SMRT vs Saw Phaik Hwa vs LTA vs Temasek vs Govt

[scroobal]

As the title suggest there are too many stakeholders pulling from various sides on a single national entity that has become a daily and important feature of nearly everyone in Singapore. Multiple agendas are never good. These are little snippets.

Couple of noteworthy points to consider. Please add on.

• SMRT is a listed business and majority owned by Temasek. They do not own the infrastructure. They have leased it from LTA for 30 years. They have no interest in the infrastructure. When overcrowding became a safety issue at Jurong East, this lady could not be bothered. She did not build the infrastructure and any additional build work was the responsibility of the LTA.
• Besides trains, SMRT operates Light rail, buses and taxis. They also consider two other businesses as revenue streams and this is where Saw Phaik Hwa comes in.
• Both rental and advertising are major revenue streams. Saw was recruited in 2002 via headhunters. At that time, she had no notable links to the establishment.
• SMRT was incorporated in 2000 and came under majority control of Temasek. It was time to make money. They assumed that as the infrastructure was completed and they could rely on LTA to build the next phases of the line, the focus turned to other revenue streams. A simple terms, you just switch on and off the train switch as Singapore's history on infrastructures were pretty solid.
• So the role remit was focused on rental and advertising for the new CEO. As MRT stations are not suitable for offices but shops, the natural incline was to look at that industry.
• So in comes this Lady and in 2 years she launches Raffles Xchange as the new shopping experience for Singaporeans. Both Advertising and Rentals have done well and the occupancy rate is close to 99%.

Most people are aware of deteriorating quality of MRT and they have accepted it past of the overall drop in standards across govts. One recent trivial incidents explains this quite well - the Ah Tiong bus driver who took instructions from control and went on 2 hr jaunt across the island. Thursday's incidents showed how badly it was when an incident management was completely missing. People were stranded, no comms, no idea and no one in the house.

We have also assumed that MRT was one single entity but it is not. The Govt made a singular mistake by treating it as a business and not a politically sensitive icon that it is. It reflects badly on the new generation of politicians. I do remember when old man told the press that PSA workers striking is treason. As it was the lifeblood of a fledgling nation, he was right. It now all about helping Temasek to look good.

As to Saw, this lady has been wrongly associated with the establishment and people within and outside have placed to much of value in her. Sadly she has used it to the hilt and she is now truly in the establishment. She now holds key and influential positions outside SMRT.

It about time LTA separates rentals, advertising and non train activities from the train services and let go of the taxi and bus services. If SIA was to run along these lines, it would have gone up in flames. SIA has no interest in Changi Airport rentals and there is a reason why and they are their main customer. Some people call it common sense.

 

[TracyTan866]

good insight into the history and operations of SMRT. I agree that SMRT shd focus on day to day operations of buses and trains and shd not be involved with rentals of shops. it will be interesting to see how this lady survive the recent turmoils.

 

[GoldenDragon]

good insight into the history and operations of SMRT. I agree that SMRT shd focus on day to day operations of buses and trains and shd not be involved with rentals of shops. it will be interesting to see how this lady survive the recent turmoils.

The greed of those involved has no boundaries. Trust me, Saw will survive and survive well. Musical chairs can always be played. Lots of well paid jobs await her in GLCs.

 

[TracyTan866]

The greed of those involved has no boundaries. Trust me, Saw will survive and survive well. Musical chairs can always be played. Lots of well paid jobs await her in GLCs.

The pap has four years to rip off what they want. But Singaporeans must remember this in 2016

 

[scroobal]

I would agree normally and admission of guilt is never in their vocab. But this must a political opportunity not to be missed. If the son can kowtow for votes, this might be another opportunity.

The greed of those involved has no boundaries. Trust me, Saw will survive and survive well. Musical chairs can always be played. Lots of well paid jobs await her in GLCs.

 

[Nice-Gook]

A good thread.

Also the basis of our other problems like housing and medical-care.This goes to the root of that.Which begets the question as the custodian of peoples welfare should government engage itself in enterprises.

 

[Summerbee]

You don't get paid 1.83 million a year doing these, it was a controlled business environment. It looked like an open market hire, but she had absolutely no prior experience at the same level of responsibility.

People with real jobs have to fly at short notices, offer lots of favours and attend lots of drinking sessions just to be part of a deal. That is not be the type of environment SMRT CEO have to work in. Working life is hard. To earn that kind of money year in year out in such a protected business environment is sinful. To be rude in reply and arrogant in attitude only make things worse. If you ever watch those mobile TVs in MRT station, you see her own glamorous videos all the time.

What you are writing are hard info. When the ground sentiment is so strong and so many people are angry, something clearly is not right.

As the title suggest there are too many stakeholders pulling from various sides on a single national entity that has become a daily and important feature of nearly everyone in Singapore. Multiple agendas are never good. These are little snippets.

Couple of noteworthy points to consider. Please add on.

• SMRT is a listed business and majority owned by Temasek. They do not own the infrastructure. They have leased it from LTA for 30 years. They have no interest in the infrastructure. When overcrowding became a safety issue at Jurong East, this lady could not be bothered. She did not build the infrastructure and any additional build work was the responsibility of the LTA.
• Besides trains, SMRT operates Light rail, buses and taxis. They also consider two other businesses as revenue streams and this is where Saw Phaik Hwa comes in.
• Both rental and advertising are major revenue streams. Saw was recruited in 2002 via headhunters. At that time, she had no notable links to the establishment.
• SMRT was incorporated in 2000 and came under majority control of Temasek. It was time to make money. They assumed that as the infrastructure was completed and they could rely on LTA to build the next phases of the line, the focus turned to other revenue streams. A simple terms, you just switch on and off the train switch as Singapore's history on infrastructures were pretty solid.
• So the role remit was focused on rental and advertising for the new CEO. As MRT stations are not suitable for offices but shops, the natural incline was to look at that industry.
• So in comes this Lady and in 2 years she launches Raffles Xchange as the new shopping experience for Singaporeans. Both Advertising and Rentals have done well and the occupancy rate is close to 99%.

Most people are aware of deteriorating quality of MRT and they have accepted it past of the overall drop in standards across govts. One recent trivial incidents explains this quite well - the Ah Tiong bus driver who took instructions from control and went on 2 hr jaunt across the island. Thursday's incidents showed how badly it was when an incident management was completely missing. People were stranded, no comms, no idea and no one in the house.

We have also assumed that MRT was one single entity but it is not. The Govt made a singular mistake by treating it as a business and not a politically sensitive icon that it is. It reflects badly on the new generation of politicians. I do remember when old man told the press that PSA workers striking is treason. As it was the lifeblood of a fledgling nation, he was right. It now all about helping Temasek to look good.

As to Saw, this lady has been wrongly associated with the establishment and people within and outside have placed to much of value in her. Sadly she has used it to the hilt and she is now truly in the establishment. She now holds key and influential positions outside SMRT.

It about time LTA separates rentals, advertising and non train activities from the train services and let go of the taxi and bus services. If SIA was to run along these lines, it would have gone up in flames. SIA has no interest in Changi Airport rentals and there is a reason why and they are their main customer. Some people call it common sense.

 

[scroobal]

No sure if you got my point or I got your point. The single important thing is the train component. It is key to all things running fine in this country. They should have focused on the trains. They got the wrong person. Until their focus returns to the trains, nothing is going to improve.

You don't get paid 1.83 million a year doing these, it was a controlled business environment. It looked like an open market hire, but she had absolutely no prior experience at the same level of responsibility. People with real jobs have to fly at short notices, offer lots of favours and attend lots of drinking sessions just to be part of a deal. That is not be the type of environment SMRT CEO have to work in. Working life is hard. To earn that kind of money year in year out in such a protected business environment is sinful. To be rude in reply and arrogant in attitude only make things worse. If you ever watch those mobile TVs in MRT station, you see her own glamorous videos all the time. What you are writing are hard info. When the ground sentiment is so strong and so many people are angry, something clearly is not right.

 

[coolguy]

I am very disappointed with the way SMRT handle last nite incident.
If they could not handle this small issue effectively, imagine if one day the train suffer from a terrorist attack,
what are they going to do?
I tremble whenever I think of this.

 

[kingrant]

In Singapore, under the PAP, everything has or is about to be turned into a business that must generate its own profits to cover costs or pay market rates. Public housing used to be based on a socialist rationale. see what it has become? Next was public service. hence fat cat pay for the PM and his Cabinet and civil service. Healthcare threatens to be next. When hospitals have to make money to wean themselves off state funding, cost to the patients will go up. Education will also become victim if universities care more about revenues than teaching, and prefer foreigners over citizens becos of the higher fees they pay. When they lose the focus, the natural tendency is to fatten the pig and line yr own pockets at the expense of innocent and guileless citizens.

Even the GDP is being played because on it is based the pay for the fatcats. grow it at all costs by bringing in hordes of cheap labour and wanking up the volumes. never mind the discomfort of the locals. same syndrome as those with snouts in Wall St. That's cos the GDP is their KPIs.

 

[Summerbee]

Oh, I am talking more about the CEO herself. No operations can be perfect, I trust Singaporeans are reasonable enough. I feel people are angered by the huge disparity in income level between the current public executive tier and the normal working class.

No sure if you got my point or I got your point. The single important thing is the train component. It is key to all things running fine in this country. They should have focused on the trains. They got the wrong person. Until their focus returns to the trains, nothing is going to improve.

 

[Summerbee]

Yes true, alot of changes cannot be reversed again. It is irony that more and more people who are opposing the current pap regime is actually trying to keep the good old values from disappearing.

In Singapore, under the PAP, everything has or is about to be turned into a business that must generate its own profits to cover costs or pay market rates. Public housing used to be based on a socialist rationale. see what it has become? Next was public service. hence fat cat pay for the PM and his Cabinet and civil service. Healthcare threatens to be next. When hospitals have to make money to wean themselves off state funding, cost to the patients will go up. Education will also become victim if universities care more about revenues than teaching, and prefer foreigners over citizens becos of the higher fees they pay. When they lose the focus, the natural tendency is to fatten the pig and line yr own pockets at the expense of innocent and guileless citizens.

Even the GDP is being played because on it is based the pay for the fatcats. grow it at all costs by bringing in hordes of cheap labour and wanking up the volumes. never mind the discomfort of the locals. same syndrome as those with snouts in Wall St. That's cos the GDP is their KPIs.

 

[kingrant]

The CEO must always know and focus on what is the core business, without ignoring externalities and their impact on the environment. The fish needs the environment, so also the environment needs the fish, for mutual support and symbiosis.

Govt leaders similarly have to focus on their wider key functions to manage a country, infrastructure, an economy, security, a healthy budget and their obligations to the citizenry.

No sure if you got my point or I got your point. The single important thing is the train component. It is key to all things running fine in this country. They should have focused on the trains. They got the wrong person. Until their focus returns to the trains, nothing is going to improve.

 

[kingrant]

You know the corporate culture in SMRT has become so greedy by that insensitive Income Opportunity message to their taxi fleets on a public bulltin board. So many thousands of commuters are inconvenienced, trapped and lost, and here their people can only think of making more money.

 

[CannonFairy]

Their retail shop fronts are extremely profitable for SMRT group. If I may recall, the lease for the SMRT shops are non-renewable, each tenure is two (or three?) years. Before the lease is up, SMRT would call for bid to lease the shop to the highest bidder. A small shop front easily 5 figure rental per month due to the bidding war.

 

[Varuna]

If SIA was to run along these lines, it would have gone up in flames.

SIA is a bit different as it operates in a truly global market. SMRT got no similar train competitors and run like king in a local market. Everytime want to increase price, they get it and pple LL got to swallow it. They are always assured of a sizable pool of customers. They will inevitably slide into complacency. One word - the undoing of the mental culture and ways of how inter-establishments operates over the decades.

 

[Thick Face Black Heart]

It about time LTA separates rentals, advertising and non train activities from the train services and let go of the taxi and bus services. If SIA was to run along these lines, it would have gone up in flames. SIA has no interest in Changi Airport rentals and there is a reason why and they are their main customer. Some people call it common sense.

Yes, I think I'm getting the crux of what you're saying. Its a case of too much distraction and irrelevancy built into a single portfolio. Hence the decline in standards and ultimately the frequent boo-boo's.

The younger generation of PAP politicians seem to favour a corporatist state without realizing the political sensitivity, as you've mentioned, of certain essential services like public tpt, and I would add public utilities too. Profit now main motive rather than service being the main motive. That's why outsourcing is rampant and quality of engineering, workmanship, systems designs, operational flow all compromised.

 

[neddy]

As the title suggest there are too many stakeholders pulling from various sides on a single national entity that has become a daily and important feature of nearly everyone in Singapore. Multiple agendas are never good. These are little snippets.

Couple of noteworthy points to consider. Please add on.

• SMRT is a listed business and majority owned by Temasek. They do not own the infrastructure. They have leased it from LTA for 30 years. They have no interest in the infrastructure. When overcrowding became a safety issue at Jurong East, this lady could not be bothered. She did not build the infrastructure and any additional build work was the responsibility of the LTA.
• Besides trains, SMRT operates Light rail, buses and taxis. They also consider two other businesses as revenue streams and this is where Saw Phaik Hwa comes in.
  
  ...
  
  It about time LTA separates rentals, advertising and non train activities from the train services and let go of the taxi and bus services. If SIA was to run along these lines, it would have gone up in flames. SIA has no interest in Changi Airport rentals and there is a reason why and they are their main customer. Some people call it common sense.

• 
  
  Sound more like Strategic Management 501
  
  Like what you wrote.
  EXCEPT I kind of disagree with letting go of taxi and buses. Together, it should form Transport for Singapore (like "Transport for London [TTL]" with its Rail Division and Surface transport Division)
  
  Otherwise, it will be a bit deficient, like HK public transport with its gaps between MTR and franchised bus routes. (forget about minibus)
  
  Eg.
  For contingency planning (TTL are experts)
  Buses are essential for Train replacement services too. Having an integrated service for public transport dependent Singaporeans is very important.
  Taxis reach beyond bus routes.
  
  
  

  The younger generation of PAP politicians seem to favour a corporatist state without realizing the political sensitivity, as you've mentioned, of certain essential services like public tpt, and I would add public utilities too. Profit now main motive rather than service being the main motive. That's why outsourcing is rampant and quality of engineering, workmanship, systems designs, operational flow all compromised.

  
  PAP has forgotten the purpose of a government?
  Is it surprise that the PAP has forgotten the .... rakyat? esp the ones who cannot afford cars.
  
  

  Their retail shop fronts are extremely profitable for SMRT group. If I may recall, the lease for the SMRT shops are non-renewable, each tenure is two (or three?) years. Before the lease is up, SMRT would call for bid to lease the shop to the highest bidder. A small shop front easily 5 figure rental per month due to the bidding war.

  
  Human traffic is a wonderful thing.
  
  Another revenue stream is the pre-paid tickets that can be used in retail shops. (c.f HK Octopus)

 

[Thick Face Black Heart]

You know the corporate culture in SMRT has become so greedy by that insensitive Income Opportunity message to their taxi fleets on a public bulltin board. So many thousands of commuters are inconvenienced, trapped and lost, and here their people can only think of making more money.

Good point. Their excuse that a "template" was being used in highly telling. Theirs is a template of shareholder maximization without care about social or political repercussions. This is allowed to happen because the political leaders have become too blind to what is happening under their noses and assume they will be in power forever.

 

[Thick Face Black Heart]

Another example