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25 October 2009

Iskandar rocked by CEO’s resignation

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The country’s showpiece economic corridor, Iskandar Malaysia, has been rocked with the sudden resignation of chief executive officer Harun Johari just months after his appointment.

He also becomes the second CEO to exit the Iskandar Regional Development Authority (IRDA) since it was set up in November 2006, following the footsteps of Datuk Ikmal Hijaz. Harun’s departure will raise more red flags over a project which has been long on announcements and master plans but painfully short on visible changes on the ground.

It also calls into question Khazanah Nasional’s acumen in picking senior officials to drive this ambitious project.

The Malaysian Insider understands that Harun tendered his resignation on Thursday but talk of his possible departure has been swirling since it became apparent that he was not on the same page as senior Johor officials including the Johor mentri besar, the co-chairman of IRDA.

A stalwart at Shell for more than two decades, he was the CEO of the Port of Tanjung Pelepas before being tapped for the IRDA spot. An introvert, he brought in a clutch of former executives from Shell to shake up the lacklustre IRDA and focus the staff on achieving goals. His strength at Shell was to get the processes right but his critics argued that he lacked charisma and confidence for the senior position.

Powerful Johor civil service officials complained that he did not engage them directly. He also faced some resistance from IRDA staff who were loyal to Ikmal. In July, he became the target of a blog called IRDA Watch.

It is unclear who will replace Harun but Johor politicians feel that the position should be given to a senior official of the Johor civil service, instead of leaving the head-hunting to Khazanah Nasional.

In the Budget unveiled yesterday, Prime Minister Datuk Seri Najib Razak announced an attractive tax structure for those working in Iskandar in an attempt to kick start a project which showed much promise when launched from Tun Abdullah Ahmad Badawi in 2006.

But bureaucracy, politicking and lack of leadership has seen confidence about turning Iskandar Malaysia into a global metropolis and the country’s next engine of growth curdle into cynicism


comments

IRDA will face similar fate as PKFZ. A-G reports revealed year after year that corruption is rampant in gov't departments. PM would say action will be taken but in reality there was no head roll. Kita sama kita orang, mana boleh pecat! I remember when the minister sent MOE officers to investigate the abuse of power by a school principal. The officers went to the school at 7.30 am but the principal arrived at 10.30 am. They enjoyed a good meal with the principal at the school canteen. They laughed and shared jokes. The officers told the principal not to worry. We are in the same profession. The visit is just show-show lah. If Najib is serious, offer non bumi to head those corrupted govt agencies. You'll see the difference!

Conclusion- the IRDA project,like PKFZ, will be a typical Malaysia Boleh MEGA failure. Otherwise why would Najib give very special tax incentives for those investing/working there?

A cheap skate by offering such a low tax to those working in Iskandar even though only for special sectors. KERA di HUTAN DI BERI SUSU ANAK DI RUMAH MATI KELAPARAN. Come on Najib, the pillar of Malaysia is the middle income group be it Goverment servent or Private sector. It seems they have be neglected for so long. Income taxs cut do not directly benifits them. Is 9k the correct tax exempted amount for individual without any increase tax exempted amount for their childrens? . Goverment seems to care about the rich and the poor and obviously forgot those in the middle. Najib first people later or is it people first Najib later? One malaysia clinics? what a joke Mr Najib.

we are witnessing the birth of another mega billion-ringgit project which will, by all accounts, fail miserably. another white elephant for proud Malaysia to showcase to ASEAN and the world. another entry into the laughing stock diary that is our country.

just appoint credible personnel to handle the project, is that so hard to accomplish? is Malaysia really drained of candidates with respectable business acumen and visionary foresight? i think not. there are plenty of capable men and women who would do this project some justice.

here's a hint: broaden your headhunting net and give the non-bumiputras a try. or select from a pool of trusted, reliable leaders that have potential. judging from Malaysia's track record, projects tend to falter and die when the government gets involved in the blueprints.


Iskandar development is big white elephant. Its designed to waste the peoples money and give UMNO's home base and the rajahs and sultans the opportunity to rob the bank. Nothing good will come out of it. Just take the other infamous white elephant that OKT is in charge off

What are the reasons for his resignation? People can only speculate at this point of time. It can be any one of combination of the following:-
1) The CEO finds that the job is too big for him, a hot seat that he can't handle.
2) The work environment, notwithstanding the fact that he is the CEO, is too political for him to cope.
3) There is just too much hanky panky going on for his liking and too overwhelming for him to cope with. He doesn't want to be another ex-CEO personality of the PKFZ fiasco.
4) Too much political interference for him to deal with such that he is responsible & accountable for all decisions made by outside parties with vested interests, and he has no say whatsoever. That means his position is a VERY RESPONSIBLE - anything goes wrong he is responsible.

Otherwise, what else will make a CEO resign so suddenly?

Anyway, I think he is a damn smart CEO given such a position.

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