Malaysia: Integrated Results-Based Management – the Malaysia Experience

“The Malaysia Modified Budgeting System (MBS) provides greater managerial flexibility and accountability...it performs on par with international best practice and is being used in some developing countries as a model.” (World Bank report (1999) on Public Expenditure Management in Malaysia: How Malaysia Performs. The Integrated Results Based Management system incorporates a long-term macro-planning framework through effective horizontal and vertical integration for national development and capacitybuilding. Integrated Performance Management Framework, part of Results Based Budgeting, provides baseline data that allows measurement of comparable progress and results at predetermined intervals. Performance data are explicitly focused on measuring performance progress areas such as key result areas (KRAs), goals, objectives, outcomes, outputs, and activities. Such performance data are monitored against predetermined targets. A well-structured national level strategic plan lays the foundation for focused sector and program level plans and allows ministries and departments to establish linkages to higher-level key result areas. The targets under the Millennium Development Goals (MDG) typically form part of such a macro strategic planning framework. The system is critical to meeting Malaysia’s national needs and the challenges of globalization and regional competition.