ISC provides "proof"; wants change in Tourism Ministry

KUALA LUMPUR (Feb 6, 2011): Advertising agency Integrated Strategic Communications (ISC) Group has provided "proof" to the authorities to back its claims of "ambiguous" tender processes for Tourism Malaysia’s advertising and promotions contract. Its CEO and founder Austen Zecha said ISC had provided documents to the Malaysian Anti-Corruption Commission (MACC) last week to back its reasons for withdrawing from a bid for the North American, European and Oceanic markets. He explained that after running the successful "Malaysia, Truly Asia" campaign for 12 years, ISC put in a bid for another three years but decided to withdraw following disparities in the tender process.

"We welcome investigations to determine the real facts behind what has compelled ISC to regard Tourism Malaysia's current three-year contract tender process as one of 'ambiguity', and one from which ISC must withdraw for the sake of its own credibility, ethical standing, integrity and future reputation," said Zecha when met today. He said concerns raised also include a new regulation for tenderers to have a minimum paid-up capital of RM1 million. "This would gravely affect bumiputra companies," he said, adding that another issue was that the original tenders have since been reduced from 11 jobs to only five.

For example, he said ISC used to focus on Europe, but the now the Western markets have been lumped into one, which it had bid for. He also dropped this bombshell: "We will not bid for any more Tourism Malaysia jobs unless there is a change in the administration of the ministry!"
Denying that his was a case of sour grapes, Zecha said: "As much as we never like to lose, we much rather not win in a less-than-open race." Zecha said previously a pitch was open to all bona fide and registered agencies where short-listed ones will present its proposals to a Selection Panel which includes members from the Finance Ministry.

"All of this was done within the stipulated time frame of three to four months, and winners were announced and their contracts then negotiated and finalised before the end of the last contract period," he said. Zecha said this time, all bids were required to be submitted by Aug 16 last year and the shortlist expected to be announced in by early October. He said with weeks before the contract expired, ISC sought clarification from Tourism Malaysia but the latter was silent.

He claimed that ISC learnt winners would this time be selected through a set of criteria not previously shared with tenderers but recommended by the Selection Panel to the ministry.
He also expressed concern that there is yet to be any promotional activity to draw foreign tourists due to the delay in announcing the winning bid. Zecha said Malaysia lost a great opportunity to capitalise on tomorrow’s Superbowl game in the US, which is watched by 185 million people. "We already did a commercial for this event," he said.He added that ISC has since been asked by ministry officials not to withdraw its bid.

"ISC would be delighted to be of service again to Tourism Malaysia under the same open, honest and transparent conditions which existed in the 1970s, 80s, 90s and even this decade. "However, we will also track all new advertising and promotional work from any of the winning tenderers to ensure that ISC's withdrawn and still unpaid for concepts and ideas are not used by anyone. "By not having Tourism Malaysia as a client, we can productively critique our former client's foibles, missteps and ambiguity," he added.

Minister Datuk Seri Dr Ng Yen Yen, when met in Penang, declined comment. On Wednesday, her ministry issued a statement maintaining that the tender process complied with financial and procurement guidelines. It said of the 111 tender forms distributed, 34 agencies submitted their forms. It explained that the delay in announcing successful pitches was due to tedious scrutiny process, meticulous efforts of the respective main committees – the finance, technical and tender committees.
- theSun