Sunday, February 12, 2023

The challenge is to be “dynamic” and “principled.”

If Juan de la Cruz is to move from “know it all” to “learn it all,” he must embrace dynamism yet be principled.

But is that too high a mountain to climb?

Consider: We are parochial and insular. We value hierarchy and paternalism and rely on political patronage and oligarchy; ours is a culture of impunity.

“The Philippines ranks 116th out of 180 countries in the global corruption index. Transparency International included the Philippines again in the list of countries identified as “significant decliners” in Asia-Pacific, with its score dropping five points from 38—the country’s highest—in 2014 when it ranked 85th out of 175.

“What that means is that our country is among the most corrupt in the world, not that we have posted a significant decline in corrupt activities in our bureaucracy.” [“No significant decline in corruption levels,” Ernesto M. Hilario, About Town, manilastandard.net, 3rd Feb 2023]

In other words, we will attract not the desirable FDIs and technology but harmful foreign elements. Think “mafia” types living next door. Then think how we, in the Philippine elite and chattering classes, would turn a blind eye to EJKs. God bless our souls. God bless this country.

On the other hand, the private sector, represented by MAP, continues to do its thing. Being from the private sector, I am elated.

“In the Edelman Trust Barometer today, “business” is the most trusted element in society. The reason is that people have given up on politicians who seem to be out for themselves and gridlocked. Most top-ranking politicians are in their 70s and 80s and unfamiliar with what people need. I think people are looking to businesses to help solve problems like climate change, healthcare, income inequality, food shortages, and supply chain.

“Government is not set up to deal with those things. They can pass laws but can’t address them, so everyone’s looking to business. That’s the challenge for today’s leaders: if they don’t address today’s problems, they won’t be good leaders, I can tell you.” [“Author Talks: Bill George sets a course for ‘true north,’” McKinsey, 15th Sep 2022; George is Harvard professor and former Medtronic CEO]

“MAP today has solidified its standing as a professional, impartial, and independent organization whose advocacies extend beyond its mission to achieve management excellence.

“We initiate, support and reinforce in multiple platforms to influence changes for the better. During its strategic meeting, we committed to working on crafting and implementing a two-pronged strategy to significantly contribute to this objective: by (a) bridging and enhancing the internal fundamentals and (b) harnessing our collective strengths to help in building a national future in shared prosperity.

“Our 2023 theme is “Bridging and Building a Progressive Future.” That will guide our directions and activities for the year. We mapped out six priority programs aptly embodied in the acronym B R I D G E: (1) We keep Bridging our internal strengths; (2) Focus on Resilience and recovery; (3) Initiate and welcome Innovation; (4) Advocate Diversity, equity, and inclusion; (5) Make a strong push for Growth and people development; (6) Base our actions on what can contribute to the environment, social and governance goals.

“These priority programs integrate the significant concerns of our members gathered from the responses in a quick survey in November. The results identified the Top 10 issues ranked according to priority. We duly noted that (1) ease of doing business remains to be the top concern, followed by (2) economy, (3) energy, (4) climate change, (5) competitiveness of local industries, (6) education, (7) agriculture, (8) infrastructure, (9) environment, social and governance goals and (10) dealing with local governments.

“Ciel Habito, the former secretary of NEDA under the Ramos administration, heads the Cluster on Resilience and Recovery. His group will persistently pursue the eight-point MAP recommendations that MAP submitted in 2022 to the then-incoming administration.

"To provide inputs to our members on the business horizon, we will hold an economic briefing. We feel that we can enrich the context of economic prospects if we can identify investment opportunities we can take advantage of to expand our markets.

“This year, therefore, we will introduce an innovation of twinning the briefing on the economy with an investment campaign scheduled within the first quarter of the year. The pursuit of this initiative is in partnership with the Department of Trade and Industry.”

Recall that my former Fortune 500 company chose me to be the regional manager over my Asian peers because we Filipinos were more sophisticated in business and industry than our neighbors. Recall, too, that I was indolent as a student. But I have been exposed to modern business in the Philippines through five different sectors.

Sadly, we didn’t demonstrate their dynamism. Yet they’re not perfect.

The challenge is to be “dynamic” yet “principled.”

Let’s hold it right there.

Recall that the blog never tires of speaking to humankind being a subset set of this universe in constant motion and expansion.

The blog asserts that democracy is the mirror image of Christianity, i.e., the imperative of personal responsibility to pursue the common good translates to “love of neighbor.”

Yet, we don’t have to reinvent the wheel because we witness the photosynthesis phenomenon 24/7, i.e., interdependence is the law of nature.

Humankind is about thriving in this world. Juan de la Cruz is beyond survival.

In other words, we must overcome the shortsightedness that defines Juan de la Cruz. And the mantra of “inclusion” is a classic example. It is insane. Yet, it is logical, given our caste system.

The bottom line: Our neighbors turned us from the basket case of Asia and then the perennial laggard – because we did not demonstrate their dynamism.

But do we see the door opened for us? Our neighbors aren’t perfect. But we must demonstrate dynamism to get through this open door.

How do we translate that in the “real world”?

Here’s a quote from an earlier posting: I dipped my toes in the “call center” industry per my promise to a friend (who runs an enterprise.)

At the end of a two-day business review, I shared my impressions, “Be close to the trees, but don’t miss the forest.” Long story short, I challenged the team to “double the business.” Several weeks ago, I shared with them a GPS model – to guide them in their planning session: Where are you; Where do you want to be; How will you get there?

I had asked for the character of the nut that the team had to crack, especially the target market and its size and the best-in-class competition – the superiority they demonstrate, from the product architecture to the length and breadth of the customer experience.

Philippine enterprises – like our economy – are still minuscule. The only way for them to thrive globally is to scale up.

Yet, scaling up is not in our lexicon. And it comes from our caste system where [the concept of] “scale” is beyond Juan de la Cruz and is the privilege of the hierarchy – as in an oligarchy. 

Our worldview is between “privilege and entitlement.”

Consider: BOI reported adopting the Pareto principle to focus on “big ticket” items. That was after Mr. Ramon Ang shared his Bulacan initiative, which would generate $200 billion in export revenues beyond the Bulacan airport — and negate the advantage of our neighbors. And as the blog raised, we can include agribusiness under the Bulacan umbrella.

We cannot hold to the sacredness of the 6%-7% GDP growth metric if we want to be ahead of the curve in energy development, being imperative in leapfrogging industrialization, for example.

That’s why the blog never tires of distinguishing (a) logical yet linear and incremental thinking and (b) forward, lateral and creative thinking. 

And that is why the Ang initiative must be a driving force in our journey from poverty to prosperity, as well as the shift in the BOI direction. And note that I challenged my BPO friends to double their business.

What we must learn and want to claim is dynamism. We don’t want the world to keep leaving us behind.

Said differently, we must pursue the sectors of the economy, be it agriculture, manufacturing, or service, knowing full well that whatever industry we focus on must generate the equivalent of the vital few. And that means we deliver against the metrics of innovation and global competitiveness.

The challenge is to be “dynamic” yet “principled.”

“The traditional model of the leader-hero who saves the day knows it all, is the most intelligent person in the room, and is too often driven by power, fame, glory, or money is not appropriate in today’s environment. That is true for several reasons: Today’s fast-changing, complex, and unpredictable environment necessitates a different kind of leadership. Nobody can claim to have all the answers to solve the complex crises we’re facing, and the most adaptable organizations are those in which decisions are decentralized.

“With the idea that a company’s purpose is far more than making money and gaining ground, the hard-charging, profit-optimizing hero-leader model has lost much of its appeal.

“An increasing number of employees now value authenticity and connection over a facade of strength and infallibility. The nature of work has changed from the more mechanical, repetitive type to jobs that require ingenuity and creativity.

“Successful hero-leaders can easily start believing that they’re untouchable and, ultimately, indispensable. It’s easy to be seduced by power, fame, glory, and money. It’s easy to become disconnected from reality and colleagues, surrounded by sycophants and “yay-sayers.”

“Unsurprisingly, people today expect a different kind of leader.” [“5 Principles of Purposeful Leadership,” Hubert Joly, Harvard Business Review, 6th Apr 2022]

“Rightly or wrongly, ‘ethics’ often has a connotation of right and wrong. ‘Values’ tend to be idiosyncratic to individuals and organizations. Values can and should differ among organizations, and there is no right and wrong, per se. ‘Principles’ are more actionable rules of conduct that inform decisions, and those principles are particular to a person or a company.

“Principles are tradeable currency. We can write them down, debate, prioritize, dismiss, or adopt them. By clearly articulating a principle — “It's always wrong to lie to customers” or “Social media companies are responsible for all their users’ content” — it’s easier to step back and look at the idea objectively. Where might the “principle” help guide a decision? Are there situations where that principle is less important than a conflicting principle, or do principles need to evolve?

“None of this is to say that the terms “ethics” and “values” must be out of discussions of entrepreneurship, but rather that the concept of “principles” can give students a tool to approach complex decisions without presupposing a universally correct answer or ethical system.” [“Teaching Principled Entrepreneurship,” Luke Sykora, Stanford University, 23rd Oct 2019; https://ecorner.stanford.edu/articles/teaching-principled-entrepreneurship/]

Those familiar with the blog may recall that when my wife and I arrived in Eastern Europe, I anchored their introduction to the free world: Freedom, democracy, and the free market are not about rules but principles.

Yet, the above articles would still speak to the American experiment – because “principles are tradeable currency.”

Recall the 41 men on the Mayflower that left the Old World for the New World. Despite the instincts for everyone to be for themselves, man, woman, and family, this group of men realized why they sought the New World in the first place. And so they committed to pursuing the common good via self-government, which presupposes personal responsibility.

And they became the model of freedom and democracy despite the countless times they tripped themselves. And they again stumbled; fast-forward to the present.

Why? The pursuit of the common good is not about being conservative or progressive. The latter are values, not principles per se. See above; principles are tradeable currency, while values presuppose a universally correct answer or ethical system.

Conflicting principles, on the other hand, need to evolve. It’s what dynamism is because “reality” is beyond any human experience or system, to paraphrase the late George Gorospe, SJ.

It applies to the principle of interdependence being the law of nature. And why freedom-loving people and nations commit to pursuing the common good. It is what humankind learned after two great wars to prevent the third. It is not a claim of perfection, thus not the choice between evils, but the personal responsibility to seek the common good.

If Filipinos struggle to figure that out, we should not feel inadequate. Even Americans are in awe of the commitment of the Ukrainians to freedom and democracy.

The challenge is to be “dynamic” yet “principled.”

Recall that the blog never tires of speaking to humankind being a subset set of this universe in constant motion and expansion. Do the elements of cognitive development come to mind? Beyond binary thinking, there is multiplicity and relativism – the imperative of context.

Maharlika is just one of the zillion times we tripped ourselves. Why? We take context for granted.

Yet, we don’t have to reinvent the wheel. We don’t want to envy Singapore or Norway. We want to be a first-world economy and nation.

One more time with feeling. We want to be a first-world economy and nation.

That is the “context,” not Maharlika. When we have internalized the context, we can think laterally and creatively to figure out many ways to get there. But we must prioritize and then connect the dots into an ecosystem.

If we are to reinvent Juan de la Cruz, how do we relate that fundamental given to the home, the school, the community, or the church? For example, the late George Gorospe (SJ) lamented that we could teach the young about “reality” – that it is beyond any human experience or system – yet as a people, we won’t internalize it given the home, the work setting, and the “community-at-large” live by our instincts, our caste system. 

We are parochial and insular. We value hierarchy and paternalism and rely on political patronage and oligarchy; ours is a culture of impunity.

How do we overcome our instincts? Should we start with reinventing Philippine education? As a freshman, I remember the introduction to the modern math concept of sets and subsets in Math 101. 

But how should we pull together the fundamental givens as a bridge between the academic and the “real world”?

“Tito, we learned how to be entrepreneurs in the school and then exposed to the real world, including overseas.”

A nephew and two friends attended Enderun Colleges and found themselves overseas because the school curriculum included stints with the world’s greatest chefs. Today their restaurant has been featured by Tatler a couple of times, being among the top dining places in the country.

“I know it is difficult to look far ahead, but having a small flowchart in your head would be nice. As someone who owns a restaurant braving the pandemic, don’t only focus on cooking or what happens in the kitchen. There’s more to it than that. 

“Be logical with your decisions, and if you can manage the risks of your choices, then do it. You are not alone – you have a team, and you work with that team together as a family. You have a sea of responsibilities; let your team help you navigate. They have your back, and you’ve got theirs. Don’t be a superstar.” [Running A Restaurant During The Pandemic: Alphonse Sotero Of Lampara Speaks Out | Tatler Asia]

Recall the Vietnam Food Association. That is how they cut the many layers in their agribusiness industry. For example, farmers voluntarily join the association and do not need intermediaries. 

Question: If UP Los Baños will lead the reinvention of Philippine agriculture, should we adopt the Enderun model so that students learn how to blaze the trails for our farmers?

What about UP Engineering? Should they learn why the EPZA export zones model is not the way to go to be globally competitive? Should they have stints overseas to learn from the Asian Tigers, for example? 

How do our engineers learn and internalize the reality of Pareto? What about our economists?

How do we overcome our instincts? How do we reinvent Philippine education? 

We must be close to the trees but not miss the forest. 

We must be great analysts but must master analytics. It is about forward, lateral and creative thinking.

If innovation is beyond R&D, and nation-building beyond Economics, we must now pull neuroscience into our journey from poverty to prosperity. 

Twelve Researchers Recognized At Philippines Promising Star Awards 2016 - Asian Scientist Magazine.” “The Philippines Promising Star Awards 2016 recognizes researchers of Filipino nationality based in the Philippines who have produced world-class research papers in their respective fields as indexed in the Web of Science Core Collection.

“The recipients represent nine broad fields spanning social science, computer science, clinical medicine, plant & animal science, neuroscience & behavior, economics & business, molecular biology & genetics, materials science and environment/ecology.”

These Filipino scientists’ challenge is adding value to our nation-building efforts. In other words, we can’t be too close to the trees that we miss the forest.

Consider: “Currently, PEZA oversees 421 ecozones hosting 4,346 locators. The ecozones have generated a total of 1.8 million direct jobs. PEZA is confident it will achieve its 10% investment growth target for 2023.” [“PEZA sets launch target of 1-3 ecozones a year,” BusinessWorld, 9th Feb 2023] 

In other words, because of the sacredness of the 6%-7% GDP growth metric, we are proud to see investment grow by 10%. 

“Scaling up” is not in our lexicon – because we mistake the academic world for the “real world.” And we can’t shake off the crab mentality.

The challenge is to be “dynamic” yet “principled.”

If Juan de la Cruz is to move from “know it all” to “learn it all,” he must embrace dynamism yet be principled.

But is that too high a mountain to climb?

Humankind is about thriving in this world. 

Juan de la Cruz is beyond survival.

Gising bayan! 

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