MAP ANNUAL REPORT for 2014 as of 12 December 2014 1. MAP THEME At the start of the year, the MAP Board of Governors adopted “MAPping a Future of INCLUSIVE GROWTH with GOOD GOVERNANCE” as the MAP theme for 2014. With this theme, MAP promoted management excellence and continued to serve as a dynamic partner of business, government and civil society. The significant fiscal reforms and economic strides the country is currently enjoying have to be sustained and expanded to benefit all sectors of society, particularly the poorest of the poor. In line with the theme, the MAP conducted projects and activities to pursue inclusive growth, enhance the competitiveness of the country and Philippine business, and promote integrity. 2. MEMBERSHIP The MAP ended the year with 826 MAP members, up by 58 or 8% from 768 in 2013 which is more than the 1% average annual increase for the last 10 years. 3. FINANCIAL POSITION 3.1 MAP will end the year with at least P3 million in net excess of revenues over expenses. 3.2 MAP’s total assets increased by P1.8 million or 6% from P30.9 million in 2013 to P32.7 million as of today. 3.3 MAP’s cash balances amount to P25.3 million, higher by P2.5 million or 11% than last year’s P22.8 million, with P17 million being invested in money market. 4. RESTRICTED MAP SUSTAINABILITY FUND 4.1 MAP has set aside the amount of P14 Million from the P25.3 million cash balance to serve as the initial balance of the Restricted MAP Sustainability Fund. 4.2 This Restricted MAP Sustainability Fund can only be used upon the approval of the MAP Board in the future to finance the basic operating expenses of the MAP Secretariat, particularly in times when the Association may be operating in a deficit or when the collected dues are insufficient to finance a particular year’s operating expenses. 4.3 This Restricted MAP Sustainability Fund was envisioned to reach in the near future the amount of P21 Million which will be equivalent to three years of basic operating expenses of the MAP Secretariat. 5. ANNUAL DUES FOR 2015 There will be no increase in the annual dues of Regular Members for 2015. Specifically, the 2014 Board retained the P22,500 as the Early-Bird Rate which must be paid within January and the Regular Rate of P25,000. MAP has been maintaining these rates since 2011. Page 1 of 64 6. MAP RESEARCH AND DEVELOPMENT FOUNDATION The MAP Research and Development Foundation continued serving as MAP’s CSR arm in implementing our Teachers Training, Case-writing, textbook writing and other CSR programs. The MAP supported the April 22 (Tuesday) ALFO Charity Golf Cup. The ALFO (A Life For Others) Foundation was created in 2009 in order to support the families of the soldiers who died while rescuing “Ondoy” and flood victims. 7. PROPOSED DISCOUNTED RATE FOR LIFE MEMBERS The 2014 Board agreed to offer a 20% discount to Life Members who will agree to pay the 2015 annual dues. Life Members are exempt from paying the annual dues. Instead of just paying for GMMs they actually attend, Life Members will now have the option to pay in advance like a Regular Member, to make it easy for them during registration and to further encourage them to attend the MAP GMMs for 2015. 8. MAP INVESTMENT POLICY The 2014 Board has come up with the following MAP Investment Policy: 8.1 INVESTMENT OBJECTIVE: To achieve healthy returns on MAP’s balanced investment portfolio of P15M to P20M in a five-year investment horizon. 8.2 INVESTIBLE FUNDS: P15M to P20M 8.3 ALLOWED INVESTMENT INSTRUMENTS 8.3.1 30% in short-term government securities, time deposits or special savings 8.3.2 40% in long-term government securities (e.g., Retail Treasury Bonds) 8.3.3 30% in A-Rated corporate fixed-income securities or shares of stocks of PSE index corporations From time to time, the actual allocation can be left to the Fund Manager as may be warranted by market conditions but subject to the limits defined above. 8.4 ACCREDITED BANKS 8.4.1 BDO 8.4.2 BPI 8.4.3 Metrobank 8.4.4 RCBC 8.5 MAP INVESTMENT COMMITTEE Chair : MAP Treasurer Vice Chair : MAP Assistant Treasurer Member : MAP President 8.6 FUND MANAGER 8.6.1 The Fund Manager can be appointed by the MAP Investment Committee for a period of two years. 8.6.2 The Fund Manager should be evaluated against benchmark at the end of two years for the MAP Investment Committee to decide if the Fund Manager should be re-appointed or changed. Page 2 of 64 8.7 RESPONSIBILITIES OF FUND MANAGER 8.7.1 Help the MAP Investment Committee manage MAP’s Investment Portfolio 8.7.2 Assist MAP in making an appropriate asset allocation decision based on the particular needs, objectives, and risk profile of MAP 8.7.3 Regularly meet with MAP and periodically review the Portfolio for suitability 8.7.4 Provide MAP with the current prospectus for applicable investment fund in the Portfolio selected 9. MAP BREAKFAST DIALOGUES WITH THE P-NOY TEAM (MAP Board of Governors) MAP continued interacting more with government in a collaborative way by holding a series of Breakfast Dialogues with the P-Noy Team to find areas of collaboration between MAP and the government agencies in moving the country forward through management excellence. 9.1. MAP Breakfast Dialogue with PhilHealth President and CEO ALEXANDER “Alex” A. PADILLA and Department of Health Secretary ENRIQUE “Ike” ONA (February 27) (l-r) SID GARCIA, PhilHealth Group VP RUBEN JOHN BASA, GREG NAVARRO and DOH Sec. ENRIQUE ONA 9.2. MAP Breakfast Dialogue with BIR Commissioner KIM JACINTO-HENARES (March 21) (l-r) DICK DU-BALADAD, ALEX CABRERA, BIR Commissioner KIM HENARES, GREG NAVARRO and TAMMY LIPANA Page 3 of 64 (standing l-r) VIC NOEL, MALOU CRISTOBAL, PATRICK REIDENBACH, ALMA JIMENEZ, HELEN MACASAET, FRED PARUNGAO, MABS JUAN and ANTON AGUILAR (seated l-r) DICK DU-BALADAD, ALEX CABRERA, BIR Commissioner KIM HENARES, GREG NAVARRO and TAMMY LIPANA 9.3. MAP Breakfast Dialogue with Department of Agriculture Secretary PROCESO “Procy” J. ALCALA (April 1) (l-r) ROLLY DY, DA Secretary PROCESO ALCALA and GREG NAVARRO (standing l-r) BOOTS GARCIA, JOHN FORBES, BEN TEEHANKEE, JOE SIMEON, ALEX ESCAŃO, CORA CLAUDIO, ITO CARLOS, ED DELA TORRE, RENE GAYO and ERNIE ORDOŃEZ (seated l-r) HECTOR QUESADA, ROLLY DY, Sec. PROCESO ALCALA, GREG NAVARRO and PETER WALLACE Page 4 of 64 9.4. MAP Breakfast Dialogue with House of Representatives Ways and Means Committee Chair ROMERO “Miro” QUIMBO (June 26) (lower photo l-r) DICK DU-BALADAD, ALEX CABRERA, House of Representatives Ways and Means Committee Chair MIRO QUIMBO, GREG NAVARRO and PETER WALLACE (upper photo standing l-r) MABS JUAN, JUN CUARESMA and MONIQUE VALDES (upper photo seated l-r) JUN SALVADOR, ALEX CABRERA, Cong. MIRO QUIMBO, GREG NAVARRO and EDDIE YAP 9.5. MAP Breakfast Dialogue with Office of Presidential Assistant for Rehabilitation and Recovery (OPARR) Secretary PANFILO “Ping” M. LACSON (June 27) (standing l-r) VIC RODRIGUEZ, CEF BENEDICTO, FERN PEŃA, CHIT JUAN, ITO CARLOS, GRACE TIONGCO, JIMMY DELOS SANTOS, JOE MAGSAYSAY and DONG BENEDICTO (seated l-r) JUNIE DEL MUNDO, ROMY BERNARDO, Sec.PANFILO LACSON, GREG NAVARRO and CORA CLAUDIO Page 5 of 64 9.6. MAP Breakfast Dialogue with Department of Budget and Management (DBM) Sec. FLORENCIO “Butch” B. ABAD (September 23) (l-r) CHARLIE RUFINO, ROMY BERNARDO, DBM Secretary FLORENCIO ABAD, GREG NAVARRO and PETER WALLACE (standing l-r) ALEX ESCANO, EBOT TAN, DAN LACHICA, BABY NUESA, MARIVIC ESPAŃO, FRANCIS LIM, ROLLY DY and PETER PERFECTO (seated l-r) CHARLIE RUFINO, ROMY BERNARDO, DBM Secretary FLORENCIO ABAD, GREG NAVARRO, PETER WALLACE and MEL SALAZAR 9.7. MAP Breakfast Dialogue with Senate Committee on Ways and Means Chair JUAN EDGARDO “Sonny” M. ANGARA (October 7) (l-r) ALEX CABRERA, Senate Ways and Means Committee Chair JUAN EDGARDO ANGARA, GREG NAVARRO and DICK DU-BALADAD 9.8. MAP Breakfast Dialogue with Office of the Presidential Assistant for Food Security and Agricultural Modernization (OPAFSAM) FRANCIS “Kiko” PANGILINAN (October 16) (l-r) ROLLY DY, OPAFSAM Secretary KIKO PANGILINAN and GREG NAVARRO Page 6 of 64 (l-r) POPOY DEL ROSARIO, VIC RODRIGUEZ, MAYO LOPEZ, ROLLY DY (seated), CEF BENEDICTO, SID GARCIA, Sec. KIKO PANGILINAN, CORA CLAUDIO, ART DE GUIA, OSCAR TORRALBA, ITO CARLOS (partly hidden), GREG NAVARRO, DONG BENEDICTO, RUY MORENO, ED AMISTAD and BILLY JOE ERENO. 9.9. MAP Breakfast Dialogue with Pag-IBIG Fund (Home Development Mutual Fund) President and CEO DARLENE MARIE BERBERABE (November 27) Atty. DARLENE MARIE B. BERBERABE (l-r) GREG NAVARRO, DARLENE MARIE BERBERABE and PETER WALLACE 10. UPLOADING OF PICTURES OF MAP EVENTS IN THE MAP FACEBOOK ACCOUNT The 2014 Board initiated the uploading of pictures of MAP events in the MAP Facebook account and the circulating of the URL links to all MAP members. 11. PERFORMANCE EVALUATION PROCESS FOR THE PERFORMANCE-DRIVEN ANNUAL SALARY INCREASE AND BONUS OF MAP EMPLOYEES On 11 April 2014, the Board approved the Performance Evaluation Process in determining the performance-driven annual salary increase and bonus of MAP Employees. The 2014 MAP Board has developed two separate Performance Evaluation Forms for the MAP Staff and the MAP Executive Director. 12. “PICK YOUR TABLE NUMBER” STRATEGY IN EVERY MAP GMM The MAP initiated the “PICK YOUR TABLE NUMBER” Strategy in every MAP GMM to provide networking opportunities for members. MAP members are urged to be on the table specified in their self-drawn Table Number so they get to meet other MAP members and guests.