Roundtable Conference in the Lao People’s Democratic Republic
Opening Statement, 12–13 January 2004, Vientiane

H.E. Boun Nhang VORACHITH, Prime Minister of Lao PDR
H.E. Somsavath LENGSAVATH, Deputy Prime Minister of Lao PDR
H.E. Onneua PHOMMACHANH, Minister of Industry and Handicrafts,
H.E. Dr. Nam VIYAKETH, APO Director for Lao PDR,
Excellencies,
Distinguished guests,
Ladies, and gentlemen:

It is a great honor for me to be invited to address the distinguished audience gathered here on this auspicious occasion of the Roundtable Conference. I wish to offer my sincere greetings to the distinguished guests, participants representing various organizations in this country, and all the resource persons. In particular, I would like to express my utmost appreciation to His Excellency Prime Minister Boun Nhang Vorachith for gracing this very important occasion. This Roundtable Conference brings together the nations’ stakeholders in productivity enhancement to chart the direction and content of a new productivity drive in the country. This conference thus provides critical momentum for the nation’s socio-economic development. I am pleased and encouraged that the Lao government has seized the opportunity to organize this conference.

As you are well aware, productivity is a very broad and multi-faceted concept covering various activities in all economic sectors. Furthermore, its concept has been evolving over the years, shifting its focus from the conventional economy based upon such tangible factors of production as labor and capital to intangible factors including knowledge, ideas, creativity, and innovation. We are now in the new economy, also called the knowledge-based economy. Once the creation and application of knowledge become habitual practices, organizations will become sufficiently vibrant, agile, and resilient to meet the challenges and requirements of the new era.

To meet changing demands and at the same to allay problems and uncertainties in the new economic era, the APO adopted a new vision in 2001 as the guiding principle of the productivity movement for the 21st century. It is constituted of the three pillars of strengthening competitiveness, harmony between economic development and environmental protection, and maintaining social fairness. These three pillars are closely interlinked and mutually complementary.

The APO made the utmost effort to achieve this vision, particularly at the corporate level, because productivity promotion is essential for increasing competitiveness and thus the profits of business corporations, leading to the wealth of a nation. However, the ultimate objective of productivity is to create a better quality of life for the people as a whole. Consequently, efforts should be made to help them recognize that the productivity movement is everybody’s business. This must be achieved with the participation of all stakeholders including government, business, trade unions, academia, NGOs, and professional organizations such as the national productivity organization (NPO).

The history of roundtable conferences organized by NPOs is relatively long. In 1992 the APO Governing Body recommended that assistance be rendered to less advanced member countries or countries that had newly joined the APO in organizing roundtable conferences so that a broad consensus could be formed on the direction and content of the national productivity movement. The first roundtable conference was held in Mongolia in 1993. Other member countries including Nepal, Sri Lanka, Fiji, Bangladesh, Vietnam, and more recently Indonesia followed suit as the conference form has proven to be very effective in putting the movement on the right track. Sri Lanka and Indonesia both organized second roundtable conferences as a follow-up to the first to take stock of the progress made in promoting the productivity movement.

This conference is expected to provide guidelines for formulating policies, strategies, and measures on productivity promotion at the national and regional levels. The government has a significant role to play in creating an awareness of the importance of the productivity movement among the people and in fostering their positive attitude toward it. It is responsible for designing a clear and well-defined policy on the productivity movement as an integral part of its economic development strategy. Overall, the effectiveness of the productivity movement depends to a large extent upon the initiatives taken by government in most developing countries.

Other factors should also be taken into account to make the productivity movement a success. First, the country needs a body to play a leading role in the movement. In APO member countries, the NPOs assume that role. In this regard, I appreciate the efforts of the Lao government in establishing National Productivity Center as its NPO.

Second, no one has a monopoly on productivity. It should not be confined to a specific sector of the economy or to a particular segment of society. Productivity covers all sectors and embraces all layers of society. Toward that end, it is important that NPOs include a wide range of representation including representatives of management and workers. All stakeholders must make productivity their business, and it is the responsibility of all stakeholders to make the productivity movement a success. It is crucial to make ownership of and commitment to productivity a daily habit, thus avoiding rhetoric. The saying, "productivity is for all—and all are for productivity" should be remembered.

The third factor comes back to the role of government. Productivity promotion and awareness will require considerable financial support, which should be made available on a regular basis. As it affects the economic development of the whole nation, the government should shoulder a major part of the budget. Other stakeholders too must meet their obligations and provide their share of contributions. The joint effort will certainly help to activate the role of the NPO as the apex body spearheading the productivity movement in the country.

The fourth factor relates to the status of the NPO. It should maintain a high degree of flexibility and independence. Governments are often laden with bureaucracy. While understandable, it is also a fact that red tape and lengthy procedures are flagrantly out of tune in the economy of speed and change. In order to enable an NPO to be agile and dynamic, it should be granted autonomy, freedom, and flexibility in carrying out its mandate.

The fifth factor is the basis for fostering an excellent NPO. It includes strong and able leadership, clear and inspiring vision, first-class professionalism, and sufficient capability in its main areas of activity. Institutional core competence is especially important as it is through such competence that an NPO can win recognition and establish itself as leader in the field.

Last but not least, I need to emphasize that the productivity movement is human resources development. While NPOs play a central role in the movement, government, management, and union leaders are expected to assume joint responsibilities for effectively undertaking the promotion of the productivity movement at the industry and firm levels.

I am certain that the experience and expertise possessed by the resource persons will provide useful pointers in addressing the issues I have described.

The APO was established and began to provide services to member countries more than 43 years ago. Over the years, it has accumulated vast experience, an institutional network, and a pool of experts. While we are proud of our past achievements, we are very much aware of the gigantic tasks ahead as productivity itself continues to evolve dynamically, in scope as well as in complexity. It is therefore the APO’s duty to stand by its members and lend the necessary support and assistance. My presence here today is meant to convey this support and commitment on behalf of fellow member countries to Lao DPR.

The ultimate goal of the productivity movement is to improve the quality of life of the people. As experiences elsewhere have shown, this ultimate goal cannot be achieved without the determination, commitment, and concrete actions of all stakeholders. Without them, productivity improvements will remain an elusive dream. It is our sincere wish that all the distinguished participants present today at this historic Roundtable Conference will join their hands, hearts, and minds for the sake of productivity improvement in Lao PDR.

I would like to express again my sincere appreciation to all resource persons taking part in the conference. Their participation is clear evidence of the spirit of mutual cooperation among our member countries which is the APO hallmark in productivity promotion.

I have noted with great admiration the excellent arrangements made by the host government under the direction of the APO Director for Laos, Dr. Nam Viyaketh, Vice Minister, Ministry of Industry and Handicrafts, and by the National Productivity Center under the leadership of Mr. Soutchay Sisouvong, Head of the NPO. I also appreciate the efforts of Mr. Sayasith, the APO Liaison Officer, and all staff involved in organizing this conference so efficiently. I would like to extend heartiest congratulations to all productivity stakeholders in the country for their timely decision to launch the productivity movement in Lao PDR. With the participation and cooperation of all, I am confident that a new productivity drive will help accelerate the socio-economic development in this country.

I look forward to learning the outcome of the conference and hope that the productivity charter will be specific and action oriented, offering clear guidelines for each stakeholder to follow in promoting the productivity movement.

Thank you.

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