MRCB and the Bumiputera contractors

IT was reported today that MRCB won the job to develop the first parcel (64 acres) of the massive KWASA Land development project. The parcel (MX-1) alone had an estimated gross development value of RM7 billion. As MRCB is substantially owned by EPF, this looks to benefit all the EPF contributors if it panned out well.

It was also mentioned in the report that MRCB would have a Bumiputera development programme that would call for tenders from bumiputera contractors.

Now whenever the word bumiputera development is mentioned, or DEB or NEP, it will almost bring a bone of contention with opponents of such policies (which includes non-bumi AND bumiputera). The common theme of contention has always been that this affirmative action have been (and will be) abused to benefit the few elite bumiputera without actually building the real skills and capability for bumiputera to create a sustainable business.

While the accusation is not entirely true for all cases, it has a lot of truths in it.

The bumiputera affirmative action through the property development and construction sectors had been going on for so long; so long that I cannot even remember when it started. It is high time that this programme be embraced by the bumiputera to deliver honest, efficient and trustworthy construction services. The program should no longer be designed to fit in as many bumiputera contractors as possible but rather a significant number of high quality and exemplary bumiputera contractors. Contractors who do not bribe but instead deliver work which has high quality, professionalism and bumiputera CONTENT.

Those greedy contractors who simply outsource the job (almost entirely) out must be eradicated. Those getting the job must know how to make and run a construction company, not become handout managers. These handout managers are doing injustice to the deserving and poor bumiputeras who genuinely need the affirmative action to improve their livelihood and become a productive and proud member of the society.

And to the bumiputera contractors that do get the job, please remember this. You had secured a job through and because of a community-based affirmative action. The NEB is not named after you in the sense that it is not supposed to enrich you alone. You got the job because the policy seemed to think that you would be able to benefit the community. Hence once you receive your profits, don't be greedy. Give back to the community. Find small bumiputera entrepreneurships to invest in. Provide jobs for the people within your community. And if you are a Muslim, then the duty is even heavier upon you as you will be judged and weighed on what you give out, rather than what you collected in this world.

When you secured your job, build relationship with the non-bumi in  a non-outsourced manner. Show them you are professional and would be a great business partner. Pay the supplies you get on time if not before. Do not be subservient and at the same time do not be aloof with your non-bumi suppliers and partners. Build trust and respect. Showing people you can secure a job based on connection and (god forbid) bribe would not make people respect you, it simply confirmed their suspicion of your greed and incompetence.

When you get your profits, strengthen the bumiputera position in the industry to avoid oppression. Yes, I said it, oppression. Just as the bumiputera affirmative action exists, anti-bumiputera affirmative action exits too, just that the latter are not written as government policies hence could not be debated and abolished. Cartels and monopolies and building equipments, assets and resources are known to exists and you, successful bumiputera developers and contractors, with your DEB profits, have a duty to break this cartels and build an avenue for small bumiputera contractors to obtain the materials, resources and assets freely and without oppression.

It is high time that this community affirmative action move to the next level and be driven by moneys from the beneficiaries of the first and second generation DEB / NEP. Don't be shy to part from your hundred of million to invest in the infrastructure to help the community which had helped you get to where you are now.