Cambodia’s new corporate darling

… Industries such as tourism and garment production are booming. Mining is taking off and the Cambodian Stock Exchange (CSX) is finally up and running after a 10-month delay with Phnom Penh Water Supply (PPWS) its first listing. “PPWS is considered one of the best managed state enterprises in Cambodia. Phnom Penh is one of the only cities in Asia where it is safe to drink water out of the tap,” said Doug Clayton, CEO of the frontier investment fund . That reputation was hard earned in a country renowned for corruption (164th on Transparency International’s perceptions of corruption index last year). What changed PPWS was the appointment of Ek Sonn Chan as director back in 1993. Given the mission to provide the city with clean, affordable drinking water, he began by building a performance-based corporate culture. Practices that allowed jobs for life, along with jobs for friends and relatives, were ditched. Staffing levels were cut by 80%. Those who remained were paid high salaries but told they would be dismissed if they failed to measure up. Two factors contributed to the company’s success. First Sonn Chan obtained the implicit backing of Prime Minister Hun Sen who supported his plan to run PPWS as an autonomous body. Second, he tugged on the emotional heartstrings of donors who had begun entering the country as part of a UN bid to rebuild it. …

http://www.bangkokpost.com/business/economics/291098/cambodia-new-corporate-darling