Local Economic Enterprise of Braulio E. Dujali:A Case Study
Total Page：16
File Type：pdf, Size：1020Kb
International Journal of Research and Innovation in Social Science (IJRISS) |Volume V, Issue V, May 2021|ISSN 2454-6186 Local Economic Enterprise of Braulio E. Dujali: A Case Study Romalie F. Galleto, MSDeA Graduate School of Business, University of Southeastern Philippines Abstract-R.A 7160 or the Local Government Code of 1991 led to Development Planning (IDP) for urban renewal initiatives. the creation of local economic enterprises whose major purpose LEEs are presented as a game-changer, one which would is to augment the income of LGU and at the same time support assist in growing local economies, creating jobs, and the needs of its local populace. This Case study aimed to alleviating poverty, all three of which the country urgently determine and compare the management practices in the required to address through inclusive, locally-based, and implementation of the local economic enterprise (LEE) program of the Municipality of Braulio E. Dujali with respect to the policy owned economic facilities[14]. framework of the LGC of 1991using primary and secondary In the Philippines, the National Economic and Development sources. Descriptive-narrative analysis by Reissman (2008) was Authority (NEDA) recognized the need to conduct further used to analyze the data. Braulio E. Dujali is managing three (3) studies about the role of micro, small and medium enterprises economic enterprises; the Public Market, the Slaughterhouse, and the Public Terminal. Results showed thatin the operation, (MSMEs) in local development. One of their research agenda LEEO ensures quality and people management through weekly for 2017-2022 is to review or study the potential financial regular monitoring. In the marketing aspect, one of their means package of micro, small and medium enterprises (MSMEs) in for market sustainability is to encourage potential investors, both line with the ninth agenda which is "Expanding Economic local and non-resident of the municipality. In the financial Opportunities in Industry and Services". It is for this reason aspect, the LEE office of Braulio E. Dujali is already financially that studies about the role of LEEs and other government- self-reliant section which means that the expenses in owned businesses have come to emerge. maintenance and operation, including the salaries and wages for their personnel, are already taken from their generated income. In Davao del Norte, Braulio E. Dujali is classified as a fourth- Furthermore, the result also pointed out that there is a gap class category[16]. However, by means of enacting the between the implementation of the LEEs and the framework of Municipal Ordinance number 2017-201, the Local the DBM- LEE Manual. The lack of manpower resources, small Government Unit (LGU) was able to establish the Local number of customers, and tenants' inability to pay are three of Economic Enterprise to synchronize with the development the major challenges they encounter. The need to come up with a 5-year business plan (BP) is key to address these challenges. framework of Davao del Norte in compliance with the Philippine Medium Term Development Plan. The Project was Keywords: Local Economic Enterprise, DBM Manual, Operation, one of the top priorities of the present administration and Marketing, Finance considered to be one of the biggest factors that will contribute I. INTRODUCTION to the task of boosting the economy in the locality. They foresee that LEEs will open an avenue for the LGU to roviding the minimum basic needs of the constituents is strengthen more links with other business entities and attract P one of the many challenges of all local government units. more investors which later on become the means to improve Though in fact, annual appropriation can provide some the socio-economic condition of the people in the locality. programs and projects that help the local governments fulfill Hence, it is deemed important to determine the management this obligation, the thing is that LGUs find it hard to sustain practices of the Local Economic Enterprise (LEE) office of and maintain it. Thus, the idea of enterprising comes in. In Braulio E. Dujali since LEEs play a vital role in the pursuit of providing and sustaining the minimum basic needs development of the local economy. of the people, local governments created the local economic enterprises to provide services to the people while earning at Statement of the Problem the same time. Given the fact that Braulio E. Dujali is In a fourth-class municipality like Braulio E. Dujali where classified as a fourth-class municipality, it is necessary to there is a limited number of revenue-generating units, it is determine the management practices in the implementation of necessary to determine the Local Economic Enterprise their Local Economic Enterprise in order to assess whether or management practices as viewed by the implementers in order not the LGU can fulfill this obligation. to identify which among these practices are considered as LEEs focus on enhancing local competitiveness, increasing helpful to the LGU in terms of the implementation of their sustainable growth, and also ensuring that this growth is Local Economic Enterprise Code. Specifically, it sought to inclusive[6]. In the case of Mandela Bay Development answer the following questions: Agency in Mandela Bay Municipality in South Africa, they 1. What is the profile of the local economic enterprises in included local economic enterprises in their Integrated Braulio E. Dujali? www.rsisinternational.org Page 397 International Journal of Research and Innovation in Social Science (IJRISS) |Volume V, Issue V, May 2021|ISSN 2454-6186 2. What are the LEE management practices in Braulio E. and of the Island Garden City of Samal (IGaCoS) which Dujali in terms of: enabled the province to earn a total combined income of P32.5 a. Operations; million from the three provincial hospitals in 2012, exceeding b. Marketing; and their projected target by 125 percent and in effect, allowed the c. Financial Self-Reliance? office to attain financial independence during its first year 3. What are the gaps between the implementation of LEE in alone, particularly in paying the maintenance and other Braulio E. Dujali and the guidelines provided in the operating expenses of the hospitals (Pelone, 2014). Hence, the DBM- LEE manual? LEEs appear to have been developed along with other forms 4. What are the challenges and opportunities in the of services delivered by the local government units[3]. implementation of the LEE Quality and People Management Through Monitoring and Evaluation II. REVIEW OF RELATED STUDIES AND LITERATURE A major aspect of local administration that is used as means to The Local Economic Enterprise effectively attain self-reliance is through the delivery of public Local Economic Enterprises are government-owned services and local economic enterprises[4]. The LGUs are businesses established for the purpose to augment the local granted the powers and authority to undertake necessary ways income while at the same time provide basic services to the to carry out the mandate of the Local Government Code in people[7]. Hence, LEEs are meant to be self-sustaining. attaining self-reliance. Although some LEEs generate lesser income than others, all To ensure the quality of the services provided by the LGUs are considered vital because all LEEs are providing services through public enterprising, the concept of decentralization and goods needed by the people, and that makes their role as must be upheld. Many countries consider their local important as other public services[5]. government as a fundamental unit accountable for economic From traditional LEEs that provide municipal services like development. South Africa for example has embarked on a markets, slaughterhouses, cemeteries, and water services, comprehensive overhaul of local government to democratize today's LEEs include enterprises that produce goods and municipalities, address a massive disparity of service services that are generally offered by the private sector like provision, and gear services towards overcoming poverty shopping malls, buildings for lease, hotels, and recreational through growth and economic development[6]. The enormous facilities [11]. efforts by their democratic Government since 1994 focus on developing a new policy framework for steering and planning In some cases, local enterprising is not only limited to the transformation process that is anchored in their infrastructure and facilities, it can also be a program or a Reconstruction and Development Program (RDP). It reiterates platform[6]. Take for example what happened in the province that establishing a competitive fast-growing local economic of Eastern Cape in South Africa. The municipality of enterprise will create sufficient jobs for the local people Statturheim consisted of a majority of the black population. especially for women and improve their economic However, they were able to establish trust and peace between competitiveness only when the quality of services delivered the communities of white people by establishing the through public enterprises is properly managed. "Satturheim Development Foundation” and it was operated as a local social enterprise under the local government of Market Sustainability Satturheim. Through this, a local partnership which is owned The roles of Micro, small and medium enterprises such as and controlled by representatives from both communities, the LEEs, are deemed vital to foster economic stability in the black and white, was able to promote local economic Philippines[19]. In the local setting, Local Economic development by means of conducting series of training and Enterprises characterized these roles by strengthening the skills development (e.g., carpentry, masonry, and other capacity of local government to provide services in a viable building construction related skills) among young people to and feasible manner[21]. LGUs are looking for more improve the living and housing condition in the townships [2]. diversified sources of local revenue and LEEs promise to be In the municipality of Nawaan, Misamis Oriental, they made a one such good source[11].