Stepping into the shoes of a living legend can be
daunting for even the most capable of men, but Dato' Johan Raslan has
accepted the role carved out for him with equanimity. He has, after all,
had a year to prepare himself for the task of heading one of Malaysia's
premier accounting firms.
Johan, 45, has for the past year been the executive
chairman-in-waiting of PricewaterhouseCoopers (PwC) Malaysia, understudying
Raja Datuk Arshad Raja Tun Uda, the helmsman who is generally acknowledged
as being the man who steered the organisation to the greatest heights of
excellence it has achieved during its presence in the country. A tough
act to follow, but Johan is equal to the task, having been groomed by
the legend himself and having absorbed the latter's values and leadership
style, which he vows to carry on in his new capacity.
Ever since the impending transition of power was announced
last year, Johan has aroused much curiosity among industry watchers and the
media. Curiosity that's been piqued largely by the lack of information about
the man who, despite being from a prominent Malaysian family, has remained
rather publicity-shy and reticent about his life. Until now, that is.
We were quite elated when he finally agreed to the
interview with Options. We had been pursuing him for the past several months.
Of course, there was the punishing schedule of a chairman-in-waiting, but one
suspects the main reason for our lack of headway was Johan's reluctance to
engage with the media. This is apparent from the lack of background information
about him in local publications and the Internet. Plenty about his brothers
Karim Raslan and Kam Raslan, but other than comments, opinions and papers
on some aspect of his profession or the other, there's nothing about Johan
Raslan, the man. Whatever information we did manage to get in preparation
for our interview was gleaned from his colleagues at PwC and industry watchers
acquainted with him.
Given his reputation for being low-key, it's no surprise
that by the time we finally headed to Carcosa for our late-morning interview
with the elusive accountant, we had built up the picture of an enigma, a
taciturn man of few words who'd give us a run for the money when it came to
getting answers. Well, perish the thought. Johan Raslan turned out to be an
extremely affable and un-reticent person who spoke to us rather candidly
about his life, his famous late father and his work, no holds barred.
It was the disarming smile and the boyish Pan-Asian good
looks that undid us, melted the formal facades we had put on for the staid
accountant type we'd expected to be interviewing. You're not what we imagined
at all, we blurt out. He laughs, accuses us of stereotyping.
"I'm an accountant and I think we're very exciting people.
My father was an accountant and he had a very flamboyant lifestyle. I don't
know where the boring stereotype came from. Maybe in the old days, accountants
were just doing auditing and talking only to the chief accountant. Then, we
started to advise on tax, risk management and the like and we had to talk
to CEOs and Boards. We had to acquire people skills across the board, to
be able to connect with people," he points out. Okay, we stand corrected.
We'll never look at accountants in the same way ever again.
Now that he has consented to tell all, we ask about his
reputation for being media. shy. After all, he's given no profile interviews
with local publications except for one with a magazine more than 10 years ago.
"Well, I'm not exactly publicity-shy. But I'm in a profession
that's not seen by many as being glamorous. We're the back-room boys, it's
our clients who are mainly in the limelight," he explains. Well, not any more.
The announcement that he would be taking over the executive chairmanship of
PwC has provoked much interest in Johan, who has remained largely an unknown
figure in corporate circles in contrast to his late father Mohammad Raslan
Toh Muda Abdullah.
Despite his demise more than three decades ago, Raslan
continues to be remembered as something of a legend in the Malaysian business
arena for his string of accomplishments, achieved at a relatively young age.
A highly respected and prominent financier, he founded one of the nation's
largest accounting practices Hanafiah Raslan Mohamad, as well as Pernas
International Holdings Bhd, Malaysia National Insurance Bhd (MNI) and Bank
Bumiputra Bhd (now Bumiputra Commerce Bhd), of which he was the first
chairman and chief executive officer. He was also the first local to be
appointed the nation's Accountant-General. There is conjecture from many
parties that if his brilliant career had not been cut short by his untimely
demise at the age of 40, Raslan would have become the nation's first Malay
Finance Minister, succeeding Tun Tan Siew Sin.
Johan was just 11 when Raslan died in a car crash, yet his
father's influence appears to have pervaded every aspect of his life, from
his love for his Malaysian heritage to his choice of profession. There's a
great measure of respect and affection in the way he speaks about his father
and his impact on his life.
"My father was from a Perak family, his father was State
Secretary of Perak, and he was brought up in Kuala Kangsar. He was a
Clifford (Secondary School) boy, and did his Form Six in MCKK (Malay College
Kuala Kangsar). The (British) headmaster there was very interested in careers
for his boys and suggested chartered accountancy to my father. He pushed
him to do an articleship with Peat Marwick in the UK. That's where he met
and married my mother," he narrates.
After a long sojourn in the UK, Raslan returned with his
English wife and three young sons - Johan, Karim and Kam - to Malaysia
where his career soared on an upward spiral until his death.
"After his death, mum took us all back to the UK. But I
wasn't happy, I just couldn't settle down there. I came back to Malaysia
two years later, stayed with a succession of relatives and went to the
Victoria Institution from Forms Three to Five. Those were my formative
years of education, and I had a happy time at the V.I. Some of my closet friends
today are from my V.I. and A-levels days," Johan recounts.
Wasn't it hard coming back to Malaysia on his own at
just 14, we ask.
"Well, it was all very familiar. I was used to living
in Malaysia, my father was like the centre of the family when he was
alive. He was the type of person who worked extremely hard, but made the
best of family times and holidays. He really made a big effort to go back
to his roots in K.K. (Kuala Kangsar). We'd often go back for Hari Raya and
other occasions. So, I was close to my cousins. Thus, it was easy coming
back and living with them. As a result, when I go to different parts of
Perak, it's all so familiar. I regard myself as a Perak person and I'm so
grateful to him for that," he replies, adding that coming back to Malaysia
after his father's death allowed him to get closer to his extended family.
He's grateful to the friends who supported him through the
time and to the teachers and headmaster of V.I., Victor Gopal, for their
understanding. "I appreciate them now although at the time I broke every rule
in the book! I would not have been able to make it without the support of my
friends, teachers and relatives."
We eye him with new respect - obviously this is no goody two
shoes accountant type but one who sowed quite a few wild oats. Our suspicions
are confirmed when he mentions that many of his V.I. alumni "were party animals"
and further strengthened when he throws in talk of a backpack and guitar
into the conversation.
The guitar was a legacy from his father, "One of the few
things I have left of him" and was part of his schoolboy days in the 1970s.
"Main-main saja. It was something all schoolboys did in the seventies,
so I also played lah," he says, slipping comfortably from impeccable
English into Manglish, an indication of the ease with which he accepts his
English and Malay heritage.
The backpack was part of the post-V.I. life he led in the
UK where he did his A-levels and degree in accountancy.
"I went to the University of Hull, the same university as
(PwC managing director, Chin) Kwai Fatt but we never met there. I married
my uni-sweetheart, then did chartered accountancy. Eventually, I came back.
I always intended to come back, but kept putting it off because I was
enjoying life there with a young family," he relates. While in the UK,
he worked with Robson Rhodes, Chartered Accountants, from 1981 to 1990
before moving to Price Waterhouse London where he served for two years.
He left the back pack behind but brought wife Deborah,
kids and guitar home in 1992, when he joined PwC Malaysia (then Price
Waterhouse). A year later, he was admitted as a partner to the firm.
During the course of his 12-year career with PwC in Malaysia,
he has conducted himself with a combination of expertise and quiet aplomb
that has earned him a tremendous amount of respect in the industry and won
him accolades and positions on various governing bodies. He sat on the Kuala
Lumpur Stock Exchange Rules and Development Sub-Committee from 1999 to 2003
and was appointed to the Board of Directors of Labuan lnternational Financial
Exchange Inc in 2001, a position he still holds. He is also currently chairman
of the Malaysian Financial Reporting Foundation and president of the Eisenhower
Fellows Association of Malaysia, as well as a council member of the Malaysian
Institute of Certified Public Accountants.
Despite such a strong list of credentials to his name, when
Johan was named the crown prince in the PwC line of succession, industry
watchers questioned the move, given that there were other more senior partners
in the organisation. In an interview with the New Straits Times last month,
however, Raja Arshad put paid to the speculation when he said: "In the old days,
everything was based on seniority. But as the business gets more complex and
given the changing market environment, you don't just go on seniority; you go
on ability and many other criteria. You need somebody who can relate to the
business community, to government, and with the staff."
He explained that in a "sounding" conducted by two persons
appointed by the company, all the partners were consulted about whom they thought
would be the most suitable for the job and why. "At the end of the sounding
for both the positions, there was a clear lead for executive chairman and managing
director, which were Johan and Chin Kwai Fatt. It was quite an elaborate process
but we think it needed to be done. In corporate governance, it is also one of the
responsibilities of the directors to ensure proper succession planning," Raja
Arshad explained.
Johan himself doesn't see his "youth" as an issue. "Many of
the senior partners admitted me to senior partner. I am very humbled by that.
But I don't feel that young. Raja Arshad was younger when he was admitted to
senior partner." He is appreciative of the confidence placed on him by his
mentor and partners and for their cooperation during the past year, a time
of transition for the firm.
"The partners have worked with me during the succession
planning period and I'm very grateful for their openness. It helps that
I'm younger as they can feel free to tell me anything. During the past year,
Raja Arshad has been taking the opportunity to guide me and mentor me in
the position. It's very important to have a succession plan, so there's
a certain continuity and people are not upset by sudden change," he says.
He says Raja Arshad's values of integrity, leadership and
teamwork have been very important to the company and to him personally. "I
will, of course, continue these values, but I'm a different person. I don't
have the same grey hair, for example, but that will come later..." he says
straight-faced, before breaking into a smile when we scrutinise his hair.
That Johan has the utmost respect for Raja Arshad is evident
from the way he speaks of his mentor.
"Raja Arshad is quite well known outside the firm as
founding committee member of the Malaysian Securities Commission, chairman
of the Malaysian Accounting Standards Board and of Danamodal. I'm honoured
to have him as a mentor. Those who know him think of him as a man who's
never afraid to set us right, but always in the politest terms.
"He personifies the trust, professionalism, integrity
and good values that guide the firm. I have a great deal of respect for him.
One thing about him is that he's a very humble person - he is as happy
talking to the tea lady as he is to the partners or directors. He's very
comfortable with himself. These are the qualities we'd like to aspire to.
They sum up the right attitude for today," he says, adding that "the day
of the arrogant CEO is definitely over".
Johan himself has been described by his colleagues as
being a "people-orientated" leader who makes time for people and listens
to their grievances. "He gives time of day to lots of people, thus, it's
a lot easier for staff to voice their grouses. He may not have immediate
answers or solutions but what's important is he makes the time to listen.
And in today's corporate world, Johan's brand of people's skill is a
rarity," says a colleague at PwC.
We ask him if this is an innate trait or a management
style he has deliberately adopted. He shoots us a look, a comical mixture
of respect and trepidation on his face, then smiles and asks: "Who have
you been talking to? What else have they told you?"
We reply that since there's such a dearth of information
about him, we'd been forced to resort to these covert tactics of
investigating his background. He's amused, nods at our resourcefulness:
"The firm cannot be run as a firm where the CEO is
given the mandate to do whatever he wants. He can't be internally arrogant.
Kwai Fatt and I have a mandate for decisions we make ourselves and major
decisions we take to the partners," he replies. ''It's not a management
style I've intentionally adopted. I think it's the only way to operate."
He explains that these days "new people switch jobs like
crazy" so management has to operate like this. He points out that "It's
important to walk about, talk to people, connect with them. Even partners
can feel disjointed, bogged down by work."
Having just succeeded Raja Arshad, Johan says the next
few months will see him "transitioning" from his previous position to
the present one. "For a while, I'll be attempting to do both my old job
and the chairman's duties. I'm transitioning out of active leadership
of most of the audits I do."
He predicts that his schedule will become more hectic,
"because there are more challenges coming on thick and fast in Malaysia."
Such as?
"Well, lots of things. We're living in a very global
world right now. People in the business have found that what impacts
their colleagues in London or New York impacts us very quickly now
there are new regulations coming up and impacting us, some may be a
bit cumbersome, but we have to keep on top of them," he explains.
Another challenge is the changes at the top of corporations,
many of which are seeing young new CEOs presiding over businesses.
"Kwai Fatt and I have to try to connect the firm quickly with these
new players and to add value," Johan points out.
He counts the evolving workforce as another issue to
cope with. "People are being educated with different attitudes. They're
questioning, not just listening to their bosses' words as the gospel truth.
They think of themselves as citizens of the world with choices. Dealing
with these issues is the challenge. Our tagline for this is 'Connected
Thinking', both with the people out there and with our staff."
He reveals that his action plan for dealing with the
challenges ahead focuses on "people quality" and "connecting with the
outside world".
"People are critical. We only have one stock in trade,
we only have our people. If they decide to walk or not to join us,
we're down and out. We have to really guard our quality, one slip up
is all it takes, it can mean the destruction of any corporation's
reputation," he comments.
Like Enron? What was PwC's response to the scandal
that rocked the accounting profession worldwide, we ask.
"It was shocking not just to others but to people
in the profession as well. We took stock of the way we do things,
did a lot of soul-searching about the quality of our work, re-looked
at our clientele to see if there was something we missed, if there
was an Enron lurking around somewhere. Happily, we couldn't see one.
But we did implement a number of programmes to improve our quality
of work," he replies.
The trials related to the Enron scandal coincided with
his Eisenhower Fellowship stint in the US. "I brought back to the firm
the latest news and we worked with the Securities Commission, Bank
Negara and Bursa Malaysia on strengthening the rules on corporate
governance. As America got into stricter regulations, they began to
judge everyone else - it was important for our own rules and regulations
to be seen as being of a high standard by the rest of the world," he
explains. His position as chairman of the Malaysian Financial Reporting
Foundation provides him the leverage for his continuous efforts to
align Malaysian accounting standards with international standards.
At the corporate level, the PwC solution to raising
standards has been to invest in developing its human resource through
training. Johan reveals that currently, 320 of its staff are seconded
to overseas firms for professional exposure. Another activity, dubbed
Project Ulysses, is aimed at developing young PwC partners or directors.
"It takes them to a completely unconnected activity,
for example, to Belize to work with NCOs (non-governmental organisations)
on agro-tourism. Just to show them the other side of life," Johan explains.
How do his people respond to Project Ulysses? "There's
fear and trepidation initially, but nobody ever turns it down." He
cites his own stint in the US as an Eisenhower Fellow in 2002 as valuable
exposure to that country's business practices.
A sense of corporate responsibility appears to be
the thrust for PwC's efforts to "connect with the outside world".
"With a firm like ours, it's easy to be self-centred
and operate just as a business. But we believe in the sustainability
of the firm, and we can only be sustainable within the context of a
sustainable nation. We need to have a sense of corporate social
responsibility in our efforts. Charitable donations was how it used
to be but we feel more needs to be done," Johan points out.
Two activities that PwC has instilled to this end are
the Young Humanitarian Award co-organised with the NST and its Community
Outreach Programme.
"The Young Humanitarian Award gives recognition to
young people who are doing good. I'm amazed at the number of unsung heroes
in the country. The more senior people are involved in this project,"
Johan explains.
For the Community Outreach Programme, PwC selects
a number of children's homes and sends its staff there to do volunteer
work, usually in the form of teaching or administrative assistance.
Each senior partner takes a home under his or her wing, and the PwC
staff who volunteer are assigned to the various homes.
"Malaysians are a very generous people, but they're very
busy and not able to give a lot of their time. Our younger staff volunteer
to go to these homes with orphans and kids from dysfunctional families
to spend time with them and teach them English and Math. They also help
out with administrative training for the staff of the homes," says Johan,
adding that the staff is given time off on a working day for this.
"It's not huge, okay, but we think it's a different way
of doing community service and it's good for people to emulate," he
comments. The project is into its third year.
What with a new position, corporate governance issues,
the challenges of globalisation, raising standards, community service and
a host of other matters to deal with, there's no question that Johan's
going to have his plate full. What's his mechanism for coping with the
stress of his job?
"It always comes back to time with my family," he says
firmly, adding tongue-in-cheek "I'm so sorry, I don't drive fast cars."
"My father did his best to balance his work and his life.
I try to apply the same values to my work and my family, with the support
of my wife. I have three children - an 18-year-old boy, a 16-year-old girl
and another six-year-old girl. My happiest times are when we're all together,"
he admits. He reveals that he constantly waits for the older two, studying
architecture and A-levels in the UK, respectively, to come back for the
holidays.
"We try to take family holidays as often as possible.
I love it when the kids come back or I go. My son and I share the same
sense of humour and my daughter's sense of humour... I love it, it's
usually at my expense!"
Watching his face light up as he speaks about his
family, there's no doubt that he dotes on his wife and children. "My
wife is my No 1 supporter. Without her, I wouldn't be the basically
happy person I am. We pretty much grew up together. She's coped very
well with being in Malaysia because she's flexible," he says with obvious
pride.
It appears that Deborah is not just his stalwart life
partner, but also the selector of his ties, "my one extravagance". "I
love buying ties, I buy most of them, my wife buys the rest! But I'm
inevitably happier wearing her buys, the rest lie festering..." he
admits sheepishly. "Oh, this one's her choice," he reassures us as we
inspect his tie closely.
We ask about his relationship with his famous brothers,
lawyer, author and international speaker Karim Raslan and Kam Raslan, also
a writer and a columnist for Options.
"We're just like any other brothers. They are in very
different fields, far more creative than mine. But don't forget, we grew
up under very different circumstances. My dad dying was the catalyst, turning
point for me - I had to become more self-sufficient. But it showed me the
importance of family and a father who is around and spends a lot of time
with them. We missed that and it affected us in a lot of ways," he replies.
We chat about his brothers for a while, point out the
resemblance between the three of them, and comment that while he and Karim
appear to conform to the corporate type in the way they present themselves,
Kam is very different. "Yes, but you know why he's looking more spruced
up these days? Shirt ironed and all that? Got wife lah now," he grins.
Considering that both his brothers wandered onto the path
of journalism and activism, we ask why he was drawn to accountancy. "Because
I'm the most boring person in the world," he grins wickedly but we refuse
to be drawn into the argument about stereotypes again.
"Well, my father was an accountant, as were most of his
friends like Tan Sri Hanafiah. I made a decision during my A-levels to move
into a business-finance environment. Accountancy attracted me because of its
flexibility - my father left the profession to go into banking, for example.
I knew it would provide me with active training on the job and that I could
learn how it worked while studying," he continues more seriously.
Did he ever want to do anything else?
"Before my dad died, I wanted to be a race car driver.
Then, an air force pilot after that!. In university, my girlfriend, now my
wife, said we could open a sandwich bar if we failed our exams," he laughs,
then sobers down when he reveals that he has never been drawn to fast cars
after his father's accident.
Having reached what many would consider to be a pinnacle
of the profession, we ask Johan if he would consider doing public service
if requested by the government. "My father did almost all his life. My
grandfather did. I'm sure, if I am asked to in future, I will as well.
I'm already spending a certain amount of time in public service with the
Financial Reporting Foundation and as director of a public body," he
replies.
Has he already been asked? "No, I don't think I've
achieved the reputation. One has to achieve a reputation first," he
replies with typical humility.
When asked if he has any political ambitions, he says:
"Not at all. I wouldn't know how to conduct myself in that sphere. Better
stick to something I know". Like heading one of the largest accounting
firms in the country and taking it to greater heights, elevating accounting
standards in the country, developing people and being a great father. Yup,
he's got his job cut out for him but right now, Johan Raslan is thriving
on the challenge.