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Building Relevance Delivering Value BUILDING RELEVANCE DELIVERING VALUE ANNUAL REPORT 2019 VISION To lead the business sector’s efforts to reduce poverty in the Philippines MISSION PBSP is committed to poverty reduction by promoting business sector leadership and commitment to programs that lead to self-reliance .................................. About PBSP Philippine Business for Social Progress is the largest business-led NGO at the forefront of strategic corporate citizenship and business sector leadership, contributing to sustainable development and poverty reduction. Established in 1970, PBSP remains a consultant and partner of choice of companies and donors. PBSP scales up impact by adopting the Collective Impact strategy to solve large, complex, and systemic problems. PBSP organizes Platforms for Collective Engagements (PlaCEs) to ensure alignment and sustainability of initiatives by multiple stakeholders. Responding to the changing landscape of Corporate Social Responsibility (CSR), PBSP’s brand of corporate citizenship taps into the core business competencies of companies and promotes inclusive business as a strategy. PBSP also continues to strategically engage companies through social investment, responsible business practices, and philanthropy. PBSP creates sustainable solutions to societal problems in its core program areas which are Health, Education, Environment, and Livelihood and Enterprise Development. It also provides off- the-shelf options for engagement of companies and their employees. With a proven track record, PBSP provides end- to-end services in development consulting which include project and grants management, events and backroom management. www.pbsp.org.ph .................................. About the Cover On the cover are building blocks bearing the icons of the flagship programs of PBSP in health, education, environment, and livelihood. The blocks symbolize the continuing commitment of the organization to give relevance and deliver value to our members, donors, partners, and beneficiaries whether through our own initiatives or our various engagement platforms that aim to involve stakeholders towards working together on the shared mission of poverty eradication. Building Relevance 2 Delivering Value STATEMENT OF COMMITMENT PRIVATE ENTERPRISE THE MOST VALUABLE RESOURCE THE GROWTH AND VIGOROUS by creatively and efficiently utilizing capital, in any country is the person. The higher development of private enterprise must be land, and labor, generates employment purpose of private enterprise is to build anchored on sound economic and social opportunities, expands the economic social and economic conditions, which shall conditions. capabilities of our society, and improves the promote the development of the person quality of our national life. and the well-being of the community. PRIVATE ENTERPRISE PRIVATE ENTERPRISE PRIVATE ENTERPRISE, must discharge its social responsibility is financially and technologically equipped together with other sectors of society, shares towards society in a way which befits its to participate actively in social development. obligations and responsibilities, which it unique competence. It should involve itself In terms of scientific technology and must discharge to the national community. more and more in social development for managerial competence, private enterprise The ultimate objective of the private the total well-being of the nation. can help provide the total approach for enterprise is to help create and maintain social development in our depressed in the Philippines a home worthy of the communities. dignity of the person. THEREFORE, To better fulfill its social responsibilities, private enterprise must earmark a portion of its income for social development. We hereby declare our commitment to Philippine Business for Social Progress, which shall be private enterprise’s social development arm dedicated to the empowerment of the poor and self-reliance of communities. PBSP MEMBER COMPANIES Building Relevance 4 Delivering Value Annual Report 2019 5 TABLE OF 02 CONTENTS MISSION AND VISION 10 11 13 YEAR AT A GLANCE APPROVED FINANCIAL CHAIRMAN’S MESSAGE ASSISTANCE 18 32 38 CORPORATE ENGAGEMENT AREA-BASED ENGAGEMENT PLATFORMS COLLECTIVE IMPACT 58 107 109 FINANCIAL STATEMENT TOP 20 DONORS THE BOARD OF TRUSTEES Building Relevance 6 Delivering Value 03 04 08 STATEMENT OF PBSP OUR NATIONAL REACH COMMITMENT MEMBER COMPANIES 14 15 17 PRESIDENT’S MESSAGE REGIONAL COMMITTEE EXECUTIVE DIRECTOR'S HEADS’ MESSAGE REPORT 46 56 57 GRANTS MANAGEMENT TREASURER’S REPORT AUDIT COMMITTEE REPORT 112 113 116 OFFICERS AND BOARD YOUR PBSP TEAM LIST OF DONORS COMMITTEE HEADS AND MEMBERS Annual Report 2019 7 YEAR AT A GLANCE 263 Member-Companies 97.37 Contributions from PBSP member-companies (PhP millions) 2,005.40 Grants and contributions from donor agencies and non-member-companies 336.93 (PhP millions) Grants and financial advances approved (PhP millions) 1,986.94 Grants and financial advances disbursed 160.00 (PhP millions) Development loans for MSMEs disbursed (PhP millions) 101 New projects approved 89,214 Families reached Building Relevance 10 Delivering Value APPROVED Financial Assistance BY ASSISTANCE TYPE BY FUND SOURCE 160.00 7.76 Development loans Unrestricted 176.93 329.17 Grants Restricted BY PROGRAM TYPE 13.24 45.83 35.21 78.89 LIVELIHOOD & HEALTH EDUCATION ENVIRONMENT ENTERPRISE DEVELOPMENT DEVELOPMENT INSTITUTIONAL FINANCE GOVERNANCE SUPPORT 160 3.69 0.075 Annual Report 2019 11 MESSAGES Chairman’s MESSAGE he 2018-2019 fiscal year of PBSP It is a transformation that began with an In adopting the strategy of Collective Impact, has been filled with both small and introspective look into our raison d’etre. we were able to bring integrated, holistic, and T significant triumphs that paved We aim to know how we can be truly mutually reinforcing initiatives to strategic the way for the organization to fulfill its relevant, strategic, and effective amidst geographic areas such as the Marikina mandate, accomplish its goals, and set the today’s rapidly-changing world. We Watershed, Buhisan (Cebu) Watershed, and benchmark of excellence for the years to have defined a roadmap of change that the Bangsamoro Autonomous Region in come. would truly build and strengthen PBSP’s Muslim Mindanao (BARMM). MESSAGES capacity. This positive change will also help As the largest business-led organization us position ourselves as a potent force in But while we take pride in our with a mission to eradicate poverty, we engaging different stakeholders, as we accomplishments, we also know that for an work unceasingly to create a more inclusive continue to combat the social problems organization to remain relevant and continue Philippines. PBSP has embarked on a that we have today. PBSP takes on different to deliver value, we should perpetually look transformational journey to build and roles – Convenor, Fund Manager, and for opportunities to innovate and improve our sustain our relevance, and more importantly, Implementor of Programs – to deliver value ways. As PBSP marks its 49th year in service, to deliver value to our members, partners, and achieve greater impact to society. we have gone into a strategic review of our donors, and partner communities. systems and processes to better serve our As a Convenor, we provide excellent members, partners, donors, and beneficiaries. platforms for our members to work with As we prepare for the second half of our life as the academe, companies, government a social development organization, we aim to agencies, and other stakeholders such as be more responsive to the needs of the times. the Water Alliance, Philippine Partnership for Sustainable Agriculture, and the Zero Poverty cannot be eradicated if we will not Extreme Poverty Alliance. This gave our leap towards more efficient and effective members the opportunity to work on interventions. Collaborative efforts between critical issues such as water security, organizations with active engagement from sustainable agriculture and food security, the marginalized sector can properly direct us inclusive business, and extreme poverty. to the right solutions. Together with the whole organization, I would like to invite you to affirm As an Implementor, we have delivered value your commitment to fight poverty through to our members and partners through PBSP. effective leadership, management, and implementation of various As we take the Road to 50 Campaign, the projects that provided sustainable activities that we have lined up will not just solutions to health, education, be about the celebration of our half-century environment, and livelihood service and commitment to the Filipino. It will concerns of different Filipino also serve as impetus and inspiration in our communities. War vs Poverty in the country. Let us then, in simple terms, continue to work together in As a Fund Manager, we have improving lives and welfare. efficiently and prudently managed our donor grants for Tuberculosis (TB) control, educational support interventions, women and youth empowerment, and capacity building for peace education and MANUEL V PANGILINAN development. Chairman of the Board Annual Report 2019 13 President’s MESSAGE he cycle of poverty continues to affect millions of Filipinos including the younger generations. In the Poverty Statistics Report of the T Philippine Statistics Authority (PSA) for the first semester of 2018, one out of every five Filipinos comes from a poor family. Low income and limited job opportunities hinder millions of Filipinos from providing for their
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