The Asian Manager, December 2004 Issue by Sherbet Manalili

TABLE O F C O N T E N T S

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AIMAttainsGloba Accreditation

Asian inWo*force The2004 lnvesting CSF Awards Transitionr A Mustin World Today's Thelnternational TheDav,m andDuskof Developmenl Liquor Marteting Managels

Professor Amerasinghe Named l\,4an oftheYear

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t ousrnY

FEAruNES EIlnEPNEI{EURSIIIP

Factory? Class

TheWo/d Entrepaeneur oftheYear

I\rarketing to Business: 828Challenges Process &$iness 0utsou.cinq: A lJnique 0pport!nitytor thePhilippines

Pofessor Bemardo, oneofTen 0utstanding Petsons Young ofthewodd

DownthePathot GlobalEusiness

Ashok Soota: is Known A Frurt bytheFruitlt Bears of UsingthePower Netlvo*ing

ETWONKI1{G ALUMNINEWS FROM IIIESSAGE THE CHAIEI\4AN A l\,4iniBeunion lressage wilha [.4ighry FFOI\4 ALUMNI LETTEBS CLASS NOIES

AIMNowa Ceftified Hotspot Student 0tfice6 lndocled Students overseas Program 2004

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l0 rEAostoRY: LEADEHSHIP BRIDGING SOCIETIES TRANSFORI\4ING

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I V E S S A G EF R O I VT H E D E A N

AsanInstitute oflranagement Publicatron

TheAsian Manager December2004

EDITORIALTEAIV Roheltodeocampo Edilorin Chief Gt'g Alienza Executive Edrtor PralhalSh8ma Associate Editor \fu.ne Bsulists-Ev!flgâ&#x201A;Źli6tr Managing Editor Short.t Krligbsk-llamlili Sections Editor Slmaaa R.inr Priy.dkl{6r.y.[ ftfunbhAmsi. Contibuting Wilers JairyM.n.lili ArtDlrector EdenCdrdcms I\,{anager Circulation EOITOFIAL BOARD nobonodaocampo Presidentand Dean ofthelnstitute M.rvooC.li Executive Managing Di.ector Inslitutiona Relations andInvestor DulcaCrsachn! Drrector Execulive Fedeâ&#x201A;Źtion ofAl[.[Alumni Association, inc. GregAlietEa Director Al[,{AlumniRelations

Dear Alumni, The changesthat we havewitnessedand encounteredlately in the Institute have beenboth rwealing we barelyhad an inkling about the dramaticturn and unexpected. They wereunexpectedbecause we havebeenable ofevents that was in stote for us, and revealingbecausethrough our responses to realizethe strengthand the characterofthe Institute and its administration. "Character cannorbe developedin easeand quiet. Only through The reverentHelen Keller said, experienceof uial and suffering can the soul be strengthened,vision cleared,ambition inspired, and success achieved."The rapid changesin the Institutewerediscomfortingnot only to me and to the The uncertainty senior administration,but alsoto our faculry our staff, and our stakeholders. necessitateda positive response.And we respondedwell. I am proud to saythat today asan adminisuarion we are more unired, more focused,better srructured, to the immediateand the long-rermneedsofour clientsand ald consequentlymore responsive standasan evidenceto rhis fact. stakeholders. Our two recentinternationd accreditations We are making deliberateefforts to increaseour presenceacrossthe region. We havealsoexperienced somethingthat AIM now plans faculrytaking increasinginterestin conductingempiricalresearch, neededto srepup. Apart from thb changes,the Institute continuesto take interestin its alumni, and is making consciouseffortsto bring the Alumni closerto one anotherand to rhe school. For this issue,we have decided on Leadershipas the theme. In light ofthe changesin the global environment,we believethat the world needsinfluentid leaderswho cansteerthe directionofour activities towards increasedinternational development and prosperity, !7e have featured a few of such leadersin our alumni, and ir is with great pride that we acknowledgetheir contributions to the business, society,and to the spirit ofinternational collaboration. 'We expectmore of suchleadersin our dumni in yearsto come.

L E T T E R ST O T H E E D I T O R

Add a sectionon contactsof former classmates and provide an opportunity for alumni to help other AIM currenr and former srudenrsget aheadin their careersthrough a srrong alumni support systemto grow fellow AIM graduates professionallyand personally.Add more newsand email addresses ofAIM alumni. Also, put the magazineon the net for thosewho want ro downloadthe magazine in pdf format. It will savecostsof distriburion. AJAIRArrrDHAwA" MBAresl Thank you for sendingme The Asian Maligc6 which I havenot receivedfor quite somerrme. This journal hasbeenvery helpftrl to update the developmentofmaragement. The researcharticlesand topicsand opinionson contemporary 'ubjectsarevery approprirreand informative. I hope to receivechejournal regularly. RISHI LAL SHRESTHA,BMP TO2 I am delightedto nore that our Instituteis progresing. I regularlyget a copy ofthe Asian Manager from which I am able to get an update of our Institute.

top corporationsin the Philippinesand South EastAsia. Lesson theory,more on practice. It would help ifthe articlesaremore pracrical for middle managers.I find the articles roo theoretical.I would alsolike ro seemore opinions/edirorials GEORGEDANILO OTAIIES,T'IBA 1999 Pleasecollectsubscriprionsfrom Alumni and send hard copy to all the counrries where we h a v eA l u m n i .I r h i n kA I M s h o u l dm a k ea n arrangementso that Alumni can get one hard copy for eachissue.

K V RAGHAVAIAH.lTthTMP

MD. AMIYARHOSSAINCHOWDI{URY. M 199a ,

I would like to seearticleswhich are more on ttendson what is currently beingpracticedby

Consider providing life membership, or 5-ycar, or lO-yearmembershipto interestedsubscribers.

Talk about spousesofAIM alumni (or even children, if they are old enough) as they are equallyrelevantasthe AIM alumni. The objectiveofthis magazineshould not be profit maLing but to shareinformation and promote networking,and hence,shouldbe reasonably/ minimally pricedto covercosts. TUIUKESH GUPTA, MBA 1996 I very seldomreceiveThe AsianManagerever sinceI gnduated in 1997.The rnagazineis poor in termsof distriburion. WELLYrcHA, MBIi 1997

(Sone ofth. bttes 'o rb. Ed;tor um tnka fon the .ontue"B ad !ug.'tio"' fon Th. Aiaa Matuso Sat,q)

TA IV] R E S P O N D S The Asian Managercontinuesits proud rradirionnow underrhewingof theAlumni RelationsOffice (ARO). This is in line with the impetus to bring the Alumni closerto the school and ro one another This is alsoconsistentwith the ARO mission: ro help build a dynamic parrnership benveenthe lnsrirureand is Ajumni by nurturing a lifesryle ofAlumni Serviccs,

ExecutiveFlucation, Referralsand Recruitmenr, Ventures and Events (SERVE) that keep AIM alumni firlly engagedwith the Institute and with eachother" Ve acceprthe challengeof bringing TAM closerto the Alumni. Our next issuein particular should bear the perceptible imprints ofchalgcs consistentwith the abovemissionstatemenr.

WE WANTTO HEARFROMYOU -.

But we shallneedalumni enthusixm in at leasr two immediate ways:helping r:p&te our alumm detab.lesorharwe.ould improvedistriburion. and helpingto contributearticlesand writc-ups for TAM, beginning with ClassNotes. \Wethank you in andcipationofyour response. God Bless. GREGATIENZA k.curive Miror, ThcA.i.n Md{scr

Foryourcommentsor suggestions, writeto THEASIANMANAGER at tam@mait.aim.edu.oh or fax (632)893-3341

THEASANMANA6ER IOECEMBEF2O04

A S A N I N S TI ! J T E O F M A N A G E I V ] E N T

AIM A I M P r e s .R o b e r t od e O c a m p oa n d D e a n Nieves Confesor receivethe certificateof accreditationfrom Dr. Miton Blood, Managing Directorof AccreditationServicesof AACSB Internationalin l\4ontreal,Canada.

Accredltatlon

Dual accreditationcertifiesAIM asamong the bestbusinessschoolsin the world GOING THROUGH THE RIGORS of attaining international accreditation affirms the Asian Institute of Managementt (AIM) commitment to provide top quaiity education. In 2003, AIM was awarded the European Quality Improvement accreditaton from the European Foundation for Management Devel-

as well as entrepreneurship. This provides the student total immersion. He will not only be a good businessperson but aiso a good decision-maker. He will know what to do whether he is with the private.or public sector. "The

accreditation bodies particulariy mentioned that AIM is one of the few schools in Asia to have a close link with

major multiiateral institutions like the -fforld Bank and the Asian Development Bank. They noted, for example, the fact that the \florld Bank looks at us as a content provider for its Global Development Learning Nerwork. "On top of all these,AIM's international faculry and student body provide students exposureto cross-culturaicharacteristics."

opment. Inearly2004, this was followed by EOUIS DirectorJulio Urge 1|lg accreditation from awardsthe certificateof accreditatlon to lnstitute the Association to Dean Nievesconfesor' Advance collegiate

Schools of Business(AACSB International). AIM is the only graduateschool in the country to receivethe international accreditation from either accrediting body and only one of wo graduate business schools in the region to receivethis dual honor from both the European and American-based systems. "The accrediting entities have not only seenAIM as among the best in the world, but also as having some unique features of its own. AIM has been a very effective bridge for understanding Asian business systems. -Ve offer an excellent MBA but beyond that, we are able to relate all these to the particular characteristics of doing business in Asia," said AIM President Roberto de Ocampo. 'Apart from the MBA offering, we are one of the few, if not the only, management school with masteraldegreesin development management or public-sector policy-making,

AIM hasbeenawarded fullaccreditation bv the EFMD.whichruns th6 EuropeanOuatitylmprovementSystem{EOUIS},a leading i n t e r n a t r o nsayls t e mo f q u a l i t ya s s e s s m e nitm , p r o v e m e nat n, d a c c r e d i t a t i oonf h i o h e re d u c a t i o inn s t i t u t i o nisn m a n a o e m e n t b u s i n e s sa d m i n i s t i a t i o nE.O U I Sf a c i l i t a t e s t a n d a r ds e t t i n g , b e n c h m a r k i nm gu , t u al e a r n i n ga,n dt h e d i s s e m i n a t i o nf g o o d practice acros;borders.

EQUIS

Not all schools,however are qualifiedto go down the accreditationtrack.AlM, as one of the eligiblefew, went successfullythrough the accreditationprocess,emergingas one of onlytwo businessschoolsin the regionto be awardedthe Europeanqualitylabel.

The mission of the Association to Advance Collegiate Schools of Business (AACSB lntemational) is excellencein managemenT e d u c a t i o nr n c o l l e g e sa n d u n i v e r s i t i e sA. c c r e d i t a t i o sn t a n d a r d s for schoolsto pursuecontinuous encourageand pro;ideguidelines i m p r o v e m e n t .A l l A A C S B m e m b e r s c h o o l s s h a r e a c o m m o n purpose- the preparation of studentsto enter usefulprolessional and societallives.

processprovidesmembersa commonreferencepointfor TheAACSBaccreditation qualityandperformance in management education. Because of its srandard-by-standard

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intheworIdsuchasHarvard'

T H E A S I A N M A N A G E R I D E C E M B E R2 O O 4

A S I A N I N S T I T U T EO F ] \ , 4 A N A G E M E N ]

NamedMan of theYear ProfessorAmerasinghe Citation recognizesAmerasinghe'sservicesto the developmentof Asia PROF. NIHAL AMERASINCHE, PhD ofNM's Center for Development Management has been awarded Man of the Year 2004by the International Biographical Centre of Cambridge, England.'Ihe citation recognizesProf. Ameras"services to the development of Asia." inghe's The prestigious Man of the Year award is issued by way of aWarrant of Prociamation and "a selectfew individuals whose is conf'erredon achievementsand leadership stand out in the " International Community. Prof. Amerasinghe's extensiveexperience as a former international civil servant ciearly shows his ieadership. His deveiopment management experience spans more than three decades and covers28 countries in the fuia Pacific. From 1979 ut 2001, he held senior positions in the Asian Development Bank (ADB) Programs and

nancial Institutions. Recentiy Prof. Amerasinghe was also chosen for distinguished standing, and received an honorary appointment to the Research Board of Advisors of the American Biographicai Institute. "Selection

of the International Biographicai Centre Man of the Year is made by the Editorial and Advisory B o a r do f r h e I n t e r n a t i o n aB l iographicaC l e n t r e , "s a i d t h e C e n t r e ' s "Tens director general,Nicholas Law. o l ' t h o u s a n d so f b i o g r a p h i e sa r e r e viewed eachyear by rhe lBC. and o f t h e s ew e h a n d p i c kt h o s em o s t d e s e r v i n go [ t h i s u n i q u e h o n o r . " The lnternationalBiographical Centre is one of the leadine bio-

Projects Department. He became the director generai of ADB's Agriculture and Social Sectors f)epartment prior to joining AIM tn 20A2. He

graphicalrelerencebook puf,lirl,.r, in the wodd. wirh more thrn J0 W h o ' s V h o r i r l e si n o v e r 1 7 0 s e p -

pioneered ADBt agriculture and rurai development operations in China and Mongolia. He was also in the ADB Management Team of the Greater Mekong sub-region during its formative years.At CDM, he is the lead faculty for the Program and Project Deveiopment and Management, and for courseson lnternationai Fi-

a r a t ee d i t i o n s .A m o n g t h e s et i r l e s , some of which havebeen established for more than 30 yearsare, the Dictionary of International Biography and more recentiy, the 2000 Out-

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standing Scientistsof the 2ist Century and tWho's \fho in the 21st Century. PHOTO:JOVEI-LOFlENZO

OneofTenOutstanding Prof.Bernardo, oftheWorld YoungPersons PROFESSOR FRANCISCO BERNARDO III was honored the Outstanding Young Personsof the \fforid of 2004 by the Junior Chamber International (JCI) on November 24,2004 during the 5gthJCI Worid Congress in Fukuoka, Japan. The TO\? program ofJunior Chamber International servesto recognize up to ten individuals between the ages of 18 and 40 who exemplif, the best attributes of the world'r young people. Honorees seiectedin past years have representedthe heights of progress in all human endeavors. Many have gone on to even greater achievements.All have continued to serrrehumanity in a great variery of ways. Young men and women may be nomina.ted in one of ten categories for the TOYP honor. Winners will be selectedby an internationa.l panel ofdistinguished judges.

T H E A S ] A N I \ 4 A N A G E R] D E C E M B E R2 O 0 4

A S A N I N S TT U T EO F M A N A G E I \ , 4 E N T

AIM Now a Certified Hotspot V,'ITH THE THE, INSTALL. ment of wirelessfideliry (\ViFi) on campus, the Aian Institute of Man"hotspot." agement is now ofificialiy a \Wirelessfideliry flViFi) is a local areanerwork (LAN) thar useshigh. frequencyradio signalsto transmir and receive data over distances ofa few hundred feet. \7iFi Wireless Access Points (\fAPs) are located in all case-rooms, besidethe swimming pool, at the Zen garden, in the dorm lobby, at the second floor ofthe library, and in the Lopez, MBM'73 and Malaysian conferencerooms.

Student Officers Inducted lnduction ceremonyacrossall programsfirst everin AIM history

THEAIfufTRADITION OF EXEM. plaryieadership anclmanagemenr liveson as

SIUDEiTT ASS0CtATt0N tSAl0fFttEfis e" C h a i r m aFne: r d i n a n" P d e e d eA lido V i c eC h a i r m aNni:s h a nSt a n d h i 0verseas Chairman: Srikanth Ghanla

a new set of Student Association (SA) and classofficers took their oarh on Sept.2,2AA4. It was the first ever induction ceremony of SA and classofficers acrossall ofAlM's five degreeprograms: MBA, MM, MilM, EMBA and ME. The Student Association is the council that supervisesthe clubs and seres as liaison with the administration and with groups cutside of AIM. AlM president Roberto de Ocampo presided over the oath-taking and exhorted the ofEcersto carry on the torch of leadership and, just like the generationsof alumni before them, become d1'namic agentsof change within and beyond the Institure. The board

ctAss0tFrcFRs Masterin Management {MM} PresidentBoboyYonzon VicePresidentSanjey Vashist Treasurer: JasperConsulta S e c r e t a rC y :a t h e r i nTea n Masterin Development Management {MOM} President: RJAtencio

VicePresidentt AnilBahuguna Treasurer: Christina Espino Secretary: NguyenNgocMinh PH0:NelflorAtienza

Treasurer: Patricia Bustos

Masterin Business Administration iMEAlrl President: RahulSingh VicePresident: MeenalBhat

(MF) Masterin Entrepreneurship ME7:Genevieve Andrada ME8:EnricoFrancisco M E9 :R o s e m a rBi eo n i f a c i o

ExecutiveMBA{EMBA}Manila5 PresidentClaude Bodan VicePresident ReneMayol Masterin Business Administration Treasurer: SusanUy {MBA}I Secretary: Moi Buenviaje PresidenlBrianMichealDizon VicePresidents: CTASS RTPRESENTATIVE$ TechieJoyceRamos{sectionBl, CarlosLorenzo Vega{Section A) ExecutiveMBA-$GV Treasurer: MarieFlorinda Lucio KennyMijares

of directors of the AIM Alumni .A.ssociation dents, who are "alumni-in-residence." In his and former SA chairmen from different batch- speech, Mr. de Ocampo encouraged the stues liker.visegraced the evenr, congratulated dents to meet with him on issuesand concerns the new officers, and inreracted with the stuand to network with alumni for activities.

0verseas Students Program 2004 ASPARTOFAIM'S OVERSEAS STUDENTSPROGRAMFOR SY2004-05,StudentServices, (SSAR) Admissions andRegistrars organized

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and sponsoreda one-day city tour for AIM's overseasstudents and their families last November 13,2004. The whole day affair which was attended by 45 participants (some MBA, MM and MDM students, three inbound ISEP students, six spouses, and six children) covered the tour of the following: the Fort Bonifacio Development Corporation (The Fort, Market Market, SerendraShowroom & SaiesOffice, American Cemetery, and the Bonifacio Ridge); Ayaia Museum; Pantalan Resraurant at Manila Bay; a drive at the CCP Compiex area (CCP, Folk Arts Theater, World Tiade Center, Center, and Senate Building); visits to the National Museum, Museo Pambata and the Rizal Bagumbayan Lights and Sounds at Inrramuros; and Baywalk.

.IhE

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A S A N I N S TT U T E o F M A N A G E M E N I

Investingin WorkforceThansition: A Must in Todav'sWorld The W'orkfotce Life-CJcle Goodcompanietinuett in their peopb, Goodcompaniesinaestin hiring ltrategier to selecttbe ight peopbfor the right position, thry hitefor ubnt axd nain for thilb. Goodcompaniesintest in naining and dzt'elopingtbeir peopleto increasethe baman cap i tal ualuc of thei r organizzt ion. Theyal.soprouide edacationalopportanitiet to enure qaaliry candidaterare read!fol ?rcmotions, new dstignmentsand neu t)enturet. Theyinuestto inproue rctenion ratcs, hee?peoplt happ! at worh, and mahethem moreprodurtiue. IN AN AGE IN \rHICH BUSINESSEVENTS SUCH AS m&a and restructuringareinevitable,and evendesirablear times, good companiesalsoinvestin workforcetransitions.In viewing transitionasan investmentratherthan a cosr,they recognizethe needto providenot only for the successful ransitionsofdeparting employeesthrough structureand supportbut alsofor the effect their actionshaveon their business,remainingstaff, effectively meeting businessobjectivesand reducingrhe risks thar hinder thoseobjectives,their corporateimage,and the impact they have . on the communiry. Organizationsdevelopcomprehensive ourplacementand careertransitionstraregies for multiple reasons,srartingwith the genuinedesireto rreattheir former employees with digniry and assistthem in continuing their career.They alsorecognizethat, by providingeffectivesupportfor depaningemployees, they reap dividendsthat go far beyondsimply avoiding reprisalsand lawsuits, A well-managedworkforce changecan maintain or evenstrengthen employee,communiry and investorrelations.It is alsoimponant for ensuringhigh morale,productiviry and retentionamong remainingemployees. C-areerTransitions A successfulcareertransition goesbeyond finding a new job. loss and careertransitioncan be one oflifet most stressful Job

by M.do R. Gatur Presidentand ManagingD rector DrakeBeaml/orin (Phipprnes)

events.One needsto managethe stressinvolvedwirh change, recognizeboth the differenceand rhe relationshipbetweenchange and transition,and havethe srrucrurero effectivelynavigatethe transition. Generally,stresslevelsrelatedirecdyto individua.ls'perceptions of negativechangesin aspectsoftheir lives.Ninety percenrof executives in transitionreport stress,rssociated with looking for a job.The informationcollectedin a recentglobalstudyconducted by DBM indicatedrhat the levelofstressindividualsexperience during careertransition, in addirion to the actualjob loss,is direcdy relatedto the levelsofdifficulry experiencedin four key areas oflife. . Their relationshipwith dreir parmeror closefamily members r Control overfuture events r Feelingsassociated with self-esteem r Control overstructureand rrme Employeeswho experiencerhe leastvulnerabiliryro stress alsotend to: . Feelrheybenefitedstronglyfrom careertransitionsupport r Involvetheir partnerin variousaspectsoftheir job search experiencethe leasrdifficulry with areasof , Most execqtives job lossrelating to control ofstructure, rime, and level ofselfesteem.The most srressduring careertransitiontendsto be felt in the areaofcontrol over futurâ&#x201A;Ź evenrs,including disruption to normal family life, lossofincome, fearoflong-term unemployment, and inabiliryro planfor rhe furure. It is imperativethat employeesfacedwith job lossfocus on and takeadvantageofrhe opportunities inherent in the situation - reviewingcareerobjectives,exploring new avenuesof professional growth, broadeningtheir businessnetwork, and advancing their career, Many ofthe leadingmultinarionalshavebeenproviding careertransitioning support to retrenchedemployeesbecausethey havelong recognizedthat to leada companyrequiresone to be a good corporatecitizen.Thesecompanieshaveadoptedthis pracrice worldwide and haveprovided ourplacementand careertransitioning support to their afiliates, subsidiaries,and offces all over the world. Outplacement in tie Asia Pacific A numberofleading compaaiesin fuia and rhe Pacifichave graduallyadoptedoutplacemenrin the pastseveralyears,srarring with Australiaand New Zealand,followedby Hong Kong, Singapore,Japan,Korea,Malaysia,and Thailand.

T I ] EA S I A NM A N A G E F

D E C â&#x201A;Ź M B E N2 O 0 4

A S I A N N S T I T U T EO F M A N A G E M E N T

During the early parr of the current decade,the slowing companiesto slashmoneyglobaleconomydrovelargeJapanese losingoperationsand thousandsofjobs, an act that wasunimagpracticeofproviding lifetime inablebefore,given the Japanese employment.By September2001, a roral of 1.09 million people had lost rheir jobs due to restructuringand bankuptcies.The personnelcutback was helped by natural attrition, but many employerswereforcedto aska largenumber ofworkers to rake paymentson top earlyrerirementprogramsthat offeredseverance of premiumsequalto months ofsalary.Increasingly,companies hired outplacementagenciesto help their reriringworkersfind new jobs. At about the sametime, Koreancompaniesalsohad to layoff a largenumberofworkersand many providedcareertransitioning support to their workers.Here aresomessnple casesofcompanies in Koreawho adoptedcareertransitioning asa part oftheir strategr. Agilent Technologies Agilent Technologies, a major communications and life sciences company providing test,measurement and monitoring solurions, undenooka plant relocation in 2000. While many compaliesannounceplant layclosures and large-scale offs simultaneously,Agilent took a differentapproach. \{/hile 150 employeesat varying levelswere to be affecred,Agilent announced the shutdown eightmondrs prior ro.theclosure. The key issuesAgilent includedmainaddressed taining employeemoraleand productiviry,providinga strucnrre that would eliminate or dirninish the risls ofabsenteeism in the face ofguaranteed job loss, and support smooth career transition during and afier the closure. lmmediately following the announcement ofthe closure,

activelvparticipatedin rhe Career provided,I I I employees transitionedto TransitionCenrer,92.4% ofwhich succcssfully new careers.At rhe sametime, employeescontinuedtheir work relocatethe operation. and Agilenrwasableto successfully DaewooMotors L)nco[ rhc mo.r publi.ired\ r reerl rrn\irion programsin jointly by Koreais the DaewooMotors Hope Center.F-stablished DaewooMotors, the Koreanlvlinisrryof Labor,and DBM, the Hope Centert aim is to addressrhe shurdown ofDaewoot Bupyong manufacruringplant and the job lossofpotenrially thousandsof employees. In addition,the negativeimpactfelr by the ciry of to Daewoot Incheondue to the lossofthe plant addedpressures plannedrestrucruring. DaewooMotors recognizedthat rhe obligationofcorporate responsibility was necessary to show respecrand support for those leaving the company and rheir families as well as to implement measuresrhat would help reduce the risks felr by the ciry ln a move previously uncommon for a large Korean company, Daewoo Motors recognized rhat job loss or "retirement" was no longer a personal problem but an important issueon which corporations, individuals, and the Korean government needed to work rogether to find solutions. Ofcourse, there was an elemenr of skepticism from Daewoo Management. Vhy should they invesr a large sum ofmoney to take care ofworkers who no longer worked lor them? \Vhat value does career transition support add to their workforcei Whar would be che reaction ofthe workers and the union?'Ihe approach was

Agilent implemented a seriesof change management workshops that helped employees understand the reladonship between change and tralsition, common reactions ro change, and how to manage stressduring a change. These workshops were followed by an on-

equally as impressive. The Hope Center startedout servingonly a small number offormer employees,70 out of thousands, at the same time when striking unions made headlinesaround the globe. As the ransition progressed,panicipants in the Hope Center staned talking to the

going seriesof company'wide communication activities designed to include and inform both management and employees on the change process. The next step was to establish an on-site Career Transition Cenrer. sraffed by ouride Career Managemenr experu, to monitor

unions and Daewoo employees, their former co-workers, about the support they were receiving, and demonslra[ing easedtensions and emotional stabiliry Cradually, more and more workers understood the value oftransition management and how they would be benefiting and started parricipating actively.At the same time, the

and manage the emotions ofcontinuous consultation, and to prevent absencesand operation intenuptions by providing on-site job searchand consultingsupporr services. As a result ofrhe in-depth suppon and structure that Agilent

strikes became quieter and Dacwoo management was convinced. The joint administration ofthe Hope Center by Daewoo employeesand outside Career Managemenr experts, as well as the support ofthe Ministry of Labor and the Ciry of Incheon, paved

IHE ASIANMANAGEF

D E C E M B E R2 O O 4

ASIAN NSTIIUI€OF MANAGEMENT

the way not only for a physicalCareerTransitionCenter,bur also for a cirywideacrionplan.Frompromoringa campaignamong localbusinesses to hire former Daewooworkers,ro organizingJob Fairsopen not only to Daewooemployeesbut alsoto the general public, a firm commitment ro the welfareofthe local economy and irscirizenship wal consranrly rcinlorced. From the support ofthe CareerTransition Center, many employees movedthroughthe tradirionalrouteofre-employment, supportedby twenty CareerManagementexpertsand a full-scale Job-Leadand placementeffort. In addition, the stren$h ofselfEmploymenreffort.among[ormeremployees and specialized consultantsareadding measurablyto the economicdevelopment ofthe ciry through the establishmentofa wide varieryofnew busioesses openedby former Daewooworkers,fiom automotive centersto entertainmentestablishmenrs. Daewoo'sunconventionaleffortshaveled the moveof more numberof largeKoreancompaniesro rethink cheirstraregies while looking at corporate change.Vhile of paramount importance, ognizingrhat helping employeessuccessfully transitionro new careers not the only factor to addressed when facing a resrructuring.Helping compalies to movetowards strongercorporatecitizenship,a more flexible labor marker,and improved businessresuls arethe most important issuesro address. Employeesin transition cannot completely escapethe real discomforts posedby job loss.Ve know that with solid planning, communication,and resourceselection,organizations can help minimize the negativeefects ofseparation.This fteesboth the organizationand ia remainingand former employees to realizenew businessobjectives. The experiences ofboth Agilent and DaewooMotors show a dedicatedeffort towardssrrongcorporateresponsibilityfor employees, past,presentand firture companygoals,and for the communiry The careertransition program fot departingemployees helpsthem adaptin a changedenvironmenr,while the company is ableto maintaina positivecorporateimagein the localcommuniry. By taking socialresponsibilitywith a commitment to the transition,the companymovesin accordance with the purposeof downsizing- to successfully improve businessresults. \)7hat hashappenedin Japanand Koreadramatizeshow the world economyhaschangedand how business hasrecognizedits -Ihe socialresponsibiliryduring retrenchments. easieract could havebeento do whacis comfortablebr-rtcompanieshaveoptedto managethe potentialsocialproblem thar retrenchmentbrings.

Philippine Practices ln rhe Philippines.affiliaresof mulrinarional,".. ,h. bigg.r, marketfor outplacementand careertransitioningservices. They makeavailableto retrenchedemployees appropriateindividual outplacementprograms:six monthsand longerto seniormanagers and high ranking executives,threemonths to managers,and shoner programsfor others.Managen areprovided access to ofiice facilities, secretarial, and administrativesupportasthey positionthemselves for new opponunities, be it a careerin the sameindustry or another or in the samefunctionalareaor another Rankand file emplovees acrively parricipare in careerourplacemenr workhopswhereihey rediscoverthemselves,pursuenew opporrunities,and developtheir capabilities ro meerrherenewopporruniries, CareerTransition Centersareestablishedto provide continuing counselingsupportro employees when thereis an unusually largevolume ofretrenchments.The counselingsuppon would include self-assessmenr, assistance in personalfinancial planning,assessment of entrepreneurial skills if they areinterestedin entrepreneurship,sessions on livelihood,and sellingof products and services. In the pasr,Philippine companieswould normally pay the minimum amounr required by law when trenchmentis done.Some would pay more, sayone month or more for wery year of service,A few would provide additionalassistance, suchasprovidingcounseling support,which may include brief sessions with search firms, banla and insurance companies,and companies specializingin livelihood and skills training. SomePhilippine companieshave startedto appreciate rhe valueofproviding additional saferynetsto employeesbeingretrenched,which includes adopting outplacementand careertransitioningasa pan oftheir corporatestratery. Providing outplacement support to retrenched employeesand careertransitioningsuppon to employees,in general, needsto be consideredmore and more ro maintain a coreof workers who can take careofthemselvesand will not be a burden to society.Doing so is an excellentexerciseofcorporatesocial responsibilitywhich can generatepaybackin the long-term,

... helping employeessuccessfully

transltron to new careefsts not

the only factor to beaddressed when facing a restrucruring.Helping companiesto move towards strongercorporatecitizenship, a more flexiblelabor market.and improved businessresultsare rhe most imporrant issuesto address.

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R. Gztu n thc Pf id.ht ad Mdhagi"g Diftctor ofDBM Phil;ppiu a a nmbo Ch$ of 1973. DBM i' th. uouuid! hdd.t it pttuidins 'natusi. huna" ft'oatc. solutions tbat heQ organiationr aLgn th.t tuorkfot.B to na, chasgi"g b"i"6, ,ed! Krotu, fol ooo 35 run fot nr ikao'ra,i,c a"d.f..ti,e carecr nanritioa rcruicet, DBM ia ef,?lot.e lcction, d@?hpn.nt, rct"ntiof,, and ia,tit;on. DBM bs ?/o/id.t '.tut.' ofMRA

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AS AN NSI TI]TE OF MANAGEMENT

by Manish Arneia

industry is characterized he globalalcoholbeverage . h e r er h el i q r r ocr o m p a n i c ' m a r u r i r y : n dl o wg r o w t hw havestruggledagainsta globalhealthkick and heaw prrcecompeu on. In recentyears,the liquor industryh'x undergonea dramatic shift. Many globalbrewersand distillershavemergedto reduce costsand gain marketshare.For example,Diageo,rhe world's biggesrwinesand spiritscompanycameinto being through a mergerofGuinnessand Grand Metropolitan.lt then increased andotherbrands its corestrengthsby acquiringSeagramtbusiness (MergerEndgames:Industry Consolidaionand Long-Titm Strategy, AT KearneyReport),The latestadditionsto this mergerwaveare Belgiumlnterbrewand Brazil\ Ambev,which is now the biggest brewerin the world. Adding to this globalwaveofstrategicrealignments,beer ofchoiceoverspirits.lfirh is fastbecomingthe alcoholicbeverage 35olomarketsharein 1997,beerroseto almostequalto sPiritsin and Industry 2002 (Glabal77end:in Aboholi.cIndutry, RDSBusiness Repoft,Apil2004). Euromonitor forecaststhar by 2007, it will takea leadwith 42% marketshare. Another challengethat liquor industry is facingis that the consumergroups,which wereearliertargetedasone large

T H EA S A N M A N A C E R

D E C E \ T 1 B E2 FO O 4

A S A N I N S T T 1 ] T EO F M A N A G E M . N I

demographicislaod,havebeenfiagmentedinto distinctpsytodayhave chologicalgroups.Unlikea decadeago,the consumers A fast and segments. a numberofoptionsin termsofbrands on offlavor substirution depending emergingchangeis in rerms Y consumers include a consumpcionconditions.The generation their very young and skepticalgroup ofpeople,rvho aredefining orvnworld ofdrinking. They havea muldcudeoftase preferences chatthey like to be madeavailableat barsand pubs.This males it difficuh for rhe alcoholcompaniesto keeppacewith their changingpreferences. So how arethe liquor companiesmanagingthesechallenges alongwith governmentlawsand restrictions? Consideringthe globalchangein the drinking patterns,the companiesareworking at keepingrheir current alcoholbeverage cbnsumersand at the sametime trying colure new consumersby usingdifferentmarketingand product gimmicks. From tropicalfruit baseddrinks to PepperVodka,Organic beersand malrernatives,the segmentthat definesnew agebeverage continuesto grow ('Battling BeueragesIn&atry Oueruizu" lYilliam A. Roberts).Ncohol marketershavefound that by blendingthe they can appealto consumerswho bestofdifferent categories, seekvarious benefitssuchasflavoraswell asaddedhealthbenefits.

And by mixing it up, liquor marketersget a colorful paletteof flavorsneverseenbefore. Furthermore,beveragemarketersare increasinglytrying ro communicatewith consumerson a personallevel.For example, theJohnnie li'alker RelationshipMarketing Programcalled"Journey ofTaste"hasbeenimplementedsuccessfully in most ofin markets. "mentor This program"(asir is usuallycalled)fearuresa guided Scotchwhisly educationto the consumers ledby a qualifiedJohnnie Valker AmbassadorIt not only allowsrheconsumersto appreciate the Scotchwhisky or rhe brand but alsoallowsrhem to developa Iong-termassociation wirh the brand. Guinness,a beerbrand, is alsoenteringthesecondyearofirs Believermentorprogramdesigned to convertCuinnessdrinkersinto effectivebrand ambassadors ("Neu, Spirit at Diageo,"Man Kinsman). Adding to that, liquor marketersare taking a moveawayfrom "in-your-face" or hard selladvertisingro a more subtlemarketing approach.Another waveof"one-ro-one"marketingthat liquor marketershaveintoduced is calledguerillaald grassroot marketing. It is a viral marketingrechniquethat anempa to makeeachencounter wich a customerappearasa unique,spontaleouspersonalexchange ofinformation insteadofa calculatedmarkeringpitch choreographed by a professional advertiser.Liquor marketershavepioneeredthis techniqueafterdwelopinga keenunderstanding oftargetconsumers and the way ro communicatewith rhem. For instance,Heineken USA beganstrategically placingpeoplethey referredto as"opinion Ieaders"into barsto consumeHeinekenproducrswhile hanging out with other bar patrons (Future of Guerilla Marketing, Heatber Todd,Bnaage \X/orld,August2004) A voCkacompany also usesa similar kind ofstrategywherean attractii: woman at a bar will ordercocktailsfearuringrhe brand and ralk about the producr to peoplewho approachher Moreover,with the risein globalobesiryconsumersarebecoming more health conscious.However,liquor makersarekeeping pacewith the needsoftheir consumers by unveilingnew marketing campaigns, and promotinglow carbohydrare or diet-friendlyproducts ("Liquor IndusnTNeu Pitcb, Hou to drink on a diet,",*sociated Prrss).Diageofor insrance,is urgingbartendersro pushdrinks like JohnnieValker Red Labeland Ginger.The mixer ofscorch and diet gingeraleconrains96 calories,which is a low intake.Bacardi, on the other hand, is going retro.The company is bringing back its campaign, which illus-.

tratesthat five ouncesofwhite wine hasmore calories( 121) than five ouncesofBacardi and diet coke (66 calories). Nonetheless, thereare conventionalmarkeringtechniques that the marketersuseto revivetheir brandsand captureyounger markets.Cognacsor scotchessufferfrom a stodgyimagerhat they aremosdyconsumedby older men. Hence,cognacmakersHennessy and Courvoisierhavebeentrying to reachout to the youngermarket by building their brandsin the entertainmentindustryand urban markets.Liquor marketershavealsorecognizedthat strongbrand names,which deliverhigh salesand profits, havethe potentialto wavethe magicwand on new products.The launchofthe initial 'Autumn Courvoisier Collection"markedthe Liquor Company's anempt to transformit from being"the world'sfirst cognac"to an icon offashion.The launchwaspart ofa wider trendwheremakers ofluxury brandsrry to capitalizeon their labelsby extendingthem into new areasof business. he markedngofliquor becomes morecomplicatedwhen the marketersare facedwith the dilemma "To push or not to push?'EventhoLrgh rhe liquorcompanies rry ro selltheir brands,they haveto recognizethat alcohol beveragesmay be consumed irresponsibly and can therefore create problems for individuals and the society as a whole. It becomes more diflicult when government and volunary organizations in most ofthe countries are keeping a close e}reon them and pressurizing them with government taxation and markering restricrions. The liquor companies' associarionspresently try to minimize the extent to which under-age consumersare exposedald attracted to alcohol advertising by employing self-regulation codes. \Vith or without government restrictions, big liquor companies take into account the importance ofhaving ro advertise and market their brands responsibly.For example, Diageo! on/offtrade promotions encourageresponsibleconsumption by adults who chooseto drink. It also does not support activiriesthat encourageexcessiveconsumption. Its promotional activities exercisecaution when products that are consumed are in shots. Nevertheless,sometimes it becomes difficult for the marketers ro move againstthe normal consumption patterns in order to act responsibly. However, there are also liquor marketers who are finding creative ways to play around government restrictions. In many countries, the government does not allow the advertisement of liquor on TV and other mass media. To counter this, the liquor industry has inrenrionally blurred the line berween products by adverrising cocktail mixers, soft drinks or soda water using the brand name ofpopular liquors. This phenomenon, known as "surrogate advertising" (duplicating the brand image ofone product extensively to promote another product ofrhe same brand) has become widespread in many countries and continues to gain momentum. For example, in India, the Bagpiper club soda advertisement featuring movie celebritiesis similar ro an earlieradverrisement of Bagriper whislT. ("Sunogate adumising- needzda spiited attach," Tbe Hindu Businets Line. Indi.a)

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In a nutshell, the marketing for liquor will continue to have its highs and lows as it tries to keep up with a very unpredictable market. Neverrheless,as it goes through the challengesto capture the right consumers,wines and spirits alrrdthe market'sconsumption behavior may be worth watching our for

D F C F M B E H2 O O 1

A S I A N N S T ] T U T EO F M A N A G E M E N T

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AWABOEE FROIlITHEPHILIPPINES, ENVBONfulENTAL EXCELLENCE CATEGORY L-R:YBhqDato iVustapa L ' HD a i u k( D r .l)r .[ , ' l o hAdn n a sb i nH j .[ . 4 o hN d 0 r ;l r l r .E d q a r dAom i s r a M d ;r V i v i z iSa a r a d h[i4; r [ 4 o h a m eM d ,i f i s t e rP, r i m e [ , 4 i n i s t eD a se p a r r m eInMt jrE. d ! a r dA o m i s t a dP,r e s i d e n r , l J C P BF- o CL] trFn d a t i o r lB o m u a l d0on g ;D r .Z a i n a l A b i dbi n i nA b d u[i, 4 a j e e d ; TSai nD a i oS e r li D r . ) A h m aSda r jB i i nA b d u i ( B a c Lk - BT) a nS r iD a t oS € r i ( D f ) A h n r a d S a r j i B i n A b d ! l H a r n i d , C h a r m a n , P e r mBoedf iaal d a ;n NHamidr a s 0 i aBhgDato [/lustapaI\,4ohamed; [4s.P€arlTwariiI\j]s.SurbhiShamajI\4r.JokinGaralea; I\,4f. Rarnon R.delRosario Jr.,Pr€sid€nt, PHIN[4A; andTanSr DaroDr.LinSee-Yan, Cha]rman, LtNAssociates N 4 rS h r i AE a l a k r l s h n a 1n , 4;R r .a m oR i .d e lR o s a r i Jor, . ja n dT a nS r iD a t oD r L i f S e e - Y a n

Support and lmprovemsnt of Education Educationis unanimouslyrecognizedasone ofthe most importlnt meansto internationaldevelopmert.The Metrobank foundationofthe Philippineswon the awardunder the categorySupportand ImprovementofEducation. The Foundation'syearly searchand awardsfor outstandingreachershasbecomean institution for teachersin the Country. Intendedto bring out the bestamongteachersand students, the foundation,through variousprograms,helpsthe young to competewith the bestoftheir peersnor jusr locally,but alsoin the internationalarena Among the runnersup, Caltex,Philippineswaschosenfor irs project CaltexMentor Program. Through the program,ir wasableto address DepEdt concern ofthe alarmingrateofnon-readersby offeringfunding aswell as sweatequiry Alother companyin the runners-upcategoryNestle,Malaysia launcheda healthyschoolcampaignin primary schoolswith the objectiveofimproving nurrition amongstprimary schoolchildren and encouragegood eatinghabits. The third runnersup wasrheJammu& KashmirBankLtd, India. The bank launcheda comprehensive programmeto promoteeducationamong the deprivedsectionsofthe society.During the programme,a largenumber ofstudentsbelongingto the deprived sectionsofrhe societywasprovidedfinancialassistance, The bank

Povarty Alleviation Povertyis one ofthe major issuesin developmentand almost all the societaldividestoday arein one way or the other triggered or aggravated by poverty. For rhis year,GujaratAmbuja CemenrLtd won rhe awardin the category Poverryalleviation. . It instituted variousprogramson InregratedRural Developmenr with ar underlyingobjectiveofpoverty alleviation.The corporation realizedthat by addressing any one issuetheywould nor be ableto alleviatepoverty,thus they adoptedan integratedapproachwith variousactivitieshavingsignificantimpact. The projectt edgeis in the recognitionofthe importanceof sustainability and replicabiliry;hence,it hasmobilizedparticipation from a wide rangeofstakeholdersincluding government,NGOs, peoplefrom rhecommuniryand the privare.ecror. The First PhilippinesHoldings corporationwasthe runners up in this caregory The companylauncheda project "IntegratedCommuniry DevelopmentProgramin Paliparan'under which it aimedto establish and suengthena sustainable multi stakeholderstructurerhat would oversee the implementationofpoverty alleviationprojecrsfor more than 4000 urbanpoor families.The projectservedro addressissues rangingfrom strengtheningcommuniry organizationsto basic educationand healthcareto environmentalmanasementto the issuesin land tenureand livelihood.

T H EA S A N M A N A G E F

D E C E M B E R2 O 0 4

A S I A N N S T I T L J TOEF M A N A G E M E N T

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UCPB Foundationventuredinro a reforestationprogramin They weregivenan initial fivea major lVarershedReservation. yearstewardshipof a torally deforestedarea. One ofthe runnersup - MassTiansit, Hong kong wasselected for its pro.jecton corporatesustainabiliryreporting.Through the project,the corporationmadeeffortsat bringing reportingofnonfinancialsup to world classstandards. Co) wasrheorherrunner'' UMC (UnitedMicroelectronics up, selectedfor its projecton the GreenFoundry in the New Century Under the project,UMC aimed to conduct intensecoordination,communication,training,and implemantionactivitiesnor suppliers,anJ espeonly within LrNC but alsowith its cusromers, cially the local communities.

hasalsodeveloped a system ofprovidingtargeted trainingto itsstaff to enhance theirknowledge andefficrency.

Environmental Excellence The UCPB Foundationwasawardedin the categoryofEnvironmentalexcellence. In response to the appealofthe governmenrro the corporare sectorto help in environmentalrehabilitationand protection,the

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l\Iohamedj Dr.Zainal l-R Y BhgDato lvluslapa AWARo EEFRoIVIiIALAYSIA LlFtIll\4EACHIEVEMENT Business ErhicsInstilutoofMalaysisj(gackL'RlTanSi DatoSeri Chairman, AbidinbinAbdullt4ajeed, T a nS r i D a t oD r L i n S e e . Y a n am n .d e l n o s a r i Jor, . ; a n d r . oR { D r . l A h m aSda r i i B i n A b d u l H s m i d ;Rl M

The 2004AsianCSRAwards THE RVR CENTER HAS HELD A TMDITION OF recognizingcorporationsmaling outstandingcontributionsro the socieryThe annualAsianforum for CorporateSocialResponsibiliry presentsa uniquevenuefor recognizingsuchcorporateentitiesand their contributionsrhrough the Asian CSR awards.During the recentconferenceat KL in Malaysia,the tradition wasrepeatedonce again- and under five differentcategories this year,thereweresix corporationsaswinners,and nine asthe runnersup.

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Small Company CSR Recognizingthat they dont havemuch funds for philanthropic activities,the SunletSystemsP Ltd madeCSR integralto their businessoperarions.They utilizedtheir sphereofinfluence distributorsand customersin implemenringtheir CSR employees, Program. designedand developedrwo comics They conceptualized, and CSR online training tools.Thesecomicsand consultingtools haveresultedin a multiplier effect,asrheyarenow beingsold and disseminatedo other SMEswho canlearnand adopt rhesepractices. Another projectis an initiativein a rural communiry which is involvedin womeDempowermentthrough Information and CommunicationTechnolory.The programis sensitiveto the external needsand extendsCSR in the communiryby focusingon marginal womenfolkand usingtheir corebusinessknow-how (i.e. ICT) as a meansand tool to empowerthem.

Best Workplace Practices HindusranPeuoleumCorporationLtd. waschosenasthe "BestlVorkplacepractices" winner under the category Hindustan PetroleumCorporation(HPC) providedfor appropriatework life balanceofemployees.One exampleis providing in their neighborhoodof residentialaccommodationto employees RefineryInstallation,LPG Bottling plantswith all the recreational facilities.They alsohaveHoliday Home facilitiesat a rentalat all

T H E A S J A N M A N A G E BI O E C E M g E R 2 O 0 4I A S A N I N S T T U ' E O F M A N A G E M E N I

L-R:Ms. Pearlllw€ri,G€neral FRol\4 lN0lA,PoVERTY ALLEVIATI0N CATEG0RY AWARD€e Cem€nt Ltd;Yghg0ato Mustapal\Iohamed; Development, Gudja|aiAmbuja IVanager, Community Jr; andTanSri Dato 0r. LinSee-Yan lVr.RamonR.delRosario

and placesofrourisrartraction. imporranrHill Srations The corporationgivesemphasisin the areasofchildcare, areeligibleto receiveChildren EducationAllowwhereemployees ance.They havethe Merit Award Schemethat is extendedto emabovedistinction.They ployee'schildrenwho securepercentage of regular/retired/ every to children give awards scholarships also 1,ear while in the Corporationt service. who die pensioners andemployees trahas had a long standing First Philippines Holdings The This year, the nurturing their people. dition ofculrivating and corporationwaschoseoasrunnersup for its programon Employee 'Wellness. The key areasin which the programis run are:Human ResourceDevelopment,EmployeeWell-being,CorporateSocial Responsibiliry futes and Rituals, and the Awards/ RewardsSystem. Anotherrunnersup, J&J (ohnson andJohnson)Philippioes, was selectedfor its project on CREDO-based EmployeeCare Program.The key areascoveredunder the program were: Total PersonDevelopment, EmployeeEmpowermenr,Team Development,and CREDO based Improvement,Leadership organizationtransformarion. EdaranOtomobil NasionalBerhad(EON) wasselectedas the third runnersup for its programmeon Better\(orkplace BetterPerformance. Special Award BuinessEthicsInttitarc of Makyia The specialawardwaspresentedto an organizationthat was Bureau formedin Februarv1997,underthe nameofBettet Business (Malaysia)with the endorsementand supportof the Ministry of to createpositiveawareness DomesricTradeand ConsumerAJfairs, in Malaysia, in ethicsamongbusinesses This specialorganizationwasformedto play a pivota.lrole in voluntarilybringing togetherall partiesconcernedin the business world towardsa common cause- a cultureofbusinessethicsand greateraccountabiliry EthicsAwardin Malal,sia. The instituteinitiaredthe Business The aboveprogrammewasinitiated with the supportfrom the Ministry of DomesticTradeand ConsumerAffairs.The awards retailers,restauranc weregiven to participantsfrom the vvholesalers, businesssectors. and supermarkets

tA !/

The International Movement of Development Managers

LOCAL.BASED GRADUATES OF THE ASIAN INSTI. standsfor and the direcion in which ir is headed. tute of Management'sMaster in DevelopmentManagemcntprogram IMDM *rasincorporated or Aprrl23,2003 with the following organized the Internarional Movement of Dwelopment Managers asBoard ofTiustees and Officers: Sr. JosefinaT. Magar (Batch 8), (IMDM) in February2003 to serveas their official alumni assoChairman; Atty. FranciscoDagnalan (Batch 3), Mce Chairman; ciation and network. CoratecT. Jimenez (Batch t3), President;Prof. Sofronio C. Dulay AIM's MDM program preparesdwelopment execurivesand (Batch l4), \4ce President;fulene Q. Gella (Batch l l), Secreta4'; practitionersto manageandleadpublic and civil socieryorganizations, Dr. Elmer T. Soriano (Barch8), Tieasurer;Sr ConsolataO. Manding cooperatives, and privatenonprofit firms amidsteconomicand (Barch5), Auditor Fr BanolomeC. Sagadal (Barch9), PRO; Henri political transitionsin rhe Asiandwelopment conrexr, S. Tenedero(Batch l4), Representativeto AIM Alumni ,Associarion; The freshimpetusro form and institutionalizean MDM Fr. Tito D. Soquino(Batch 10), Representative to AIM Alumni alumni associationand nerwork wasset in morion when MDM Association;Una D.L. Patawaran(Batch7), ,Asst.SecrearytMarciano Batch 14 (2003),led by their classpresidentHenry Tenedero,hiked L. Tapiador, Jr. (Batch l), Asst. Treasurer;AlejandroL. Ambil to Thgay.tayCity on July 16, 2003 for a (Batch l4); Delia D. Josef(Batch2), strategicplanningsessionto preparefor AssistantPRO; and Prof. FredelitaC. the hostingofa nationalconferenceon Guiza (Batch 2), Faculty Adviser. dwelopment management. As a nerwork, IMDM aims to The strategicplanning sessionrurned generatea collectiveeffort in solving out to be very fruitful, spawning not only problemsand serveasa venuefor rhe an action plal for two-day national conexchangeof bestpracticesand tools in ferencebur also a vision and mission projecrand programmanagement.lt is staremenr of MDM Barch14,and a firm envisionedto be a learningcenterin resolveand groundworkplan to organize dwelopment management. an MDM alumni associationand neworlc IMDM poolsdevelopmenrpracVtrile preparing for rhe conference, titionerswho canadministerand facilitare MDM Batch 14 in cooperationwith the the diverserequirementsofpublic and AIM Alumni RelationsOffice srarted prirate institutions: reachingout to MDM graduatesofother . Teachand train usingcapaciry batches.On February20, 2003, rhe building modules; IMDM SteedngCommineewasorganized. . Designand implemenrpro"lradership V/irh the theme and gram & project development; DevelopmentManagementStrategies . Conduct developmenrconsulfor effectiveSocialChange,"the national talcy and research. conGrencewasheld on March 3 and 4 2003 at the AIM Conference IMDM alsoseeksto assistrhe Centerof DeveloomentManCenter in Manila, A distinguishedpanelofplenary spcakencomposed agement(CDM) by helpinggenerare inreresr andenrollees ro rhe of key government, business,and civic leaders;AIM-MDM faculry; MDM program. and successful MDM graduatesexpoundedon leadershipissues The IMDM alignsits srategic focus ofactivities to achievethe and concernsfocusing on the theme Millennium DevelopmentGoals,sharingthe samevision with the Beforerhe closeofthe conferenceon March 4, the International United Nations Development Program: Movement of Development Managerswas launched adopting the . Eradicatepoverty and hunger vision and missionstatementof MDM Batch 14, asfollows: . Achieve universal primary education "V'e envisionourselvesto be dynamic, professionaland enlight. Promotegenderequaliryand empowerwomen ened Developmcnt Managersand lraders effecting positive change . Reducechild mortality drough the pursuit ofgood governanceand sustainabledwclopment. . Improvematernalhealrh Towards this end, we commit ourelves to: . Combat HlV/malaria and other diseases . A culture of excellence r Ensureenvironmentsustainability . Mastery of self . Developa mulri-sectoralpartnershipfor dwelopment . Synerry in action . Pursucgood governance Thereby enhancing our will to improve dre qualiry oflife. IMDM carriesthe noble objectiveofcontributing to the solution Vith the IMDM "brand" came a dynamic logo characterized of the world's developmentproblemstherebyraisinghumaniry's by a cubic and arowed designsymbolizingthe va.luesthat the IMDM oualiw oflife.

I N E A S I A N M A N A G E 6 I O E C E M B E R2 O O 4

AS]AN INSI TUTE OF MANAGE[/ENT

Wha[isaWorldGlass Factory? by BonoT. Domingo

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MANUFACTURING ENTERPRISESAIIT,IING FOR necessary and not an indicatorof"fat," while in secondary indusrries "leanness" through excellence would want to build in is of efliciency. Also, competitiveness and upgrade termsofinventory usuallya sign "world factories while their plancsand to class"status.Bur what is a world low output varietyin the primary industriesis a given, in classfactory (WCF)i Vhat is world classmanufacturing? secondaryindustriesit is now considereda weakness.ti(4rile we could Therearemany literaruresand researchtrying to grapplewith alsodefine\fCF's in the primaryindusriesand theydo in factexist, this concept.There is a lot ofsubstancein these,but unfortunately this paperwill only attempt to definea WCF in manufacruring, thesedescriptionsarenot usefulin gradingor self-evaluating one's wheretherearemuch more factoriesgloballyin numbersand much facroryor one'scompetitoron what stageor stateof"world class" more intensecompetirionand the raceto becomeexcellent. it is in. At present,thereis no standardway ofgrading and benchFactoryoperationsessentially consistofraw materialsor parts - subasmarking factoriesglobally.Vhile rhereareawardsand certification plocurement,partsmanufaccuring or processing, assembly prcgramsthat rate and categorizecompanyperfornnnce,they are semblyand final assembly, packaging,and shipping.This Iaststage - shipping thar includesfinished goodsstorageand outbound logistics focusedon just one performanceindicator,roo broad to be useful - rnayor may not be controlledby factory management. in raringfacrories, or veryindustry-specific. Mormver,manyofthese The same ratecompaniesratherthan factories.For instance,ISO 9000, Deming, can be saidfor procurement.1'heremay be severalquality checks insideand betweentheseoperations.Somefactorieshaveparrsand Juranand Malcolm BaldrigeAwards,and Six Sigmajust focuson qualirymanagementsystems,ISO 14000on environmentmanage- product designcapabilities.But most ofthe time, R&D is separate ment sysrems, andTPM (TotalProductionMaintenance)Awardon from factorymanagementand this unit receivesinstructionsfrom maintenance,housekeeping, and overallcquipmentefliciencyor rhe Marketing and Market Researchgroups,which arealso indepen"world OEE. Theseprogrirmsareopen to all industries- primary processing, dent from rhe factory.Thus in defining classfactory,"we manufacturingaswell asservice and havepracticallythe same product,designedto assumethat the factoryis producinga saleable criteriaand standardsregardless ofthe indusrryofthe applicantor satisfythe end-useror buyer In other words,we assumethat the nominee.In otherswords,they miss,by intent or design,the very R&D and Marketing units ofthe companyhavedoneor aredoing essence and uniquenessof manufacturingoperations.TheGMP their jobs accordinglyand that the ball is now in the handsofthe (Good MaoufacturingPractices) standardseemsto be the closestco factofy managemenc coproducerhe right productsthe right way. rating maqufacuring performance.However,again,rhis standard Ifall rhe factory operarions(prccuremenrro shipping)described wasessentially designedfor the food and drug industriesand their aboveoccur insidethe factoryor a plant compound,we havea "physical "world packagingsuppliers,to ensuresafeand quality produccsand processes. factory."This paperwill focuson classphysical in GMP doesnot stressproductivity,yield, cycletime reductionand factories."ln this day and ageofoutsourcingand rcengineering, other non-qualityand non-safetyrelatedindicatorsof excellent an effort to cut costsor convertthem from fixed to variable,many factoryperformance.QS 9000 is anotherintegratedmanufacturing .factory processes arenow jobbed out or contractedour ro third parties known assubcontractors, srandard,but it is somewhatindustryspecificand designedmore contractors,or evento raw materialsupwith information for accreditingpartsmakersand suppliersofcar manufaccurers, pliers.By furtherlinking chisnework of companies "virtual particularlyin the areaofqualiry technolog;r, we canhavea factory" running asifit wereone "world Beforewe startdefining classfactorf', let us first define factoryunder one roofand one management.So,what happened to the original factorythat oursourced,becameemasculated in the a factory This paperwill focuson factoriesof manutlcuring indusrries.The manufacturingindustry is alsoknown assecondaryindustry process,and reducedto just a thinking (design)and marketingenrity? "world raw marerialsfrom the primary industry that getsand processes Can it be rated asa clas factory?" No, but its subcontractors Primary industriesare thosethat processextractedmaterialsfrom can, for they remain physical.We still needphysicalfacroriesto make narureand Mother Earth;their outputsarecalledprimarymaterials the widgets and widget pans. Somebodyhasstill got to do the dirry or productslike sreeland other metals,glass,rubber,plasdc,firels, but lucrarivejob ar end ofthe day,in spiteof this outsourcingfever. And thesewidget contracton would a.llhaveto be world classfactories cemâ&#x201A;Źnt,flout and wood pulp. The factoriesof primary industries in order for any virtual factory or supply chain to achieveoperational usua.llyrun continuously,Nowadaysthey arehighly auromatedand and globalcomperitiveness produceto stock.In contrast,manufacturingfacroriesproduce excellence 'world In summary,whar we areabout to define as classfactory' discreteproducrslike carsand TV setsoucof primary raw materials is a physicalfactoryin the manufacturingindustrymaking saleable or pats from other manufacturers;they may producediscontinuously and haverie option to make to stock or forecastor to make ro order. products.The readermay larerrealizethat many ifnot all ofthe Another differenceis that inventoriesin orimarv industriesmav be descriptionofa world classfactorymay be usefulin describingworld

II]L AS AN MANAGER

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classmanufacturingsupplychainsand other integratednetworkof aremaderobustagainsttheir operatort inarrenrionand evencarephysicalfactories. lessness. After sensingany defectproducedor receivedor any abAll indicarorsofexcellencein factoryoperationscan be connormalityspottedfor that matter,thesesmartmachinesswirchoff veniendygroupedinto five: defect-free,fast,flexible,Iean,and themselves and amractattentionro themselves wirh bellsand lishts environment-friendly.Vith 5 asrhe magic number, a usefirlanalogy to seekhelp. Moreoverro furrher prevenrdefecrsfrom flowinj that comesto mind would be the 5-srarratingofhotels and restau- downstream,WCF workers,all extensivelytrainedon quality,are rants.But the analogyendsthere,for the 5-srarrating ofthese empoweredto stop any line, machine,or prccessthat produce establishmenrs is inaccurateand nothing but gauges oftheir'priceydefecs.The facrory in coordinationwith R&D, emplop the concept ness"ratherthan oftheir excellence in operations.I havereceived (DFM), which ensures ofdesignfor manufacturabiliry that products sloppy,inconsistent, and unreliableservices from 5-starratedhotels, arenot just designedfor customersatisfaction,but alsodesigned and excellentservicefrom 3-starones.\X/hileavoidingthe pitfalls for easy,defect-free,waste-free processingand manufacturing. ofthe hotel star rating thar confuseffavel agentsand ravelers alike, Finally,a WCF would usedpm (defecaper million) or ppm (parts I proposethe accumulationofall the five indicatorsdescribedbelow per million) asthe metricofchoice for qualirylevels.It avoidsusing "stars" "5-star" "world or to achieve or class"factory sratus.The five defectratesin percentage sincethis is too grossand limited (l-100 stars defect-free,fast,flexible,lean,and environment-friendlyrange)ald hard to comprehendand track. Most factoriesproduce are not mutually exclusive,and they may influenceone another a leasta million units ofproductsin a yearor lesstime - drugs,to1s, positivelyor negatively.But the degreeofinteraction, interdepenshirts,pens,TV ses, bullets,cannedsoup,condoms,cars.Evenlow dence,or correlationis not that srrongsuchthat it is possiblefor volumebut hugeproductslike planesconrainmillions ofparts, So a factoryto haveonly some,sayrhreeor four ofthe five. I have one million shouldbe a more appropriatebase than one hundred, witnessedsuch3-4 starfactories.It is not an all-or-nothingpropoin measuringand trackingqualiry and its improvement.\i7CFt -0.1olo)defect sirion.A factorycan accumulatethesestarsduring its journey of shouldachievesomethinglike 300-1000dpm (.030/o continuousimprovemenr.The sequenceofstars acquisitionis not rate,both externallyand internally.In relativeterms,assuminga important: all I believeareequallydifficult and important.The conventional factory has 50lodefect rates,a WCF should have98olo - defect-free, sequence fast,flexible,lean,and environment-friendly Iessdefectsor better Six-sigmaVCFt can achieve3-4 dpm. - is just my personalsuggestionfor rhosewho wish to clearthe hurdlesone at a time. Note that I did not purposelyinclude any specificmanagement programsin any ofthe 5-starratings.The five - defect-free,fast, "fast" flexible,lean,and environment-friendly- are intendedro be the WCFI produce nor in rermsofproduction cycletime "what's," resultsor deliverables,the of any or all programsthe factory or production rate,bur in rermsofmanufacturing leadtime or or companychoosesto employ.All managementphilosophiesor turnaround dme, or orderprocessingtime for make-to-orderfactories. "how's," schoolsofthought or arewelcome,but they do not garner It is fast not becauseoffast machinesand workersand high capacity, points unlessthey achieveany ofthesefive indicatorsofexcellence. but because it performslessnumber ofactivitiesthan ordinary For example,a factory, in trying to achievethe 5 stars,may employ factoriesdo to producethe samewidgets. A \J?CFwith slower programssuchasToml Qualiry Managemenr(TQM), ISO 9000, machinesand lower capacitycan processordersfasterthan one more Six-SiglnaProgram,Total ProductiveMaintenance(TPM), Kaizen endowedwith producdon resources.How doesa VCF achievethis or continuousimprovemenr,Quality Circles,BusinessProcess high speed?It doesso by eliminating wastefi.rl,unnecessary processes, Reengineering, and then streamliningwhat remainsasnecessary, Through rhis Just-in-Time,Total Qualiry EnvironmentalManapproach,processcycletimes (from procurementto shipping, down â&#x201A;Źement (TQEM), ISO 14000,SingleMinute Exchangeof Die (SMED), 5S-Houskeeping,SupplyChain Management,Activity to the sub-processes that make them up) areconsrantlyexamined BasedCosting,erc.Theseare meansto an end.They are not ends and ruthlesslycut to the barebonesusingworld-classbenchmarks in themselves. asa guide.Also, with much lessinspectionand reworkactiviries due to its high quality describedearlier,it furthercursits leadtime. Further,the lead-timereducdoncomeswith lessstorageand invenStar#l: roriesand lessmaterialshandling,aswill be describedin the section "[.ean'. on Supportgroupslike procurementand maintenancealso A world-classfactorymust havehigh quality outputs,inputs cut their leadtimes- finding and selectingsuppliers,responding and processes. lt must haveborh low externalfailure (defectsthat to repaircallsand fixing brokenequipment.IVCF supportgroups escapethe factoryundetected),and low inrernalfailure (defects canachievebreakthroughrecordsin curring their cycletime from discoveredand fixed insidethe factory).Defect-freesalesis not daysto hours,or from hoursto seconds. For example,key suppliers enough ifthere are extensiverework and repair operationsgoing on of WCF's areeithernearbycoJocatedinsidethe factoryvicinity or inside.Inspectionbetweenstationsshouldbe nil or minimal. A locatedat most 3 kilomerersawayfrom ir, rhussignificantlycutting !?CF eliminatesmost incoming inspecrionasthey paftner only inbound Iogisticsand transporttime. A VCF is alsonoted for its with reliablesuppliers. At any sugeor process,!?CF doesnot allow extensive useofvisual controls,devicesembeddedinto all processes 100o/oinspection,asthis is evidenceofinadequatequality at the and equipmentthat emit lightsand/or soundsto immediatelyalert source.In lieu ofinspection,a WCF employsextensivelyfooloperatorsand the factorymanagemenrofany situationthat could proofing devicesto prevenrdefects.Thesemachinesand processes causequaliry problemsor productiondelays.Response time to

s.".*2, !1fl

T I ] E A S ] A N M A N A C E N I D E C E M B E F2 O O 4

AS AN INS' II]IE OF MANAGEMENT

abnormalsituationsamountsonly to seconds.To further cut the orderprocessingtime, a VCF may be directly linked to the pointof-sale(POS) - the cashregisteritself,the salesmantaking orders, or the companysrorefrontwebsite.As a resultofall theseeffortsand programs,a VCF candramaticallycut its over-alltotal manufacturing leadtime (or order processingtime for make-to-orderfactories) ro 50oloor lessofthat ofconventionalfacories.This capabilitycan "time-to-market" "first and mover" advantage give it a very short overcomPe tots.

S,"r+1, @[ A VCF is lean in the sensethat its usesmuch lessresources than its conventionalcounterpartin producingwidgetsofthe same qua1iryand quantity.With extremelyhigh productiviryand yield, it dramaticallyreducesinventories,space,machines,and evenpeople and suppliersrequiredto achievethe producdontarget.Mosr WCF\ "pull" ratherthan rhe moreconventional adoptthe marketdrivenor "push" conceptofproduction. The pull forecast/capaciry driven systemensuresthat only the neededproduc6 and Partsareplanned and producedat the right time at the right quantiry Ordinary factoties producebasedon capaciryor forecast(which is alwayswrong), and they rend to be clutteredwith inventoriesand other idle resources. \MCF'savoidoverproductionand overstocking,without incurring srock-ours.rhanksto their short leadtimesdescribedearlier.Less raw materials,work-in-process(!7IP), and finishedgoodsmeans reducedworking capitaliovestment,spaceand warehouserequirements.A \VCF's toral inventoriesmay be aslow as l0o/oofthat of a conventionalfacroryproducingthe samevolume.A common observarioninsidea VCF is the absenceofwarehousesand storage wherewe would normally expectthem. A \VCF's output-tospaces spacerario in termsofmagnitude is betterthan that ofordinary arebalancedin terms factories.Most VCF's productionprocesses of cycletimes,thus eliminatingthe needfor 1VIP beween worksrarions.Set-uptimesarealsoreducedsuchthat productionbatch sizesaregrearlycut. They canachievea batch sizeofone - through one-pieceflow production,wher€inthereis only one unit in each srationand betweeneachstationat anyone time. A \0CF is alsolean in termsof manpower.lts multi skilledworker can operateseveral piecesofequipment at the sametime, to asmany asrwenry The ratiosetsit visiblyapartfrom runWCF'svery high machine-to-man of-the-mill plants.A lessevidentdifferenceis its high direct laborro-indirectlabor ratio.A \(CF finds lessneedfor a largenumberof supportgroupsand other indirectworkerswho manageinventories, qualiry control, maintenance,and space. warehouses, Finally,a VCF is leanevenin termsofits businesspartnersthe suppliersofparts and raw materials.They havefew but highly reiiablesuppliersofkey partsand marerials- doing sole-sourcing (one supplier)in somecasesfor key supplies.Being lean,a VCF is outstandingin resourcemanagement.

s,".*a,@!@ Being flexible,a VCF is clearlya factory for the fi-rture,a factory with a future. With rhe globalmarket'sdemandfor more product

I t s EA S A N M A N A G E R

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A S A N ! N S i T U T EO F M A N A G E M E N I

varieryand models,factorieswith highly flexibleand adaptivemanufacturingsystemswould havedefinite marketingand costadvantages. A VCF doesnot haveto produceproductsin high variety;but it hasthe capabilityto do so in the short term asthe needor market demandfor them arises.The key for its flexibility is its very short from one model ro set-uptime, rhe amount of time to changeover another.In ordinaryfactories,this could takehoursifnot days.Long set-uptimes,in order to justiff and recoverrheir high downtime costs,translateto big production batchesofone model, high minimum orderquantities,and limited producrofferings.A VCF hasprograms to continuouslyr€duceall set-uptimes- streamlining,reengineering, and procedures. WCFt set-up and reinvenringrhe ser-upprocesses timesjust amount to a few minutesor seconds,insteadof daysand hours.The SMED (SingleMinutes Exchangeof Die) program, employedby many WCFI, aimsto reduceset-upsof all equipment and production linesto just 60 seconds.The die is usedasits protog'pe, becausethis jig typicallytakesthe longestto replacewhen changing produc models.With short set-ups,high varietyand smallbatchor order sizesdo not significantlyincreaseunit productioncosrs.This pricingopportunities. cosra.lvantage translare. to verycompetitive VCF's production linesemploythe more flexibleproduct layout layout.Equipmentaregroupedand lined up ratherthan the process in sequence to producr a product or family ofproducts. [n conventional facrories, equipmentareusuallygroupedby qpe. This process layout is highly efficient,but very inflexiblein termsofequipment utilization..The WCF'slinesareqpically multi-modellines,capable ofproducing at leastrwo differentmodelsat the samerim€.This number can easilyjump to 20 in someVCF's in the automotive industry.Capableof trighvolume high varieryproduction,a WCF can do masscustomizationinsteadofthe traditional massproduction. \{4ren linked to the POS or point ofsale,a flexible,multi-model line can do realtime masscusromization.Flexiblelinesmeanthe '$flCF's havemultiskilled workerscapableof multi-tasking.It also impliesthat their suppliersarecapableof multi-modelpartsdelivery in smallbatch sizesat frequentintervals.

Star #5: A !7CF nor only operatesefliciently,but alsooperatesin a "brown," meaningthey are cleanand safeenvironment.Its processes "green" products, arewasteand polludon free.A VCF producesonly i.e. productsdesignedfor the protecrionand preservationofthe repairable, remanenvironment.Suchproductsareusuallyrecyclable, WCF's productshavebeen or biodegradable. ufacturable,re-usable, in mind at the end oftheir useful designedwith properdisposables ro keepthe placeorderly, lives,It alsopracticesgood housekeeping cluner-free,and lessaccidentprone.A dangerousand dirry factory, howeverproductive,cannotbe consideredworld class.A VCF It is preparedand equipped practicesgood and thoroughhousekeeping. to effectivelydealwith externaland internalemergencysituations, like fire,earthquake, explosion,and accidenrs. A VCF is a conducive placeto work in. Its workersand the communitv in it areproud of cirizenin icrcommuniry. ir. A VCF serves asa modelcorporare P/of. R.,. T Dani,so tedch.rO?erd,ioa' Ma,asen?,t, TotatQuabryMatugenent d Rusikst Plodil Rargi"..ri,r Hs cndil t ltd@dih..du.Ph

Marketingto Business: B2B Challenges

bv Jacinto Gavino, Jr., OBA Fr .ir'r'.: I ll,, re;, !. r ! ' F S : n .' r f B s r : i : : L l , r , r . l

rN 1002.PROF. JActNl O CA\/rNOANlj CLARI_NCII Hcndersonurote an aniclc on B2B malkering (iilsoknor.vnes ''indusrrial malketing ) I-heerticlerefirrcciro ll2l3 asrbe exchrngc ofveiues berrveentuo cornplnics- l hev narratcddr.rr: l ht ntrketing duip/int ha, n'dr./itioutll.yhren io , nr' ttn,t ' r) t. ',u 4 rl,t r t.t,/,"t rt,t/ ,',,1,1 , ttt.qi. ustr't//y ot,trlookcd or igtnwl.'1fu etrllnsi i on tonrtrner be/nt,ior, tlte I'our l)t, n.h).r|ring, and so.firth. illost i ntrulu t tor-yn arkct i ng t ett:

lcngcs?\\ih:rr markeringphilosophl shoulcitho adolxi \\'her industrl practiccscan thev lcrln fiom eechorher? 'I he eLrrholsol this rrrticlcrccenrlr condLrcteda researcfr on nrarkctingto businesses to decpcn their unrlcrstandingof rhe ' r ' r r , i , r ' r n c r r r r , J . r l ' n r . . ' r t l r " , 1n. . r ' r .n t n r . r r . r qr rrr r rr t p r , r r,i , r ' !rr*r rhar lddless kev challenges.lhel alsorlenrcd to fin<lout horr'rnlnegcrscan srrcngthcr Il2ll rnalkering pracricesin rhcir org:rnizlrion.:Ln<1 horv ' t r . l r 1 ' rr . t r . . , . . r r ,n r , r k (b rr ' i r c ' . e . more Iucrative.The rcscarch includcd severalfircusgroup

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rhc rcscarchconducrecl:rr.' sumnr.rrizedin the succceding prngraphs. First, BIB customcrsfacc touehereornpetirion. (llobalization haschanged

t is intcrestingto note drer so litrle has beenu'rirrcn on thc topic w hcn a huge por!ion ofccooomie tr-ansactions.rrc B2B in naturc. Moreover, rhe dln:rnrics oil12B nrarJieting

the narure ofcompctition amongsrfirms. l,ocal firms lrc norv compellcclto srLlvivcrmidst compctition fronr largeglobal pl:rverswho mav invade their locel terrirories.Therc lrc no morc boundlrics ro

rnrnagenrenris rapitlll evolving es a resrrlrofglo, LralizrLtion and doelopnrcnrs in infbrm.rtion end com rnrLnicalionsIccbnologr'.

compctirion. Chin:r firl instencehas emergedas e global cosr lelder that threltcns rhc existenccofvarious industlies

IiB2B Mrrkerine is frcominq more sisnificrnr,rhcn menlgels lrrccscvcralclucstions.\\'har ilre rhe kcv chal,

in other counrries.Moreover,ldvancesin infonnltion and commtrnicationstechnololrybave furrher reshaped 'i competition. echnolop is no* evaileblcfbl businesses

to virtually communicate,interact,and transactwith their endcustomers.Competition is no longerdefinedin termsofbest productsper se,but bestproductsat the fastestpossiblespeed, with the mosr flexibiliry and at the leastpossibleprice.As glofor managersarehow to find balizationlooms,the challenges waysto manâ&#x201A;Źe the customers'coststructure,and how to provide them with productschathelp createa differentiationsuategy. Second,82B markeringis a firnction ofanother demand. It requiresan understandingof the industry facedby a customer, Customersfacedifferentproductlife cyclesand industrydrivers. As a result, they havedifferent coping mechanismsand strategies. to build marketresearch capaIt is importanrrhenfor managers bilities that examineindustry strategr,and produc$ ofcustomers for them to determinehow an organizationcan add valueto anotherorganizarion. Third, 82B marketinginvolvesa buying process.The challengeof the manageris to identi{y the qntem ard understand within rhe customert its complexiry For instance,executives organizationmay havedifferentnotionsofqualiry Somemay havevariouscriteriafor product requirements.Winning a cusTherearepoliticswithinthe tomer is a long and tediousprocess. customer'sorganizationthat needto be understood.Customers existin differenttypes.Transacrionalcustomersvalueprice, whereasrelationalcustomercfocusmore on qualiry and reliability ofdelivery commitments.Profit zonesmove.A customermay contributea sizeableamount to profi$ today,but that may not hold rrue in the firture. Given the myriad ofchallenges,whar philosophyshould managersadopt in managingB2B marketingiOne perspective is to look at B2B marketingasstrategicmarketingmanagement. Managersmust look at businessnot ftom an internal organizariont ofthe customer.From a viewpoint, but from the perspective they need to clearlyidentifr who universeofpotentialcustomers, (Theodnre values. Leuitt, Marheixg is the customer and what he Imaginatian, 1986) Purpov, The Marheting and thq Cor?orate

the importanceof the 3 C's marketingmanagementemphasizes of market analysisfo r B2B matketing (PhilQ Kotler Marketing Mazagemmt,2003). Below,the authorsprovidea visua.lillustration of suchframework. Market andysisrequiresa look at 3 C's.Managersmust be technosensitiveto contextthat includesglobaldevelopments, logicaladvancesthat reshapethe natureofthe industry and governmenrregulation.Second,they must look at customers'

STBATEGICMARKM

G MANAGEiIENI

profile including their needsand wants.Third, they must look at customers'competitionand gain knowledgeon cornpetitors' stratery and major customers.It is only when the market analysis hasbeenfi-rllyanalped and undentood that menagersc:tnsegment their and targetpotentialcustomersand then conceptualize product'spositioningitatement. rVhile retail marketingallowsflexibiliry in the marke(ing Ary alterationin the mix, B2B marketinghasmore restrictions. 4 P'scan havea drasticeffecton the cosrofoperation. Since most B2B productsareindusffial in natureand requirehuge capiul ouday,any alterationthat is not responsiveto lhe customert needsand wantsmay be detrimentalto the organization. A Analyzingthe customerinvolvessegmentedresearch. important customers using must determine his most is not a random activiry. manager 28 marketing It requiresa deliberateunderstanding the principle ofABC. A customersare thosethat contributeto ofthe marketand a setofpurposefiJ 80o/oofrevenue,B areirt the middle, while, C cusromersare acriviriesgearedtowardscustomer thosewho demanda lot of time from the organizationbut conacquisitionand retention.lfB2B ribute an insignificantamount to revenue.Managersmus! decide managershavea clear understanding to eitherdevelopB customersinto A or relegarethem to C. C cusromenshouldbedeleredlrom the lisror givento comprtitors. ofwhat customersvalue,then rhey There existrwo kinds ofcustomersin termsofpurchase do not haveto strugglesellingtheir - tralsactionaland relationshipcustomers. The ffansAs Peter preference productsand services. "aim is that the The assumPtion ofmarketing actionalcustomeris price sensitive. Drucker puts it, the (It and the homogenous in terms ofattributes product is already is to makesellingsuperfluous... focuses The relationship customer only differentiatoris the price. is) rc know and understandthe customerso well that the product "Defning chain. (PhilQ lalue Maron the productt contributionto their organizations' Kotbr or servicefits him and sellsitself" cost savings. or qualiry enhancement, Suchcontribution:c;n be hetingfor the twenry-frs century,"Marheting Management,p,9, "Fit must help the customer differentiate speedofdelivery. The value 2003). of senice"allow managersto design,develop,and in productsto the end consumer. marketproductsthat add superiorcusromervalue.Suchvalue Competitorsareidentifiable.Managersmust identirytheir additionscan be madein termsofenhanci[g a customer'srevenue on operation,fastâ&#x201A;Źrdeliveryand response most relevantcompetitorsand understandtheir strategyin porential,costsavings They must alsounderstand acquiringand retainingcusromers. mechanismto the end customer. A modified versionofPhillip Koder'sfiamework on strategic the organizationalstrucrurâ&#x201A;Źofcompetitorsand analyzeareasof

lFE AS AN MANAGER I

O E C E I " I S E S2 O 0 4

A5 AN NSl TUTE OF MANAGEMENT

strengrh :tid u,eakncss. Managcrsmust also build a nrlrkct infirni.rtion systenr to cnhirnccdecision-makinec.rpabilirr,. responsiveness [o ma; kct changes.anclorqanizationalflexibiliri.'. Tho nrustolg.rnizeinfirr marion that alreadvcxiscsrvirhin the organizationbut is currcnrlv inaccessiblcF.xistingch:rnnelsshorrldbc er aluatedas possible sourccsofinforrnarion (e.g.salesdistribucors).Rrscerchflrnrs

cr.rstorrizarirrn of selvier,lfer gadgcts I'l)As tirr phar-nraecrrrical selesforcc). Customized Serviceie.g. non-st.rn.leldproducr tearures fbr spccirl custonrcr.,tu.ilirrtine,-rcdit lincs. ficc doeLrnrcrr proccssing)

must be uscd onlv whco managcrshave alreadv identifled the rescitrch{lucstiomsanciunderst;rndthcir rclcvancrro srr.rre

Infornrrtion r e .h n o l o g l e . g .l r r r k r r r rgg ' r r r z J r r u\ ur r \ ( l l r i ' \r lrith s*tcm the cLlstorncrro prlovitlc clelircn dirccr to shell'.

gic planning. If l32B N4arkeringinvc,lvessoeral challengesand rcquircs strategicmarkcting managenrenrperspecrir,c, horv clo managers in the industrv cope in order to scrviccrheir cusrornersi Managing the cusromers'cosr neccssitares intcrnai cosr manaqcmentfor the organizetion.It is important fbr nranagcrs ro understandthcir orâ&#x201A;Źlanizational cosrsnucturclnd to outsourcc

ficilirarion nranagcnlcntibr a paperlrssrrlnsacrion,poinr ofs:rle :rpplicationsthat nroniror curronrcr'pr-cfcrencc:)

non-coreprocesses. Thel must lcarn to manageand trein otrtsourcedprovicletsto mininrize disruprion in thc organizarions processes.Moreover, as customers become more dcmaoding and profit nrargins get quc.ezed.mani4ersneedro prioririzt & rationalizt

KeyAccounts Managenreot(e.g.nrovirrgirrvavfionr the conccpt ofsclling bv fircusineort thc enrlvsisof custornersbrrsinrssneccls) Cross rnerchandizing and bundling strategy (e.g.idenriA ploducts rhet complernenten org.rnizarion.s prodrrcroflcrirg) Researchand Development (c.g.cusromizinep.rckagingfbr custonrersto extend thcir product s shclf life)

rhcir target m.rrket. Creatittgir difterentiationsrraregr 'lit l , , r . u r t o r n r r s . a l l rt b r a "t rurri.. mcntality. N{anagersmust be awarc of needsand preferencesrhrough customerintinracy.It is a te-

SLrcccss in rhe buyine processdemands harmonizing divergc'nrinteresrsin thc buving centcr,N{anaqerscxn educateprarrres rn the but'ing ccntcr on *'hat they neecl and rhe correspondingproduct anributesdrevrequire.l_hevcan

dious process.As one manager from our focrrs eroup

conduct postclosing activin (e.g.botlr rechnicaland sales) to identill problenrson thc

discussionresearchnoted, "ir meansunderstanding

producr usc and under

nhat cusromers rake fbr breaktast,which h,,tels thev freqr.rent, and

whererheyplaygolf" (Conmenxliom a pdrtiipd t, Foaa Grcup Distussionbeldin Dauao Philippines,Asianhrtirux oJMtnagtmett, August 200-,.

stancl horv to enhance sen'icero cusromer. If thc austomerls a conlilomeraterher has ciillirent buving processes acrossits

'it

For instance,under standing tlre nlanuflcturingi proccssofa customer rvill allorv rhe orgln iratiun to d.'ign pr.,Jrr.rt rr, 'u nd it thet rvill creare eftlciency and cost savings. Infbrmation can be sourcedfronr cus!orncrsarisfacrionand feedbacksu rveys. f)ifferenrelon can also bc fbrmed in other u'avs: Attention to QuaJity. Somc organizatrons pay arrenlon to thc definition ofqualiry (e.g.some countries place grcar importancc on rhc look offruir exports rvhile otlrers valuc the sizcof chefiuir). Ptoduct augmentation (e.g. farr deiivcn, frc'cinrull.rrion,

subsidiaries,then, man-

agersnlust L]ndcrstand rhe buving processoi rhc subsidiar'yand identifi i r s d c c i s i o nm a k e r sa n d influcnccrs.

Essenrirllv,the practice of B2B rnarkering denrlndstharexc.utivesbcconcgencralmanegers and not just functional expctts.Sincc markcting tcr businesses is aJuncrionof anotherdemand.the nrlc of nranagersgoesbcvood the managemenrofthe.ll)ls. Thcv ncerlto havea deeperappreciationof how global developmentsan.1industrv issucsaffect the businesses of their custonrcrs. Furthernor-e, managersneed to promo(e nrarker'l ing as a managcmcntphilosophv. hev nrusr become agcntsofchange,callingfbr rhe whole organization,ald not just l t'i'rvoftheir dcper-tments, to respondro lhe challcnges faced by dreir custoners.

BUSINESSPROCESSOUTSOURCING (BPO)'. THESE termsreferto work sentoffshoreprimarily by the United Statesto countries'suchaslndia, the Philippines,China, Vietnam, CIS etc. is hereto stay.Despitethe predictionsofdoom and gloom owing mainly to electionyearrhetoricin the United States,the business supportfor offshoreoutsourcinghasneverbeengrearerIndeed'as a recentstudy by the McKinseyGlobal Institute Pointsout, every $1 spentby the United Stateson offshoringresultsin a valuecreation potentialin the US economyofbetween$1.12-$1.45primarily and the multiplier ofUS businesses competitiveness from increased years next five approximareJy ln *te savings. effeoo[incre:sednarional and/ offshore be moved will $300-$500 billion worth ofservices or outsourced'. As more and mote work is being offshored,many countries acrossthe globearecompetingwith one anotherto position themselves asthe ideallocationfor offshoringwork. The major counttiesthat competefor offshoringbusinessareIndia, China, the Philippines, EasternEuropeancountrieslike Poland,the Commonwealthof Independentstatesand Ireland.Much hasbeensaidand written powerhoute services aboutrheplowessoflndia asan oursourcing outsourcingbusinessThis article and its dominant role in atcractive will erplorethe keyissuesrhat top decisionmakersconsiderin evaluating a locationfor outsourcing.In this contextthe articlewill alsobriefly ofthe Philippinesasan outsourcinglocation' evaluatethe attractiveness

T f I EA S A N T , , i A N A G Ei R oEcF(,l3EF2OOa

A S A N I N S TT U T E O F M A N 4 6 E M E N T

Key strategic questions when â&#x201A;Źvaluating BPO locations

Choosingthe right locationfor outsourcingis asimportant as selecdngwhich processto outsource CEO's worldwide havea choice The top fivestrategic oflocationsor countriesfrom which to choose. a locationareasfoJlowst: questior$that CEO'Sconsiderin evaluating l. Doesthe locationo{Ier costsavingsthar justi$' the investment? to estimate a costbenefitanalysis undertakes The top management the investmentto be madeand the savingsrhat may be unlocked' The underlyingissueis what arethe expectedcostsavlngs to quality labor at a competitive 2. Doesthe locationoffer access rate?The key issuein this caseis whetherrhe locationwill offer labor wi*r the level& mix of skills that the outsourcerwill require' 3, \flhat is the time and effort rhat the implementationwill require? Doesthe locationoffer the desiredinfrastructurequaliry and availabilig and how much efforrand time would be requiredto achievethe levelofquality ofoperationsenvisioned? 4. !?hat are the risksinvolved, and are they manageable? The underlyingissuesarethe materialrisksrhat arisefrom doing

in a foreignlocationand rhe potentialimpactoftheseon business the outsourcedoperations. 5. Doesthe outsourcingcreatestraregicoptions that add value? Is the locationstraregicallyimportant in other ways;for e.g.asa potentialmarketor asa sourceoflabor. ti{4ratarethe long-rerm considerations ifthe companydecidesto locatefor the long-term? Philippines - an attractivo BFO location The PhilippineBPO marketwasvaluedat $389million in 2001 and is forecasted to grow at a compoundedrateof 680loto reach approximately $3.8 billion in 2005'.Thesefiguresreflectthe growing worldwide that the Philippineshasthe fundamentalelements consensus in placeto be a significantBPO player.

MAPPING OFTOP BPO LOCATIONS a lrelandaAustraiia ' Infrastucrure - Other basic infrastructure - Coudtry.isks/FDI ;ncenrives - Arrractive incentives - Political environment Ime zone attraci;ven.ss

I (9

O s'oorear*

hdisO

Jctin"

with doing 4. Manageablerisks- Most materialrisksassociated business in the Philippinesrevolvearoundcorruptionand securiry Theserisksarewholly justifiedalthoughthe governmentin recent timeshasmadesignificanteffortsto mirigaterheserisks.On the risk profile'. whole, the Philippineshasan acceptable In Iight of the above,the Philippineshasseveralunique opporrunitiesin the BPO space'. r I r . . r r r .

Ophilippines 3 9

vexico

LOW

HIGH

Peoplâ&#x201A;Ź Attnctiwdess

3;i"o I

the Philippineshasrobustsupportingsysremsin termsof(government supporr!businessfriendly legislations,high quality ofexpat living) thar makeir an acracrivelocation ro live and operate.

. . . . . r

I ;t"tj:f i:i:"r. si-.r.i.a.;ai-,.qmtie orknowredseworkers

Ler ur broadlydiscuss rheseelemenrs. - AmongstBPO locations,the Philippines 1. Cost cdmpetitiveness is hirly competitivein costs,both laborand nonlabor Its telecommunicationsand electricirycostsarethe lowestwhen compared to lndia, China, and Malaysia,Industry sourcesagreethat rhe costsavingsasversus Philippinescar provide asmuch as600lo-800/o the United Sratesfor operationssuchascall cen[ers,financeand accountingbackroom, and dataentry. 2. High qudity, cost-effective labor pool - The Philippines'primary strengthis the availabiliryof Englishspeakingtechnicallyskilled talent pool with high US languageand culruralaffinity coming from the prevalence ofrelevantsuppon systems". The Philippines, the 3rd largestEnglishspeakingcountry in the world, generates over450,000graduares everyyear,Over 94oloofthese graduates areEnglishliterateand arehighlyfamiliarwith theAmericanaccent and business & socialculture due to historicties betweenthe two counrries.A mlent pool with this skill setis highly soughtafter by BPO players. 3. C,onducivebusinessenvironment- The Philippineshasthe requisite hard infrasrructure(telecoms,utilities,and realestate)to ensure levelofquality-.Funher, sustained operationsat globallyacceptable

r . .

Business Potentialcuslomers Rationale Contact centers US companiesand localcompaniesacrossindustries Affiniry with US, Englishspeakingtalent at low cost, good telecommunicationfacilities Medicaltranscription US hospitalsand HMO's Afinity with US medicalsystems,availabilityof low cost, highly skilledEnglishspeakingmedicalprofessionals Sharedcorporatebackoffice services PhilippinebasedMNC's Low cost,skilledtalent available Softwaredwelopment Globalvendors Availabilityoflow cost,highly skilledEnglishspeaking IT professionals, Indiat move towardshigh valuesegments leavesroom ForPhilippinesat lower end Animation and design companies Fiucation companies,mediacompanies,Japanese Creativityand artistry of Filipinos,availabilityof low cost, highly skilledEnglishspeakingdesignprofessionals Summary

ofthe The Philippinesis an attracriveBPO locationbecause talent pool availabilityof a low cost,highly+killed English-speaking with strongafiiniry to US culture and sysrems,the availabiliryof globallycompetitiveinfrastructureat a low cost,and a wide rangeof 3rd parry vendorswith deepprocessexpertise.ln light ofthe these the Philippineshasa competitiveadvantage asa location capabilities, for customercareservices and someselected backroom and corporate would be high-endcustomer sharedservices. Someof lhesesegments care,medicaltranscription,and animationservices. Somefactorsthat hinder rhe growth potenrialofthe Philippine BPO marketare the perceivedsecuriryand politicalrisksand lack of track recordoflocal BPO players. y I ThetermsEusnessProcessOursoucmg,olisour.rnga.d oilsho.nghavebeenused nlerchangeab 2 l,,'lc(nsey Globa .sr1!1e 3 G a n e r ,l D c , N E o T e s t m a r e s M c K i . s e va . a y s i s 6 l i h o r e s t m a r e s 4 DT, Nasscom,presssearches 5 N E O T M c K r n s eayn a l y s s 6 DT Garrner,ITECC I E l l l a n a y ss , M c K . s e y a n a y s s 9 M c K r s e y z n a y s r sN, E O T ,G a n . e r

rtsFAS AN MANAGER

D E C E M s E F2TO O 4

The\fi rld Entrepreneur of the)aear TheAsianManager Exclusive Interview withTonyTanCaktiong

Tony Tan Caktiong learnedtwo basicingredienr

fiom hisparentsthat ledto theJollibeephenomenon - goodfood and humiliry. It is a known fact today that Jollibeeis the undisputedleader in the localfasr-foodindustry Moreover,Jollibeeis one ofthe largestfranchisingneworks in the Philippines.From two storesin 197J,Jollibeecan today be found in around900 locationsin the countrvand 29 overseas. This phenomenonis due mainlyto Mr. Thn Caktiong'spersistenr drive to innovare,to look ahead,and to learnfrom other companies'successes and mistakes.Today,he is the roughesr quality controllerofJollibee'sproductsand services. For his tremendoussuccess, Mr. Tan CaktiongwasrecognizedManagementMan ofthe Yearin 2002. He hasalsobeen presentedan AgoraAward for Ouctanding MarketingAchievement, a Triple A Alumni Award from rhe Asian lnscituteof Management,a GoldenScrollAward,a Ten OutstandingYoung Men (TOYM) Award for Entrepreneurship,a Star of Acia Award from BusinessVeek, a LifetimeAchievemenrAward from rhe Asian Chain RestaurantOperatorsand SuppliersSeries,and latelythe Vorld Entrepreneurofrhe Year. The AsianManagercorrespondentwasfbrrunarero ger someo[ Mr. Tansrime lor an exclurive inrerview.

'!f:

TAM: What were the formative events in your leadership development? TT: Displayingleadershipis like a day to day thing. I don't rememberany particulareventthat led to my leadership development,or any moment where my leadershipwas testedor where I displayedir exclusively.Leadershipis more a way of life. TAM: Vhat is your personal style of leadership? 'I*f: I am not autocratic.I dont forcean issue.I havea consensus typeofleadership.I believein involvingthe group in the process ofdecision-making. Although the process takesa litde bit longer, the executionis easier. TAM: There would be certain times in your businessrn'henyou had to make quick decisions. How do you then work through the culture of consensusdriven decision-making? TT: In our business,we dont usuallyhavethat kind ofa situation. Ninety percentofrhe time, we involverie peoplein the decisionmaking. But thereis a high degreeoftrust in leadership,so people understandus when we havero makequick decisions.Thev sav "We knowwhatyou aredoing,we rn sr you. deci.ions. we,riil go wirh you." That spellscommitment ro me.There is a high degreeoftrust buih in amongour people.

IHE AS AN MANAGER

D E C E M B E F2 D 0 4 I A S A N N S T I T U T EO F I , / A N A G E M E N T

TAM: So how do you identifr the right people to work with youl TT: Thatt a challenge.Sincewe are into the fastfood business, peopleare at the coreofall our activiries.We believethat people shouldbe our strengthand gettingthe right peoplecontinuesto be a challengefor us. I am personallyinvolvedin rhe hiring process, especiallyfor the seniorlevel.Ve discusscloselyabout the kind of packagewe needto motivatea person.Ve try ro gerrhe be$ people we can. Usuallyit is the issuebetweenthe pay and the right skills. I tend to go overrhe pay because it is not only the pay,bucalsothe skills,the experience, and rhe characterthat matter All theseissues comebeforewe look ar rhe pay.We alsogo for searchfirms, but stressheavilyon lookingfor goodskills.Ifwe cannorafforda pe6on we want, we can ofler other thingslike srockoptions,etc.

\7e dont needto be greedy. -

\7e don't need to have excessDrofir. rooay,we can lncrease our pncesstnce F

we are the market leader,but we want to be fair and honest, and we want ro

remainaffordablefor our people. TAM: Ifyou have identified the right person and have decided on selectinghim/her for a particular role, what's your baning average? TT: Ve cansaya little bit higherthan the indusrrysrandards,bur ofcoune we cannorhave l00o/osuccess all the dme. TAM: Do you look for any particular qualities that are a must when you selecta person? TT: V'e wanr to have team players.Ve wanr humble people to work with us so that they can fit into our culture.Threepeoplemight havesimilar experiences, but it is more on how they fit in the organization.So,we establishthe requiredskillsand experiences. Once peoplematch theserequirements,we look for thosewho fit our culture.Ofcourse, the personshouldhavea soundcharacterald a cerrainvision in his life. TAM: How do you deffne a typical Jollibee person? TT: A typicalJollibeepersonis ofsound characterHe is humble, down to earth,is willing to learn,and is a good teamplayer His personalvaluesarecompatiblewith thoseofJollibee.Aad his experienceshouldspeakfor himsell Ti{M: You have mentioned the word tharacter' a few dmes now. How do you judge the character of a person before you have him working in Jollibee? fi: Listen beween words while he/sheis talking, and pray that you areright... TAM: Vhat about the most difficult moment in )rour:careeri TT: Difficult moments are when I want to sell an idea rhar I beliwe in, but peopledo not believein, During that certainmoment, ifI

forceupon the issue,it becomesvery difficult in execution.The hardestpart in businessis how to convincepeopleto understand your point ofview, and look at the sameangle.Once you agreeon certainbasicprinciples,the executionfollowssmoothly. TAM: Do you belierethar wharevera man createsis an exrension ofhis own personaligl What aspectofJollibee is an extension of your personality? TT: Probably...May be the willingnessto servepeople.The willingnessto listen to people.I tend to listento peoplet comments. Improvementthroughcustomerfeedbackis a way oflife in Jollibee. Dealingwirh people- fairly and honestly. We dont needto be greedy.Ve dont needto haveexcessprofit. Today,we can increaseour pricessincewe are the market leader,but we want to be fair and honest,and we want to remain affordablefor our people. I want peoplearound me to be happy.I don't shout ar people and I don't allow our peopleto shout at customers. TAM: Did you ever rcalize in 1975 that you would go this far? TT: Not at all. When we werelooking for a name,my ideayrasto look for a namerhat would registerworldwide. Even though we did not havea plan, we had a dream. ThM: Through the last 29 years, did you ever feel that it was not going to work out for Jou, especiallywhen Jour operations failed in a few placesabroad? TT: I am more ofar optimisr. I believe,I can do anything that I needto. Peoplesay.lshouldbe more realisric.We havenot done particularlywell outside,especiallyin the Middle East,but to me that is a lessonlearnt. TAM: Is the senior managementalsoan optimistic group ofpeople? TTI Not all ofthem are.There are somewho are more realisdcand they help balancemy ambitious,and often idealisticviewpoints. Sometimes,it becomeshard for me to definereality.Looking back, I rememberwhen we had started, Mcdonald's was enrerine rhe markerand rheywerethe marketleaderworldwide.Looking-ar our capital and resources,my closefriends had sincerelyadvisedme to change/switchrhe industry while it wasstill early.Peoplecan say that wasthe reality.During that time either we were roo naiveor young or stupid. "No, I said we can do it." Ard, looking back,until today, it is true, we did it. I guessit is the will to do things that matters. We didn't carewho Mcdonald'swas. Therefore,sometimeslooking inro the future, or when some teenagerasksme about the future, it is so hard for me to say rhar thereis somethingthat cannbt be done. Looking Lack,I feelifyou reallywant to do something,it is not about doing a realiry check. It is abour determination, perseverance,and changingyour lifestyle. TAM: How about the importance of luck in life? TT: Luck is very imponant ard it is so hard to differenriarebetween luck and hard worL Luck playsa pan when your foundation is ready. Luck is in front ofyou, but ifyou're nor ready,you can't caprureit.

T1]EASIAN MANAGER I DECEMBER 2OO4

A S I A N I N S T I T U T EO F M A N A G E M E N I

TAM: What about ethicsi TT: Ethicsareimportant, but hard to definein blackand white terms.Peopletrust you ifyou areethical.And to makethem follow you havegot to lead the way yoursell ethicalstandards, TAM: Is there arything in the corporate world that has changed drastically in the last twenty years, that you are more carefirl of now as compared to when you had started? TT: Ve usedto be a family business.Ve went public in 1993. But the family still owns a big portion- about 65oloownership. One major changeis learning how to dealwirh minoriry have to be fair You haveto be more formal, and transparent You ro everyone.\tre haveto makesurethat the peopleunderstandus. \i?hen you are big, you are also more answerableto PeoPle. You affectthe community in morewaysthan one,youhavecertain responsibilirytowardsthe society,and you owe peopleexplanation for your actions, Secondissueis the environment.The environmentnow is very different as comparedto what it was ten yearsago.Therefore, for our actions.We alwaysquestion we needto be more responsible on how we can help in environmentalsustainabiliry. ourselves Third issueis the sociery- peoplelook at us asmoral liaders. They look up to us as their dream. And, we want to be up to thoseexpectations. TAM: Ifyou go back 30 years,what really prompred you for this undertaking?\(as it the family background, was it the upbringing? What led to this dream? TT: My father was an employee.He wasa chef in a restaurant. I sawhim working hard. Lateron, he setup his own restaurant.So,the restaurantwas not a new thing in my life. I usedto get inspiredlooking at my fatherand wantedto be ashe was. ashardworkingand persevering My mother gaveus the right values.Ve werepoor bur she "We dont dress usedto'makesurethat the family did not feelpoor well, but we still dresshappily,"sheusedro say. Shemadesurewe did not lie, we did not cheat.On Sundays, we could not go for movies,but shemadesurewe had recreationrecreation. but not expâ&#x201A;Źnsive qualiryrecrearion we wore werepassedon from one brother to The dresses another Shelaid a strongfoundationofcharacterin all ofus. She "Are you sureyour sdll playsthat part. Oftendmesshequestionsme, peopleare nor arrogantwhen they talk to outsiders?" 'We werelucky that I wasableto lay a good foundation.We roles.Ifthere wereroles werebrothersand we fit in our respecrive And that none of us could carryout, we wenr for professionals. everybodyin the family followedthe system. TAM: Your personalvision? - I would like to TT: My personalvision is relatedto my business takethis businessaheadand make ir into a global player.In the short run, at leasta leaderin Asia. TAM: How big do you want Jollibeeto become? TT: There is no limit. I am lucky to be in the food industrywhere

T H EA S A N M A N A G E S

D E C E M B E R2 O O 4

A S I A N N S T T U T EO F M A N A G E M E N T

you just haveto changethe produo lineswhenyou go international, whereyou needmanymoreadiustments unlikein orherbusinesses when you operateacrossdifferentcountries.It is an industrywhere you dont haveexternalbut internal constrains like capabiliry,finance, etc. Howevet for us,financeis not an issue.Peoplearewilling to take our franchises. TAM: Your vision for the Philippines. What is your contribution to National Dwelopment? TT: I rememberI had dinner with a lady from the Rockefeller "Tony, you are good in foundation. Shetaught me one thing business.You should analyzethe number ofjobs that you create. Businessis a form of philanthropy.Once you are big, you may donate.You dont needto go into charities,you just needto create jobsald createnew companies. That'syour contributionto sociery" That wasa revelationfor me. Now I havesetup a foundation- JollibeeFoundation. My wife runs it. Our priority areais education.Ve are looking at bringing up kids. Through the projectwe believein educatingpeoplewho can andc-anaffecrthe.ociery becomesuperstars TAM: Your strategy to compete and benchmark yourself internadonally. TT: Of coursewe look at Mcdonald's.Ve look at theserviceindustry like SingaporeAirlines.Once we evenconractedtheir training. Another companywas\7alt Disney.Customersarereallyhappy when they are insideWalt Disney.We benchrnarktheir training. for future developmentof leaders.Ve look at companieslike Citibank and GE. TAMr Any word of advice for youngsterswho aspire to be entrepreneurs? TTi To dream,and be very positive.You needto enjoy whar you aredoing. Ifyou don't enjoy,it is tough. ThM: Do you intend to be a professorsomedayon entrepreneurship? TT: I can be a story,but I am not sureifl havethe right skills to be a professor.Moreovet I tend to be low profile.

I usedto get inspiredlooking at my fatherand wantedto be ashardworking and perseveringashe was. My mother gaveus the right values. 'We werepoor but sheusedto make surethat the family did not feel poor.

"'W'e dont dresswell,but we still dress happily,"sheusedto say.

!,' ,

- - ._

up st 2004 - April 2005

.Alumn, R?lations Calendar o a

87.83) Annual M A W II Conference G o l Tour

Malaysia

13-19 AIM ~ r a n d ~ o u r , Singapore

51 GSB Open House

Shangha~

4-8 A I M Grand Tour 16 8 5,B Tw-day WBA

P6-@ AIM OrandTour, Hongkanp

9 -14 ENTREP TOUR, KL, S'pore, Vietnam,

tCI-18 AIM Grand Tout,

13 One-day M M

15-18 AIM Grand Tour, ha no^, V~etnam AIM Golf Masters IAAAIM)

23-28 ENTREP TOUR, V~etnam,Tha~land

4th President's Cup

by Boberl V. Chsndran Presidentand CEO ChemoI Corporation

M y w a l kd o w nt h e p a t ho f G l o b a B l usiness ntrepreneurcare naruralleaders.Blessedwith a dreamor a vision, they bring a lot ofpassion to the ideaofcorporate growth. This is a doubleedgedsword.Ir bringsgreatcommitment to the processofgrowth but alsobringswith it a baggageofhuge volatileegos. Apple founderStevenJobscomesro mind. He wasa greatvisionarybut in the mideighties(in the earlyyearsofApplet success) he waspushedout by John Sculley.After a few yearswhen Apple wasfloundering,he wasbrought back.This time a changedand determinedStwenJobsmanageda big turnaround.In the eighties this madefounderslike myselfwonderwherherwe will be a liabiliry for our own corporations oneday.This learmorivared mosrof us to becomebecer managers. 'What makesa successful leader?Ir startswith a big vision. "Strive Mine was to leavefootprintson the sandsof time," a Thj Mahal complex...maybe.A deepdesireto createan enterprisethat will last beyondmy lifedme and srandthe testof time. A global corpontion that looks ar the world asa borderlesssingleentiry with ' opportunitiesand talentson a globalbasis.The employeesfrom differentnationalitiesbring a mosaicofvaluesto this corporate culture.To heada corporarionofsuch varietymakesyou a global citizen.You needto enjoy traveling.A family that supponsthis internationalway oflife is a must. A Global leaderhasto havea greatlevelofpatience and understanding.Knowledgeofthe cultural nuancesof l0 or 15 countriesthat you operatein, with employees ofdifferent national origins,is a big advantage. Thereis no one solutionthat fia for this globalcommunity ofemployees.Lisreningis the besttool to cultivare. Empathizingwith the country and irs peopleis a greatway to learn the localculture ald its subrleties. To get a local partner is one easyway to navigaterhe rurbulenr watersoflocal poliricaland bureaucraticjungle.The struggleof globalcompanyis how to bring opportunisticdecisionmaking

closerto eachcountry rhat you operatein. In the oil business, risks arehigh and marginsaresmall.The risk taking ability alsoslows down substantiallywith distance,The way we haveovercomethis issueis by havinga localpartneron equalbasis.50/50 partnership is fraughtwirh problemswhen you choosea wrong partner.The only way I have learned to overcomethis is to spend time with the partnerand understandhis viewson life and fairness.This is a challengero find a personwith high Emotional Quotient. Ifyou makethe mistakeand get a wrong partnet pleaseend ir soon. I would rathertakea lossand leavethan standto find that I have walkedinto a biggerproblem in the firture.One who admitsa mistakewhen he is wrong and offersto compensate you for the mistakemakesfor a good beginning. Our investmentin Tirrkeywirh one of our Joint Venture companieswasa disaster.Our initial anempt to bring a local partner failedasthe partnercould not raisecnoughcapitalfor the venture. So,we went without a localpartner Turkish bureaucracy had us running round in circles.OurJoint Venturepartnerwantedto bring anorherTir*ish panner.As we got inro negotiationsit became clearto me that rhe prospectiveTurkish pattnerwasa wrong one. He wastoo cleverfor his own good and wanted more than his share ofthe pie.This brought divided viewsbetweenus from the Joint Venture Company. I decided to exit the venture and take my share of lossof $3 Million. Moral ofthe story is to abandonthe projectwhen the local partnersearchfails.Only foolsrush in whereangelsfear to uead. Don't fall in lovewith the projectand commit to doing the deals without finalizingthe selectionofpartner and doing the paperwork for the partnership. Another lessonI learnedhaving many partners around the world is that it is a big commitment of time. You need to visit everyone ofthem personallyand spendtime with them. To put this in perspective, I traveled180,000mileslasryear.. 1,000 milesa day... I washome for lessthan halfthe time, To manage a family life, I startedtravelingwith my wife and childrenevery opportuniry I had. Vhich personin his right mind wantsto

THE ASIAN I,,/ANAGEF

D E C F M A E R 2 O 0 4 I A S A N N S I L T U T EO F M A N A G E M E N T

undertakea life like thisl Global opportunitiesbring someunique risks.To identiS them is the biggestchallenge,A businessmodel that works in the United Smtescannot easilybe transportedinto markerslike China. China without properlegalstructuresand eficacy needs a differentapproach.Long-termcontractsareimpossibleto implement ifthe marketgoesagainstthe localcompany.We in "Price the oil industry call it Measure."r*/hen you sell them a cargoofoil in advanceon a fixed price and ifthe marketis substantiallylower on cargoarrival in China, they will find all the possiblewaysto walk on the contract.This is true with Russian oil traders.To designwaysto haveback up plansand hedgesto protectyour interestis a wayofdoing business in thesecountries. By chance,ifyou end up with a bonanzayou can be sureyou will not collectit, Recently(October, 2003) we ordered rwo brand new ships to be buih in China in New Century ship yard for $30 million eachfor deliverylastquarter2006. By March this yearwith the spiralingpricesofsteeland the changesin regulations, theseships were worth $36 Million each.The shipyard knowing the market condition calledfor a meetingaskingus to contributeadditional money asthe steelPrices had gone up and we were making profit. This would neverhappenin any ofthe westerncountries.Vith the yard's performance in question,we cannot sell the shipsbeforeit is built and delivered.If rhe market changesby end of2006, you have lost a big opporrunlry. Globa.lTerrorism has raised its ugly head and has becomea corporate realiry I have decidedthat eventhough opportunities in Iraq are enormousand very profitable, I will not risk my employeesin that areaofconflict, Evencountriesl-ikeNigeria and Vene..zuela arebecomingdangerous. It almost loola asifinstabiliry and oil resourcesgo hand in hand. ' Enormous oil richesarein dre handsoffew, and coffuption seems to be so rampant. It is a great challengeto operateinternationally and thus keepa distancefrom someofthese countries.Recently a tankerwasarrestedin SanFranciscofor drugson board.How do you make sureit doesnot happento you or to your ships? One drunken employeeon Valdezput the ship on the rocks, createdan oil spill, and thus cost Ercon $3 Billion. You soon realizethere are few things that you control and a large part of your businessis beyond any reasonablecontrol. It does not mean however that you are not trying all reasonableways to prevent the accidents.No wonder insuralce businessis a booming business, Global Prolects- how to selectthem?Is therea valuefor being a pioneeri I haveseenvery few examplesofsuccess.RecendyVietnam comesto mind. Maay companiesrushedin earlydaysonly to find that they got harassedand pushedout when the Vietnamese

governmentfound them to be making money.The trading companythar contractedfor the rice production found irselfin a good fomrne ofa rising price for rice in the international markel \4etnamesefrustrated*re companyby not performing, ultimately forcing them out. BHP left Vietnam on similar complaints.My view is to wait and seeand let others pave the way. Further, dont bring too many projectsup at the sametime. Projecs haveinlerent risls ald theserisls seemto come to surfacewhen the projects areimplemented.Too many of them closetogetherand in difficultiescould be dangerousfor corporatecashflow. Start a projectand let it run six months beforeyou stan the next one. he next questionis how big is too big?Ask Bill Gates, who wasfocusedon the growth of Microsoft and did not focuson political realitiesin United Stateso[ America.Microsoft did not havea lobby group but his opponens gangedup againsthim and we all know the result. TodayMicrosoft learnedthe lessonand hasthe most efficient Iobbyinggroup in Vashingron.Yukosstory in Russiais a sad one. r{4ren Putin realizedKhardovsky (the founder and largest shareholder ofYukos) had Presidentialembitionsand wesfinancinq a political pany, he got rhe head ofYukos arrestedon mx fraud and wasclaiming on rwo claims: Yukosowes$7 billion in unpaid taxesand fines.And, they are threateningto put the largest oil companyin Russiainto bankruptcy! Peoplemanagementhow do you shareyour corporatewealth?

Globalopportunities bringsomeuniquerisks. To identifythem is the biggestchallenge.

THE AS AN MANAGER I DECEMBEF 2004 I ASIAN INSTIIL'IE OF MANAGEMENT

,.".:L'l..";'l,Ttl'iilJt* equivalentto their contributions to corpoiate growth, one companycameout with unique plan. Vitol giveseachtrader, annually,the sharesofthe company.The companyis ownedby the employeesand when they leave,thesesharesare bought back. Vtol hasgrown to be one ofthe largestand successfirl trading companywith more than $ I billion in capital.How do you find peoplewhom you can trust?This is like looking for a needlein a haptack. Each employeehasto be hand picked and time tested. This is a long processand thereis no short cut- 'Vhen you find tlem, hold them tight. Your ability asa leaderto reachand conrol the lengh and breadthofyour globalempiredependson these trusted lieutenants.Many entrepreneursfind it difficult to manageglobal corporation is it expands.How do you grow and still be in control? It soundslike an ognnoron. Things do happen to kill rhe confidenceofthe corporatecontrol and giveyou reasons to stop the grofih and go for control. Smart leadersunderstand this is one ofthe problemsthat need to be managedwithout killing rhe growth engine. It hasbeena fantasticwalk down the parh ofbuilding a Global corporation.It is the bestlearningexperienceI haveever had, and aboveall the most thrilling adventure.

I N F O C U S

by Shorbet ]btigbak-Manalili

CHINA: AIM Entersthe Drason THF, \TNR OF THE \TOOD MONKEY Shen"accordingto Chinesextrology is a Year ofMovement,which will seerapiddweloprnent, expansions, and major cooperationin businesses. The forecastseemsrrue for r}reAsian Instirureof Managernent asit markedrhis leapvearwith momentousun&rukings dut havestrengdren<l is rclationswirh China'Jia

The lst AIM Alumni tradership Tour l-he firsr AIM Alumni LeadershipTour was launchedin Beijingand Shanghaiin Chinain April. Through the effortsofthe Alumni Associationof the Asian InstituteofManagemenr(AAAIM), rhe Federation of AsianInsriruteof Management AlumniAssociation Inc. (FAIM),and theAIM Alumni RelationsC)ffice,seventeen alumni from Manila volunurily flew to the Dragon Lrnd to get rogether with the Chinesealumni, who are currendymore than 120in numberThe tour beganin rhecountryt most stunning entry poinr, Shanghai,and then proceededto the heartofChina in Beijing. It saw a seriesofget-togetherswith Chinesealumni and sighrseeing tours to the Creat Vall, Tian'anmen Squ-re,ForbiJdenCiry.Xin llan f)i Enrenainmenr Complex,amongothers. Beijing and Shanghai Alumni Chapters More than experiencingrhe wondersofChina and forging linkageswih lellow AIM alumni in China, rhe l-eadershipTour, which wasspearheaded by AAAIM ChairmanTcddy\ llanueva(MBA73), signGendy gavebirdr to rhe AIM Alumni Chapters in Beiiing and in Shanghai."The opennessofthe Chinesealumni ro set up a China chaptereventually led ro our using rhe LeadershipTour asa 'connecriviry vehicle'to raisethe awareness and excitementamong the Chincsealumni ro finally establisha formal chaprerThey realizedthat AIM alumni can be a potent network and that China had to be in the pictureto hclp AIM," saidAlumni RelationsDirector GregAticnza (MBA83), who first envisionedAIM to haveAlumni Tourslike the onesorganizedby other recognizedbusinessschools in thc Unitcd States. "Vhile undeniably,the sightsin Beijingand werea 'oeio-hirrori.rl Shanghai rn,Jburinesspe.. tacleofthe highestordel the building ofhuman bridgesthroughalumni nework wasthe bestthing .L^. L-^^-^-,1" t-- -.tr-,1 2nd l.eadership Tour Serendipirously, the first l,eadershipTour witne*edAIM in rhe midsrofplanningr rie up with an institution in Shanghai(which ar rhe rime ofrhis issuetpublicarionwishesto remainundisclo'ed).Buoyedby rhe new.ofalumni acri'arion in Beijingand \hanBhri.rhe rie-uporganizer. in ' cludedthe nascentchaptersin their launchingprogram in Pudong,Shanghai,which consequently senroffthe 2nd AIM Alumni LeadershipTour. ] O E C E M B E F2 O 0 4

Around 40 Chinesealumni and the membersof the 2nd l-eadersh$Tour gracedthe proud momenr. Apan from the launching,the 2nd kadership Tour members,rogetherwith AIM PresidentRobcrto de Ocampo,alsosworein the new Beilingand Shanghaialumni leaders.fackNiu, MM'98, hea& the Beijing Alumni Chapter,with Dennis Suo (MBA'03) asVice-Chairrnan,Natalie Lau (MM '99) '95) asSecretary, and PeijiaQui (MM a-sTreasurer.C)n the other hand, PererJiang,MM'95, headsthe Alumni Chapter in Shanghai.Xianyan 'Catherine' '96) Chen (MBA is Vice-Chairman, '97) (MM Huichong Zhu as FinanceC)flcer,and 'Vivien' '99) Haiyan Zheng (MM asSecretary.

cial Servicesand Insurance.He alsoserveson the Boardsof rheAsiaSociery, AsiaHouse,the Institute oflnrernationalEducarionand the EastAsia Instirute of CambridgeUniversity.

MOA with SunYat SenUniversity AIM hassignedrwo MemorandaofAgreemenrwith Sun).rr 5enlZhongthrntUnirersiry on October 21, 2004. One wason studentexchange which statesthat SunYat-SenUniversirywill send up to five MBA exchangestudentsto AIM each yearand AIM will sendup ro five MBA exchange studentsto Sun Yar SenUniversiry eachyear beginningwirh the 2004-2005academicyear The other MOA wason faculryexchangewhich staresrhat New Board of Governors for China SunYarSenUniversiry rnd AIM m:y invireone AIM welcomaaboarrd Mr l-ongYongtuandMr visiting prolessorfrom the other institution each Victor L.L. Chu ro the Boardof Go,emon for China. academicyear,beginningwith the 2004-2005 Mr. Long Yongtuis currentlythe Secretary- ar:ademicyear.The agreementsweredevelopal ftom Generalofthe BoaoForum for Asia,a non-profir, an initial MOA thar wassignedon November2003 non-governmentinternationalorganizarionthar joinr whi. h .oven faculrvand srudenrexchange. aimsro promoteeconomicexchanges and cooper- research, case-writing/case-teaching activities,and ation within the regionaswell aswith other parts joint programs. ofthe world. He wasChiefNegotiatorfor Chinat SunYatSen(Zhongshan)University,founded resumptionofthe GeneralAgreementon Tariffs in I 924, is well known for its comprehersiveatmoandTrrde. onrracringparry.raru.andirseccersion sphere.The Universiry with irs strong research to the World Trade Organization.He alsoled .rbilirycovenvriour suhjecrs. includinghumaniries. the firsr Chinesedelegationro rhe Organlsaron socialsciences,naruralsciences,medicine,pharmary, for Economic Co-operationand Dâ&#x201A;Źvâ&#x201A;Źlopmenr ald orhers.'fheGraduateSchoolofBusiness, found(OECD) in Parisin January1995and esrablished ed in 1985,i. the firsrschoolin SourhChin.r.rre.r the relationshipofdialoguepartnerwith the orga- ro havea program in businessand management. nization. Mr. Long is the Vice-Chairmanofrhe The school is rhe firsr in rhis areaauthorizedto Boardof I)irectorsof the Universityof Inrernarional grant doctoral degreesin businessmanagement, Business and F,conomics, visiring professorar rhe with a programincludingbusiness admini<rrarion, PekingUniversity,TshinghuaUniversiryand rhe accounting,tourismmanagement, technologr,ecoNankai Universityaswell asadjunct professorof nomicsand management, financeand investment, ZhejiangUniversity,Sharrghai Universiryof Finance It hasa mobile post-doctorate research station,the and Economicsand first of its kind in Sourh Chrna. Huadong Universityof Scienceand Technology. Mr Victor L.L. Chu is the Founderand Chairman of First EasternInvestmentGroup, Hong Kong, a regionalinvestmenr firm involvedin managementof direcr investmcnrsin China and the Associationof SourheasrAsian Nations aswell asofFirst Eastern SecuritiesLrd. and several other regionalcompanies. He is a Council Member of the Vorld Economic Forum in Genwa and Chairman of the ParisbasedInrernational ChamberofCommerce Commissionon Finan-

A S A N N S T I L . ] T EO F M A N A G E M E N T

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bridge hasa pulpose.It carriesthings and peoplefrom one placeto another.Through the process,it links togetherthosepeopleand the things. Building bridges doesnot alwaysrequireknowing the results.At times, it is intentional, but it is often an acridentalbv-oroduct ofrhe work rhatrhepeopleengage rhemselves in. Globalizarion:A New World Order Fromrhe'missile'to the'modem',and from'treaties'to'deals', Globalizationhasreplacedthe cold war asa fundamentalinternational system.V/hile the defining measureofthe cold war was weight- particularlythe throw weight of missiles- the defining measurement ofglobalizationis speed- speedof commerce,travel, communication,and innovation. Today,we live in a world ofunprecedentedopulence,one characterized by remarkablechangesin and beyondthe realmof economics.Conceptsofhuman rights,political liberry and internationalcooperarionhavebecomethe reigningmanifestarionof the democraticand participatory governanceworldwide. The world hasbecomean increasinglyinterwovenplace,and consequently, our threatsand opportunitiesincreasinglyderivefrom the people and the issuesthat we areconnectedro. Globalizarionhasbeen acceptedasmore than a megarrend- asan internationalsystem with its own setofrules, culture,and uniqueattribures.It hasbeen termedasan inexorableintegrationofmarkets, nationsand technologies,to a heighteneddegree,in a way that enablesindividuals, corporations,and nadons to reacharound the world farther, faster, and cheaperthan everbefore,and in a way rhat enablesthe world to reachinto individuals,corporations,and nationsfarther,faster and cheaperthan everbefore.The ddving idea behind globalization is free-marketcapiralism,and its overarchingfeature,inregration. The promise ofglobalization and open marketsasthe engine to prosperiryand developmentcontainswirhin it the possibiliryof widening gapsberweenrhe advancedcenter and at leastparts ofir dependentperiphery not only betweencountriesbur alsowithin countries.It is thereforerelwant hereto explorerhe extent to which our dreamfrom globalizationhascome true and how otherwiseit hasremaineda recedingdream. The dreamofglobalization- the bulwark: Modernization of dre society- Opennesstowardsaccepting other culturesand beliefs.Freedomfrom toil, economic,and climactic tribulations. Industrialization - Rapid, technologicaladranceand employmenr genelatlon. Urbanization- Gradualremovalofrhe urban-ruraldivide. Environment protection - Protecrionand enhancementof the qualiry ofenvironment * air, water,foresrs,and animals. Global competitiveness- Every country be able to compete

on a globalscaleand flourish on irs own prerogarives. Socialequity - A universalcodefor providing socialjustice andequalopporruniries lor all. - Eachnation beingselfsufficientto infrastructure Quality be able to generateampleopporrunitiesin consonance with irs characterand culture,and providebasicand necessary education and healrhcareto all. Political and economicstability Nationsnot preoccupied in territorialclashes for achievinggeographical and politicalascendancy,but working to makeconsrructivecontributionstowards the developmentofthe world. The Receding Dream The term globa.l'today hasmerelybecomea qualifying adjunct ofan enriryhavinggeographicomnipresence. Globalizationin real termsimpliesthe freemovemenrofmanpowerand other resources acrossinrernationalbordersworldwide.Finally,a freespreadofthe gainsofglobal felicity.The advantages ofglobalizationhavenot spreadacrosswery borderofthe world. Many cornersin the world arenot yet awareabout the occuftenceand existenceofsuch a phenomenonand its widening,yet scatteredimpact on different partsofthe world. Crossinequity ofeconomic rewardsis an incontrovertible fact and it doesnot needthe backingofour soberingstatistics.It hasbeenwith us sincethe beginningof rime and althoughit has alteredim complexion,it hasnot changedits directionwith the adventofglobalization.The gap betweenthe rich and the poor is enormous,unconscionable, and probablygrowingagain,especially in the third worldl Flagrantinequalitiesin incomeenfold within it widening inequaliriesin housing,education,healthcare,and other basicand significantamenities,Threarsto human securirycaused by persecurion,hunger,unemployrnent,environmentaldegradation, and healthcareaffectour markets,our societiesand our nations. Growing challengeslike rhe unevenpopuladon growth and scarcity ofwater hold the potentialfor crisisand conflict. We arestill at 'literacy'; grips with educationis a far cry. During the eighteenthcentury maldistributionhad shown im effectson top aswell asthe bomomofthe incomescale,Prospective lenderswerefrequentlyunableto find borrowers.The South Sea Bubblein Britain and the MississippiBubblein Francein 1720 wereonly the most dramaticinstancesofspecularionthat had developedin placeofproductive investment.Recently,the Dorcom bubbleand the collapseofpeoplet confidencewith incidentssuch asEnron and \(orldCom havecastfurther shadowson the brieht sideofglobalization The economicsofrhe rationalgreedyman today seesno connection berveen such "hubbles" and fie wastesand horrors and the grievesofearly industrializationand the recentglobalization.

"It

is importanr to rakenore of the insrrumenralrole of capabiliryexpansion in bringing about socialchange(goingwell beyondeconomicchange).Indeed the role of human beingsevenasinsrrumenrsof changecan go much beyond economicproducrionand includesocialand political development." I N E A S I A NM A N A G E F

D E C E M B E R2 O O 4

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. o l l r i r i r c . r i t r L , ,or t r r r r r i t r p l r . r n..1l i ' c r r t' r . r L . b r , l J c r ' .l i , n r , r k e r c l r lp r o q f ! . r o r r t l r c s ct s s L t r \r (. r r r ( t \ ' r r r L rltLt , t r rtrt t t 1 . ' p t . t r tr h c .rclrn'tonn r 'r. s r r r r ' t ,p r . i L r J r , e . , r r r dl r t r n . r r r trl r , i J r s I l l r l \ r p . r r r r ( L r r ,. r r r Jc . r . r b l i s rhr L t : r . t n rnl . r r n p c s , r l r c l . r r L , , r r s hrihp.' r tc r r . r b l c u ' i r r r r r o l i n sl i r r s . r r ,xl r t h b o r h t h r L l c ' i r r h l e . r r r ,l ir cl r , r . i h l e I. h i ' c n t . r i l s .cr o l l r . r i r . u r r r l e r s t . r r r t l r r r rqh, ,clr ( ) n L c r r llsn ( l t h r r r \ u . \ . . r n d . r . , r l l c . t i v ri , r r r r t r i r r r r c n. r t r J. l l i r r ' tt r r . r d t | c s rt h t r . r r r r t . I h c h r i d g i n gn r . r h , x lo f f c I : i l ' i g i r t sr r r t Lur p r o r . c ' r hs . r rb c q i r r . r r i r h . , r r r ' ' t r r i n g . l nrt tl l . r t l L r n s hi r pu i l d r n s . r n r 0 ntgh t . l r v c r ' . c' r . r l i c l r r , l J c r rt.h r o L r e hr h . r l c r c l , , p n r c r,r,rf r o r r \ ( n \ u \ . . r l lr h . 'l . r r r o . r e r i o nl.t i s i 1 nr t t t n r f r t o . r d d . r h , , l i ' r i r t i r L r sb r . o n r i L l c r l n gt h t nc.ris.rutl1,,rrrnt i.rlinrp.r.tol lc.rrlcr rh ip ur rlrc lLr.l ,'l rlr. irr.liri.1tr.rl. t f r . o r q l n i z l t i o n .r r r ( lr h ( s ( ) . i c r \ . B r r r l g i n sl t . r . l c n h i f . r t t c n r l t \t ( ) r n Lrc . r r .r' o c i t ' r rs J t p r t r t r r i ' , r c i . ril. r p i t . r [l l i r r . r t . L ' i n sl c r e l ' , r l r r L l r i r r r h . p t r b l i i ' 1 , . r . te n J t h e p r i r r c i p . rrlr r ehr , r r r i . ntri , r . r . . o n r p l i ' h i n gt h i . i ' t h . ' [ r r i d g i r r g d i , r i , r s L r I. .h . ' p l o c c * r r i r c r l i l i . r l ( ) S L\ r ( (' r r g r h . n \t h t c n r r b l r r r g c n v i r o n ' r ! ' n Ir ' r c s r . r h l i ' h r nl )c. r \ i . L , r r . l i t i , r rI r r' l r L r r l L l r r r rsr s.ru r ( l l t l r t r o n ' l r p s . r n r o r rrql i r c r ' , 's r . r l c l r o l d c r(r).n c . e n r i n i n r . rLl v c l o i r r ' r r scrx i r t sr n , l t h e c h r i n t L , tt l u r t u r t c r t . r r d t t l . r . r , ' s rt h t p u l t l i . . 1 , , r i c cs ,. , l l e b o , e t i ,r, .' r, r rl , c g i n . r r . rl c . r pl l , q r ' . " b r n r u r i . ' , r "nr l r i r r q c , r r n p l t rp r , r h l c n r s( .) r r r r i r n . ' .e , , l h [ , , r r . r n ,.ranr r c ' o l r c i n r , rr l h . r t ",r \ \ l r l d t l i r c l n r ' . r s ' r ' e i r t ul cl . r r n i n s o r l ' r o . c r so t i h . t n g i n gf l r t r r n r o i i r r t c r . r , - r i o*ri r rh i r r , r u c bl c t * t . n . l i r . r s t , r r s . r n i z i r t i , , n ' , r rvr,..li . r l L r n i t st t , c n h . r D . ,\:( ) ( i ( t \ \ ( . r l ) , r a r rt \o i t r n o r . t r t . l h i s . . r 1 , . r . i t tr , r i r rr r , n . r r i. . , : r . r n r r . tr ol . , r r rirr g L r pl i t l r r r r r t , r i r r . r hv lr.l L r r i o nt ro , r L r r

Bridging leadershipthereforeis an inherentlylong processthat may involvegenerarions, a processwhereactors,stakeholders and relationshipschangeover rime, a processwhich challenges participantsto look at the socialproblem from the perspecrive of others,some of whom havealreadybeendefinedasenemies,a processwhereonet awareness of selfis neededto surfacehidden beliefsand assumDrions. most critical problems. beliefsand assumptions.Peoplewho are in this work therefore The SynergosInstitute in rhe United Stateshasbeenone of needto be awareofthe personalcostsofthis kind ofleadership the pioneersofthe conceptofBridging Leadershipworldwide. and shouldthereforebe consciousoftheir copingand renewal The institute hasformed strategicpannershipswith universities processes." - Professor JacintoGavino, Mirant Cenrer,Asian and non-profit organizationsaround the world to developnational Instituceof Management bridgingleadership program:.In orderto address rheexisring On the one hand, the conceptofbridging leadershipis a societaldivides,the Synergosinstitute haslaunchedwrious Bridging contriburion to the field ofleadership;a paftial answerro rhe Leadershipprogramsto: paradigmaticsearchfor ar alternariveto the indusrrialmodel.Yet, l. Fosterthe formarion ofand action ofleaderswho havethe on the otherhand,it merelygivesform to the quesrofcivic leaders capaciryto mobilize parrnershipsacrossdifferenr groupsand all acrossrheworld, who arearremptingro rftrnsformtheir societies sectorsofsociery. by looking for the larent synergiesin their communitiesand forging 2. Advancethe field of leadershipby addingrhe bridgingconcepr new qpes ofreladonships.lW/hilethe form it rakesmay vary to the current rypologyofleadershipstylesand approaches. accordingto languageand culture,what we havein common is As studied by the Synergos,one of the core tasla of bridging the needto work togetherto solvecomplex problemsand the need is building relationships;the mortar that holds the relarionship for pracdcal,viabletoolsand strategies to help us alongthe way. "Current togerheris dialogue.BridgingLeadership arremprs to initiate leadershipis leadingdifferentsectorsapart from dialogue involving all rhe critical smkeholders.Initial activities are eachother,let alonefrom us at the grassroots level.Poliricshas designedto developtrusr and relationships,building from a founpolitical leaders.The economyor the businesssectorhasits own "early, dadon of smallsuccesses". leaders.Commercialfarmershaveleaders.The Church and the The Asian Instiruteof Managementhas,in collaboration religiouscommunity havetheirs.Academics,researchers, NGO's with Mirant Philippines,set up a cenrerfor Bridging Societal etc havetheir own lelders. Each ofthese secrorshasdifferenr eoals. Divides.,and hasbecomeone ofthe pioneersin rhe regionfor Orhers-rhe poliricians-wanrvorersand lollowers. Business suchinitiatives.The centerhasa specialfocuson addressingthe peoplewant to makea profir and rheywant usastheir marketand sociealdividesissuesand the leadershipchallenges in Mindanao, workers.Commercialfarmerswanr us asfarm workersand their Philippines.The key objectivesof the centerareto validatetheo- market.The churchesand NGOs want us in their membership reticalassumprions/ hypotheses ofbridging societaldividesto and asprojectholders.All theseleaderswant us to follow them. contributeto the theorydevelopmentofbridging leadershipasan As a result ofrhis fragmentedleadershipthe world is growing apan emergihgschoolof rhought to documentthe bridgeIeadership behind them asleaders.Jealousies and tensionsgrow.Confusioo experiences in the Asiancountries.Through the developmentof grows,and then conflictsand fighmoverresources and territories. learningmaterialand offeringofinnovativeprogramson bridging 'Weare ciredofbeing led apart.Ve are nor blind, only a blind leadership,the centeraims to dwelop a pool ofbridging leaders personneedsto be led.There is needfor bridging leadersto put and organizarions in rheAsianregion. , up bridgesso that rhe currentleadersofvarious secrorscan cross "Those who write about leadershipwould normally focus to eachother'sterritories.The gapsbetweenthemselvesand beween on its role within an organizationalcontexrwherethe hierarchy them and r.rsaregrowingeachday.Somebddging in leadership and the interestsareclear. may get them talking and hopefullyclosetheir differencesand However,in sociery,thereis a classofproblems that cannot bring uspeace,cashin our pocketsand developmentto our homes." besolvedby one person,organizationor wen socieryand which - As quotedby StevenPierce,Synergos thereforerequiresthe leadershipofcollabonrive acrionamong Internationalcooperationand collaborationis asmuch a srakeholders someofwhom arein factvoiceless, unorganizedand matter ofindividual volition ps it is ofinstitutional and societal therelore unrecognized, someofwhom arehosrile,in1e rheir capabiliry;and it can be embracedonly by mutual understanding interestsare threatened,and among stakeholderswhere the power ofthe gainsand the goalsand the merits ofthe plannedefTorts. imbalancesareoverwhelming. A hea.lthy,prosperous,and equitableworld doesntjust happen. Bridging leadershipthereforeis an inherentlylong process Somebodyhasro be responsible, if only infinitesimally. that may involvegenerations, a processwhereactors,stakeholders The stageis now setfor us asleadersto searchfor a global and relationshipschangeover time, a processwhich challenges will, honor a universalvision,and contributeto the greatergood participantsto look at the socialproblem from rhe perspective - the internationaldevelopment, of and rhe startingpoinr canbe our others,someofwhom havealreadybeendefinedasenemies,a own communities.Vhether or nor we decidero usethe brideeis processwhereonet awareness ofselfis neededto surfacehidden somethinqto see.

I Siewi Perce B,dq rc Soce(a Dvdes 2 or ahrdF sen 3 ThomasF,edman lhe LexB and rhe o v6lrse 4 GeorseP B@rwayThe EndoJ Fconom,.Man

THEASANMANAGER ]DECEM3EF2O04

A S A N I N S J T i ] T EO F M A N A G E M E N T

I I

\rHO \TANTS TO FOLLO\r SOMEONE \(/HO'S goingnowherelOr someonewho'sunreliableor untrustworrhy? Organizarions wresdewith thesequesrionsand manyothersasrhey confront the elusivechallengeof definingeffectiveleadership. Most peoplearecertainthat leadershipis aboutdirection, aboutgivingpeoplea senseofpurposethat inspiresthem ro commit and achieve.Leadership is alsoabouta relationshipbetweenpeople -- leaders and followers-- rhat is built on firm ground;enduring v a l u e sb u i l d c r u s t . F e w w o u l d d i s a s r e ew i r h r h e s ev i e w s .

archy,from managersto direcrors ro vice presidentsand senior executives. They had all facedsignificantdemandsthat built and developedtheir leadershiptalent.Indeed,it wasin researching this group that we uncoveredrhe seibn key demandsthat everyIeader must meet to achievehigh performance. Ve then expandedour srudy to include an additional5,019 leadersfrom a wide rangeofindustriesand sectors,including education, healthcare,the military, governmenr,finance,insurance, and rerail.Our analysisdirectlylinked thoseleaderswho developed

Not everyone, however, oflers the slme answerro this question: What's the best waf to develop talenred leaders to achievesustainedhigh performance? Indeed, Gallup Organization researchershave long been intrigued with this question. Having studied leadership talent for more than 40 years,GAllup set out to discover the demands that leadersmust mee! to be successful. also wanted !o uncover t h e d e v e l o p m e nr a l

their talents by encouo-

THE SEVEN D E M A N D SO F LEADERSHIP IVhat separates great leadersfom all the rest?

framework that would

VISIONING

enhanceleadershipperformance. Our researchcon-

MAXIMIZING -VALUES

firmed rhe importance of lwo rather obvious demands -- visioning and maximizing values.Vhat was surprising was rhe presence of five other important demands that are essentialto the development of all great leaders. The research First, a few words about how we arrived at

C H A L L E N G I N GE X P E R I E N C E MENTORING BUILDING A CONSTITUENCY M A K I N G S E N S EO F E X P E R I E N C E KNO\T SELF by Barry Conchi6, SenrorLeadershp Consultanl,The Ga lup Organizarion

these dcmands. Our

performance could b" trr.kiftRig.,ifi."nr improvements to the bottom line. They enjoyed rhe endorsement oftheir bosses,peers, and direct reports. And they sustained high performance, often through adversetimes. For our initial leadership-developmentresearch,we identified and studied 100 leaders.They were drawn from general management, human resources, marketing, sales, manufacturing, research and development, and finance. They representeddistinct levels ofhier-

D E C E M S E S2 O O !

Their companies achieved specific business outcomes such as financial growth, customer and employee engagement, emPloyee retention, and safety. Our continued rracking of more than 40,000 leaders continues to afirm these findings. The demaads Ir ' . " n " ' " " r . " ' prise that visioning is one of the sewen'demands. SuccessfiJ leadersare able to look out, across, and beyond the organization. They have a ralent for seeing and creating the future. They use highly visual language that paints pictures of the future for those they lead. As a resulc, they seem to attain bigger goals because they create a collective mindset that propels people to help them make rheir vision a realirl

study drew from a wide cross section of leaders who had a proven track record ofsuccess; we had evidence that they all delivered the goods. They were mea, surably the best when conrthietr6'btfers in similar roles. Their

TPEAS AN MAI]A6ER

rering the seven demands to significant improvements in their overall leadership performance.

A S A N N 5 l T L ] T EO I M A N A G F I V 1 F N T

These leaders also

recognizethat through visioqing, they showcasetheir valuesand core beliefs.By highlighting what is important about work, great leadersmake clearwhar is important to them in life. They clarifr how their own values-- particularlya concernfor people-- relate to their work. They alsocommunicatea senseofintegrity and a commitment to act basedon their valucs. As a result,employeesknow wherethey standwirh theseleaden. Their values-- consistentand unchangingthrough time -- operare like a buoy anchoredin the ocean,holdingfirm againstrie elemens while indicatingthe way. By galvanizingpeoplewirh a clearvision and strongvalues,

theleaderswe studiedwereableto challensetheir teamsto achieve so that they are befterable to achievesuccess. As one leaderput it, "There's significantwork goals.In lacr.thoseleadersrhemselve. had been so much happeningthat affectsour work. I makesure,at assignedsignificantchallengingexperiences at key points in their each meeting, that we understandall rhe important fa-ctorsand careers wh e beinggiventhe freedomto determinehow theywould ensurethat the next stepsareclearlylaid out." achieveoutcomes. The most revealingdiscoverywasthat effectiveleadershave Confronting challenges producesbeneficialeffecr for leaders. an acutesenseoftheir own strengthsand weaknesses. They know It accelerates their learningcurve,strerchestheir capacityfor high who rheyare-- and who theyarenot. They don't try to be all things performance, and broadenstheir horizonsaboutwhar is possiblefor ro all people.Their personalitiesand behaviorsare indistinguishan organizationto achieve.As one of the leaderswe studiedsaid, ab-le berwcenwork and,home. genuine.Ir.ir rhisabrence $ry,r411e "C)ur company had experiencedthree cyclesof negativerevenue o r p r e r e n s et n r t n e l p 5 a l r l E f iqt G f t n e c rr o o l h e r s 5 0 w e l l . growth, but I knew rhar our nexrcyclewould give us the opportuniry Organizationsare struggling to build and grow rheir leadership to turn in our bestfiguresever.Everyonethought I wascrazy,but capacity.Our research suggests that talentedleadersrequirethe very we did it, then did it again." besrdevelopmentexperiencesro realizetheir potential. And for But greatleaders aren'tsimplyherdchargingand highlydriven. this potential to be convertedinto sustained,high organizational They alsounderstandthe importance performance,thesâ&#x201A;Źexperiencesmust of personalrelationships. Indeed.the be framed around the sevenkey deleaderswe studiedconsistentlyhad mandsofleadership. In all their relationships, a closerelationshipeirherwith their manageror someonein the best Key Questionsin Shaping ' positionto advisethem.This is often e ffa f e c t i v eIl e a d e r se n l i g h t en Leadership Development: someonefrom oulsidecheirorganiVISIONING zationwho servesastheir nrcn()r. . W h o c o n t r i b u t e st o , c o n t r o l s , l r r o t h e r s b e c a u s et h e y c a n " Thesemenroring relarion.hip'are c o m m u n i c a t e st h e b i g p i c t u r e " ? "paint not the producrof formalcompanyleadersencouragedto picrures" m a k e s e n s eo f e x p e r i e n c e . -wide mentoring programs nor rhar ofthe furure? '$(hat ' thesearen'thelpful.Instead,these opportunitiesdo leadershave T h e y a l s o l e a r n f r o m t h e i r informal, yet successful, mentoring to talk about and shapethe furure? relationshipsenableeachindividual MAXIMIZING VALUES mistakes and their sucgess:j.j. . - Hgy.do coqporatevaluesalign with leader'sneedsand differencesto oe ; taKen lnto account. individual values?. '. a n d - - a s t h e y s e e ko u t a , Are leadersencouragedto lead with Inspired by their positiveexperienceswith mentors,the leaders their values? .Areleaders we studiedhavebecomeintentional range of expeftS aCfOSS theif asked to describe thevafi;es mentorsthemselves.They selectivelv that are imoortant to them? pick one, rwo, or rhreehighly ralCHALLENGING EXPERIENCE wide constitueniy -- they . Are leadersfreeto think outsideof entedin{ividuals and investgreatly in their grolvth and developmentover conventional aPProachesl a s k q u e s t i o n sa n d l i s t e n . . How much latitutreare leadersafa significantperiodof time.They see "mentees" the successof these asa forded in decisionmaking? .Are leaders reflectionoftheir own success. These givensignificanrresponleaderspracticea form ofsuccessionplanning that cultivatesrhe sibilitieswith wide-rangingdelegarionl next generationof leaders. MENTORING . Is value attachedto mentoting oursideof the organizationi Beyond closeone-to-one relarionships,leadersalso create . Are leadenexpectedto acceleratehighly mlentedindividualsrhrough rapport at many levelsacrossrheir organizationand beyond.They know the benefirsofbuilding a wide constituency, One leadersaid, the organization to their optimum levels cif performance? "Mf work forcesme to havea relationshipwith certain people.I BUILDING A CONSTITUENCY I . Areleaders just think about thoseI don't yet work with and figure out who expected to grownetworksbeydnd their immediate , might be useful to know. I nearlyalwals find that relationshipsbuilt workrelationships? . Doesyour organizationpromotethe growth of nerworksthrough this way bring dividends."Theseleadersunderstandnetworksand the importanceof networking. measuringtheir businessimpacti ln all their relationships,effectiveleadersenllghten others MAKING SENSE OF EXPERIENCE . Are leadersable to meet with peersto sharâ&#x201A;Źundersrandingand becausethey can make senseofexperience.They also learn from -i their mistakesand their successes, and astheyseekout a rangeof learningofnew issues? . Is there a clear leadershipfocus on "lean" communication? expensacrosstheir wide constituency-- they askquestionsand listen. rVhat's more, rheseleadersareible to deal with the cornplexity KNOWING SELF . Is everyleaderclearabout his or her strengthsand wlaknesses? I ofbusihesslife and help thosearouhd them makesenseofit. They I do this by keepingthingssimpleand makinginformarionaccessible. . Doesyour organizationsponsorindividualism in leaddrshipthrough This way, theseleadershelp individuals understandwhat's going on role models? wnh ?ann'ioi to pti,tfton th. Galtn? Ma,qen.at Joulaat.

I N E A S I A N M A N A C E R I O E C E M B E R2 O O 4

a6 AN rNsr rurE oF MANAGEMqNT

Ashok Soota: a

the

urt

eafs

by Priyank Nsrsyan

AS t \(/AI-KED PAST IHE LOBBY'I'O\X/ARDS'IHE

tone.The camaraderie of the CAN group is sonerhing charhe coffeeshopin a horelin downtownBangalore, I n'asnetvousabout could neverforget.His MRR wasa Gasibilitystudyofsettling up my meeting.The Presidcutand ChairmanofN{indtreeConsulcing a light elgineeling companyin the Philippines.This wasin line had finaliy agreedto meetme for an inren iew In the coflie shop. ' u.irh rhernorkthat he wasdoing wirh the ShriramGroup of IndusI sawMr. AshokSoorarcadinga businessjournal. He wasahead rriesin hclia, which he joined backaf'tercomplecinghis education ofschedulefor rhe appoinrment.S7earinga crispu,hite shirt wirh in N4anila. the beautifulred and blue Iogooflvlindrree Consultingabovehis Like all AIMers, Sooraalsoadmits that rhe besrpart ofthe shirt pocket,Mr. Sooragaveme a wamr handshakeand ordered AIN{ wasthe facuiry He enjoyeddialoguingwith rhernafterclass, for someteaasrvestartedthe interview and cheprofessors werealwayswilling to sharecheirknowledge. Ashok Soora,is a graduateofAIM, MBA '73 batch.He has He particularlyremembersProf Kanto, u.ho taught him control held key ofticesin largeorganizations like the ShriramGroup and systen,s; Plof. PeteGarruchowho taughthim AdvancedMarketing \7ipro Technologies. Fiveyearsbackhe wenr entrepreneurial when and Prol Phil Alfonso wasSoons facultyfor the HR Function. he co-foundedMindcreeConsulting,In rhe2002-03,he rvaselecred Outsidethe classroom, oneof Soota's fondestmemoriesis the asthe presidenrofthe Conlbderationoflndian Industry (CIl), Llhristnras breakthathe spentwith four ocherclassmates on an island Indias largestindustry association. inhabiced byhansonites. After sailingfor two daysin dreSourhChina Sootastartedthe discussionby re-livingsomeofhis AIM Seaon a ramshackle boat,they reachedthe beautifulislard,Their days.He recalledrhe cascstudy method and pointed out horv it missionwasto work on a viableprgect to makecheislandselfpreparedhim for rhe corporareenvironnenr. "The learningrvas sulTicienr. Recallingthis asone ofhis most satisiyingexperience, both competitiveand collaborative," explainedSootain a nosralgic Sootanentioned that dreyrvereablerc get good funding from cenain

I N E A S I A N M A N A G E A I D E C E M B E F 2 0 0 4 I A S L A NI N S T I T U T E OF MANAGEMENT

organizations,which helped in the development ofthe island. lr was in 1984 that Sootajoined Vipro Technologiesin Ban " galore. l his rvasan act of fate," he admits. He was hancllinga much Largerresponsibilirvin rhe Shriram (iroLrp,and lfi/ipro rech

logo u,asalso designedtrl a bol rvith cerebralpalsv.'l'heboys who designedrhe logo and dre spasticsocien'.both receivedMindtree stock ro make rhem ongoing beneficiariesfirl the serlice that they

nologiesrvasjust in its secondvear ofoperation. Hou'ever,Srxrta was able to firreseethe future ofthe [T Industrf in India aod jumped

provided to rhe organizarion.Nlindtree.svaluesare simple and ingrainedin everl emplrlee. I-he acronlnr (ll.ASS lists its values perfectlvs hich standsfor (iaring, I earning.Achieving,Sharing,

on to dre bandwagon. After spendingclose!o fourteenl,earswirh V/ipro. rhe entrepreneur in Soota hegan to haunt him. The timing rvas just right lor him, as Mindtree (lonsuitinplrvaswairing in rhe wings. Mindtree

antl SocialSensitivitv. Soota.conrenr rvirh the conrribution that his organizationis was making to the society,rdmitted that thc sccrctof rheir success ''people, peopleand people. Ve are not an organizationwith jrrst

is a brainchild ofnine orher co-founders along rvith Soora-Fountled in 1999, today Mindtree is a 1500 enrplovee

ten co-founrlers.ro,eare 450l fhe companv hasgiven stocksto all "l\'lindtree Minds' as rhev are employees called,u ho joined them in rhe first batch. On shrrine his thoughtson rvhat he wants "l ro do going for*,:rrd he saicl, have a htrge responsibilin on mv shouldersof raking this

strong organlzat|on. Vhen asked about how he handled the changc between being rhe president ofa multimillion dollar companv vis-ir-visbeing an "ft entrepreneur,he laughed and said, was great funl There is not too much difference in the nature ofthe work rve did in !0ipro versus

companl puhlic for its stakeholdcrs."With the current growth ratc of over 609o. Soora is confiderrrof rnaking rhis possiblein the next f\vo vears, Soota hasa leadershipswle ofhis own. He believesrhat besideslcadine fiom the heart and "The hearl the head. he also leadsfrom the gut. ' p c l l . o u r r h e 1 ' n ' ' a n d c o n . o f r d e c i . i o r rn. r y

Mindtrec. In both the companies, the work is very customer cenrric." Soora admitted that he always wanred to become an enrrepreneur. "'I'he benefits ofdoing it much latcr in life is tha! vou can plan ro do it on a much larger sc;le.\Ve camein ro rhe marker$ irh rhecerrain ability to raisefunds and thar really helped us,' he added. Sharingsome of the challengesthat he faced during the start up, Soota talked about "\X4ren we began dre downtum in the industry the company. r,re looked .rr providing inrernet basedsolutisns and relecomsolutions. But soon after we started, we were faced rvith the worst years in the IT industry." But he was glad that it happened ro him in rhe firsr two vears of "lt operations. really prepared us for the worsrlr was like pulling the carpet fiom under a oneyear-oldbabv who had jusr learnr to walk. " Soota has a clear vision lor Mindtree. 'When they started, the target was to be a $ 123 million organizationin turnover.'fo ger the rargetfbr rhe next fi..e vearserding in 2007-08, they rearrangedthe figuresto $231 Million.

T h c h c a c ls p c l l s o u t t h c p r o sa n d c o n so f a decision,my heart tcll m e w h e t h e rI a m g o i n g t o e n j o vt h e t a s kI arn takine up or'not, and the gtrt finallv g i v c s n ' r et h c i n s t i n c t of how sLrcccssfirl rhe proiectis eoirigto be."

hearr rell me rvhetherI am going to enjoy the task I am trking ap or not. and the gut finallv grre. me rhc in.rin.r of hou 'rrrLesfulrhe project is going to be". On judging characterand selecting people,Sootabelievesthat integriw and ethics are taken fbr granted. Whar he loohs fbr while selectingfor his organizationis rhe desire in pcopleto give back ro the sociew a untque approachindeed. Sootahas nor forgotteoAIM and rhe Philippines.He doeshaveplansofdoing his bit for his alma mater. which he wants to pursuelarer orrrsideof Mindtree. i\t present.as a fellow of '7.1. thc classof rlre golden classas it is know rs, I contribure to the various progmms that we have. Anothel aspectrhat Sootarvould like to r r o r l t r p o nr . h r r n g i r r gl n d i a ; r r d I ' h i l i p p i n e ' rogether A small exampleofrhis elfort wa.swhen he led the Indian indLrsrries'delepptionto Manila

Soora also wants to seehis organization amongst the top ten percent in profitabiliw in rhe indusrry, ensuring a healthv a return on investAnother tision is of being amongst the menr to the srakeholders. most admired companies in the industry'.A clear recognirion of this

as presidenrof Lill in 2003. Whcn hc is not raking brrsiness decisionsor giving interviews for jorrrnals.Sooralo.,esro be outcloors.He enjovstrekking, swimming. and spendsa lot time doing voga and meditation. His work

is the fact that today the Companl counts amonlist the top three IT emplovers in India. The other mosr outstandingthing about Mindtree'svision is that it lists down a certain percentAgeof profit af-tertax rhar the organizationwants to give back to the societv.The areathat Mindrree

takeshim around rhe uorld and Sootadoes not miss the chance carchingrrp with a latestHindi blockbusteror an Englishcomedy *hen he is flying. for the Wrapping up the interview'Soorasharedhis message l oung leadersof romorrorv He had thrcc simple rhings to say: l Be true to yorrrself l)o whar is going ro make vou happy and

wanted to work with was primarl' education. however they ha"e now moved lowardsworking peoplewith specialabilitics.Thc Mindrree office is a splendor in art. Children fiom the spasticsociew were invited to make painting lor the office. These painting were . then digitized and pasted all over the ofTice. In fact. the Mindtree

irt::ir.}lt AstaN M^NAGE8 | DEG(MaEB 2oo4 I AsrAN rNsrl]urr

or MANAGEME,{I

satisfied,no! where vou rhink vou ,uill make more monev. 2- Do vour best to realizc1,ourfull potenrial 3. Aim at leavingrhe world a better place than the one that yorr found.

UsingthePowerof Networking orking togetherin our careerssomeday after we graduatewas a dream I had - After 31 years,the dreamhascometrue. I know them, they know me. The rrust levelsare high." Hailing from a batchthat hasserthe stagefor rhe orher batchesnot only in termsofthe buiness standardsofachievements but alsoin termsofgiving back ro the schooland beingactively involved in the community dwelopment in one way or the other, Bruceis a proud MBA'73 graduatetoday.Born and broughrup in Japan,Bruce hashad a long and successfulcareerin the Investment Banking,both in Japanand in the United States. The Asian Manager correspondentwas fonunate ro meer with Bruceduring one ofhis recenrbusinessvisitsto the Philippines wherehe generouslygavetime for an exclusiveinterview. Bruceis currentlyservingasthe advisorto a joint venture latexTechnology) betweena group ofJapaneseand a Filipino Q.P companiesin latex (naturd rubber) producdon. Latex is usedfor surgicalgloves,condoms,and for the manufacturingofballoons. The companywasestablishedin the Philippines in February 2003, and curendy has50 peopleemployed,and a paid-in capital of 150 million pesos.510loof the companyis owned by the Japanese,and the remaining 49oloby the Philippines Investor Group Holding Company. The role of rhe Japaaesein this venture is to provideall the latesttechnologiesand searchfor the potential clientsfor this business. The role ofthe Filipinoson rhe other hand is ro raiselocal flnds, and provideneiessarydirecrion. "I am working with FrancisEstrada(MBA 73). He is the pers<inprirnarilyresponsible for arrangingrhe local funding and advisingon the crucialsocial/politicalissues.BennyAraw (MBA '73) the Presidentand the COO ofthe companyhasengineering backgroundwith managementcapabiliry.Someofour board membersareprominent Philippineinvestors." The companyhassetup one ofits plana ar rhe Expon Zone in Laguna,Philippines,and it is in the processofsetting up a refining facility in CagayanDe Oro, Philippines. \Vhen askedhow he enteredinto this joint venture,Bruce "I mentioned, wasapproachedby the CEO ofa Japanese Company that wasinto rhe manufacturingofBa-lloons." After consideringMalaysia,Thailand, and Indonesia,the decisionwasfinally madeto choosethe Philippinesasthe most appropriatedestination.Currently actingasthe advisorand "l investorBrucereminisces, wasaskedto find a reliableFilipino parrnerand to financerhe proiecr,and drisis wheremy nerworks in this country helped." Bruce also mentioned that this would be rhe last chancefor the Philippinesro enhanceits capabilitiesin.rubberplantation. The country hasalreadybeenleft behind Malaysiaand Indonesia. The local latex supplyin the country is just able to meet 50olo of its demand.

Brucerecallseducatingthe hrmers asone ofthe major challenges ofdoing this business. "\J7e areelking to NGOs and cooperatives, bod ofwhich have been very coope.ative as they are awareofthe necessityof the projectfor the community.The localgovernmentis also supportingthis project.A Malaysianexpert,who wasformerly with Dunlop, is in chargeofthe planrationoperarionsin the business. An optimist by heart, Brucehassetambidoustargetsales of30 million dollars- just for balloonsand Latex,during the "As oext five years. soon aswe are ready,we will enter into surgiol glovesand condoms,"saysBruce. Brucehad worked in an investmenrbank in rhe US and "I Japanfor 20 years, wasinto Mergersand Acquisitionsand InvestmentBarking, initially with *re Bank ofAmerica and Smith Barne,and then with the ChaseManhattan Bank. I left the Chase ManhattanbecauseI wasthe M&A advisor,and I wantedto be the principa.l." In a country wherehe had studied,madefriends,and built long lastingrelationships,Bruceconsidersthe Philippinesashis secondhome. He is currentlyinvolvedin many other projecrsin "Neworking the country is very important ro build any kind of businessin Asia." He fondly remembershis daysat AIM and citesthe importanceof mingling with peopleofvarious narionaliries,someof who becomeftiends, somedid nor. When ar AIM, Bruce'sroommateswerean Indian, a Korean,and a Filipino. "However,the differencesin culturesor nationaliriesdo not poseasobstacles, it is the differencesin penonaliriesthat poseproblems." Brucementionedthat because ofa plethoraof MBA programsin Asia,the competitionhasintensifiedand the reputation "There ofAIM hasgonedown. is, howevet a srrcngchancero "Ve improve."SaysBruce, needto establishand bolsterour network in Asia and re-establish our position in the market.We needto targetcountrieslike Japan(whereAIM is not well known) for marketingby establishingsudent exchangeprogramswith universities." Japanese For someonewho hasredized and reiteratedthe undeniable importanceofnetworking, $ruce Suguira'sadviceto the youngsters is to not only study hard, but alsocommunicateand develop meaningfulrelationshipswith studenaof variousnationalities on campus. He also advisesyoung graduatesto alwaysbe aware ofthe new developmenrsin one'sown country and ro make full useofthe rich alumni network connectionsthat AIM provides. "This projectcan be the symbolofthe increasingvalueof networking in Asia", sap Brucewho hasreapedthe rich dividends of activelyneworking throughouthis career. It surelyis. by Prakhar Shrrfi.

I D E C E M B E F2 0 0 4

AS AN INSTTUTE OF MANAGEMENT

THEAIM ALUMNI FUND All AIM alumni are united in their goal ofensuring that the legacyofquality educadonin AIM remainsintact. To ensurethat their educationis ofthe highesrquality and to continuero raisethe bar ofexcellenceofmanagementeducation in Asia,AIM alumni havecontinuouslysupportedthe following developmentprogramsfor AIM: Alumni Fund for Facuhy Development This specialfund is focusedspecifically on the development ofthe Faculty,whether for increasingthe number of Doctoratedegreeholdersor for assistingin researchand publicationsand faculty exchange.The fund will ensureAIM's growth into the future through the continuous development of an international,academicallyqualified, practitionerorientedAIM Faculry.Any alumnuscan contribute any amount asan individua.l,asparr ofa classor a batch,and be recogni?edfor it in all the categoriesduring Homecoming Week.This will not only result in closerties betweenAIM and its alumni but alsoenhanceAIM's drive for excellence in managementeducation,which makesit the leaderamong graduateschoolsofmanagementin Asia. Alumni Fund for Learning Space This fund providesinvaluablesupport that can be used for the school'smost imminent needs.Theseinclude program improvement,building funds, improvemens ofAIM facilities, ofEceequipmentand suppliesand operatingcos$ among many others. Alumni Fund for ScholarshipsGrants and Special Gifts Significantcontributions to a specialcausesuch asa scholarshipfund, a professorialchair, or the establishment of a centerin honor ofa loved one arepet projectsofAIM

alumni, done asindividuals,or asspecid batch projects. Alumni Fund for Researchand Developm€nt AIM alumni conrinuouslyconrribureproducrsand servicesto the school. Professionalservices,researchmaterials and_manyotherscan be mosr preciousto the schooland the sluc€nts. How You Can kave Your Mark at AIM 1. Any AIM graduateor student can contribute any amount asan individual (whetheraspersonalor corporate donation), or aspart ofa class.Accumulateddonationswill be recognizedupon reachingspecificlandmarksin the following categories: '$7hite Tiger Award (P 25,000) BeigeTiger Award (P 100,000) YellowTiger Award (P 250,000) OrangeTiger Award (P 500,000) BronzeTiger Award (P 1,000,000) SilverTiger Award (P 1,500,000) Gold Tiger Award (P 2,000,000) 2. The most generousAIM alumni and studentswill be recogniz€dduring the Annual GrandAlurnni Homecoming. The classwith the highestpercentageofdonadons The classwith the largestdonation The alumni with the largestdonation (asan individual or asa corporatedonor) All donors to the ALUMNI FUND are recognized during the Grand Annual Alumni HomecomingErrent.Paw Fund Plaquesofrecognition in honor ofour alumni donors are installedpermanen.lyat the J.V. Ongpin Quadrangle.

THF AS AN MANAGER]DECEMBER2004 IASIAN

N S T I T L J TOEF M A N A G E M E N T

Alumni Fundfor FacultyDevelopment BEIGE- Mr.Yoo Hwan Kim, MM 1979

ALUMNI FUND FORSCHOLARSHIPS WHITE- Mr. ChristopherPastrana,ME 3

*' r.t

ALUN4NIFUNDFORLEARNINGSPACF WHITE- MESphinxClass WHITE- ME4 GrouPH.U.G.

GOLDPLAOUE- Mr. Bob Chandran,donationfor the constructionof the AIM GlassTower

WHITE- IVlr.FelipeDiego,MBA 1973

GOLD- MBA 1972

YELLOW- IVIBA1983

WHITE- MAP 6

"lMei" Hao, ME 3 BEIGE- Ms. Stephanie

YELLOW- lMs.lsabelKarin Cuerva-Kier

i H E A S A N M A N A C E R I D E C E M B E R2 O O 1

A S A N I N S TT U T E O F M A N A G E M E N T

A L U M N IN E W S

TheFirstAIMlnternational Leadership Gonference "FIRST' A AMONGST THE numeroushomecom ing acriviries during the AIM Alumni LeadershipVeek last March 3-5, 2O04,the InternationalLeadershipConference(ILC) waslaunchedtasr March 4 with rhe theme: Leadership: BreakthroughThinking. FAIM and rts local chapter,A.{{IM, the host batches MBA and MM 1984, the AIM Alumnr RelationsOffice, and the FaculryDeans o[ rhe)nsritutejoinedhandslor rhefirsr time to connectwith the regionalnetwork ofalumni in moredransixAsiancounLries through the $?orld Bank Global Distance Learningfacilities. Gracedby no lessthan AIM Board Governor Timothy Ong (Brunei) and Y2004 AsiaMoneyadudged BestCompany CEO of,Asia,Mr. Manuel V Pangilinan (PLDT CEO/President),togetherwith the presenceofthe Deansfrom the four schoolsofAIM, the lst ILC wasar exciting and enriching forum that provided an exchangeofbroad and in-depth dia.logue amongAIM alumni. Conceivedto eventuallybe an intelIectualassetofrhe Instirute, this eventwill be held annuallyacrossdifferenthost countriesin Asia.Lynn Sy (MBA 1984)who wasoneof thosewho inirirted$is pro.jecr revealedthat evenbeforethe actualholding of this first conference,AIM alumni from Malaysia,aswell asIndia alumni chaprers havealreadyvoicedinrerestin hosdngnext year'sLeadershipConferenceevent. "Even the alumni chaptercin the U.S. havesent us queriesof interest on rhe activities behind this event," remarkedLynn, asrhe globalpossibilitiesofthis conferenceare alreadywithin logistical reach. The openforum providedan animated exchangeof ideasrmong rhe parcicipantsofthe differentcountries,asit provided an opportuniry to explore dre many facetsofalumni leadership,that wasthe themeofAIM's 36th founding anniversary

"Leadefship. Liveit!" TheBoardof 0irectors andofticer.s oftheAlumni Association oftheAsian (AlM)were Institute ofManagem6nt recendy swornint0officebyHerExcellency P|gsident oftho Philippinos Glori.Macapagdl.Aroyo attheCeremonial HalloftheMalacanang Palac0. Inphoto are{L-R}:Marge M,Bamr(AAAIMExecutive Director}, BattaraC.GoMalez Secrotory}, {Corporate "Pax"Ldpid(Director), ftoncisco Teddy 8.Villanuavr HEPresidentGloria MacapagallGhairman), Arroyo, oulceGasaclang Exeoutive Dirscto4, 0lolodiloo.Bisnar {FAIM AlsxF, lvice-Chairman), Tanwangco JoseMa.Panoco{0irector),lU$, Ghrisrina {Treasurer}, Villanuova andD6rndela Paz{Dhector}, Second rowlL-R}: Emilneyes{Director}, GrugAtiâ&#x201A;Źn:a{Director, Alumni Bdlations (Dhectorl, office),Coruron Tecson"Jimoner Mls.llle stoRayes, llrlrs.Norms Tanw[ng6o, Prot Rafdel (formerAAA|M Arelza(AAAIM Frculty Representativa) sndEduardo L Bansga Chdirman). ThsAAAIM envisionsto graduate betheleading Alumni Association 0fAsia's management schools, asit workstowafdsbuilding a harmonious AIMcomrnunity through responsivo leadership,

II]E ASIAN MANAGEF

D E C E M B E R2 0 0 , 1

A S I A N N S T I T U T EO F M A N A G E M E N T

M E S S A G EF R O M T H E C H A I R M A N

Dear FellowLeaders! Warmestgreetingsfrom YOUR Alumni AssociationAIM! to our stralegicpartner,the Alumni RelationsOffice (ARO), for being Our sincerest congratuladons ar dre helm of rhis new issueofThe lsian Manager.This is truly living out the leadershipresponsibilities we haveall beencalledupon to assumeasAIM alumni and we certainlylook forwardto many morc interestingissues,and a more regularsupplyofThe AsianManagerin the daysahead'

'73 Tâ&#x201A;Źddy R. VillanuGvo. MBA A l u m n i A s s o c i a i i o n o l A iPMh' , l i p p , n e s

'Vhen I assumedmy AAAIM Chairmanship,it wasvery clearto me that the challengâ&#x201A;Źs we facearc the AAAIM and we at community building, tines for continued These charging call truly daunting. ro the school AIM Board ofTrttstees from the amongst all our stakeholders seekto promoteunity whom we to our students partner organizations; donors and authoritiesand facully; to our strategic "alumni-in-residence" and of and staff; down to our suPPliers all the way refer to as our now fondly (and family. AIM alumni growing) course,to the over 30,000 Restassuredthat all ofyou remainour ftrst prioriry il our questfor providing the quality service "the leadingAlumni Associationin the that is expectedfrom the AAAIM that envisionsitselfto be region,6rlly supportiveofthe Institute, the Alumni, and the Communiry." Transforming the AAAIM into a highly professionalteam equipPedwith abundart resoutcesto se.ve you all properlyremainsour top priority.Towardsthis end, I am happy to report that we now have an acriveworking board,eachmembertaskedfuith a panicularareaofresponsibiliryYou arealso very much welcometo drop by our executiveoffice at the 4th floor ofthe AIM ConferenceCentel whereour frrll time professionaland executivestaffwill be hapPyto seryeyour needs.I takepride in the fact that this year'sAMIM hasbeentruly blessedwith alumni who live and sharethe values transparency, and servantleadershiP. of accountabilirygood governance, At present,we arestriving to do well financiallyin order to continuethe good work that we have \(/e need initiated.Your valuablesuppon for our programsand proiectsremainskey io our success. to know whereyou areso pleasemakeit a habit to alwaysdrop us a line to updateyour recordswith us.And in return pleasealsomention whar you expectfrom you AIM Alumni Community and Lifetime friendshipand fellowshipthrough a varietyofvalue-addedyet fun cvenrs,occasions, productsdesigrredto bring us all backhome to AIM; conrinuingeducationaloPPortunitiesfor your lifelong learningpleasure;and more importantly,variousvenuesfor networkingand business opportunitiesamongfellow alumni. Our plan is to engageyou for life. After all' being pan ofthe AIM family is a lifetime privilege,and yes,alsoa responsibiliry Allow me at this point ro sharewith you our credo.May it challengeyou to activelybe part ofyour AJM alumni family and may it inspireyou ro live out your call to leadership,whereueryou may be \Wearethe lriggesrstakeholderin thc AIM Communiry, thereFore: to our !0e makeourselvesavailableto whomever,whenever,whereverand whateverneedaccess networkingresource. Ve createualuelocuscdon: r Connectivirywith fellow alumni for lifetime friendship . Teamspirir, sharedexperience,fellowship . Lilelonglearning Ve fully supporr: r AIM! effort to sustainand enhanceleadershipin GraduateManagementEducation . AIMI concernfor governance and soundfinancialpractice its future. \0e demonstrateutmost interestin AIM, irs brand, its success, 'We sharethe responsibiliryfor AIM! long term welfare. 'We area communiry who knows,lovesand sharesleadership. 'We live it!

lHE AS AN TvIANAGEF

D L C L r , r ! t F 2 0 0 4 I A S r A N N S T T T T T ToFF M A N A G E M E T ' j l

A L U M N IN E W S

The ThipleA Awardees for 2003 TheAlumniRecognition wereDr Yoo-HwanKim, MM 1979,Peter L c eK o k - H o eT. M P 1 0 8 0a, n dH e r m i n i o "Sonny'' C e r e m o nlya s tM a r c h5 , ColomaJr'.,MBA 1978. Alumni paid candidares areevaluared on 2004 tributeto a select the followingindicators:the achievement g r o u po f a l u m nwi h o h a v e of asignificantprofessiona.l accompJishment, e x c e l l eidn v a r i o ufsi e l d so f contributionto rhebetermentofthe managementprofession,contribution to the professionai, entrepreneurial, advancement of indigenousenuepreneurship or promotion or development ofpeoplet empowerment work. THIS ANNUAL'ITORLDWIDE .elecrionby rhe Federarion of Alumni Associations ofAIM (FAIM) is calledthe AIM Alumni AchievementAward,commonly known asrheTripleA. This brings the total numberofwinners of the AIM Tiiple A to 104.Of these,38arefrom the Philippines, 15 from Malaysia, t I from Thailand, 10 fiom Indonesia,8 each from India and Singapore,7 from South Korea,5 from Taiwan,and oneeachfrom Bangladeshand Hong Kong. FAIM chairpersonTae-SookHan, MBA 1984announcedthe winnersfor 2003 from SouthKorea,Malaysia,and the Philippines,who compriserhe 26th batch ofTiiple A awardees. The winnersfor 2003

alrrdsustainable development, high degree of achievernent ofpersonalexcellence, and a strongcontributionto the upliftmentof the lessprivilegedmembersofsociety. Dr. Yoo-Hwarr Kim, MM 1979 Dr Yoo-HwanKim is presidenrand chiefexecutiveoficer ofthe Kookmin Data Systems Corporationbasedin Seoul,Sourh Korea.After completinghis masteralstudies at AIM, Yoo-HwanKim assumedvari<rus keypositionsat the Kookmin Banl<in South Korea.fater, asan ExecutiveMce Presioent and ChiefFinancial Officer, he successllly implementedr}remergerof Kookmin Bank with all the appropriateguidancethar the rnergercommitteerequired.This undenak-

i n g t e s u l t e di n t h e c r e a r i o no f r h e l a r g e . r bank in the Far East at rhat time. After the m e r g e r .h e w a . n r n r r d S e r r i o rI r e c u r i r c Vice Presidentand ChiefFinancial Ofrrcer ofthe combined bank, known as the New K o o km i n B a n k . w h i r h w a s , u r c e s , l u l l y l i . r e d i n r h e N e w Y o r k S r o c kF x . h r n g e . Among his major contributions to Kookmin Bank was the elevacion of the bank's systemsto advancestatu, the result o f c h ei m p l e m e n t a r i oonf a $ I 0 m i l l i o n total risk management system project that enabled the organization to engagein the derivativesbusiness.Today, Kim is still regardedin dre Koreantinrr.ial communirl as the frontrunner and an acknowledged authoriry in the areaofrisk managemenc. During the monetary crisis in 1999, Kim alsoworked for the inftrsion ofa $500 million equity investment frorn the US financial powerhouse Coldman Sachson behalfofKookmin Bank, thus relieving dre credit pressure, which nor only helped stabilizetbe bank but also enabled it to become stronger than the rest ofits peers. The Kookmin experiencegave the Korean financial community with rhe confidence to face the crisis and overcome it.

THE AS AN 'IANAGEF

AS AI'] NST TUTE OF MANAGEMENT

A L U M N IN E W S

Peterl.ce Kok-Hoe, TMP 1980 Peter l-ee Kok-Hoe owns the Counrry Inns Sdn Berhad and the PenangHill Company Hotels and RestaurantsSdn Berhad in Malaysia. Af'ter graduating from AlM, Peter Lce was namcd principal consultant lor rhe Cold SrorageBerhad, then a Britishcontrolled public company in Malaysia that pioneeredin the businessoffood and retailing. Soon afier, he was designatedas Chief -ExectrtiveOfficer ofcompanies under the Group Malavsia Public Companl'. At one time or another, he also servedas Chief Frecutive( )fficeroft iroup Mrnulacturing C"nrprrirs be[orr lounding l.rscoMalay.ia. a major businessconcern in his country 'loday, he is a major invesror who pools

PETER L[,E KOK.HOI']

resourccsofpriuate interestswith those of rhe Malavsian government for the development ofvarious businesses and industnes in the country. Among theseare the revitalization of the PenangHill, an imporranc heritagerourism site in Malaysia. He stands out as the first Asian rt, acquire interestsin a historical coloni:rl hotel - the SmokehouseCameron Highlands. He alsotook over the first privatii-edgovernment properry in Malaysia'sFraser'sHill.'I'he Malaysian government has since partnered with him as thc lca.l m.rn in rhc rer iraliiarion of PenangHill, and rurning it into a UN world heritage site. His Penang Hill Coml';rry i. now re.pon'iblef.rr thr rert.rration of the fjovernment-ownedpropertiesrn Penang Hill, which is widely regarded as the carlic.rofrhe Bririrhhill srationsin Malaysia. Herminio

"Sonny''

Herminio

Coloma, MBA 1978

"Sonny"

Coloma was the dean ofAIM's EXCELL that overseesthe lrrrtiturc-srxrrutivc MBA anJ c\cLuti\e education programs. In 2000 and 2001 respecrively, EXCELL won international recognition from Asia, Inc. and Asiaweek maglzinerth:r r:red its execrrtive edu..rtion and executivemasterin businessadminisrrar i o n l F - M B A ) p r o g r a n ra\ \ n u . I i n A . i a . Coloma's unique background makes him fit any leadership role - be it in corporate

I O S EC U I S I A ,H E R M I N I O C O L O M A ,R O B I R T O D I . ]O C A M P OA N D T A E S O O K H A N mented an integrated HRM sl,stem for what was then a newly reorganizedholding com-

ing Center (EXCF.LL) when AIM implemenred rhe multi-school system. !?ith his

pany ofa diversified conglomerate in the areasofenergr, power generation, and finan-

virion o[ makingAIM EXCELL rhe preferred provider ofexecutive educarion for

cial servicesindustries. From there, he as. u m e d v a r i o u . . e n i o rm a n r g e m e n p r o.i-

the region's rop-tier global corporations, he pursued the building ofcorporate universiry 'lbday, parrnerships. AIM EXCELL has corporate universiry partnershipswith blue-

tions such as vice presidentof Pantranco North Express lnc. (the largest land transponation company in the Philippinesat that time) ard vice presidentfor human resources 'frust at Far East Bank and Company. In 1988, he joined AIM as assocrate professor and soon after, became the first program director of rhe masrer in development management (MDM) program. Larer he served as associatedean for the MBM

business,entreprcneurship,academe,or the government. A-fter graduating from AJM in 1978,he joined First PhilippineHoldings

program. During his deanship, the MBA program achievedan all-time high in enrollment. He holds thâ&#x201A;Ź L)on JoseCojuangco Sr proiessorialchair in businessmanagement.

Corporation as head ofthe human rcsourcc managementgroup. He designedalrd imple-

In 2002, he becamc the first dean of the Executive Educatioo and Lifelong l,earn-

chip corporations such as Citibank, Pfizer, Intel, Bristol Myen Squibb, Mirant, Jollibee, lopez Group ofCompanies, China National OvetseasOil Corporation, and Oil and Natural Gas Corporarion of lndia. for FAll\,1is alwaysonthesearchfor candidates maysubmitthe theTripleA award.Nominators following dataon6e nominess:a briefexplanationofthereasonsfor choosing thenominee, (including andthreereferences onefromthe highest-ranking supervising oflicerof the nomineein hiscompany of employ). Fornomination foms,pleasecontactthe FAIMExecutive Director Ms.DulceCasacla ngat{632} 892401 I loc.541 or email to dcasacla ng@dataserve.aim.edu.ph.

A L U M N IN E W S

TheMiniReunion*i,h " Mighty

MeSSagg

THE MINI REUNION II.ST 29 July at theSGVBallroomin theAIM

neurs, community developers,and managers joined hands to appreciatethis lnstitute

C-onfercnceCrnter in Makati was an everung of renewedfriendrhip and camaraderie.

throughout meaninglii nighr. The wisdom and knowledge reflects on the achievemenrs of these individuals who underwent the rigorous training ftom the various programs. The implicit contributions ofthis school to the business community also reflect on rhe stature ofthese individuals in our

The faculty and alumni ofAIM

got a chance to unwrnd wirh old friends as they envisioned the road ahead for the

prepararionofthe nexthomecomingcelebrationscheduledfor March 4,2005. The groundworkfor rhe big night had commencedwheresomemembersof the alumnisignedup ro participare in dreacrivitiesof rhevarious r.ommirrees who wi team up for this undenaking.Although tne homecomingnight is sevenmonrhsaway, theanritiparion hasbroughtmuchexcirement fbr all the individualswho helpedplan to makethis mini reuniona success. Celebrating classesfor this yearwerewell representedby membersof batches197O,1975, 1980,1985,t990, 1995k_2000. Thereweremore than one hundred alumni memberswho showedup. Most weregraduatesfrom the celebraringbatches and faculrymembers,althoughother follc from the communiryattendedto givetheir support.There is no doubt thacthis prestigiousschoolwill alwayshavea special place in the heara of the celebrating barches. Senior executives, entrePre-

socrety today.

There wasgreat food - thanls to the AIM ACCM (AIM ConferenceCentcr Manila)for a very heartysupper.'I'here wasalsolive music,rhanksco rhe Latino Band that playedgreattuneswherehappy folls joined in to sing their favoriresongs. The fun reallysarredwhen Don Brodeth, MBA 1985 and Ofel Bisnar,MBA 1988, the MCs for the night, invited everyone to come forward ano Pay for airtime wherethe payercould elecr 'somebody' to sing and be placedin the limelight of hilariousmomenls for weryone to appreciateor to judge.' Like any reunion that falls in rhe 'meticulously ranksof plannedand vcry well organized'(kudosro all thosein the Alumni Board, the planners,volunteers, donors,and everybodyelseinvolved),this one wasa realsuccess. The night started with the singingofthe National Anrhem, followedby a solemninvocationby Fr. Tito Soquino, MDM 1999.Afterwaros the reunionwasbuoyedby rhe musical presentationof cheAJM Hymn, followed

The Homecoming Committee for Homecoming 2005 would like to thank the following donors who have contributed to the Homecoming Working Fund: Marciano Tapiador, [|DM '9O, Pon3 Carpio, mDm 2OO3, Winston Kawsek, UAM '8O, Corltoc Jimenez, MDU 2OO2. Khoo Boo Boon, MDU '9O, Horacio Bo.romeo, J|',lt 'r7. Al'll Alumni Relations Otfico, MBM '85, lf,oises Uillen!, MBM '75. All AIM alumni are invited to the AIM campus for the GrandAlumni Homeconing on lf,arch 4, 2OO5. For details, please contact Margeret Barro, ExecutiveDirectorof the Alumni Associationof AIM at Tso'loto l o c 2 1 0 3 - 2 1 0 5 ,o r L o u r d e s C o , R e u n i o n C o o r d i n a t o r o f t h e A l u m n i Relations Office, 8924()11 loc 541 or email lco@nrail.aim.adu.ph.

,*-""r.Rami,ez.MB'. by a vidco Presenrarion of the wclcoming remarks by AIM President, Dr. Roberto de Ocampo. After rhar, thc opening remarks and acknowledgement of MP & facu1rywho aacnded was eloquenrly delivered by Greg Atienza, MBA 1983, L)irecrorof the Alumni RelerionrC)fficc. The climax ofthe reunion came when Noel de I*on, MBA 1985, rhe Homecoming Chairman took centcr stageto announce rhe vision ofthe homecoming night scheduled for March 2005 and rhe preparations tha! must bc undertaken by rhe various committees to make it a rcal success. Shorrly afteq contributions from rhe partygoers came pouring in to supporr the activitiesofthe various committees, launching rhe drivc lor.oncern and inrervenrion from our AJM community. Ir was a memorable reunion with a purpose, for some ir was a chance to renew old ties and to relive the camaraderie,while for others it was great fun enhanced with prizes and giveaways. One can't help but wonder, ifthe r e u n i o n w a . t h r r . u c c e t r f i r lw . h:r la.ting impression will the Instirute make in

rhe Homecomrng Night in 2005 for our communirya Betreryet, ifone expects some personal returns from rhe homecoming, one should placc all bets on rhis Organizing Commitree fiom thc celebrating batches becauseit is definitely organized and the members do have a genuine purposc. They certainly have the stuff to make Homecoming 2005 unlque exciring!

1 o E c E M s r nr o 0 4 I A S A N r N S rr L r r Eo F M A N A G E M E N T

L E T T E R SF R O M A L U M N I

environment. I was still nor a highJevel ] managerbut was determined to improve my

Mariani YantiLinehan MDM 2OOO I graduatedin MDMi classof 2000 and rememberthat the AIM staf and facurry "the calledus as millennium batch".AIM hassurelyhelpedme much both in my career and my studies.AIM openeda door for me to a much more fulfilling life. After I graduatedin May 2000 I returnedto my home in Jambi,Indonesia.EmployedbyJambi City, I did my bestto improvemy working

ciry no matterwhar my positionwas. I rememberedthat Prof. Sol Hernandoalways taughrusthatgrearchanges beginwith small actionsbv oneperson,and I beliwedI could makechalges.Someof my co-workersasked why I didn't seeka more lucrativeemployment in the privaresector I don't blame them for beingso cynical;theyjust didnt understandthat I reallywantedto uscrrry knowledgeand experience to makemy little hometowna betterplaceto live in. I was determinedto be a changeagent,though ir wasquite hard for a localgovernmentem, ployeeto do.. I rvaspromotedtwicein the yearafter I returnedfrom Manila, becomingthe youngestCity employeeeverto reachmy rank.and I sawmy co-workersbehavior graduallychangingasI succeeded. They havewitnessedthat my skills,attitude and hard work havebeenmore efficaciousthan lobbying and usingconnecions.My experiencesencouraged my co-workersto work harderand ro pursuefurther educationto achievepromorion. FortunatelyI ve been.blessed with more chancesro improve my knowledgeand skills.In 2002 I wasforrunate(thanksro an Australianl)evelopmenrScholarship)to acquirea Master'sin EnvironmenralManrgemenrar Australian NarionalUniversiry I inirially plannedro then continueon directly ro Doctoral studiesat ANU but fate changedmy plans.Through a long seriesof impossiblymiraculouscoincidences I found a wonderful man whom I marriedon February 14,2003.I havefollowedhim to New York City, wherehe hasa business, and will b e g i nw o r kt h i . . u m m e ro n m y P h . D .i n BusinessOrganizationand Managemenr. Vhen my studiesendwe'll returnto Jambi, whereI'll continuewith rhe Ciry and my husband(a former collegeprofessor)will teach,though he sayshis long-termplan is to becomea beachbum in Balil Sinceour livesnow takeplaceall over rhe world we havea personalwebsiteso that

our friends and familv in Indonesia, Manila, Australia, and New York can seeall the evcnrs that rhey can't witness in person (especially the wedding!!l). You can visir this site at: http://homepage.mac.com/buffrrainer/

Manik (SultanMd. Giasuddin) M D M' 9 9 Itt my great pleasureto inform you thar I wrote a book 'Days in Philippines',which is called'Philipiner Dingulo' in Banglaversion. Actually I never thought that I would write a book on my daysin AIM and rhePhilippines alongwirh a lorof memories anchoredin pain and pleasure.This is an unprecenrious portrairofmy srudylile in A1M with my paraplegic body.OnceProfessor Mayo Lopezrold me - Manik. rhisis not your physicallimitation. This is your physicalluxury'The MDM degreeraught me mainly rwo things:First,bartling with my physicallimitation ard winning the war ofstudy. Second,survivingtechniqueswith a missionand teamspirit. 'Days The book in Philippines'rca storyofan AIM studentwho won the battle ofstudy with his crippledleg. Dependent on a hand stick, I nevertheless had many experiences engulfedwith love,emotions

THEAS AN MAIIAGEF

D F ' E T 1 3 E 32 O 0 4 . A 5 A N N 5 T I L ] T E O F M A N A G E M E N T

L E T T E R SF R O M A L U M N I

and inspirationgatheredfrom AIM stuand the staff at the dens, AIM professors AIM campus.The life and peopleout of campuswho walked in my life herein Philippineshavealsobeenfeaturedin dris book. I believein deprh ofmy heart that it is a distinguishedpieceofwork in the history ofAIM- that a sudent wrote a book envelopedwith memoriesaboutAIM and tne Philippines aliergoingbackhome.This is a scoryoflaughterand tearssharedby sir roommatesfiom six countrieswith different religions,casteand culture in dorm number 507. This is a story of samebattlecry of 53 MDM studentsfrom 18 countrieswith a common missionin a common tunnel ofstudy. AIM taught me how to servethe dis'Days advanragedpeople.Hence dris book, in Philippines' caries the torch ofa missron - book saleswill be donatedto a fund for poor disabledchildrenin Bangladesh. Though the book price is only US $ 3.00, any conmibutions beyond that will go to our childrent fund.

Caltex (Philippines),Inc. with business program managerwho has helped and s u p p o r r e ud s i n a l l o f o u r d a i l ya c t i v i r i e s addressat 6750 Ayala Avenue, Makatr "It asidefrom our parientand supporrive hasbeen City, MM. Nelsonwrites: program director, Patt Lontoc. But the indeedr greatprivilegecobe the firsr in our companyto takeup the Managemenr experienceand camaraderieof the class is the best thing I will never forget. We Development Program (MDP). My havesucha dirersebarchfrom various achievementsas ClassPresidentand Sucounrries,age.sex.religion,professions perior PerformanceAwardeehas been and evenpersonality.The classwascomrecognizedby rhe company evidenceof posedof 11 foreign (5-Malaysian,3which was the publication in our Caltex India, and I eachfrom South Korea, Sri magazine. "Indeed Lanka& Mongolia)and 22 localparticI remembertons oflearnipantswith variousmiddle ro seniormanings noreworthy ofwhich are Patt Lonagementlevelsaswell as entrepreneurs. toc's Company Strategyusing Coincidentally,we had 33 faculty memVIMOKMPI/SPATRES/SWOT, Dean berscovering120 teachings. inregration NievesConfessortNegotiations,JJ mentoring and 60 can group sessions. Roces'BusinessManagement Games, "As a professional,although I will Tony PereztSystemsThinking, Ed Mornever be able ro apply all the learningsI ato'sDreamWorkshop.SonnyColomas havegained,just bits and piecesof these Leadershipand many more. It alsoworhashelped me gargantuously.Personally, thy to mention the numerous casestudevenmy persPectiveof life hasimproved ies/can groups that we have dealt with IIask to rakethis up again. we havegained ' rremendously. plus the outsideexposures I would gladly do so and 1 would gladly from the Don BoscoGulod Foundauon recommend orhers to invest in this lifeand ATMJgororLodge.BaguioCiry trip. time opportunity." Let us not forget BessieNery, our able

Kind regardsand thanla. '99 Manik (SultanMd. Giasuddin)MDM DepucyDirector Program,COMMLINIfi DE\ELOPMENT CENTER (CODEC) Tel. Office: 880-031-670663 Residence:880 -03l -625095 Fex 880-31-672154. E-mail: codecprg@spnetctg.com

NelsonFelix 61 MDP2002 Nelson Felix,61 MDP 2002, ts now the Planning & Pricing Analyst of

THE AS AN MANAGEB I DECEMBER'O04

I AS AN NST TUTE OF MANAGEMENT

ClassNotes .,\monshi\ orhereurrcrrtrnrolvenrcnrs. l)r. Azurinrs(lh.rirnr.rn rif(.uu1e.rn SorilarcC,,rnpanl Inc.,.rsoftrvare applitarir,rsdcvelopr .rnLloi Bond \X'oLldrvidc lnc..an inLenrrrior.rl rccruirnrcnr tlrnr wirh aflili.rres in rhcUnittd Kinsdom,lrcland.and rhe tJ5A. llis publishcd rrirings inclLrd< rhrcctrooxs. k J , , J " , r \ \ . , 1 1r,, , . 1, t L h l t - . r " I{ -r, .r.r ..r" ,r,' , ' r" \ , ' . , \ l / , , J S <r r' ' , 1 ' i . l ' . J i1' .. l r r i , . r . , r " t ' l r <l h . l i p p . r . cl .' r . . ' . t ' . l l u , r , ' r r ,I, r t i . , r . ' . Ihc (loncrnrrarior-ltotirabilitr Rcl;rriorrship in (publishcd Selecred I'hilippincIndustries bv thL Irsritutcof \'l.rnaecri.rl Econonrics Sruciies), rnd Nl.lgin.rlNotes:l.e.ruresin Businrs'|corl,nrrcr (publnhcdbr rl:ell.ll tirllcgt ofBusincsAclnlrl)r. AzurinobrrineJhiscrruincerinr dcgLrc .rndhir dottor.rlJcgrce tiom the trnivtrrin ofrht I'hilippircs.

t)inna GavlaBayangos. N{BII 1988,h.* I'eel prumorcilrVlrin Ar,.rl,r l,:rrrl,nol Jcpurrt,trrcr.rt \lanrgcr k,r i* subsiJiarrI.rgLrrr.r l'ropcrrltL)ld i n e sl ,n c t l . l ' l l l ) . Mano Recto.lvlBi\l l9ttli. i' srill rirh \rr.r I rc rrr

Sanjay.N.IBNI| 988. n rircs.rt,outhiscl.rsnrares: ''(.heri;n I l r o r r . r ns o t r i o r h sl i r r . r l I l r r e s t r r r c ' r I'i.rnk,ng fi, n, ,n I oncton.I{.rri \lohrn rs.rbiggLrn ,ridr (.itibrnk in Nc\ \i,k hr.rJingut, rlredir;v.rriicopcrrrions gl,up lot thc trS .rndLLrropc {on hsr contair) \'iv.k Ar(,rrn l)rs.din S|.urghar i'Lrt rsbuildiner rtxrilc,rtihnt<nrpirtstttrhing acrrxs - \ , , " l J , r . .| 1 , . . . r , , ,\ , , , , | J . i. ,\ 1 1 , , ,., 'tcllaLtLc.rtlt skill' ha',!1,nhinr mrnr l.rurcls in t h eA d v e r t i s i nsgo r l d r h r o r r gIh) l r r r& I 1 r n n ,. r r,)mprnvhf o$1,,rnd ,uns.\'ivLk luncjai, work-

JoseMa. hrnmanuel Frernarrdez, MBM 1973,recendlbrc,ueht nile collcgcstudcnrs from l)e I..rS.rllerrd MBM/MBA orherunivcrsirirs to Allv{ hr a campus "Bruce" Masaoori Sugiura,MBM 1971,wrircs: tour. I)igo.'. I'AI14 "ln rhe pastonevr:aror so.I haveheenbackrnd tirundcr.rndtinner l " r r h b c r " < < r r l u L ' oa n J M . r n i l . ur .r r , p r o l * r r n Chrirlnan,,\ ,A"AAIiU dre I'hilippinesrequiresnre to trrrvel;r lor like I rmmenselv supp<rrivc r c g r rrl.." r r r u. r t c r . 1t nh r ' p . r r r i . ' rfLr ur r ( ( rr r ' , ol AIl,l's progr:rmof alsoa pLeasure to collaboratrwirh nl old classnrates rceonrncndnrgpowhom I hareknown tor morethan .10yors. V/hen tcnri.rliinLuralLrnrni ro wc wereet AIM b.r.kin 19r1,rlc trlkcclabout rhc lostitLrtc. u o r k i n gr o g e r h r.ro n ' r d , r, t i . r , , . ' , ! , r d , . J r ,, r . rvith Thc tlreamliterallvcamt trur. Tivo classrnarcs Astrophel lbpi' " l r " m | , n , . u r r c n r u o - k r r r "gi t l r r < l r . r n ., lejada.MBM 1971, (Bennv)Araw. [.strada and Bienvenido workswith rhc Clirvof "This projectis rclatedro rhe rubberplanraL n ( \ r P ( a K ( l l n . rl l L t tions,whicharecurrendybeingunderurilized and Dtpaltment as .r seareproducingonly lowervaluesolidlaccx.Japancse nior':rccounrant. tlis busin.ssaddrcss is 1l0l parrnersbring in their techloiogiesro producc Shtnandoah Pk*r,.,Chesapeake. \'A 2 3 120.Ibpr high-endliquid larexand finishedproductswhercas r . r i r , ' ": f " - r l r e p l r l t , r < ' r . .l h a ' c " . r rr n g , , . Philippine partnerssccureralv marerials.conrrol ernmcnt:laccounting. In the t'ill.sr.rrring t)cr. local relarionshipand arrangclocel funding. 1'his l r r , ' " . | $ , l l r r . r . h . rtrh . l i d t * . t . r t " r r r n r . r r r r t r is going to be thc first fullt integratedlatexrnanur "ll.gt. i hn r. r ne,r r)elJri.r rnernd I l^ok ti.r lacruringcompanvin the world. This couldalso rvardro gainingexperiences in rlrisncs errricavor. 'Mv becomea svmtroloftrue partnershipbcr*,cendrc wife. Lvn, is a rcgistcrcrlnursc.OuL Philippines:urd fapan." . l . l < ' t' " n . N r n " B c r r , J i . r$. , ' r l . $ r r h g e J n r , t Point(consulting iirm of KI)M(i PearN{envrctl Dr RendB. Azurin,MBM l97l in Northern\iirginia.\(hile our voungcstson, Formerl,v an invesrmenr banker. managerlent con\'ictor Paul,is a 6rh graderar rheSr.Matrheq,s sultant, and chiefexecutive oificer ofthe Gregorio . r r h u l i . ( . h " o l r n \ i r g i r r iB a r r . h .\ i r g i n i . r ''Hello Aranera group ofcompanies, Reni Azurin norv to rheorhermernbenotClass T3. spends much ofhis time teaching and *,riring. He . r u d c r r.rp r , , t i * , , r . ,. r , f i .r r J o r h c rg r a J r r a r r . . created antl teachesa popular course nr rhe MBA program ofthe Universiw of dre Philippines (bllege " l B u . i n e . . \ d m i n r . r r . u i o nr h a rh . . a l I l c ^ p . . r r . . . on Strategy". To studcnrs rvho wander jnro this coune, he scnes an eclecric mix of cl:rssicrvorks in hisrory, polirics, economics, and psychologl 'uirh rhe specific objecrive ofbroadening rhe students' pcrspectivesoftbe wodd in which thcl willopcratc. 'fhis is imponarrt, he ssens, becausesrrategic tarures ere ofien rhe result ofnarrou,ness in the straregisri p o i n r o I v i c u . H < a l ' o r c a . h e . , h <p r " g r r r r i n t e g r a r i n gS n a t c g i ci r l a n a g e m e n tI l c o u r s r .

i n g r s . r \ l ' * i t h r l { c . r l f - s t . r t cr i r n r i n N c t l ) c l h i ( o n l . r \ r . o n ( . l r r ) . K . r r r s h i ki s . r V l ' r i r h , r l c . r < l i r g l ) D a r . i . r l , t r I r . r s L o r n p r D \ 'i n \ l u n r b a i ( M m b . r r ) . s h . r n l . r r \ h r r n r . r { l ' r p p u l h a sb c c r i n l o l i c d i n t h c f l n : u , c i . rsl e r r i c c si r d u s r v r i r . l s h , l r n o \ \ i n 1 n ( t i . , R . r l i S h . r n k . r r( B i g \ l . r e i i s i n ( . h . n n , r i . r sr h e r . q i r i n r l h c a . l l i , r r h r ' I . L r . rq r o u p c o n r p J t r f l r l c o . R a l i l ' f r \ . r d i s i n t h c l l c . r l . r r c b L r s i n c si n l l . r n ns d o n e s c v e t r l g . r l o r c .I l c t r : I l . r l . r s u b r . r r n . r n i .hr a . r s s i g n n e n r lst t | l l , r l l brnl, rnJ is livirg in I X i As lirr rr c. I h.r\'f nroyc(l (rn f;onr Lonclon ro rhe h o r e L m b s o l l ) . r l l . r . .I { . r l e b e e ' nh e l c d r r e e l e . r r s . I s < r L kr l ) i r r r t i , r { i 1 { I l f o r a c o m p a n v c , r l l - 1 S ; b r r t h i . h i s i n r h e b L r s i n e sos1 t r a v e le n . l r r . r n s p o r t . r t r , , nt e c h r r o l o g l a n c la i L l i n c r c s c n ' . r t i o ns l s r t m s . A l r , , l t f f l l . r n g . r r t r : ni s d o i n g v e r v r v r l l i n Ofelia Odilao'Bisnar,MBM 1988, is no*, dre r h c 1 1 5r . r l i n g h i ' i . r r h c r ' s r . r l l b u s i n e s sr n d g r o * Execurive ManagingDirectorof AIM's Smdcnt , r ' g' r i , , . , ' r ' , 1 ' ,rrr ' . . ' r , l , , i a l ' 11. . , . ' i J ' . . . , , ' Services, Arlnissionsand Rcgisrrar(SSAR).Ofel that inrlrrstn'. ' h l r l - ' b ( n , r t , , n t h . l e .r c Jr . r l r r\ i . . ( h " i n r , . , 1 l h ' r i r o , r s r c r h r l i r r c i g n c o n L i n g r n rh . r . a j u J i e r o L r sr r r i r o r ' t b l k . i n t h c c o r p o r . r r c* o r l c l , r n c l ofthr AlurnniAssocjation ofAINl Phil.Chaprcr for rhc periodJune.2004-lvlav2005. lfyoLr necd r l l r s c r v h o h , r v , :e m b r a . c . l e n t r c p r c n c L r r h i p .I . r m to know enrrhingaboutAIM s currcntprogran i n t h t p r o r o s o t h c l p i r r gr c v i r r l i z c t h < 1 1 5A I \ l o l l i r i n g ' orrb o u r h eA l r n r n A r .'o,irrron'a.r,'rrr.'. Alunrni,:hapter.'

fcelfieero visiror call()lel at 892-401I local.Zll or telelax893-7611,or scndan enrailrc'obis n r r @r i r n . c d u . p h .

|.ruri n Sonnr' Jel Ro'ano.MBV lq88 $,,r(.: ''Ie.rnc to (-hin:r in l.rtc l9t)e. I r.rs sruchingti,r

ClassNotes my DBA then in De la SalleUniversirywhenI got rhis urgent call from the CEO ofRaff1es-l,aSalle Group in Singapore.He inviredme to becomethe ProgramCoordinatorofone ofhis schoolsin China. After I had thought about it for a week,I saidyes, and hereI am. "lnternarional educationin China rs a rcratively new thing. It's an industry that is yet to be tapped.Because ofthe openingup ofChina ro the world, developmentalinitiativeshavebeencharacterizingthe Chinesebusiness landscape lately.And theseiniriativeshavebeenincrexing rhe demand for qualirybusinesseducationthat is conductedin English.Aimosr everyChinesebusinessstudentI havemet hasexpressed the intention ofstudying MBA, in China or outside,in the futurc. I sccthis asan opportunity for businesseducatorsin the Philippines.They can rry to ger a shareofthis marker:I mean rccruit studentsto rtudy business I inrendto and management in the Philippines. srayfor rwo more yearsin China."

Arup Maity,MBM 1997,is rheCEO & PresidentofBlastasiaInc., wirh business aooress ar 2906 RalllesCorporateCenter, Emenld Ave. His companyt expertiseincludc IT Strarcgy, ProjcctManagement and implementation of PMO. JesseValencia,MBM 1997,is now thc Daraand Info ManagerofAvon CosmeticsInc. wittr companyaddressar Gercon Bldg. Makati Ave. "l Makati City, Philippincs.Jessewrites: never rxpr.redrhrr I rould heginto enyoymy 'rari'ri.s cla-ses.I reali'zedthat statisticsgivcsmore meaning to markering,finance,economicsand everyday life. Proh PurbaRao ROCKSI "t now have r r/2 yearold son and I am expectinganotherbaby this comingJanuary"

SreenirasNarayanan,MBM 1998, is now a ManagingDirector ofECC Intcrnational,with business address at 506, Le'liiomphe,375 HV l ) e l r a o ' r r . \ l a l a r i t i r 1 .P h i l r p p i n <r .r .< < n i "Jun'Aba1a, "Thcre Antonio wereseverallearningexperiences Jr., MBM 1988,is now thc wrircs: rhatI gainedat AIM, and it would be nearly ExecutiveDirector ofFasrechSynergyLtd., with business addrcss at Faxc.ch ManuhcturingComplex, impossiblc ro poinrro anvthingspeci6c. I have Jelirrire\' lerrnedrrrdLrnl.arned Ampere Srreercor. Vesr Road,Light Indusrw & ar rh. 'rm. ,im.. and that, I believcis signit'icant.AIM indeed SciencePark,Cabuyao,Laguna,Philippines. providedme the right scrtingro bccomcan cn Budi Vid.iaja,MBM 1989,is a Directorof Priparin rrepreneur,I would like to thank ali my lrientls Financewith busincss addrcssat PlazaSentral19/F, anriprofessors for havingmenroredme." 47, JakartaI 2930. Jl.Jcnd.Sudirman BharatBadrinath,MBM 1999,is now the Sr Product Marketing Managcrof : Nenvork Appliance John FrederickCabato,MBM 1992, is now rhe Inc. wnh companvaddressat 495 F.Javal)rive, RegionalDirecror for Johnson& JohnsonAsia Pacific,with bLrsiness addressat : #07-01,The Sunnlvale,CA94089. \traregy. Tower l. \o. 2 Tnrernarion;l Busine'. Park, Singapore.609930. RowenaVenturina, MBM 1999,is now a Managing Consukantfor Headstrong,Inc. with businessaddrcssar 220 Vest 42nd Sr.,l5R New York,NY, David James,MBM 1993, is now rhe CEO of r0036. INDE'CO, MONITOR RESEARCH basedin "My experiences though Singapore.David writcs: cannotbe put GauravAgarwal, MBM 1999,is now the Marketing ofbillionairemakingprecedence, in printl" ManagcrofAir Dcccan,a low cosrcarrierbasedin India. Cary wrires: I a greattime working and 'lbmmy MBM 1993, learninB wnh l\oi Lopezat the MF-proMa. Rita Ann Elizagaque-Roldan, "My wrires: lcarningsfrom AIM wasnot rcally gram. I alsoadmircd Prof. Ned Robeno, learned ifs about SURVIVALI' Rirzi is about academics, ro think on my feet,induccdbv Prof.Grby Mendozas aggressivc quesrioningand got inspiredbv the AVP-GlobaiTransactionServicesof Cititrank address at Ciribank]-ower,8741 the hardworkdisplavedby mv can-groupmates, N.A. with business (oneofthem toppedour clas). OutsidcofAIM, Paseode Roxas,Makati City, Philippines. I sawsomeofthe remorestcornersofrhe beauriful Philippineslslands,memoriesofrvhich will forevcr Per Stahl,our MBM 1996 ISEP studentfrom staywirh me. I am now basedin Bangaloreand Vharron, is now the Vicc Prcsidentof Broadvien',a divisionofJelferies.His business address havecompleteda vcarworking for Air Dcccan,a low costAirline. Bangalore's is 950 Tower Lane, t 8th Floor FosrerCiry, CA mild weatherend the 'After almost t'iveyears joy ofstar.ingat homealier 7 long yean is ofcourse 94404, USA. Perwrires: with Nokia whereIhave beenheadingup rheir M&A and strategicinvestmentteamin the US, I havedecidedto moveback into invesrment Michelle Boquiren, banking by joining Broadvier', a division ofJefMBM 2000, assumcs feries,in rheir communicationsand ncnvork a new role in Business and ProjectManagerechnologyteambasedin the SiliconVallev office. In my new role I will focus on M&A and rnent rvith Overture ManagedSolutions, capitalmarketactivitiesacrossrhe wircline, wircless,network securitvand telecomssofrware basedin Nerv York Ciry Shetakeson this technologysector."Per invireshis friends from AIM ro contacrhirn ar and classmates post after 4 vearso[ work;ng asVice pstahl@broad"ie-.cr.,m.

v3 (

President.Clobal ProductDevelopmenrfor InternarionalManagcdAsscts, a divisionofGlobJ Prirate Client at N'lerrilll,vnchs he:dqu:rtersin New York. Shchascightyearscxpcricncein rhc financial servicesindustrvand rnostrecendyhasworkedon rh. Jcr.lopm,nr rnJ l.run.h ,,irn ,,p.n.rr.hir.,rure assermanagemenrproduct for non US invesrors providing access to premierinvestmentmanagers, . rp r " d u , r r h a rh , ' h * n . " n . r J " r . , l r t v o l u r i o n r r r to the industry,.This product is beingusedsuccessf u l l vb i i n ' c ' r n r c npr r " l i ' , r o n . r l.'c r u r n ign r r r n r tional marketsto attract new clients. Shealsoled a cross-company reamthat designed rnd implemenredan offshorenxuranceJikeproducr linked ro m"n.,g..l;'.er'., produ.rin JcmanJby inrc'r nrcnp r r o f e . . i o n arlvr h o . c r v reh eI a t i nA r n . r i . a n markets. Both productshavedelivercdassets over $l Billion in just ovcrone year.Her abilityro deliveron theseprojectsis atrriburedro her exrensivervorkwith inrernational business and clear undcrsrandingofdiffcrcncesin culture and jurisdiction requirernentsthat are crirical in development,markcting,and salcoffinancialservrces. 'Ead' Rahul Singh,MBM 2002 and Patcharaporn Chinanuvathana, MDM 2001,got married 'I in lndia on dre l9tir ofJan 2004. heirwedding party washcld in and r-ovotel Siam,SiamSquare Bangkoktast.lanuan31, 2004.Thc AIM commu' niry sendsits wannesrcongratulations ro the alumnicouplc. 'M. Sunil PeLhe. MBA 2004,wrrrer: nro ycan in AIM, rveregreatborh in terrrsoflearningaswell asail arounddevclopment. As thc AIM mono goes "Studl PartyHarder"...we reallydid just Har<1, rhar.I wasluc$' to havegreatbarcbmaresin MBA Lifb 2004 who rverereallyhelpfuland cooperarive. atAIM hashelpcrlmc.rcqr.rirc so manync* friends

ClassNotes in alrnosrall the Asian/SouthEasrAsianCounrries and alsocxposedme to so many differenrculrures and traditions.The coursecurriculumat AIM was .lemrndingbur rheex.ellenrfr.ulrr and rhcrrpcr sonalinvolvementmadeir easierfor us ro counrer the numcrouscxams/AC/MRRerc. "Though I havejust startedon my professionallife afterAIM, I can alreadyfeelconfident thar I can do rveil,what with the presrigiousAIM MBA degreewith me and the valuableknowledge rhat I havegainedfiom rhe 2 year MBA course."

sphercat the MM 2004 classwas alwaysrensebut very rnterestiII9. I wasnefvousand exhausted mostof the timc, finishing assrgnmenrs, readingcasesand paftrclpatlngrn

MM Rodolfo Kintanar, MM 1987, is thc Executive Mce President- Markedngof CelsusPharmaceuticalsPhilippines,Inc. wirh business address at I 15 ( iD I I0t Phrlippine'. r.our RalloS . . r.Q "Looku e u o n Rudl.writes: befbreyou leap"rhissummarizesone ofthe lessonsI icarncdat AlM. How to professionally evaluaterhe placewherevou want to go, how to get there,whar factorsto take inro account- leqal,social,environmenral- what are r h eb r r r i e r r' o e n r r ra ' s < l l . r .r h <b r r r r e nr o e x i r . 'Thank comv trainingwith a groupofdocrors in ZamboangaCitv, Philippineswc wereable to cstablishrhe\TesternMindanaoMedicd Center, a i l0 bedstertiaryhospiral. \fle srarredwith a 39 beds,secondaryhospiralin 1992whereI wasrhe hospiraladminisrrarorVhen I left in 1999 n was alreadyan 80 bedsterriaryhospital-By October 1999,with r group oftop Philippineophthalmologists.we startedCclsusPharmaceuticals Philip''fhe FirstFilipinoOffParentOphpines,Inc. thalmic Pharmaceutical Companl'." ln October 2003, CelsLrs Pharmaccuticals startedcommercial operationswirh sevenproductsand four vchicles. Bv September 2004,the cornpanyhad sevenveh! clesand a salesforcevisiting opthalmologisrsall o r c r r h cP h i l i p p i n r .i n , m A p : r r ir o l o l o . F h s a nC h i s t i .M M 1 e 9 5 r. r n o w r h em a n r g i n g , l i r e . r o r o i l , r k t s a n g l a d eL. thd .r n d t h i ' r i ConsultantsLtd and is alsoa directorfor the following companies:SparkLtd, Bangiadesh F.nergy -Ibchnology (BEST), ECN Bangladesh Svsrems l,imited, ECNCompositesInrernarionalCorp. He is alsoadvisorofAlliance Fiberglass Limited. Ehsan\businessaddressis ParagonHouse (5th Floor),5 MahakhaliCommercialArea, Dhaka 1212,Bangladesh. "1 Anwar Chowdhury MM 1998, writes: have beenworkingasChiefAccountanrof SFFP/Danida sinccgraduadonfrom AIM. RecentlyI got a pro 'lnrernal motion to becomethe Systems Controller for Danida agriculturesecrorProgram.I wasa bachelorduring mv study at AIM. I got married 'Smita' in 1998.I had two daughrers.My eldestis who will be five on J I th Januarv2005. My favoriteprofessors in AIM are Professor RafaelAzanza and Ms. NievesConfessor. Mymemorableevenris the acceprance ofmy MRR b1-ProfessorErrol Perez.Mv favourite Room: AIM DormitoryRoom Number502. I alsoremembermv bestfriendsat AIM: Mr. Abhijir Parhak,Aloke D:rsCupta, Shibhajit

Chowdhurv and Mr. Hoang. My worscmcmorv wa heingfined2000 pc'o' for 'moking in room number 502 and my besrmoment in classwas when mv proGssorgaveme a chancero talk! Alberto Bulao, MM 1999, Group Manager, MaterialManagementfor LapandavFoodsCorporation basedin l)avaoCi* Philippines,rccallshis unforgettablcAIM experience:"Tbere wasthis classsession- a MalaysianLtecutive Progranr, hcilitated by Prof. Marivi Quintos. f)uring the class,the role ofhusband and wife and matr(s aboutfamily wererhe highlightsofthe discussron, Therewerediflirenccsand exchanges ofideasand beliefs.My po;nt is, AIM is nor only abour man, agementand business, AIM alsoprovidedand allowedme the opportuniryto realize,confirm and learnwharis importantin life. Anh Vu Tuan, MM 2002, is now the Branch l)irccror ofa FastMoving ConsumcrGoods Company, RU 21 Companyin Ho Chi Minh Citv, Vietnam.His business addressis Floor 2 ThaisonBuilding 3 3/2 StreetDistricr 10 HCM Citv. Nguyen Trong Khoa, MM 2004, is now the As sistanrro rhe BoardofManagemenrofBank for ForeignTradeof Vier Nam (Vietcombank),with hu'in<- adJrc- rr lqR TrJn Qurng Kiri ,rrccr. Ho.rnKiem fti'rrrcr.H;nor Cin. Kho; wrires: "l am very movedand pleasedwhcn I recallmv momentsoflife and srudyat AlM. I rhink thar the MM coursewasreallvusefulfor me because it equippcdme wirh the knowiedgeand skillsof ieadershipand managemenr.After finishing rhe course,I becamernorematureand leadershiporienred.The studyatAIM wasreallysrressfuland overwhelmingwirh cases, readings, lectures, games, assignmena,walkaboutand especiallv MRR. The latterwasactuallya usefulexercise that helpedme comeout a betterpcrson.The professorwhom I remcmbermost wasmy advisor,Dean Morato to whom I owed so much. He manifesteda strong in0uenceon rnv study,work and life afterAIM, rhanksto his teachingsand supporr.The armo-

quence,I adapred well to the tense settingofsrudy rhar helpedme much in being comfortable the pressures thar iife and work bring. Life at AIM is certainlyworth rememberingbecauseI had good chancero communicateand understandrhe differentculturesin my class.My batchmateswerequite friendly and supponivcand I like rhemrerymuch.The nightlife arAlM wasalsovery interesting.I0eusuallysrayed up verv late- up ro 3 am to study.After finishing ourschoolwork,we,a groupofseveralinternational srudentswith differentcultures,often gatheredat rheZen gardenro.moke.drinkandch;r.Ar rime'. whenAIM org.rnrrrdp;rrie' or orheractivitie.ar the Zen, we parricipatedand enjoyedall night. After onc yearofliving ar AIM, I got accustomed ro eatingthe differentkindsoffood from rhe Philippinesand othcr countries,and now I missrhese viandsa lot. . Perhaps,it is vew difficuh for me to express .rnd explainall the meaningfulthings drar happened during thar one year But I can sayrhat I have becomemore knowledgeable, matureand confident.A1loftheserhingsarenow fuelingmy ambition ofrvhether I will continuc wirh my present job, now rhar I havebeenrecenrlypromoted,or find and pursuenew and promisingopportunrtres with new challenges. Vadiraj Aralappanarar, MM 2004, is the Founder and Director ofl-ELiBrahma ConvergentCommunicationsPvt I-td.,with business address at 297 100 Ft tung Road,15rhMain , 15th CrossJ P -8. N;g:r sth Phr'e.Bang:Jore lndie.R:ywrire': "Before my completionofthe MM Program,I managedto starta companywith nvo otherfriends in Bangalore. \Ve areworking in the nicheareasof 'wireless data services'inrhedomain oftelecomsoftwarc, Thc MM I'rogram at AIM helpedme to trndersrandthe keting,rhe secrer behindany strare8v, the finance buzzwordsand how rhev are rele-

D 5 C ! - M B F F? O 0 4 i A S A N N S T I L ] T E O F M A N A G E M E N T

ClassNotes ture. My favorireProfessorwas Prof Leni, whoseconstantadvice,suggestions dunng the program aswell as in tbe MRR exerc,se, w e r ea . o u r c eo f t n ' p t r a t i o n; n d s i g n i f i . r n r learning." Juan Carlos Robles,MM 2004, is now a Partnerat Punongbayan& Araullo, CPAs, with businessaddressat 20th 0r. Tower I, The EnterpriseCenter,AyalaAvenue,Makati City, Philippines.

MDM ZhangJinmei, MDM 1992, writes:'AIM is one ofrhe besrinsritutesin the world. I'm very lucky to have beenone ofits students.Though the MDM courseis very big burden for everyone in our class,I really feel rhat I havelearned a lot especiallyon how to plan development projectsrhar h:ve 'usrainabiliryand competitiveness,I admit it is not easyto get a masters degreein developmenrmanagemenr, and in businessas well. One's determlnarion and enthe key faccessin AIM. " l'll never forger my professorsat AIM who have grven me memorable imPressrons about worL and success, and how to become a personwlo could makesignificantcontnbutions to the developmentof the world. I d like ro rakethis opportuniry to express my heartfelt thanks to Prof. FranciscoP Bernado,Jr., Proi AlejandrinoJ. Ferreria,Proi Ronald T. Chua, Prol Bagodion,Jr. and Prof. Victor Limlingan. I have been acting as a reacherand a direcrorat the samerime for eight yearsin the training departmenrof Asian-PacificRegional Research and Training Center for Integrated Fi:h Farming.in Vuxi Ciry.Ji.rngsuProvince. China. During thoseyearsI havebeeninvolved in three big developmenrprograms.The $lruxi Innovationlnstirute in one of my successful endeavors whereI now serveas principal. Vhen I rerireby the end of this year,I plan ro.hifr ro the bu'ine's field.parricularlyinrernationaltrade."

ME Levi Hao, ME PampangaBatch 4,2001 is now a retailer at the Double A. L. Caltex Service Station Corporation wirh businessaddress at PabloLucianocor E. BaluyutSt.,StaCruz, Magalang,Pampanga,Philippines. Levi shares "The with us his AIM experience: most signif-

I N E A S I A NM A N A G E F

icant learning I havewith Mastersin EntrepreneurshipME Batch4 Pampanga is Empower"lening ment. BeforeI uscdto havea hard time go". My favourite gurus are Dean Ed Morato, Dean Andy Ferreria,Prof RichardCruz and of courseDean Ning Lagman."

Our heartfelt to condolences

Jack Uy. ME PampangaBatch+,200. is now the PresidenI-CEOofSavert Group ofCompanieswith business addressat 4rh fl. Saver's Mall, Balibago,AngelesCitl Philippines. " Jack writes: The l8 months I spent in the AIM-ME programis probablythe besrinvestment I've madeso far. The course'srraining in lateral thinking has enhancedmy entrepreneurialskillsfor spottingopportunitieswhile r h e A I M ' r r u r r u r ef o r v e r t i c a rl h i n k i n gh a r allowedme to make decisionsin a more sysaematicmanner.The breadthofdepth ofmy businesses has increaseddramaticallysrnce I graduatedfrom ME."

the familyof

PPDM Mohammed Nizam, PPDM 2003, wrires: "l can deeplyfeel rhat the PPDM very much helpful in my professionallife. After participatingin the PPDM program in 2003, I am perfotming betrer in my job. Now I have beenpromoted asa ProgramManagerin Communiry BasedProgramfor reproductivehealth and rights.

MDP

Robert VincentGonzales, MBA2003 - 2004 1975 "l

went ro rhe waheof RoberrVincenr

Conzales(MBA 2003) who died from a heartanack at age29 last November25.

E r i c L a n a d oM , D P I 9 9 2 , i ' n o w . r nA " i s r . r n r Director of rhe Intellectual Property Office, with businessaddressat IPO Bldg., 35 t Cil PuyatAve.,Makati Citn ,

I wenr therenot only becausehe wasmy

SeemaLuitel, 59 MDP 2001 from Nepal, is currently studying Mastersin Gender and Developmenrin the AsianInstituteofTechnology ( A l T ) . T h r ' L n d . s e e m aw r i r e ) :' l n ; ' q u i r e [orrunare r o h a r eb c e ng i r c n r h eo p p o r r u n i r l to rake the MDP courseat AIM. I am very r h a n k [ url h r r A I M w . r i v e 'do m e o f r h e r u i r i o n cost of the programto give the educational opportuniry to me, a woman from one ofthc leastdevelopedcountries, and alsoto marntarn regionalbalance.I heartily thank Prof. Patncra L. Lonroc fbr giving me this opporruniry. When I atrendedrhe course,I found myself asone of the youngestand leastexperienced student.However,with consrantmotivarron and support from the professorsand feitow parricipanrs,I developedconfidence.I am very much thankful to AlM."

while be wasstill studyingar AlM. Vhel

lormer srudentand MRR adviseebut primarily becauseofsomething he did

the child ofone ofour lady dorm guards neededa heartoperationand sheappealed ro rhe AIM community for financial assistance, Roberrrook ir upon himselfto lead the fundraisingeflorts.I believehe wasableto raiseover P90,000and took careofpaving offall tbe hospiralbills. No just a good deed fanfare,no broadcasts, donewith mosrpeopleunknowingofthe personwho accomplishedthe difficuL rask.I guessRobert hasjust receivedhis rewardfrom aboveover the week-end.

Mario Ecarma,60th MDP 2002, writes: "My learning experiencein my MDP class (60th) startedme in my path to gainingmore k n o w l e d gien f i n a n c e a n d I a m . u r r e n t l yu ' i n g it to increasemy personalwealth thru invesung. l h e h u ' i n e s . i m u l a r i o ng a m ei . o n e l e a r n i n g experience that sticksto my mind. It was a good introduction to what issuesone hasto faceif one were running a business."

Robert beingan only child, let us also pray for his parents." - Prol JesusGallegos,Jr

\,\herci,\\-t .Aq 1 Y.vr&nrIer ^n

Arc you an llunmus who hasni received the larest issue ol l h. Asian Man.rger? Or arc vou an alunDus who h;rs ncrer rcctivecl a copv of1-he Asian Manager? Ve are ltxrking tir vou. OUR Asian Man:rgerl So plcase h e l p u s k c t p o u r l l u m n i d a t a b a s cu p t o d a t c . I f l o u r l a n t t o r c c c i rc v o u r c o p v o f o u r a l u r n n i m a g e z i n r r c g u l . r y , k i n d l i l i l l ' u p t h i s f t ' r m . r n d U x i t r c ,T f { L . A I . L I N ' I N I R E I - A T I O N S O F F I C F a t ( ( , 3 2 ) 8 9 1 ' 7 4 I 0 . lnu c.rnalso update vour contacr iniormation ()Nt-lNlbonLrs.r'ou will receivei,our frec AIM lNlAIl-

b v r e g i s t e r i n ga t w r . w . a i m a l u m n i . o r g a n d a s a

FORV/ARDINC

FOR LIFf.. V/e would also:rppreciate hearing

v o L r rv i c w s a h o u t d r i s i s s L r e\.b u c a n e m a i l u s a r r a m @ a i m . e d u . p h .\ V e h o p c r o h c a r f r o m v o u . P S . D o t a k c r peek.rt1hc Asian Managtr onlinc rt rnr.w.t.rm.aim.tclu.ph.

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A l u m n iS . E . R , V , E . forAIMAlumnito Lifelong 0pportunities StayConnected information f romresearch, forums, TheAsianInstitute oI Management EGBOUPS graduation, provides yourclass l'Jpon building a wealthof resources willbe afd otherintellectual capitai fromiss!es to enhance pr0vided witha freeegroup address activlties ranging of to you,ourgraduates, g0vernance, impactof your through aimalumnl.org, t0helpy0! stay c0rp0rate c0rp0rate the continued and AIM ATUMNICTUB evenattergraduation. intouch withyourclassmates with environmentalism, business ethics, education lf yourclass financial andeconomic A visionof thei\ilBA1983andthe Witha networkthatconsists emailaddresses. doesnot theAsian yet,c0ntact systems invitations, Association isthefuture alumnifrom haveanexisting egrOup T0receive send Alumni of morethan30,000 yourname, ofanAIMClubright theAlumnl Belations 0fficeat AIMpfogfam, andemail establishment 5 continents and70countries, Theproject is t0 aimalurnni@aim.edu.ph. wrthintheAll\,4 campus. the lnstituteenvisions a vibrant aimalumni@aim.edu.ph. address envisi0ned t0 brlng theAIMalumni lifeandrelationship community cl0ser byserving theircomm0n needs Institute anditsalumni. TH€ASIANMANAGER betweenthe youw ll be forphysica and ben€fits oneofthemany , socia, pr0fessional holder AIM business wellness T oh e l pb u i l da n ds t r e n g t h e n receiving asa degree of "The t0 Asian t h eA I M - a l u m nr ei l a t i o n s h i p , isa freesubscripti0n Thisistheoffcialalumni Therearemanywaysinwhichyou INTERNATIONAT A I MA l u m nRi e l a t i o nsse r v i c e s lVIanager." graduates yourpersonal TEADEBSHIP COt{FERENCE through publication of AlM.whrch features canenrich and the Institute's TheFirstInternational Leadership lnteresting success stories 0ffellow protessional livesbystaying S,E.R,V.E. graduates, waslaunched aswellasthelatest to theAIMalumni Conference during updates connected {lLC) harness theservices theHomecoming 2004 weekwiththe anddevelopments 0ftheInstitute. community,to your theme: Leadership: Breakthrough Tomakesurethatyoureceive andnetworkavailable to all yourc0ntact graduates. Thinking. FAIM anditslocalchapter semi-annuai copes,keep Yourparticipation will yourcircleoffriends l\,48A and informati0n updated withus.Callthe expand and AAAIM. thehostbatches AIM EMAII.FORWARDING theAll\,4 Alumni Belations FoBUfE {Efrl All\,4 Aiumni Relations officeat colleagues andkeepyouconnected MIV1984. 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