Sunday 21 September 2008

Fasting month in Jakarta

It's that time of the year again. My drivers are fasting,the maids are fasting, so are the rest in my office.

In Indonesia, which prioritizes religion over everything else, fasting is a God given right. Efficiency and productivity is down; people call in sick; people arrive late for work - all these are "acceptable" and "understandable".

I've been told by a Moslem friend in Indonesia that fasting is God's test of one's resolve. He says that things are different in the Middle East, where everyone works only half a day at most during the Ramadhan fasting month. But in Indonesia, the Moslems supposedly believe differently - during Ramadhan, one is supposed to carry on life as usual.

There are numerous interpretations - understandably. I'm not a Moslem so it would not be fair for me to comment on their practises.

However, if we go by the norms promulgated by renowned economists and theorists, I would expect that Moslem nations observing the holy month of Ramadhan should have devised policies which will ensure that their working population contribute more during the other months just so they can make up for the losses in productivity and efficiency of the fasting months.

I don't have statistics to delve further into this; but from observation, I don't think any policies have been put in place. At least not in Malaysia and Indonesia. I'm not even sure that Malaysia and Indonesia have any yardsticks or benchmarks to effectively measure productivity, fasting or not fasting.

Perhaps that's something the authorities can consider and come up with an effective solution in this era of globalisation and supposedly fair competition?

Thursday 18 September 2008

Tumultous months ahead for ASIA

So, what's all this news about Thailand and Malaysia? Why are they hogging the headlines?

With Thailand's re-inventing of democracy, and Malaysia's reconciling of the balance between Malays and the other races living in that country, we in Asia are left where we started.

The Philippines has its problems, but they are contained in a way. Who in Asia gives a shxx about what happens in Makati or Mindanao these days? We all have our hands full in our own countries with our own issues.

Internal Security Act?

So be it. It's not democratic; but who cares these days?

Can Anwar maneuver himself out of his sodomy allegations? Can Samak find a replacement whom the DAP will be happy with? We don't know. Just like this unknown Palin out of Alaska who is facing the American public now!

We all know (or should know) who Hillary Clinton is. McCain was from the last campaign, so again, no excuses. Obama? Well OK also, since he's had the benefit of that political machinery behind him. But, to be honest, their running mates are a cast out of heaven.

But that's politics out of the USA! Period. Anyone care to dispute that?

So why can't we in Asia be the same?

Why can't we in Asia have politicians with the same flair as those in Uncle Sam? Why can't we be... simply what they can be?

We are new to this thing called democracy - I gather. We are new economies. We are immature countries without a stable political system, like what Uncle Sam has. We are we.....

So why are we pretending that "we are not we" ....?

Why are the Badawis and Mahathirs pretending that we are different? Why is the PAD behaving like they are the God of the Thais?

Even the likes of Hu Jingtao and Wen Jiabo have come to terms with this new world (in their own ways), so why are people still re-inventing the wheel?

Tuesday 2 September 2008

Thai democracy - where they're at now

I wrote about the Thai style of democracy last June. And guess what - they've just declared a state of emergency.

The PAD (People's Alliance for Democracy) in Thailand isn't that democratic after all. They want the constitution changed so that the Parliament comprises elected representatives as well as appointed reps, such as those from trade unions etc. How can that be democratic? Who is authorised to appoint reps to Parliament other than the citizens of Thailand?

One of their justifications is that Thais in the rural parts of the country are illiterate or less literate than those in urban centres; and these are the people most culpable to voting for people who give them money - what they call vote buying. But aren't these rural folks a part of their populace with the same rights under the constitution?

Their proposals smell of the Indonesian parliament under the rule of President Suharto where there are fixed number of appointees from various organisations, such as the military etc.

If Thailand can get away with this, then Malaysia can also say that the rural Malays do not deserve the same vote as the urban Chinese. Malaysia can also say that the rubber tappers who are so essential to their economy also do not deserve the same vote as the more educated people. Should we redefine democracy such that one university degree gets one vote? Or one higher school certificate gets one vote? Maybe Singapore should dictate that those who do not have two kids cannot vote. Or that democracy is only for the elite; and anything which the elite doesn't like is not democracy?

Although absurd - I believe - these are the notions the 10,000 or so people illegally occupying the government's office, and the same group who closed off the airports to their main tourist destinations are proposing for their country. Is Thailand heading back to the stone age? Only the Thais know.

Saturday 23 August 2008

Indonesia putting corruption suspects in uniforms

Came across an article about Indonesia's Corruption Eradication Committee, the local equivalent of ICAC in Hongkong and CPIB in Singapore. They're advocating putting corruption suspects in special uniforms. From pictures published, they look similar to the orange jumpsuits of suspected terrorists in Guantanamo Bay.

The virtues of Guantanamo and its treatment of suspected terrorists aside. Corruption suspects are not dissimilar to criminal suspects, and that is, they're innocent until proven guilty - a basic tenet around the world. Why would the Indonesians who have supposedly been through 10 years of reformation want to treat their "suspects" differently and to the point of humiliating them?

Has the Indonesian authorities lost faith in their judicial system to the point of desperately trying to "get even" by shaming their suspects before they're let off the hook too easily by the time the courts finish with them? Administration of some form of summary justice perhaps?

The Indonesian parliament is hesitant about verifying the ASEAN Charter primarily on grounds of inadequacies in the protection of human rights, directed - for the moment - at the "injustices" they see in Myanmar. Is this hypocrites at work or is this reformation?

Wednesday 2 July 2008

OUR PLANET: A MID YEAR REVIEW

Time flies. It's interesting - at the same time scary - to think about what's happened in our world over the last six months of this year.

The biggest news is probably the sub-prime overhang causing havoc in stock exchanges around the world and fueling expectations of a slow down in the US economy.

Then there's spiralling oil prices. Besides downwards revisions of economic growths, political implications of fuel subsidy reductions are taking its toll around the world.

Grain and commodity price rises aren't away from the limelight as well. Shortages of staple food like rice and wheat are creating havoc in world economies and all sorts of problems for World Bank planners in poverty alleviation programs. (What poverty alleviation? Feeding all those who can afford on this planet is already a problem).

Inflation is at an "almost" all time high with no signs of abating. The poor's getting poorer and more impoverished. The rich will be spending less in anticipation of that "rainy day".

Is this the end of the world?

Most prophecies on the world's end originate from conflicts of some kind, with differing religious views at the forefront. None (I've heard of) attributed the struggle for survival as a possible cause for nations to destroy one another.

Will China infiltrate and control Saudi Arabia in order to assure themselves of oil? Will Uncle Sam install puppet governments in South American to ensure that Americans are fed? Will Japan attempt to take control of South East Asia (again) just so they can survive? Will corrupt governments in African nations sell out their countries' resources to enrich themselves? Will Russians feel that their oil resources are much more powerful weapons than their nuclear warheads in a new "cold war"? Will Indonesia and Australia awaken to their new found powers of having basic minerals which the world needs?

Uncle Sam is going through a transition. Whether Barack Obama or John Mccain gets into office, they will be so pre-occupied with their own political survivals that the rest of the world will be on the back burner for a while. But the world really needs someone, anyone, to lead it out of this quagmire. And if the US can't or won't do it, I don't see who else can.

What we need is a concerted global effort to bring all vested interests together for the common good - the survival of this planet. Although none of us will like this, but the USA seems to be the only one who can lead this initiative.

The Amercians can influence the Saudis and that would appease China and India who need their oil. The Russians may feel isolated and try to influence oil states like Libya and Iran as a counter weight; but the sheer dominance of Saudi's oil resources is unlikely to give the Russians enough weight to deal with the rest of the world.
The Europeans, South Americans and Japanese can also be easily influenced by the US to at least sit down on a round table and discuss the resolution of issues facing the planet. So what do we need?

A new American president who can see the light, really.

Not someone who can only deal with domestic issues and think that such issues dictate his popularity ratings. Not someone who thinks that America makes the world evolve because high pump prices and wheat shortages won't make many happy Americans. We need someone who can see the bigger picture of a world in economic equilibrium making life easier and happier for the average American voter.

If Osama Bin Laden had that vision, he would have spent his resources choking off America's supplies of oil and commodities rather than weaving that intricate plan to bomb the World Trade Center. But then again, he could have known that American presidents aren't that smart and forward thinking; and that the only way to make his point with immediate effect was to do what he allegedly did.

Sunday 1 June 2008

FUEL & OTHER SUBSIDIES

Most Asian countries have one form of subsidy or another, whether it's for petrol we all need to move around or cooking oil we use to cook the 3 or more meals in our daily lives.

But I'm sure when the late ex-President Suharto introduced fuel subsidies to the Indonesians, he had no hint that oil wil become such an expensive commodity and the subsidies an unbearable burden on the state's budget. Neither could he have anticipated that Indonesia has become a net importer of oil.

Will buffering our poor from market forces help them in the long run? Anyone with the slightest interest in economic theory would have know that the answer is a "BIG NO".

Distorting market forces has a heavy price - whether we pay it now or 30 years down the road. I can agree with temporary solutions and eradicating short term "obstacles" just so we get the nation building in progress. But governments have been slow to eradicate subsidies which were put in place for specific purposes. This must be a painful lesson for governments throughout Asia now.

Each time Indonesia raised fuel prices, there would be demonstrations and protests, the most severe being the one in May 1998 which rewrote history (although that was a long overdue change). The test of a government's political will when contemplating reducing fuel subsidies is immensely tougher after that fateful fuel hike in 1998.

Through the years of nation building, Indonesians have been pampered with low fuel costs to the extent that low fuel costs become a right they are born with. Budget deficits or insufficiencies, along with other things of concern in Indonesia, are aliens to the ordinary folks. They don't understand how these can and will impact on their lives and their kids' lives in future. Yet, I've not seen any effort being put in by the government to effectively communicate and educate the populace of what the country is going through and what the country needs to ensure stability and economic well being in the years to come. Every politician is busy politicking or trying to make the next million dollars from the next deal on the table. No one seems to be interested -- truly interested I mean -- in what will happen to the next generation, their own children included.

Malaysia's government is not much different, although the Malaysians are in a more enviable position as a net exporter of this expensive commodity called oil.

This is just the tip of the iceberg.

Soon there'll be problems with cooking oil which Indonesia and Malaysia have plenty of, from the millions of hectares of land cultivating palm oil; and rice, the staple food of most Asians. Maybe those who protested vehemently against the conversion of padi fields into golf courses saw something which our well-educated politicians didn't.

THAILAND'S STYLE OF DEMOCRACY

Throughout its history, the Thais have experienced several coups d'etat, the most recent being September last year. But the question that's baffling me is that why a smart people like the Thais cannot understand the true meaning of democracy

They recently elected a new government into office. By "elect" it's not silly to assume that the populace made their own choices. And one of the fundamental pillars of democracy is that the majority rules and the minority respects that majority. The same rules of democracy also enabled manipulators to fester, and stir up their people to demonstrate against decisions made by the majority.

Demonstrations are healthy. Most of all, demonstrations are a true sign of democracy and the freedom of expression. But what has the army got to do with this?

There is no doubt that in a mature state like Thailand, there would have been an independant judicial system and a police force with clear rules on how to enforce existing laws passed by lawmakers elected by the people.

Under the pretext of keeping peace and unity, they, the army -- whose powers were supposed to have been derived from the civilian government -- blatantly flex their muscles and use weapons purchased from taxes collected from the people who elected their governments, to throw out the democratically elected government.

Must an army be so arrogant in this day and age? Should they feel that their management of Thailand is superior to that of democratically elected representatives of the people? Should they feel that their laws are better than those of elected lawmakers? Do they think that their way of maintaining the peace is better than that of the police force under civilians. Have they not learnt anything from history of the world?

The threat of another coup is affecting not just the proper functioning of the government but also the economy's ability to continue attracting vital foreign investments. The same army which purportedly is acting in the interests of the people and the country is blinded by their "noble illusory conception" as to forget that millions of poor people need to be fed and millions of young children need to be educated for the sake of the future of their nation.

What is a democracy when decisions of the majority facing opposition from the minority become fodder for removal of the government by undemocratic means? Are there no effective laws in Thailand to deal with lawbreakers in such protests and demonstrations? Are the police so severely outnumbered as to be unable arrest anarchists? Is there no faith left in the judiciary in dealing with such anarchists? Or are these (and others) simply excuses conjured up by the men in green? Or are they so close to Myanmar such that their neighbors' ways have had a contagion effect on them?

Sunday 25 May 2008

ONE DAY IN THE LIFE OF A TYCOON

The smell of fruits and freshly brewed Brazilian coffee awakes me each day. The sun would have risen but it won't bother me as I'd deliberately picked the master bedroom's windows to face in a northerly direction just so I won't be bothered by the low light of the rising or setting suns.

It's another sunny day, full of freshness and vitality. The headlines in the morning papers are so predictable these days: if not another rise in the price of crude oil, its a rise in the price of rice, or corn or some other commodity which the world is consuming more and more each day. I like that for consumption spurs growth, and with growth, my empire can expand as I'd wished. But when will the poor people of this planet start to run out of disposable income to afford the basic necessities to sustain life for them and their families?

I can see the chauffeur driving the newly washed car to the front porch as I stroll downstairs for breakfast. My wife has imported this special Norwegian salmon and served it with freshly scrambled "organic" eggs.

I don't mind spending on the finest foods, for I've toiled and worked much of my younger years just to be where I am today. Besides, how much longer will the One above let an old man like me savour such delights? I remember my childhood days when I had to share a single bowl of rice with my brothers and sisters as there just wasn't enough to go around. My parents must have saved that bowl of rice for us, for whenever we asked if they had eaten, the answer was the same. That was then, this is now.

In those days, I can see my dad struggling to make ends meet. My mom and dad can lose nights without sleep over a shortage of a few dollars. These days, my sleepless nights are spent juggling the millions of dollars, or sometimes hundreds of millions to resolve cash flow requirements of all my companies. There is no end to this is there? Rich and poor, the One up there always has a way of testing our resolves and our skills in handling life's problems.

By the time I reach my office, my secretary would have had the freshly brewed cup of Brazilian coffee on my desk, along with a pile of messages and appointments I have to go through in that day. I don't mind being busy, for I have worked hard all my life just to be where I am today. Whether it's a problem with one of the vendor or vendors, or some personnel problems within on of the companies in the group, I invariably have to get involved. This system of having ultimate control over crucial decisions was designed by choice, for I trust no one to that extent. Sure I do trust my subordinates, but only within what I felt they can be entrusted with. Maybe I'm paranoid about losing what I have. Or maybe I've been unduly influenced by those stories of fellow businessmen losing all they have built up over the last 30 or 40 years through one careless and seemingly trivial mistake.

By the time I've been through half of that pile of messages on my desk, plus whatever other new messages which have arrived in the morning, it's time for lunch again. I wished I never had to stop for lunch like my younger days when I would be able to go for 12 or more hours on just coffee and water. But age takes its toll on all of us alike. Besides, I've also learned that getting out of the office is a refreshing way to re-look at problems in the office. I always carry a note pad with me, so whenever I think of something over lunch, whether it's a business lunch meeting, or just lunch with one of my kids or my wife, I always jot them down.

Today is Chinese, for I'm having a lunch meeting with my bankers from Singapore. I've grown away from shark's fin soup, but ordered it for my bankers anyhow. But pictures of fin-less sharks being thrown back into the water cannot escape my mind through that lunch.

My bankers had plenty of stories to share about the general economic climate throughout the world. Every business will have their problems, they suggested which I thoroughly agree. If you're in Indonesia, it's the labour woes; in China, it's inconsistent quality coming from your factories, in Malaysia, it's the threat of new competing projects handed out to a close Malay friend of someone high up in power, In Singapore, you worry about the escalating office rentals and so on. But the most common worry is one of recession in the USA, which market is one where all businesses around the world seem to depend on one way or another. This is compounded by cost pressures caused by rising oil and commodity prices - the same daily topics carried in newspapers' headlines.

How will my businesses adapt to such threats on their survival? We have to forget growth, or at least the sizzling growth rates of the "high" years, and re-strategize to survive. Hopefully by adopting this conservative approach, we can enjoy a bit of growth; but whatever growth we're able to achieve must be looked upon as a bonus.

Nothing lasts forever. When the currents swell, we're taken to new heights but when the sea is calm, we have to steer carefully just in case the next swell catches us unprepared.

I took out my note pad and jotted down a list of things to look into on re-strategizing my companies, asked for the bill, and bade farewell.

On the way back to the office, a storm set in and pedestrians and motor cyclists were scrambling for cover. How sudden the weather can change, I thought. What if it rained down on my business the same way it did on those unprepared pedestrians? So I took out my note pad and jotted down some more notes.

Afternoons in the office are equally hectic. Calls will be coming through from around Asia and Europe. Satisfied customers and clients, along with the ones who are having problems paying their bills. They still find comfort in speaking directly to me rather than my vice presidents, perhaps because their businesses grew up together with mine. We're like old school mates who had to go through the same tests and examinations and who've passed through all of them. I also enjoy having the occasional heart to heart chats with my "ex-schoolmates".

I looked out my windows and could see the magic light of dusk. My wife called and asked if I've made dinner plans, and I told her I was eating with her and whomever of our kids who hasn't made plans. I took out a large Cuban cigar and started to chew on it while watching peak hour traffic go by far down below. My secretary peeped through the door and I knew she was giving me a sign that she wanted to leave. I gestured and she took the cue.

Why did everyone have to leave their offices at the same time, I wondered? Why did they have to contribute to the pollution and wastage of oil and other resources getting stuck in traffic jams? Imagine the amount of time, money and natural resources we would have saved if we didn't have to get stuck in jams.

With the internet and cell phones these days, a lot of business can be conducted electronically, yet companies are still stuck on convention in having staff work from 9 to 5. Why can't companies think out of the box and design "flexi" hours for their employees like a lot of companies in the USA and Europe have already done so?

I decided to take a first step toward doing my bit for this planet and started writing an email to my human resource department and COO.

Monday 4 February 2008

ANNUAL FLOODS IN JAKARTA

Flooding has become part of life in this town. Each year without fail, Jakartans have to live through the same old routine. Evacuating from homes, if the government makes that possible, or living in without electricity and fresh water. And every year, something new and some place new will be affected by the floods. This year hasn't been different.

The toll road going to the international airport is flooded. TV footage of foreigners and local passengers along with their luggage being ferried on rubber rafts across a section of the flooded thoroughfare is such an embarrassment for a city like Jakarta. They have to wade through water to get onto those rubber rafts and then wade out to catch the buses to the terminal.

And then they introduced trucks, the ones they normally use for garbage collection. They're quite high; and passengers, male and female alike, will have to be helped up those trucks without ladders or other improvised steps. But at least they can keep dry, compared to wading to the rubber raft.

The airport was closed for a few hours. Flights were delayed. Outbound passengers who got to the airport before the flooding had to eat lunch and dinner at the terminal before their flights resumed. Inbound passengers who got in after the airport re-opened were stranded as taxis and other forms of public transportation could not reach the airport. For those who managed to hop onto some form of 4-wheeler, their journey is another 5 or more hours.

Sections of the toll roads, or expressways in other parts of the city are flooded too. Once you are jammed on the toll road, there is no way out. This time around, the main city toll road was jammed up for up to 7 or 8 hours. Drivers and their passengers had to resort to making their toilet breaks just outside their cars, sheltered from public eyes by opened car doors.

And gangsters and others out to make a quick buck have their field day. Kids will be collecting healthy fees for helping to push stalled vehicles. Others help to stop traffic and let vehicles do their U-turns to seek alternative routes to their destinations. Gangsters openly knock on windows and windscreens to collect their dues from log jammed vehicles. Street peddlers sell anything from bottled water to bread at inflated prices to desperate commuters.

So why pay the toll for usage of these roads? Or are they paying a fee for parking there for all those hours?

Even the President is not spared this year. His car got stuck on a main city road and he had to get onto his bodyguards' SUV!

Poor lowly paid workers in the city who managed to get to work prior to flooding end their day walking for miles to get to the next available bus on dry land which is still operating to get home. It's not uncommon for them, after a hard and long day's work, to walk and commute for 5 or more hours just to get home.

Although Jakarta has just elected a new governor, he was nowhere to be seen during the floods. Nor has he made any plans about what he will do to alleviate this regular affair.

In any other part of the world, this would have been declared an emergency, which would have allowed the government to utilise all resources, including those of the military to assist its citizens. With those resources, the military's trained engineers could have built temporary bridging using steel ramps and plates which they surely must have in their warehouse, the kind the Indonesian or any military in the world will have for bridging rivers in a war. Indonesia doesn't need to live with the embarrassment of an inaccessible international airport, nor suffer the economic losses of lost manhours and productivity.

I know Indonesians to be proud and determined people. But when it comes to the annual flooding, Jakartans somehow seemed either to willingly leave their fates in the hands of God or resigned to the fact that this is a part of the cost of living in this capital city of theirs.

CONFESSIONS OF A MINI-BUS DRIVER IN JAKARTA

I start my work day early, leaving my house not long after morning prayers. This will also ensure that I catch the early morning commuters, some going to the markets and others heading for work.

Over the years, I've learnt how to rush to get the commuters. The more passengers I take, the more money I take home after paying for the bus' rental. I don't care what happens to the other buses, nor other road users. When I see a commuter, I will definitely cut into the lane closest and pick the passenger up, for the sooner I pack my bus full, the sooner I can speed to the end destination and the more money I make. I can then have a longer break before I have to drive out again. Driving is just like what we do in the kampung or "village". We cross the road whenever we want to. We can walk any which way we want to.

Since I was a little boy, I've learnt to fend for myself. Even if it means bullying others, I want to be able to eat and feed my family. One can only live if one can think that way. Who cares about the others in this world.

Besides rental for the bus, I also have to pay my manager so he will help me get a good bus and a route which makes more money. The police don't stop us much as they know we're poor people trying to make a living, just like them. They much prefer to stop the private cars, especially the luxurious one, as they can get more money out of them. I've ran past red lights many times even with police standing at the junction. But they will pretend not to see me.

In our line of work, getting enough passengers is the most important. Even if we have to stop and pack ourselves three lanes wide, we have to do that at busy junctions where a lot of passengers will need to get onto buses on our route. We don't care about the other road users even if they blast their horns. We all feel that its our right to make a living and to use the roads whichever way we have to. Anyhow, its our government who built the roads for us all to use, so why should we let others use more of the road.

Our biggest fear is robbery, especially at night when we have to drive through quiet neighbourhoods with no law and order. The premans or "gangster" will board our buses and rob not just our commuters but also all our day's takings. We can't report to our managers for they won't believe us. Reporting to the police is pointless too, for they won't be able to catch those gangsters to get our money back, and it will cost me more money plus hours of waiting time just to make that report.

Taxes? We don't care about taxes. I see billboards everywhere asking us to get our tax numbers and pay taxes. But little poor people like us don't care. Why should we pay taxes? Taxes are only for the bosses and the companies which make money from us. Besides, taxes will only make the government officials richer as they have more money to pilfer from. What will the government do for us, little people, even if we pay taxes? Are the roads going to be better? Are our homes safer from flooding? Will we have more electricity and clean water? Will my children be able to get free education?

I, and all my fellow bus drivers, don't think so.