The 6 Secrets of Transformation for a country

1. 6 Secrets of Transformation

2. What is Transformation?
• Transformation entails fundamental changes in:
– The way the organisation DOES its business (Doing)
– The CHARACTER of the organisation (Being)
It is not about minor tweaking!
Doing
“Action”
It operates its It becomes a
business totally totally different
differently organisation
Being
“Character”

3. The Transformation Formula
You fundamentally change your action and this will result
in a change of your organisation’s character
Doing Being
Drives
(Action) (Character)
 Turnaround programme is an excellent way to change the
doing side of the equation
 Transformational Leadership develops via the following
formula:
“Acting your way into
a new way of being”

4. “Actions” bring about
changes in “Character”
Actions Actions Actions
Ideas Results
Changes in the “Character” of the
organisation

5. The 6 Secrets of Transformation
The Game of ▪ Olympic targets
Impossible ▪ Conquer the fear of failure
KPI
Anchorage
▪ Anchor on Key Performance Indices
Discipline of ▪ Plan and track results (daily, weekly, monthly)
Action ▪ Reward and celebrate success
Situational ▪ Directive in the beginning of the journey
Leadership ▪ Empower in the later part
Winning
Coalitions
▪ Collaborate with key partners and stakeholders
Divine
Interventions
▪ A lot of things are outside of our control (>60%)
5

6. Game of
the Impossible

7. Why Impossible Target?
• No transformation is required if the targets are
low / highly achievable
• If targets are “impossible”, you have to think
outside the box, and do fundamentally
different things in order to achieve it
• Therefore, by definition, real transformation
comes with the Game of the Impossible

8. Steps to make the “impossible”
happen
 Stand-based future – “managing the present
1 from the future”
 Set “Olympic” targets (very few precedence,
2 difficult to justify)
3
 Conquer the fear of failure – conversations!
4
 Create a game so large it will consume you

9. When Game of the Impossible
was first applied to GTP (2009),
everyoneDay Feedback - impossible…
GTP Open thought it was
What do the rakyat think about GTP?
1 Rakyat are 84%
supportive of GTP Agreed
2 They are happy
75%
8,500 with the initiatives
under the NKRAs Agreed
attended
(KL, KK, Kuching)
3 And are confident 71%
we will deliver Agreed
4 But can we deliver 31%
big results fast ? Agreed
7
Note: Does not include responses with no answers .* Across different NKRAs

10. Game of The Impossible:
Real examples in GTP
1 CRIME
2 LOW INCOME HOUSEHOLDS
• 99.75% achievement in reducing
• Reduction of street crime
by 35% 44,463 hardcore poor
• Reduction of index crime
• 4,000 women entrepreneurs trained
by 15%
URBAN PUBLIC TRANSPORT RURAL BASIC INFRASTRUCTURE
3 • 2.43 million passenger increase in
4 • 775km of rural roads completed (103%)
• 27,209 household connected with
LRT
• 192% improvement in BET ridership electricity (107%)
• 16,926 new houses built (102%)
EDUCATION CORRUPTION
5 • 9,814 schools have been ranked
6 • 831 people arrested for corruption
• 1,486 pre-school classes have started • 294 corruption offenders listed on the
 55,056 additional children have website
benefitted • 3,787 Government contracts published

11. Crime
Crime rose for 3 years prior to GTP
Types of crime
209,582 211,645 209,825
196,780 ▪ Theft
▪ Snatch theft
▪ Motorcycle theft
▪ Car theft
▪ Van/lorry/heavy machinery theft
Property ▪ Break-in (night)
theft ▪ Break-in (day)
▪ Robberies without firearms
▪ Gang robberies without firearms
▪ Robberies with firearms
▪ Gang robberies with firearms
Violent
▪ Assault
crimes ▪ Rape
▪ Murder
2006 2007 2008 20091

12. Crime
Hotspot-based deployment
The Kuala Lumpur Story ILLUSTRATIVE
Pre-NKRA NKRA Approach
• 1 Contingent, 5 • 1 Contingent, 5
Districts Districts
• 22 Balai’s (Stations) • 22 Balai’s (Stations)
• 501 Sectors • 11 hotspots, eg
Pudu, Bukit Bintang
• 2,892 police officers
deployed for street • 2,892 police officers
patrolling deployed to patrol at
hotspots
5.8 police officers 263 police officers
assigned to patrol Bukit assigned to patrol Bukit
Bintang every day Bintang every day

13. Large-scale mobilisation Crime
in three 3 waves
14,222
+ 7,402
+ 8,140
= 29,764
From the Jungle
to the City
From Back-Office
▪ 8,140 Polis Hutan deployed
to Front-line to fight crime in hotspots on
From Non hotspot
▪ 7,402 personnel rotation
to Hotspots reassigned from back- –Each rotation with Kuala
office to front-line Lumpur (1,000), Selangor
▪ 14,222 officers deployed to (1,000), Johor (1,000), and
50 crime hotspot area ▪ 4,013 civil servants Pulau Pinang (1,000)
–KL: 2,892 transfer to PDRM Balai
–Selangor: 5,223 back-office
–Johor: 3,366
–P. Pinang: 2,741
13

14. Crime
Other initiatives in 2010
496 CCTVs
4,979*
RELA & JPAM
*4,979 =
3,663 RELA + 1,316 JPAM
installed at members were
12 PBTS deployed to the hotspots
753
Balai Police
358,811
Rakan Cop Members
Ranked & awarded (public)
were activated

15. Crime
-32,305
-15% -13,193
209,825
177,520 38,037 - 35%
24,837
Jan-Dec Jan-Dec Jan-Dec Jan-Dec
2009 2010 2009 2010
15% drop in 35% drop in
Index Crime Street Crime
(Results : January – December 2010)

16. Anchoring
on KPIs

17. ETP: Anchoring on GNI per capita
 Decompose the recommendations / projects into
1 contribution to GNI per capita
 Make each lab member accountable to the justify
2 the contribution to GNI per capita
 The whole lab members should and challenge the
3 proposals by the private companies or
recommendations
NUMBERS DO NOT LIE

18. Incremental GNI impact of
~USD 250 billion by 2020
2020 GNI
Nominal GNI
per capita:
USD billions USD 15,000
CAGR 523
~6%
86
112
138
188
2009 GNI 1 Entry Point 2 Business 3 Growth in 2020 GNI
Projects Opportunities other Target
(EPPs) (BOs) sectors
11 Sector NKEAs

19. The Tourism example
Tourism
• Which project has the largest potential GNI contribution?
• Which project can generate the fastest and the largest tourist receipts?
• Which project can generate large number of job opportunities?
• Which project has the largest spin-off effects to the local economy?

20. Discipline
of Action

21. Discipline of Action
Agree what constitutes success and measure
1
2 Breakdown action plans into detailed activities
3 Plan and track results (alongside action plan)
4 Roll your sleeves and get into the details
THIS IS REALLY HARD WORK BUT EXCITING!

22. Examples of Discipline of Action:
Lab Action Plans
Actual
example
taken from
Crime Lab
Must clearly nail down the action plans in the lab :
•What activities required?
•When is the estimated date of completion?
•Who will do the work?
•What is the estimated investment / budget required?

23. Discipline of action requires constant
monitoring: e.g. via Blackberry
Weekly reports
xxx
Examples:
• Project progress updates
• NKEA highlights, lowlights and head-ups
• NKEA reports

24. PEMANDU + Ministry + Civil Servants work together…
Leverage + Discipline of Action
Ministerial Weekly
Discipline of Action Meetings
1
Meetings
Weekly
Problem Solving (6-7 hrs / week)
2
Meetings (PSM) •NKRA front-line
•~500,000 at federal
and state level
Delivery Task Force •(1.2 million civil
servants)
3 (DTF)
Meetings •Ministry
•DMO +
Ministerial
• teams
•PEMANDU
•DPM /
• Cabinet
Monthly
(6-8 hrs /
month)

25. ETP Governance Structure
is key
PM Engagement with EPP Owners
Secretariat
ETP Forum / Private Sector Owners on overall
update
Semi-Annual
Weekly monitoring & NKEA update
with dedicated sessions to problem
Economic Council solve major issues
Weekly
NKEA Problem Solving sessions at the
Investment
Monthly
Steering NKEA level led by Lead
Committee Minister(s). Investment Committee Lead
Committee
headed by MITI; MIDA will also be Ministries
Monthly
involved.
EPP / BO Year-round
Implementation of the EPPs / BO Respective
owners Ministries / EPP
owners

26. Situational
Leadership

27. Situational Leadership
Change leadership style based on team development
Orientation Dissatisfaction Resolution Production
Productivity (Competence)
Morale (Commitment)
STAGE 1 STAGE 2 STAGE 3 STAGE 4
Directive Style Empowering Style

28. Winning
Coalition

29. Winning Coalition
No man is an island
GLC – Conflicting shareholders’ requirement i.e.
1 government versus investors; business versus politics
2 Investor Relations
Staff Engagement
3
4 Collaboration with competitors
IT’S ALL ABOUT MANAGING POLARITIES

30. Stakeholders that we need to engage &
syndicate
PM , Cabinet,
Ministries
Associations State
/ Chambers Governments
of Commerce Lab Core
Members
NGOs /
Special
Public Interest
Groups

31. 1,000-person workshop selected
12 NKEAs
1,000+ movers and shakers (CEO & top leaders) from
200+ MNCs, GLCs, SMEs & Ministries & Govt agencies

32. 500+ member lab from 210 companies, 13 NGOs &
32 government agencies produced ETP roadmap

33. > 13,000 people attended Open Days

34. Divine
Intervention

35. Divine Intervention:
Two Experiential Human Paradigms
1 Human beings have
limited control / influence
over what happens 40% 60%
controllable uncontrollable
2
Life is a continuous
reduction of options time

36. How do you get
divine intervention?
(1) On values and actions
1
• Be a good human being (a pre-requisite
to be a leader)
• Litmus test is a clear conscience
• Conviction is grounded within one’s
conscience
• J. Galtung : Theory of social cosmology
I firmly believe that any man’s finest hour – his greatest fulfillment to all he
holds dear - is that moment when he has worked his heart out in a good
cause and lies exhausted on the field of battle – victorious.
- Vince Lombardi

37. How do you get
divine intervention?
(1) On Ethics
2
white
• Operate in the “white” (not “grey” and
“black”)
• Step into the “grey” but step back into
the “white” (never stay in the grey too grey
long)
• If you stay in the “grey”, your
conscience is modified to see “grey” / black
“black” as acceptable
The quality of an individual is reflected in
the standards they set for themselves.
- Ray Kroc

38. How do you get
divine intervention?
(1) On Self - Renewal
3
• Good people must learn to live with
solitude (loneliness)
• Solitude : to be alone in deep reflections
for self-renewal
• Be grateful (don’t take things for granted)
• The “Theory of Enough” in the Empty
Raincoat (Charles Handy)
Keep your face to the sunshine and you cannot
see the shadows.
- Helen Keller