Negligence of the board of directors is the main reason of the down fall of MTCC. Why? Here area some of many reasons;
• No feasibility studies were done to commit on some of the most costly projects. (TSD- Mid province transportation, MREIC- mission and vision, stc…)
• NO updated business plan in hand
• A budget without a business plan
• Committees: most committees has a board director who has no time.
• Directors with no intention to develop and maintain the company’s growth
• Too many unnecessary jobs with un reasonable salaries (too many deputy directors)
• NO Accountability. (untouchable MD)
• NO Money in the company


4 ޚިޔާލުތައް (+add yours?)

  1. jet
    ޑިސެންބަރު 24, 2009 @ 01:28:45

    board of directors msut take necessary action to maintain this company for the next generation. Or else she will be disappeared in thin air wiithout knowing. Save it to for the pepole of the maldives.Show oyur courage and commitment and bring us back on line of success.


  2. cat
    ޑިސެންބަރު 23, 2009 @ 01:09:43

    a master piece,, keep it up guys…


  3. Amber Spencer
    ޑިސެންބަރު 22, 2009 @ 15:17:23

    “NO Money in the company”-bottomline


  4. Mike Jacobs
    ޑިސެންބަރު 22, 2009 @ 14:30:24

    As said in the article, negligence of the board is partly the reason of MTCC’s down fall. We, the employees see the board as a responsible yet independent authority to control activities of the Company. May be our expectations are too high or the board is controlled by even a higher authority.

    I wonder whether the board study carefully the business plan and questions the senior management of the budget they’ve compiled for the coming years. If the board is just there to see what is going on without taking the necessary precautions and actions, they are not different from the security guards we have.

    I for one, have seen a budget prepared in the absence of a business plan. How could anyone see incomes and expenses without having a way to acquire or spend money. Are we operating a company in wonderland?

    As the writer highlighted, there were no feasibility studies conducted in commencing most risky projects. Without having estimated the risks and comparing it with the likely returns, who in his/her sand mind would make a decision to go forward with the project?
    As we see most of the projects mentioned by the writer are comparatively high risk/ low return projects, I would want to ask the board, who would take the responsibility of all this crap? Is the public, who own half of the shares of the company shall remain quite and take all the responsibilities while the people whom they trusted the most violated the simple rules in governing the board by neglecting the actions of the senior management are not responsible?

    It is known to the board that most of the directors in MTCC are highly paid staff of other companies. Even some of them are holding shares from strong competitors of MTCC. Under the corporate governance code and code of ethics set by CMDA, they shall be either terminated or resigned from their MTCC job if they decided to remain in the competitors payroll. How could we expect any positive feed back from such directors to the growth of the company?

    The Company is in a shaky position when look into the structure. Too many Senior management positions, especially deputy directors and managers. Lots of unwanted departments with director/deputy directors to head each and every department make the company unhealthy. The board has a role in bringing these issues forward and if applicable, merge some departments that are too small to run independently and cut short the number of managers and deputy directors.

    Still the corporate focus is concave and cover few areas for growth. Most of the projects planned for the following year are company own projects that do not bring incomes to the company. As the law of business says ‘no money – no honey’, our corporate focus need to be more divergent to invest in profitable ventures rather than shaking the boody boody within the company.

    Finally, if the board needs its presence in all the committees please put someone who has time to attend the meetings and contribute well. Please do not try to live the easy life as most of the board directors did in the past – contribute yourself fully and try to make some difference.


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