MIDA’s Talent Management and Facilitation

A. Problem Analysis

 1. What was the problem before the implementation of the initiative?
Human capital development is an economic imperative and it lies at the foundation of transforming Malaysia from a middle income to a high income nation. Human capital is the bedrock of the high income economy. Sustained and skill-intensive growth will require talent going forward. For Malaysia to stand success in its journey to become high income nation, it will need to develop, attract, and retain talent. Talent Corporation (TalentCorp) was established in 2011 with the mandate to attract, motivate and retain the talent needed for a high income economy as there was no single agency responsible for sourcing top global talent to fill gaps and to deliver the human capital that Malaysia critically needs, from both overseas and locally. As the central investment promotion agency and a key implementation body for the New Economic Model (NEM), and therefore a driver of Malaysia’s high income status, the Malaysian Investment Development Authority’s (MIDA) role is to address the missing link in facilitating the human capital needs of investors. MIDA’s investment strategy in targeting, promoting, and approving quality investments in the manufacturing and services sectors is in tandem with the need to create jobs for a skilled workforce essential for companies in these sectors to compete globally. The workforce transition in the manufacturing sector in particular, is already taking place with an increasing proportion of employment being more highly skilled occupations.

B. Strategic Approach

 2. What was the solution?
As an organisation, in line with MIDA’s transformation in spearheading Malaysia’s investment agenda, one of the strategic or critical moves MIDA has undertaken is to address the missing link in facilitating the human capital needs of investors. In this regard, a new Division called Industry Talent Management has been established in MIDA to service investors’ human capital needs. The Industry Talent Management Division’s main task is to facilitate investors in a more holistic manner. Among the tasks that are being undertaken by this Division is the creation of a comprehensive database on graduates to serve the needs of potential investors. To implement this task, MIDA will collaborate with universities, colleges, polytechnics and vocational skills training providers to gather information on the number of graduates and their specialisation and skills. A structured MIDA-Academia-Industry collaboration was established to address the investors’ human capital needs. MIDA provides the inputs for the Academia to structure the courses to meet the need of the industries. Further, MIDA together with the Ministry of Human Resource, other Investment Promotion Agencies (IPAs) and the five national corridors i.e East Coast Economic Region (ECER), Northern Corridor Economic Region (NCER), Iskandar Regional Development Authority (IRDA), Sarawak Corridor of Renewable Energy (SCORE) and Sabah Economic Development and Investment Authority (SEDIA) are also compiling a comprehensive database on talent development programmes. MIDA has been working very closely with TalentCorp on its initiatives to help the country meets its talent needs. Being Malaysia’s central agency in the promotion of investments in the targeted manufacturing and services sectors, MIDA has been providing relevant inputs and identifying critical talent needs of the industry in the managerial, technical and supervisory areas.

 3. How did the initiative solve the problem and improve people’s lives?
This is an important initiative by MIDA to facilitate investors by providing a talent management pool for industries to tap into. The database will enable companies to select graduates that are tailored to the necessary job description. Malaysian graduates on the other hand, will have the opportunity to provide the companies with the relevant skills and the knowledge required as well as learns new skills and technologies that are being introduced by the company.

C. Execution and Implementation

 4. In which ways is the initiative creative and innovative?
The Industry Talent Management Division is currently working on a MoU with the Federation of Alumni Associations of Taiwan Universities Malaysia (FAATUM) to create a channel for graduates from Taiwan Universities and Technical/Vocational/ Training Institutes to serve the industries in Malaysia. The Division is also actively involved in creating a network among the Corridors, IPAs, learning & training institutions and the private sector to identify the expertise needed. As part of MIDA, the division also has first-hand information of the industries’ trends and progress and is able to advise the Academia on the structure of courses and the relevant expertise needed for the industry. MIDA is currently facilitating Airbus on its recruitment for the year 2013 to 2014. The Industry Talent Management Division is working closely with Majlis Amanah Rakyat (MARA) through Universiti Kuala Lumpur Malaysian Institute of Aviation Technology (UniKL MIAT) in meeting the Airbus’s requirements. UniKL MIAT is the premier aviation training institution in Malaysia with world-class infrastructure, highly trained and multi-skilled teaching personnel and a comprehensive training institute complying with international technical standard and industry requirement. The UniKL MIAT graduates are well prepared to meet the demands of current and future aerospace and aviation industry. MIDA is also in discussion with industries and skills training centres to put in place programmes to train more students in technical and vocational skills which are facing shortages such as machinists, mould, tool and die makers etc.

 5. Who implemented the initiative and what is the size of the population affected by this initiative?
Thus far, the Division has a list of 36 Talent Partners which includes 15 policy makers/agencies, 7 academia, 5 training institutions and 9 talent development providers under the MIDA-Academia-Industry collaboration initiative. Among the other stakeholders involved in the implementations are MARA, Nadi, Samsung SDI Sdn Bhd, General Electric and UPECA Group.
 6. How was the strategy implemented and what resources were mobilized?
The financial resources are from MIDA’s operational budget allocated to the division in 2013. The operational budget caters for the implementation of the activities and programmes such as networking sessions, participation in exhibition, seminars and workshops, domestic and overseas Specific Project Mission (SPM), and familiarisation visits which have been identified and ear marked by the Division and approved by MIDA’s management.

 7. Who were the stakeholders involved in the design of the initiative and in its implementation?
The most successful output for 2013 was through the participation in the BN Youth Job Fair which was held in September 2013 at the Putra World Trade Centre. The event was certified by the Malaysian Book of Records as the biggest job fair organised in Malaysia. It was a platform for job seekers i.e. fresh graduates and experienced workers to meet both local and multinational companies across the country. A dedicated portal (talent.mida.gov.my) was also specially created to enable these job seekers to upload their resumes for the 23 talent partner companies to select the potential employee. MIDA has also signed five Memorandum of Understandings (MOUs) with the National Aerospace & Defence Industries (NADI), Samsung SDI Energy Malaysia (SDIEM), General Electric, UPECA Technologies Group and Majlis Amanah Rakyat (MARA) to address the human capital needs of industries in the country. The ceremony of the exchange of the MoUs was held at MIDA's pavilion during the event. The Memorandums are aimed at encouraging and promoting co-operation between MIDA and its talent partners in the following areas: (i) to provide Talent/Human Capital Development supply recommendations to companies based on companies’ requirements; (ii) to facilitate cooperation between the companies and training institutions/academia to provide relevant training for the purposes of capacity building; (iii) to establish a platform or medium to recommend and suggest improvement on relevant policy matters; (iv) to plan and share work programmes and possible joint-visits in areas related to Capacity Development & Industry Talent Management ; and (v) to undertake any other areas of co-operation as may be mutually agreed upon by the Parties.

 8. What were the most successful outputs and why was the initiative effective?
The progress of the initiative is monitored through the weekly Management meeting chaired by the CEO of MIDA. The meeting discusses among other issues, challenges and updates in carrying MIDA’s overall work programme and activities as well as to resolve issues faced when necessary. The meeting also acts as a check and balance to ensure all projects and activities are implemented. Further, the Investment Committee Meeting (ICM) also monitors the progress of the implementation. The ICM was established by the Government in December 2010. The ICM is co-chaired by Y.B Dato’ Sri Mustapa Mohamed, Minister of International Trade and Industry and Y.B Senator Dato’ Sri Idris Jala, Minister in the Prime Minister’s Department/Chief Executive Officer of Pemandu. The objective of the ICM is to ensure greater coordination in the area of investments especially among the five investment corridors and state investment arms as well as other entities of the Government and the private sector in achieving the objectives and targets of the ETP. The ICM monitors the economic growth, private investments and average annual investments achieved.

 9. What were the main obstacles encountered and how were they overcome?
As this is a new initiative, MIDA has not encountered any major obstacles except for initial hurdles in collating and consolidating information on the expertise available. MIDA has managed to overcome these hurdles by engaging with the identified stakeholders and fostering good relationships with the Chambers of Commerce and Industries/Services Association. Many talented students who pursue education abroad have decided not to return due to the lower salaries and slower career advancement in Malaysia. Through this initiative MIDA has been working closely with TalentCorp in its efforts to help the country meet its talent needs. Being Malaysia’s central agency in the promotion of investments in the targeted manufacturing and services sectors, MIDA has been providing relevant inputs and identifying critical talent needs of the industry in the managerial, technical and supervisory areas. Further, MIDA continues to contribute to the Returning Expert Programme, an existing talent attraction and retention programme under the purview of TalentCorp for Malaysian diaspora which has been enhanced to ensure better co-ordination, more focus and greater impact. Since the incentives under this programme had been reviewed and expanded to make them more attractive to the targeted talent groups overseas, the response and approval rates have been very encouraging

D. Impact and Sustainability

 10. What were the key benefits resulting from this initiative?
As Malaysia will be taking the ecosystem approach in developing both the manufacturing and the services sectors, MIDA will be leveraging on new resources of competitive advantage and will also assume a pivotal role in bridging the human capital needs of individual potential investors. The initiative is expected to leverage on talent portals and to allow access to talent databases. MIDA will also be the focal point for stakeholders on talent management and have established strong networkings with ministries, agencies, industries and the academia. This is expected to enhance Malaysia’s ability to attract quality investments in line with the country’s national agenda to make Malaysia a high income nation driven by high-technology, knowledge-based and capital-intensive industries.

 11. Did the initiative improve integrity and/or accountability in public service? (If applicable)
The Industry Talent Management Division is a new division which is still at its infancy stage. Currently, the strategies that are being implemented are still being refined to suit the objectives of the Division and the tasks given. The Division also facilitates applications for the APEC Business Travel Card (ABTC) by providing support letters to investors to be attached with the ABTC applications. The ABTC is an initiative to facilitate the movement of key personnels to the 21 APEC Member Economies. The Division also coordinates the ABTC support letters among 24 MIDA overseas centres as well as 12 MIDA State offices. The support letter is also a means of identifying the experts available and the overseas centres and State offices would also have information on the talent availability which can be shared with the Division.

 12. Were special measures put in place to ensure that the initiative benefits women and girls and improves the situation of the poorest and most vulnerable? (If applicable)
The whole initiative of talent management will benefit the manufacturing and services sectors by having increased number of educated Malaysian workers and experts. The talent pool identifies and provides the opportunity for industries to select the appropriate employees to suit their needs. Moving forward, achieving a world class talent base needed for a high income economy, Malaysia requires nothing less than consistent, synergistic, co-ordinated and concentrated efforts to leverage on the international diversity as well to nurture, attract and retain top talent in Malaysia.

Contact Information

Institution Type:   Government Agency  
Telephone/ Fax:   603-22673575
Institution's / Project's Website:  
E-mail:   suziyanti@mida.gov.my  
Postal Code:   50470
State/Province:   KUALA LUMPUR

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