Avoid the ‘Ali Baba’ business concept — Salang
SARIKEI: Dayak contractors have been asked to avoid the ‘Ali Baba’ business concept.
Julau Member of Parliament Datuk Joseph Salang Gandum said this is because it restricts their progress and income, as well as undermines their credibility.
“Though it is not totally wrong to share the contracts, which you have successfully secured with other parties, it is not advisable to offer 100 per cent to sub- contractors and earn 5 or 10 per cent commission in return as normally practised in the ‘Ali-Baba’ business concept,” he said when launching a course for contractors run by the Dayak Chamber of Commerce and Industry ( DCCI) here yesterday.
He cautioned that contractors who use the ‘Ali-Baba’ business concept also risk drastic action from the authorities should the work carried out by their sub- contractors fall short of specifications or deadlines.
He said should there be unavoidable circumstances, such as financial constraints, the contractor could instead offer 20 or 30 per cent to sub- contractors.
Salang stressed that the way forward for Dayak contractors to be successful is to fulfil a bigger share of the project if not independently.
He advised Dayak contractors to enrich themselves with relevant knowledge to explore and exploit every opportunity to the fullest.
The DCCI president also called on Dayak contractors to register as chamber members.
Salang also thanked the Bumiputera Agenda Steering Unit ( Teraju) for its RM500,000 grant to fund the DCCI-Insken Joint Entrepreneurial Development Capacity Building Programme for 2016 and 2017 and Lebuhraya Borneo Utara Sdn Bhd ( LBU) for contributing a similar amount for DCCI to hold entrepreneur development programmes.
Some 40 contractors from Julau, Meluan, Pakan, Sarikei, Bintulu, Miri and Kuching are attending the four- day course.