Prologue Vision 2020 visionary development based on value system

Transcription

1 Developing a Values-based Knowledge Society and Knowledge Economy - A Malaysian Experiment Tengku Mohd Azzman Shariffadeen Presentation to organised by Knowledge Management Austria, Vienna 19 June 2009 Prologue Vision 2020 visionary development based on value system Malaysia a developed country in our own mould a fully developed country by the year 2020: a united nation, with a confident Malaysian society, infused by strong moral and ethical values, living in a society that is democratic, liberal and tolerant, caring, economically just and equitable, progressive and prosperous, and in full possession of an economy that is competitive, dynamic, robust and resilient fully developed in terms of national unity and social cohesion, in terms of our economy, in terms of social justice, political stability, system of government, quality of life, social and spiritual values, national pride and confidence most important resource of any nation: the talents, skills, creativity and will of its people Tengku Mohd Azzman Shariffadeen Page 1

2 Towards advanced nation status Vision 2020 Continuous Learning Informatisation Sustainable k-society Connectivity Society People Culture e-society People Culture Information k-society People Culture Information Knowledge People Culture Information Knowledge Innovation The K-Malaysia Migration Strategy Core issue: Competitiveness Core issue: Equity Tengku Mohd Azzman Shariffadeen Page 2

3 The National IT Council (NITC), recognising the dual functions of ICT, conceived the National IT Agenda and the Multimedia Super Corridor as complementary initiatives National IT Agenda (NITA) targeting social development Multimedia Super Corridor (MSC) targeting economic development The key idea of the MSC is the orchestration / development of clusters for sustainable innovation The key idea of NITA is the social acculturation of technology (ICT) through community development projects Tengku Mohd Azzman Shariffadeen Page 3

4 The MSC heralded ICT as a new sector of growth to develop knowledgebased industries MSC URL: The MSC is an attempt to develop a dynamic industrial cluster for producing innovative ICT-based multimedia products and services to kickstart a content and applications industry MSC key features to attract investment Seven Flagship Applications Ten-point Bill of Guarantees Cyberlaws and IP laws Cyber city: green-field site with comfortable living environment and advanced ICT infrastructure Strong government support Tengku Mohd Azzman Shariffadeen Page 4

5 INNOVATIVE CAPACITY PRODUCTIVITY WEALTH CREATION Agenda Knowledge Epilogue The Thread Unwinds Knowledge Society development in the Middle East Two strands on the knowledge development journey Measuring innovation capacity Knowledge Society development based on Maqasid al Shari ah Framing the Knowledge Economy Powered by Innovation FACTORS VALUE CREATION COMPETITIVENESS STANDARD OF LIVING Foundation Condition Infrastructure Intellectual Capital Driver Condition Interaction Integrity Incentives Institutions STRENGTHENING FOUNDATION & DRIVER CONDITION Source: Nair, M. (2007), The DNA of the new economy, Economic Bulletin, Volume 8, Tengku Mohd Azzman Shariffadeen Page 5

6 Driver Condition Agenda Knowledge Highly Developed Global Innovation Mapping Pace-Setters Leaders in Innovation Formation of next generation clusters Starters Adopters Adapters Adepters Fusion of clusters in key sectors of the economy. Innovation transcend national border Attraction of Innovation-driven firms Many linkages. Formation of clusters Few local innovative firms. Few linkages and fragmented. Most innovation by foreign firms Very few local innovative firms and very few linkages with foreign Firms. Number of foreign firms undertaking innovation low. }Environment to support innovation non-existent. Disincentive for foreign firms to bring in technology and knowledge. Weak Foundation Condition Highly Developed Source: M Nair, 2008 Innovative Capacity Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Germany Denmark Australia Costa Rica Malta Pakistan Armenia Georgia Japan Austria Slovenia Hungary Mexico Trinidad and Tobago Uganda Moldova Switzerland Netherlands Puerto Rico Qatar Philippines Kazakhstan Burkina Macedonia, Faso FYR Sweden France Spain Uzbekistan Croatia Argentina Cambodia Albania New States Kingdom Zealand Oman Greece Uruguay Tajikistan Nicaragua Finland Belgium Czech Sri Lanka Panama Honduras Guyana Nepal Korea, Rep. Singapore India Poland Latvia Russian Kyrgyz Federation Suriname Taiwan Norway Tunisia Thailand Kenya Benin Mali Mongolia Israel Canada Chile Slovak Guatemala Bulgaria Cameroon Paraguay Hong Kong Arab Dominican Bosnia and China Barbados Libya SAR Emirates Herzegovina Iceland South Africa Jordan Morocco Vietnam Algeria Ethiopia Malaysia Kuwait. Ukraine Mauritius Mauritania Bangladesh Bolivia Luxembourg Lithuania Azerbaijan Bahrain Gambia, The Mozambique Ireland Brazil Egypt Colombia Serbia Zambia Italy Portugal Romania Peru Tanzania Chad Saudi Arabia Syria Venezuela Timor-Leste Estonia Jamaica Ecuador Zimbabwe Turkey EI Salvador Madagascar Burundi Indonesia Nigeria Botswana Lesotho Senegal Montenegro Namibia FACTORS 1. Firm-level technology absorption 2. Local supplier quality 7. Production process sophistication 3. State of cluster development 8. Extent of marketing 4. Nature of competitive advantage 9. Local availability of process machinery 5. Value chain breadth 10. Capacity of innovation 6. Control of international distribution 11. Utility Patents (Hard data) Source: Mahendhiran Nair, 2008 Tengku Mohd Azzman Shariffadeen Page 6

7 Maqasid al Shari ah (the purpose of the shari ah) The very objective of the Shari ah is to promote the well-being of the people, which lies in safeguarding their faith (din), their self (nafs), their intellect ( aql), their posterity (nasl) and their wealth (mal). Whatever ensures the safeguard of these five serves public interest and is desirable and whatever hurts them is against public interest and its removal is desirable. Din Personal change Nafs Knowledge Society Knowledge-driven individuals Aql Intellectual Assets Knowledge for human development Equitable Knowledge Economy Mal Wealth for All Family solidarity and Ecological balance Nasl Community Well-being and Environmental Sustainability Tengku Mohd Azzman Shariffadeen Page 7

8 Charting the Way Forward Human attitudes and values drive Knowledge Society development Knowledge Economy needs supportive Knowledge Society Visionary approach touching on worldview (soft touch and hi touch) enables broad participation and inclusion of diverse groups Spiritual dimension essential in life-changing strategies Emerging world order - knowledge-based civilisation manifests inter-dependence and inter-connectedness of diverse communities and civilisations based on mutual understanding and respect END thank you for your attention Tengku Mohd Azzman Shariffadeen Page 8

9 Supplementary materials Knowledge for Development: The World is undergoing a Sea Change ECONOMY Transformation of economies from industrial to knowledge based economic value is a function of knowledge intensity Knowledge based economy is an economy of innovation GOVERNANCE CULTURE Pervasive access to information flattens organizational hierarchies Ubiquitous global communication heightens citizen expectations leading to demand for more democratization and active participation Global Internet governance system is changing the traditional economic, social and political mechanisms in place Cultural identity and sovereignty being redefined through borderless communication of content which embed value systems Tengku Mohd Azzman Shariffadeen Page 9

10 Information & Communication Technology (ICT) envisioned as the means to leapfrog Malaysia from an industrial society to a post-industrial one, bypassing the developed society phase of the industrial model In 1994 the NITC was formed to drive ICT utilization for national development. It was chaired by the Prime Minister and MIMOS was the secretariat, the secretary being the President/CEO of MIMOS The NITC strategic coordination framework (shown here) facilitates top-down strategic interventions, cooperation and collaboration, as well as cross-sectoral planning for seeding and nurturing innovation Note that the tri-sectoral multi-stakeholder partnership between the public, private and community sectors is founded upon good governance (G) Tengku Mohd Azzman Shariffadeen Page 10

11 In national development, ICT can be said to play a dual role; one, as a production sector, and two as an enabler. Malaysia s new development context embraces both roles of ICT. ICT as a new sector of growth to achieve development goals and value creation ICT as a strategic enabler in moving Malaysia towards Knowledge Society and Knowledge Economy Taking cognizance of the ICT s dual role, a three-phased migration strategy towards attaining Vision 2020 was identified to provide overall guidance for development. Vision 2020 nine challenges The first of these is the challenges of establishing a united Malaysian nation with a sense of common and shared destiny. This must be a nation at peace with itself, territorially and ethnically integrated, living in harmony and full and fair partnership, made up of one 'Bangsa Malaysia' with political loyalty and dedication to the nation. The second is the challenge of creating a psychologically liberated, secure, and developed Malaysian Society with faith and confidence in itself, justifiably proud of what it is, of what it has accomplished, robust enough to face all manner of adversity. This Malaysian Society must be distinguished by the pursuit of excellence, fully aware of all its potentials, psychologically subservient to none, and respected by the peoples of other nations. The third challenge we have always faced is that of fostering and developing a mature democratic society, practising a form of mature consensual, community-oriented Malaysian democracy that can be a model for many developing countries. The fourth is the challenge of establishing a fully moral and ethical society, whose citizens are strong in religious and spiritual values and imbued with the highest of ethical standards. The fifth challenge that we have always faced is the challenge of establishing a matured,liberal and tolerant society in which Malaysians of all colours and creeds are free to practise and profess their customs,cultures and religious beliefs and yet feeling that they belong to one nation. The sixth is the challenge of establishing a scientific and progressive society, a society that is innovative and forward-looking, one that is not only a consumer of technology but also a contributor to the scientific and technological civilisation of the future. The seventh challenge is the challenge of establishing a fully caring society and a caring culture, a social system in which society will come before self, in which the welfare of the people will revolve not around the state or the individual but around a strong and resilient family system. The eighth is the challenge of ensuring an economically just society. This is a society in which there is a fair and equitable distribution of the wealth of the nation, in which there is full partnership in economic progress. Such a society cannot be in place so long as there is the identification of race with economic function, and the identification of economic backwardness with race. The ninth challenge is the challenge of establishing a prosperous society, with an economy that is fully competitive, dynamic, robust and resilient. Tengku Mohd Azzman Shariffadeen Page 11

12 ICT is a powerful Game Changer. It has led to cyberspace access to global market fluid money greater communication & collaboration access to vast amounts of information prospect of creating a Digital Divide new environment of control - new businesses & new business models more markets and greater competition faster online transactions greater knowledge flows and increased innovation faster and greater learning greater disparity between the haves and have-nots ; potential negative side Key Question: How do we direct and focus ICT for positive development? Impact of information, knowledge and ICT Information & Knowledge bring about: Openness Connectivity Accessibility Democratization Transparency Decentralization ICT brings about the networking of: People Ideas Activities Processes Innovations Hence, economic and social transformation a paradigm shift Adapted from: UNDP-APDIP & GKP 2003 Tengku Mohd Azzman Shariffadeen Page 12

13 Addressing Social Transformation National IT Agenda from ripples to tidal waves the tri-sectoral multi-stakeholder governance model is evolutionary Comm unity Interest Sector Public Sector Traditional Model of Governance Private Sector Public Sector Comm unity Interest Sector Private Sector Malaysia Inc. Model of Governance Comm unity Interest Sector Public Sector Private Sector Convergence Model of Governance for the Information Age Governance Agenda - Orderly Transition and Transformation Tengku Mohd Azzman Shariffadeen Page 13

14 NITA is operationalised using the Five E-thrusts Model G Good governance (G) is the end result of being able to bring together the interests of the public, private and community sectors in the context of development through learning (and unlearning and relearning) whilst at the same time, protecting our national sovereignty Jump-starting the Knowledge Economy Multimedia Super Corridor Tengku Mohd Azzman Shariffadeen Page 14

15 Export-oriented industrial growth then pursued would not take Malaysia to Vision 2020 economic targets Information and Communication Technology (ICT) became the vehicle to make the quantum jump The MSC Strategy: Leapfrogging Malaysia s development Tengku Mohd Azzman Shariffadeen Page 15

16 MSC Seven Flagship Applications e-government Smart Schools Tele-health R&D clusters Multi-purpose card e-business Technopreneur development And two special initiatives Creative multimedia cluster Outsourcing and shared services centre Cyberlaws and Intellectual Property Laws Communications and Multimedia Act 1998 Malaysian Communications and Multimedia Commission Act 1998 Digital Signature Act 1997 Computer Crimes Act 1997 Telecommunications Act 1997 Optical Discs Act 2000 Copyright Act 1987 Trade Marks Act 1976 Patents Act 1983 Industrial Designs Act 1996 Layout Designs of Integrated Circuits Act 2000 Geographical Indicators Act 2000 Trade Description Act 1972 Intellectual Property Corporation of Malaysia Act 2002 E-commerce Act 2006 Tengku Mohd Azzman Shariffadeen Page 16

17 MSC Bill of Guarantees Provide a world-class physical and information infrastructure Allow unrestricted employment of local and foreign knowledge workers Ensure freedom of ownership by exempting companies with MSC status from local ownership requirements Give the freedom to source capital globally for MSC infrastructure, and the right to borrow funds globally Provide competitive financial incentives, including no income tax for up to 10 years or an investment tax alllowance, and no duties on import of multimedia equipment Become a regional leader in intellectual property protection and cyberlaws Ensure no Internet censorship Provide globally competitive telecommunications tariffs Tender key MSC infrastructure contracts to leading companies willing to use the MSC as their regional hub Provide an effective one-stop agency Multimedia Development Corporation Physical Infrastructure Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Germany Canada Arab Czech Emirates Uruguay Serbia Mali Zimbabwe France Austria Iceland Estonia Turkey Algeria Argentina Tanzania Singapore Malaysia Barbados Namibia Sri Lanka Poland Cambodia Guyana Denmark Norway Thailand Slovenia Honduras Kazakhstan Vietnam Senegal Hong Kong New Korea, Rep. SAR Zealand Lithuania Guatemala Georgia Ecuador Benin Switzerland Taiwan Chile Slovak India Zambia Peru Madagascar Netherlands Macedonia, Burkina Oman Latvia Mexico Kingdom FYR Faso Bangladesh Belgium Luxembourg Puerto Rico Greece Gambia, The Colombia Venezuela Uganda Japan Spain Bahrain Ireland Ethiopia Philippines Moldova Suriname Finland Australia Saudi Arabia Azerbaijan Russian Federation Bulgaria Bolivia Nigeria Sweden Portugal South Africa Botswana Pakistan Indonesia Libya Nepal States FACTORS: 1. Quality of Roads 2. Quality of Railroad Infrastructure 3. Quality of Port Infrastructure 4. Quality of Air Transport 5. Quality of Electricity Supply Israel Qatar Uzbekistan Dominican Kyrgyz Armenia Lesotho Tunisia Kuwait. Croatia Trinidad and Tobago Brazil Mozambique Nicaragua Jordan Morocco Syria Ukraine Mauritania Tajikistan Panama Hungary Kenya Costa Rica Bosnia and Herzegovina Mongolia Mauritius Italy Montenegro Romania Cameroon EI Salvador China Albania Malta Egypt Burundi Jamaica Paraguay Chad Timor-Leste Source: Mahendhiran Nair, 2008 Tengku Mohd Azzman Shariffadeen Page 17

18 Infostructure Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Iceland Israel New Zealand Lithuania Mauritius Poland China Costa Rica Sweden Luxembourg Slovenia Slovak Turkey Serbia Algeria Guyana Netherlands Austria Italy Arab Macedonia, Uruguay Emirates FYR Moldova Ecuador Denmark Kingdom Spain Bahrain Brazil Romania Georgia Mongolia Switzerland Singapore Portugal Hungary Mexico Argentina Azerbaijan Suriname Hong Kong Czech Russian Germany Latvia Peru SAR Federation Vietnam Paraguay Norway Japan Ireland Jamaica Tunisia Bulgaria Sri Lanka Nicaragua Korea, Rep. Estonia Malta Malaysia Morocco Saudi Arabia Namibia Zimbabwe Finland Australia Puerto Rico Croatia Dominican Venezuela Bolivia Honduras Canada Belgium Barbados Chile Jordan South Africa Mauritania Armenia States France Qatar Colombia Trinidad and Kyrgyz Senegal Tobago Bosnia and Herzegovina Syria Libya Greece Panama Oman Indonesia Kenya Philippines Ukraine Pakistan Benin Guatemala Gambia, The Cambodia Egypt Nigeria Bangladesh India Uzbekistan Burkina Faso Zambia Madagascar Taiwan Kuwait. EI Salvador FACTORS: Quality of Telephone Infrastructure Mobile Telephone Subscribers (Hard data) Internet Users (Hard data) Personal Computers (Hard Data) Broadband Internet Subscribers (Hard data) Tanzania Mali Mozambique Tajikistan Source: Mahendhiran Nair, 2008 Intellectual Capital Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Switzerland France Estonia Slovak Brazil Botswana Georgia Dominican States Ireland Indonesia Latvia Colombia Vietnam Zimbabwe Cambodia Finland Iceland Costa Rica Croatia Philippines Azerbaijan Gambia, The Tajikistan Sweden Norway Qatar Jordan Mexico EI Salvador Mongolia Suriname Singapore Hong Kong Macedonia, Slovenia Poland Kazakhstan SAR FYR Syria Nepal Denmark Australia Luxembourg Turkey South Africa Uganda Algeria Mozambique Canada Malaysia Thailand Russian Federation Mauritius Egypt Moldova Ethiopia Belgium Taiwan Puerto Rico Sri Lanka Bahrain Pakistan Madagascar Ecuador Netherlands Tunisia Chile China Argentina Benin Bosnia and Herzegovina Nicaragua Korea, Rep. New Zealand Lithuania Morocco Senegal Tanzania Mali Guyana Austria India Spain Greece Uruguay Venezuela Armenia Albania Germany Czech Arab Burkina Uzbekistan Jamaica Honduras Emirates Faso Namibia Israel Portugal Kenya Montenegro Peru Cameroon Bangladesh Japan Barbados Romania Bulgaria Kyrgyz Bolivia Trinidad and Malta Kingdom Tobago Panama Zambia Mauritania Hungary Italy Nigeria Libya Lesotho Oman Saudi Arabia Guatemala Burundi Kuwait. Serbia Paraguay Source: Mahendhiran Nair, 2008 Ukraine Chad Timor-Leste FACTORS: 1. Quality of Education system 2. Quality of Math & Science education 6. Extent of staff training 3. Quality of Management schools 7. Brain drain 4. Internet Access in schools 8. Availability of scientist & engineers 5. Local availability of specialized research & training services 9. Quality of research institutions Tengku Mohd Azzman Shariffadeen Page 18

19 Incentives Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Hong Kong Sweden India Jordan EI Salvador Azerbaijan Cambodia Nicaragua SAR Germany Singapore Qatar China Vietnam Bulgaria Paraguay Denmark Switzerland Bahrain Costa Rica Croatia Tanzania Serbia Czech Finland Saudi Arabia Poland Namibia Venezuela Kingdom Burkina Austria Puerto Rico Guatemala Kazakhstan Syria States Faso Netherlands Korea, Rep. Thailand Philippines Trinidad and Ukraine Madagascar Tobago Ireland Malaysia Tunisia Peru Uzbekistan Uganda Benin Belgium Taiwan Slovenia Kenya Morocco Georgia Senegal Australia Luxembourg Spain Mexico Egypt Dominican Tajikistan France Japan Lithuania Panama Colombia Uruguay Bosnia and Herzegovina Norway Chile Portugal Italy Barbados Macedonia, Guyana FYR Indonesia South Africa Romania Moldova Mongolia New Kuwait. Nigeria Bangladesh Nepal Zealand Estonia Oman Botswana Argentina Kyrgyz Israel Hungary Russian Cameroon Federation Iceland Sri Lanka Pakistan Zimbabwe Arab Malta Jamaica Ecuador Emirates Canada Latvia Gambia, The Mauritania Slovak Turkey Brazil Mali Mauritius Montenegro Algeria Greece Honduras Libya FACTORS: 1. Intensity of local competition 9. Flexibility of wage determination 2. Extent & effect of taxation 10. Pay and productivity 3. Prevalence of trade barriers 11. Financing through equity market 4. Business impact of rules on FDI 12. Ease of access to loans 5. Burden of custom procedures 13. Venture capital availability 6. Degree of customer orientation 14. Extent of incentive compensation 7. Extent of regional sales 15. Company spending on R&D 8. Breath of international markets Zambia Armenia Bolivia Ethiopia Albania Suriname Mozambique Lesotho Burundi Timor-Leste Chad Source: Mahendhiran Nair, 2008 Interaction Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 States Singapore Indonesia South Africa Mexico Greece Kuwait. Slovenia Israel Switzerland Thailand Spain Jordan Croatia Oman Russian Federation Ireland Sweden Slovak Sri Lanka Panama Namibia Gambia, The Syria Kingdom Taiwan Costa Rica Kenya Guatemala Poland Mauritania Bangladesh Canada Netherlands Qatar Brazil Dominican Italy EI Salvador Ukraine Germany Denmark Arab Emirates Turkey Philippines Montenegro Botswana Mongolia Finland Malaysia Puerto Rico Uganda Pakistan Argentina Kazakhstan Benin Australia Hong Kong Czech SAR Jamaica Bahrain Uruguay Senegal Tajikistan New Zealand Japan Luxembourg France Latvia Venezuela Mali Algeria Korea, Rep. Norway Estonia Trinidad and Burkina Macedonia, Saudi Arabia Mozambique Tobago Faso FYR Belgium Austria Tunisia Morocco Mauritius Bulgaria Georgia Zimbabwe Iceland Hungary China Barbados Cambodia Armenia Libya Portugal Nigeria Egypt Ethiopia Albania Ecuador India Peru Colombia Guyana Madagascar Kyrgyz Chile Romania Tanzania Suriname Cameroon Bosnia and Herzegovina Uzbekistan Serbia Lithuania Timor-Leste Nicaragua Bolivia Malta Nepal Zambia Moldova Lesotho FACTORS: 1. Cooperation in labor-employer relations 2. FDI and technology transfer 3. Prevalence of foreign technology licensing 4. University-industry research collaboration Azerbaijan Honduras Vietnam Burundi Paraguay Chad Source: Mahendhiran Nair, 2008 Tengku Mohd Azzman Shariffadeen Page 19

20 Institutions Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Germany Singapore Malta Lithuania Uzbekistan Romania Dominican Zimbabwe Denmark Iceland Puerto Rico Namibia Gambia, The Mali Tajikistan Russian Federation Finland Hong Kong Macedonia, Bahrain Panama Morocco China SAR FYR Serbia Switzerland States Barbados Turkey Uruguay Benin Nicaragua Mozambique Sweden Japan Spain Slovak Pakistan Honduras Armenia Argentina Austria South Africa India Costa Rica Zambia Kazakhstan Nepal Moldova Netherlands Malaysia Jordan Czech Egypt Algeria Suriname Venezuela Australia Korea, Rep. Taiwan Saudi Arabia Poland Vietnam Libya Guyana Norway Israel Mauritius Botswana Philippines Syria Ukraine Burkina Estonia Thailand Sri Lanka Kingdom Faso Guatemala Cambodia New Zealand Portugal Oman Latvia EI Salvador Georgia Cameroon Canada Chile Hungary Jamaica Trinidad and Bosnia and Senegal Tobago Herzegovina Ireland Qatar Greece Brazil Indonesia Mauritania Ecuador France Tunisia Kuwait. Italy Tanzania Uganda Lesotho Luxembourg Arab Emirates Slovenia Colombia Kenya Madagascar Mongolia Belgium Croatia Peru Bulgaria Bangladesh Mexico Montenegro Ethiopia Albania Nigeria Azerbaijan Bolivia FACTORS: 1. Property rights 2. IP protection 3. Judicial independence 4. Burden on government regulation 5. Efficiency of legal framework 10. Effectiveness of anti-monopoly policy 6. Reliability of police services 11. Financial market sophistication 7. Strengths of auditing and reporting Standards 12. Soundness of banks 8. Protection of minority shareholders interests 13. Regulation of securities exchange 9. Stringency of environmental regulations 14. Laws relating to ICT Burundi Kyrgyz Paraguay Timor-Leste Chad Source: Mahendhiran Nair, 2008 Integrity Band 1 Band 2 Band 3 Band 4 Band 5 Band 6 Band 7 Band 8 Finland Arab Emirates Portugal Puerto Rico Morocco Colombia Poland Nicaragua Denmark Kingdom Bahrain India Georgia EI Salvador Pakistan Suriname Singapore Ireland Jordan Greece Algeria Burkina Faso Moldova Lesotho New Slovak Qatar Oman Zealand Kazakhstan Mexico Italy Ukraine Sweden Canada Estonia Costa Rica Vietnam Guatemala Cambodia Albania Iceland Belgium Malta Latvia Syria Honduras Serbia Bulgaria Norway Tunisia Taiwan Tanzania Ethiopia Zambia Macedonia, FYR Romania Switzerland Malaysia Slovenia Turkey Mali Philippines Armenia Bosnia and Herzegovina Germany Barbados Uruguay Egypt China Peru Russian Federation Nepal Australia France Saudi Arabia Lithuania Azerbaijan Madagascar Senegal Mongolia Netherlands Chile Indonesia Croatia Mauritania Benin Zimbabwe Bolivia Austria Japan Spain Sri Lanka Tajikistan Jamaica Burundi Cameroon Hong Kong Czech Kyrgyz Korea, Rep Gambia Libya Nigeria Argentina SAR Luxembourg Israel Botswana Montenegro Kenya Mozambique Dominican Trinidad and Kuwait. Hungary States Tobago Uganda Ecuador South Africa Thailand Namibia Guyana Bangladesh Mauritius Panama Brazil Timor-Leste Uzbekistan Paraguay Chad Venezuela FACTORS Source: Mahendhiran Nair, Diversion of public funds 2. Public trust of politicians 7. Organized crime 3. Favoritism in decisions of Government officials 8. Ethical behavior of firms 4. Wasteful of government spending 9. Efficacy of Corporate Boards 5. Transparency of government policy making 10. Business Costs of corruption 6. Business costs of crime and violence 11. Reliance on Professional Management Tengku Mohd Azzman Shariffadeen Page 20

21 Systems View of Maqasid Din Personal change Din (faith) Provides strategic vision, intent and purpose Shapes values, mindset, attitudes and behaviour Protection of life, property and honour of every individual Promotes socio-economic justice and hinders injustice) Provides foundation for enabling environment to development Din Personal change Nafs Knowledge Society Knowledge-driven individuals Nafs (self) Change begins from within Man created in Creator s image: good by nature Entrusted with resources to fulfill needs of all Given freedom, conscience, intellect and Divine Guidance Tengku Mohd Azzman Shariffadeen Page 21

22 Din Personal change Nafs Knowledge Society Knowledge-driven individuals Aql Intellectual Assets Knowledge for human development Aql (intellect) Revelation and reason interdependent, both necessary Belief system reinforced by reason Education obligatory to train the intellect Din Personal change Nafs Knowledge Society Knowledge-driven individuals Aql Intellectual Assets Knowledge for human development Equitable Knowledge Economy Mal Wealth for All Mal (wealth) Trust from God, to be used for human well-being and environmental protection A balanced life: social, economic and spiritual objectives desired Equitable distribution and poverty eradication encouraged Tengku Mohd Azzman Shariffadeen Page 22

23 Din Personal change Nafs Knowledge Society Knowledge-driven individuals Aql Intellectual Assets Knowledge for human development Nasl (posterity) Mal Continuous improvement: physically, mentally and spiritually Solidarity of family: basic unit of society Moral and technical education Health and basic need fulfillment Clean and healthy environment Wealth for All Nasl Community Well-being and Environmental Sustainability Equitable Knowledge Economy Family solidarity and Ecological balance Strategic thrusts from Maqasid al Shar iah perspective Din Nafs Aql Mal Nasl Strategic vision, intent and purpose of Knowledge Society Personal change in mindset, attitudes and behaviour as basis to build Knowledge Society Strategic management to realise Knowledge Society and production of intellectual assets Use of knowledge to develop equitable Knowledge Economy with wealth (spiritual,social and material) for all Safeguarding interests of present and future generations by enhancing family and social solidarity and preserving ecological balance Tengku Mohd Azzman Shariffadeen Page 23