MPC’s business licensing reforms help govt cut costs, red tape
15 Oct 2012, The Sun Daily
KUALA LUMPUR (Oct 15, 2012): Reforms of business licensing systems by the Malaysian Productivity Corporation (MPC) have saved the federal government RM762 million from April 2010 to April 2011.
MPC chairman Tan Sri Azman Hashim said the reforms came after the corporation reviewed and changed the processes in government departments.
Azman said more savings would follow as at present the changes had only been implemented in some government departments.
"There is much to do in state government (departments) and local councils," he told a press conference after Deputy Prime Minister Tan Sri Muhyiddin Yassin launched the International Innovative and Creative Convention 2012 here today.
According to Azman, the savings benefit both private and government sectors because they also cut government bureaucracy or red tape.
"For example, licensing can be cut down from 30 processes to 13 processes, realising savings in cost, time, effort and the number of people involved," he said.
At the same time, MPC is also working to improve Malaysia's technology readiness ranking as it is ranked 60th among 144 countries in terms of technological readiness according to the World Economic Forum.
"What we are weak in is the utilisation of technology. We are not weak in terms of ideas and initiatives.
"According to the forum, it is strange we are strong in terms of initiative and innovation but not implementation. So there is a lot of room for improvement," MPC director-general Datuk Mohd Razali Hussain said.
Mohd Razali said the MPC had set up focus groups incorporating Malaysian Communications and Multimedia Commission representatives to assist it in improving the ranking.
Earlier, in his speech, Muhyiddin said the World Economic Forum had ranked Malaysia 25th out of 144 countries in its Global Competitiveness Report 2012-2013.
"Malaysia remains among the top 20% of participating countries globally and has been elevated from the efficiency-stage of development to the transition stage towards innovation-driven stage of development," he said.
Muhyiddin said the forum praised Malaysia for its efficient and competitive market for goods and services, adding that Malaysia stands out as a success story in its efforts to tackle red tape and deficits in transparency.