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The list of recipients of awards and certificates include a number of national companies

By SHABBIR H. KAZMI
Feb 25 - Mar 10, 2002

As the GoP aims at large scale privatization, the private sector has to play a greater role. People are often critical of private sector, but it is also a fact that many national companies are following good management practices. To recognize the efforts of such companies, Management Association of Pakistan (MAP) initiated Corporate Excellence Award in 1982. For many companies, the financial and management appraisal criteria of MAP Awards have served as a benchmark. The regular award process has brought into prominence MAP's contribution towards professionalization of management in Pakistan.

The MAP recently held the awards and certificates distribution ceremony for the year 2000. Mohammedmian Soomro, Governor Sindh was the chief guest. While appreciating MAP role, he said, "I am pleased to observe that since the last two years MAP has become increasingly active, and successful, in espousing the cause of management. In fact we as Pakistanis, are proud of the role MAP plays in furthering management practice, thought and advocacy."

Appreciating the evaluation criteria he said, "I understand that the evaluation process is so exacting that only the best managed companies get through the screening process. The process is totally objective and unbiased and merit based. That is why the MAP Corporate Excellence Award is considered the greatest accolade in the management world. This award stresses not only the financial performance of companies but also takes into account the management commitment to improve areas like: corporate and strategic planning, customer focus, human resource planning and operations management."

The Governor said that the government had great faith in the professional capabilities and leadership qualities of the private sector and is associating them at different levels. He also spelt out the strategy of the government which has taken up reforms and long-term projects in every field during last two years. During this period the primary focus has been on economic revival. Inspite of the difficult geopolitical situation that buffets Pakistan, the government has not lost sight of its economic priorities. The economic indicators today are quite healthy, inspite of the adverse environment.

Earlier in his welcome address, Syed Masoud Ali Naqvi, President of MAP said, "Since its establishment in 1964, MAP has come a long way and has played an important role in development of best management practices and economic development of the country. The contribution of MAP in this regard is recognized by both government and business sector."

MAP has always enjoyed a distinguished position in the country. It has organized about 1000 seminars, 8 management conventions and one international seminar on the occasion of its silver jubilee celebrations in 1989. The seminars organized by MAP have often resulted in recommendations for improvement of various laws and regulations. MAP has also made considerable contribution through its nominees on various committees and commissions constituted by the government.

The business environment is changing and is changing at an unbelievable speed. In order to cope with this, the management requires new skills, increasing flexibility and an unprecedented ability to manage change. The macro drivers of change such as globalization, advances in information and communication technology, transformation to knowledge economy, centrality of intangible resources to wealth creation, change in dynamics of change i.e. increasing predictability and ambiguity, a growing demand for new institutions of accountability, increasing emphasis on aspects of good governance, have totally transformed the business environment.

The MAP instituted this award to recognize the best managed companies and to create sense of competition in the corporate sector to achieve excellence. The criteria for evaluation has been evolving all through and continuous efforts have been made to ensure that it remains in line with the best practices followed by similar bodies all over the world. However, there is always room for further improvement.

The awards have proved to be a stimulant in increasing awareness about adopting the best management practices by national companies besides multinationals. Many national companies have developed management culture and now stand at par with multinational companies. This is obvious from the list of winners of awards and certificates that includes a number of national companies.

He also announced the names of recipients of awards and certificates. These were:

Awards

  • Lever Brothers Pakistan

  • Khadim Ali Shah Bukhari & Co.

Certificates

  • Kohinoor Weaving Mills

  • Sitara Chemical Industries

  • Rafhan Maize Products

  • Millat Tractors

  • Thal Jute Mills

  • Orix Leasing Pakistan

Syed Mumtaz Saeed, Chairman, Corporate Excellence Awards Sub-Committee appraised the audience about the evaluation criteria. He said, "Keeping alive MAP's tradition of improving and modifying the awards criteria in the light of emerging best practices in corporate management, the sub-committee has worked hard in further expanding and sharpening the measurement edge of the management appraisal questionnaire sent to contesting companies. This was done through an adaptive look at the awards process criteria of the Baldridge Awards of the USA, the Corporate Excellence Award of Canada, the European Quality Awards, as well as some excellence award systems of Singapore, Malaysia and Japan. The questionnaire has been expanded. As the Awards are aimed at recognizing management excellence, the relative weightage of management evaluation verses financial evaluation has been changed. This makes the Award more representative of management excellence, rather than financial performance.

As a result of this effort, the revised management evaluation questionnaire included seven

sections with designated weightage. These were:

Corporate Governance

15%

Strategic Director and Leadership

25%

Customer and Market Focus

20%

Human Resource Focus

20%

Operation Management

7.5%

Information Management

7.5%

Risk Management

5%

It is on record that in Business and Industrial category Engro Chemical Pakistan has received the highest number of Awards 8 out of 19. Since 1994 it has not been able to receive an award or even a certificate. Lever Brothers Pakistan stands second, being the recipient of 4 awards. It got the first award in 1990 and since 1998 it has been receiving the award continuously. Lever also has the privilege of receiving Corporate Excellence Certificate for eight years. Parke Davis and Company got award for three consecutive years, 1994 to 1996. In Financial Category, the MAP started distributing award in 1997. For the first two years Adamjee Insurance Company was declared the award winner. Orix Leasing Pakistan got the Awards for 1999 and Khadim Ali Shah Bukhari was the recipient of this award for the year 2000.

The institutions like MAP have to strive to redefine their relevance in the new millennium to decipher the effect of change on the corporates. The sense of challenge is palpable and demands identification of both threats and opportunities. In view of the dynamics of change there is a need to prepare strategy initiatives and action plans which need to be more robust and innovative.