The agriculture growth of 1.1 percent and 1.9 percent in 2013 and 2014 can be improved with a globally recognized and proven management system. Agriculture Secretary Proceso Alcala can leave an important legacy of institutionalizing such a system at the Department of Agriculture (DA).
President Aquino should be commended for his successful fight against corruption and his government’s unprecedented economic gains. But inclusive growth has not been attained. In addition to fighting corruption, commitment and capacity should be enhanced to combat poverty.
At the DA, Alcala has taken steps to fight corruption. His commitment to help small farmers and fisherfolk is demonstrated by his frequent meetings with them. However, his directions are not fully implemented because many DA units lack the capacity to translate these directions into actuality.
Alyansa Agrikultura president Arsenio Tanchuling, concurrent budget committee co-chair of the Philippine Agriculture and Fisheries Council (PAFC), said: “We responded to P-Noy’s statement: Ikaw ang boss ko. But the DA could not take action on our recommendations because it lacks the capacity to do so effectively.”
The Merriam Webster dictionary defines “capacity” as “fitness” or “facility to produce, perform or deploy.” There are many capable people at the DA but as a whole, it is not yet fit, nor does it have the facility to perform at the level required for inclusive growth.
For example, given its 2014 budget of P70.2 billion, the DA has identified and obligated P55.5 billion (79 percent). It did not release how much of it has been given out to projects or beneficiaries, nor how much has been liquidated. There is also the question whether the money produced the intended results.
The law provides for a public-private sector PAFC (formerly NAFC) to monitor the DA budget use. The PAFC budget committee was formed under the current administration. But when Tanchuling said this committee could not do its job properly because it had not met for one year and three months, the DA consented to hold regular meetings.
When a committee member wanted to know the results of a DA investigation on budget misuse during the alleged Napoles pork scam, a DA official said: “Let’s not discuss this, because it is only politics.” When this member argued it was PAFC’s duty to look into this, the official said it would be done later. Up to now, nothing has happened. This is because there is no management system that systematically requires the DA to respond to such situations.
According to an ISO publication: “ISO 9000 is a series of standards developed and published by the International Standards Organization (ISO) that define, establish, and maintain an effective quality management system.”
When I helped introduce ISO 9000 to the Philippines in 1988 with the support of then Trade Secretary Joe Concepcion and Director Rene Navarrete, it proved to be a major factor in boosting our exports. This is because most importers from other countries would not buy our products if they were not produced by ISO-certified organizations. The ISO seal is regarded as a badge of quality.
Some DA units such as the Bureau of Agriculture Research have secured this certification. BAR Director Nicomedes Eleazer said: “Since BAR became ISO-certified, it has become a much more effective organization.”
Unfortunately, most DA units do not have this certification. For those that do, they are subjected to an annual review by an independent ISO 9000 assessor in order to keep their certification. It is this periodic review, devoid of politics, that keeps ISO certified organizations constantly following this globally recognized management system. Otherwise, their certification will be withdrawn.
ISO 9000’s self-monitoring feature automatically identifies successes and failures, including deviations due to corruption. The Department of Budget and Management should keep close watch over this, so it can increase or decrease the budget for the appropriate DA unit.
There are very few ISO 9000 certified units at the DA. It is hoped that Alcala will leave an important legacy of institutionalizing a management system that will improve the capacity of the DA to deliver its services effectively and efficiently. It will also provide the next administration with a system so that, regardless of who takes over, ISO’s self-monitoring feature will make it hard for unscrupulous people to take advantage of the farmers and fisherfolk.
If this is not done, the DA will continue to be limited because of its inadequate capacity to serve our people at the level necessary for inclusive growth. It will also open the doors for the next administration to possibly misuse the huge DA budget because there will be no effective management system in place.
(The author is chair of Agriwatch, former Secretary for Presidential Flagship Programs and Projects, and former Undersecretary for Agriculture, Trade and Industry)