PKNS saves RM87mil in 100 days
S PathmawathyPublished: May 11, 2009 9:44 AM | Updated: May 11, 2009 9:49 AM
The Selangor Development Corporation (PKNS) has over the past 100 days saved RM87 million on operational expenditure, according to general manager Othman Omar.
The Selangor Development Corporation (PKNS) has over the past 100 days saved RM87 million on operational expenditure, according to general manager Othman Omar.
He was speaking at a press conference to mark his first 100 days in office after taking over the state-owned company in February from deputy general manager (finance) Low Siew Moi.
Heeding the words of Selangor Mentri Besar Abdul Khalid Ibrahim, who had said that PKNS should trim its costs and become more profitable, Othman said the best way to do so was to encourage “cost-consciousness” rather than “cost-cutting”.
“Our austerity drive and recent cost-conscious programmes have succeeded in reducing operational spending by RM87 million cumulatively,” said Othman, adding that such programmes will be integrated into all portfolios.
“I do not agree that we should have cost-cutting campaigns. Being cost-conscious should be a habit for everyone,” he said today.
Othman said PKNS now projects cost reductions of up RM100 million for the year and initiatives are being taken to make ‘cost-consciousness’ the norm.
“With all this in place, we will improve cash flow and still (be able) to pass down (savings) to our customers by way of more competitive product pricing,” he said.
Top priority for quality
He also revealed that PKNS will focus on delivering quality products.
“The quality of PKNS houses still (raises) a doubt in people's minds... I would like to assure you that this matter is at the very top of my list of priorities.”
Among measures in place to ensure quality control is the involvement of independent consultants to conduct audits and recommend remedial action, as well as giving increased importance to customer service.
PKNS which specialises in low- to medium-cost housing projects, will also set up community centres in some of its development areas.
On another matter, Othman, declined to comment on speculation that PKNS is being investigated by the Malaysian Anti-Corruption Commission (MACC).
“It would not be not fair for me to comment on that as this is being investigated,” was all he would say.
Othman was also mum when asked whether the MACC had contacted PKNS about allegations of mismanagement, as levelled by the anti-corruption group Gerak.
He was speaking at a press conference to mark his first 100 days in office after taking over the state-owned company in February from deputy general manager (finance) Low Siew Moi.
Heeding the words of Selangor Mentri Besar Abdul Khalid Ibrahim, who had said that PKNS should trim its costs and become more profitable, Othman said the best way to do so was to encourage “cost-consciousness” rather than “cost-cutting”.
“Our austerity drive and recent cost-conscious programmes have succeeded in reducing operational spending by RM87 million cumulatively,” said Othman, adding that such programmes will be integrated into all portfolios.“I do not agree that we should have cost-cutting campaigns. Being cost-conscious should be a habit for everyone,” he said today.
Othman said PKNS now projects cost reductions of up RM100 million for the year and initiatives are being taken to make ‘cost-consciousness’ the norm.
“With all this in place, we will improve cash flow and still (be able) to pass down (savings) to our customers by way of more competitive product pricing,” he said.
Top priority for quality
He also revealed that PKNS will focus on delivering quality products.
“The quality of PKNS houses still (raises) a doubt in people's minds... I would like to assure you that this matter is at the very top of my list of priorities.”
Among measures in place to ensure quality control is the involvement of independent consultants to conduct audits and recommend remedial action, as well as giving increased importance to customer service.
PKNS which specialises in low- to medium-cost housing projects, will also set up community centres in some of its development areas.
On another matter, Othman, declined to comment on speculation that PKNS is being investigated by the Malaysian Anti-Corruption Commission (MACC).“It would not be not fair for me to comment on that as this is being investigated,” was all he would say.
Othman was also mum when asked whether the MACC had contacted PKNS about allegations of mismanagement, as levelled by the anti-corruption group Gerak.
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