Shared prosperity as a Filipino way of life

The Management Association of the Philippines (MAP) is determined to make a difference in the life of the nation. Among its five major pursuits in 2024 is Shared prosperity (SP), a deeply relevant aspiration in a country where 47 percent of families said they felt poor (Social Weather Stations, December 2023).

Execution, as a pivotal element of relevant leadership, is key to the success of MAP. Rene Almendras, MAP president, highlighted this point when he said, “We are asking all committees to discuss their charter, purpose and a maximum of three programs or projects that they will commit to this year.”

Rex Drilon II, a MAP governor and the governor in charge of the MAP Cluster on ESG (environment, social and corporate governance) and SP, is bringing talk about SP down to the level of individual execution. Recently, he released a sample personal charter and balanced scorecard for every Juan de la Cruz who wants SP to be a norm of Philippine society.

In the matter of dreaming for the nation, Drilon identified five conditions for success. He wrote, “We need an effective and efficient government that delivers, ethical and servant leaders who serve, sustainable businesses that share their prosperity, civil society that manifests and promotes the interests and will of the citizenry and responsible citizens who get involved.”

In each of these five conditions, SP is a required value. It is not up to business alone to instill SP in the consciousness and practices of every Filipino. If selfishness dominates politicians, civil servants and other sectors of society, we will live in a country of wanton greed instead of SP.

De La Salle University business professor Ben Teehankee chairs the MAP committee on SP. The committee seeks to infuse the business community, through the MAP members, with values and practices associated with SP. Teehankee teaches a course on how companies and foundations can prosper based on SP. Central to this course is the importance of people and individual contribution to enterprise excellence.

Diwa and kapwa

In a MAP Summit on SP in 2023, a presentation on the Diwa-Kapwa (DK) organizational model showed how it makes eminent sense to invest in people as the primary asset of the company.

There is a clear line of sight from investments in people to achievement of market superiority. This strategic path consists of three elements: personal growth, productivity and progress. Personal growth translates into increased worker productivity which, in turn, enables the progress of the company. The DK organization is rooted in the Filipino culture. It resonates in the minds and hearts of the entire workforce because of this rootedness.

Sonny Coloma, a scholar of people management and former AIM professor, wrote a book on diwa. He defines diwa as spirit and uses case studies of Human Nature, Bangko Kabayan and the Center for Community Transformation to describe the workings of spirit-led organizations in the Philippines. Other companies that stress diwa include Mary Grace Cafe and Piandré beauty salon.

Leaders of spirit-led organizations put a premium on virtuous behavior, including caring for each other. Virtuous behavior increases the spiritual capital of the company and causes an alignment of goals among the management and workers, thereby magnifying organizational effectiveness. The symbiosis leads the company to an abundant harvest of intelligence, cohesion and integration.

The kapwa factor possesses three dimensions: pagpapakatao (developing oneself based on a shared identity with others), pakikipagkapwa-tao (interacting with another based on a shared inner perception) and pagkamakatao (relating to the community based on a shared humanity). This definition of the kapwa factor is supported by the research of the late Virgilio Enriquez, a University of the Philippines professor and founder of Pambansang Samahan sa Sikolohiyang Pilipino.

In a kapwa company, the kapwa factor serves as the processor of all inputs to the company’s system. The output is a meaningful life for every member of the organization. Meaningful lives overflow with creativity. This creative impulse feeds innovations and continuous improvement, a process that enriches the company’s coffers.

The Kapwa factor is behind the success of companies such as OneGlobe, a technology company; Pandayan Bookshop, a retail chain; and Palawan Express, a network of multi-service pawnshops.

3 DK practices

The conceptual foundations of the DK Organization are brought to life by DK practices. Here is a glimpse into three practices.

1) Have a vision for employees. Companies are often guided by vision and mission statements. Apart from these statements, a DK Organization actively pursues a vision for the lives of its workers. The vision may be tacit or expressed. In Pandayan Bookshop, the dream for employees has five prongs. Every regular employee sooner or later should own a house and lot; send children to good schools; eat nutritious food; wear decent clothing; and experience leisure travel once in a while. An annual survey monitors the pursuit of this dream. The tangible achievement of the dream encourages employees to reciprocate and help realize the corporate vision, knowing that the company’s success is tantamount to their own success in life.

2). Deploy ‘Workplace System 5’. What type of workplace elicits performance excellence? There are five elements to such a workplace: good pay, fair treatment, meaningful work, happy relationships and a bright future. Delight in the company is the outcome of Workplace System 5. A healthy retention of employees produces a wealth-generating core that is rich in experience, knowledge, trade skills and dedication.

3) Empower employees for productivity. A systematic method of employee empowerment consists of five Es: enlist the right employee; equip the employee with the right knowledge and tools; elevate the employee to the right position; energize the employee with the right recognition and rewards; and encourage the employee to take risks in the service of the customer. The fruit of employee empowerment is sustained peak performance.

Conclusion

Relevant leadership is a demanding role. Building a progressive future of SP throws the gauntlet at entrenched habits that perpetuate a skewed economy and poverty for many. The DK Model is a pro-business paradigm that can galvanize the search for SP in all of Philippine society. INQ

The author is a member of the MAP Shared Prosperity Committee. He is the managing director of Pandayan Bookshop. Feedback at [email protected] and [email protected].