Performance of government linked companies and private owned companies in Malaysia

Abstract

Purpose – The purpose of this study was to find whether there was any significant difference in performance between government-linked companies (GLCs) and private-owned companies (POCs) and there was any significant improvement in performance of GLCs after Malaysian Government ' s initiatives to transform the GLCs to high-performance companies. Design/methodology/approach – Panel data estimation techniques were used to run the regression in this study. Findings – It was found that there was no significant difference in performance level between GLCs and POCs. It was also found that the performance level of GLCs had improved significantly after the initiation of GLCs ' transformation programme by the Malaysian Government. Originality/value – The implication of the results of this study is that state-owned enterprises in developing countries like Malaysia can be relevant and important to take care of social responsibilities and needs, as also they can perform at par with private companies. There is no need for privatization of government-owned enterprises; rather, it needs corporatization. Government-owned enterprises can play an important role to drive national development.

Perhubungan di antara Komunikasi tentang Ganjaran Berasaskan Prestasi, Keadilan Interaksi dan Komitmen Organisasi

“…Kebanyakan kajian tentang penswastaan syarikat berkaitan kerajaan memberi fokus terhadap kecekapan dan keberkesanan dalam bersaing dengan syarikat-syarikat swasta yang lain bagi menyumbang kepada pertumbuhan ekonomi negara. Kajian ini melihat peranan syarikat tersebut secara makro dan tidak memberi tumpuan khusus kepada peranan SGBP sebagai instrumen yang penting untuk menarik, memotivasi dan mengekalkan pekerja yang kompeten di dalam syarikat perkhidmatan pos dan kurir (Bhatt 2016). Isu yang berkaitan dengan sistem ganjaran dalam syarikat perkhidmatan tersebut sangat sedikit dikaji secara empirikal.…”

State Government Roles As Moderator In Entrepreneurial Orientation And Organizational Stucture Relationship

“…Finally, in the firms with higher level of Bumiputra would potentially revealed to experience higher risk (Effiezal et al, 2015). In summary, it is very essential for SGLCs management to convert it old-style passive image, nonactive to active or will continue to face the same unproductive issues in future (Muslim et al, 2012;Bhatt, 2016). The continuously failure of SGLCs would contribute impact to the state governments as SEDCs and its subsidiaries (SGLCs) are among major contributors in term of taxes collection, dividends, sponsorships and other benefits to the respective government states.…”

Corporate social responsibility practice of Malaysian public listed government-linked companies: A dimensional analysis

“…In GLCs, government-appointed board of director members and senior management make major decisions regarding contract awards, strategy, restructuring, financing, merger, acquisition and divestment for GLCs either directly or through GLICs. The GLICs controlled GLCs by allocation of funds for their investment (Bhatt, 2016). There are seven GLICs, namely, Employees Provident Fund, Khazanah National Bhd, Kumpulan Wang Amanah Pencen, Lembaga Tabung Angkatan Tentera, Lembaga Tabung Haji, Menteri Kewangan Diperbadankan and Permodalan Nasional Bhd.…”