JUNE 2018 VOL 93 NO 06 THIS MONTH'S ISSUE

The middle of the year opens up the opportunity to take a look at what has passed, while giving us the proper perspective to lay out the plans for the future. Contents

EDITORIAL CORPORATE SOCIAL

06 A REVIEW OF THE FIRST HALF RESPONSIBILITY OF 2018 16 FORD by Ebb Hinchliffe, Editor-in-Chief REINFORCES COMMITMENT TO COMMUNITY DEVELOPMENT, ROAD SAFETY WITH ITS CSR COVER STORY PROGRAMS 08 THRIVING IN THE AGE OF Submitted by Ford Philippines DISRUPTION, CHANGE AND 19 P&G FUELS MSME CHAOS DEVELOPMENT; LAUNCHES by Ernie Cecilia, DPM 'ANGAT KITA' PROGRAM Submitted by P&G COMMITTEE FEATURES AMCHAM ROUNDUP 10 JAPAN'S SOCIETY 5.0: GOING BEYOND INDUSTRY 4.0 20 APPRAISING PERFORMANCE by Dr. Lorenz Granrath APPRAISALS JOINING THE FIGHT AGAINST 14 — ISLAND PARADISE COUNTERFEITING LOST & ITS RESURRECTION by Dennis Pabelico 21 WOMEN IN LEADERSHIP SERIES: DORIS MAGSAYSAY HO 18 WEATHERING THE STORM: U.S.-CHINA TRADE RELATIONS USAID-STRIDE INNOVATION by Dan Napa WORKSHOP ADVANCING THE AGRIBUSINESS INNOVATION 08 32 THINGS TO LOOK OUT FOR ON ECOSYSTEM CBRN INCIDENCE WITHIN REACH 22 AMAZING ASSISTANTS NIGHT PUBLICATIONS by SSUPT. Jose S. Embang Jr. 23 BIG DATA SESSION

EBB HINCHLIFFE ERNIE CECILIA 34 COMMENTS ON WALLACE AMCHAM PRESENTS SHERYL Editor-in-Chief Chairman, Publications Committee TALK ABOUT PHILIPPINE SWOOPES, WNBA LEGEND AND ECONOMIC AND POLITICAL HALL OF FAMER MIKHAIL BANZON MANUEL R. GUILLERMO CLIMATE 24 MARGARITAS AND BURRITOS: Communications Manager Publications Committee Adviser by Saab Magora A CINCO DE MAYO CHRISTINA TUGUIGUI ATTY. EMMANUEL T. SANTOS CELEBRATION Website Director Member, Publications Committee FEATURES WEATHERING THE STORM: U.S.- CHET GUEVARA CHINA RELATIONS - PLANNING Advertising Head Published By 12 SANTOS KNIGHT FRANK YOUR BUSINESS AHEAD THE AMERICAN CHAMBER OF RECOGNIZED AS PHILIPPINE' EYA MARTINEZ 25 NCR CHAPTER: GENERAL COMMERCE OF THE PHILIPPINES, BEST REAL ESTATE AGENCY Layout Editor MEMBERSHIP LUNCHEON INC. AT THE ASIA PACIFIC MEETING LESLIE ANN MURRAY PROPERTY AWARDS Publications Consultant Member Submitted by Santos Knight Frank NBA GAME 1 VIEWING PARTY ROY I. FULGADO PUBLISHER ASSOCIATION OF THE 33 THE MUCH AWAITED 26 VISAYAS CHAPTER: GENERAL Photographer PHILIPPINES, INC. 'INTELLIGENT LEADER SERIES MEMBERSHIP LUNCHEON - LEADING CHANGE IN A MEETING All rights reserved. AmCham Business Journal is a general business magazine published FRACTURED WORLD' 27 JOINT FOREIGN CHAMBERS monthly by The American Chamber of Commerce of the Philippines, Inc., with offices at Submitted by The People At Work NETWORKING NIGHT 2nd Floor, Corinthian Plaza, Paseo de Roxas, Legaspi Village, Makati City 1229 (C.P.O. Box PUBLICATIONS 2562, Makati City1265), Philippines; telephones: (632) 818-7911 to 13; fax (632) 811-3081 / BUSINESS OF BUSINESS 811-3184; emails: [email protected] / [email protected]; UPDATE website: www.amchamphilippines.com. Publication Registration No.: ISSN-0116-452X 36 LIVING N PEACE AMIDST CRISIS 15 AMCHAM GUIDELINES FOR AND TURMOIL All views expressed in all articles are those of the authors and not of The American ARTICLES SUBMISSIONS by Ernie Cecilia, DPM Chamber of Commerce of the Philippines, Inc. The American Chamber of Commerce of the Philippines, Inc. accepts no liability for the accuracy of the data or for the editorial views contained in the articles. Publication of unsolicited articles is at the sole discretion of the Publications Committee. OTHER SECTIONS No article or content can be reproduced in any manner whatsoever without the prior written consent or authorization of The American Chamber of Commerce of the Philippines, Inc. 02 AMCHAM PUBLICATIONS 05 AMCHAM STANDING COMMITTEES Entered as second-class mail at the Post Office on May 24, 1921 and on December 10, 04 2018 OFFICERS & DIRECTORS 40 MEMBERS' BIRTHDAYS: JULY - AUGUST 1945. Re-entered as second-class mail at the Makati Central Post Office on May 07, 1992 and AMCHAM CHAPTERS INDEX TO ADVERTISERS under Permit #534 dated May 24, 1993. 15 NEW AMCHAM MEMBERS AMCHAM SOCIAL MEDIA ACCOUNTS

AMCHAM BUSINESS JOURNAL | JUNE 

2018 OFFICERS AND DIRECTORS AMCHAM CHAPTERS

HONORARY CHAIRMAN H.E. SUNG Y. KIM THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. US AMBASSADOR TO THE PHILIPPINES (Founded 1902 - Incorporated 1920)

2nd Floor, Corinthian Plaza Building, Paseo de Roxas, PRESIDENT JAMES WILKINS Legaspi Village, Makati City 1229 Tels.: (632) 818 7911 to 13 • Fax: (632) 811 3081 E-mail: [email protected] 1ST VICE PRESIDENT RICK SANTOS Website: www.amchamphilippines.com

James Wilkins, President Ebb Hinchliffe, Executive Director 2ND VICE PRESIDENT ROBERTO BATUNGBACAL

TREASURER PHILIP SOLIVEN THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. (North Luzon Chapter-2015)

DIRECTORS JOCOT DE DIOS Building 7294, C.M. Recto Avenue, Clark Freeport Zone, Pampanga, 2023 MARK LWIN Telefax: (632) 811 3081; Mobile: 0927 912 3248 LUIS PINEDA E-mail: [email protected] VARINIA ELERO-TINGA SHANKAR VISWANATHAN Dennis Wright, President Joan-Eleanor Sabroso, Chapter Office Manager MARIFE ZAMORA

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. DIRECTORS, EX-OFFICIOS GEORGE DRYSDALE (Visayas Chapter-1987) DONALD FELBAUM ROBERT M. SEARS 18th Floor, The Link, Cebu IT Park, Apas, Cebu City 6000 Tels.: (032) 238 8922; 316 1093 • Fax: (032) 232 2373 Mobile: 0917 323 1972 EXECUTIVE DIRECTOR EBB HINCHLIFFE E-mails: [email protected] ; [email protected]

Jeff Minnick, President , Chapter Office Manager CORPORATE SECRETARY ATTY. AILEEN TOLOSA-LERMA Brenda D. Lisen

NORTH LUZON CHAPTER DENNIS WRIGHT THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. PRESIDENT ( Chapter-1988)

VISAYAS CHAPTER PRESIDENT JEFF MINNICK 2nd Floor, Door 207-208, Don Cesareo, Villa-Abrille Building, Jacinto corner Juan Luna Streets, Davao City 8000 Mobile: 0916 876 7729 MINDANAO CHAPTER ATTY. LEONCIO VILLA-ABRILLE E-mail: [email protected] ; [email protected] PRESIDENT Atty. Leoncio P. Villa-Abrille, President ACTING EXECUTIVE DIRECTOR, ROMMEL RAGASA. Annie Quitay, Chapter Office Manager AMCHAM FOUNDATION RETIREMENT FUND THE AMERICAN CHAMBER FOUNDATION PHILIPPINES, INC. (Founded 1985)

Leonard Benjamin Development Center, 4554 Casino corner Olivarez Street, Palanan, Makati City Tels.: (632) 834 0184; 551 8060 • Tel/Fax: (632) 834 1192 CORPORATE SPONSORS E-mail: [email protected] Website: www.amchamfoundation.com

Edwin D. Feist, President Rommel Ragasa, Acting Executive Director

FILIPINO-AMERICAN MEMORIAL ENDOWMENT, INC. (Founded 1986)

c/o The American Chamber of Commerce of the Philippines, Inc. 2nd Floor, Corinthian Plaza Building, Paseo de Roxas Legaspi Village, Makati City 1229 C.P.O. Box 2562, Makati City 1265 Tels.: (632) 818 7911 to 13 • Fax: (632) 811 3081 E-mail: [email protected] Website: www.filipino-americanmemorials.org

Lt. Col. Artemio Matibag, President Leslie Ann Murray, Trustee

AMERICAN DESK AT THE BOARD OF INVESTMENTS (Established 1992)

385 Sen. Gil Puyat Avenue, Makati City Tels.: (632) 895 8851; 895 3918 • Fax: (632) 896 2315 E-mails: [email protected] ; [email protected]

Ebb Hinchliffe - Director, American Chamber Yves Aguilos - American Desk Specialist

 AMCHAM BUSINESS JOURNAL | JUNE  AMCHAM STANDING COMMITTEES

COMMITTEE CHAIRMEN INDUSTRY DEVELOPMENT SPECIALIST

AGRIBUSINESS PHILIP G. SOLIVEN / VARINIA ELERO-TINGA KV ROJAS

ENERGY & POWER JOCOT DE DIOS / FRANK THIEL BEA BALDONADO

ENERGY EFFICIENCY SAFDAR QURAESHI

ENVIRONMENT AND URBAN DEVELOPMENT ARCH. JUN PALAFOX / JAMES DONOVAN BEA BALDONADO

FINANCIAL SERVICES AND TAXES & TARIFF ATTY. JULES RIEGO / ROMBIT R.M. CO, JR. KV ROJAS

HEALTHCARE AND WELLNESS DONALD FELBAUM / RICHARD MCGONEGAL BEA BALDONADO

HUMAN CAPITAL & RESOURCES ERNIE CECILIA / GRACE SORONGON YVES AGUILOS

INFORMATION & COMMUNICATIONS TECHNOLOGY DONALD FELBAUM / FRANK HOLZ BEA BALDONADO

INFRASTRUCTURE & LOGISTICS JAIME FAUSTINO / JOHN PETERSON YVES AGUILOS

INTELLECTUAL PROPERTY RIGHTS ATTY. DIVINA P.V. ILAS-PANGANIBAN, LL.M. / KV ROJAS ATTY. PRINCESS ASCALON

LEGISLATIVE JOHN D. FORBES / ATTY. ELAINE COLLADO YVES AGUILOS

MANUFACTURING DAN LACHICA BEA BALDONADO SHANKAR VISWANATHAN

PHARMACEUTICAL BRENT DENNING KV ROJAS

PROFESSIONAL WOMEN OF AMCHAM ATTY. MELANIE LAGERA BEA BALDONADO VARINIA ELERO-TINGA

SECURITY & DISASTER RESOURCES GROUP SIMOUN UNG / PETE TROILO BEA BALDONADO

TOURISM & HOSPITALITY ROBERT BLUME / FARID SCHOUCAIR / KV ROJAS DOROTHY DRYSDALE

TRADE & INVESTMENT MARIO BISCOCHO YVES AGUILOS

YOUNG PROFESSIONALS SIMONE MARTINELLI BEA BALDONADO

INTERNAL

MEMBERSHIP ROLAND DELA CRUZ PAULINE SANTOS

• KAPIHAN EBB HINCHLIFFE / LESLIE ANN MURRAY PAULINE SANTOS • NETWORKING / GENERAL MEMBERSHIP KV ROJAS MEETINGS • WELCOME BREAKFAST PAULINE SANTOS

PROVINCIAL CHAPTERS EBB HINCHLIFFE PAULINE SANTOS • NORTH LUZON JOAN SABROSO • VISAYAS BRENDA LISEN • MINDANAO ANNIE QUITAY

PUBLICATIONS ERNIE CECILIA MIKHAIL BANZON MANUEL R. GUILLERMO EYA MARTINEZ CHET GUEVARA CHRISTINA TUGUIGUI LESLIE ANN MURRAY

CORPORATE PARTNERS EBB HINCHLIFFE CHRISTINA WINTON

ACTIVITIES / ADVOCACY / AFFILIATE

AMCHAM FOUNDATION EDWIN D. FEIST / ROMMEL RAGASA

AMDESK AT THE BOI EBB HINCHLIFFE YVES AGUILOS

BUSINESS LEADERSHIP PROGRAM (BLP) JUN SALIPSIP / DAVID CALDWELL PINKY JAMILI

FILIPINO-AMERICAN MEMORIAL ENDOWMENT LT. COL. ART MATIBAG KV ROJAS (FAME) ROBERT HUDSON

THE ARANGKADA PHILIPPINES PROJECT (TAPP) JOHN D. FORBES YVES AGUILOS

WASHINGTON RELATIONS / APCAC RICK SANTOS / GEORGE DRYSDALE DIVINA COMBES

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. š EDITORIAL

classroom talks from AmCham leadership, providing insights from industry leaders, site visits to sponsor factories and offices, and the development of a business plan. The program culminated with the Gala Dinner at the New World Hotel Makati and the presentations of awards. This was the 16th Batch and, by most reviews, this group was truly one of the better in recent years. They displayed a mature side with a millennial ; lots of fun but also lots of brainpower. This year’s annual AmCham Foundation Golf tournament was the best ever. There were 144 participants (with a waiting list) who had a fun day teeing off at Orchard Golf and Country Club. Great golf coupled with great prizes, amidst great food and drink. Not all the chamber action was in the National Capital Region. AmCham has truly become a National Organization and our Chapters in North Luzon, Visayas, and Mindanao have all had fantastic first half results. Membership continues to grow as the number of events have increased and value given. The AmCham Agriculture Committee, working with USAID STRIDE Program, conducted a one day seminar in Ormoc Leyte. This was attended by 35 farmers and 15 Academe to discuss how to reduce crop waste from the field to the market. It was an extremely MR. EBB HINCHLIFFE successful event that highlights AmCham’s EXECUTIVE DIRECTOR outreach to the Visayas. AMCHAM PHILIPPINES AmCham Mindanao has held their monthly luncheons in General Santos, Cagayan de Oro and, of course, Davao. Some of the speakers to date have been Budget Secretary Ben Diokno, NEDA Secretary , and A REVIEW OF FIRST HALF OF 2018 US Consulate General Russell Brown. In addition to their regular monthly dinner meetings, AmCham Visayas has started several committees including Tourism, ICT, Manufacturing, and a Kapihan too. Central Luzon has stayed active by rotating their meetings and network events between Subic, Clark and . It was decided to ard to imagine, but 2018 is Vice President Leni Robredo, and panels change the name from Central Luzon to North halfway over. It has been an of our own membership. This count Luzon at the request of the Board members outstanding rst half of the includes the biggest chamber event of from Baguio. It may not have the same ring Hyear and we should take a look back and the year in February, when companies to it as ClamCham, but it certainly was the pat ourselves on the back. showed their appreciation for their admin right change of names to better describe our teams at the annual “Honor Your Staff outreach to northern Members. This 2nd half should be even better. Day” (HYSD). This year’s HYSD was held at the Marriott Hotel and was one of the A great first half, but the year isn’t over. January saw our newly renovated best in recent history, with 300 attendees office opened. It’s the same location, having the time of their lives. The Annual APCAC Door Knock will be in but with a very modern look. While it In February, the AmCham Foundation Washington DC from July 15-20th. took longer than expected to finish the held their 7th annual “Scholar Run” at The Visayas will be having their big July renovations, it was truly worth the wait. We the Mall of Asia. There were over 2,000 4th event on July 7th and will be having their now have a beautiful, modernized office runners participating in the early morning first ever AmCham Visayas Golf tournament on that our staff and members truly deserve. event, which raised much needed funding September 7th. Our main Advocacy has been for the education of the less fortunate AmCham, with Arangkada, will be having centered around the Tax Reform Bills among us. its annual Forum, focused on Infrastructure, currently going through Congress, but The Chamber’s 2nd quarter big event at the Grand Ballroom of the Marriott on our committees have also been active was the annual “Business Leadership September 12. A second Forum on Creative to keep our members informed on the Program” (BLP), which was held in late Industries will be held on November 27. various sectors. April this year. This was the week when 31 Keep your eyes on our notices and pages We have had six General Membership of the brightest students, from all across to be aware of all that is happening in the Luncheons, with guest speakers ranging the Philippines, came to Manila for eight second half of 2018. from Cabinet Secretaries, Ambassadors, days of intensive training that included It will be an exciting one for sure.

› AMCHAM BUSINESS JOURNAL | JUNE 

COVER STORY

THRIVING IN THE AGE OF DISRUPTION, CHANGE AND CHAOS BY ERNIE CECILIA, DPM

hen I was young and silly, life was so simple then. Today, it’s no longerW business as usual. In Africa, there were 134 million cellular phone users in 2005. By 2011, the number increased to 660 million users. Mobile sales on e-Bay amounted to $660 million in 2005, and $5.2 billion in 2011. In 2008, there were 800 mobile apps available; today there are over a million apps. It took 18 months to sell the first 1,000,000 units of Palm Pilot; it took only 24 hours to sell the first 1,000,000 units of iPhone 4S. Truly, time has changed.

Disruption, Change, Chaos “Disruption” refers to massive changes affecting business and other aspects of life. Disruption could result from technological advances, geopolitical shifts, demographic change, innovation or invention. In marketing, the most critical C’s of disruption are content, complexity, PHOTO SOURCE: © PIXABAY and connection. Not all innovations can be disruptive, although they might be revolutionary. In the 19th century, the typical means of transport was the horse-drawn carriage. The invention of the first automobiles did not disrupt Motorola and Nokia had the lion’s share change in our economy and our culture is the market of horse-drawn carriages of cellular phone sales, until Apple and accelerating, fueled by global adoption of because the former were so expensive. Samsung came up with their disruptive social, mobile, and other new technologies, Henry Ford’s mass-produced Model innovations. and our visibility about the future is declining.” T in 1908 was a disruptive innovation Disruptive innovations take longer, When conditions are chaotic, Patil because it changed the transportation require massive investment in R & D, explains, you must apply different techniques. market. and have higher risks than incremental “I don’t have a plan. If you look too far out in or evolutionary innovations. However, the future, you waste your time.” Disruptive innovation the former could achieve a much faster Disruptive innovation refers to an market penetration and impact. They New mindset innovation or invention that creates could also disrupt economic, social, To thrive in an era of disruption, change a new market and value network, and other aspects of life. Consider and chaos require a whole new approach. and eventually disrupts an existing the foregoing stories on thriving in a Robert Safian, editor and managing director market and value network. It eventually disruptive environment. of the Flux Group, wrote, “Some people will displaces established market leaders, thrive. They are the members of Generation products, and alliances. Different techniques Flux. This is less a demographic designation Disruptive innovations are often Chaotic disruptions are now than a psychographic one: What defines made by entrepreneurs and not by the happening, not only in the technology GenFlux is a mind-set that embraces instability market leaders who want to protect companies,but in almost every aspect and tolerates (and even enjoys) recalibrating the status quo. Walkman allowed us of life, leisure and business. In the careers, business models, and assumptions. to enjoy a long-playing music album mid-1970s, large multinationals were Not everyone will join Generation Flux, but as we jogged, but a young upstart successful because they had the LRP to be successful, businesses and individuals named Steve Jobs suddenly introduced (long range planning) system. will have to work at it. This is no simple task. the iPod that allowed us to listen to DJ Patil, of venture-capital firm The vast bulk of our institutions (educational, thousands of songs inside a tiny gadget. Greylock Partners, said, “The pace of corporate, political) are not built for flux. Few

AMCHAM BUSINESS JOURNAL | JUNE  COVER STORY ∆ traditional career tactics train us for an era "WHEN CONDITIONS ARE CHAOTIC... YOU MUST APPLY DIFFERENT where the most important skill is the ability TECHNIQUES. I DON'T HAVE A PLAN. IF YOU LOOK TOO FAR OUT to acquire new skills.” INTO THE FUTURE, YOU WASTE YOUR TIME." —DJ PATIL, GREYLOCK Learn new things PARTNERS “We are under constant pressure to learn new things. It can be daunting. It can be exhilarating,” says Beth Comstock, "YOU'RE GOING TO HAVE BUSINESSES RISE AND FALL FASTER THAN Chief Marketing Officer of GE. EVER." —PETE CASHMORE, MASHABLE We already saw how mobile, social, and other breakthroughs are changing our way of life. In the process, these changes are remaking age-old geopolitical and New world Who knows, but opportunities business assumptions. When you see that cars are await you? Safian continues, “No one predicted transforming into rolling, talking, cloud- that General Motors would go bankrupt– connected media hubs, you better and come back from the abyss with greater believe that you’re in a new world. Safian momentum than Toyota. Digital competition says, “In an age where and other For comments or questions please e-mail destroyed bookseller Borders, and yet the social media tools play key roles in the author at: [email protected] big, stodgy music labels, seemingly the recasting the political map in the Mideast; ground zero for digital disruption, defy where impoverished residents of refugee predictions of their demise.” camps would rather go without food than “All these industries are being without their cell phones; where all types revolutionized,” observes Pete Cashmore, of media, from music to TV to movies, are About the Author: the 26-year-old founder of social-news site being remade, redefined, defended, and Mashable, which has exploded overnight to attacked every day in novel ways, there is Ernie Cecilia, DPM, reach more than 20 million users a month. no question that we are in a new world.” is a regular contributor “It’s come to technology first, but it will We can no longer ignore the change, to the Amcham reach every industry. You’re going to have the flux, and the resulting chaos in the new Business Journal. Mr. businesses rise and fall faster than ever.” world. The pace of disruption continues. Cecilia is the Chair of If you are looking for a forecast that will the Amcham Human Speed matters define the next era, you’ll hardly get a Capital & Resources “In a big company, you never feel you’re unanimous voice from seers, except that Committee and also Chair of the Amcham fast enough. Business-model innovation is the future will be more fluid, and there Publications Department. constant in this economy. You start with a will be no discernible coherent pattern. vision of a platform. For a while, you think The “monarchs” and market leaders there’s a line of sight, and then it’s gone. insist on maintaining the status quo. There’s suddenly a new angle,” say GE’s They are incessantly interrupted by the Comstock. revolutionaries who do things differently, Within GE, she says, “Our traditional turn old truths into falsehood, and make Please see page 36 for his monthly teams are too slow. We’re not innovating the impossible possible. "Business of Business" article. fast enough. We need to systematize It’s time to accept, embrace, and change.” love the chaos.

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. œ COMMITTEE FEATURE: ICT JAPAN'S SOCIETY 5.0: GOING BEYOND INDUSTRY .

BY DR. LORENZ GRANRATH

ermany’s Industry 4.0 is a well-known buzzword. Japan has now introduced Society G5.0. Is this a mere one-step-ahead game, or is there more behind?

Industry 4.0 As the name already indicates, Industry 4.0 is looking mainly into industrial production. Its main idea is the information exchange between companies down to the machines and processes. Nowadays, not only machines but virtually all objects are equipped with sensors that produce information about their status or location. This means that there is much more information is available than there was before. As the interfaces are not yet clearly defined, the amount of information increases and becomes impossible to be processed by humans. This is where artificial intelligence phones. Smartphones track your in addition to increasingly powerful AI leads (AI) comes in. It has now become not location, social networks your interests to new ways of business, technological and only smart enough to win games against and credit card companies your social interactions. It will change not only humans, but also to extract meaning commercial activities. All this data is too the industrial sector, but society as a whole. out of big data. As computing power is complex to make sense to humans, but This is also stated in the German High-Tech doubling in less than every two years, AI AI can extract some conclusions. Strategy, but Japan came up with a much power is increasing very quickly. The availability of such vast data better term that describes what will happen: This opens up new possibilities, but also new dangers. The origin of Industry 4.0 lies in the High-Tech Strategy of the German Government. The latest, published in 2014, defines six fields of priority: • The digital economy and society • The sustainable economy and energy • The innovative workplace • Healthy living • Intelligent mobility • Civil security

The first field, digital economy and society, made digitalization of the German Industry a very important and prominent topic and ultimately resulted in the term Industry 4.0.

Society 5.0 Today’s big data comes from sensors in objects, which include for example machines in industry, household equipment, cars and mobile EVOLUTION OF SOCIETIES UP TO SOCIETY 5.0 (SOURCE: KEIDANREN)

 AMCHAM BUSINESS JOURNAL | JUNE  COMMITTEE FEATURE: ICT ∆ Society 5.0. "THE AVAILABILITY OF SUCH VAST DATA IN ADDITION TO INCREASINGLY In April 2016, the Japanese POWERFUL AI LEADS TO NEW WAYS OF BUSINESS, TECHNOLOGICAL government enacted the 5th Science and Technology Basic Plan. It covers many AND SOCIAL INTERACTIONS." —DR. LORENZ GRANRATH, AIST aspects, including innovation promotion and internationalization. A focus point, however, is the development of the society towards a Super Smart Society, the Society 5.0. Support for the fast aging society the buzzword Industrie 4.0. The underlying idea is that the rapid Japan is the fastest aging society. New developments of the Internet development of information technology In 2050 an estimated 40 percent of the of Things, big data and AI also strongly now allows the combination of cyber space population will be 65 years and older. depend on the openness to the outside – the information – with the physical space People in Japan also call it the super world. While a machine could be – the real world. The combination of both aging society. Challenges will not only adapted to fit into a factory in a foreign are Cyber Physical Systems (CPS), objects be to have enough caretaking, new country in the past, the interaction now of the real world enhanced and combined pharmaceuticals or assist systems to becomes more complex and needs with information. This is expected to bring stay independent. With more elderly to be embedded into the respective about a major shift in society. people, also the workforce is declining. environment. If your refrigerator orders Society 5.0 will be the fifth step in Japan is already famous for its robot fresh beer directly at the supermarket the evolution of the human society. After developments, so it is no wonder that by himself in the future, it has to speak being a hunter (Hunting Society), men the solution for these challenges will be the local “computer” language. settled down in the Agricultural Society. smart robotics. As assist systems could In the Industrial Society, mass production enable a prolonged independent life, provided products for everybody. Currently robots can take over work in elderly care. we are in the Information Society, where And finally, AI can help to develop new About the Author: information is the key factor. However, drugs as well as support elderly people creation of knowledge from information is in everyday life. Dr. Lorenz Granrath still accomplished by humans. Yet in the is a supervisory fifth stage of human society, this will be Conclusions innovation coordinator done by machines, by AI. Japan moved boldly by calling at the Japanese Prime Minister Shinzo Abe introduced the future development Society 5.0. It National Institute for and promoted the super smart society at implies that changes will concern every Advanced Industrial the CeBIT 2017 computer fair in Hannover aspect of society, not only industrial Science and Technology (AIST). in March, where Japan was the official production. Germany intends the same, partner country. but the tendency got distorted through [email protected]

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. FEATURE SANTOS KNIGHT FRANK RECOGNIZED AS PHILIPPINES’ BEST REAL ESTATE AGENCY AT THE ASIA PACIFIC PROPERTY AWARDS SUBMITTED BY SANTOS KNIGHT FRANK

antos Knight Frank, the leading real estate services provider in the Philippines, has won three Smajor recognitions at the Asia Property Awards held on May 3 and 4 in Bangkok, Thailand. Santos Knight Frank was declared the “Best Real Estate Agency”, “Best Property Consultancy” and “Best Lettings (Leasing) Agency” in the Philippines with a 5-star category, solidifying the company’s position as the Commercial Real Estate Leader in the country with a 24-year track record of driving the property sector forward. Now on their 25th year, the Asia Paci c Property Awards are the largest, most prestigious and widely recognised program throughout the region. The Asia Paci c Property Awards are judged by an independent panel of 80 industry experts, which include members of the House of Lords in the UK Parliament. Rick Santos, Chairman & CEO of Santos Knight Frank says: “We are honoured to be recognized as the leading real estate services company in the Philippines. The recent awards inspire us further to pursue our mission of helping to democratize property ownership, grow the economy, generate jobs and build a strong middle class.” Kevin Coppel, Regional Head for Asia Paci c, Knight Frank says: “I am delighted to congratulate Rick and his team for winning at the Asia Property Awards, which is a testament to Santos Knight Frank’s unparalleled commitment to the real estate industry and the Philippine economy.” Santos Knight Frank along with top winners in each region are nominated to the overall international awards, culminating in a glittering awards ceremony, to be held at the Savoy SANTOS KNIGHT FRANK WAS AWARDED BEST REAL ESTATE AGENCY, BEST PROPERTY CONSULTANCY AND BEST LETTINGS (LEASING) Hotel, London, in December 2018. AGENCY IN THE PHILIPPINES DURING THE ASIA PACIFIC PROPERTY AWARDS

www.amchamphilippines.com

AMCHAM BUSINESS JOURNAL | JUNE 

COMMITTEE FEATURE: TOURISM BORACAY — ISLAND PARADISE LOST & ITS RESURRECTION

BY DENNIS PABELICO, JOHN CLEMENTS CONSULTANTS

Netizens, tourists, and locals were interviewed about their experiences in Boracay and these were their answers: • Some said that they got sick while swimming. • Others witnessed the discharging of untreated water with solid and liquid waste in front of the beach. • Police were bullied by businessmen; hence, the law was not properly implemented. • Liable past government officials got away with corruption.

What the government has done so far: • Issued Proclamation No. 475, placing Boracay Island under state of calamity for a period of one year. • Closed Boracay from tourists for a period of six months. • Filed both administrative and criminal he American Chamber Boracay under state of calamity charges against particular government of Commerce of the and temporary closure. officials. Philippines hosted the forum, • April 26, 2018 — Pres. Duterte • Inspected establishments for TBoracay — Island Paradise Lost & Its issued Proclamation No. 475, environmental compliance — the result Resurrection, last May 25, 2018. Invited officially declaring Boracay under was astonishing! After inspecting 1,552 as guest speaker to discuss the current state of calamity and called for its establishments in the island, only 38 condition of Boracay was Assistant temporary closure. were found to be compliant; 482 were Secretary Epimaco Densing, head of not inspected because these were DILG’s Task Force Boracay. Human-induced hazards, resulting closed. As of this writing, Boracay is in a to the environmental destruction of • Provides employment for people who state of natural healing, where live fish the island, was cited as the main want to help clean and rehabilitate the were already spotted. Looking back, reason behind the closure of Boracay. island. President Duterte ordered the closure This was due to the continuous rise in • Provides allowances to employees of Boracay because, as he said, it could tourist arrivals, insufficient sewer lines, affected by the closure. Based on the be likened to a cesspool. poor waste management systems, audit report of the establishments in and environmental violations of several the island, the profit they earned in the Let us look at the timeline leading establishments around the island. first four months of 2018 is enough to to the closure of Boracay. • December 17, 2017 — massive flooding due to typhoon Urduja. • January 9, 2018 — site inspection done by Sec. Cimatu and Sec. Teo. • February 5, 2018 — DOT presented the results of the aerial survey and interviews with locals to Pres. Duterte during the cabinet meeting. • February 9, 2018 —Pres. Duterte, in a forum in Davao, compared Boracay to a cesspool. • March 1, 2018 — OIC Año issued D.O. No. 2018-178, creating the Boracay Investigating Team (BIT). • March 15, 2018 — DENR, DOT, and DILG recommended placing

 AMCHAM BUSINESS JOURNAL | JUNE  COMMITTEE FEATURE: TOURISM

PUBLICATIONS UPDATE support their own employees during the six-month closure.

Boracay reached this state of AMCHAM GUIDELINES FOR degradation because of failure of governance. This failure could also be articles SUBMISSIONS attributed to all residents of the island — the locals, business owners and their employees, and the local government, The AmCham Business Journal is actively soliciting for articles. Submissions are who should have protected the island. As always welcome! Articles of Personal experiences, of sports, hobbies, places a Filipino, it will definitely anger you to see to visit, travel adventures, tips on doing business in the Philippines - consider a beautiful island like Boracay turn into a sharing them with our readers. Smokey Mountain-like beach. We should be reminded that Boracay is just one of the Philippines’ natural The following are guidelines to to constraints in space, time, style, tourist destinations we should start taking all AmCham Journal contributors or content. To ensure the article’s accountability for. We fall behind our to assist in the drafting of article objectivity and credibility, please Asian neighbors when it comes to tourists submissions. do not mention your company travelling to our country. It is about time in the article. The author and that we show our love for our country by • Deadline and Length. company may be mentioned in the protecting our environment and preserving Submission deadline for the Author Identification paragraph, as its beauty so that the Philippines could Journal is the first Friday of the described below. become the preferred Asian destination of month prior to issue (e.g. July the world. 7, 2017 for submission to the • Format. August 2017 issue). The optimum The Journal prefers to receive length for articles should not the article in electronic format. The exceed 1,500 words. Exceptions AmCham office uses MS Word, so About the author: will be allowed by the Managing the last "save as" of the document Editor if so deemed compelling. should be as a Word Document Dennis Pabelico is (.doc). on his fifth year as a • Editorial Review. The Journal also accepts business development The Journal tries to make articles simply as part of the text of consultant at John as few changes to the text the e-mail. The author may wish to Clements Consultants, as possible outside of typos, fax a copy as well to ensure that the where he previously spelling, etc. However, in some article appears in the way he or she worked as the Naga City site head for five cases changes may be necessary intended in terms of layout. years. He also has a 15-year experience (especially if the author is not in pharmaceutical sales from Abbott a native speaker of English), • Charts and Graphs. Laboratories and a four-year experience in and the Journal will send these AmCham encourages the use branch banking operations from PCI Bank. changes back to the author for of charts and graphs in articles to approval. No response to these improve clarity and readability. In John Clements is at the forefront of changes within three working most cases, AMCHAM’s design developing South East Asia's next days will be assumed to mean print company re-creates the charts generation of leaders. Their publication, the acceptance. Also, suggestions and graphs. Charts and graphs Looking Glass, provides access to industry to improve clarity and readability guides, news, and updates. Contact John may be made by the editor. Clements through [email protected]. The Journal holds the right Tel.: 884-2700; 884-1218; 884-1219. You to refuse to print any article due Read more on page 30 may visit them at Level12B, LKG Tower 6801, Ayala Avenue, Makati, Philippines.

MEMBERSHIP NEWS NEW AMCHAM MEMBERS

NORTH LUZON

Philippine SteelFraming Corp. Mr. Rey Batomalaque President

VISAYAS

Mark Carreño

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. š CORPORATE SOCIAL RESPONSIBILITY FORD PHILIPPINES REINFORCES COMMITMENT TO COMMUNITY DEVELOPMENT, ROAD SAFETY WITH ITS CSR PROGRAMS

SUBMITTED BY FORD PHILIPPINES

ord Philippines continues to reinforce its commitment to community development and road safety with its FOperation Better World (OBW) and Driving Skills for Life (DSFL) programs. OBW is Ford’s umbrella program for its corporate social responsibility (CSR) projects around the world. In the Philippines, Ford focuses on providing access to clean water and community building initiatives in several Gawad Kalinga areas around the Philippines. In 2017, Ford built 3 water facilities in Nueva FORD EMPLOYEE VOLUNTEERS DISTRIBUTE PRESCRIPTION A PUV DRIVER IS TRAINED IN THE FORD DRIVING SKILLS FOR Ecija and to serve 120 families. MEDICINES TO PARENTS AND THEIR CHILDREN IN A LIFE PROGRAM. MEDICAL MISSION PROGRAM. To date, Ford has constructed a total of 11 water facilities that are now serving over 800 families. Ford also helped improve the quality of life of Gawad Kalinga communities where Ford’s employee and dealer volunteers conduct medical and dental missions; help build, paint, and repair houses; and even organize kids’ activities. In 2017 alone, Ford CEBU-BASED DRIVERS ALSO BENEFITTED FROM THE DSFL FORD EMPLOYEES GATHER TO BUILD AND PAINT HOUSES AT has mapped out 8 community outreach TRAINING SESSIONS. GK BAYANIHAN VILLAGE IN DASMARINAS, . programs. Ford has also brought its globally- recognized DSFL to the Philippines as part of its commitment in driving its road safety advocacy. In 2017, DSFL marked its 10thyear in the Philippines and extended its scope to cover Pampanga, Batangas, Cebu, and Davao aside from Metro Manila, with more hands-on driving sessions conducted than in previous years. Almost 3,000 attendees participated in the DSFL last year, the biggest in its 10-year history. The landmark year also recorded an increased focus on bus, jeepney, school bus FORD HOLDS A DRIVING SKILLS FOR LIFE SESSION FOR FORD HOLDS COMMUNAL WATER FACILLITY TURNOVER IN and taxi drivers, as well as included a training PRIVATE AND PUBLIC UTILITY DRIVERS IN DAVAO CITY. JAEN, NUEVA ECIJA. module on distracted driving. To date, Ford has trained close to 23,000 drivers in the Philippines with the DSFL program. These initiatives have made Ford as the frontrunner in the recently-concluded 2nd Driven to Serve Awards of the Society of Philippine Motoring Journalists (SPMJ) as the lone automotive company who received two (2) Platinum award citations. SPMJ’s Driven to DSFL RECEIVED A PLATINUM AWARD FOR ITS OPERATION BETTER WORLD RECEIVED A PLATINUM AWARD Serve Awards recognizes the CSR programs CONTRIBUTIONS TO ROAD SAFETY IN THE PHILIPPINES. FOR COMMUNITY DEVELOPMENT. of automotive companies in the areas of road safety, education and training, environment protection, and community development with Platinum, Gold, and Silver citations. Ford took home Platinum awards for showcase our commitment to help make the automotive industry a catalyst OBW under the community development address the needs of the communities to nation-building through these category and for DSFL under the road safety we serve, especially in the areas of initiatives that drive positive change category. community development and road and progress,” enthuses Bert Lessard, “Operation Better World and DSFL safety. We look forward to helping managing director, Ford Philippines.

› AMCHAM BUSINESS JOURNAL | JUNE 

COMMITTEE FEATURE: MANUFACTURING WEATHERING THE STORM: U.S.-CHINA TRADE RELATIONS

BY DAN NAPA, JOHN CLEMENTS CONSULTANTS

both countries, continuously antagonizing each other will do them no good since China is the global superpower in terms of manufacturing and the U.S. is one of the biggest consumer markets in the world. Both countries need each other for their economies to grow and this balance must be maintained, otherwise, more countries will suffer the consequences. Undersecretary Nora Terrado highlighted that the Department of Trade and Industry’s Trade and Investments Promotion Group is focused on increasing bilateral and multilateral agreements with more markets (EU, Nordic, African, etc.) to improve trade deficit standing. While the Philippines enjoys trade incentives from ASEAN, as well as some GSP+ benefits from some European countries, the country could do better. Building new partnerships with Nordic countries, South American countries, and even African countries can help the Philippines open up new lines of business, as well as explore new commodities to export to these markets. Lastly, there is an overwhelming amount of external pressure from the international community for the Philippines to clean up its act. The Philippines must show itself to the international business community as a stable market and an attractive country to invest in to move manufacturing and operations. Improvement of infrastructure and ease of doing business are keys to attracting more FDIs, which will stimulate trade and business. n the morning of May 17, 2018, the trade volume with both countries. American Chamber of Commerce of the Philippines (AmCham) Here are some of my key takeaways About the author: Iheld an economic forum, care of its from the discussion: Manufacturing Committee headed by The political tension between the Dan Napa is currently Mr. Bobby Batungbacal. The forum’s U.S. and China manifests in the state a supervising sales topic revolved around the current state of trade relations. Currently, the U.S. consultant at the of U.S.-China Trade Relations. Invited massively taxes certain commodities Executive Search and as guest speakers were two experts from China. In the long run, this can Selection division of John in the eld of international trade — DTI be seen as an opportunity for ASEAN Clements Consultants, Undersecretary Nora Terrado and SEIPI players to come in—these commodities Inc. President Dan Lachica. can be identified, possibly duplicated, The event was very intimate and and exported to the U.S. John Clements is at the forefront of the venue was conducive to a panel In the greater scheme of things, developing South East Asia's next generation discussion. The morning’s discussion some politicians may have controversial of leaders. Their publication, the Looking was basically about the current state of remarks; however, cooler heads will Glass, provides access to industry guides, international trade, especially how the always prevail. Donald Trump, for one, news, and updates. Contact John Clements escalating political tension between the has been well-known for his off-the- through [email protected]. Tel.: 884- United States and China will affect the cuff remarks, which have attracted 2700; 884-1218; 884-1219. You may visit international market. The Philippines a lot of criticism from both local and them at Level12B, LKG Tower 6801, Ayala is in a unique position here due to the international groups. Unfortunately for Avenue, Makati, Philippines.

AMCHAM BUSINESS JOURNAL | JUNE  CORPORATE SOCIAL RESPONSIBILITY

P&G FUELS MSME DEVELOPMENT; LAUNCHES 'ANGAT KITA' PROGRAM

SUBMITTED BY PROCTER & GAMBLE

rocter & Gamble (P&G), in in the form of starter kit partnership with the Department packs worth ₱2,500 of of Trade and Industry (DTI), has P&G's best and fastest Plaunched the pilot of "Angat Kita", a micro- moving products such entrepreneur development program that as Safeguard, Head & aims to equip existing sari-sari store owners Shoulders, Pantene, with entrepreneurial knowledge, skills, and Whisper, Joy, Downy, best practices to improve and grow their and Pampers. This PROCTER & GAMBLE (P&G) PHILIPPINES, IN PARTNERSHIP WITH THE DEPARTMENT OF business. aims to help them TRADE AND INDUSTRY (DTI), RECENTLY LAUNCHED ‘ANGAT KITA’, A MICRO-ENTREPRENEUR P&G has developed the "Angat Kita" DEVELOPMENT PROGRAM THAT AIMS TO UPLIFT THE LIVES OF SARI-SARI STORE OWNERS BY practice what they EQUIPPING THEM WITH NECESSARY ENTREPRENEURIAL KNOWLEDGE AND SKILLS TO HELP program as a continuation of the company's have learned and THEM GENERATE MORE INCOME. advocacy to support the development of increase the size of local micro, small, and medium enterprises their business. (MSMEs). In previous years, P&G spearheaded "Launching the rehabilitation of over 4,000 public market Angat Kita reaffirms stalls, kiosks, and sari-sari stores devastated the company's by Typhoon Yolanda (Haiyan) to help them commitment to regain their livelihood back. P&G also hosted developing MSMEs an MSME Leadership College during the in the country. To PROCTER & GAMBLE PHILIPPINES THE PILOT SESSION OF ANGAT KITA, HELD AT Philippines' hosting of APEC in September further illustrate our (P&G) GENERAL MANAGER, SHANKAR MANDALUYONG CITY, WAS PARTICIPATED BY VISWANATHAN PRESENTS A PARTNERSHIP OVER 50 SARI-SARI STORE OWNERS MOSTLY 2015. commitment, we TOKEN TO DTI UNDERSECRETARY FOR COMPRISED OF MOTHERS. 'Angat Kita', which directly translates to REGIONAL OPERATIONS GROUP, ZENAIDA will also be holding CUISON MAGLAYA TO REAFFIRM THE "increasing profit" and "uplifting you", aims the second run of COMPANY'S COMMITMENT TO GROW THE MSME SECTOR IN THE COUNTRY. to help sari-sari store owners realize their the P&G MSME full potential to grow their income, sustain Leadership College livelihood and ultimately uplift their current on the sidelines of the status. ASEAN Summit in "Procter & Gamble believes that fostering November this year," MSME development is a prerequisite in says Viswanathan. achieving and sustaining broad-based socio- Apart from the economic growth. P&G Philippines is proud training, the micro- to have launched its first Angat Kita Session entrepreneurs also PROCTER & GAMBLE PHILIPPINES here in Mandaluyong City. In the succeeding became acquainted (P&G) GENERAL MANAGER, SHANKAR VISWANATHAN, AND DTI UNDERSECRETARY months, we aim to roll out in four other cities, with their local FOR REGIONAL OPERATIONS GROUP, ZENAIDA CUISON MAGLAYAARE JOINED BY touching and improving the lives of 1,000 Negosyo Centers, CITY BUSINESS PERMITS AND LICENSING DEPARTMENT CHIEF FOR MANDALUYONG PROCTER & GAMBLE (P&G) GENERAL micro-entrepreneurs," says P&G Philippines and learned about CITY, CATHERINE DE LEON ARCE DURING MANAGER, SHANKAR VISWANATHAN SHARES THE ANGAT KITA PILOT SESSION AT General Manager Shankar Viswanathan. the different services TO THE ANGAT KITA PILOT PARTICIPANTS MANDALUYONG CITY. THE SIGNIFICANT ROLE MICRO, SMALL AND Fueling the Growth of the MSME sector offered therein from MEDIUM ENTERPRISES (MSMES) PLAY IN THE with DTI. business registration, GROWTH OF THE PHILIPPINE ECONOMY. Over 50 sari-sari store owners from and trainings to help Mandaluyong City attended the pilot session them be better micro-entrepreneurs. of Angat Kita. P&G Philippines Consumer Negosyo Center business counselors from Insights Manager Daryl del Rosario, P&G the participating pilot cities also joined the Philippines Customer Logistics Manager Sean session as a preview to a more extensive Quinto, and P&G Philippines Finance Manager training for the roll-out of the program. Kimberly Hung conducted the trainings Sari-sari store owners who are that cover some of the best entrepreneurial interested to learn more about the program practices. from the five participating pilot cities may Media Contact: Participants learned concepts such as visit their respective Negosyo Centers and Merchandising, Book Keeping, Inventory inquire about the program. Procter & Gamble (P&G) Philippines Management, Finance and Pricing to make Ms. Anna Legarda them more competitive micro-entrepreneurs, [email protected] and received insights to provide better Green Bulb Public Relations customer service and innovative ideas to help sari-sari store owners grow their income. Mr. Macky del Rosario After graduating the program, all sari-sari Please visit www.pg.com/en_PH for the [email protected] store owner participants received seed capital latest news. +639177193583

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. œ AMCHAM ROUNDUP

WHAT APPRAISING PERFORMANCE APPRAISALS

HUMAN CAPITAL AND RESOURCES COMMITTEE

WHERE WHEN AMCHAM HALL APRIL 10 | 3 - 5 PM

GUEST SPEAKER DIVYA SHARMA, COUNTRY HUMAN RESOURCES LEADER, IBM PHILIPPINES

WHAT JOINING THE FIGHT AGAINST COUNTERFEITING

INTELLECTUAL PROPERTY RIGHTS COMMITTEE

WHERE ASIA PACIFIC COLLEGE WHEN APRIL 12 | 8:30 - 11:30 AM

SPEAKERS 1. EBB HINCHLIFFE, EXECUTIVE DIRECTOR, AMCHAM PHILIPPINES 2. TEODORO C. PASCUA, DEPUTY DIRECTOR GENERAL, POPHIL 3. BIEVENIDO MARQUEZ III, PARTNER, QUISUMBING TORRES, IP PRACTICE GROUP AND ITC INDUSTRY GROUP HEAD 4. DIVINA ILAS-PANGANIBAN, PARTNER, QUISUMBING TORRES, IP PRACTICE GROUP AND ITC INDUSTRY GROUP 5. PRICESS LOU MANAGUELOD ASCALON, GOVERNMENT AND REGULATORY AFFAIRS EXECUTIVE, IBM 6. ROYWEN (FE) ESCLANDA, LICENSE COMPLIANCE EXECUTIVE, AUTODESK ASIA PTE. LTD. 7. REGINA REYES-RARA, MANAGING PARTNER, MARKSPRO PHILIPPINES

 AMCHAM BUSINESS JOURNAL | JUNE  AMCHAM ROUNDUP

WHAT WOMEN IN LEADERSHIP SERIES

PROFESSIONAL WOMEN OF AMCHAM COMMITTEE

WHERE WHEN AMCHAM HALL APRIL 12 | 3 - 5 PM

GUEST SPEAKER DORIS MAGSAYSAY HO, PRESIDENT & CEO, MAGSAYSAY GROUP OF COMPANIES

WHAT USAID-STRIDE INNOVATION WORKSHOP ADVANCING THE AGRIBUSINESS INNOVATION ECOSYSTEM

AMCHAM SPECIAL EVENT

WHERE WHEN ORMOC, LEYTE APRIL 20 | 8:30 AM - 2 PM

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. AMCHAM ROUNDUP

WHAT AMAZING ASSISTANTS NIGHT

AMCHAM VISAYAS CHAPTER

WHERE WATERFRONT CEBU CITY HOTEL & CASINO WHEN APRIL 27 | 6 - 9 PM

SPEAKER HON. MARY ANN DE LOS SANTOS, CEBU CITY COUNCILOR, NORTH DISTRICT

Every year, Administrative Professionals Week is one of the largest workplace observances done on the last week of April, with social gatherings, and recognition. In the United States, the day is often celebrated by giving one's assistant gifts such as flowers, or lunch at a restaurant, or time-off. AmCham Visayas has brought this American tradition to Cebu to honor the Secretaries, Assistants, EA's, PA's, and Administrative Staff, whose indispensable work allow Executives and Managers more time to work outside the office, and to do strategic thinking and planning. Assistants help coordinate the Executives’ complex schedules, as they take care of all the little matters to make the latter’s work also more organized and productive. This year, these “unsung heroes of the corporate world” were honored with a dinner affair dubbed: "Amazing Assistants Night: A White Shindig" held at the Waterfront Cebu City Hotel & Casino on April 27, 2018. Keynote speaker was Cebu City North District Councilor Mary Ann De Los Santos, who spoke fondly of her own staff and how they support her in her legislation and councilor work. We chose the color "White" as it is associated with Honesty, Integrity, Sincerity. In serving our bosses and senior members of our companies, these traits are vital. We would like to thank our sponsors, Fluor Daniel and Metro Retail Stores Group, Inc. for providing the funds to host the event. Big thanks Holidays Travel & Tours for to Palawan for the grand raffle prize; and to also goes to Ms. Cherry Callelero of Grand giving away a round trip ticket Jenny Barte of Santa Fe Relocation Services and Arlene Pacaldo of Virtucio Catering for each sponsoring two different game portions. Also worth mentioning are the generous donors of giveaways and other raffle prizes, such as: Pacific Rim Natural Food Products, Marco Polo Plaza Cebu, Radisson Blu Cebu, Timex Phils., Peba Trading & Mfg. Corp., Airfreight 2100, Inc., Profood International, Uratex Foam, Crown Worldwide, 3M Phils., Titay’sRosquillos, Harolds Hotel, Chopstop, AGS Fourwinds, and Knowles Electronics (Phils) Corp. Lastly, this writer wishes to extend her sincere thanks to Anders Hallden, GM of the Waterfront Cebu City Hotel & Casino for providing much coveted tickets to the Boyce Avenue Concert happening on June 2, on top of the well-prepared dinner and excellent service. All attendees indeed went home feeling lucky!

AMCHAM BUSINESS JOURNAL | JUNE  AMCHAM ROUNDUP

WHAT BIG DATA SESSION

INFORMATION & COMMUNICATIONS TECHNOLOGY COMMITTEE

WHERE WHEN AMCHAM HALL MAY 4 | 12 - 2 PM GUEST SPEAKERS 1. JP PALPALLATOC, MANAGING DIRECTOR AND DIGITAL LEAD, ACCENTURE 2. DAVID FOOTE, FOUNDER & CEO, ZENNYA

WHAT AMCHAM PRESENTS SHERYL SWOOPES, WNBA LEGEND AND HALL OF FAMER

PROFESSIONAL WOMEN OF AMCHAM COMMITTEE

WHERE WHEN AMCHAM HALL MAY 12 | 12 - 2 PM GUEST SPEAKER SHERYL SWOOPS, WNBA LEGEND AND HALL OF FAMER

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. Ÿ AMCHAM ROUNDUP

WHAT MARGARITAS AND BURRITOS: A CINCO DE MAYO CELEBRATION

AMCHAM VISAYAS CHAPTER

WHERE EL VIENTO, MARCO POLO CEBU WHEN MAY 4 | 6 - 8 PM

WHAT WEATHERING THE STORM: US-CHINA TRADE RELATIONS - PLANNING YOUR BUSINESS AHEAD

MANUFACTURING COMMITTEE

WHERE WHEN AMCHAM HALL MAY 17 | 10 - 11:30 AM PANELISTS 1. USEC. NORA K. TERRADO, UNDERSECRETARY, TRADE AND INVESTMENTS PROMOTION GROUP, DEPARTMENT OF TRADE AND INDUSTRY 2. DAN LACHICA, PRESIDENT, SEMICONDUCTORS AND ELECTRONICS INDUSTRIES IN THE PHILIPPINES INC. (SEIPI) 3. BOBBY BATUNGBACAL, COUNTRY DIRECTOR, DOW CHEMICAL PHILIPPINES

 AMCHAM BUSINESS JOURNAL | JUNE  AMCHAM ROUNDUP

WHAT GENERAL MEMBERSHIP LUNCHEON MEETING

AMCHAM SIGNATURE EVENT

WHERE MAKATI SHANGRI-LA WHEN MAY 15 | 12 - 2 PM

WHAT NBA GAME 1 VIEWING PARTY

AMCHAM SPECIAL INITIATIVE

WHERE DIPLOMATIC HALL, MARRIOTT GRAND BALLROOM WHEN JUNE 1 | 9 AM SPONSORED BY

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. š AMCHAM ROUNDUP

WHAT GENERAL MEMBERSHIP MEETING: A FELLOWSHIP NIGHT

AMCHAM VISAYAS CHAPTER

WHERE HAROLDS HOTEL, CEBU WHEN MAY 24 | 6 - 9 PM GUEST SPEAKER SEC. ELISEO RIO, JR., DEPARTMENT OF INFORMATION AND COMMUNICATIONS TECHNOLOGY

› AMCHAM BUSINESS JOURNAL | JUNE 

AMCHAM ROUNDUP

WHAT JOINT FOREIGN CHAMBERS NETWORKING NIGHT

AMCHAM SIGNATURE EVENT

WHERE GRAND BALLROOM, THE BELLEVUE MANILA WHEN MAY 31 | 6 - 9 PM

AMCHAM BUSINESS JOURNAL | JUNE 

PUBLICATIONS UPDATE AMCHAM GUIDELINES FOR Articles SUBMISSIONS

as an e-mail attachment are also accepted.

• Images. If relevant to the article, images (logos, landscape, people, etc.) are encouraged. The ideal form would be a digital picture in the .jpg format with a resolution of over 300 dpi. Please include captions with photographs. Photographs will not be returned.

• Footnotes, Endnotes, and References. Footnotes and endnotes are discouraged, although they can be included if the author deems PHOTO SOURCE: © PIXABAY necessary. References, however, are encouraged, especially if they would prove useful for AmCham members. veteran to the green expatriate Journal would like to thank you for your efforts • Author Identification. fresh off the plane, to the stateside in the creation of a successful publication and Please submit a biography of manager just considering the looks forward to reading your articles. 70 words. This should include the Philippine marketplace. Also, every Texts, photographs, drawings, and other author's present position, company/ sector and industry has its own accompanying visual materials that appear organization, and e-mail address. lingo, and abbreviations may or may in the Journal may not be reprinted, copied, Appropriate content includes contact not be known to certain readers. or reproduced without the expressed or information, previous experience, Please try to make your writing written permission of the American Chamber educational background, and as clear as possible by writing out of Commerce in Philippines; upon such previously published articles. any acronyms, the first time they permission, acknowledgment must be given Also, while it is not mandatory, are used, and be sure to explain for any item reprinted, copied or reproduced the Journal prefers to include a any field specific language and as to the source of the item. photo of the author's profile with concepts. the biography.

• Style. Note Questions and Comments to the AmCham Please keep your audience in What makes the Journal a quality Editor would be happy to answer any questions mind. The readers of the Journal magazine are the efforts by experts both you may have regarding our publication. are well-educated and diverse. They AmCham members and others, who Please contact AmCham's Publications Team share an interest in the Philippines, contribute their time and knowledge at [email protected] or but their experiences can vary from to the magazine and ultimately, to the [email protected]. the ten-year Philippine resident AmCham membership. The AmCham

Ÿ AMCHAM BUSINESS JOURNAL | JUNE 

COMMITTEE FEATURE: SECURITY DISASTER RESOURCE GROUP THINGS TO LOOK OUT FOR ON CBRN INCIDENCE WITHIN REACH BY SSUPT. JOSE S. EMBANG JR., BUREAU OF FIRE PROTECTION

ou may be working in an of ce, an industrial company, a school or a church, however, hazardousY materials may just be around, without our knowledge, may be used anytime in a way that may endanger our lives. First, in an office, no matter how simple it may be, hazardous materials are present. There are common chemicals in our workplaces, from cleaning agents to ink cartridges, these all contain chemicals. When abused, misused or placed in areas where these are not supposed to be, may be mixed in other chemicals that may be mistaken for other things. You hear about Syria gas attacks, or Kim Jung-nam’s being attacked with VX in February 2017 in Kuala Lumpur. PHOTO SOURCE: WWW.DTRA.MIL/SUCCESS-STORIES/PHILIPPINES-CBRN-RESPONSE You may be thinking where the hell these things come from. In the Philippines, as a country privy to various International agreements, there are chemicals that are not supposed to be used or made in this country. However, this does not mean that in the absence of banned Systems. Assuming everything is in its say that there are signs and you are about substances, we are free from CBRN place. Yet, who holds the motivation to to intervene, the question that might come incidents happening. inflict harm upon others or upon one’s would be: how dare you to intrude into my In 2015, two persons were killed self? Going back to the preceding life? You might not even have the right to say after drinking milk tea from a milk tea paragraph’s question: How do we that I am sick. The motivation, once again, to house in Manila. Forensic examination decipher a motive that is and might do harm that may result to a CBRN incident, of the bodies of the victims, according to even be as hard to read as a Rosetta seems unfathomable. It looks like that “I police authorities revealed that the milk stone when one’s motive is in the head? wish nobody thinks bad and you be safe all tea contained oxalic acid, a poisonous Let us go back to the basics. We do time wherever you may go.” substance. Oxalic acid is used in not have a control of what people think, Lastly, who has the expertise to do such households as common cleaning agent however, there could be signs and a bad thing? You may not know technically for rust in clothes. How many mothers symptoms to look out to. On the part things are done or manufactured. However, may be using such acid perhaps know of emergency responders who provide the information is limitless online. DIY items how poisonous it is? Or whether the psychological first aid to victims of can be seen online. More so, an imaginative case is purely accident or intentional, various emergencies, the challenge for mind cannot be controlled as to what one how do we know and when do we know companies (and government) as well is really wants to do. As to experts, we have so far? How do we decipher a motive on how to address their own personnel experts in the archipelago. We have experts that is and might even be as hard to read who might be in need of psychological whose technical know-how are legally as a Rosetta stone? In environments support. Granting that we have a obtained; we can locate and identify where controlled by you, knowing what reputable team, the company might not they are. How about those whose expertise substances you have and the potentials monitor what the team members are are illegally obtained, how do we locate of these substances is basic in keeping going through on a day-to-day basis. them and how do we identify them? The one’s and everyone’s safety. You might not even know what hobbies rest of the homework is for government Secondly, a CBRN incidence is they might be exposed to or what other but a more vigilant information sharing fueled by motivation. A company may things they might be interested about. between the latter, the private sector, and be certified by local safety certifications Even the sites they might be visiting in the community is a key to achieving what or other standards like having an ISO the middle of the night, those things are we want - a peaceful community free from certification for Quality Management beyond an employer’s control. Let us CBRN incidents.

Ÿ AMCHAM BUSINESS JOURNAL | JUNE  FEATURE

THE MUCH AWAITED 'INTELLIGENT LEADER SERIES - LEADING CHANGE IN A FRACTURED WORLD'

SUBMITTED BY THE PEOPLE AT WORK

AN EVENT TO BE HELD AT NEW WORLD HOTEL, MAKATI CITY ON 13TH SEPTEMBER; LED BY DEAN WILLIAMS, A FOREMOST EXPERT ON LEADERSHIP.

ANILA, PHILIPPINES, x at [email protected]. For June 2018—The People At sponsorships, kindly contact: Cesar Ginete Work is pleased to launch on [email protected]. M“Leading Change in a Fractured World” in Manila. Conducted by Dean Williams, a The Intelligent Leader Series are much sought after leadership expert carefully organized high-level events across and speaker in both private & public Asia Pacific. It features distinguished sectors and a successful author of two speakers and thought leaders who share best-selling books, Dean will discuss and discuss critical top management issues and share the kinds of leadership and offer incisive, intelligent insights on needed to navigate today’s crazy world. forward thinking topics. Setting aside traditional leadership The People At Work is a leading Asia concepts, he challenges leaders to talent company operating from offices in apply creative problem solving and Singapore, Shanghai, Kuala Lumpur and adaptive change by building networks Manila with a long and successful track of people and crossing boundaries. record in Asia-wide searches. Founded Leaders will be compelled to think in 2000, the group provides retained differently about managing self as an executive search and leadership advisory instrument of power, and keeping the services across Asia in diverse industries self from fracturing. including Industrial, Consumer, Real Estate/ Join us on this first-time ever, 1-day Infrastructure and Private Equity. only, opportunity on 13th September at New World Hotel, Makati City. Meet other C-level executives and our sponsors at this pre-eminent leadership For more information: learning event. Tickets for this seminar can be Name: Cesar Ginete purchased on this website: xxx.com. Position: CEO For more information, please contact Contact Details: Claude Saco, on +63 (2) 840-1606 or [email protected]

THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. Ÿ Ÿ AMCHAM, ASIS, INTELLENET and CII COMMITTEE FEATURE: TRADE & INVESTMENT

COMMENTS ON WALLACE TALK ABOUT PHILIPPINE ECONOMIC AND POLITICAL CLIMATE BY SAAB MAGORA, JOHN CLEMENTS CONSULTANTS

fear due to an increasingly polarized society and a growing nostalgia for authoritarianism in both old and new democracies. From my standpoint, I think Wallace wanted to reiterate the rampant changes that had happened in the Philippines and its economy under the Duterte administration. To what extent do current regional political issues of the Philippines affect the country’s economic vulnerability? Should investors worry about what’s happening in Mindanao? After all this movement for liberty and globalization, why are we back to dictatorship and authoritarianism? How can businessmen be equipped to survive PHOTOS BY IVAN PALISOC a democracy filled with politically unstable markets? Is history repeating itself? This was the first question asked by a member of the audience, to which Wallace answered, “yes and no.” While some of the political ast May 23, 2018, I attended the primarily discussed exponentially and economic trends in Asia (particularly luncheon meeting, A Discussion growing themes in the political in the Philippines) can be attributed to on the Philippine Economic climate of Southeast Asia — increasing similar trends elsewhere and to the past, we Land Political Climate, hosted by the polarization, election of populist leaders must also pay attention to the differences, American Chamber of Commerce of without extensive political experience, especially in context to the themes in which the Philippines. Guest speaker Peter and increasingly partisan media outlets. these are occurring. Today, we live in a Wallace of the Wallace Business He noted that these themes have digital world, where institutions are more Forum, Inc. discussed some of the not only appeared in Southeast Asia, robust and intertwined; where technology emerging political and economic trends but also in other parts of the world, and media have more powerful impact and in Southeast Asia today. Do we really citing the election of Donald Trump in influence more than anything else. see parallels with the west? What are the United States as an example. For the the potential economic repercussions United Kingdom and some other parts of these political shifts and how can of the world, he emphasized that the businessmen best respond to these? recent populist trends reflect “politics of About the author: In his presentation, Peter Wallace, hope and fear” — hope for the masses a prominent political science scholar, and for the victory of the people and At 24 years old, Saab is currently a business development consultant at John Clements Consultants’ Staffbuilders Asia Division. She is currently an MBA-Marketing student at the De La Salle University- Manila. She is also a part-time writer/blogger and wedding planner.

John Clements is at the forefront of developing South East Asia's next generation of leaders. Their publication, the Looking Glass, provides access to industry guides, news, and updates. Contact John Clements through [email protected]. Tel.: 884- 2700; 884-1218; 884-1219. You may visit them at Level12B, LKG Tower 6801, Ayala Avenue, Makati, Philippines.

Ÿ AMCHAM BUSINESS JOURNAL | JUNE  THE AMERICAN CHAMBER OF COMMERCE OF THE PHILIPPINES, INC. Ÿ š BUSINESS OF BUSINESS LIVING IN PEACE AMIDST CRISIS AND TURMOIL BY ERNIE CECILIA, DPM ∆ "BEING SUCCESSFUL MEANS HAVING A BALANCE OF SUCCESS priorities straight and their lives in balance. Among those surveyed, 64 percent said STORIES ACROSS THE MANY AREAS OF YOUR LIFE. YOU CAN'T their biggest frustration was dealing with TRULY BE CONSIDERED SUCCESSFUL IN YOUR BUSINESS LIFE IF conicting priorities.” YOUR HOME LIFE IS IN SHAMBLES." — ZIG ZIGLAR This reminds of me the great, late Zig Ziglar who said, “Being successful means having a balance of success stories across the many areas of your life. You can’t truly be considered successful in your business life if your home life is in shambles.” Shallenberger says that our lives are divided into six areas – physical and emotional, mental, nancial, security and safety, social life and relationships, and spiritual.

Meditation He next recommends meditation not only for the yogis or the monks. Unbeknownst to many, meditation is much needed in the workplace. As a corporate slave, I bene ted from meditation as a stress-reduction tool, like power naps. You can meditate in two to ve minutes by closing you eyes, taking several deep breaths, imagining a serene and peaceful location, and focusing your mind. Airplane pilots meditate and visualize their ights for a few minutes before taking off. The human body and mind cannot operate effectively without ample rest. Meditation offers us an opportunity to clear and focus our minds and rest our bodies. PHOTO SOURCE: © PIXABAY Together with visualization, meditation can help you reduce stress, regain energy, nd inner peace, and gain control of your life.

Humor and laughter Perhaps, an underrated tool for nding peace is laughter. How many times did you hear that “laughter is the best medicine?” But, how many times did you believe? A eace is important and Peace amid turmoil great sense of humor is infectious and, necessary. You can’t operate in Steven R. Shallenberger is a unlike the u virus that is contagious, humor a hostile environment, whether successful entrepreneur, CEO, and laughter can bond people and increase Pyou’re a businessman, employee, executive, corporate trainer, and their happiness. common tao, politician, or a member community leader. He has four If properly used, humor and laughter can of an organization, family, sect, cult, “harmonizing principles of peace and help lighten a tense situation, brighten spirits, syndicate, or gang. balance that can help you clear your inspire hope, connect you with others, and Beauty contestants want world mind during even the most chaotic clear your mind of apprehensions, fears, and peace. According to Buddha, the only times at work or at home.” doubts. Then, you realize how easier it is to way to bring about world peace is to His rst principle in nding peace is focus on critical issues. make our own life peaceful. We often to increase the balance in your personal A good sense of humor can make you hear the church choir belt out a familiar life. According to a survey by Booz & look younger. Rather than make fun of line, “Let there be peace on earth, and Company, a great majority of “corporate others, cultivate a tasteful sense of humor let it begin with me.“ leaders have dif culty keeping their that recognizes sensitivities and sensibilities

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of others. I often use self-deprecating Positive light productive life. humor that settles well with my Shallenberger nally suggests that Two quotes from notable women: “Peace audiences. if you see yourself in a positive light, begins with a smile,” says St. Mother Teresa. I am glad to note that the world’s you’d be able to forgive yourself for On the other hand, Marianne Williamson concept of comedy or humor has possible mistakes and failures, and said, “The Ego says, ‘Once everything falls changed. In the past, you’ve got to be move forward more easily. Gandhi once into place, I will feel peace.’ The Spirit says, weird to be a comedian – fat, thin, bald, said, “Man often becomes what he ‘Find your peace, then everything will fall into cross-eyed, a dwarf, or with a kilometric believes himself to be.” This explains place.’” chin or deformities in the body. Today’s why positive af rmations and positive Let me salute and say goodbye to Gani highly paid comedians look normal or self-talk work well to see ourselves in a Galang, who recently found peace with his with great looks but are more quick- more positive light. Maker after living a full life and leaving a witted, self-deprecating, quick-thinking Holocaust victim and survivor great legacy! experts in timing their jokes. Viktor Frankl wrote, “Indeed, the Ellen DeGeneres was an outstanding major obstacle to your achieving the stand-up comedienne before she outcomes that you hope for in life are became the famous star and producer your thoughts.” of her own long running show “The Our subconscious can store millions For comments or questions please e-mail the Ellen DeGeneres Show.” Angelica of thoughts, but the conscious mind is author at: [email protected] Panganiban recently got the Comedian programmed to think only one single of the Year Award from a prestigious thought at a time. If you want positive group. Jokoy never fails to mesmerize results, think positive thoughts. Your his audience (with a signi cant number mind and body will feel what you allow of Fil-Ams) with his self-deprecating them to feel. If you start your day with About the Author: jokes about his travails as the son of a negative and bitter thoughts, these US military man who married a Filipina feelings will persist through the day. Ernie Cecilia, DPM, is a for her great cooking of Chinese food. Even if you’re faced with negativity regular contributor to the Jokoy made a hit out of her Filipina from all sides, you still have the nal AmCham Business Journal. mother’s all-around medical cure, the say whether you want to get affected Mr. Cecilia is the Chair of the Vicks Vaporub, and the misadventures or not. You can choose to respond to AmCham Human Capital of his rebellious sisters, his teenage the negativity with positive thoughts Committee and also Chair son, and his very own – from puberty to that can lighten your mood. Then your of the AmCham Publications the present. attitude will be more conducive to a Department.

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