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MIM-MPC MALAYSIAN
MANAGEMENT CAPABILITY INDEX (MCI)
Research Study on
Management Capability of Malaysian Management
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The Malaysian
Management Capability Index (MCI) Research Study was first launched in 2006. The
MCI converts the evaluation of management performance into an index. The index then is a
useful indicator of how capable or inadequate, an organisation, group, sector or even
country is against the criteria.
The ten criterias as major drivers of management capability are visionary & strategic
leadership, performance leadership, people leadership, financial management, organisation
capability, application of technology & knowledge, external relationships, innovation
- products & services, and results & comparative performance.
This inaugural survey in 2006 was undertaken by MIM in response to the
call from the Asian Association of Management Organisations (AAMO) a
consortium of 17 member countries national management organisations to conduct the Management
Capability Index (MCI) survey in an attempt to seek a regional benchmark. The
objective is for member organisations within the AAMO set-up to ascertain their own
management capability index. This can then be used for inter organisation and regional
comparison and benchmarking for improvement.
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The Malaysian MCI is jointly
conducted by MIM and the Malaysia Productivity Corporation (MPC).
The MCI team would like to thank past respondents of the survey and we look forward to the
participation of all organisations in the MCI2010 Survey!
Warm Regards,
The MIM-MPC Malaysian MCI Team
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What is Management Capability?
Management capability stems
from an individual's competences and embraces sound processes, practices and
structure. This, in turn, results in the improvement in management capability of an
organisation, which directly influences the country's capability for long term
economic and growth performance.
It is important to understand that management capability is much more than management
competencies. While competencies are general descriptions of the abilities
necessary to perform successfully in a particular job or position, capability is the degree
to which management uses its skills, abilities and competencies to achieve results. In
examining capability, we are moving up a level beyond competencies.
Management capability is demonstrated in business / organisational performance,
and is the result of management leadership and competence in the key management practices
that lead to sustainable business performance and business growth.
Of course, there are other factors beyond management that also influence business /
organisational performance i.e. government policy, inflation, labour market, etc.
Management capability is the ability to deliver performance by applying your competencies
in the environment you face, with the resources you have, engaging the challenges you face
- in achieving with the organisation what you have to want to achieve.
The important aspect of capability is how effectively management applies and
practises its competencies to deal with external and internal influences to achieve the
highest levels of business / organisational performance.
When the environment gets real tough, the highly capable managers win through and deliver
in spite of it. The best managers are those capable of applying their competencies in
different environments, in challenging environments, and producing superior results. They
are capable of overcoming the environment and growing their organisations. We all
have skills, abilities, personal attributes and competencies. But can we apply them to
deliver superior business performance in the organisation we lead?
So, capability is the ability to deliver performance by applying your competencies
in the environment, situation, with the resources you have, engaging the challenges you
face - in achieving with the organisation what you want to achieve.
The measurement of management capability must therefore link the application of management
skills and abilities to the results achieved by the business or organisation.
"_ how effectively
management applies and practices its competencies to deal with external and internal
threats and opportunities, to develop and motivate employees to innovate and achieve the
highest levels of performance - that is management capability."
-
Doug Matheson, author of MCI, past president of AAMO, past chairman of NZIM. |
What is the Management Capability Index (MCI)?
The MCI converts the evaluation of management performance into an index.
The index then is a useful indicator of how capable, or inadequate, one CEO, organisation,
group, sector or even country is against the criteria. Thus, the MCI enables
useful comparison or benchmarking between individual CEOs, organisations, sectors or even
countries.
The MCI is based on the following eight major drivers of management capability that
deliver profitable business growth, plus actual results and comparative performance to
create an index of management capability. The weighting of the nine categories indicating
their degree of importance in the final index are as follows:
|
Category |
Weightage |
| 1 |
Visionary & Strategic
Leadership |
15% |
| 2 |
Performance Leadership |
10% |
| 3 |
People Leadership |
10% |
| 4 |
Financial Management |
10% |
| 5 |
Organisation Capability |
5% |
| 6 |
Application of Technology
& Knowledge |
5% |
| 7 |
External Relationships |
5% |
| 8 |
Innovation - Products
& Services |
10% |
| 9 |
Results & Comparative
Performance |
30% |
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Total |
100% |
For each of the nine
categories that make up the MCI, CEOs / Managing Directors / General Managers assess what
they consider to be their organisation's current position.
In 2008, an additional category on `Integrity & Corporate
Governance' was included in the index.
Objectives of the MCI
- To ascertain AAMO
member organisations' management capability index.
- Enable Organisation
& Regional comparison.
- Useful comparison
between organisations, sectors and even countries.
- Benchmarking for
improvement.
Contact Us
We
invite all organisations to participate in the 2010 Malaysian MCI research study in order
to come up with the 2010 Malaysian MCI. A copy of the report will be made available to all
respondents of the survey.
To participate:
Complete the questionnaire and fax or email or
mail (before 14 March 2010) to:
MIM-MPC
MCI Research Team:
MIM
Cik Nur Amaleena
Senior Executive, Research & Business Development
Tel: (603) 2172 5555 ext. 1005 / (603) 2172 5405
Fax: (603) 2172 5573
Email: amaleena@mim.org.my
Malaysian Institute of Management
Management House
227 Jalan Ampang
50450 Kuala Lumpur
Malaysia |
MPC
Cik Raja Ainul Bismi
Consultant, Service Research
Tel: (603) 7960 0173 ext. 240
Email: RajaAinul@mpc.gov.my
Malaysia
Productivity Corporation
Peti Surat 64, Jalan Sultan
46904 Petaling Jaya
Malaysia |
We
thank you in advance for your support of the MCI Research Study!
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