Competitive advantage is measured on the basis as to whether a nation is able to foster and maintain industries with international competitive advantage. In this regard, they fall back onto Michael Porter's research findings published in his book, Competitive Advantage of Nations which centred on why some nation's firm succeeded in international competition. This serves as a guide for decision-makers in their attempt to create competitive advantage. Interesting enough, after reading the book, I found out the very essence of Porter's argument is that, "attributes of nation shaped the environment faced by domestic firms in ways that may promote or impede the creation of competitive advantage." In this, I draw some similarities from that of foreign direct investment where a favourable and conducive environment is deemed necessary for attracting capital inflow. So is the case for national competitive advantage. It is a nation's rich endowment of factors that can determine competitive advantage. Such endowment factors are carefully categorised by Porter as follows:

• Human resources n Physical resources
  
• Climatic resources n Knowledge resources
  
• Capital resources n Infrastructure
  

Endowment stimulus listed above according to Porter "are dynamic and consequently could be upgraded and specialised." The Competitive Advantage of Nations is an all revealing book, offering practical guide to nations aspiring to create competitive advantage in present day chaotic and volatile market. Porter's masterpiece has been described by The Economies as "an all embracing view of economic change that amounts in the end to a powerful analytical framework." Porter had sent his message clearly to government, reminding them that "government policy must be concerned with laying the foundation or upgrading competitive advantage." He himself strongly believes that government can influence and even determine competitive advantage, a term which he referred to as a factor creation. Certain premises of government policy toward industry had to be framed so as to enhance competitive advantage, such as the ones listed below:

• Firms compete in industries, not nations.
  
• A nation's competitive advantage is relative.
  
• Dynamism leads to competitive advantage, not short-term cost advantages.
  
• National economic prosperity demands that industries upgrade.
  
• A nation's competitive advantage in industries is often geographically concentrated.
  
• Competitive advantage in a nation's industries is created over a decade or more, not over three or four years' business cycle.
  
• Nation's gain advantage because of differences, not similarities.
  
• Many categorizations used to distinguish or prioritize industries have little relevance.
  
• The process of sustaining advantage may be intensely uncomfortable for firms and those who work in them.
  

Expert on international economic trade such as David Yoffie, Benjamin Gomes and Michael Porter all agreed that government policy should not just be directed at certain areas such as taxation, education or regulation. Government policy should be directed towards creating and upgrading factor condition. In this way, a nation can attain competitive advantage over others. In this era of globalisation, the new entrusted role of government is one that of a "principle engine of factor creation." In these regards Michael Porter single out some countries like Germany, Japan, Korea and Singapore as role models. In these countries, factor creation is the most vibrant and effective because there is widespread understanding of the importance of factor creation to economic prosperity, and the consensus about the need for sustained investment. In our country too, factor creation is one subject matter that had been sufficiently addressed in OPP3. In Paragraph 1.33, it stated that, "there is a need to achieve sustainable rapid economic growth to become a developed nation by 2020." "As such the key thrusts of OPP3 amongst others is striving towards "enhancing competitiveness to meet the challenges of globalisation and liberalisation."

Looking towards the future, Porter advised that "the central economic concern of every nation should be the capacity of its economy to upgrade so that firms achieved more sophisticated competitive advantage and higher productivity." This useful piece of advice is not lost on our top leaders. No other than our Hon. Prime Minister reminded us that "we have to deal with the dangers post by globalisation and we have to learn all about the technologies and application they can offer." Porter's opinion on what are the strategies to be adapted to achieve competitive advantage has been taken on positively by our top leaders. As far as Malaysia is concerned, judging from new policy dimension in the National Vision Policy, we should be on the right track. As we may be fully aware of, we are in the midst of transition from an economy that is investment driven to one that is innovation driven. This is introduced as one of the new policy dimensions in the National Vision Policy which stated clearly that, "generating endogenously – driven growth through strengthening domestic investment and developing indigenous capability, while continuing to attract foreign direct investment in strategic area" is to be pursued vigorously under the National Vision Policy. Fine and good, as according to Dr. R. L. Bhatia in his book, Fight Global Competition With 100 Management Ideas, " competition is no longer domestic but global." And as competition globalizes and trade liberalization eliminates artificial barriers, it is only prudent that nations and firms, according to Porter "must increasingly compete in industries and segments where they have real strength." His advice is to study the nature of evolving competition around these four areas:

• Firm strategy, structure, and rivalry
  
• Factor conditions
  
• Demand conditions
  
• Related and supporting industries
  

To look for and identify internal strength, Porter listed down the following questions to be answered by nations.

Choosing Industries and Segments for Which the Nation Is a Favourable Home Base

FIRM STRATEGY, STRUCTURE, AND RIVALRY

• Does the style of management and prevailing types of organizational structure in the nation match industry needs?
  
• What types of strategies exploit national norms of organization?
  
• Does the industry attract outstanding talent in the nation?
  
• Does investor goals fit the competitive needs of industry?
  
• Are there capable domestic rivals?
  

FACTOR CONDITIONS

• Does the nation have particularly advanced or appropriate factors of production? In what segments? For what strategies?
  
• Does the nation have superior factor creation mechanism in the industry (for example, specialized university research programs, outstanding educational institution)?
  
• Are selective factor disadvantaged in the nation leading indicators of foreign circumstances?
  

DEMAND CONDITIONS

• Are the nation's buyers for industry's products the most sophisticated or demanding? In what segments?
  
• Does the nation have unusual needs in the industry that is significant but will likely be ignored elsewhere?
  
• Do buyer needs in the nation anticipate those of other nations?
  
• Are the distribution channels in the nation sophisticated, and do they foreshadow international trend?
  

RELATED AND SUPPORTING INDUSTRIES

• Does the nation have world-class supplier industries? For what segments?
  
• Are the strong positions in important related industries?
  

Source: Michael E. Porter; The Competitive Advantage of Nations

Understanding Our Roles - PTD Officers' Roles

So much about global business, and the strategy to achieve competitive advantage. As senior managers in the public sector, what then is our role, or if we are still not sure, how do we fit in into this intricate business of global economic interdependent? One thing is for sure, all PTD officers will readily agree with me that change is inevitable. When we talk of change, we might differ slightly on its mode. We ask ourselves for example whether change will happen belatedly, in a crisis situation, or will it happen with foresight, in a calm and considered manner?

As public officers belonging to self-proclaimed "elite service" working for a "global company" called Malaysia, the demand on us, PTD officers is almost beyond my comprehension. We are tasked with building an organization (Malaysia) of world-class stature and at the same time, take the lead roles in nurturing a global organizational culture. Can we? My answer is, why not? With a condition, of course, i.e. we just have to discover and release the potent power hidden in us, individually and collectively. After all, we PTD officers come from diverse ethnic background and multiple ranges of working and job experiences. Notwithstanding that, we have one thing in common, i.e. we have gone to the same school of thoughts, we have been the fine products of INTAN, an organization whose mission is to be a public sector training institution of world-class stature and whose firm commitment is towards a culture of excellence (Warga INTAN Cemerlang).

Our leaders have unfolded a well-enshrined vision for the country. As senior managers, collectively we should step forward by bringing out the best in us. There are so much that we can do. Let me outline some of them in the context of this paper on competitive advantage.

(I) Ponder and initiate steps that make global competitiveness a strategic goal. We cannot survive as a nation unless we measure up to world standards.

(II) Recognise the symbiotic relationship between the public and private sector. Take as a guide Development Administration Circular No. 9 of 91, Guidelines On the Implementation of the Malaysia Incorporated Policy. As public sector officers, and senior ones for that matter, we are supposed to facilitate the workings of our counterparts in the private sector. Remember we have leadership role to play. Michael Porter describes it aptly saying that, "Leaders have a great view of competition in which their national environment is integral to competitive success. They work hard to improve that environment and to encourage appropriate government policies." What this means to PTD officers is that it is a call for bold initiatives on our part. We have to fall back onto the basic concept of leadership. We are supposed to lead, aren't we? So why hesitate?

(III) Be equipped with management foresight, call it strategic planning capabilities if you wish to. The message I wish to put across is that we are living in a dynamic world. Things change, and we must remember that we are "competing in markets that won't stand still," to quote from Kathleen M. Eisenhardt and Shona L. Brown.4 What this means to us PTD officers is to draw on to our acquired expertise on how to manage transition effectively. This is critical in view of fast changing global environment. The more senior PTD officers, say those who had been in service for more than fifteen years are sure to have witnessed the dramatic shifts in the structure of international trade and competition. David Yoffie and Benjamin Gomes describe this evolution into three stages, i.e.:

• First, international trade has become more volatile.
  
• Second, the composition of trade has changed.
  
• Third, the geographic pattern of trade has been changing.
  

To summarize on what are the roles that PTD officers can undertake to assist the nation in achieving competitive advantage, I would like to quote from Dr. R. L. Bhatia who had listed down seven characteristics that can serve as a guideline if we wish to be better leaders. PTD officers are leaders in our own right. We are the leaders in the civil service and therefore to be an effective leader, manager and role player in today's fast changing world, according to Dr. R.L. Bhatia, we have to 'develop a global vision.'5 PTD officers have to take the lead to brace ourselves and the nation in facing the global market challenge.

Conclusion

We have to live up to new economic realities if we want to survive the twin challenges of globalization and trade liberalization. From the 1960's up to the 1990's, our country's record of achievements especially in the economic field had been remarkable. So much so, that we have a clear vision, to attain a developed nation status by 2020. Our past successes were made possible because of our leaders' foresightedness coupled with the comparative advantage that we have developed in certain sectors of the economy.

In the reality of today's world, holding on to a strategy of sustaining comparative advantage is becoming obsolete. Nation states are now going for competitive advantage because of the realisation that competitive advantage is the source of prosperity in modern global economy. There is real danger that if we don't act fast, we'll be outpaced and overwhelmed by others. After all, this is the cavernous world of globalisation and free trade. This is a wake-up call for PTD officers, live up to your name and expectation. The nations look upon us to lead. Since we have competitive advantage, we should ensure that the nation too has competitive advantage. If we don't have it now, we are in a position to create one, two and many more factors to ensure that we ride the tide of globalisation smoothly as ever. Together we can turn problems and challenges into opportunities. Let's endeavour to strive for competitive advantage in all our undertakings. We, the PTD officers should advocate new, constructive and actionable roles for our government. We must strive to create an environment that supports competitive advantage. We must live up to the slogan, "Malaysia Boleh!" even in the face of global economic challenge. That's Malaysia in spirit and essence, inspired and powered by the dynamism and intellectual capital of its PTD officers.

4 Harvard Business Review On Managing Uncertainty, A Harvard Business Review Paperback Series, Boston, 1999.

5 The seven characteristics are: (1) trust your subordinates, (2) develop a global vision, (3) be cool,

(4) encourage risk, (5) be an expert, (6) invite dissent, (7) simplify.

REFERENCES

1. Micheal E. Porter: The Competitive Advantage of Nations, The Free Press, New York, 1999.

2. Dr. Mahathir Mohammad: A New Deal for Asia, Pelanduk Publications, Kuala Lumpur, 1999.

3. David B. Yoffie & Benjamin Gomes: International Trade and Competition; Case and Notes in Strategy and Management, McGraw Hill Int. Edition, Singapore, 1994.

4. Peter F. Drucker: Management Challenge for the 21st Century, Harper Business, New York, 1999.

4. Dr. R. L. Bhatia: Fight Global Competition with 100 Management Ideas, Golden Books Centre Sdn. Bhd., Kuala Lumpur.

6. Harvard Business Review On Managing Uncertainty, A Harvard Business Review Paperback, Boston, 1999.

7. Text of Speech By Dr. Mahathir Bin Mohamad At The 10th World Economic Development Congress, PWTC, Kuala Lumpur, 27 June 2001.