This document provides information on government agencies in Malaysia. It discusses that government agencies play an important role in implementing executive functions and improving public services. It then describes two main types of agencies - central agencies and operational agencies. Central agencies assist, coordinate, control and monitor operational agencies. Some key central agencies discussed include the Malaysian Administrative Modernization and Management Planning Unit (MAMPU), National Institute of Public Administration Malaysia (INTAN), Implementation Coordination Unit (ICU), Economic Planning Unit (EPU), and the Treasury. Their various roles in policy formulation, coordination, training, and budgeting are briefly outlined.

1. FACULTY OF ADMINISTRATION SCIENCES AND POLICY STUDIES
AM 110
PAD 102
PAD 102 INTRODUCTION TO PUBLIC ADMINISTRATION
GOVERNMENT AGENCIES
PREPARED BY :
PREPARED FOR :
DATE OF SUBMISSION

2. 2
INTRODUCTION OF GOVERNMENT AGENCIES
One of the important sub-components in the administrative machinery of the Government of
Malaysia are government agencies. Government agencies play very important roles in ensuring
the effective implementation of executive functions and to improve efficiency in public services.
Government agencies are responsible to carry out the policies decided upon government. The
successful of government very much depend on the functions of government agencies.
A government agency is a permanent or semi-permanent organization in the machinery of
government that is responsible for the oversight and administration of specific functions, such as
planning agency. The functions of an agency are normally executive in character. A government
agency may be established by either a national government or a state government within a
federal system. The federal government agencies in Malaysia answer to the federal government.
The state agencies usually answer to the state government. A government agencies may be
established by either a national government or a state government within a federal system.
While agencies can be established by legislation or by executive powers. The autonomy,
independence and accountability of government agencies also very widely. Government agencies
are administrative units of government responsible for policy implementation and administration
of governmental activities.
Government agencies in Malaysia are either executive agencies created by the executive
power and answerable to cabinet known as departmental agencies or non-departmental agencies.
Non-departmental agencies most can be created by enabling legislation by the Parliament or
State legislative assembly and answerable directly to the parliament or state legislative assembly.
The federal government agencies in Malaysia answer to the federal government. The state
agencies usually answer to the state government.

3. 3
Agencies were divided into 2 groups that are Central Agency and Operational Agency.
Central agencies functions are to assist, coordinate and control the running of operating agencies.
Meanwhile, operational agencies functions is to executing and implementing the policies decided
upon by the government. Most government agencies in Malaysia consists of operational
agencies. Agencies are responsible for implementing the things that government's responsible for
towards the development and implementation of services to citizens. To ensure the operational
agencies runs smoothly, efficiently, and effectively, the central agencies are responsible for
providing several of requirements to monitor their journey towards their objectives.

4. 4
CENTRAL AGENCIES
Central Agency in Malaysia is important because it assists the government in formulating
public policies, coordinating, controlling and monitoring the various development activities,
programs and projects carried out by all government agencies. Central agencies are also Federal
agencies responsible for formulating the national financial and economic policies, the public
sector human resource policies and the monitoring the implementation of these polices. The
examples of central agencies in Malaysia are Malaysian Administrative Modernization And
Management Planning Unit (MAMPU), National Institute of Public Administration Malaysia
(INTAN), Implementation Coordination Unit (ICU), Economic Planning (EPU), Treasury
,Public Service Department (JPA) and SERU.
MALAYSIAN ADMINISTRATIVE MODERNISATION (MAMPU)
MAMPU is a federal agency that is under the prime minister’s department. Begins with
consultation to government agencies in 1949 with the establishment of the organization and
methods of treasury. In 1967, the service was extended to the establishment of Administrative
Development Unit in the department of prime minister. Then, it joined as part of the
Coordination, Implementation and Administration of Progress but progress administrative duties
transferred to the department of public service. In 1977, MAMPU was established as specialized
agency to focus on the modernization of governance. In general, MAMPU has a role to
modernize the system of government and management consulting services to government
organizations. MAMPU has several objectives as follows. Firstly, MAMPU has to strengthen the

5. 5
administrative structure and manpower planning in the development of the machinery at the
federal, state and local government. Secondly, MAMPU has to improve and modernize its
governance systems and procedures at the operational level through research studies and
management system specifically to expedite the implementation of development. Thirdly,
MAMPU introduce new techniques and innovations in the machinery of government to improve
the effectiveness of management systems or resources and programs at all levels of government.
Fourthly, MAMPU introduce a more effective in an effort towards the planning and development
of human resources can be made for economic development. Lastly, MAMPU control and
coordinate the purchase and use of automatic data processing equipment by government
agencies. Malaysian Administrative Modernization or MAMPU also has branches in Sabah and
Sarawak and act as secretariat to the committee on committees such as National Data Processing
and Public Service Ethics Panel.
INSTITUTE OF PUBLIC ADMINISTRATION (INTAN)
History of INTAN began in 1959. It begins with the establishment of a Government Official
Officer Training Center in Port Dickson aimed at equipping officers of government officials with
the knowledge and expertise to meet the challenges of the post-independence development
challenges. In 1963, the center move to campus Jalan Ilmu, Petaling Jaya. In 1972, it be
appropriate to institute an expanding role. Today, INTAN has its own complex of buildings and
campuses located in Bukit Kiara, Damansara. INTAN was responsible for organizing various
courses for all groups of public sector either long-term courses diploma or short term. INTAN
also act as agents of change and development to ensure that progressive ideas are practiced to

6. 6
promote and develop the country. In addition, INTAN also organizes various seminars,
workshops and conferences. INTAN also conduct research and studies from time to ensure the
effectiveness of the courses and other requirements.
IMPLEMENTATION COORDINATION UNIT (ICU)
ICU is a federal agency that is under the prime minister’s department. It was founded in
1971 merged with unit administrative reform in 1972. It was named as the coordination of
implementation and progress of the administration. Role of administrative reformed is then
transferred to the JPA and the unit exist separately and named ICU. ICU’s role is to determine
the coordination and implementation of policies, such as new economic policy, look east policy
and the policy of privatization and development projects in the state and federal level
interdepartmental. For the states in Peninsular Malaysia, ICU has domestic officers progress. In
Sabah and Sarawak is the state development office there. In addition, there is the coordination of
indigenous participation established in Pulau Pinang. ICU is responsible for detecting, analyzing
and coordinating the implementation of national development plans through five major
programs. Firstly, poverty alleviation program which aims to raise incomes of the poor.
Secondly, restructuring program through the involvement of indigenous communities in the areas
of trade and industry. Thirdly, infrastructure program to inspect and monitor all construction to
add, upgrate and repair major roads in the Peninsular Malaysia. Fourthly, social development
programs social programs to handle large programs such as housing, health, social welfare and
others. Lastly, detection project to create management information on planning and development
program. ICU also responsible to the such things as the following. Firstly, corporate control of

7. 7
public corporations to conduct activities in accordance with the requirements of the government.
Secondly, development community to track and update the development of community
development projects, plan food and nutrition practices and plans green book. Thirdly,
coordination of indigenous participation in the commercial and industrial sectors of the appeal
process of the appeal of indigenous traders and dealers and coordinate the efforts natives of the
coordination
ECONOMIC PLANNING UNIT (EPU)
Economic Planning Unit (EPU) is a central agencies which is under Prime Minister’s
Department. EPU was established in 1961 as the Economic Committee under the Executive
Council of the then Federation of Malaysia. The function of EPU are prepare development
programmes and formulate policies and strategies for socio-economic development , monitor
development budget together with Treasury and Public Service Department (JPA) , analyse
economic country position and international to be a basic of planning and economic
development. EPU also manage financial assistance and technique for nation from foreign
government and international institutions. Besides that , Economic Planning Unit (EPU) , give
advice to government on economic issues , initiate and undertake necessary economic research.
EPU also act as secretariat to the Economic Council.
TREASURY

8. 8
Treasury's role is to formulate, plan and implement financial policies and budget of the
Federal Government. Tasks are carried out in order to achieve rapid economic growth and a
more equitable distribution of income in accordance with government policy through the New
Economic Policy. Treasury functions are to review the economic and financial position of the
federal government, state government and statutory bodies. Treasury also formulate and
implement fiscal and monetary policies in order to ensure effective and efficient distribution and
management of financial resources. Besides that , the functions of Treasury are to formulate
financial management and accounting processes, procedures and standards to be implemented by
all government , manage the acquisition and disbursement of federal government loans from
domestic and external source.
PUBLIC SERVICE DEPARTMENT (JPA)
Public Service Department (JPA) at first, the tasks carried out by the treasury. In 1954,
these tasks are transferred through the establishment of a new agency, the Office of Federal
Personnel. After independence, the office was placed under the prime minister's department and
in 1970 he became the Public Service Department. JPA responsible to formulate government
policies relating to the public services and personnel management such as regards to recruitment,
placement, promotions, training, salary and so on. JPA also together with Treasury create
positions in the public service and review the structure of department government organization.
Besides that , JPA provide scheme of salaries, allowances and pensions. JPA paid to all civil

9. 9
servants of the federal government and state governments, statutory bodies and local authorities.
Public Service Department (JPA) keep record of all every civil servants and solve all
dissatisfaction employees or their associations on the salaries, allowances and pensions as well as
the anomalies arising therefrom through the negotiating table. Other than that , JPA provide
training facilities for government employees through National Institute of Public Administration
Malaysia (INTAN) and the granting of the scholarship.
SOCIO-ECONOMIC RESEARCH UNIT (SERU)
Founded in 1980. It is a merger of two research agencies namely socio-economic research
unit and the general planning and development studies center Malaysia. This merger is an effort
towards implementing all socio-economic research expertise to provide a greater contribution to
the national development process. Generally, this unit to assess the impact of policies and
programs of development programs on citizens for the purpose of supplying information that
could contribute to the planning and implementation of more effective programs. SERU has the
objectives as follow. Firstly, detect needs and socio-economic impacts of research efforts in the
interest of national development planning and implementation of more effective. Secondly,
detect, coordinate and control efforts and socio-economic research from within and outside the
country by agencies so that the research can best contribute to the development of society and
country. Thirdly, provide energy assistance and cooperation in socio-economic research to other
agencies in the field of evaluation, impact plans and projects that have been, are being or will be
maintained. Fourthly, create a forum for discussion on issues of socio-economic problems
through seminars, information collection and analysis at the local, national and international

10. 10
level in the national interest. Research coordination role of this unit is important to avoid
overlapping research efforts and to ensure that the research is focus on important matters so that
it gives the best results as planned.

11. 11
OPERATIONAL AGENCIES
Operational agencies are called as implementers. It is say so because operational agencies
were implementing governments projects and programmes. It also consists of the government
agency such as ministry and department. They are carrying development task and providing
services to the public. In government administrative system, the operational agencies can be
divided into ministries, government department and public bodies.
Firstly, ministries are the highest government agencies in the federal administration
mechanism. It is responsible in regulation of policy, plan, control, and synchronization of matter
related to its area of duties. Ministries created by executive power to implement today
government operations. The ministry is divided into two forms that is portfolio ministry and non-
portfolio ministry. Several ministers in non-portfolio ministry was selected by Prime Minister to
carry out special duties at Jabatan Perdana Menteri (JPM). There are twenty-three ministries in
portfolio ministry as in 2014. Malaysia’s Prime Minister, Y.A.B. Dato’ Sri Mohd. Najib Bin Haji
Abdul Razak was the ministers of finance. He was assist by the second ministers of finance that
is Y.B. Dato’ Seri Ahmad Husni Bin Mohamad Hanadzlah. While the deputy prime minister,
Y.A.B. Tan Sri Dato’ Haji Muhyiddin Bin Mohd. Yassin was the ministers of education and he
was assisted by the second ministers of education that is Y.B Dato’ Seri Haji Idris Bin Jusoh.
Next is government department. Government department is the second highest
operational agencies. It is directly under minister’s control. It also do not have an authority. The
functions of department is related to implementation of policy form by the government and
involve in providing services to society which cover social, security, development, and other
fields. Government department are fully government funded based on government budget.

12. 12
Example of government department are Department of Transportation. Under the Department of
Transportation are Department of Civil Aviation, Road Transport Department, Marine
Department Malaysia and others. Next example are, Ministry of Internal Affairs. Under Ministry
of Internal Affairs are National Registration Department, Immigration Department, Prison
Department and many more.
The third operational agencies are public bodies. Government agencies established
according to government act. The functions of public bodies are to implement special duties
parallel to the national objectives and mission. Also responsible to take over certain tasks and
responsibilities as well as the function of other department. The objectives are enable
government to involve directly in fields that private sector refuse to involve due to problem of
capital. The second objective are enable administrative mechanism to operate freely form
government administrative rules. Therefore, these bodies can move effectively and efficiently
parallel to private firms. Public bodies can be divided into Statutory Bodies and Non-statutory
bodies. Statutory body is created by an act or statute of parliament or state legislative assembly.
It is semi autonomous body to perform a specific task stated in the act. It has an authority to
regulate and control. Such bodies do not have shareholders, but are typically boards appointed by
a sponsor minister. Statutory bodies are partly government funded and has its own fund. The
example of statutory bodies are FELDA, FAMA, FINAS, LHDN, LLM, Public University and
so on. While non-statutory bodies are government linked companies (GLCs). It is registered
under the Malaysian Company Act 1965 and was a corporate entity. Government own 51% share
capital. Non-statutory bodies established to operate commercial affairs. It also has full autonomy.
Based on business oriented and profit making. It generate its own fund. For example,
PETRONAS, MAS, TNB, PROTON, KHAZANAH MALAYSIA, MISC and many more.

13. 13
CONCLUSION
What to be clear is, the government agencies play very important roles in making sure that
the effectiveness and implementation process executive functions and to improve efficiency in
public services. Government agencies are responsible to carry out the policies decided upon
government. The successful of government are very much depend on the functions of
government agencies. After go thoroughly in this topic, we are able to identify the Malaysian
government agency, able to differentiate between central and operational agency, Explain the
functions of government agency and was able to explain the example of government agencies.
We also can conclude that central agencies functions is to assist, coordinate and control the
running of operating agencies. Central agencies was under control of federal government and it
implement all government agencies. It consist of MAMPU, INTAN, ICU, EPU, TREASURY
and JPA. As for operational agencies, it execute and implement the policies that decided upon by
the government. It also known as implementing agency because it implement the government
projects and programmes. Operational agencies can be divided into three that is ministry,
government department and public bodies.

14. 14
REFERENCE

15. 15

16. 16