registering Property
59
59
No change
Getting Electricity
59
60
+1
Dealing with 113
111
-2
Construction
Permits
For more information, please visit PEMUDAH portal,
www.pemudah.gov.my
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