The Republic of China, with much of the world, faces a bewildering era of economic uncertainty. This country can no longer count on cheap labor and energy for a competitive edge. The increases in productivity have been leveling off. No technological break-through" of any magnitude has been seen for years.
Limited attention was paid to management improvement. Prevalent commercial statutes have become obsolete because of lack of revision. The major affliction, worldwide economic recession, continues, and international protectionism has been growing.
Such complex problems cannot be solved just by a few competent leaders, who, at best, can provide the direction and formulate effective policy. To carry out such direction and policy, they must rely on rely key adjutants.
Economics Minister Chao Yao-tung was the head of China Steel, a sprawling government-invested enterprise. Since his promotion to the post of minister, he has appointed about a dozen departmental chiefs, chosen on the basis of his own four primary requirements - virtue, talent, ability and energetic spirit. Except for M.T. Lin, the new 36-year-old deputy director of the Industrial Development Bureau, who was Chao's subordinate at China Steel, all others had no connection with the Minister before their appointments, Most were recommended to Chao by associates or recruited at his instance because their records of achievement had caught his attention.
Besides meeting his four basic requirements, Chao's adjutants are generally better-educated, more proficient in foreign languages and also younger than their predecessors. But, he comments, “One wave must be followed by another wave. I would not wish everyone to retire when I retire."
Some of the new appointees come from business. Li Chang-yi, a business executive, was named assistant secretary of the Investment Commission. Some have sacrificed fat salaries. The minister asks them to bring a business spirit to the government environment. He says, "lf the dividing line between the government and business is not blurred, there will be no hope for our economy."
Minister Chao has, himself, taken a low profile attitude, but he encourages his subordinates to stay in touch with the mass media. He asks departmental chiefs to hold press conferences on his behalf. One man familiar with Chao's work style comments, “The Minister likes his subordinates to put on the show, and he has taken pains to broaden their social relations."
This is his way of increasing the social impact of his subordinates and, at the same time, a method to force them to think. Chao often asks his subordinates to give lectures and to reply to letters on his behalf, so everyone keeps on top of the facts.
In the first days after his assumption of office, Vincent C. Siew, director general of the Board of Foreign Trade, had to rest in bed. He received medical treatment for fatigue and read his official papers at the same time.
Although Chao counts on younger adjutants to carry out his policies, all of the members of his "brain trust" are in his own age group, and come from different specialties. Dr, Robert Lee, for instance, is an animal husbandry expert, while Fang Hsien-chi specializes in computers and electronics.
One scholar comments: "Minister Chao's success is to be decided by the amount of human resource under his control," To cultivate the talents of his subordinates and to spur their morale, he has decided to pick about ten from their ranks for advanced study abroad. He also has promised to fill the resulting high-level vacancies with qualified people from the departmental rank and file.
Considering Minister Chao's personnel situation, Finance Minister Hsu Li-teh is fortunate. Because the tax and monetary institutions he oversees have their own established training systems, he can easily muster a proficient cast of lieutenants.
Like the Economics Minister, Minister Hsu is ambitious, dares to face reality and is eager to demonstrate his ability. He has shown determination and innovation in handling the problem of defaulted bank loans, in easing rigid controls on banks and trust companies and in his approach to reform of the tax system.
In addition to able assistants, who can easily communicate with their boss and coordinate their own actions, the Finance Minister has a rung-up on success because he himself rose from the ranks. He has in-depth experience in administrative detail, and in relations with political circles, including the legislature.
This young Minister attaches little importance to age when he considers an appointee. He is more concerned over the psychological impact of a new appointee on the original staff.
Minister Hsu is very strict, even stern, toward his staff, "We have been kept so busy that our hands and feel no longer listen to our commands," one of his subordinates complains. There is a breakfast meeting at 7 o'clock every Tuesday and Friday. It is common for a departmental chief to work 10 hours a day. Some officials have to work while eating from lunch boxes. "Not a few of my colleagues have digestive troubles and hypertension," one official complains.
For over 30 years, able leadership provided by financial and economics leaders for the hard working people of Taiwan has' brought rapid economic growth, and created an economic miracle characterized by equitable distribution of social wealth, full employment and social stability. The challenges for today are how to achieve scientific and technological breakthroughs and to improve economic "software" - including the strengthening of management, the improvement of office-worker productivity, the appropriate revision of law and statutes, the establishment of market concepts and improved maintenance of social discipline.
To help the Finance and Economics Ministers attain these goals, their subordinates need assets aside from virtue, talent, ability and energy.
The people have realized that revitalization of Taiwan's economic miracle calls for proper leadership from highest finance and economics leaders. But ministers' success in this mission will be decided by the coordinating actions and effects of their subordinates.
Dr. Sammuel C. Shieh, vice chairman of the Council for Economic Planning and Development, points out that the Finance and Economics Ministers and their adjutants must have an integral concept and share a profound and broad view.
Wang Chang-ching, another vice chairman of the council, stresses that the staff of today - the future finance and economics ministers - must "think of tomorrow."
"If they have such a psychology, they will not be arrogant when they win the battle today because they know that they will have to fight tomorrow. If they are defeated they will not become despondent, because they can see that they will have another chance to fight tomorrow."
In light of the heavy workload and the limited salaries, people here do not expect every lieutenant of the Finance and Economics Ministers to be perfectly satisfactory. To do their jobs well, they also require the extra input that a popular economics magazine has called for - that the private businessmen and financiers expect less of the government and demand more of themselves. - By Diane Ying, "Commonwealth "/Translated by Liu Kang-sheng
J.K. Loh - "A law student is always mindful of the rule of law ....(This) means the establishment of a system."
After six months in office, J.K. Loh, the new vice minister for financial affairs, has mastered his job, to which he brought the experience of more than 20 years in tax and treasury circles.
Financial reporters call him a "financial decathlon champion," suggesting his versatility as a financial administrator. In his younger days, he worked at the Council for U.S. Aid, Economic Cooperation Agency, and the Ministry of Economic Affairs. He moved on to the Ministry of Finance and served in most important posts there: As the head of the tax office, the auditing office, the secretariat, the tax system committee, customs administration, Central Trust of China-and even of the National Treasury.
When Economics Minister Chao Yao-tung took office, he invited Loh to serve in his ministry. But Loh was, instead, appointed vice minister to the new Finance Minister, L.T. Hsu, a long standing friend.
"I majored in law, not finance," he tells reporters and subordinates. The 55 year-old financial expert is a graduate of the law department of Taipei's Soochow University. After graduation, he continued his legal studies at Southern Methodist University in the United States, where he obtained an advanced degree. He is an accredited attorney. He believes that his training in law is the fundamental basis for his financial expertise.
He says that his work style - emphasizing principle, stipulation and sys tem-is derivative of his legal training. "A law student is always mindful of the rule of law and the principle of law. These mean the establishment of a system." Whenever he encounters the irregular or irrational, he is impelled to establish a system to assure transformation to regular and rational. His measures to improve the tax system are illustrative.
Most of his colleagues and subordinates agree that Loh is versatile in thought, quick in response and strong in analysis. Says one, "More important, he has foresight and the force to carry out his ideas. Whenever he considers a plan workable, he will immediately put it into force."
When he was chairman of the tax system committee, he proposed to allow the use of checks here in payment of taxes. His colleagues opposed him in fear of bad checks. He yielded to them then because he had no administrative power. When he was later appointed director of the national tax office, he immediately authorized the use of checks. Since then not a single bad tax check has been received, the tax collections have been quickened and the taxpayers have benefited from simplified procedure.
He is criticized for "being fond of attracting attention while doing his job." One of his secretary’s counters: "He is very capable and is fond of work. He naturally attracts the attention of his superiors and subordinates. He often says that he is one man who likes to work."
In every organization he has headed, J.K. Loh has told his colleagues: "To any man, more work never means personal loss. Work heightens a man's spirit. The more the work, the more the opportunity to attract a superior's attention. The more the work, the more the experience."
A financial reporter observes that J.K. Loh has always regarded work as an opportunity for more self-training. Actually, despite Loh's profound experience and legal training, one of his colleagues thinks that he should spend even more time studying economic theory, especially concerning monetary operations, insurance and stock markets.
He never denies the accusation that he is expert at public relations. People in contact with him say, though he looks solemn, he is generous and sincere with others. He has many friends with whom he likes to exchange views to bridge gaps in his own thinking.
Before his newest appointment, J.K. Loh had long been in top organizational posts. He says that though he is com posed about "playing second fiddle, after having played leading roles, I do need a little time to clearly understand the nature of the new role."
A clear duty of a vice-minister is to help the minister decide policy. Whenever he has a different view, he compares views with the minister. "He affects me, but I also affect him," he says.
However, he does have complaints. In the first six months, he has found himself to be too much like a fire fighter, who rushes from one emergency to another and never has a chance to sit down and mull over basic policy. "My ambition here is to work out the financial policy required for the current stage of our national economic development," he declared. - By Yuan Chung-chi, "Commonwealth"/Translated by Liu Kang-sheng
Wang Chou-ming -"If your partner does not listen to you seven or eight times out of ten, you'd better pull up stakes and move to another post."
Wang Chou-ming, the new vice-minister for economic affairs, has a reputation for meticulous thinking, strong organizational ability and efficiency in handling official papers. A close colleague says that his strongest forte is the quality of always sticking to principle - an indispensable qualification for a strong vice minister, and explains that - while there may be many roads to a solution, some people always attempt to take a short cut or a meandering road. A man in a high position should consider the totality, he said, and never take the easy way, or travel too narrow a road. Vice Minister Wang Chou-ming, says his colleague, is a man who always travels the broadest avenue.
Wang was appointed vice minister for economic affairs in December 1981; he had the opportunity to apply to the post 30 years of experience. He had served as secretary to Yin Chung-jung, the dynamic economic trail blazer for the Republic of China in the 1950s. He was secretariat chief when the Ministries of Economic Affairs and Finance were under the command of K.T. Li. Later, he served as director of the Taipei city government's department of finance and, still after, returned to the Ministry of Finance as director of customs administration-and then to vice minister.
These experiences have given him an understanding of the importance of coordination to national economic development.
When policy makers of the ruling party do not see eye to eye with the Ministry of Economic Affairs, Wang Chou-ming often serves as a go-between for Minister Chao Yao-tung. His accuracy in relaying opinions of others and the convincing power of his own words are widely respected.
Wang Chou-ming noted that, though he had never previously worked with Minister Chao, their views are much alike. Before assuming the ministe rial portfolio, Chao Yao-tung was the head of China Steel. He is impatient with official papers. Wang Chou-ming analyzes the routine government paper work to allow his boss more time to consider analytical reports. One result of this division of labor and responsibility is that routine paper can not reach the Minister's desk.
Wang is patient and meticulous. He makes up for corresponding shortfalls of a somewhat impatient boss. Four months ago, when he was inspecting the Board of Foreign Trade and reviewing the deteriorating balance of trade with Japan, Minister Chao ordered, on the spot, an import ban on 1,500 Japanese export items. When Wang learned of the decision, he proposed elimination from the ban of a few major items of greater importance to the ROC.
Patience and meticulousness do not reduce his speed in handling official paper. A high-ranking official says that, in the last more than 30 years, he has seldom come across anyone who can react faster than Wang. Tsao Yu-wei, secretary general of the Euro-Asia Trade Organization, admires Wang Chou-ming's ability to quickly grasp the fundamentals of complex problems. Wang says this facility is related to shorthand training received in his youthful days.
With his slight constitution and soft voice tone, the vice minister appears mild in dealing with others. But once a decision is made, he never wavers, even under strong influence. Despite people's subsequent description of him as a "stub born man," he says amicably, "If a man can provide convincing reasons to prove my decision wrong, I will be happy to have it changed."
He gets along well with his bosses, perhaps because he is stricter in choosing a boss than a subordinate. He believes that a finance or economics minister must have his own ideals and find his own ways to carry them out. Should a minister then find that the steps he has taken are not effective, he should resign. As a responsible vice minister, he considers Minister Chao not as a boss, but as a partner. He is gratified that Chao often accepts his views. "If your partner does not listen to you seven or eight times out of ten, you'd better pull up your stakes and move to another post."
The vice minister is always prepared to reward meritorious subordinates. When he receives good advice from a subordinate, he never fails to point it out. He actively risks appointing able young men and women to key posts, but his demands upon them, then, are very strict. He says, "I like to give them a chance to hone themselves."
People say Wang Chou-ming lags behind others of his rank in foreign language proficiency. He cannot read his English fast, he admits, but says he has made up for this shortcoming with hard, basic work. Recently, for example, when the Ministry of Economic Affairs was drawing up rules governing the qualifications for big trading companies, Wang went to interview some of them himself for detailed reference. He said, "I have never been in business myself, so it was beneficial for me to listen to the traders' views." - By Yang Ai-li, "Common wealth "/Translated by Liu Kang-sheng
M. T. Wu - "We must be prepared for economic renaissance. Otherwise, when the economy turns for the better and orders swell in, it will be too late ....No one needs outdated products."
Administrative Vice Minister M.T. Wu of the Ministry of Economic Affairs was "hoaxed" four months ago by Minister Chao Yao-tung into returning to take up the post, after being stationed in the United States for seven years.
The fact that Minister Chao has gone to such extremes to seek talent has been previously reported. Very few know, however, of the details of his effort to "trap" Wu.
Wu is an old friend of Minister Chao. They were classmates at Wuhan University. In early February, Minister Chao called Wu back to Taipei to report on his work, then invited him to serve as an advisor to the Ministry to draft an investment promotion plan. When the project was completed, Chao still would not let Wu go, but asked him to be the vice minister. Wu at first turned it down on the grounds that he is too old and had absolutely no interest in official work. Chao told him: "You are to blame for not making friends carefully. You would have won if you did not come back. Once you came back, I won." Considering the decades of their friendship, and Minister Chao's enthusiasm, Wu agreed to stay.
He is an old hand at attracting investment. When he worked as director for the Export Processing Zone Administration of the Ministry of Economic Affairs, he successfully face-lifted once barren land near Kaohsiung Harbor into a garden-like industrial park, and success fully attracted consequent foreign and overseas Chinese investment to Taiwan. Minister Chao, therefore, invited him to work out new methods to stimulate the present local investment climate.
Vice Minister Wu commented: “We must be prepared for economic renaissance. Otherwise, when the economy turns for the better and the orders swell in, it will be too late to improve our machinery. No one needs outdated products. As our industry has reached a turning point, the recession period provides a good opportunity for a new start.”
In fuller response, Vice Minister Wu "has worked out practical measures. On his return to this country, he drafted a plan to improve the investment environment. A number of measures has already been promulgated and put into practice, For instance, reinvestment of business profits will result in exemption from income tax, and this will be extended to other areas, While, in the past, a factory required an “estate” to function as mortgage guarantor, now the machines themselves can be used, Procedures have been simplified and limitations lifted.
The Executive Yuan approved the plan to organize a private industrial investment company," Specialists will be employed to conduct market surveys in order to identify profitable business opportunities and encourage industrial investment. The new company will also be able to offer additional funding assistance.
A united service center for industrial investment will open for business July 1 to allow applicants to complete all the procedures and formalities at a single place and time. Vice Minister Wu remarked: “Thought it would be too farfetched for me to predict an accurate investment amount, l am sure that total investment by foreign and overseas Chinese entrepreneurs will exceed that of last year. Total investment from January to April has already doubled that of last year."
Wu hopes to stimulate a new industry here - leasing companies, Their function is akin to that of banks-but the former have equipment for lease, and the latter, money. Such lease companies would, for example, purchase modern machinery and “sell” its use to industrial circles on a lease basis. In this way, industrial renovation and progress will be stimulated. Its a pity that such services have not yet been accepted here, according to the vice minister. However, he is confident that he will be able to sell the concept.
In order to heighten work efficacy, Wu holds a staff meeting at 7:30 a.m. every Monday morning. Heads of all industrial related administrative organizations gather to brief him on their work progress and problems. "Face-to-face communications facilitate the performance of official duties. It cuts unnecessary red tape and word play between different work units and significantly raises administrative efficiency," he said.
Wu also utilizes the morning meeting as a training facility. He recalled that when he worked for the Council for U.S. Aid, the then secretary general, K.T. Li, held a meeting every week to tell his staff about his thoughts, hopes and projects. He wanted to pass his experience on to them and to assist them in having a sense of mission.
Those who attended the meetings at that time have since risen in financial and economic circles. As Wu, himself, greatly benefited from the sessions, he wishes in the same manner to pass his experiences on to the newer generations of administrators. - By Chrissie Lu / Translated by Y.M. Huang.
Vincent C. Siew -" A good negotiator must be able to fully understand his counterpart's situation. You must know when to be aggressive and when to be withdrawn."
Vincent C. Siew remembers vividly what happened on October 25, 1945. "That's the day Taiwan was restored as a province of the Republic of China. It was also the day began to like school," he recalled. He had skipped school for two years because he resented the Japanese way of teaching, His father was unaware that Vincent had been playing hookey.
Once Chinese education was reinstated, the young Siew took a real interest in school work and soon became the top student in his class at primary school. He went on to be first in his high school, college and graduate school classes. Had it not been for the restoration of Taiwan to China, I would have never gotten an education," he said. Siew now applies his scholarly aptitude to the promotion of the Republic of China's external relations. Since becoming deputy director general of the Board of Foreign Trade in 1977 and director general in 1982, he has made outstanding contributions in the effort to maintain diplomatic relations with 23 countries and trade relations with 145. A trained diplomat, Siew brings special skills to bear on trade negotiations for the BOFT.
Despite a reduction in diplomatic channels, the ROC's trade volume continues to swell. In 1980, exports amounted to roughly 50 percent of the gross national product. Trade with European, Southeast Asian and Middle Eastern markets has grown rapidly. Siew and his colleagues at BOFT believe there is every reason to expect the long-range trend to continue.
Although the basic trade outlook is good, there are major problems to overcome in the 1980s. These include: (1) protectionism, (2) need for further diversification, (3) favorable trade balances or deficits and (4) improvement of export quality.
Siew believes that the key to the democratic world's economic prosperity lies in strict adherence to the principles of free trade. He has worked hard to eliminate commercial barriers at home and abroad.
Siew compares trade talk to playing a two-string violin. The string will break if it is too tight; and the sound will be wrong if it is too loose. “ A good negotiator must be able to fully understand his counterpart's situation.
You must know when to be aggressive and when to be withdrawn. I always believe in the principle of 'sincerity.' Those who talk to me have become my friends. We can even talk under the table.”
Acquaintances say that, on lop of his sincere attitude, Siew is long in understanding of practical economics. Siew notes that what worries him increasingly is a difficult future for negotiation. Besides the old hands, he feels that the country lacks sufficient specialists to bear this torch. To address this problem, after five months in office, he shuffled 75 staff positions, noting that this was only part of his plan to cultivate new talent.
The thousands of local trading firms must keep in step with the performance of industry, said Siew. Besides training professional talent, he said, they must pay special attention to the strengthening of trade associations, the promotion of marketing, required changes in their own viewpoints and the establishment of overseas marketing networks. He also encourages foreign trade firms to invest in Taiwan.
In the face of growing global trade protectionism, which has affected many products of the Republic of China, the burden of the Board of Foreign Trade has grown heavier than ever. “We must pay the cost to make any breakthrough,” snaps Siew.
Vincent C, Siew was born January 3, 1939, in Chiayi, central Taiwan. His father was a successful small businessman. During his high school days, young Siew worked part-time as his father's bookkeeper. He gained valuable experience in small business administration at an early age.
In 1957, he entered National Chengchi University with diplomacy as his major. Graduated in 1961, he completed one year of ROTC before entering Chengchi's Graduate School of International Law and Diplomacy. He received his M.A. in 1965 and took a position as a junior officer in the Ministry of Foreign Affairs. In 1966, he was dispatched to Kuala Lumpur, Malaysia, to assume a post equivalent of vice consul. Three years later he was promoted to the top Malaysia post. During the time of his Malaysian tour, he was actively involved in negotiations with the Singapore government. This led to the establishment of the ROC trade mission in Singapore in 1969.
As a result of his experience in Malaysia, Siew had the feeling that trade would fast become the mainstream of ROC foreign relations. In 1972, he left the foreign service to join the Board of Foreign Trade. He was named deputy chief of the industrial export department in that same year. In 1974 he served as deputy director of the trade promotion and overseas coordination department and became chief in 1976. His combination of negotiating and administrative skills led to his promotion to the deputy director generalship in 1977. In January,1982, Siew became director general when BOFT's former chief, H.K. Shao, moved to the Ministry of Foreign Affairs, as vice minister. He received government citations as an outstanding civil servant in 1976 and 1980.- By David Lightle
K.A. Hsu - "Like a dark horse (he) emerged from relative obscurity into top financial and business circles… He is the most eye-catching of the new hands…"
Like a dark horse, K.A. Hsu emerged from relative obscurity into top financial and business circles. He is the most eye-catching of the new hands emplaced since Chao Yao-tung's assumption of the lop economics post.
After graduation from the department of chemical engineering of Chekiang University, the 57-year-old Hsu worked in government-related positions for 35 years. His experience at Chinese Petroleum Corporation and China Petrochemical Development Corp.," government enterprises, serves him well in his current position as director general of the Industrial Development Bureau of the Ministry of Economic Affairs.
He is frequently asked: “Just how did you get to be director of the IDB" Hsu says that beats him. On the eve of this Lunar New Year, he was told that Minister Chao wanted to use him. Before that, Hsu had never met him. Insiders attribute his emergence to his knowledge of the petrochemical industry and say it was Chen Shih-chang, Minister Chao's adviser, who recommended him.
When Chao Yao-tung was first appointed as Minister, he announced some new plans for the petrochemical industry. Chen Shih-chang had previously sent for this specialist to explain the situation, and his talent and potentiality were then recognized. Chao decided to appoint him after discussions with Hsu's previous superiors, Lee Ta-hai and Tung Shi-feng.
Hsu's performance in the new office has been outstanding. His preparatory work and the following administrative and developmental measures attest to his caliber. Though he comments repeatedly that he is short of administrative experience, his well-organized ideology, attention to planning and efficient use of talent belie concern.
It has been three months since a new lDB cabinet has been organized. Administrative renovation, personnel shuffles and promotion plans for strategic industry have been accomplished. Most worthy of praise is his completion of the project for development of strategic industry in so short a time, under the aegis of deputy director-general Wu Huei-jan.
The overhaul triggered a shockwave in the bureau. However, after Hsu pledged that talented people would get promoted first, his staff settled down to hard work. They often work after regular office hours.
Delegation of full responsibility is one of K.A. Hsu's principles that helps assure high staff morale. However, he is also noted for his demanding attitude. Though staff members carry a heavy load, they are, however, pleased to be the chosen few. His two deputy directors often become his surrogates; he spends much of his time at conferences and seminars and in direct touch with trade and industrial circles. The two deputies brief him every day. They work together to solve problems and map out plans.
After office hours, Hsu is relaxed and humorous. When he worked at China Petrochemical, he played ping-pong with his staff.
His acquaintances note that, though he is known to be demanding of subordinates, he never discusses with outsiders the bureau's internal affairs.
If need be, he does not hesitate to speak out. For instance, not long ago. while Hsu was chairing a seminar, Lee Ting-ho, president of the Taiwan Association of the Machinery Industry, complained that local industrialists and businessmen were reluctant to use locally· made mechanical equipment. Hsu asked Lee, frankly, if he himself had locally made TV and cooking appliances - much to the latter's embarrassment.
After working for more than 30 years for the nation, Hsu is pleased now that his children have all grown up, that he can fully dedicate himself to major responsibilities on behalf of his country.
At this juncture in the efforts for national industrial development, no one can know if K.A. Hsu is fully able to bear the torch passed on to him. Certainly however, in this age, so suitable and qualified a torch-bearer represents an intelligent application of the appointment responsibility. - By Chen Wei-ping, "Commonwealth "/Translated by Y.M. Huang
Wang Chang-ching - "We should do early anything that must be done finally; we should try to overcome any difficulty as soon as it arises."
Wang Chang-ching, vice chairman of the Council for Economic Planning and Development, sometimes imagines the CEPD as a clerk of the Executive Yuan (Cabinet) and himself as an economics engineer.
He says the clerk and the economics engineer have a common characteristic - the ability for planning. A clerk is not a yes man. Instead, he should be a specialist who can arrive at a meticulous design. By the same token, an economics engineer is not a technician who merely draws a blueprint. Instead, he should be able to analyze the merits and demerits of a project from the perspective of the overall situation.
Wang Chang-ching has worked in government for nearly 40 years. He is a high-ranking administrator who rose from the ranks. His first rank was so low that his remaining salary allowed only for his bus fare, after he filled his stomach. In recognition of his dedication and diligence, he rose to chief engineer and then to director of the Taiwan Public Works Bureau. Still later, he became vice minister of communications - in charge of the planning, supervision and execution of the communications projects among the nation's Big Ten basic construction programs. He continued to demonstrate his ability and talent.
Four years ago, he was recruited by the newly-reorganized CEPD to draw up the blueprints for national development. Since, he has often compared the Republic of China's economic development to its baseball progression: The country played in Little League tournaments in the 1950s, added Junior League in the 1960s and then Senior League in the 1970s. "Now, we must be prepared to play adult baseball," he says. "In an adult baseball game, we should pay more attention to strategy. Likewise, in economic planning today, scientific decisions are more important."
He considers his job as "pre-policy planning," to enable the Premier to make a correct decision by absorbing complete data in a short time. "This is to enable the government to do the right thing at the right moment," he says.
Planning is strenuous work. After his subordinates complete a first draft, Wang as a rule will consult vice ministers and directors at concerned government ministries and agencies before submission for Council deliberation. After the Council approves a draft, it is submitted to the Cabinet.
The CEPD meeting presided over by Yu Kuo-hwa, chairman of the Council and also governor of the Central Bank, involves participation of the finance and economics ministers and other related government leaders. Since it is wedged between the weekly meeting of the Kuomintang Central Committee's standing committee and the weekly Cabinet meeting, the CEPD meeting assumes a subtle but pivotal importance.
Because Chairman Yu spends most of his time at the Central Bank, Vice Chairman Wang Chang-ching is the real string-puller. He is friendly with reporters - he likes the job of providing them with background materials and explaining complex developments which may have occurred over a brief time. When he was director of public works, he re served Friday afternoons for chats with reporters. He claims, "After one year, every reporter was qualified to be director of the Bureau."
Everyone who converses with Wang agrees that his discussions show scientific training-a special sense of logic and derivative vision. One of his subordinates says, "For many complex problems ... when you cannot get a clear picture of a situation even after painstaking effort, you know you are about to see cause and effect-and the whole system - when you see Wang light his cigar."
Wang Chang-ching moved from the communications establishment into the complex of economic circles four years ago. He was quickly "in the swing" thanks to his strict scientific approach and to cram lessons provided by his fellow vice chairmen, Dr. Sun Chen and Dr. Shirley W.Y. Kuo. Later, Dr. Kuo was replaced by Dr. Samuel C. Shieh.
Though both Dr. Sun and Dr. Shieh are noted economists, their views and plans, more often than not, are challenged or questioned by Wang Chang-ching. "My views and approaches must also pass the critical tests of the two economists," he admits, "so that gives me more confidence."
He believes that every economic move, as minor as routine work or as big as a new policy, must undergo debate and be subjected to challenge.
Before his offices were set up, he invited an architect to check several space plans. When he asked the architect to comment, he said, "Good, this is good" for everyone. Wang pulled his face and replied: "If everyone is good, then what do I need you for?"
Wang Chang-ching is a man of action. Critics say he is too impulsive and testy to boot, but Dr. Sun Chen disagrees. He says most people know only the surface of his colleague. They do not comprehend his quickness of mind. When a problem pops up, he is immediately aware of the related elements. "This is a result of his profound experience," Sun states.
Wang says that preparation of a plan involves basic steps: collection of materials, making of a model and presentation of the proposal. "But the planner must also consider politics. If it cannot pass the political test, it must be done all over again." Many people agree that Wang Chang-ching is mature in his political considerations.
The CEPD vice chairman easily absorbs new concepts and ideas. Twenty-two years after graduation from National Chiao Tung University in Shanghai, he enrolled at Johns Hopkins University in the U.S. to study for his master's degree in engineering. As early as 15 years ago, he began to encourage his subordinates to utilize computer-aided-design. He says, "We should do early anything that must be done finally; we should try to overcome any difficulty as soon as it arises."
At the Ministry of Communications, he served with four ministers in his capacity as vice minister. Now, as assistant to Chairman Yu of the CEPD, he is well versed in the role-to be responsible, to keep his boss well informed and to share his problems as well as his workload.
It is said that Wang's major regret has been his failure to become communications minister. To this, Wang responds with a grin, "I am looking for a lofty policy, not a higher position." - By Yang Ai-li, "Commonwealth"/Translated by Liu Kang-sheng
Top, M.T. Lin -"In an adult baseball game we should pay more attention to strategy." Bottom, Wu Hui-jan - "To save energy does not call merely for the turning on and off of electrical lights or TVs ....
M.T. Lin, 36, deputy director general of the Industrial Development Bureau of the Ministry of Economic Affairs, is the youngest of the IDB's major officials
Previously, he served as deputy director of the department of industrial engineering of the China Steel Mill; Lin gave up the high pay there upon being summoned to government service by his old boss, Minister Chao Yao-tung.
Specializing in industrial engineering, Lin feels a competent industrial engineer must have effective knowledge in research, physics and mechanics. For example, he said, coke required for processing iron in the furnaces must meet certain specifications. Different grades are made from different powdered coal. For more economical production, proper coke type must be researched. Lin said: "To save energy does not call merely for the turning on and off of electrical lights or TVs, but on scientific statistics, analysis and administration."
Upon assumption of the new post, Lin gradually set up a system to root out administrative defects. He augmented practices that establish clear time limits upon applications for issuance of government certificates. As a result, the time needed for such processing has been reduced from 16 to 9 days.
Lin says that simplification of work processes requires the thorough review of the items and regulations involved in everyday work. By eliminating unnecessary procedures, merging redundant departments and authorizing private groups to share the responsibilities, administrative officials will have time and energy to engage in new productive development.
Lin's colleague, also a deputy director of IDB, is Wu Hui-jan, a Ph.D. in agricultural economy. During Wu's tenure of office as deputy director of the planning department of the Council for Economic Planning and Development, he was responsible for mapping out economic plans and predicting economic climate. He cudgeled his brains in order to come up with a design for an economic-climate "signal" lamp to focus the results of study and analysis of statistics and data, from at home and abroad-the objective, to assist in accurately predicting the economic climate for future five-month periods. His lamps can give five signals: Double red lights signify over-development and the danger of inflation and depreciation; a red light, tendency for over-development; a green light, good economic climate; a yellow light, not too bad and not too good; a blue light, severe recession and low capitalization. Since last September, the blue light has been lit.
Wu encountered a number of difficulties when he first thought of installing the lamps in 1973. At that time, the country lacked sufficiently accurate data. But Wu was not intimidated. He called on industrial leaders at night and on holidays, to instruct them how to make use of government guides. He also, concurrently, reflected their problems and opinions to the Council for Economic Planning and Development to serve as reference materials for the mapping of administrative policies. As a result, industry was willing to provide him all the back ground data he needed.
After four years of hard work, the signal lamps were finally inaugurated in 1977. Accurate predictions over the past several years have established the authority of the signals.
"(Wu) called on industrial leaders at night and on holidays, to instruct them on how to make use of the government guides .... As a result, industry was willing to provide him all the background data he needed."
Today, Wu brings the same spirit to strategic industrial development planning, and to policy formulation for the elevation of traditional industry. Preliminary results are expected soon. - By Chrissie Lu/Translated by Y.M. Huang
Robert C. Chien - "Because our nation is so reliant on foreign trade and conditions, we must be ready at all times to absorb any negative shock waves from the outside."
Robert C. Chien, the deputy governor of the Central Bank of China, seems destined to find himself always in the role of economic and social trouble-shooter.
In the late 1960s, he joined with others in seeking the means to curtail tax evasion. Stricter laws and enforcement procedures followed.
In recent years, he has been called upon to combat the complex social ailment of inflation. Although the resulting anti-inflationary medicine is bitter, there are signs the treatment is effective.
Chien believes the core of the Central Bank's anti-inflation program must be a tight monetary policy. "We continue to treat money as though it were any other commodity," he said. "For example, to raise the price of money, we lower the supply. When the price of money becomes prohibitive, the people will have less money and less buying power. Other commodity prices will be forced down to the level of the people's real buying power."
Deputy Governor Chien and his colleagues at the bank have sought to keep a tight rein on the economy. By walking an economic tightrope during a period of worldwide recession and spiraling energy costs, the nation has maintained stability on the home front and has continued to prosper.
Aside from their role as inflation fighters, Chien and fellow bank officials look after several other important financial areas. These include: (I) guidance of sound banking operations throughout the country to ensure proper use of funds and strict compliance with the law, (2) maintenance of the internal and external value of the New Taiwan Dollar through strict foreign currency exchange controls and (3) fostering of economic development.
Chien believes strict safeguards are necessary for protection of the economy. "Because our nation is so reliant on foreign trade and conditions, we must be ready at all times to absorb any negative shock waves from the outside," he explained. "So far we have been able to maintain a good deal of flexibility and resiliency and to continue to push for ward in our economic development."
Robert C. Chien was born in Peking February 8, 1929. He comes from a long line of public servants. His grandfather was a Special Court judge in Shanghai; his father is former president of National Taiwan University and heads the Academia Sinica, the foremost academic institution in the ROC.
Chien was a student at Peking University. When the Communists threatened Peking in early 1949, he moved with his family first to Nanking, then to Shanghai and, in late 1949, to Taiwan. He received his B.A. degree at National Taiwan University in 1951.
His first job was as a junior economist in the foreign affairs section of the Taiwan Bank. In 1955, he went to the United States to study economics at the University of Minnesota. He received his M.A. in 1957 and returned to Taiwan to serve as an economist with the Industrial Development Commission of the Economic Stabilization Board. Two years later. He moved to the China Development Corporation and began to specialize in feasibility studies, industrial projects and overall economic planning. CDC provided some of the early punch in Taiwan's economic development with long term loans.
In 1963 he was named director of the Economic Research Department of the Bank of China, a post he held until 1968 when he was asked to serve as executive secretary of the Commission on Taxation Reform. The tax commission was responsible for revising tax laws; it created a progressive tax, established a tax computation center and upgraded the position of tax collectors.
When the Commission completed its tasks in 1970, Chien joined the staff of the Central Bank of China as director of the secretariat. He was named acting deputy governor in 1972 and deputy governor in 1974. -By David Lightle