Provinces need more autonomy: Consultant
Provinces need more autonomy: Consultant
JAKARTA (JP): It is important for Indonesia to give greater
economic autonomy to its provinces to enable them to catch up
with Jakarta's prosperity, Kenichi Ohmae, a well-known Japanese
management consultant, said yesterday.
"It would be very good to grow the prosperity and then share
it with the other regions in the context of the Republic of
Indonesia," Ohmae said after addressing an international finance
executives congress.
He also stressed the importance for the Indonesian government
to decentralize its policy decision-making.
The four-day congress, held by the International Association
of Financial Executives Institutes (IAFEI), was officially opened
by Coordinating Minister for Production and Distribution Hartarto
yesterday.
Ohmae said it is crucial to establish the right vision for
each of Indonesia's 27 provinces and different sectors of
industry to face the fast changing world economy.
He said he had not seen any vision in Indonesia as the one
designed by Singapore for its Information Technology 2000 vision
and Malaysia with its Multi Media 2020 vision.
"Of most importance is to develop the kind of government who
develops a shared vision for the1country and to make sure that
everyone signs in," Ohmae noted.
Touching upon deregulation, he said the financial,
telecommunications and transportation sectors are the three most
important industries needing deregulation.
Indonesia also needs to build more infrastructure and give
more attention to the public through education rather than just
boosting physical development by building lots of skyscrapers, he
said.
He said excessive political exercises should be avoided, and
private enterprises should instead be given more leeway to boost
economic growth.
Business networking is also important, he said, particularly
in anticipation of the vast changes in financial markets as well
as the shift from regional customers to universal customers.
According to IAFEI's acting chairman Romano Guelmani of Italy,
the organization groups 30,000 financial executives from 23
countries.
The congress is focusing on key issues such as mutual
development, the impact of global finance and trade in the
region, and the changes of customers and market in global
competition, said Irwan Habsjah, the president of Indonesia
Financial Executive Association.
Ohmae, known as "Mr. Strategy" worldwide, briefed the congress
participants on some management strategies applicable for
countries and organizations to face the global market
competition.
The congress is scheduled to move this afternoon to Bali where
all the delegates will continue the discussion until November 1.
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