VOL. 5 NO. 2 Second Quarter 2003

Fujitsu Philippines offers nationwide coverage

FPI establishes a network of Regional Support Offices (RSOs) strategically located in different parts of the country with a goal to meet the increasing market demand for a service provider with a wide service coverage and a strong support structure.

FPI’s Regional Support Office at Subic Bay

ith improvements in technology, especially in data FPI customers. The RSO engineer acts as the first line of support for customers within the communications and in the Internet, the dream of a true This move differentiates FPI from the rest RSO territory. Additional engineers are distributed computing is now a reality. Technology enables of the ICT service providers. The RSOs dispatched temporarily to the territory W enable FPI to offer its clients a range of as needed to help the RSO engineers enterprises to transact and interact directly with their end-users - a boon service options, such as next-business- cope with peaks in their workload. The to consumers but a major management challenge for ICT infrastructure day up to two hours on-site response time Makati-based RSO coordinator takes managers. on a 24 x 7 basis. The RSOs also enable care of all operational and administrative FPI to serve its existing clients with concerns of the RSO engineers and Due to the infrastructure’s customer- provider with wide service coverage and provincial branches more effectively, these concerns are escalated to the Field oriented role, a severe and a demanding a strong support structure. increase FPI’s service coverage, and Support Group Head if necessary. support service level is appropriate to pursue new business opportunities within maximize operation’s productivity and In addition, FPI has strengthened its Cebu each service area. “Our business is to make our customer’s efficiency. Twenty-four hour service Business Unit in manpower and in facility business successful,” said Mr. Felipe R. availability, nationwide support, and a - a depot of spare parts. The Cebu City Aside from Subic, there is an RSO in Manalang, FPI President. “That is why facility for a single point-of-contact are office now provides valuable services to each of the following locations: Baguio when we say we are fanatical about needed to meet these exacting demands the growing legion of FPI customers in City, Calamba, Iloilo City, Cagayan de customer satisfaction, it is more than a for all call escalations. the Visayas and Mindanao. Only in 15% Oro City and Davao City. Each RSO is marketing exercise - it is a serious business of cases does FPI have to fly in specialists manned by an FPI technology support strategy. FPI invested to have the largest That’s why Philippines, Inc. has from the Metro Manila head office. engineer. These RSOs, together with our service support engineering team, the best started establishing a network of Regional existing support offices in Makati City, customer contact infrastructure, the best Support Offices (RSOs) strategically This has been replicated in the Subic Bay Parañaque and Cebu City, give FPI a total service management methodology, and located in different parts of the country. Metropolitan Authority in the Calabarzon of nine points of presence in the country. superior logistics. For we rather over- With this network, FPI aims to meet the area, and in many other geographical Additional RSOs will be established as configure our resources, so that it should increasing market demand for a service areas where there is a concentration of the need arises. always be in favor of the customer.”

Research and Development Retail Services Logistics Service Banking Services

Lexmark R & D making a strong Mini-Stop - Becoming the warmest LBC – Transforming into a PSBank – Aligning technology to presence in the asian region and friendliest convenience4 store multi-service company customer needs Research and Development VOL. 5 NO. 2 Second Quarter 2003 Lexmark R&D - Making a strong presence in the Asian region

Filipino workforce. employees from here to the U.S. for about three to six months. I have 25 people In addition, he stressed that the Philippine there right now.” government is open for business investments and encourages open yet fair Lessons from the Philippines business practices. “In some countries, doing business is very difficult for a Working in the Philippines is such an foreign corporation like Lexmark. To interesting learning experience for Mr. operate in the local market, for instance, Combs. “It is hard to quantify. People some governments require a local partner with a different culture have different that owns about half or maybe 51 percent expectations about how to make things of the company. This is not the case in work. When I ask for something, I the Philippines. In all of the respective interpret it the way a fellow American business rules and regulations in Asian would interpret it. However, Filipinos countries, the Philippines is the most may interpret the request quite differently. flexible and straightforward.” I don’t mean from a language point of view but in view of perceptions. So it’s Aside from the Philippines having good been an interesting challenge for me.” intellectual property protection laws, LRDC is located near Lexmark’s inkjet In the final analysis, Mr. Combs manufacturing facility in Asia. quickly stressed the Philippines’ very large untapped opportunity for product “Our strategy was to start with basic operations,” said Stan Combs, Lexmark R&D Expansion and Challenges development. “In the past, people had President and CEO. Because of numerous development perhaps thought more of doing low-cost projects and prospects, Mr. Combs said manufacturing in an export processing LRDC is set to expand its office in zone like the one in Mactan. We found exmark is one of the leading Cebu is the base of Lexmark’s R&D developers and manufacturers operations in the Asia-Pacific region. of printing solutions in Europe L “Our strategy was to start with basic and North America. With headquarters in Lexington, Kentucky, Lexmark software operations,” said Stan Combs, International, Inc. has positive growth President and CEO of LRDC. “And then prospects in the Asia-Pacific region. we worked on steadily increasing the The explosion of color printing in the complexity of the products developed corporate arena with the impact of the for both consumer and business printers Internet as a vehicle for business has distributed not only in Asia, but also increased the prospects of printing needs worldwide.” in this culturally diverse region. The current 250-member staff of mostly Although brand recognition has become programmers has been doing a lot of extremely important and challenging in studies in printer technologies for wired the region, Lexmark’s competitive edge and wireless connections like Bluetooth, is strongly founded on developing and consumer printing from the Internet, and owning the technology inside its products. total box designs in the next five years This shortens the product development that will incorporate electronic design cycle and allows the company to integrate and mechanisms. customer inputs into research, product design, and development. LRDC is the product of an extensive one- year study of potential locations in 10 As one of America’s most admired countries, including Japan, Korea, China, companies, Taiwan, and Hong Kong. There are LRDC employs Filipino programmers to develop printer drivers and network adapters for Lexmark Lexmark arrived on printers. Philippine shores in 1999 with the several reasons why Lexmark chose the establishment of Lexmark International Philippines for its R&D operations. One Philippines, Inc., an inkjet cartridge core reason is the Filipino workforce, Cebu in terms of office space and more we could go well beyond low-cost assembly plant, at the Mactan Export whom Mr. Combs described as “very development tools for its workforce, such manufacturing and we’ve been successful Processing Zone II. This 115,500 square- skilled, talented, trainable, hardworking, as computers, software, and networking doing development work here. We’re quite foot facility in Cebu, the newest addition and with a lot of potential due to a good equipment. The company also expects to satisfied in the quality of workmanship to Lexmark’s manufacturing sites in Asia, education system and a lot of degree- increase its manpower to 300 by the end that we get in this country.” supplies inkjet cartridges to the growing qualified workers.” of the year. Asian market, as well as supplementing As a final message to any investor who is the U.S. market. The second reason is more of an It partnered with Fujitsu Philippines to thinking of investing in other countries, “accidental geography,” as Mr. Combs improve its data network facility and Mr. Combs has this to say, “I would tell R&D Mission coined it. The Philippines is centrally he emphasized that the company is very them to consider the Philippines. The located and easy to access from all pleased with FPI’s quality of service. country certainly offers many business In 2001, Lexmark Research and areas in the Asia-Pacific region. “We possibilities, providing an environment Development Corporation (LRDC) was have business partners all over the place “The biggest challenge is keeping this that is conducive to successful product opened at the Cebu Business Park with – China, Korea, Japan, and Taiwan – with lab tightly connected and coordinating development.” a mission to design, develop, deliver, the Philippines as the convenient place the operations with our two other labs and maintain software and firmware for located in the middle of these countries,” in Lexington and Colorado,” he claimed. LRDC is making a strong presence in the Lexmark consumer printers. The Cebu Mr. Combs added. “As we are all working on the same Asia-Pacific region and is set to increase R&D lab currently specializes in software kind of product and technology, the Lexmark’s leadership in the printer development for printer drivers and Another factor is that English is the Philippine lab is like a satellite, so we business worldwide, making it a truly network adapters and in rebranding of second language in the Philippines, have to coordinate our development global company. Lexmark printers for original equipment making it easy for an American company activities very closely, doing the software manufacturer partners worldwide. LRDC like Lexmark to communicate with its designs on the printers. We send a lot of VOL. 5 NO. 2 Second Quarter 2003 PLDT CIO says creative spending is key to maximizing ICT investment “What we are trying to do now is to be more creative in what we are allowed to spend today by effectively rationalizing what we do and getting the solutions we want at possibly much lower investment,” said PLDT CIO, Mr. Eugene Garcia.

n today’s very difficult economic times, a company should be able Ito get the most out of its ICT (Information and Communications Technology) investments,” quipped Mr. Eugene Garcia, Chief Information Officer (CIO) for Philippine Long Distance Telephone Company (PLDT). “So a company like PLDT in his pleasantly lit office, he further cover previously unused components. an expeditious manner, given the cultural always looks for the right solutions, explained that across industries, corporate make-up of the organization. which will allow it to do more, to work budgets are decreasing and this translates The complete automation of system and faster, and to compete effectively in a to a cut-down in ICT spending. desktop management functions is also in He stressed that the CIO is also required highly volatile market.” the list. to champion the drive towards operational In view of this, Mr. Garcia added that the efficiency, set the example via concrete PLDT is the leading supplier of domestic key in dealing with the situation is to be In addition, PLDT is intensifying its operational improvements in the ICT and international telecommunications more creative in terms of spending the drive towards web-based applications organization, and provide a direction with services in the Philippines. PLDT’s allowed budget and at the same time, to and capabilities, continuing hardware regard to the sound use of ICT resources. history dates back to 1928. be more prudent in ICT expenditures. and software infrastructure consolidation and work related to the use of alternative This pivotal role and strategy taken by With a network of over 174 central office Mr. Garcia added that due to a number of desktop operating systems and office Mr. Garcia is in line with the significant exchanges serving the Metro Manila technology hypes and excesses during the applications. With these ambitious goals progress in streamlining PLDT’s area alone and 188 other cities and past few years, a lot of ICT expenditures in the pipeline, challenges also abound. operations, resulting in the reduction municipalities throughout the country, have gone to waste. of both capital and operating expense. PLDT is one of the cornerstones of Pivotal role This can also be viewed as one of Mr. Philippine economy. “What we are trying to do is to be Garcia’s achievements. To enable the more creative in terms of what we There are two main challenges the organization to fully reap the benefits Creative spending are allowed to spend today by way company is facing. First is the difficult from its significant ICT investments, the of effective rationalization through economic situation the country is in, team established focus and direction, on The smiling Mr. Garcia continued to continuing infrastructure consolidation which is internally influencing a change in top of the millions of pesos saved. clarify his views regarding the company’s and streamlining of processes and being the organization’s way of doing things. ICT strategy and present situation. “The very selective in the choice of solutions Personal values ongoing crises did not really affect the in terms of their overall cost to the Mr. Garcia reiterated that technology is current ICT planning and level of ICT organization as well as their fit into the a great enabler but company culture and Mr. Garcia is a homebody and values a lot investments. overall vision for ICT.” processes determine how technology will quality time with his family, prefering to be used in any organization. spend the weekend just watching action Since around the end of 2000, there has Defined strategy films with them. been a realization of the significant ICT At PLDT, this is a major challenge resources the company has in place, In as much as there is a defined strategy although opportunities abound in terms Asked what would his legacy in the the seeming lack of ICT direction and employed by Mr. Garcia, the major of vast resources available for the use company be, he said, “My legacy is focus and the continuing inability to reap goals this year is to continue enhancing of applicable technologies to improve the evolution of a more agile, leaner maximum benefits from a number of ICT its ICT investment. Foremost is the present ways of doing things. This is and better performing company and the initiatives.” implementation of a full HR suite and where the role of the CIO proves vital. setting of the groundwork for a more a new billing solution, and the full For him, it is imperative to provide the efficient and more focused infrastructure As Mr. Garcia remained coolly seated utilization of existing ERP solution to necessary ICT support and solutions in and direction.”

Editorial Board: Editorial-in-Chief: Betty Daguio-Jose

Chairman: Felipe Manalang Staff Writer: Betty Daguio-Jose Members: Larry Galang, Art Generoso, Neneth Gevaña, Roy Janayon, Raul Santiago, Wendy Sebastian, Allan So, Design and Layout: Jesse Enriquez Peter Tan, June Katrina Teehankee and geoffrey Umali Retail Services

VOL. 5 NO. 2 Second Quarter 2003 Mini-stop – Becoming the warmest and friendliest convenience store

“Since Mini-stop operates in a 24 x 7 mode, service to customers has to be consistent at all times,” Wilfredo Camarillo, RCSI General Manager, said.

n May 29, 2003, Robinson’s of Mini-Stop Co., Ltd. in Japan, as well A Merchandise System (MD), which Mini-Stop’s other technology systems Convenience Stores, Inc. as the strong retail and manufacturing includes ordering tool, consolidation and include the Platinum System, a reliable, opened its 54th Mini-Stop experience of Mitsubishi Corporation and management of the store’s merchandise stable, and integrated software used for store in España. This latest Robinsons Retail Group, that backs up inventory cost, retail, and GP, is also accounting and financial management. Odevelopment came a long way from Mini-Stop in the Philippines.” provided by FPI. The system is linked The system also has a module on its first Mini-Stop opened at the MRT to a Planogram and the Order Book purchasing and inventory that Robinsons Central Station in December 2000. Great store location that is always clean, to enable the stores to easily manage Distribution Center, Inc. (RDCI) uses for excellent customer service, and a wide gondola space and stock replenishment. its purchases and inventory management. Its number of stores climbed up since variety of merchandise in a combo The Fujitsu is one of then to become a unique combo store, store format are part of the formula for Mini-Stop’s main servers that run these The Exceed System is a fully functional combining fast food with grocery successfully managing a convenience mission-critical applications. Aside state-of-the-art Warehouse Management products. This is indeed a breakthrough System that provides efficient in the competitive convenience store warehousing and logistics operations of retail scene. RDCI.

“There is really a market need that is RDCI is a logistics partner of Mini-Stop not being served by other convenience and joint venture company of Mitsubishi stores in the Philippines,” said Wilfredo Corporation and Robinsons Retail Camarillo, General Manager of RCSI. Group. “We plan to have 100 stores at the end of this year and in 2006, we envision to have Franchising opportunity 500 Mini-Stop stores in Metro Manila.” Capitalizing on the entrepreneurial spirit Unique concept of Filipinos, RCSI is optimistic that it will get enough franchisees to help in Mini-Stop’s combo store concept is rolling out more Mini-Stop stores in unique, claimed Camarillo. The concept Metro Manila. Moreover, RCSI is on was born in Japan as a wholly owned an aggressive campaign to get more subsidiary of Josco Co. Ltd with the franchisees. first Mini-Stop opened in July 1980 at Okurayama in Yokohama, Japan. For Camarillo, the key to running a successful convenience store is to Its network broke the 100-store mark A powerful, integrated, and convenient POS system from Fujitsu provides Mini-Stop franchise as much as it can. At present, with 80 franchised stores and 20 stores with real-time sales figures any time of the day. five Mini-Stop stores are franchised and directly managed. RCSI is targeting 30% of total stores are store, he added. from the server, FPI has also provided directly managed by the company, while In the Philippines, Mini-Stop is the only maintenance service, Fujitsu projector, 70% are franchised. convenience store that serves in-store Technology at work and to RCSI. prepared food products with dine-in “We have turned over five stores out of corner for consumers, targeting the B and At Mini-Stop, Camarillo further claimed “Mini-Stop Japan has recommended the 54 stores today to franchisees because C households in Metro Manila. that the stores are fully computerized Fujitsu as the brand to use in the POS we want to make sure that we have and that the technology infrastructure system so we are very confident with perfected the system before we turn over Magic formula is reliable to support the day-to-day FPI as our technology partner in the to them. We can confidently tell them that operations of every store. Philippines,” Camarillo said. this business works,” he stressed. The combo store concept is beyond the mere convenience shopping. For Mini- A powerful, integrated, and convenient He added, “FPI engineers have provided For those interested in being a franchisee Stop, its competitive advantages are TEAMPOS (Point-of-Sale) system from fast response time when there is a of Mini-Stop, please contact Robinsons numerous. Fujitsu Philippines provides the store technical concern and they continuously Convenience Stores, Inc. at 671-7202 real-time sales figures any time of the monitor the systems to make sure they are and 671-7223. “For one, look at 20 years experience day. up and running all the time.” Retail Services

VOL. 5 NO. 2 Second Quarter 2003 Suyen - Expanding market reach beyond Philippine shores

ince 1987, the English word expanded to include stationery, men’s “bench” for Filipinos has come fashion accessories, toiletries and an to mean other things than a long extensive underwear range. The Bench seat or a magistrate sitting in lifestyle also includes a teen line called Scourt in a judicial capacity. For the past Bench Brats, the Bench Body & Bath 15 years, it has come to mean a chain of line of fragrances and bath products, stores selling tasteful clothes. Prescribe(r) skincare products and Bench Bytes snacks. The ladies’ line, HerBench, Mr. Jude W. Ong, Suyen Corporation’s now also features a line of fragrances and Assistant General Manager, emphasized, cosmetics, HerBench Colours. “Yes, we are a retailer of garments but we have evolved and diversified.” And that is Headed by Ben Chan as chairman and in fact an understatement. executive creative director, the company is currently staffed with over 1,200 Ever wondered how come candies and employees. selected beauty products are now being sold in Bench stores? Currently, Suyen The Bench products are distributed Corporation has business interests in primarily through boutiques, franchise beauty salons and home furniture. outlets and concessionaires within department stores. It has set up Fix Salon for hair salon services, Dimensione for home furniture Some Bench products, most especially and Human for the hip and fashion- the grooming and body care products, are conscious young market. also sold in supermarkets, pharmacies or drugstores, and convenience stores; there These entries have made marketing are also over 75 wholesalers throughout practitioners and academicians deduce the country. that Suyen is no longer just a retailer selling garments but a corporation in the Operational Challenges business of selling a lifestyle. With these dynamic activities for Bench, Filipino Lifestyle Suyen’s business diversification ushered in new operational challenges. To start For the past 15 years, Suyen’s most with, “the number of items we managed Power of three. Building and enhancing Suyen’s ICT infrastructure are in the hands of (from popular brand, Bench, has been affecting in the warehouse has ballooned. left to right) Dante Dulguime, Oracle DBA; Sheila Buensalida, MIS manager; and Jude Ong, Filipino lifestyle and fashion, which assistant general manager. started with the opening of the first Bench Expanding internationally, to China boutique in 1987 through the combined for example, added a new and daily of competitive business advantage to system. Recently, FPI also supplied the efforts of Mr. Ben Chan and his sister and operational pressure,” Ong said. them to which Ong agreed. new generation Fujitsu Primepower brother-in-law, Nenita and Virgilio Lim. servers to run the upgraded critical To this, Ms. Sheila Buensalida, MIS “And in the middle of all these operational application systems. Today, Bench is undoubtedly the Manager, said, “That’s why we are improvements, we are supporting our country’s largest retail clothing store currently in the middle of intensifying POS system present in 220-strong Springboard Value with 53 stores, plus 18 Herbench stores, our business systems.” branches across the network,” Buensalida 28 local franchise outlets, and 120 shared. “FPI acts as a springboard. We can toss distributors nationwide. Buensalida detailed that their initiatives any idea to the FPI staff and they have have started with their merchandising- Strong Data always given us a feedback and even a And it does not stop here at home. It has warehousing system, human resources- proposal. Even if the project does not thriving franchises already operating payroll and financial systems. With its business lifeblood being driven by push through, FPI is always there. We in Alkhobar Riyadh and Kuwait in the the ever-changing fashion industry, Suyen appreciate that,” Dulguime said. Middle East. She continued, “We are seriously has experienced SKUs representing its considering just buying third party different products changing every season He continued, “FPI’s people can be The Bench label, through its authorized products for the human resources and the and increasing perpetually. Managing this reached when we need to reach them. retailers, has also demonstrated quite a financial systems.” growth and ensuring its integrity are top They always give us a feedback and strong presence in the cosmopolitan cities priorities. resolution. We are happy. But above all, of California, Canada, Florida, Saipan, When asked why, she stressed, “These they are easy to deal with. We can talk to Brunei, Taiwan, United Arab Emirates applications are common across Dante Dulguime, Suyen’s Oracle DBA them with ease.” To this Ong agreed. and Palau. industries and being so, we can easily get said, “It’s not a practice or a policy here to the best out there and implement these delete. We all store the data. And because Market Innovation With the opening of the Guam and applications here.” of this, doing a manual backup of our data Shanghai branches, Bench has clearly is not anymore practical as it used to. The With innovative marketing strategies, established itself as a force to reckon with But for the other systems, Buensalida data we manage now is huge.” Suyen’s efforts and enthusiasm in in the very dynamic fashion landscape, quickly pointed out, “We will definitely delivering creative and engaging visual offering premium quality products do a ground-up development for With this, Fujitsu Philippines, Inc. offered merchandising and display, particularly at affordable prices even in the most our merchandising and warehousing and implemented an automatic data back- in the Bench brand, add up to the kind competitive markets. system.” up system that eases Dulguime’s concerns of retail clothing store that is the seed of and has redirected his time to perform Filipino talent. Bench’s secret is in the merchandise. “The approach is necessary,” Buensalida higher value activities for Suyen. The mix features a wide collection noted and continued, “Suyen’s Amidst a multitude of Filipino-owned of locally manufactured men’s shirts, merchandising and warehousing process Aside from this, FPI was also tapped to corporations born in the last decade or so, trousers and footwear. Enthusiastically is unique.” maintain the primary servers that run only one remains undeniably on top of its embraced by the growing mall market in the critical applications of the Company, genre and it is known by one simple, yet the Philippines, the Bench line has since So unique, she professed that it is a source like the warehousing and merchandising popular name- BENCH. Logistics Services

VOL. 5 NO. 2 Second Quarter 2003 LBC – Transforming into a multi-service company

the LBC customer can remit their money over the counter at any LBC Branch within five to ten minutes, instead of the usual 24-hour wait on a door-to-door delivery. This system was developed in partnership with Fujitsu Philippines.

Cajigal added that LBC has established a very good rapport with FPI. “The staff has the capability and capacity to provide us the service and we are banking on the experience of FPI.”

“Providing effective service, maintaining a very economical or cost-effective way of operating the business, and finding ways and means to increase business profits are major challenges for LBC

ncorporated in the 1950s as a 1956 to engage in lending to small and have been challenging concerns. brokerage and air cargo service medium enterprises and rural industries. provider, LBC had been evolving LBC has an extensive points-of-presence into a variety of organizational In June 1995, LBC Development from Laoag to Zamboanga with more Itransformations to catch up with current Corporation acquired the majority than 2,500 computers and printers, 12 market trends. shareholdings from previous owners. powerful quad-processor servers, and a This led to the birth of LBC Development back-up recovery site in Makati. “Technology has become mature, in terms of LBC offered 24-hour courier service, Bank or simply, LBC Bank. The capacity and service. The business should drive which also included money remittance the technology, not the other way around,” said acquisition was prompted by LBC’s need The company is currently using a web- Eduardo B. Cajigal, LBC IT Director. services for delivery anywhere in for an efficient financial delivery network enabled monitoring application that the country. The company since then that would answer to its growing volume periodically updates data and transactions, expanded and increased its branches from of remittances from abroad. such as gross sales, incoming shipments, the initial 13 to the current 543, covering and daily deliveries from LBC branches practically every city and municipality of Today, the bank has 20 branches that are fed to the main distribution when implementing ICT projects.” the country. nationwide and is also a proud equity center in Pasay City. Top management member of the Megalink network of uses an Intranet web-enabled business Multi-service company Overseas presence banks. intelligence tool that allows them to view real-time changes in sales, trends, and Cajigal stressed that as part of LBC’s LBC established its first overseas office Aside from providing the financial customer behavior for effective marketing vision in the medium term of making the in North America, particularly in San services requirements of its affiliates, strategies and business decisions. world a smaller place for Filipino families, Francisco, USA in 1986. LBC’s overseas the bank is also engaged in community the company is looking at becoming one network now spans 76 branches, located banking, where it has already gained It has also implemented a track-and- of the leading ICT companies in the in different continents and in countries recognition for its “Bilis” products and trace system to monitor the daily status Philippines through its subsidiary, W- where there are many Filipinos. excellent customer service. of all its shipments. The system is Network, Inc., within the next 10 years. currently available for LBC personnel As a result of its continuous growth Infrastructure investment and Customer Hotline but would soon be “LBC, as the premier Access and and development, LBC also engaged operational for LBC customers via SMS Delivery Company, always aims to in corollary businesses such as travel With LBC’s rapidly growing domestic and the Internet. provide better service for our customers. and banking. These were later matched and overseas network, its information We want to become not only a modern with Pension and Educational Plans. and communications infrastructure has Aside from tracking shipments, LBC courier company but also a multi-service Newspaper publishing in the U.S. also adds also evolved and constantly enhanced to has also implemented an incident report organization, offering financial services, up to its now diversified set of companies. better serve an equally growing customer monitoring system wherein branches can ICT services, logistics services, digital base of about 2,000,000 with transactions report any technical problem – whether printing services, and e-commerce, which LBC in time got the advantage of the going over 30,000 per day. Its database hardware or software-related – to LBC’s started with the teamlbc US web site. The Internet, its add-on elements and the now carries more than nine million technical personnel. company plans to have a web site for www.teamlbc.com website was born. The records. It also handles an increasing each country where LBC has an overseas company’s Internet thrust is to attain the number of overseas transactions from To provide up-to-the-minute information presence,” he said. LBC’s Year 2020 vision of reaching out to different countries, primarily from the for its customers, Cajigal added that the the global community that will ultimately United States with more than half a company aims to have one synchronized, For Cajigal, being practical in technology make the world a smaller place. million customers. integrated database, connecting all the is a sound business decision that counts databases from LBC’s domestic and a lot on continuously transforming LBC Banking business According to LBC IT Director, Mr. overseas branches. as the next-generation multi-service Eduardo B. Cajigal, LBC started organization. LBC banking roots may be traced to its computerization five years ago. As part of its financial services, LBC will LBC Bank’s founding on June 13, Fragmented data and data connectivity soon unveil a remittance system wherein Logistics Services VOL. 5 NO. 2 Second Quarter 2003 Airfreight 2100 – Bringing the nation closer together “I would like to welcome other between the government and the private companies out there to join us in realizing sector, thus helping the government the connectivity for our country. We can realize the advantage of ICT. Airfreight do this with the combined talents of our 2100 is doing its own share of improving country’s ICT professionals,” said Mr. government service. Bert Lina, Chairman of Airfreight 2100, Inc. Concretizing the vision

This is the vision of Airfreight 2100 The actual realization and implementation that serves as the driving force in the of this ambitious business thrust is in the company’s effort to use Information hands of Ms. Thelma Sotto, OIC of E- and Communications Technology in Konek Pilipinas. improving its services and operations. At the same time, this is also the company’s As OIC of E-Konek, the ICT company way of doing their share in contributing to of the Lina Group of Companies, ,Ms. nation building. Sotto handles about 30 ICT professionals under her wing. According to Ms. Sotto, Customer-driven vision the main direction of the Lina Group is As a customer-driven quality company, to provide technology services to the Airfreight 2100 is committed to providing government, specifically to the export time-definite, totally reliable, efficient community. and innovative pick-up and delivery, and logistics services for international and domestic shipments. one to get their product. This system is wired with the Philippine Export Zone Authority (PEZA). The implementation One of the most significant turning with PEZA is intended also to demonstrate points in Airfreight 2100 Inc.’s history the effectiveness of the technology. On was when it officially became the sole hindsight, this is the company’s way of licensee of Federal Express Corporation convincing the government that with ICT, in the Philippines in 1989. so much can be accomplished with so little time. Airfreight 2100 handled 100 percent of all pick-up and delivery for FedEx in Another feature is the E-Procurement the country, and was granted the sole Reuben S.J. Pangan, Vice President of Bert Lina, Airfreight 2100 President, empha- Airfreight 2100, will be President and COO of System, which is also an automation of sized the importance of harnessing the power authority to use the FedEx trademark. Dynamic Outsource Solutions, Inc. (DOS-I) one of the processes in the export trade. of ICT to maximize growth and efficiency. to offer outsourcing in domestic and foreign markets. With services ranging from door-to- The intranet is now undergoing expansion remote locations where the company and the areas covered are General Santos operates. Specifically, the SMS will Ms. Sotto added that most of the City, Davao, and Cagayan de Oro. enable Airfreight 2100 to determine the projects they are doing now is with the Connecting exporters will be done via status of the delivery. government sector. This is clearly in line frame-relay. with the vision of Airfreight 2100 to link In this way, all goods will be monitored the government to the private sector. E-Konek is also working with Subic Bay properly, thus eliminating the chances of Metropolitan Authority (SBMA) with a failed or missing deliveries. On the other Current Projects project called the Trade and Facilitation hand, the GPRS is an ongoing project System. The role of E-Konek is to set-up with Smart Communications and Globe Presently, there are several ongoing the system, operate and maintain it for Telecom. projects with various government SBMA. This is also in line with vision agencies. With the Bureau of Internal of helping the government improve its Major Undertaking Thelma Sotto, CEO of E-Konek, is confident Revenue (BIR), there is the Tax Relief services through technology. that the internal structure and infrastructure of Project, a solution summary of sales the company are already aligned with One of the major endeavors of Airfreight receipts and purchases in connection Projects in the Pipeline Airfreight 2100’s vision. 2100 is the creation of an Information Data with VAT. Another is the Electronic Center. As the technology requirement of Registration, which allows the According to Mr. Reuben S.J. Pangan, VP the company grows, there is a need to door delivery, to seafreight, trucking, professionals to register with BIR on the of Airfreight2100, the company is looking have a reliable data center. Naturally, the and warehousing of virtually any shape, web. This is simply an online registration at offering Business Process Outsourcing first step is to set-up the IDC. There will weight, and size of shipment to a growing for professionals who do not have the time for both local and foreign companies. also be a need to have a back up or mirror coverage of destinations, AIR 21 is truly to process their BIR needs manually. site. The target date for the completion is the country’s total logistics solutions Another is the Logistics Outsourcing for within the year. provider. One of the most important projects of E- Warehousing, Inventory Management, Konek is the Portal Network for the export Customer Service and Delivery. This bold and ambitious plan of Globally competitive efforts community. This is like a hub (intranet) Airfreight2100 is a proof on how for the export community where everyone Internal Technology committed the company is in harnessing Mr. Lina claimed that the company is is identified. This ensures the security of the wonders of ICT in fulfilling its consistently upgrading its resources the network. In simpler terms, this is a True to its ideals, Airfreight 2100 is not vision. and manpower, and developing its web site that hosts a lot of services. One only employing the power of technology manpower’s competency and the of which is the vital Automated Export for its various projects but internally, the Indeed, this is also a concrete step company’s technology. Documentation System (AEDS). company is using state-of-the-art system by which the company is slowly to maximize efficiency in its operations. metamorphosing from a forwarding These are all in line with the company’s AEDS allows a more efficient and faster company to a Total Logistics Solutions vision to harness the power of ICT to export processing. From the tedious half- Ms. Sotto said that they are using SMS/ Provider. maximize growth and efficiency in its day processing time, it now only takes GPRS technology for their Forwarding operations and ultimately bridge the gap 30 minutes to complete everything for Distribution business. This is for the 8 Banking Services VOL. 5 NO. 2 Second Quarter 2003 PSBank – Aligning technology to customer needs

oday’s fast-paced lifestyle tool that will ensure efficient and reliable dictates how people do their collection process. business, not just ordinary day- It will ensure that collectibles on all to-day activities but equally loan types are tracked in various stages, Timportant, their banking requirements. and in the process, provide the Bank This lifestyle makes it imperative to with accurate and real-time information re-orient a bank’s organizational set-up critical to decision making. and its culture to meet this consumer need, and in the process, reach out to the Equally important is CAMS’ ability to ordinary depositors and consumers faster allow the Collection Division to service and more efficiently. customer needs efficiently. The other projects in the pipeline include the As one of the leading thrift banks in following: Intranet-based Credit Rating the country, Philippine Savings Bank, System, Integrated Financial Accounting or PSBank, is conscious of the quality System, Internet and Mobile Banking, of service it dispenses and refuses to and enhanced Management Information be outdone in the evolving consumer- System. driven processes in the banking field. It is aggressively aligning its technology These projects are geared towards plan with its business infrastructure and improving customer service and customer requirements to fulfill its vision operational efficiency, and will require of becoming the consumer and retail bank training and building a knowledge-based of choice. skill that is more sales- and service- oriented. Banking Services Competitive Edge The historic Plaza Miranda is where PSBank first opened its doors on Mr. Garcia stressed that the two main September 26, 1960. Dr. Guillermo challenges confronting PSBank are Picache, the Dolor family, and the organization and technology subsequently, the Metrobank Group led infrastructure. A responsive, streamlined and guided PSBank to the status it holds organization supported by an efficient today: a major player to reckon with in technology infrastructure will allow the savings bank industry. even a comparatively small savings bank to compete with the larger commercial Now with 103 branches in key areas across banks by its ability to deliver faster and the country, the Bank offers a wide range quality service to more customers. of products and services that cater mainly to retail (i.e. small and medium scale) Other institutions are just happy and consumer segments of the market. maintaining and keeping their systems It plans to expand its branch network by operating at current levels without opening 18 more new branches this year making the effort of fully aligning the in strategic locations. business to changing customers’ needs and wants. “That is why we are focusing Aside from the usual array of deposit, on rebuilding our organization and trust and investment services, foreign infrastructure. and domestic remittances facility, and investment counseling, the Bank also Recent technology developments Noli S. Gomez, CFO and VP of PS Bank, offers consumer loan products such as the “Technology is extremely critical, this is where worldwide show that customers’ the essence of success lies,” said Pascual M. claimed that the Bank has several significant mortgage loans’ PSB Home Rate Protect, Garcia III, PS Bank President. projects in the pipeline. expectations on banking services have auto loans, and salary loans under the changed. They want service that is fast PSB Multipurpose Loan and Flexiloan and is efficient but does not compromise programs. The Bank has likewise stepped quality. They want it where they need it, up its lending activity to the micro- “The consumer sector may have smaller interaction with the customers requires a when they need it, not when it’s made segments of the economy (small and requirements compared to corporations, very strong system to support the delivery available.” medium enterprises). but the sheer volume of transactions of our services.” required by them argues for the need of Closing the gap In 2002, PSBank outpaced some of its key the Bank to have a very strong, responsive Technology Plans competitors and emerged as the second infrastructure,” Mr. Garcia said. “Our ICT projects are hinged on managing largest savings bank in the country in According to Mr. Noli S. Gomez, users’ perceptions and requirements. The terms of assets. In a banking industry where products and PSBank’s FVP and Chief Finance success of the Bank is heavily dependent services are indistinguishable, PSBank Officer, information and communications on customers’ involvement. It is not so Customer focus strives to improve its services to its technology projects are in the pipeline. much as the technology that makes the customers. The first is the implementation of the system great, but the value-added benefits Mr. Pascual M. Garcia III, PSBank Collection and Asset Management System that they derive from it,” President Garcia President, pointed out the Bank’s two It has harnessed powerful technology (CAMS) where Fujitsu Philippines, Inc. concluded. target markets. Its principal market is applications that are seamlessly integrated is providing support. the consumer sector, from 900,000 small to deliver higher levels of productivity, Customers matter most when deciding to medium-sized enterprises to 12 to 13 growth, and service differentiation. Mr. The CAMS was developed to complement which system will work best and which million households in the country. This Garcia added, the Integrated Loans System, which one to use. The ability to close the gap sector represents the majority of the manages the Bank’s automated credit between what the customers want and Bank’s clientele. Its secondary target “Technology is extremely critical; this and loans operations. CAMS is a front- what the Bank can provide is important in market is the large corporations. is where the essence of success lies. The end system and is largely a management a business that thrives on service.