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Private Sector Promotion (SMEDSEP) Program

Negros Oriental Provincial Micro, Small, Medium Enterprises Development Planning Workshop Rene Y. Paquibut www.smedsep.ph March 2011

About the PSP (SMEDSEP) Program Comprising over 99% of business establishments, micro small and medium-‐sized enterprises (MSMEs) play an important role in the economy of the Philippines. MSME potential for creating jobs is large, yet its growth is hampered by a weak business and investment climate (BIC)—the multitude of regulations and policies they must comply with; a lack of venue for MSMEs to push for changes in government service delivery; lack of access to finance and competent business development services. As such, the Private Sector Promotion (SMEDSEP) Program*, a technical cooperation project between the Republic of the Philippines and the Federal Republic of Germany, was conceived to help improve the Philippine BIC for MSMEs.

*also referred to as the Small and Medium Enterprise Development for Sustainable Employment Program (SMEDSEP)

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Contents Page Preface 3 Executive Summary 4 1 Introduction 5

1.1 Background and Objectives 5 1.2 Methodology 5

2 Results and Discussion 5 2.1 Articulation of the Aspirations for MSMEs in Negros Oriental 6 2.2 Analysis of Constraints, Opportunities, Strengths, and Threats (COST) and

Formulation of Strategies and Action Plan for the Sectors 6 2.2.1 Agriculture 7 2.2.2 Information and Communications Technology 11 2.2.3 Tourism 12

2.3 Orientation for the Provincial Micro, Small, and Medium Enterprises Development Council 14

2.4 Next Steps 16 3 Conclusions 16 Annex 1 Pictures 17 Annex 2 List of Participants 20

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Preface

The Magna Carta for Micro, Small, and Medium Enterprises (MSMEs) or R.A. 9501 created the MSMED Council to spur growth and development of MSMEs by facilitating and closely coordinating national efforts to promote MSME viability and growth including assisting relevant agencies in tapping local and foreign funds for their development, promoting the use of existing programs, and seeking ways to maximize the use of the country’s labor resources. In 1997, Provincial MSME Development Councils (PMSMEDCs) were established to be primarily responsible for the promotion, growth, and development of MSMEs in the provinces.

In recognition of the need to support the PMSMEDCs in the provinces to carry out their

mandate, the Department of Trade and Industry (DTI) Region VII—in partnership with the Private Sector Promotion Program (SMEDSEP) of the GIZ which works for the systematic strengthening of MSME competitiveness-‐-‐launched a series of planning workshops in the region. The planning workshop for the province of Negros Oriental was conducted on March 14-‐15, 2011. In attendance were the members of the PMSMEDC of the province and representatives of the private and public sectors. The participatory planning workshop was designed to: 1) enhance the capacity of the PMSMEDC to effectively perform their functions as mandated by law; and 2) ensure that the PMSMEDC supported MSME plan will be aligned to the development directions of the province as well as national strategies.

The outputs of the workshop are presented in this report for the adoption of the

PMSMEDC of Negros Oriental.

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Executive Summary

The Department of Trade and Industry (DTI), in partnership with the Private Sector Promotion Program (SMEDSEP) of the GIZ, identified the need to revitalize, if not activate, the Provincial Micro, Small, and Medium Enterprises Development Councils (PMSMEDCs) so that they could effectively perform their mandate as articulated in the Magna Carta for Micro, Small, and Medium Enterprises (MSMEs) or R.A. 9501. The initiative was to launch a series of participatory planning workshops in the provinces designed to: 1) enhance the capacity of the PMSMEDC to effectively perform their functions as mandated by law; and 2) ensure that the PMSMEDC supported MSME plan will be aligned to the development directions of the province and the national strategies.

A two-‐day planning workshop for the province of Negros Oriental was held on March 14-‐15, 2011 where representatives of the PMSMED Council and representatives of the private and public sectors participated in a process of articulating their aspiration for MSMEs, analyzing their constraints, strengths, opportunities, and threats, and crafting a plan for MSME development. These were done after the national MSME development framework and the provincial development direction were presented as inputs. The province of Negros Oriental identified the sectors of Agriculture, Information and Communications Technology, and Tourism as their economic drivers. As such, they would like these sectors to be given the full support of the PMSMED Council. They envision the MSMEs in these sectors to be globally competitive and are able to sustain their business operations profitably. Competitive MSMEs means more jobs and increase in gross domestic product—a formula for poverty reduction. However, the PMSMED Council need to work effectively to produce results in the four outcome areas of: 1) a supportive business environment; 2) access to market; 3) access to finance; and 4) enhanced productivity and efficiency of MSMEs. For the PMSMED Council to be effective, it needs to work on five success factors, namely: 1) a clear strategy; 2) a function-‐oriented structure; 3) effective cooperation; 4) results-‐oriented processes; and 5) learning and innovation. In terms of strategy, the two-‐day workshop produced strategies, projects/programs, and activities that resulted from a participatory process where both the private and public sectors were represented. The Council can start with this output. The Council can also adopt the proposed structure where their members are distributed to working groups based on the function that they are expected to perform, i.e. advocacy, knowledge management, communication, resource mobilization, capacity development, and monitoring and evaluation. With a strong support from DTI playing the role of its Secretariat, the Council should be capable of effectively carrying out its mandate. However, it has to strengthen cooperation primarily among the members and then its cooperation with other agencies outside of itself. As a Council, it has to work effectively using processes that are results-‐oriented. And finally, it should facilitate continuous learning and innovation to ensure that the Council remains to be a dynamic agent of development.

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1 Introduction

1.1 Background and Objectives

The Department of Trade and Industry (DTI), in partnership with the Private Sector Promotion Program (SMEDSEP) of the GIZ, identified the need to revitalize, if not activate, the Provincial Micro, Small, and Medium Enterprises Development Councils (PMSMEDCs) so that they could effectively perform their mandate as articulated in the Magna Carta for Micro, Small, and Medium Enterprises (MSMEs) or R.A. 9501. The initiative was to launch a series of participatory planning workshops in the provinces designed to: 1) enhance the capacity of the PMSMEDC to effectively perform their functions as mandated by law; and 2) ensure that the PMSMEDC supported MSME plan will be aligned to the development directions of the province as well as the national strategies.

1.2 Methodology

A two-‐day planning workshop for the province of Negros Oriental was held on March 14-‐15, 2011 where representatives of the PMSMED Council and representatives of the private and public sectors participated in a process of articulating their aspiration for MSMEs, analyzing their constraints, strengths, opportunities, and threats, and crafting a plan for MSME development. These were done after the national MSME development framework and the provincial development direction were presented as inputs.

2 Results and Discussion

MSMEs account for more than 99% of the country’s enterprises. Recognized as a means

to achieve the government’s goal to reduce poverty, the development of MSMEs is pushed as a major agenda. The result of the initiative to develop MSMEs is competitiveness-‐-‐so that they contribute to poverty reduction by creating more jobs and increasing the country’s gross domestic product. However, to make MSMEs competitive requires a supportive business environment, access to market, access to finance, and improvement in their productivity and efficiency. PMSMED Councils are expected to function effectively to produce results in those four equally important outcome areas.

To capacitate the PMSMED Councils to be effective, it must revisit its roles and

responsibilities relative to the MSME development plan. But it cannot be made solely responsible for planning MSME development since this should be planned primarily by the MSMEs themselves together with the agencies mandated to support their development. Indeed, it is important that the MSME development plan must be aligned to the province’s plan and should get its direction from the national MSME development plan.

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The first part of the two-‐day event was devoted to MSME development planning. This was then immediately followed by the PMSMED Council orientation. The results of the workshops are discussed in the succeeding subsections of this report.

2.1 Articulation of the Aspirations for MSMEs in Negros Oriental

Economic drivers are defined as those sectors where most of the MSMEs of the province are classified and which have a multiplier effect resulting to increase in economic activities. As identified by the provincial government and validated by the workshop participants, the economic drivers of Negros Oriental are: Tourism, Agriculture, and Information and Communications Technology (ICT). Tourism is an economic driver because it does not only spur the growth of enterprises directly providing products and services to tourists but also the growth of the businesses in the supply chain of the tourism enterprises. Agriculture related enterprises benefit from the growth of tourism as supplier of agri-‐based products. Correspondingly, the purchasing power of those who acquired jobs provided by the business process outsourcing (BPO) companies have spurred the establishment of businesses providing products and services to employees (i.e. restaurants, entertainment, transportation, dormitories, real estate, etc.).

A plan begins with the end, thus, the participants were asked to articulate their aspirations for MSMEs in the identified sectors of the province. They envision globally competitive MSMEs who have sustainable operations and are profitable. Consistent with the four outcome areas mentioned above, the participants wished that MSMEs are supported by a business environment where there is strong collaboration between the private and public sectors and standards are established and used for accreditation of enterprises in tourism. They wished that MSMEs are productive and efficient as they engage in more value-‐adding and environmentally sound production processes that result to high quality products and services. They wished MSMEs have waste management practices in place and are engaged in continuous research and development.

They wished MSMEs are able to expand their markets by way of a provincial brand that

could inspire pride in the Negrense. They envision a strong advertising campaign for Negros Oriental as a destination. They see a pasalubong center where all Negrense products are displayed. And finally, they wished that the MSMEs would be able to access funds so that they can finance their development plans.

2.2 Analysis of Constraints, Opportunities, Strengths, and Threats (COST) and Formulation of Strategies and Action Plan for the Sectors

Guided by the aspirations drawn during the first workshop, the participants were asked to surface and analyze constraints, opportunities, strengths, and threats to generate strategies for the sectors. What is important in this process is the recognition of opportunities and as such should be the basis for addressing constraints, maximizing strengths, and responding to threats. The strategies formulated as result of the COST analysis could be grouped in terms of the

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outcome areas earlier explained-‐-‐strategies for improvement of the business environment, access to market, access to finance, and productivity and efficiency. After the strategies were formulated, the participants proceeded to the identification of projects, programs, and activities that would give ‘flesh’ to the plan. These are presented in the succeeding subsections. 2.2.1 Agriculture There are opportunities for growth in the agriculture sector with food being a global concern. The growth in population and in tourism will undoubtedly require the sector to produce more. In addition, there is also a growing demand for organic and natural products that can be explored seriously if Negros Oriental wishes to be known as the ‘organic island’ of the Philippines. This opportunity may be tapped if Negros Oriental maximizes the available human and natural resources and the support of the local government units and other agencies. Also noteworthy is that there are available loan windows from banks and other financial institutions that MSMEs can access to finance the investment requirements of growth. Table 1 below presents the issues surfaced by the participants. Table 1. COST Issues in Agriculture

Constraints Opportunities Strengths Threats -‐ Lack of industry profile -‐ Conversion of agricultural lands to other use

-‐ Lack of common service facility for processed food

-‐ Lack of R & D laboratory facility

-‐ Post harvest facilities (inadequate/absence)

-‐ Non-‐compliance to international food standards for processed foods

-‐ Low productivity -‐ High cost of inputs -‐ 80% old farmers -‐ Insist on traditional farming

-‐ Diminishing interest of youth for agriculture

-‐ Lack of native or local food products

-‐ Limited capital /lack of capital/lack of funds

-‐ Apathetic attitudes (LGU)

-‐ Limited agri area for agri development

-‐ Inter island policies -‐ Farmers do not have economies of scale

-‐ Global demand for food products -‐ Growing number of foreign tourist -‐ Increasing population means increase demand for food/etc. -‐ Ready market for palm oil, rubber and jethropa -‐ Climatic conditions allow better agri-‐productivity for certain crops/products -‐ Trend: natural and organic products -‐ Demand of organic products by consumers -‐ Increasing demand for herbs and spices -‐ Finished market of product -‐ Ready and available technical manpower support -‐ New appropriate technologies

-‐ Supportive PGNOs, LGU support, devoted leaders into agriculture

-‐ Availability of resources (human and natural)

-‐ Abundant raw material supplies

-‐ Locally available raw materials

-‐ Availability of skilled workers

-‐ Land awarded to the farmers

-‐ Ready available production technology in agriculture

-‐ Available loan window from banks and other financing institutions

-‐ More areas still to be developed for high demand products

-‐ Vast track of land for planting palm, rubber jethropa, ilangilang

-‐ Declaration of Negros Oriental as organic island

-‐ Strong cooperative in the area

-‐ Support of academic institutions

-‐ Adequate infrastructure

-‐ insurance coverage is limited to specific crops/products -‐ export of raw materials -‐ WTO commitment -‐ Lacks of interest towards agriculture -‐ No more agriculturist -‐ Aging agricultural manpower technologist -‐ Cheap foreign products -‐ Imported products -‐ Competitors -‐ Climate change -‐ Natural calamities -‐ Typhoon, calamities & effect of global warming -‐ Insufficient budget for agriculture -‐ Profit oriented people in disregard of sustainability -‐ Massive pests / disease attack -‐ Fast population growth -‐ Instability of power -‐ Market stability of products

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-‐ Lack of food industry network

-‐ Limited knowledge of the farmers in modern technology

-‐ No support from agency concern/prioritization

-‐ Lack or insufficient of technical trainings

support

The COST analysis generated several options grouped by outcome areas in Table 2 below. While the strategies they formulated were in three outcome areas excluding access to finance, they recognized that these strategies would require funds. This is addressed in the Action Planning phase. Table 2. Strategic Options for Agriculture

Outcome Areas Strategies Business Environment 1. Creation of a network of Negros Oriental producers and processors to

undertake programs such as food safety and compliance to standards among others. -‐ Maximize strong cooperation in the area to patronize local products to

cushion impact to WTO commitments -‐ Create Negros Oriental food industry network / organize -‐ Strengthen: Farmers Associations, Fisher folks, RICs, 4-‐H clubs -‐ Establish Negros Or. Food safety programs to comply with standards -‐ Creation of market linking thru crop-‐trading or anchoring established buyer

2. Policy Implementation -‐ Full implementation of the comprehensive land use plan -‐ Strict land use policy -‐ “Stricter” implementation of a No-‐GMO-‐entry policy -‐ LGUs to adopt policies to accept/ implement programs which will be

sustainable 3. Promotion of Agri Related Careers

-‐ Encourage the youth for agricultural development thru scholarships, market opportunities finances in a youth, friendly style

-‐ Incorporate agri-‐subjects in all schools curriculum from elementary to secondary level

-‐ Allocate funds for agri scholars -‐ Avail of a socialized credit facility to be able to mass produce organic coco

sugar -‐ Implement/Adopt agricultural mitigating measures on climate change -‐ Budget of ID’d FMRs -‐ Provision of post-‐harvest facilities and equipment -‐ More funds for technology development and transfer

Access to Market 4. Establishment, consolidation of Baseline data on Negros Oriental Agri sector and Market Information -‐ Establish database of producers and processors -‐ Establish baseline information to match global demands/trend -‐ Expose farmers to new farming technology to produce high value and yet

affordable crops Productivity and Efficiency 5. Promotion, Implementation of Technology that will produce agri products that

meet market demand -‐ Enhancement training for the farmers availing the new/appropriated

technologies -‐ Conduct training for farmers on modern farming technologies

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-‐ Conduct more trainings and seminars to the farmers on modern technologies

-‐ Agriculture sector to conduct more trainings and improved/acceptable technologies on sustainable farming

-‐ Develop high-‐quality , safe and innovative products using local indigenous raw materials

-‐ Promotion of new/improve appropriate agri technologies -‐ Promotion of farmers information technology system center (FITI)

6. Production and Promotion of Organic Products -‐ Capacitate local processors to produce organic and natural products -‐ Full implementation of RA1068 Act of Agriculture in Negros Oriental -‐ Promote organic coco sugar -‐ Encourage farmers to go into coco sugar production instead of just

focusing on copra production esp. in times when copra price goes down -‐ Adopt organic farming

7. M & E -‐ Implement result monitoring and evaluation system

Aside from planning new programs, projects, and activities, the participants were able to discuss their existing initiatives. To avoid duplication and to make way for possible synergy among the agencies involved, their existing initiatives were surfaced and included in the plan. Additional initiatives were then included. Table 3 presents the output of the workshop. Table 3. Strategies, Programs/Projects, and Activities for Agriculture

Strategies

Regular and Existing

PPAs

Responsible Agencies

Additional PPAs

Responsible Agencies

Business Environment We Can Program NOCCI, AFOS Development of

Investment Portfolio in Agric of Negros Or.

PMSMEDC Organization, institutionalization of MSMEs and/or existing org. in the agriculture sector of Negros Or. Effective reward

system to motivate performing MSMEs

PMSMEDC

Establishment & updating of baseline data

Livelihood enhancement for Agricultural Devt.

LEAD, NAFC

Access to Finance Rediscounting program for MSME

Banks, PMSMED-‐C Harmonizing credit programs esp. of the government to avoid confusion

PMSMED-‐C, Banks

ATI Livelihood Assistance

DA

LGU Livelihood Assistance Program

LGU -‐ Bayawan

Credit facilities for coops based on their absorptive capacity

Sustainable Agribusiness & Rural Enterprise (SARED) for Agrarian Reform

DAR

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Cooperative -‐ Microfinance

Financing Programs DA, PAO, BFAR, RTFC -‐ 7

Access to Markets Business to business program

AFOS, OFIC, BBI Establish market information system

PMSMED-‐C and all Agencies

AMAD DA Benchmarking DTI, DOST, Province

Tabo sa PAO PAO Organic Certification (Eco Cert., OCCP, etc.)

Province, NISARD

Bagsakan Market LGUs Trade Fairs and Food Exhibitions

DTI, MSMEs

Kasaligan Transport Services

Product Development Program

DTI, DOST

Exploration of new markets and expansion of existing markets of organic products

Designers Pool DTI Productivity and Efficiency

Capability Trainings and Entrepreneurship Development

DA, DTI Research-‐based extension and extension based research

Research and extension development

DA Common Service Facilities for R & D Lab Activities

DOST/Province

University Research & Extension Programs

Universities Entrepreneurial education of Micro Enterprises

DTI, Academe

On-‐going training on organic/natural farming system

NISARD Creation of Negros Oriental Food Safety Team

DOST

Technology demonstration

DA Conduct Techno Demos of Coco Products and By-‐Products

PCA

Set-‐Up Program (Provision of funds to acquire/procure equipment)

DOST Research to develop fast growing and efficient fish in ponds/pens and cages

BFAR / DA

Farmers Information Technology Service

DOST , DA, Academe

Conduct of Food Technology Programs

Academe, DOST, Stakeholders

Agri Student Scholars Silliman University Research to develop rice on less water

DA

Farmer Field School Bais Family Farm School

Implementation of FGD, Value Chain and Road mapping activities

NOCCI, DTI, DOST, AFOS, DA

Promotion and implementation of appropriate technologies required to produce organic food products and other products prioritized by the sector

Food Safety and Technology Program

DOST, NOCCI , AFOS

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Sustainable agriculture NOCCI, AFOS Capability Trainings and entrepreneurship Devt.

Agri Credit Policy Council

MPEX DOST Dasig Program (Devt. In Agri Sustainability Initiatives for Growth)

LGUs

Young Farmers Technology Training Program (YFTTP)

NAFC

CAPE/FITS – Consultancy on Agricultural Productivity & Efficiency

DOST

Trainings DA, PAO, BFAR, RTFC-‐7

2.2.2 Information and Communication Technology (ICT) Tables 4 and 5 below present the outputs of the workshop for the ICT sector. Table 4. COST Issues in ICT

Constraints

Opportunities

Strengths

Threats

-‐ capital intensive oriented -‐ lack of houses for employees

-‐ Gap or mismatch between skills of graduates and industry requirement

-‐ Lacking infrastructure -‐ Lack of PEZA zones/building

-‐ Political instability -‐ Customize policies to fit requirement of BPO/ICT sector

-‐ Lack of available funds from banks

-‐ Tax breaks in real estates

-‐ Emergence of new IT-‐BPO jobs

-‐ Growing global market -‐ Investment source -‐ Employment -‐ Massive applicants -‐ Unsaturated market -‐ Influx of service companies

-‐ Quality education -‐ Volume of workforce -‐ Communication facilities (connection) in Dumaguete and Tanjay

-‐ Power source -‐ Available areas to be developed

-‐ Availability of BPOs (success stories a marketing tool)

-‐ Big source of labor being a university city

-‐ Presence of supportive policy makers

-‐ emerging ICT destinations

-‐ pirating of skilled labor

-‐ labor piracy -‐ power availability/steady supply

-‐ environmental issues

-‐ global economic crises

-‐ mainstreaming of home-‐based operation

Table 5. Strategies, Projects, Programs, and Activities for ICT

Strategies

PPAs

Accountable Agencies

Timeline

Business Environment Develop partnership with LGU for law and policy formulation in support of ICT

Seek representation in Local Development Council to propose policies

ICT-‐Dumaguete June 2011

Access to Market

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Invite BPOs in Animation Software Development, etc.

Investment Promotion Program

DTI, NOIPC On-‐going

Access to Finance Promote ICT MSMEs to Financial Institutions

Communicate the performance of ICT MSMEs


Productivity and Efficiency

To collaborate with agencies of education to address the mismatch between industry requirement and graduates’ skills, knowledge, attitudes and values

-‐ Revise curricula to meet industry Requirement -‐ To come up with the Industry Needs Analysis and recommend the integration of industry needs into the curricula

ICT-‐Dumaguete, TESDA, CHED, FU, SU, SPUD, ACSAT, NORSU, AMA, STI, COSCA

On-‐going March 2013

Establish relationship with NORECO

Invite NORECO as member of ICT Dumaguete


2.2.3 Tourism Tables 6 and 7 present the workshop outputs for Tourism. Table 6. COST Issues in Tourism

Constraints

Opportunities

Strengths

Threats

-‐ Political appointees -‐ No concrete political will -‐ Participatory in the formulation of Negros Or. Tourism master plan -‐ Limited research data (outdated/lack of data) -‐ Attitude of the people -‐ Unfinished infra to destinations -‐ Update the Neg.Or. website -‐ Poor transport facilities -‐ Inaccessible downtown area -‐ Unorganized tourism stakeholders -‐ LCE has lukewarm attitude towards tourism devt. -‐ Problems on attitudes -‐ Infra must focus on on site at a time -‐ LTFRB moratorium on public ratotium on tour transports -‐ Lacks coordination of the public and private

-‐ No. of foreign students/visitors

-‐ Existence of a university town

-‐ Presence of tourism sites -‐ Way of promotion -‐ Supportive LGUs -‐ Strategic location basks outside the typhoon belt

-‐ Good eco tourism sites -‐ Road map Negros Oriental products/foods

-‐ Educational Tourism -‐ Huge potential areas for devt

-‐ Conventions destination -‐ Sports tourism destination -‐ Health and wellness tourism

-‐ Excellent homegrown guides (retirees)

-‐ Top 20 province to live in -‐ University town -‐ Marketing media -‐ Growing subdivisions -‐ Business spillover from neighboring provinces

-‐ Modern

-‐ Clean beaches/vast shoreline -‐ Availability of raw materials (abaca fibers) -‐ Pool of highly trained human resources -‐ Job opportunities -‐ Presence of environmental group in Negros Oriental -‐ Presence of Tourism sites -‐ Respective government sector -‐ People -‐ Existence of university town -‐ No. of BPOs -‐ Make (hot spring) water accessible to potential resort -‐ Good number of restaurants -‐ Numerous idle lots -‐ Numerous tourist destination

-‐insurgency -‐ fuel increase -‐ competition (local, regional, national -‐ natural/manmade calamities -‐ negative impact on environment -‐ unpreserved urban landscape -‐ environment degradation -‐ HIV / AIDS trafficking -‐ no proper monitoring

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sectors -‐ Lack of video cups on public transport -‐ Lack of tour guides -‐ Lack of advertisements -‐ Lack of experience -‐ No direct trip of fast ferries from Dumaguete-‐Cebu and vice versa -‐ Update the negros oriental tourism website -‐ Promotion of food products in Negros Orietal -‐ Negros Oriental does little to market itself -‐ Source of communication -‐ Availability of accredited Tour guides / lack of tour guides -‐ No international standard signages -‐ Lack of advertisement -‐ Lack of infor dissemination -‐ Lack of information on tourism activities -‐ No marketing plan -‐ Lack of training and standards -‐ Lack of protocol in tourism sites -‐ Poor roads to existing possible destination -‐ Limited transpo to other areas esp. those out of town -‐ Absence of facilities -‐ No tatk negor products -‐ Provide shuttle service for tour groups -‐ Where is the official delicacy -‐ No concrete political will -‐ Limited network with private industries -‐ Training is properly done

materials/technology for beauty enhancement

-‐ Good Ecotourism sites

Table 7. Strategies, Projects, Programs, and Activities for Tourism

Strategies

PPas

Accountable Agency

/Org.

Timeline

Business Environment Cooperation between NOTC and SMED Council

Joint meeting/Planning

Negros Or. Tourism Council & SMEDC

Monthly

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Enhance Support Services for Tourism

Lobby for policy on tourist transport franchise

MSMED Council Next MSMED Council Mtng

Access to Market Familiarization Tours NOTC / PTO / PPDO April 2011

Summer Collection Fair PTO

May 2011

Market Development

Annual Neg. Or. Trade Fair Productivity and Efficiency

Create Guides and Activities DH

Product Dev on Food & GDH DTI Value Chain Training DTI

Product Development

Strengthen/nurture existing TAOs (Tourist Assistance Officers)

PTO

2.3 Orientation for the Provincial Micro, Small, and Medium Enterprises Development Council (PMSMEDC)

The orientation started with the presentation of the roles and responsibilities of the Provincial MSME Development Council as mandated in R.A. 9501. The Council is primarily responsible for the promotion, growth, and development of micro, small, and medium enterprises in the provinces. To do this the Council must be effective. The five success factors in the management tool called Capacity Works were introduced to the Council for adoption. These five success factors are: 1) strategy, 2) structure, 3) cooperation, 4) processes, and 5) learning and innovation. In terms of strategy, the Council can start with the output of the planning workshop presented in this report. These strategies, projects/programs, and activities are grouped by outcome areas and are determined to result to the competitiveness of the MSMEs in the province. However, for the strategies to be implemented well the Council must be organized to produce the results expected of them. It is proposed that they organize their structure based on the functions they are suppose to perform, i.e. advocacy, capacity development, knowledge management, resource mobilization, monitoring and evaluation, and communication. The members of the Council may be distributed to working groups where they are expected to contribute the most. The provincial DTI is to perform the function of the Council’s secretariat. The figure below presents the proposed structure. During the workshop, the members of the PMSMEDC were requested to volunteer to specific working groups. The list below is for the consideration of the Council:

• Advocacy : Nick, ICT-‐Dumaguete, DOLE, NISSARD, William Abay, LGU-‐Dumaguete City • Communication: Nittz Bangay, Jennifer Tilos • Resource Mobilization: Stella Lezama, Juventud Chavez, LBP, DBP, DCDB

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• Capacity Development: Babbu Wenceslao, DOLE, DOST, Katherine Vinarao, Nittz Bangay • Knowledge Management: Theresa Quijano, ORICA, Joy • Monitoring and Evaluation: DCDB, LBP, DBP, LGU-‐Dumaguete City

Strategy and structure are not enough to make the Council effective. They need to

cooperate with others in varying degrees. The Council went through a ‘cooperation mapping workshop’ where they identified with whom they need to cooperate and in what degree. The figure below presents their cooperation structure.

Figure 2. Cooperation Structure

Figure 1. Proposed Organizational Structure of the PMSMEDC

Executive Committee

Knowledge Management Working Group

Monitoring and Evaluation Working Group Resource

Mobilization Working Group

Communication Working Group

Capacity Development Working Group

Advocacy Working Group

Secretariat

Primary

Secondary

Tertiary

SONAMCO, DCDB,

NISSARD, ORICA, PAO, PLGU, City LGU, DBP, DOST, LBP, CBFMMP,

DOLE, PPDO, DTI

SINATO, NOCSF, Silliman University, St. Paul University, STI, ACSAT, DOST, DA, DENR, MAOCAMA Association, Sibulan, Dumaguete City, Valencia, TESDA, FIDA, NGOs in Agriculture, Big Cooperatives in Negros Oriental,

NORSU, CVIERRD

CICT, FDA, CDA, PCARRD, NICP, UPLB Alumni, BFAD

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The quality of the results of the Council is also very dependent on the quality of the processes that take place during their meetings. Thus, the Council was reminded that they have to make their meetings very effective to make the most out of it. In a brief workshop, the Council surfaced some processes as critical to their effectiveness:

• Decision Making • Pass resolution • Agenda Setting • Elicit Support and Cooperation • Prioritizing Activities • Reporting • Budget Preparation • Recommend Policies • Plan Update • Use Robert’s Rule of Order (parliamentary procedure) • Observance of Protocol and decorum • Setting Timeframe and Deadlines • Delegating Responsibility to appropriate Working Group • Data generation and utilization • Encourage participatory approach • Alignment of Projects • Setting directions • Proper documentation • Cross-cutting with related sectors • Resource allocation

The fifth success factor is ‘learning and innovation’. It is the responsibility of the

members of the Council that learning and innovation are facilitated and encouraged. With the assistance of the Secretariat, processes, agreements and results need to be properly documented so that knowledge becomes available. Such knowledge then can be source of learning especially since membership to the Council is not a permanent appointment. As members change, knowledge is made available continuously and from such knowledge innovation may ensue. After all, the Council should find better ways of doing things if they are serious in promoting, growing, and developing MSMEs.

2.4 Next Steps

After the workshops, the Council agreed on the following:

• To convene on March 25, 2011 at the Governor’s office at 9:00 A.M. • There must be 100% attendance of members • To include in the agenda the issuance of a New Executive Order by the Governor (as

Chairman of the Negros Oriental PMSMED Council)

3 Conclusion

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The two-‐day workshop was concluded with a ceremony of commitment. The

participants expressed their love for their province and their commitment to proceed with the implementation of the plans by signing and placing their palm prints on a commitment wall. They AIMED, BELIEVED, and COMMITTED.

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Annex 1

Pictures

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Annex 2

List of Participants

NAME POSITION COMPANY / ORGANIZATION

1 RAMON F. SUN MKTG. CONSULTANT SPUD

2 DAISY T. MANALILI DESIGNER FREE-LANCE

3 CESAR T. TINAY FACULTY F.U.

4 GONZALO BULACLAC FACULTY COSCA

5 MIRIAM BACALSO GIZ-PSP

6 RITA PILARCA SR. ADMIN GIZ-PSP

7 RENE Y. PAQUIBOT GIZ-PSP

8 STELLA F. LEZAMA V-C ORIENT GIFTS/SMEDC

9 RAMON CHITO ELIZAGA OWNER ZIGMUND ENTERPRISES

10 JUVENTUD V. CHAVEZ GEN. MANAGER SONAMCO

11 JOBERT KLEINE KOERKAMP

BUSINESS MANAGER BBI

12 JOCELYN R. MAXINO SQA MANAGER ORICA

13 ALFREDO ARZAGA MANAGER HI-POINT EMISSION

14 ROMEL MOLINA BDS/OFFICER BPI GLOBE BANKO

15 EMMANUEL DEJARESCO NEG.OR. ARTS & HERITAGE

16

JESILA A. OCARIZA TESDSP TESDA

17 JOCELYN P. GONGOB PPDC PPDO

18 SOFIA P. AREVALO PO IV PPDO

19 NANETTE T. TINDOC PEO II PPDO

20 WILLIAM ABAY ADMIN. NISARD

21 LEONIDES P. CARO ENGR IV CEO

21

22 JOSE JULIO SOMIDO TIDS DTI

23 ARTHUR V. GOMEZ LOAN PROCESSOR DCDB

24 JOSELITO A. SAPUAN MANAGING DIRECTOR NEGOR DAIRY

25 ANTONIO A. WENCESLAO AFOS/NOTC

26 DANAH V. FORTUNATO CORP SECRETARY ICT DGTE.

27 PETER E. ENFESTAN BUS. DEV. MANAGER FU-DBP SPEEDBAC

28 RUTHELYN PORNOSDORO

BLISCOFA-TREASURER BLISCOFA, INC.

29 MA. CHARLOTTE CARIÑO DEAN F.U.

30 J.Z. ANTIQUIERA, JR. OSDD MANAGER ORICA

31

THERESA A. QUIJANO CBFMMP

32 KATHERINE GAY VINARAO

MFG DIRECTOR OFIC

33 MAE MAGDAMO SALES & MKTG OFIC

34 VAL VINARAO ARCHITECT/ COLLEGE INSTRUCTOR

DESIGNER/FOUNDATION UNI DEPT. OF ARCHITECTURE & FINE ARTS

35 RANDOLF T. BANDIOLA ICT-DGTE

36 NICHOL R. ELMAN S.U / NOTC

37 ALEXANDER UDJAJI PRESIDENT UAP-DGTE. CHAPTER

38 SATURNINO SANTOS B.O.D, CHAIRMAN BLISCOFA

39 MACRINA FUENTES ORIENTWIND

40 FRANCISCO MARTINEZ EXEC. DIRECTOR NOIPC

41 MARIO BILOCORA BRANCH MANAGER BPI GLOBE BANKO

42 CARLA MAE TRASMIL TELLER BPI GLOBE BANKO

43 EDILBERTA N. SOGOCIO MANAGER BLISCOFA

44 MARIBEL V. SUMANOY STIDS DTI

45 ROSELYN S. AMARANTE FISH. TECH BFAR-NOPFO

22

46 JOVENCIO C. FELISILDAD HEAD VIP CENTER, LGU VALENCIA

47 BOBBY F. VILLASIS TO ASSISTANT NEG OR

48 ARNEL AMOR DAR

49 MARITA M. SOMIDO CDO PCA

50 ROSE MARIE R. GONZALES PO II LGU- DGTE

51 EVELYN JANDOG ACC I PAO

52 AVA SHERYL TAN LGOO V DILG

53 ASTER CABERTE RD DTI-7

54 ERNI G. JORBINA AA DOLE-7

55 OSRIC PRIMO BERN A. QUIBOT SRSI DOST-NEG OR

56 WILLIAM ABLONG CITY ADMINISTRATOR LGU- DGTE

57 BERNARD R. LIMBAGA DA

58 JENNIFER TILOS PIA

59 CINDERELLA MAKASIAR CITYTOURISM

60 ARLYN L. NAVARRA DBP- DGTE

61 NENA LOCSIN FIDA

62 ANGELIN BANDAL PAO

63 ROBERTO RAYMUNDO PTO

64 CHARLES YEE ICT-DGTE

65 ADELINA BALATAYO DTI

66 ANGELINE GONZALEZ DTI

23

67 VENUS PURACAN DTI

68 ROSE MAY BALAURO DTI

69 NITTZ BANGAY PAO

70 GLENN CADORNA LA LIBERTAD

71 BELLAHERMOSA SAGARIO

DENR

72 ANDREY TUMULAK CTO

73 CATHERINE PARRAS LBP

74 ISMAEL MARTINEZ V-MAYOR BAYAWAN

75 LORRAINE GAMBOA PTO

76 ALEJANDRO RAFAL DA

77 EDWARD DU NOCCI

78 LYNDON ELEMIA LGU- DGTE

79 GERARDO KINILITAN LBP

80 ELVIRA BATION DAR

81 ATTY. JOE ARBAS CITY COUNCILOR

82 MELLIMORE SAYCON BOARD MEMBER

83 OLIVET SOMIDO DTI

84 ROSELYN SUELTO DTI

85 EDDIE DELA RAMA DTI

86 MEDIANERA FERNANDEZ DTI

87 DR. RECTO REYES NORSU

88 MARCHITA TUALE LGU-BAYAWAN

89 JOEBERT KOERKAMP BBI

24

90 DITAS J. DIAGO DJD HANDICRAFTED GIFTS

91 JOCELYN MAXINO ORICA

92 REY NICANOR O. DIGA V-MAYOR OFFICE DGTE

93 JOSE ARNEL FRANCISCO GOVERNOR'S OFFICE

94 RENEL D. PINERO GOVERNOR'S OFFICE

95 SPO1 CUDIAS EL GOVERNOR'S OFFICE

96 ALAN BISNAR LANDBANK

97 ANTONIO REMOLLO CITY COUNCILOR

98 DARYL LIMPAHAN DTI

99 OLIVER UNTOY R7

100 JAVIER FORTUNATO JR DTI

101 HERMEL SUN DTI

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