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Interview with Anil Mancham, Chief Executive Officer of KBZ MS General Insurance Co., Ltd

This week, Myanmar Insider talked to CEO of KBZ MS General Insurance to see the insights of insurance sector and how it is coping with in response to COVID-19 and its restrictions.

Enjoy the premiere!

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Future Digital Landscape will be Discussed at Digital Initiative Launch Event

Given the tremendous opportunities for business brought by digital, EuroCham Myanmar, together with leading digital European companies, are co-organising the Official Launch of the recently created Digital Initiative (EMDI). The online event will take place on September 9, 2020. The key objectives of the EMDI Launch Event are to introduce the EMDI as a key actor in the digital ecosystem of Myanmar and align and inform about the digital strategy of the government by bridging the gap between supply and demand of digital knowledge and services.

The EMDI and its partners will offer a general overview of the state of digital in Myanmar and will share insights on best use of digital a wide-variety of sectors: agriculture, infrastructure and connectivity, recruitment, health, energy etc.

The panelists will include leading private sector representatives and government representatives from the department of trade including Sven Callebaut, International Trade Advisor to Department of Trade, who will be presenting MoC led initiatives on e-commerce.

The EMDI is proud to invite the business community and other relevant digital stakeholders to discuss the successive numerical revolutions and the future digital landscape of Myanmar. The event will also be an occasion for digital business decision makers to provide tools to seize the opportunities generated by digital for all economic sectors.

The European Chamber of Commerce in Myanmar (EuroCham) serves as the voice of European business in Myanmar. Its main mission is to significantly increase the presence of European companies in the country and to facilitate market access particularly for European SMEs– by advocating for member interests with the government and organisations in Myanmar, the ASEAN region and the EU.

Registration is free for EuroCham Myanmar Digital Initiative Launch Event.

How Yangon Restaurants Are Responding to Coronavirus Restrictions – Part 2

As Yangon region government has declared “Stay-at-home” order amidst the tackling numbers of Coronavirus infections, restaurants in Yangon has ordered to cut sales into takeaways and deliveries only from September 8, 2020. Myanmar Insider has made a quick visit to some restaurants owners and managers in the city to discuss how they are responding to Coronavirus restrictions directed by the government and health ministry.

Watch the clip above to see what difficulties these restaurants are facing right now due to the restrictions.

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Myanmar is Ready for Post COVID-19 Tourism

Interview with Edwin Briels
Managing Director of Exploration Travel Myanmar

Please introduce yourself and your company to our readers.

My name is Edwin Briels and I’ve lived in Myanmar for almost 20 years, working in tourism and other industries. I started the Khiri Travel franchise in Myanmar 9 years ago and we are in the midst of ending the joint-venture to operate independently as Exploration Travel. Last year, I set up Lalay Lodge, a sustainable boutique lodge on an idyllic beachfront south of Ngapali beach and I am also the Managing Director of Grasshopper Adventures Myanmar, a biking company with bicycle tours in Mandalay, Bagan and Inle Lake. 

Tell us about your background.

I studied Facility Management in the Netherlands before moving to Thailand in 1996 and Myanmar in 2000. My experience here includes working with a ballooning company, an internet server provider (Bagan Cybertech) and different travel agencies for a broad understanding of the social and economic structure of Myanmar.  

When was your first time in Myanmar and how has it changed from then now?

In 1996, I was working in tourism in Thailand when I came to Myanmar for a 1 month holiday. I was enchanted by Myanmar and decided I wanted to spend more time here. Back in 1996, there wasn’t any internet or functioning ATMs in Myanmar and it has progressed with the world and times. Infrastructure has certainly improved, and there is greater economic freedom and mobility for people. I think the greatest change wasn’t so much of the country itself but the perception of the world towards Myanmar. From being the world’s favourite to being very critical on certain topics; I think the truth is that over the years the country has seen a steady upwards development that has been good for the people.

Could you tell the readers how you came up with the idea for a travel agency?

When we started Khiri Travel 9 years ago, it seemed to me that the classic programs offered by competitors aimed to overload a visitor with as many temples as possible. However, I think the most memorable thing about Myanmar is the people so we created a selection of experiences across the country to create meaningful interactions between our clients and locals. We found a niche for ourselves by keeping trips intimate and immersive, avoiding big bus tours, working instead on tailor-made holidays for individuals and families. 

How are you surviving COVID and post-COVID periods?

It is undoubtedly very trying and difficult for all in the travel industry with borders shut and no incoming tourists. We have focused our efforts on the expats who remain in Myanmar and locals who want to really understand different regions in their country. To keep as many employed for as long as possible, we are using profits from the past to maintain salaries to ease the burden but we also had to reduce the number of staff. Driven by a need to keep our qualified teams active and motivated, we set up two social businesses – Kumel Myanmar is a platform connecting Myanmar people with volunteer jobs in industries they have an interest in. For example, we have many roles in education, medicine or conservation. The second is Honeybee Arts & Crafts, a social enterprise which provides a reliable channel for communities around the country to sell their arts and crafts. We have an online presence, deliver internationally, and have a physical shop in downtown Yangon. Working closely with the communities have kept us nimble and our most successful product is customised face masks with company branding. Our aim of keeping everybody motivated and creating positive value.

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Picturing the Better, or Perhaps, the Worse Election

This is an opinion story. You can think freely about this story as you prefer and it has no purpose against any organization.

As we all know that come 8 November, Myanmar will bear witness to its 3rd General Election which will play a vital role in changing the country for the next five years. It may be a sheer coincidence that Myanmar is having the election in the same week as the United States. As the virtuous notion of democracy has constantly been shuddered in the States in the past four years, it was totally a dead loss in Myanmar in defiance of the belief moulded in 2015 – the very first election following the prolonged confinement of Aung San Suu Kyi.

Over the last five years in Myanmar, a tiny spark of hope has scrambled and unmasked the shambolic democracy of the country. It was also the first time the country had an elected democratic government in half a century, yet the optimism wasn’t really galvanized and so was the agony. Aung San Suu Kyi could not take up the post of the President and instead had to create a new position of State Counsellor for her. When Suu Kyi’s party, National League for Democracy, has won by a landslide in the 2015 election, no one can say for sure that the NLD will win again in such a landslide, and even if it does, the country’s democracy journey sees a long road ahead.  Hence, it’s very important for the Union Election Commission (UEC) to put on the fair-mask for 8 November. 

National League for Democracy (NLD), has won by a landslide in the 2015 election, no one can say for sure that the NLD will win again in such a landslide, and even if it does, the country’s democracy journey sees a long road ahead.  Hence, it’s very important for the Union Election Commission (UEC) to put on the fair-mask for 8 November.

Hla Thein, the chairman of UEC gave a statement on July 1, saying “multi-party general election for the Pyithu Hluttaw”. Nonetheless, Suu Kyi’s government has approved of a military crackdown that drove hundreds of thousands Rohingyas into Bangladesh in 2017 which gained an unbidden attention by international media. Regardless, it is very prominent for the UEC to put on a fair-mask for the coming Election; freedom is a key in this ballot. Last month, several complaints stormed through the suspicion of UEC and its decision to halt election campaigns of political parties due to the Coronavirus restrictions of gathering crowds. 

However, on the other hand, the president Win Myint and Suu Kyi will run in respective constituencies in Yangon region. As a political prisoner and being banned from becoming a president because of a constitutional restriction barring candidates with foreign spouses or children, Suu Kyi’s image has been besmirched by an unsolved puzzle of Rakhine State. Following the case filed by the Gambia, she personally appeared at the U.N. International Court of Justice (ICJ), the Hague and defended the country’s military against allegations of genocide.

In the upcoming poll, NLD will compete a total of 1131 seats; 162 seats inside theAmyothar Hluttaw, 319 seats inside Pyithu Hluttaw, 622 seats in the State and Regional Hluttaws and 29 seats for the Ministry of Ethnic Affairs. “Now the odds are higher than 2015. We could increase the number of seats we will win”, Dr Zaw Myint Maung, Second Vice President of Nation League for Democracy (NLD) said in a press conference last month.

In ethnic areas, the party has prioritized local ethnic candidates and 12% of farmers are also accounted for in November’s general election. Myanmar currently has 96 registered political parties. They will vie for a total of 1,171 seats that are up for grabs in both houses of the Union Parliament and in the state and regional legislatures. The election commission announced that more than 37 million people are eligible to vote and 97 parties will contest the polls. A total of 1,171 seats are at stake at the national, state and regional levels.

Dr Nanda Hla Myint, spokesperson of Union Solidarity and Development Party (USDP) gave his comment in the recent interview with us as follows. “Everyone knows it’s against the Constitution 2008 that the President cannot participate in political campaigns. It’s violating the Constitution in the most ferocious way. Besides, it subsequently affects the essence of the free and fair election regarding such a power by the President and sets a record of violating the national law in Myanmar’s next history.”

Dr Thet Thet Khine, founder of the People’s Pioneer Party (PPP) party has also spoken about the restrictions in the same issue. “We can’t host our campaigns now due to Covid-19 restrictions by the Ministry of Health. I suggest UEC shall start giving permissions for political parties to host election campaigns as soon as possible.”

Now that the country is almost hit by the second wave and Sittwe in Rakhine State is sealed off, gathering of crowds will be more forsaken. Thus, it can be questioned how parties would host campaigns amidst the pandemic. Gradually, over the past few years, NLD has made some efforts to advocate business yet major issues remain in some sectors such as jobs, infrastructure and foreign investment worsened by the  foregoing  attempt by the national reconciliation. Although Myanmar has not been hit hard by the Covid-19, the rate of growth of a diminished economy has been lower than that of the beginning of when it started opening to the world.

Since the coming election has to run under the Constitution of 2008 and it is one of the paths toward federal democracy, it is very important for major parties to push for it and it also depends on how much they can push through that path. Besides, during these five years, the NLD was unable to implement the process to establish federal democracy and reports say both ethnic forces and democratic forces said they have to rely on themselves. Thus, in any field of business, according to our survey, some people said they are not even voting any party. The reason comes out as a lack of confidence since those parties talked about what they will achieve when they won and nothing much has changed due to their experiences. Some also said they don’t like their performances either.

One more thing. There was a controversy with election monitoring (as for now). Sai Ye Kyaw Swar Myint, the Executive Director of the People’s Alliance for Credible Elections (PACE) said that the Union Election Commission (UEC) had not given him an official reply whether they would give PACE permission to observe the November election. The reason was also revealed later that it’s not an official association registered under the law.

Since many international observers will not be allowed into the country, due to the restrictions on Coronavirus, PACE was expected to play a crucial role in the polls like it had successfully monitored in the 2015, 2017 by-elections and 2019 municipal elections with its more than 2,900 observers.

“We met with UEC members on August 18, their Director General told us to get Form (5) for registration of our association for the permission to observe the election. Thus we had submitted it and no reply has come until now”, he told local media Mizzima on August 22.

Hence, the incident has led to more than 450 civil society groups to issue a joint statement calling for the decision to be overturned in the name of a “free and fair” election.

“Without Pace the elections will not be credible,” said Khin Zaw Win, director of policy advocacy group Tampadipa Institute inside an article with Bangkok Post on August 15.

Nonetheless, in the come November, we will witness the first ever General Election amidst the pandemic and polls outcome. Let’s look forward to seeing if the NLD party could overcome the rising disillusionment of the country’s many ethnic minority groups.

Update: According to PACE, it got the accreditation to observe the upcoming 2020 general elections on September 3, 2020.

Lockdowns and Rises in Domestic Violence

Countries around the globe have been suffering from the outbreak of coronavirus, caused by a newly discovered virus, since the start of 2020. It reportedly started in Wuhan City, China in the end of December, gradually spread across the world and was finally declared as a pandemic by the World Health Organization (WHO) on March 11, 2020. 

Since it first spread from China, all nations globally made certain social distancing measures such as washing hands, wearing face masks, lockdown, quarantine at home, and more.

Ever since the stay-at-home (or lockdown) period started after the declaration of pandemic by WHO, a lot of workplaces, schools and public areas were closed to avoid massive crowds and close contact with one another. Daily routines and actions of people suddenly transformed into a different concept- people working from home and communicating via online tools and students taking online courses.

Stay-at-home period has been a very useful strategy for preventing the spread of the disease, and people have been following the government’s instructions for social distancing and hiding out at home as much as possible.

Staying at home has been the safest way to avoid the transmission of COVID-19, however, some people are encountering much worse experiences at home – domestic abuse.

Domestic violence involves physically, mentally, financially, emotionally and sexually abuse. The behaviour of domestic abusers comes with the purpose of taking control over one’s partner, boyfriend/ girlfriend or family member. 

The United Nations defines violence against women as “any act of gender-based violence that results in, or is likely to result in, physical, sexual or mental harm or suffering to women, including threats of such acts, coercion or arbitrary deprivation of liberty, whether occurring in public or private life”.

According to the United Nations, cases of domestic violence have increased by 20% during the lockdown period and WHO also stated a data that 35% of women worldwide have experienced either physical or sexual intimate partner violence or non-partner sexual violence.

So, what has led people to commit domestic abuse towards their beloved partners and family members at home? With the closing of workplaces, people do not feel financially secured anymore. The virus and lockdown have made them feel insecure and doubtful about their financial status and job security. It has also been stated that self-isolation and quarantine can have impacts on people’s psychological well-being.

The stress level in their living situations has increased so husbands are starting to vent out their anger and frustration on their wives and sometimes even children. Researches have shown that the level of anxiety and tension in households increases as people are living together in close proximity, along with unemployment, isolation and uncertainty about the future. 

The actions of people committing domestic abuse can vary – the person may always be abusive and his actions become much worse during the lockdown or the actions of certain people change into aggressiveness as their daily social interactions have become restricted.

The consequences of domestic violence are not something to be considered as simple matters. It affects women, children, families and also the community. Victims of domestic violence can face several physical and mental diseases such as depression, sleep problems, hypertension, PTSD (Post-traumatic stress disorder), chronic diseases and many more.

Italy was the first country to have reported on when it started its lockdown in early March, followed by Spain, France and the UK later.  

According to domestic charity violence Solace, during the period when the government first eased the lockdown in the UK in May, there was a 200% rise in complaint calls to their helplines than previous times. Solace is a women’s aid organisation based in the UK, supporting women and children in London to build safe, strong lives and to seek futures that are free from male abuse and violence.

Akhaya Women, a Myanmar-based initiative which is led by women for women, supports women to undergo a process of individual transformation- to question negative traditional beliefs about their own bodies and sexual being and to question social norms of masculinity. Akhaya has been helping to build a world where women are safe, peaceful and free from all forms of violence. It also stated that within two weeks after the lockdown, the number of complaints against domestic abuse has increased more than before. 

The United Nations Entity for Gender Equality and Empowerment of Women (UN Women) states that domestic violence was already one of the greatest human rights violations. Abusers controlling over their partners and sometimes even children- these issues have been existing in society for so long, ever since before the pandemic. The pandemic and the lockdown somehow highlighted the situation and people are becoming more aware of the domestic violence taking place inside the homes, both knowingly and unknowingly by outsiders.

Women are trapped inside their own homes with their abusers, with a lot of women not trying to reach out for help for various reasons- feeling ashamed or worrying that their abusive partners might find out that they are seeking for help.

In his message about domestic violence back in May, UN Secretary- General Antonio Guterres said, “For many women and girls, the threat looms largest where they should be safest. In their own homes. We know lockdowns and quarantine are essential to suppressing COVID-19. But they can trap women with abusive partners. I urge all governments to make the prevention and redress of violence against women a key part of their national response plans for COVID-19.”

In an online conference entitled “Taking action to end domestic violence during pandemics”, organized by UNESCO on May 19, 2020, Saniye Gulser Corat, UNESCO’s Director for Gender Equality, declared that domestic violence is not only a women’s issue and a holistic approach to gender equality is vital to ensure a safe and empowered future for all women and girls. 

During the conference, Humberto Carolo, Executive Director of the White Ribbon (Canada) also stated that men often have control over family lives by playing a dominant role at home and violent behaviours are on the rise during economic crises.

According to a video posted by BBC back in May, a woman told her experiences about domestic abuse at home to BBC. As stated in the video, the woman’s husband had been threatening her to beat her up or kill with a stick if she didn’t move out of the house. She eventually had to stay a night at her neighbour’s home and contact a domestic violence shelter to stay in later days.

During the lockdown period, some of the shelters are closed and some cannot resume their operations due to shortage of facilities. 

According to a speech of Phumzille Mlambo-Ngcuka, the Executive Director of UN Women on April 6, 2020, about 243 million women and girls (age 15-49) have been subjected to physical or sexual violence by their partners in the last 12 months. UN Women has been working with governments, civil society organisations, UN agencies and other institutions to support ending violence, increase awareness of the consequences of domestic violence, and help prevent domestic abuse around the globe.

Araddhya Mehtta, the Country Director of ActionAid Myanmar, stated that, with factories being shut down, there has been an inability for workers to get access to food, healthcare and basic essentials. Losing their livelihoods has not only many workers unable to get access to those, but is also putting women at greater risk of sexual and domestic violence. 

ActionAid Myanmar is a global federation working for a world free from poverty and injustice. The organisation has been working closely with people living in poverty and exclusion, civil society organisations, social movements and supporters.

According to the organisation, they are already seeing increases in the number of women reporting incidence of gender-based violence through its support services. A telephone line, run by paralegals by ActionAid Myanmar, is ensuring that women have access to support and information during the lockdown and men are also participating in gender equality and helping to fight violence against women through a male role model project.

The transmission of the virus and the lockdown may end one day. However, domestic abuse and violence is still going to take place in the community for a certain amount of time. Thus, a lot of local and global organisations and community councils are finding ways to help support vulnerable women around the world and raising awareness to the increased rate of domestic abuse and violence around the globe.

Delivering Innovation through Excellence

Country Manager of DHL Myanmar

Interview with Shisanupong Pitidhanyasawasdi
Country Manager of DHL Supply Chain Myanmar

Please introduce yourself. How do you end up at your current position? 

My name is Din, and I am Thai. I have been working with DHL for almost two decades and have been part of the various DHL business divisions in Thailand and Singapore over the years. I have taken on different roles during my time with DHL before I came to Myanmar in 2016 as General Manager for Business Development to set up DHL Supply Chain in the country, and later on taking up the role of Country Manager.

What are the principal activities of DHL Myanmar? Any differences between DHL in Myanmar and DHL in other countries? 

DHL is the leading global brand in the logistics industry and a part of Deutsche Post DHL Group. Our DHL divisions offer an unrivalled portfolio of logistics services including national and international express parcel delivery, e-commerce shipping and fulfillment solutions, road, air and ocean transport to industrial supply chain management. 

  • With about 380,000 employees in more than 220 countries and territories worldwide, DHL connects people and businesses securely and reliably, enabling global sustainable trade flows. With specialized solutions for growth markets and industries including technology, life sciences and healthcare, engineering, manufacturing & energy, auto-mobility and retail, DHL is decisively positioned as “The logistics company for the world”. DHL first entered Myanmar back in 1982 with our Express division and has, in the last three decades, expanded its portfolio to include the full range of logistics solutions, powered by our Supply Chain and Global Forwarding divisions.  DHL Supply Chain Myanmar was established in January 2017 and in recognition of our expertise and best-in-class standards, we are the only 100 per cent foreign-owned logistics company to have acquired an investment permit from the Myanmar Investment Commission. I represent the DHL Supply Chain in the country and we are the global market leader for contract logistics solutions.  As an international logistics provider with a global and diversified portfolio, we can tap on our global experts to offer best-in-class 3PL services to our customers.  This, combined with deep understanding of the local business environment, enables us to customize our service offering to suit the distinct culture and needs of businesses operating locally. 
  • Coupled with our in-depth knowledge and best-in-class supply chain services, we aim to play an instrumental role in supporting the dynamic growth of key industries ranging from  Retail, Consumer, Technology, Engineering & Manufacturing, Automotive and Life Sciences sectors in the country through focusing on developing local talents, strengthening our local presence and leading the way for Myanmar’s logistics industry.
  • In November 2019, we announced the launch of our first multiuser warehouse in Myanmar, located in Dagon Seikkan Industrial Zone in Yangon, the country’s trade and commerce epicenter. We invested approximately 1.58 billion Kyats (€1 million) in this facility and are targeting to add more than 200 full time employees to its team by 2021. The 6,000 sqm. (60,000 sq ft) state-of-the-art warehouse caters to the needs of the expanding local customer base, mostly from the consumer and technology sectors.

Why are DHL delivery fees so expensive? 

“Expensive” is a pretty subjective word and it can be perceived differently, depending on each individual’s experience. Personally I will think of something as “expensive” only if the value and quality of the experience or product does not match the price that I have paid.  We are a global company with industry-leading innovations and technologies, tools, research and best practices that are available and shared among countries. We as a logistics provider, play an essential part to develop the optimized ecosystem that facilitates the supply chain industry. Customer centricity is one of our focuses; we strive to provide the best solutions to keep our customers ahead of the competition with a deep pool of resources and talented logistics experts and latest technology in warehouse and transport operations. Businesses rely heavily on how good and effective they can manage the way they store and move their inventories to their customers, and DHL Supply Chain is a trusted partner to help our customers’ business to grow. With all above capabilities, and investments that we made with the clear goal to strive for the best incomparable experience of our customers and their customers, we bring value to the entire logistics and supply chain.

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What are your most memorable projects so far? 

Setting up the DHL Supply Chain in Myanmar is my most memorable experience since I had the chance to build a new team, develop new businesses, learn several new lessons, and meet f new people. It has also given me the unique opportunity to explore new culture and socioeconomics in a very unique country. Of course, this also comes with a fair bit of challenges but all in all, the past four years have been a good journey, marked by accomplishments. One of the most significant moments for us, was when we were awarded an important contract earlier this year, with a world leading FMCG company. We were tasked to manage its entire warehouse management operations in Myanmar – one which spans across 4,000 sqm, accounting for more than 60% of total warehouse space in our first multi-user warehouse in the country. The warehouse runs on a fully integrated warehouse management system that provides our customer a real time visibility of their inventory and product movements. 

What particular challenges do you face here? 

Every single day in Myanmar is full of surprise and involves new learning opportunities. The country has a very unique culture and heritage which require an extensive amount of time and commitment to fully embrace and understand. This also extends towards the business environment which we are in, as we develop plans that allow us to move forward with our agenda while learning to adapt and apply our global knowledge and best practices into local context.

How has COVID-19 affected your business? How are you preparing to face the post COVID-19 period? 

Covid-19 pandemic has brought into focus the critical role that the supply chain industry plays in supporting people’s lifestyles as well as meeting societal needs and keeping economies going…………

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How Yangon Restaurants Are Responding to Coronavirus Restrictions – Part 1

As Yangon region government has declared “Stay-at-home” order amidst the tackling numbers of Coronavirus infections, restaurants in Yangon has ordered to cut sales into takeaways and deliveries only from September 8, 2020. Myanmar Insider has made a quick visit to some restaurants owners and managers in the city to discuss how are they responding to Coronavirus restrictions directed by the government and health ministry.

Watch the clip above to see what difficulties these restaurants are facing right now due to the restrictions.

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Transformed Workplaces in a Post Covid World

The decades old office home divide has suddenly disappeared. The home and office, two distinct premises till a few years, first saw the imaginary wall in-between crack somewhat when IT companies allowed many employees to work from home occasionally, since digitalization and the smartphone culture made them accessible. And now the wall has crumbled completely, work-from-home has become a norm, office spaces except essential services shut in most countries where the pandemic is not abating. From consultancy companies to IT and pharmaceuticals, employees in finance, human resources and other management segments are trying to maintain a segregation between work and family life, since both fall in one physical domain for the present. The commercial and residential, living space and working space seem to have merged, for better and for worse.

The new ways to work

The World Health Organization declared Covid-19 a pandemic on 11th March, and stressed on the need for social distancing, shutting down of public places and offices and other safety measures. As organizations started the remote work system, there was an initial sigh of relief from most employees, even as fear of a dangerous disease spread. The need to rush out at 7.30 in the morning, planning and organizing the home and family before that, working all day, and rushing back to chores and some pending office work to complete, made the days stressful. Driving through traffic, shopping on the way, calls to make, all added to a frenetic lifestyle. Remote work helped to ease and slow down the pace, resolving domestic issues even while posing challenges like concentrating and listening in on meeting without getting distracted with background activity, like bawling children, television sounds and other crises that mark typical households.

From the employers’ perspective there were concerns about productivity and accountability, the office always having been the disciplined, regulated workplace that infused seriousness and focus, was formal and organized, and hence ensured result-oriented output. The transition from full office workdays to online attendance was not easy. As Mark Pringle, one of the Senior Vice Presidents at Dell technologies wrote on the World Economic Forum Covid Platform, “we need to evolve the dated mindset that being in office full time is an actual business imperative”.

The home is the alternative workplace, far safer during the pandemic even though limiting in terms of personal interaction with colleagues. But then personal interaction has been redefined too- it takes place on video calls on multiple platforms, with just physical proximity missing, affirmation and bonding through handshakes, hugs and pats on the back only virtual.

Looking back, one realizes that domestic distractions were always frowned upon, and impacted careers. Research now reveals that productivity increases if these issues are resolved. Google’s decision to have daycare for small children in office premises, gyms and game rooms, addressing needs for rest and exercise have only served to bring out the best in employees. This model has been replicated in hundreds of organizations, providing all facilities at the workplace itself.

Change is evident in the way organizations now think, how they address meetings, events, travel, policies and accountability, and above all, understand the value of working in cyberspace and the need to focus on cybersecurity. The era of digital transformation began long ago for organizations, even those that found it unaffordable and kept procrastinating, now understand that it is the key to survival.

Microsoft’s research teams have found that employees are already showing signs of remote meeting fatigue, in-person meetings have been found to be less tiresome.

Productivity and costs

The need for having sprawling offices and multiple branches is being questioned now since productivity has remained intact despite remote work options. Productivity refers to the quality and quantity of output of individual employees that impacts company profits and also enhances efficiency.

 Companies like Chegg, a US based online learning company, have found that projects now finish before deadlines, people became more productive since domestic issues were easier to resolve and time wasted in commuting could now be devoted to work. A survey conducted by research and advisory firm Valoir found an average production of just 1% in place of the anticipated 15 – 20%, with remote employees clocking in 9.75 hours of work on a daily basis. 

The flip side

Another study conducted by Stanford professor Nicholas Bloom along with Ctrip founder James Liang revealed higher work satisfaction among remote employees, attrition rates lowered by half, higher concentration and focus and lesser time off, leave requests and breaks. These have served to enhance productivity levels and strengthen companies during the slowdown.

As Amanda Stanway, principal architect in a Sydney-based architecture firm states, “most people work to earn money, but also work because we enjoy coming together to create ideas and solve problems…the sense of connection is fundamental to the human race”’. Man is after all a social animal. Being confined to the home, especially those living alone without family, are facing psychological issues, depression often setting in, and no one to talk to. In offices, you pass by tens of people, a word with the door man, an exchange in the cafeteria, a smile in the elevator, all break the monotony of solitude.

Companies are downsizing their physical premises, reducing physical attendance, saving on rents and maintenance. Travel expenses are non-existent for the present, and employee facilities in offices are not being utilized. Unemployment levels are rising but with lesser office spaces in use, support and maintenance staff will end up without work. Additionally, commercial constructions will slow down, changing the real estate market as it exists today. 

Offices and attendance cannot be written off altogether. The personal interaction is already being missed. Microsoft’s research teams have found that employees are already showing signs of remote meeting fatigue, in-person meetings have been found to be less tiresome. Remote collaboration often yields suboptimal results.

Systems and tools for remote work

Work-at-home plans have taken concrete shape and businesses continue, without too much being put on hold. Virtual meetings and webinars have replaced office meetings and conferences. Those that were still considering upgrading communication networks have now prioritized investment in technologies that will aid ‘work-from-anywhere’, like Microsoft, Citrix, IGEL among scores of others. Demand for virtual desktop infrastructures has skyrocketed, and the use of meeting applications like Zoom, Webex, Microsoft teams, Google Meet, Facebook’s Messenger Rooms, Go-to-Webinar has multiplied far more than anticipated.

Surveys reveal that the use of videos has doubled, and Microsoft found its Teams being used for a record 2.7 billion minutes in one day across the globe, in early April, up from 900 million meeting minutes a month before. Teams for education has 183,000 tenants across 175 countries where students have benefitted immensely from distance learning. 

Systems and processes to put critical technologies in place have been completed and regular check-ins becoming easier. Accountability at one point meant being seen physically on one’s desk in office, visibility was a big element of corporate culture; all this has now become redundant. The quality and quantity of work is more significant. Senior management has initiated remote coaching and keeping up interaction to involve employees at every rung. And though head offices will not become obsolete, they will certainly be less crowded, and progress from being networking domains to action centers where employees meet to collaborate and create, improve efficiency and add substantial value. Acceptance of working from home for routine work, has been a giant leap for traditional managements that focused on hours spent on office desks.

The agriculture sector has managed to display resilience and the Information Technology sector has seen a rapid surge in demand and activity as per the Myanmar Economic Monitor

 What lies ahead

The top globally successful companies set the tone and pace for others to follow. Not just because they have the resources to make bold decisions but also because they have invested in research and sought the best expert opinions before deciding anything.  Human Resource divisions of organizations are working overtime to rethink workforce and employee planning, come up with appropriate management, experience and performance strategies at this time. Remote monitoring is here to stay through virtual check-in and checkout of employees, tracking usage on work computers and monitoring of international communications through internal chats and emails. Many call it the “telepresence revolution” that is changing the workplace and the workforce. 

Already, Twitter Chief Jack Dorsey has said that employees can work from home permanently, having suspended travel and in-person meetings till 2021. Microsoft has extended its work-from-home plans till January 2021, while Google has extended its remote work plans till July 2021. Asian companies are selectively opening offices, opting for graded attendance, revamping spaces to maintain social distancing norms and installing sanitation and hygiene equipment. The measures depend on the extent of spread of the coronavirus. 

Myanmar has been fortunate to be safe and secure from the Covid impact, and after an initial lockdown in April and May, life seems to have resumed its normal course with offices and factories both fully operational. This however does not mean that the pace of economic activity has been maintained, there have been shutdowns and many businesses have had to wind up due disruption of the supply chain. The agriculture sector has managed to display resilience and the Information Technology sector has seen a rapid surge in demand and activity as per the Myanmar Economic Monitor.

The country’s borders remain sealed and only a few pre-approved international flights are permitted entry, with thorough scrutiny of each passenger, and essential institutional and home quarantine. However, the global pandemic has brought forth the need for rapid digitalization of workplaces and providing access to devices that will facilitate remote work. The country was quick to adopt WHO recommendations and followed contact tracing methods followed by other ASEAN nations, which curtailed person-to-person transmission and has kept the total number of Covid positive persons in three digits, nearly all being migrants returning to Myanmar.

With no visible end to the pandemic, no cure, treatment or vaccine yet, Myanmar is safe only as long as the borders are sealed, and in the long run, digitalization holds the key to continuation of businesses and employment that sustains lives. Being forewarned is being forearmed. 

A Vision to Make the Export Sector More Resilient

Interview with Naw Mutakapaw
Director General of MyanTrade at Ministry of Commerce

What are the implications of the COVID-19 situation in international trade-now and in the future? What are the lessons to be learned?

Myanmar’s economy has not yet seen the full impact of the COVID-19. We expect our economic development to be slower with an overall growth of about 0.5% i n FY 2019-2020 due to the pandemic. With the closure of borders in many countries, additional rules and regulations for imports in terms of food safety, quality and standards have been imposed globally. Due to social distancing measures, many factories had shut down for a certain period and experienced challenges with disruption of the supply chain, delay in logistic services which eventually led to loss of many jobs. As Myanmar participates in global trade, we have experienced the spillover effects in terms of supply and demand shocks on the economy. Although we were less affected than other ASEAN countries since we have a big domestic market that consumes some of our products, this is partly why our overall growth is foreseen to be positive while most countries in the world will have negative growth in the rest of 2020. Global trade is changing very fast. The Pandemic has only accelerated the existing trade war between the US and China. Importing countries will most certainly be applying more stringent quality and sanitary measures to ensure goods are safe for consumers. This will require Myanmar companies to increase their compliance with global standards.

Regionalization and restoring of supply chains is highly required. The supply shock caused by COVID-19 is leading manufacturers to bring productions of inputs closer to assembly factories. The pandemic has accelerated the ambition of consumers in developed economies for green growth. In Europe, there is a growing pressure to tax imports based on their carbon footprint. Market intelligence services to exporters are critical for exporters to keep abreast of a new development in partner countries. The growth in digital solutions is creating a major demand for e-commerce solutions. This is a time for IT and logistics companies to work hand in hand to better connect producers and consumers. 

A key lesson is the importance of diversification, namely that we rely on multiple import sources, products, and destination markets, to reduce dependency in terms of supply of inputs and clients. This lesson should certainly influence companies to include some precautions in their business plan in case a similar situation occurs in the future. 

2. What have been the priorities of the Myanmar Trade Promotion Organization in terms of pandemic and its consequences?

Myanmar trade Promotion Organization has focused on the following priorities: 

  • Providing exporters with timely information about market requirements and global demand. 
  • Assist the exporters and business owners to resume their export activities following the guidelines of the Ministry of Health and Sport (MoHS). 
  • In line with CERP recommendation plans are being made to create an online Expo Park for Myanmar potential Products.
  • Promote e-commerce (online marketplace on the new website www.myantrade.gov.mm) as a resilience plan.
  • Continue to improve our nationwide trade information network with Trade Centres in states/regions contributing to the distribution of timely information to exporters.  
  • Organize sectoral meetings with relevant departments, ministries and development partners to guide, steer and monitor the export performances.
  • Implement plan of actions of priority and supporting sectors identified the corrective measures for Covid 19 pandemic, under the National Export Strategy, in cooperation with relevant ministries, business associations and development partners

3. What is the country’s current situation with regard to exporter financing, logistics services and export quality management?

Myanmar has been going through the transformation and the situation has become even more demanding with the global pandemic. The crisis has shown that basic logistics and quality management services should be further improved to facilitate the trade operations of our exporters.  Logistics and quality management are very important areas to ensure the competitive trade and export performance of Myanmar in the international market.

Based on CERP, 100 billion Kyats soft loans have been allocated to finance trade in any product to revive the economy. According to our survey of Exporters, completed in collaboration with the International Trade Centre (ITC), exporters have faced decreased orders, cancellation of orders, and have a large uncertainty about the next few months. Since exporters continue to utilize several suppliers and employees to satisfy global demand for Myanmar products, this is why we think that it is important to financially support our exporters so they can continue to create employment for Myanmar people. 

4. What plans are you already considering for the rest of 2020? 

We strongly believe that our response needs to be two-fold. Primarily, and as mentioned earlier, we need to focus on providing immediate support to exporters for continuity of operations and recovery. This we are doing in line with the CERP recommendations. 

We also believe that we need to work towards making the export sector more resilient in the medium-term to be better prepared for future crises. An element for this is having a well-defined plan to build up industries, support product and market diversification, and most importantly help our enterprises ready for the transformations that are only accelerated by the COVID Pandemic, namely digitization of processes, online trade, new production technique, and a more dynamic trade in Asia.  

In order to achieve this, Myantrade is implementing a plan to better support our exporters. First of all, we are fully updating our Myantrade website to facilitate access to up-to-date trade information for SMEs and exporters to better understand fast evolving trade dynamics. Exporters will also now be able to contact us directly online to ask questions about exports. Since not all are going digital, we are also strengthening our help desks in Yangon (at MITC on Merchant street) and in states/regions, so that exporters, and SMEs wanting to export, can visit our trade centers to get answers to their questions

We are also gradually progressing on larger government efforts to develop e-commerce. As such, Myantrade is now facilitating an online marketplace for companies to display their products online.  We will also try to explore how to support our SMEs in participating in virtual B2Bs and trade fairs. 

We intend to establish Myanmar Export Development Board in public private partnership that will be responsible for guiding the export agenda of Myanmar. In terms of plans, and as you know we are developing the National Export Strategy 2020-2025, which should be endorsed by the Government soon, following which implementation will start in collaboration with various departments and institutions. They will be able to request additional funds from the National budget and include NES in their respective department’s work plans.

5. As the Ministry of Commerce has adopted National Export Strategy (NES) in 2014 including improving digital integration, trade, and investments in the country and as the authorities have coordinated the development of this strategy and monitored its implementation, how do you assess its implementation by business and state governments so far? 

Looking back, I can say that previous NES has provided the appropriate framework for the expansion of several industries, as well as for the launch of economic and fiscal reforms supporting developments in the services and manufacturing sectors. NES strategic and operational objectives were designed in consultation with various stakeholders and set to be realistic enough to reflect the ground situation of export sectors and exporters. It’s largely due to these realistic targets that the clear and transparent set of activities was realized in the NES 2015-2019, benefiting especially to the SMEs.

This was achieved thanks to the strong cooperation between the government and private stakeholders, along with support from various development partners. 131 trade development projects, including national budget initiatives contributed to the NES implementation, and more than 70% of previous NES received support with the implementation. 

Since the beginning of NES implementation, many things have improved such as regulatory reform, quality management and market access, etc. NES provided a comprehensive roadmap for support to export industries; we therefore considered it was important to design a new NES for the period of 2020-2025. The new NES will cover new sectors which are vital for stimulation of innovation and technology acquisition to diversify export. With this results-based assessment, I can say that the past NES is a success and the current one will be too, since we have a stronger private-public and inter-ministries cooperation. 

Myantrade Organisation

6. How will the NES 2020-2025 be adapted to the issues resulting from the pandemic (e.g. employment)? Will it support the implementation and design of policies aimed at economic recovery?

As mentioned earlier, we have conducted a survey, in collaboration with ITC, of major exporters. We are using the findings to adjust the priority activities of NES 2020-2025.  Thus, the NES now takes into consideration our exporters’ priorities in terms of recovering from COVID-19 pandemic, as well as their longer-term objectives for reaching new markets. 

Additional data was also collected from local and international experts, key officials of relevant departments, and the private sector representatives to adjust the NES priorities.  Based on these inputs, Myantrade organized a number of public-private sector level meetings to further adjust NES activities as response to the economic impacts of COVID-19. NES activities were thus adjusted as short-term emergency and long-term plans. The consultations of NES activities were held during the COVID 19 pandemic and confirmed short-term and long-term activities to respond to the impacts of the COVID-19. These activities will be submitted to the economic impact working committee to support the implementation of CERP.  

We must remember that the NES is a whole-of-Government and whole-of-country initiative. All relevant departments should take part in its implementation. Efficient implementation, as well as monitoring and evaluation of NES will depend on inter-ministerial cooperation and the support from all private sector and development partners. The vision for the upcoming years is to spur innovation, to encourage start-up activities, and support the technological catch-up required for our SMEs to be more productive and competitive in global markets. NES 2020-2025 is also designed to support poverty reduction, rural development and income promotion in line with MSDP.

7. What are the particular challenges at each stage of NES implementation?

We aim for the NES 2020-2025 implementation to start with the new financial year 2020-2021. The allocation of funds from the National Budget for NES implementation is one of the key elements of successful export development in Myanmar. As a whole-of-country initiative, NES implies a lot of collaboration between relevant departments and industry representatives. However, the communication is sometimes challenging due to other priorities of each institution. We also need to keep our development partners apprised of NES objectives, progress and new priorities, so that we can better coordinate and align interventions. Overall, good cooperation is challenging to achieve but is the key success factor in export development.  

8. What is the current level of cooperation of the government agencies with global institutions and how would you assess the level of support and aid?

All Ministries involved in international trade are cooperating in the design and implementation stages of NES activities in line with their institutional mandates. 

The NES implementation is led by Public-Private Partnerships (PPPs). This public-private coordination serves to create a unique industry-level platform to achieve export-led growth for Myanmar. Development partners provide additional support for implementation. More than 100 private sector organizations participate in NES design and implementation, ranging from UMFCCI to border trade associations.

Development partners provide continuous support to MoC and other departments to build capacities of officers and introduce global best practices. NES is an excellent framework to provide the basis for cooperation between the government agencies and international institutions. Seeing this kind of strong cooperation, we are grateful to all concerned agencies and officials, private associations and development partner organizations for their support to the successful implementation.

9. What future holds for Myanmar economy whether to a better state or a worse situation compounded by pandemic?

This situation is opening up new opportunities for the Myanmar economy and that we will recover and become a stronger and more resilient state. As a fast-emerging economy, Myanmar has many opportunities to learn from this crisis and build stronger systems and institutions that will be able to be agile in future crises. There is an opportunity to develop an e-commerce platform with the initiatives of entrepreneurs and support from the Government sector. With the advantages of large labor force and various agri-products available, Myanmar could become an agro-food and food processing exporting country in the future. Hence, our economy will be better in a few years as we will have learned and adapted to a fast changing and evolving world. 

10. What advice would you give to businesses in priority export sectors? 

  • Ensure good quality products that can meet international standards. This is even more important following the COVID-19 pandemic.
  • Always keep informed about the latest global trends and best practices for sector development.
  • Adapt as much as possible to global demand and importing countries requirements. 
  • Try to update and modernize the business continuously. 
  • Explore new market opportunities. 
  • Develop new value-added diversified products.
  • Keep in contact with Myantrade/ Myantrade website/ trade centers for news and advice.

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