Teraju – ICT Initiatives

Teraju came in with a big fanfare a couple of years ago, supposed to help Bumiputera entrepreneurs in their business and economic well being.

The ICT cluster is one of those that look forward to the Teraju effect.

What went wrong? Why so quiet now? Is it only election gimmick for the Malay?

Well, the result shows that Malay support is increasing for the ruling party, especially UMNO.

This is what I think should happen:

1. Teraju Malay Labs

Many projects were initiated and months of meetings and meetings and meetings. No success stories.

The total GNI impact was calculated to be RM22 billions. Now – ZERO?

2. Some Lab initiative already approved by MTAB, why quiet now?

The e-Government initiative was approved by MTAB chaired by YAB Prime Minister.

Why no activities now?

My Analysis:

The initiative was submitted as one of the product of the Malay Lab.

The impact will be GNI > 1.0 billions, provide employment > 1,000 ICT workers.

The proposal was submitted by a Bumi company, Authentic Venture Sdn Bhd,

The company has the various certifications: MSC status, 1Innocert, Teras company, CMMI, ISO9001, SCORE+ 4.0 etc

What is supposed to happen:

Teraju tells Authentic Venture that the proposal was approved.

He can start talking to the related government agencies, GLC to prepare marketing material and expert and consultancy support.

He can start talking to entrepreneurs in this space so that the implementers are identified and can be integrated in the marketing effort.

He can start talking to potential customers overseas

 

What did happened?

Authentic Venture was not told to go ahead with the initiative.  he cannot move forward with the strategy and activities required to make it work.

Teraju staff become the lead role to carry this initiative.

No success is seen.

My Analysis

Government must be playing the supporting role, exactly as what our YAB Prime Minister said.

Let the private sector lead the initiative.

Private sector will make it happen.

Recommendation:

Teraju gives the role to the private sector to run this initiative.

Teraju keep as Bumiputera support secretariat, exactly as mentioned during launch by YAB PM.

Government do the supporting role.

 

2. Teras Loan facilities

As a Teras company, you will get facility, Loan for building and machinery up to 20 millions.

Working capital loan for up to RM10 millions

What happened?

Some of us went to SME Bank and submitted our proposal for working capital loan.

Sometimes below 2 million.

Answer: Rejected

However we are OK to apply for buying building.

Analysis:

I believe the criteria like building collatoral is still highly in the agenda.

That is why buying building is OK

The ICT working capital loan  – NO WAY.

ICT company do not have physical asset.

Millions of our money is in software asset, millions of lines of source codes and IPs

NO VALUE as far as the bank is concerned.

Any changes?

No change as far as loan evaluation is concerned.

 

 

Facebooktwittergoogle_plusredditpinterestlinkedinmail
Facebooktwittergoogle_pluslinkedinrssyoutubeinstagram
About Ir. Aziz Ismail 66 Articles
Ir.Aziz Ismail is very active member of ICT economic cluster in Malaysia. As the (Past) President of TeAM ( Technopreneur Association of Malaysia) and Vice President II NEF ( Bumiputera ICT Entrepreneur Association) he is deeply involved in many strategies, activities and issues related to the industry. He is also a Director of Majlis Tindakan Ekonomi Melayu, an umbrella organisation of 47 national NGOs with 500,000 entrepreneur members.

Be the first to comment

Leave a Reply

Your email address will not be published.


*