the asian manager, january 2000 issue

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IIfiNHNMMN r r .l I { I FIRST OURSTTR 2OOO ENTREPRENEURIAL MANAGEMENT The Calculus oF FamilyConglomerates LEADERSHIP rr-o* . sp.rt ,t* New Language of Business INTERNATIONAL MANAGEMENT . A TaIe of Two Chinas? MARKETING Jollibee: Three Hundred Fifty Steps in One Direction ORGANIZATIONS HR Needs to Lead the Wav to Business Success I ffiruu

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January 2000 Issue

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Page 1: The Asian Manager, January 2000 Issue

IIfiNHNMMNr r

. lI

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FIRST OURSTTR 2OOO

ENTREPRENEURIALMANAGEMENT

The CalculusoF Family Conglomerates

LEADERSHIPrr-o* . sp.rt ,t*

New Language of Business

INTERNATIONALMANAGEMENT

. A TaIe of Two Chinas?

MARKETINGJollibee:

Three Hundred Fifty Stepsin One Direction

ORGANIZATIONSHR Needs to Lead the Wav

to Business Success

I

ffiruu

Page 2: The Asian Manager, January 2000 Issue

i J

THp AsnN MeuncpRffivrr.rrl" Quarter 2000

ASIAN INSTITUTE OF MANAGEMENT

President: Roberto F. de OcampoDean: Jesus G. Gallegos Jr.

Associate DeansMBMr Horacio M. Borromeo Jr.Exccutive Education: Gloria M. de GuzmanResearch: Patricia Denise LopezMM: Elenita C. PanganibanCDM: Vctor E. TanEMBA Corporate Change Program: Kim Y Volf

ChiefFinance Oflicer: Ma. Elena B. HerreraChief Knowledge Officer: Gaston D. Onigas Jr.

Felipe B. AlfonsoExecutiu Director

Ramon V del Rosario Sr, Asian Center forCorporate Social Rcsponsibiliry

Felixberto U. Bustos Jr.Executiue Director

Gov. Jose B. Fernandez Jr Cenrer forBanking and Finance

Manee P CeliErecxtiue Dirertor

International Relations & Scientific ResearchFoundation

Eduardo Morato Jr.Etecttiue Director

Asian Center for Entrepreneurship:

Chito B. SalazarExecutiue Directot

!01 SyCip Policy Center

The Asian Manager

Editor-in-Chief Jet Magsaysay

Managing Editor: Jocelyn de JesusAssisrant Editor: Kristine Domingo

Art Director: Manny Fspinola

Operarions Ofiicer: Yvette Bautista-Evangelista

Circulation Officer: Eden S. Cardenas

TheAsien Managcr is a quarterly publication ofrhetuian lnsritute ofManagenent [MITA (P) 042/10/98KDN PP (S) 1076/3/2000 rSSN 0r l6-77901, wnheditorial ollces ar thetuian Insrirute ofManagement,123 Paseo de Roxas, Makari Ciry, Philippines.Tel \632) 892-4011 -25i 892-0435-43:Telef ax: (632) 89 3 - 33 4 t.

lnternet Ad&ess: tan@latasen e. ain. edx. ph

Collt@t t999The Asiarl� Manager. All rights reserved.Reproducr ion in rny m.nne n whole or in prn inEnglish or other languages wirhour prior wriftenpeffnission prohibired. Prinred by Times Printe.s Pre.

ENTREPRENEURIAL MANAGEMENTThe Calculus of Family ConglomeratesTbrce entretreneutial ,4sian families dzbunht!.ndard notiow abo.ut che iegion\ conglomerares.Tbeir formuk: it's all in tht irithmeticBy Prof. Eduardo Marato Jr.

LEADERSHIPHow to Speak the New Language ofBusiness, EverywhereThroughour the wortd, languages differ but tbequestiin is thc vme: How-can1 thiiue in the plobdlinarhetpkce? fbe awwer: first, you mwr becimeglobal[1 literarc

By Richard Rosen, with Patricia Digh,Marshall Singer. and Carl Phil ips

INTERNATIONAL MANAGEMENTA Tale of Two Chinas?An ambitious oroiect in China that wa meant nshou'case the s'neigtb ofits ttuo parmtrs ouerseasand mainhnd CEines| iwrcid illusnate' thatdffircnces in cubare ofen eclipse any imilaritiesBy Prol Derek Liew

MARKETING

Jollibee: Three Hundred Fifty Stepsin One DirectionBehind-the phe_no.menal uccess of the mott popularAsian fast-food chain - Iinhins hoft than 340stores in rio bemispheret - i: i singh-minded focuon one all-rmporrdnt c4ttom Jegme t

By Tony Thn Cakriong

ORGANIZATIONSHR Needs to Lead the Way toBusiness SuccessHR people must talh less and delioer more, manaychait2e, hnou, their business, understand financialma,nigc m ent, prouidz efec t i ue lcadzrshif , a nd.addu4lu? to lh?tf ofga4rzattoa 4 thal 4re lo tutue

Les Pickett interviews Dave Ulrich

CoverAn: Sunrise /Charlie Hill/ Supe6tock HKView elements added/modilied by MaDny Espinola/IAM

: 1 0&.*".,,-.-

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, ,23

Page 3: The Asian Manager, January 2000 Issue

f Trainers' Worhshop on

Improving Training Quality (ITQ-3)through Peer Learning and Distance Mentoring

March 20, 2000 - Marf,h 2001

@FirWorld Bank Institute (WBD/the World Banlq in paruroship with the Continuing Education Cent€r (CEC)/

Asian Institut€ of Technolory (AIT), and College of Educatiorl University of lllinois, wi

organize thisITQ3 wo*shop as a collaborative leaming opponunity for senior sahers to study and work together,througl real and virtual group interactions, to improve their mastery of innovative training desigt

curriculurn dsvelopment and leaming melhods applications. This problem-solving and output orientedtraining fogram will be delivered in 5-phases:

Phsre-l: Pro-Worklhop loteruet/Web-based Briefi ng & DiscuJliotr( I month: stnting Mach 20, 2000 at oun insitution/horne-base)

Ph$e-2: Pe€r I"earning & Group Training Activity(2.5 weeksi April l'l -May 3,2ffi0 at CEClA-n, Baagkol Tlniland)

Phase.3: Distance Mertoring through Otrlitre Coschirg(6 montbs: May - Novemb€r 2000 at ovn iq$ittlion/lrcme-base)

Phase4: Peer Review: R€sults Demorstration end Erperience Sharing( I week November 20-25, 2000 in Perung, Malaysra)

PbssFS: INtitutionslization Process: Frce After-Trslning Consultation Service(3 months: Decernber 2000 - I4arch 2001 at own institution/home-base)

This workshop is organized as pad of the world Bank Institute (WBI)'SKtrowle@e Utilizatiotr through lJsrdrg Technologier (Kttl-l) progrrn

Di!.seg4&!l84-@:

Asiau Institute of Managernent (AIM) Alunni wiu be ollerql a 107" dilcount of the Workshop FeeWorkshop Participmfs witl be responsible for their otrn airfare, board & lodging costs.

For ftrdher information on this Workshop and/or to obtain UE Apolication Form- Dlease contact:

Dr. Rorny AdhikarvaSenior Training OfI & KIILT Prograrn ManagerWorld Bank institute (WBI)The World Bankl8l8 H Saeet, N.W.Washingtoru DC 20433, USAPhone: (l-202) 4734305

Eax: (l-202) 522-1492E-mail: [email protected]

Dr. Nicanor C. AustdacoExecBtive DircctorContinuing Fducation Cent€r (CEC)Asian lnstinie of Technoloey (An)PO Box 4, Klong LuaagPalhumthani 12120, THAILANDPhone: (66-2) 524-5270 $ 94-5272

Fax: (66-2) 524-524'7 or 516-2126E-mail: [email protected]

Workshop Website:www.worldbanko rqlwbi/itq -3

Sponsors

@rrrrtKilU

Acen (i *** ""]i@+

,*i#ffH_ $rr'-i

---Workshop

t!E\r

Page 4: The Asian Manager, January 2000 Issue

TNTREPBENEUBIf,T

The Calculus ofFamily ConglomeratesBy Pro[ Eduardo A. Morato Jr.

Tlsree entrepreneurial Asian families debunk the standard notions about the regionls conglomerates.

Theirformula: ir's all in the arithmerir.

In the frenetic finger-pointing that followed theplunge of the region into economic crisis, the Asianfamily conglomerate became one of the pundits' fa-vorite "culprits." Specifically, many "experts" pointedto the seemingly random, unfocused way the rypicalAsian family expanded and diversified its businesses.

Like all such generalizations, this accusation wasonly partially true, at best. To grasp the unique logicofAsian family conglomerates, one has to resist glibprescriptions. To fully understand the Asian family con-glomerate, one has to go deeper into the calculus oftheir growth, which Prof. Morato explains in thisar cle.

ow do Oriental enterprises bloom in the

lotus pond of competitive business? $7hatcalculations enter their business arithmetic?

The stories of three entrepreneurial clans, three suc-cessful conglomerates, in three different Asian coun-tries provide instructive insight. The Raivas and theirspouses of Thailand, Tunku Abdullah and his royalbrood in Malaysia, and the three generations ofentre-preneurs headed by Indonesia 's Ibu Mut iaraDjokosoetono illustrate the practices of Addition,Multiplication, Subtraction and Division in familyconelomerates.

t{4ren two Raiva sisters, Patara and Suthisada, andtheir two sisrers-inJaw Pantipa and Pompilai, set up amodest ice cream parlor in Bangkok in 1973, buildinga conglomerate was far from their minds. They werewell-to-do and just wanted "something to while theirtime away." Besides, they had excess chinaware and cut-lery from the hotel Patara's mother inherited from herhusband. The four women called their parlor S&P IceCream Corner (after their initials). They served a lim-ited menu of ice cream, sandwiches, and light snacks.

Key Recruiting Move

Four years later, they made a key recruiting movethat would change S&P forever. The women hired apizza chef, who turned out to be a baker. At first, theidea was to add pizza to the menu. But because of rhechef's capabilities the women thought it was a goodopportuniry to go into cakes, pastries, and other bak-ery products. She initiated the esrablishmenr of thebakery factory. S&P bakery products business was bornand rapid expansion followed, Looking back, Patara,the eldest of the Raiva children and clan "matriarch,"

says "the resraurant business was easy to copy any-body can cook - but developing a bakery takes time."

The businesi continued to expand throughout the1980s. S&Pt restauranr and bakery chain spread

Page 5: The Asian Manager, January 2000 Issue

mium service, clean premises, tasteful d6cor and deli-cious food with an extensive menu offeringThai, Japa-nese, and Western fare. On May 1989, S&P was listedin the Securities Exchange ofThailand. Only 20 per-cent ofthe shares were floated to keep ownership largelyin the hands of the clan. The company was renamedS&P Syndicate Public Company Limited in 1994. By1996, it had 40 full service branches (food and bakeryproducts); 50 smaller bakery shops; six fine dining res-taurants (Patara Fine Thai Cuisine) in Bangkok, Lon-don. Singapore, and Taiwanr a Chinese restaurann onefood chain catering mainly to the student market(Speedy); and another serving the trendy youth market(Spanky) . S&P had n ine subsid iary companies.

Through three decades, S&P's family membersgradual ly jo ined the business, wi th each mem-ber contributing his or her own expertise. A few yearsafter S&P started, Patara's two brothers joined rhe com-pany. The brothers provided a strong and progressivebusiness sense; the women injected the enrrepreneurialtouch, plus the meticulous attention to detail requiredof a food-oriented conglomerate.

\X/hile S&P top management was "all in the fam-ily," it was supponed by professional middle managershired from outside or those who had risen from theranks. The two directors from the outside were VirojNualkhair, a finance specialist, and Dr. KraisidTontisirin, a technical expert. They joined formal boardmeetings held every month.

Organizationally, there were a lot ofchanges in S&PCompanies were spun offone by one with family mem-bers or professional managers taking charge. Eventu-ally, some companies were pulled back and merged.Parara nored thar S&P was more flexible before becausethey had smaller operations. But the future was goingto be mote complex,

Tirnku Abdullah and His Royal Brood

Tirnku Abdullah Ibin Almarhum may have de-scended from royalry, but he did not take the "royal

route" to entrepreneurship. His was quite a differentstory, that of knowing when to grab an opportuniry

rVhen the Japanese occupied Malaysia, they asked for astudent volunteer to study in Japan, Abdullah's brother(the current king of Malaysia) was selected. But hisbrother was getting married then, so at the age of six-teen, Abdullah presented himself as the replacement.His independent spirit brought him to Tokyo.

He recalls: "We were given military training andlearned the values of discipline, punctuality and resil-ience. Japan was an important part ofmyyouth. It taughtme strength of character and courage."

He then studied in England, then returned to Ma-laysia, entered the civil service, and was eventually electedto parliament. He established one of Malaysia's leadingconsrruction companies. At about the same time, he setup a company that engaged in blending and bottlingbeverages for the lower end market. He became involvedin selling defense equipment and actually sold Britishparrol boats to the Malaysian Nary. That enabled himto earn enough money to enter the political arena. Butonce in, there was a constant demand for more 6.rnds. Itwas clear to Ti-rnku Abdullah that he had to become abusinessman as well.

He first organized Mitra Malaysia Sdn. Bhd. as atour and rravel agenry for bumiputras. He then boughtinto Pacific World Tiavel Sdn. Bhd., and formed PacificAsia Leasing (M) Sdn. Bhd. This was followed by theinvestment in an insurance company. His growing anddiversifring business inreresrs necessitated the establish-ment of Melewar Corporation, a holding company.

Melewar pursued other diversification initiatives.Over the next 20 years the group would go into diversefields, with related businesses within those fields. Thegroup entered advertising, marketing, public relationsand communication. Metrovision, a television broad-casting company was another major endeavor. Melewargot the license in 1993 and commenced broadcastingin 1995. This was sold, at a huge profit, in 1997. Thegroup rented construction equipment, which comple-mented its construction and infrastructure developmentbusiness. To add to the travel business, the group hadGreat Value Holidays, the leading agency in packagetours promoting domestic travel. In 1985, Melewar de-

Page 6: The Asian Manager, January 2000 Issue

tours promoting domestic travel. In 1985, Melewar de-cided to put up its own manufacturing company inpersonal computers,

Another major project was Malaysian AssuranceAlliance Bhd. Other ventures included shipping, secu-rity guard agenry, bricls manufacruring, growing andmarketing of fruits and vegetables, and manufacturingand marketing wooden household wares, knock-downfurniture, gifts, and toys.

As the eldest son, Tunku Iskandar had the birthrightto assume Tilnku Abdullah's business legacy. However,the family decided to restructure itself by dividing thediverse business interests into major groupings. Iskandarchose the Melewar Leisure grouping comprised of thetravel, tourism and related endeavors. He also took onthe education and training arm ofMelewar. Yaacob, thethird son, chose the insurance field. The third groupingwas Property Development and Infrastructure. A fourthgrouping was broadcasting. Tirnku Abdullah, wo of hisyounger sons and a daughter (from another wife) sepa-rately undertook this investment. Many of the previ-ous Melewar acquisitions were disposed o[ Some didnot turn out well, like computer manufacturing andagriculture, but others had fairly attractive offers frombuyers. Iskandar disclosed, "when somebody comesalong with a good offer, we sell out."

Abdullah recognized that his successes could betraced td the positions he held as member of parlia-ment, his chairmanship of very many public corpora-tions, his fiiendship with the previous and current primeminister and, ofcourse, his royal family status. But heseized opportunities as they came. Some staned as business propositions from foreign firms looking for goodbumiputra parrners. Certainly, his reputarion as a suc-cessful businessman attracted them to him. So one fedinto the other. Others were homegrown ideas comingfrom members of the family and from their corporateexecutives.

Three Generations of Blue Bird Entrepreneurs

Ibu Mutiara Djokosoetono established Blue Birdin 1972 with an initial fleet of 25 taxis. After her hus-

band died, she invested her limited resources and bor-rowed money from the bank to set up the business. Shehad three children to raise and educate. Even before shereceived her operator's license, she had already srartedto rent out her cars in Jakartat horels.

From this beginning, Blue Bird expanded its taxioperation to some 4,000 Blue Bird units,240 SilverBird Executive cars, and chauffeur-driven luxury sedansunder the Golden Bird aegis. It also ran Bali taxi, GamyaTaxi and other region-based operarions. The Group like-wise invested in Big Bird, a wide range ofservice busesfor tour groups, office workers, and airlines. The BlueBird Group ventured into non-passenger transpon ser-vices. integrating backwards, the Group organized RestuIbu, a bus manufacturing company, and Ziegler Indo-nesia, a fire truck assernbly plant on a joint venture ba-sis with Ziegler Germany. They also set up a Gas Biruto produce efficient, clean-burning CNG (natural

gas fuel) to service its cars, trucks and buses, and

Jasa Alam, a network of petro leum and CNGpumping stations.

Integrating forward, Blue Bird invested in HolidayInn Resort Lombok, a prime tourist destination. In an-other.ioint venture, Blue Bird established futra Konnas'Freight Center, a cargo forwarding, warehousing, con-tainer depot, and repair and service center. Blue Birdtrapid expansion involved three generations ofentrepre-neurial managers. Ibu Mutiara herselfrepresents the firstgeneration. The second generation includes all her chil-dren. The eldest is Dr. Handra, a heart specialist; themiddle child is Dr. Mintarsih, a psychiatrist; the thirdand youngest is Dr. Purnomo, a general surgeon. Thethird generation was represented by a grandchildrenNoni Nurnomo, daughter of Dr. Purnomo, and hercousins Kresena and Sigit.

Ibu Mutiara, the grand matriarch, has constantlysought business opportunities to give her three childrentheir own respective businesses to avoid squabbles amongthem if they all stayed under one rool She lets themrun their own shows unless she finds something thatneeds her intervention. Ibu maintains that her core busi-ness is "taxi" while all the rest are just related to sup-porting it. She has always frequented the company's ga-

Page 7: The Asian Manager, January 2000 Issue

rage, closely supervising and training skilled mecha-

nics. "Good maintenance is very important in my busi-ness," she says. She keeps an inventory of engines andparts and closely monitors units that need overhaulingto minimize rheir downtime. She summarizes her key

success factors as: achieving economies ofscale and giv-ing good service to customers.

Dr. Purnomo Pravi ro acts as the operat ion 'sdirector and managing director. The two other chil-dren were given separate kingdoms to manage. Ibuwanted to minimize conflicts amone her three children

and, later on, her grandchildren.The family members are united in making Blue Bird

more professionally managed but with a heary stamp ofthe familyt management and work ethos. They do not be-lieve in franchising. Their only fear is running out of rela-

tives who would like to be involved in the business. r

Professor Eduardo A. Morato Jr. is the Insthutei Gasan Z. Ortigas,Sr Professor of Deuelopment Management and is the ExecutiueDirector ofthe newly atablished AIM Center for EntrePreneur-shio (ACE).

Addition and Multiplication

Of the three Asian entrepreneurial clans, theRaivas seem to have the most focus in terms ofadd-ing enterprises to their conglomerate. Essentially,everything revolves around the restaurant and bak-

ery business. The addition ofproduct lines supportsthe requirements of the restaurants and bakeries.They have integrated backward into food process-ing and central kitchen operations and forward intodistribution and franchising. Business focus, oper-ating and cost efficiency and backward-forwardintegration are, thus, rhree obvious themes in theirenterprise addition process.

The Melewar group adds enterprises using ashotgun approach, whereby opportunities are seizedwherever they may be coming from. Many oppor-tunities come through highly-placed connections,but, some come through cold business calls.

Blue Bird straddles the two extremes. WhileBlue Bird claims a taxi focus, is actually has goneinto all sons ofland transport (passenger and non-passenger) businesses ranging fiom ta-\is to trucksro trailers. They have added resorts that are ratio-nalized as passenger destinations. They have addedCNG, bus body making, light bulbs, engines andspare parts to stretch the supply chain. They do

not really have a market focus, just a commondenominator. . .wheels and whatever gets attachedto them.

The Raivas muJriply rheir business in a more

concentrated manner, focusing on their core res-

taurant and bakery operations.The Melewar groupt initial forays emphasized

their blitzkrieg addition process but when the vari-

ous enterprises were lumped into industry group-ings under separate siblings, the multiplication pro-cess to'ok over.

The Blue Bird group multiplies geometricallywith a vengeance. Their taxis, trucks, trailers and

buses mushroom by the thousands. And, alongwith

them, the service and ancillary support unirs. In-

trinsically, the Blue Bird business is easier to multiply because they only need one or two persons for

every vehicle acquired. Also, each vehicle is a cashcow generating liquid resources to acquire other

vehicles.

Subtraction and Division .

Because of the very focused and deliberate ad-

dition and multiplication processes that the S&P

group has followed, they hardly subtract or elimi-nate enterprisgs. The most they do is rationalize their

Page 8: The Asian Manager, January 2000 Issue

I

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organization to ensure the efficient running oftheirbusiness. Patara puts a lot of stock on their man-agement carrying capacity and quality control. Sheeven held back on rhe ltranchising iniriarive ro en-sure qualiry through direct management supervi-sion.

The rather opportunistic and aggressive addi-tion process ofTirnku Abdullah is bound to resultin some failed projects. The Melewar group over-stepped its limits when it took on high technologyventures like computer manufacturing and veryrislcy enterprises lie high value agricultural prod-ucts. These business require a lot oftechnical know-how and managerial expertise. As a result, Melewarhad to subtract more enterprises than the other twogrouPs.

As for Ibu Mutiara, her business undergoes thesubtraction process very much like a livestock hrmdoes. After a farmer increases the number ofcattle,sheep and horses that he owns, he has to cull themwhen they grow old. The same goes for Blue Birdvehicles. Older ones must go while younger onesmust have tender loving care. The Blue Bird groupalso, mistakenly, sallied forth into agribusiness thatended in the same dismal fate as Melewar. The pat-tern is obvious: stay out ofonet incompetence levelespecially if that area is particularly difficult andtoo risky to manage.

The Raiva family divides the S&P kingdomamong family members according to function(head office direction, operations, finance, market-ing), product line (bakery, restauranr, centralkitchen, fine dining) and geographical location(Thailand, London and elsewhere). The harmonyand synergy among the siblings can be explainedby the fact that Patara started the venture with thewomen (a sister who has since died and two sis-ters-inJaw) while the brothers were later comers-on, therefore not original contenders.

The Melewar group, eventually, had to dividethe empire into industry groupings. The divisionstrategy adopted seems wise because the siblingscome from different marriases. Ti-rnku Abdullah's

scheme for holding the empire loosely rogerher isthe creation ofa holding companywhich holds only20 percent of the shares in the industry groupings.Thus, the children control 80 percent of their res-pective groups. Ifand when Tirnku Abdullah moveson, the family holding company may have to dis-band if friction arises, but this can easily be donesince each industry grouping can readily buy the 20percent minority stock.

For Ibu Mutiara, she is making sure that thereis enough to divid€ among everyone. The third gen-eration has been, or is being, groomed to managethe different product lines by being sent to top MBAschools abroad. Eventually, everyone will have sub-stantial piece of the pie. It would be wise for IbuMutiara to oversee a fair and equitable division pro-cess that will prevent unpleasant family scenes inthe future.

Lessons f rom the Ar i thmet ic of Fami lyConglomerates

One very clear lesson from the arithmetic ofthethree entrepreneurial class stands our: use the deci-mal system, it is easier to compute. (Tianslation:

Dont venture into enterprises that go beyond thecompetency, strength and leadership style ofthe con-glomerate and irs hmily members.)

Add enterprises to provide opportunities and el-bow rootn for family members. Multiply to createcritical size, market clout and competitive advan-tage. Subtract in order to rationalize, cut losses andre-energize rhe family conglomerate. Divide to keeppeice and unitywithin the family, pass on the legacyto the next generation and demarcate distinct areasoF responsib i l i ry and accounrabi l i ry

Finally, the degree of family cohesion (or repul-sion) in entrepreneurial clans is direcdy (or indi-rectly) proportional to the power and charisma ofthe patriarch or matriarch, the education and pro-fessional independence ofthe second generation, andthe proper structuring and ratit'nal appoftioning ofthe conglomerate assets for generations to com€, t

Page 9: The Asian Manager, January 2000 Issue

Global Literacies:How to Speak the New Languageof Business, EverywhereThroughout the uorld, knguages dffir, but the question is tlte same: How can I thriae in the global marhetphce?The ansu.nr: first, yo must become glabally literate

By Richard Rosen, with Patricia Digh, Marshall Singerand Carl Phillips

In their book Global Literacies, a team of researchersled by Robert Rosen of \?'atson Wyatt lVorldwide has

produced the first model of international business suc-cess. Two lessons emerged from the study, which wirs

based on a wide-ranging study of global leaders of 78world-class companies. First, there are leadership uni-versals that every executive needs to practice - to beworld-class at home and abroad. The second defied con-ventional wisdom: in the borderless economy, culturedoesn't matter less, it matters more. To practice theselessons, executives must be globally literate. This excerptexplains the fundamentds of global literacy, and whatyou need to do to make sure you're not left behind bythose who have mastered it.

still remember my first trip to Japan. Surroundedby signs and sounds of Japanese, I felt utterlylost. Unable to decioher elren the most basic infor-

mation in restaurants and city streets, I found myselfretreating. $7hen I asked questions, people reacted in

ways I couldnt quite understand. I simply couldnt read

the.psychology of the people.

I knew in an instant what it meant to be illiterate.

Literacy matters, and in the new, global world ofbusiness, we're all beginning readers. To "read" this

emerging world allows us to witness an unfolding,

an opening up of new possibilities. To fully parti-

cipate in the global sociery we need a common vocabu-lary, syntax, grammar, and a rich base of knowledge. We

need to move beyond comprehension of language to a

deeper understanding of ourselves, our customers, our

markets. and the cultures ofthe wodd.

Global literacy is our new language for the21"'century,

Global literacy is a state ofseeing, thinking, acting,

and mobilizing in culturally mindful ways. And it de-

pends on four separate competencies - pgrsonal, so-

cia.l, business, and cultural. These are the leadership uni-versals,

'When you become proficient in the four global

literacies, you begin:

l 0

Page 10: The Asian Manager, January 2000 Issue

i,\

o Seeing the world's challenges and opportunities- which clarifies your vision and vdues, illuminatingyour perceptions ofthe world

o Thinking with an international mindset -

which helps you develop beliefs and attitudes that en-able you to think internationally

o Acting with fresh global leadership behaviors -

which teaches new relationship skills that help you navi-gare through the global marketplace

r Mobilizing a world-class company - whichhelps you inspire people across national cultures

Personal Literaqr Understanding and VduingYourself

During a speech in Frankfurt, ke Kun-Hee an-nounced that change begins with him. To effect changein groups, he said, "We must initiate change withinourselves." Chairman of South Koreat Samsung Group,Lee knows that change must come from the inside out."You have to know yourselfwell," he says, "your hab-its, strengths, and shortcomings. Questioning yourselfthoroughly is the beginning ofchange."

Lee models the first step toward global literacy -

committing to a continuous and intentional processof self-awareness and renewal. Personally literate lead-ers must m:rster these key behaviors:

o l(ggressive Insightr Confident Humiliryo Authentic FlexibilityI Refl ective Decisivenesso Realistic Optimism

Our chdlenge is to process seemingly contradic-tory concepts like these simultaneously. Leadership so-lutions lie in balancing the creative tensions arnongtnem.

Asians do it best. Their abiliry to hold two oppos-ing concepts in their minds at once, where it's difficultto tell where one starts and the other stops, makes theminnately more comfortable with ambiguiry. The key isto know where you stand on the continuum of each

behavior, and to be open to developing the skills at theother end. Having access ro the rools at both ends iswhere the real competitive adyantage lies.

Aad Jacobs spealis and dresses humbly. He drivesan old car and spends the same amount of money hedid 20 years ago when he was a manager. He just hap-pens to be CEO of the ING Groep, one of the world'smost powerful financial institutions. He's humbleenough to ride his bike to work, and confident enoughto march unnoticed into the Barings Bank and buy it,cash on the barrel.

Personally literate leaders know themselves and keeptheir lives in perspective. Shelly l,azarus, CEO ofOgihTand Mather, once refused to forgo a family ski trip toattend a worldwide board meeting in Paris. "People werehorrified," she reponed. But, like any personally liter-ate leade! lazarus knows what she can and cannot con-trol. And she knows that having a personal and familylife gives her a valuable perspective on life. "You mustkeep your perspective," she says. "Itt only business."

Social Literagn Chdlenging and Engaging Others

Stan Shih, chairman ofTaiwan-based Acer Group,is building independent businesses around the worldwith a sense of pragmatic trust. His philosophy of"fresh," his "smiling curve" business model, his creativeorganizational structures are all designed to liberateemployee talents and build a virtual network ofentre-preneurial companies under one global brand.

' Socially literate leaders unleash the power of col-lective intelligence. They assemble extraordinary people,focus them on meaningful work, connect their wisdom,and motivate them to do great things. They build strongteams (and break down and rebuild them) faster thaneYer.

_ The following behaviors ofsocial literacy make that

naPPen:

o Pragmatic Tiusto Urgent Listeninga Constructive Imoatience

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Page 11: The Asian Manager, January 2000 Issue

I Connective Teachingo Collaborative Individualism

As with personal literacy, there is a natural tension

between these polar concepts. How can you be trust-

ing while understanding others' agendas? How do you

celebrate people's individualistic efforts in a collabora-

tive environment? To be successful, you must manage

the tension imbedded in these quesrions.

lValk into the headquarters ofPing An Insurance

Company, look up, and you'll see a bust of Confucius.

Facing Confucius across the lobby is Sir Isaac New-

ton. Ping An blends the best of Chinese and W'estern."Confucius says people should love each other, obey

the rules, and respect each other. Yet in modern soci-

ety, we must advocate change and innovation. By

blending the past with the present and integrating for''

eign experience into the Chinese environment, we've

created a highly competitive enterprise," says their

CEO, Ma Mingzhe, or Peter Ma, as he's known out-

side China. Ma has a deep understanding ofthe prin-

ciples of human relationships, and knows that a fast-

changing world requires guidelines to clarify commit-

ments and responsibilities.

Business Literaqn Mobilizing and Energizing Your

Business

Alfred Zeien is a man in search ofthe perfect shave.

CEO ofThe Gillette Company, Zeien is globalizing a

company with American roots by understanding the

world outside the United States. He has created a strong

culture of "interchangeable management" to navigate

unsure terrain. An intense econornic competitor, Zeien

is a business geographer who knows his local markets

better than anyone, and who demands the same kind

of intelligence in others. Business-literate leaders think

like explorers, always imagining something interest-

ing just beyond the horizon and working to uncovet

the unknown. They are business geologists, digging

beneath the surface to find where theri's gold.

They are able to decipher what's most important, what's

essential, nonessential, and irrelevant to their busi-

nesses.

To succeed, businessliterate leaders must embrace

these key roles:o Chaos Navigatoro Business Geographero Historical Futuristo Leadership Liberatoro Economic Integrator

Foster's is'Australian for beer." Behind the happy-

goJuckyAustralian fagade lies a company that has fully

recognized the power ofknowledge. ti(4en Ted Kunkel

became CEO, Foster 's was unprof i tab le and

overdiversified. He sold offunder-performing assets and

changed the leadership of the company first, realizing

they needed a fundamenml mindset shift. He also re-

alized that he needed to explain business goals to em-

ployees across the company.

Kunkel examined every "chain" in the company

and looked for possible changes, also recognizing what

he wouldnt change under any circumstance. "There

are only three things in the company that we wont

touch: 'Ve won't compromise our brands; we wont

change the product; and we wont touch training. We've

eliminated the term 'fixed cost' in the company -

everything is variable cost."

He explains, "We let people's minds loose. Thatk

ourjob'as leaders - to help people at all levels un-

derstand the external environmint, including where

they fit irito the value chain and the language and num-

bers of business."

Criltural Literagn Knowing and Leveraging

Cultural Difference

Istanbul sits squarely at the meeting place of Eu-

rope and Asia. Sakip Sabanci, chairman oflurkey's lead-

ing global conglomerate Sabanci Holdings, clearly mir-

rors that span in his business'leadership. He is a proud

Tirrk, but balances that nationalist passion with his keen

desire to learn from others. FIe travels abroad inces-

santly, enters into international joint ventures, and in-

corporates outside business practices - like Japan'skaizen - into his management toolbox.

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Like Sabanci, inquisitive internationalists know they

must be literate about other cultures. Insatiably curi-

ous and sensitive abour people and places, they anallze

their own cultural biases. Culturally literate leaders look

beyond their own culture for business solutions. They

dont shy away from diversity and debate - instead,

they are drawn to it.

To be culturally literate, we must take on new roles:

a Proud Ancestoro Inquisitive Internationalisto Respectful Modernizero Culture Bridgero Global Capitalist

Keshub Mahindra manufactures vehicles in

Mumbai. As CEO of India's Mahindra and Mahindra,

the world's largest manufacturer oftractors, he sees him-

self as much more than a car maker. He is a trustee to

his company and country. Keeping one foot in his own

culture, and one foot on the world stage, Mahindra is a

respectful modernizer.

Becoming culturally literate requires an honest sense

ofyour own culture, creadng a national pride temperedwith an awareness ofnational flaws. You must be awar€

ofpersond biases and cultural strengths and shortcom-ings, careful not to let these blinders obstruct your vi-

sion. Confident and clear about who you are, you mir-

.or- rhe de., ofyour country Understanding and valu-

ing others is the next step. By developing the capacity

to see rhe world from another perspective, you openyourselfup to learning what they have.

How to Become a Globally Literate Leader

The challenge for all ofus is to learn how to learn.

So often we sabotage learning through our own arro-

gance and prejudice. Our ethnocehtrism and outdated

thinking blind us, keeping us from becoming globallyliterate ourselves.

Globally literate people know how to ask the right

questions. Here are six to get you started:

l. fue you unlearning and relearning the ru.les of

business?

'$7e must throw away past assumptions that dont

work, and embrace new ones that are untested.

2. Are you developing a flexible way of thinking

and acting?

The globally literate mind is agile and nimble con-

tain conflicting forces while creating cohesion from dis-

Parare Parrs.

3. Are you using culture as a tool for business suc-

cess?

Culture is a tool when we understand the similari-

ties and differences among people, companies, and

countries.

4. Are you using the literacies as an integrated sys-

tem?

The global literacies are an integrated system of

learning, each dependent on the others.

5. Are you teaching others about the global

literacies?

Great leaders are great teachdrs. Ultimately, com-

panies mrist compensate people for exhibiting these

behaviors. Otherwise, people will resist change.

,6. Is your business success enough?

In the 21" century we are dl global traders, creat-

ing a lot of opportunities for growth and success' But

these benefits also bring serious responsibilities' At a

time when business is prosperous and powerful, we

must build a healthier, sustainable planet for all our

citizens. I

Excerptedfom Ghbal Literacies: Lessons on Business Lead'ership and National Cuhares, uith permission fom the

authors. Publishdd by Simon and Scbuster.

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Page 13: The Asian Manager, January 2000 Issue

The Suzhou City Industrial Park ProjectA Tale of Two Chinas?An ambblous project in China that was meant to thowcase the xrengths of its two partners - ouerseas andmainknd Chinese - instead illustrates that diferences in cubure ojlen eclipse any similarities

Bv Derek Liew

Much has been written about the powerful networkof overseas Chinese, their tight integration withmainland China, and the importance of guanxi,which mainly refers to the informal relationshipswithin this network. Yet as the case of the SuzhouCiry Industrial Park Project shows, these staples ofconventiona.l wisdom do not always withsmnd closerstudy. Prof. Liewt findings about the difFerences inChinese cultures throughout the region have impli-carions that go beyond China-Singapore ioint ven-tures, and cover any business relationship within theChinese nerwork.

oint-venture industrial park with Singaporebreak down - Confidence of foreign inves-tors dwindle. China goes through the fail-ure of a showcase prolect. (Handekblatt,

July 1999)

The German article further reads that the fail-ure ofthe project has far-reaching consequences forthe Peoplet Republic of China (PROC). This is be-cawse Chinese Praident Jiang Zemin was quoted ascalling it a 'prioritl ofpriorities."

In the German Embassy (in Beijing) suwey ofEuropean investors, the investors were only able toachieve 50 percent of their business aims, and 43percent oftheir local joint-venture partners becamecompetitors with similar products. Another conclu-sion drawn by the newspaper: promises ofthe cen-tral government can mean nothing, when the dif-ference with the province is large. The enforcementofpolicy and law in this vast country becomes ques-tionable. If Singaporean Chinese, who understandthe same language, share the same cultural back-ground. and possess good government conracts inBei.iing, fail in this showcase project, what couldsmall and medium-sized companies from Europeand US expect, when they encounter dispute in\ - n l na t

Clearly, the joint venture has been a city in it-

self bred by two cultures. Its disappointing break-down naturally has several implications surround-ing rhe China-Singapore relationship.

The "City'

But first, there is a need to examine the bound-aries ofthe controversial Chinese-Singapore Suzhou

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Page 14: The Asian Manager, January 2000 Issue

Industrial Park (CS-SIP). The project is in theJiangsuprovince, situated between Shanghai and Lake Tai.It can be reached in an hour-and-a-half by car fromShanghai, which is well served by internationalflighrs. Starting from an area of 8 square kilometersthe overall plan called for the development of 70square kilometers and an investmenr of approxi-mately US $20 bill ion.

CS-SIP planned to adapt rhe Singapore experi-ence in economic development and public adminis-tration to local condirions, as well as to provide en-trepreneurs and investors from all over the worldwith an investment environment that had transpar-ent pol ic ies and ef f ic ient management . DengXiaoping commented in early 1992, rhatChina couldlearn and adapt the Singapore experience.This coin-c ided wi th a Singapore push for economicregionalization. Lee Kuan Yew stated in a Septem-ber 1999 interview: "The good that we expecred wasto transfer to them the knowledge and know-howof how to plan, implement, build, and administeran integrated township offacrories, residenrial areasand commercial buildings and schools, erc. This iswhat the Central fgovernment] wants, this is whatBeijing wants, so that they can see how Singaporehas done it and then replicate it in hundreds ofcit-ies across China."

In October of that year, the idea of developingan industrial park in Suzhou was broached. The jointventure agreements were signed in Bei.jing in Febru-ary, 1994. The formal initiation ofthe Suzhou ln-dustrial Park project took place that May.

The development organization is the China-Singapore Industrial Park Developmenr Co., Ltd.(CSSD). CSSD has a registered capital of US $100million, ofwhich 65 percenr is owned by Singaporeand the balance by China. The operations starred in1994. Preferential policies include those in EconomicTiade Development Zones, and some available inSpecial Economic Zones. Wholly foreign financialinstitutions, manufacturing entities, and commer-cial retail enterprises are permitted to operare wirhinthe CS-SIP

As of September 1999, there were 164 projectswith fixed asset investments of USD6.6 bill ion. Onehundred six industrial projects have started, ofwhich82 are operational. The average investment perproject is US $30 million. Two commercial complexesand 30,000 square met€rs of residential buildingshave been completed, and 100, 000 square meters ofready-built factories have been prepared.

The Tales

Following the breakdown ofthe project were theinevitable statements from irs key figures. SeniorMinister Lee Kuan Yew aired his frustrations on CNNin September, 1999:

"...V/hat they wanted aas the hardware - the

roadt, the buildings, the linhs to highways, thewater pldnt, the sewerage trcatment worhs, thestandby generators in case power supply fails. Wewere not achieuing our objectiues because thry uerenot interested ;n learning something that will notbeneft them but probably beneft one hundretlother cities. So they were concentrating on whatbenefted them. And to beneft them more becausethey are uerl smart people, euery inuestor that camein thelt said, "tYhy not come to our parh? It [is]cheaper ...we [willJ looh afer yu just as well.And so'they uere really undermining the project."

Also, queried about whether the Singapore gov-ernmenr had considered sufficiently the impact ofthe rival Suzhou New District (SND) project beforecommitting its investment in the Suzhou IndusrrialPark (SIP), Depury Prime Minister BG Lee HsienLoong replied (August, 1999) thar although awareof rhe project, not enough attention was paid to it.He claimed that a very senior Chinese official con-firmed rhat if the latter had been aware ofthe SNDproject, he would not have advised the Singaporeansto take up the SIP project.

The Singapore Strairs Times reported (Septem-

ber, 1999) that the Provincial Party Secretary hadapologized for the townshipi failure to make much

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Page 15: The Asian Manager, January 2000 Issue

money. He also provided additional information

including the fact thar the SIP project represented

one-rhird of all investments in the province, and

that the foreign investments in the SIP formed 60percent of investments in Jiangsu. He further stated

that the problems between Singapore and local of-ficials over the SIP as "nothing significant." After

confirming the decision for the Chinese managersto take control of the joint venture on January l,2001 , he addcd that the SIP would be considered a

success when the Chinese team could run it even

better than rhe Singapore team.

However, these are merely press releases. To

properly understand their relevance ro the projectk

breakdown, it must be noted that there are various

factors which have had a bearing to the whole tale.

The Underlying Factors

Singaporean Chinese: More than 60 percent of

Singapore nationals are of Chinese origin, a result

o f the immigrat ion that took p lace af ter the

founding ofSingapore. In the days ofBritish colo-

n ia l ism, a d is t inct , Engl ish- language school -educated group of (local) Chinese developed. Themajoriry of Chinese, if they went to school at thatrime, attended Chinese-medium schools that usedrradi t ional Chinese l i terature as i ts base for

edticating its pupils. This resulted in significantintellectual and philosophical differences berween

the two groups - one often derogatorily described

as WOG's (Western Oriental Gentle-men), the

other claiming to be true Chinese. The "two Chinas"concept may perhaps be taken in this context.

"Guanxi" and Doing Business in China: Guanxi

is a network ofinformal relarionships and exchanges

offavors that dominate business throughout China

and East Asia. lt is an ancient system based on

personal relationships. What many non-Chinese,non-Asian observers fail to realize rs rhat guanri

t a k e s t i m e t o e s t a b l i s h , a n d a r e p e r s o n a lre lat ionships that expand in to networks

transcending generations. A direct exchange of favor

for benefit almost never ever takes place.

The interesting aspect is that researchers are cur-

rendy looking for similarities \erween guanxi and

rhe western concepr of relationship marketing thatis now growing in populariry Y H. Wong comments

that "a number ofbusinessmen and researchers have

tried ro understand. and. analyze guazrr from an ex-

clusively Western point of view" Not only was the

framework unsuitable, researchers also confined their

understanding using W'estern culture base and ideas.

Singapore "Guanxi" in China: There we re

negotiations rhat took place in China by a Singapore

GLC (governmentJinked corporarion) that pre-dates

the Suzhou project by a number ofyears. These were

for the esrabl ishment of a jo inr venture a i r serv ice

that was rumored to have reached a stage where the

GLC establ ished rhe Singapore mir ror company.

recruited the senior managemenr, and entered into

a wet-lease of an aircraft. The project never got off

the ground because the Central government stepped

in just as the project was about to commence,wanting to know why the provincial government had

approved the project without Central government

approval.

It is highly probable rhat the Senior Minister was

well aware of rhis earlier faux pai (the lailed air ser-

vice project). After the much-publicized speech by

Deng Xiaoping in early 1992, he must have consid-

ered the.time opportune to exploit what he possibly

felt was a strong relationship at Central Governmentlevel. The sequence of events that led to the initia-

tion of the Suzhou Industrial Park project, the pe-

riod ofaround l8 months from broaching the spe-

cific idea to signing of agreements is somewhat of a

record for.joint ventures in China.

By 1992, Lee Kuan Yew had more than l0 years

with litrle criticism within cabinet. Some foreign

experts who had conducted. research on the profile

oF rhe Singapore leadership ( f rom communiry cen-

rers, to the administrative service, to government

leaders up to Minister ofState level), revealed rather

interesting findings; most ofthe "leaders" interviewed

were analytical but non-intuirive; intellectual with-

our being creative; together with other characteris-

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Page 16: The Asian Manager, January 2000 Issue

tics that made them excellent technocrats, but not

leaders. It is probably not incorrecr to suggest thatthe newer members of the cabinets formed from themid- | 980s hc ld rhe same characte r is t ics.

Ir is also pertinent to note rhat the negotiationswith the PROC commenced in 1992, and Lee ap-

pears ro have dominared the th ink ing on theSingapore side. Lee was exploiting his belief that hehad developed a strongguanxiwith the Chinese lead-

ership, and this would result in successful relarion-ships. The project also suited Singapore at that rimeas i ts government was pushing for economicregionalization ofthe Singapore economy. \With Leethinking that a special relationship existed withChina (by this time Dr. Goh Keng Swee, formerlv

Depury Prime Minister and Finance Minister, hadspent a few years as a special consultant on economicaffairs to the PROC), he began to strongly push forrhe establishment of a showcase Singapore-Chinaprolect.

In 1992, two former senior members of rhe early

cabinets opined that projecrs planned for China (the

Suzhou project had not yet been broached, but Leeu as acr ive ly push ing China as an inver tmen r oppor-tunity) was bound to fail because Lee did not un-derstand the PROC Chinese psyche. He had beeneducated in English, and though he had includedleft-wing Chinese-educated members in his parry,he orchesrrated their departure from the ruling parry.More importantly they felt that Lee had lost someof h is ear l ier sensi r iv i ry having bccn in a posi t ion rodominate the cabinets from the rnid-1980s.

Chinese Social Hierarchy: There remains a socialhierarchy based principally on the original dialectsofthe person. In general, the Shanghainese stand at,or near, the rop of the pecking order, while rheHainanese (from Hainan Island) are at the bottom.The Hakka (also kejia) Chinese are second from thebottom ofthis list. Following the end ofthe Punti-Hakla wars (Punti is the Cantonese dialect for theCantonese dialect speakers), the dispute between theHakkas and Cantonese conrinued in a war ofwords.Invariably Cantonese writers would refer to Haklas

as "unciviliz.ed barbarians" from the Northeast. Oneofthe reasons for this is possibly because rhe Hakkawomen were the first "emancipated" Chinese womenwho did practice feet-binding, a practice that couldonly take place among rhe well-ofl As a reaction to

this, from the early 1900's Hakka researchers createdthe myth about the origins of the Hakkas, and the

group's greater level o f Chineseness. This hasprobably accentuated the centuries old conflict

berween Hakkas and other Chinese groups.

The following were or are of Hakla descent: SunYat-Sen, Hong Xiuquan and other leaders of the

Taiping revolurion, Deng Xiaoping, Lee Teng-hui,and Lee Kuan Yew. On the other hand, Pres. JiangZemin is lrom the Jiangsu province and generallyclassified a Shanghainese. Shordy after Deng's pass-ing, it is believed that three of the five members of

rhe Central Committee were Shanghainese.

The End

'Where does this all lead to? To reiterate, the

SIP objective, as expressed by both Deng Xiaoping

in 1992, and repeated by Lee Kuan Yew in 1999,was to enable the transfer ofknowledge. The project

carried the public endorsement of Deng's successor,President Jiang Zemin, who went to the extent ofendorsing it in calligraphy. The point in time whe n

problems emerged, mid-1997, was coincidentally

shorrly afrer the passing of Deng Xaoping. Did rhedeparture ofthe recognized supreme leader of Chinamean the demise of one of his sponsored projects

despite the public endorsement of his successor?

A number ofingredients probably influenced the

Singapore attitude to project. Having been endorsedby the highest levels in the Central Government, theSingaporean management, by their very background,had expected unstinting support at the local opera-

tional level. This is what has occurred in Singapore.The Singapore leadership probably felt that, using

the experience ofthe aborted GLCs air service joint

venrure, Central Governm€nt support would enable

the project to proceed smoothly. It has confirmed

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Page 17: The Asian Manager, January 2000 Issue

{

that it did not pay enough attention to loca.l condi-tions when selecting Suzhou City (it is unclear as towho proposed this site - the Singaporeans indicatedthar they found similarities with Jurong Town, a suc-cessful industrial project in Singapore). Ifthe Cen-tral Government selected the site, they (the

Singaporeans) could be forgiven to have thoughtthat a key reason for the selecdon was becauseJiangZemin is himself a son of that province.

In hindsight, it seems clear that while there wasa strong reladonship at the highest level ofthe Cen-tral Government, there was no same strong rapportat the Suzhou City level.

The Suzhou Provincial Party Secretary apolo-gized for the project! failure "to make much money"- the Singapore government has reported an accu-mulated loss of US $90 million from inception todate. This is very much in keeping with the valuesthat have developed in China. In Antoniou and'X/hitman's paper of 1998, research among Chinesemanagers and professionals found that they rankedsix values in the following order: Aesthetic, Social,Economic, Theoretical, Political, Religion.

Examples abound of how betrayed the Chinesejoint-venture partner feels if profitabiliry is notachieved rapidly. No marter how unrealistic, themainland Chinese manager expects an early finan-

cial return from a joint venture. The friction thatdeveloped could have been both social and eco-nomlc.

The second important element of the PartySecretaryt response was that "SIP would be consid-ered a success when the Chinese team could run it

. even better than the Singaporean team." Pride inChina has always been important - it is difficultalone to convince the factory workers that qualirycontrol means there should be re.jected parts in thefactory. Remember that the local team is probablydominated by people from Jiangsu. The Singaporeteam pfobably comprised members of mixed dia-lectal origin. So how could they perform better insomething as simple (in the minds of the local team)

as the dwelopment ofan industrial estate inJiangsu?The Singapore objectives were most probably

the establishment of a bridge to China. Certainlythe profit motive would have been incidental. DengXiaopingt objective was quite probably what he

enunciated - the transfer ofknowledge to China.But the need by the Chinese partners to demon-strate profitabiliry because they felt that it was theimportant measurement, probably meant that theycould not understand why the Singaporeans did nothave the same single-mindedness in the pursuit ofprofit as they did in other pro.iects elsewhere in theworld.

As for the Chinese 'purity' issues, when it comesdown to it, does the Singapore leader's Hakkaorientation have any'thing to do with the breakdown?Probably nor, rhough it is an interesring point ro

POnOer.

-Whether it can be called a matter of"priority ofpriorities" or not, it is unfortunate the ta.le here is

that there is none, since the status of the joint ven-

ture remains aborted. V4at would have been a "bi-

cultural" triumph, a source ofpride (and profit) in

China and Singapore, has instead been reduced to aheadline in the "Asian sectiori'ofa European maga-zine - where there is no room for the concept ofguanxi,' or the origins of the word Hahha. !

Prof Derek Liew has been engaged in fnancial seruices

for nearly two dzcades. He was connected in uarious ca-pacities tuith inuestment banhing, asset management, uen-ture capial, and secuities companies in Singapore, HongKong London, Banghoh, Jakarta, and the Philippines.He was accredited to the Stock Exchanges ofLondan, HongKong, Jakarta, and the Philippines and uon the aPProaalofthe Bank ofThaiknd to head a licensed secuities com'pany. He has also held senior management/director posi-tions in cornpanies based in Canadz, the NetherlandsAntillzs and the Peoplzi REublic of China.

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Page 18: The Asian Manager, January 2000 Issue

Jollibee: Three Hundred and Fifty Stepsin One Direction

Behind the phenomenal success ofthe most popular Asian ./'ast-food chain linking more than

300 stores in two hemispheres - is a single-minded.focus on one all-important customer segment

By Tony Tan Caktiong

Customer segmentation is one of those marketing

fundamentals that have become more basic as

markets continuously explode into increasingly

granular niches. At its most effective, focusing on a

core market segment creates a corporate thrust thai

Ieaves no room for confusion of direction. In thisfeature, Jollibee Foods Corporation President Tony

Tan Caktiong reveals how his group staked its

st rat€gy on a s ingular focus on the needs of

children.

ave you ever taken time to observe just how

a child enjoys his meal? You would have tobe very quick, though, because all his re-

actions happen in a flash.

He first gives his tray of food intensive ocularinspection, taking in the colors, the shapes, the or-

der and proximiry of the items in relation to each

other. He peers into his drink, just to see how high

up the glass it reaches. Notice how his eyes growlarger and how his pupils are so incredibly dilated?

Then he gingerly picks up the first item, linger-

ing for just a fraction of a second that itt almosrceremonial. He takes one final whiffof the mouth-warering aroma belore he finally gives in to a gigan-tic bite.

It's not hard to surmise just how much influ-

ence a child's eating habits, unencumbered with

adult interpretation, have on product developmentand communications strategy. It's been more than

20 years now and Jollibee still weaves that kind of

spell among children. This is because the child is and

always has been at the very core ofJollibee's corpo-

rate strategy. It does not require a long, hard look at

the various components ofJollibee's marketing strat-

egy to discern that the kid, indeed, is central to ev-

erything.

Value Meals and Menu Options

frst the impression surfaces thatJollibee venaured

into an area that concerns children the least, value

meals account for more than 50 percent ofJollibeet

sales. But what's in it for a child whose tenuous grasp

of economics is completely defined by adults who

put little premium on instant gratification?

ForJollibee, "value-for-money'' is the determined

child's "value for mommy" (or daddy, for that mat-

ter). As a child is always accompanied by an adult

when he goes out ro dine, eating at Jollibee is a fam-

ily affair. And when a child has his family in tow,

what the peso can buy should always matter ro him.

Newvalue meal offerings address the budget-strappedhousewife who has just paid out tuition fees, as well

as the young student who has ro get a filling meal on

his meager allowance.

Aside from value, variery should also count. Thus,

the Palabok Fiesta or Amazing Aloha is available to

the linle kid who would be perfectly content with

the usual Yumburger or Spaghetti Special in his iollyKiddie Meal - and he has always been oflcred a

choice at the same price.

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Page 19: The Asian Manager, January 2000 Issue

The Store Experience

A visit to any Jollibee store would make anyonefeel like a child again, what with the bright colorscheme and the irresistible Jolly Kiddie Land. A smil-ing Jollibee

"statue" welcomes everyone at the door.Festive murals featuring different Jollibee mascotsadorn the walls. Of course, the ambient screams andshrieks ofdelights from Jollibeet tiny patrons do morethan add to the kiddy atmosphere.

There is a very good chance you would catch a

Jolly Kiddie party going on in one area ofthe Jollibeestore. The themes, games, dicor paraphernalia havebeen carefully developed to suit preferences of Fili-pino children. More importantly, Jollibeet Partythemes revolve around kids' favorites: Space, the Z-oo,and the Circus. The parties are not limited to birih-days - Jollibee has done graduations, baptisms, re-unions, and for those who perhaps wished to relivetheir fond memories, even wedding receptions.

Promotions

There is a historicdly proven formula for a suc-cessful promo item. The ever-familiar smilingJollibeemascot on any toy has always been a favorite. Jollibeehas also opened new doors to new worlds ofinter-national charact€rs such as those of Sanrio, WarnerBrothers, Fox, and Cartoon Network - just to makesure that kids keep in stride with the internationalcounrerparrs. Of course, Jollibee is still very muchpart ofthe repertoire. Each novelty item is kid-tested- the biggest test a premium can be subjected to. Itmust pass criteria as incomprehensible and at timesas unpredictable as a childt varying moods. But it

.must always be some kind of adventure for him.

The Mascots

Jollibee . Herry, Twirlie, Champ. Mr. Yum. Popo.Chickee - a l l seven of them stand as theCorporation's ambassadors of goodwill. They arebearers of fun and entertainment. But more imoor-

tantly, to the child, they are messengers ofgood val-ues. -i(/hile other companies employ mascots as a meremerchandising vehicle for their product, the Jollibeemascots are essential bridges that help put across im-poftant life messages to Jollibeet young patrons. It isno wonder why the mascots are also well liked byadults.

For years, Jollibee has supported a television pro-gram for kids, Chikiting Patrol. The program is oftele-magazine format as is highly educadonal. Its useofthe Jollibee mascots helps make learning a fun ex-perience for all young televiewers. Two years ago, themascot shows were revived. Performances in mallsshowcase not just the dancing prowess oftheJollibeemascots but the 'Kaya Mong Maging Bayani, Kid"campaign. The short skits help concretize how youngchildren can become heroes of today.

Kaya Mo, Kid

'Kay Mo Kid" is a corporate campaign kanchedby Jollibee in 1996. It teehs to empotuer Filipino childrenb1 promoting good ualues.

The Filipino child has long had the advantage ofsound values espoused by the family. These aregrounded in faith and in the family's love for oneanotherand concern for others. Recognizing all thesevalues innate in the Filipino culture, the 'Kaya Mo,Kid" campaign builds on them to help create a suon-ger, bener generation among our youth.

The campaign has taken on different shapes ftomirs thematic advertising on relevision two years agoto the national drawing competition "Kaya MongMag-Drawing, Kid" to the multi-dimensional "Kaya

Mong Maging Bayani, Kid" - Jollibee's centerpiecefor the Centennial celebrati.ons of 1998. The Cen-tennial project also had a national competition en-titled "Kaya Mong Sumulat, Kid" a nationwide in-ter-school essay-writing contest that chdlenges youngminds to the concept ofpresent-day heroism. Boththese competitions are by no means undemandingeven by the adult standards. But just as Jollibee has

20

Page 20: The Asian Manager, January 2000 Issue

been proven right in its faith in children, youngminds stand to amaze the Filipino public. In suchsterling examples of talent, Jollibee finds renewedluster, over and over again - just as though it hasfound an effervescent fountain ofyouth.

Super (Duper) Kids

The Superkids Club, an integrated organizationof children with store-based memberships, is over200,000 members big. As a Club, it is built-in net-work for Jollibee's various campaigns. The SuperkidsClub is also a resource for projects such as tree-plant-ing activities during Earth Day Celebrations, infor-mation dissemination on the National Centennial,and the like. The Club keeps itself busy by organiz-ing competition on arts and crafts as well as otherfun contests. In Davao, there is a program cdledKiddie Smart Program where young kids are given ahands-on taste ofwhat itt like to work in a Jollibeestore. The Kalookan Jollibee stores have their ownversion in summer, the Jollibee Superkids ClubKiddie Crew.

Community programs

Jollibeet corporate marketing efforts are repli-catqd at the store level. ks local Store Marketingactivities provide nuances for local flavor - prefer-ences, trends, personalities, and others. The generalidea is to bring Jollibee closer to its customer andcloser to every childt heart. Each retail trade areaperiodically mounts a storewide effort that echoesthat ofthe general marketing stratery. Attractive give-aways, mascot appearances, games. and prizes areamong the numerous gimmicls employed by Jollibeestore netionwide.

Each Jollibee outlet also prides itself in estab-lishing excellent community relations. This is mostevident in town fiestas, local ciry governmeht events.in the MaAGA ang Pasko Christmas toy drive wherethe entire community pitches in, and the Depart-ment of Healtht Knock-out Polio and Araw ng

Sangkap Pinoy campaigns. The alliance with theD.O.H. has lasted for more than seven years nowand is jointly mordinated byJollibee and local healthofficials.

Socid Commitment

Up until this point, the entire thesis is on kid-marketing strategy to bring in sales. An integral partof the marketing effort, however, is socid responsi-bility required ofevery commined Filipino enterprise.It is part ofJollibeet way ofensuring that the genera-tions to come will be those it will serve with the samededication as it gives the generation oftoday. Jollibeeisbeneficiaries include the Chosen Children VillageFoundation, ABS-CBN Foundation, Bantay BataFoundation, Lingap Center, Tirlay ng Kabataan Foun-dation, to name a few. A.lmost all of its beneficiariesare dedicated to children; half of them exclusivelyfor children. By Jollibee's design, the list grows eachyeaL

One Direction

In an organization as large and as geographicallyspread as Jollibee, strateg;r that is clear-cut, single-minded, and understood throughout the system isof critical importance. AII 250 or so stores need tomove tog€ther in the same direition. They need toundersta;d why, and everyone needs to know howthe job should be done. It is a difficult task but, im-bibing the true spirit ofa young child, each Jollibeestore remains undaunted.

Just like the child it eternally seeks to win over,

Jollibee will forever be a child at heart. From its ap-parent naiveti will emerge innovation, and from itsoutlook will come a growth that can only be seenfrom the eyes ofa child - characterized by hop, spon-taneiry and an outlook devoid of limitation andfear. I

Tbny Thn Caktiong is Presidznt of Jollibee Foods Corpora-ion. This article was a$erpted forn the booh, MarketingExcelhnce in Good Tines & Bad..

2 l

Page 21: The Asian Manager, January 2000 Issue

One Hundred Fathers

Victory as U.S. President John F. Kennedy said after the Bay of Pigs incident, has a hundredfathers. He did go on to say thar defeat is an orphan. Except in the case ofJollibee, defeat is not part ofthe context. But victory is, and for every story like Jollibeet, there will be as many reasons for successas there are observers. Deep in the economic slowdown of 1998, Busines Veeh pointed out Tony TanCaktiong's aggressive moves to renegotiate with suppliers for lower prices, for keeping operations likebun-baking in-house, and other means with which he slashed costs.

In "Going Globd: Lessons from late Movers," an article in Haruard Business Reuicu, rurhorsChristopher A. Bartlett and Sumantra Ghoshal credit Jollibeet successful benchmarking ofthe opera-tions ofrival McDonaldt. "Going head-to-head against the experienced global company gave Jollibee'smanagers a firsthand view ofthe sophisticated operating systems that allowed McDonald's to controlits quality, costs, and service at the store level," write Bartlett and Ghoshal. "ButJollibee's managementdid not just copy McDonald's; it also looked for ways to innovate." Specifically, they cite Jollibeetability to incorporate local taste preferences.

The results are well known to marketers: Jollibee is one ofthe few fast-food chains in the worldthat manages to consistently outsell McDonaldt. McDonald's exists in the Philippines, Jollibee's hometurf,, but its share runs a distant second to Jollibee's 70 percent (or more) share.

Numbe r-crunchers talk about Jollibee's sawy balance-sheet management. Before, this revolvedaround the companyt abiliry to leverage suppliers' credit and raise return-on-equity figures. In layman'sterms, therefore, a classic example of using other peoplet money. Recently, it has been about how thecompany has always surprised investors on how little debt it has. Whichever financial strategy Jollibeeuses, it has become an accepted fact among investors that the company has the strongest balance sheetamong Asia's best-known companies.

' Jollibee has also recently become a model for globalizing Asian companies, beating even McDonaldt

and Kentucky Fried Chicken in opening a srore in emerging markets like Vietnam. Yet it is alsoextolled for staying in the home market it knows so well. Instead of major expansions outside thePhilippines, the company has decided to become the leader in a range offast-food lines, from chickento pizza. or so the analysis goes.

The companyt president himself, in the accompanying article, picls out the laserJike marketingfocus on children's needs as a core factor in the company's success.

Systems thinkers would argue that the whole is greater than the sum ofdl the parts that come outofany analytical exercise you might do on Jollibee.

That's the problem with success - too many explanations.

- The Asian Manager

22

Page 22: The Asian Manager, January 2000 Issue

HR and LeadershipLes Pickett Interviews Dave Ulrich

HR people must talk less and drliuer more, manage change, know their busines, undzrstand fnancialmanagement, prouidz efectiue leadership and add ualue to their organizations if they are to suruiue, says

leadins international educator Daue Ulrich.

"Our work identified competencies for HR profes-

sionals across HR functional specialties, industries,firms, and time. Our intent has been to create an

architecture for the competencies - for the entireHR profession, not just a single firm. We found

that while traditional sources ofcompetitiv€ness h€lpmany companies, sustained competitive advantagemay be due in part to organizational capabiliry."

uring my research, I worked to exam-ine five critical capabilities; Il] sharedmindset or cuhure change; [2] speed or

making things happen quicker within the firm; [3]talent or the abiliry to find, motivate, and keep tal-

ented ind iv iduals throughout a f i rm; l4 lboundaryless, or the abiliry to move informationand ideas from top to bottom and side ro side(learning) in a firm; and [5] leadership, or theabiliry ro build the next generation of leaders." Inother words, "HR profcssionals had to demonstratecompetencies in five categories: business knowl-edge, delivery of HR practices, culture manage-ment, the ability to manage change, and achieve-ment of oersonal credibiliw."

Regarding other findings that emerged from the

extensive research, Dave states that the ability tomanage change is more important rhan businessknowledge and delivery of HR practices combined,and that HR professionals need to be more knowl-

edgeable about financial management, external com-petitive and customer demands. They also need to

be able to work with line executives to send clear

and consistent messages about the firm goals and

directions.

"'Ve found that the highest performing firmsreduced time and effort spent on HR transactionalissues as they outsourced, automated, and re-engi-

neered their HR activities. Consequently, the rela-

rive amounr o[ rime spenr on strategic issues esca-

lated, while the transactional focus of the leading

firms diminished."

Dave Ulrich has been listed by Business $feek

as one of rhe worldi top ten educators in manage-ment and the top educator in human resources. Over

recent years, he has received the prestigious Liferime

Achievement Award for Professional Excellence from

rhe Sociery for Human Resource Management, the'Warner \M Stockberger Achieveme nt Award for out-

standing contribution to public personnel manage-

ment from the International Personnel ManagementAssociation, and has been elected Fellow ofthe Na-

23

Page 23: The Asian Manager, January 2000 Issue

tional Academy of Human Resources. He has con-sulted and undertaken research with over half ofthe Fortune 200, and has written a number ofbest-selling books on leadership, management, and hu-man resources. He is currently a professor at theSchool of Business at the Universiry of Michigan,where he co-directs Michigant Human ResourceExecutive Program. He is co-authoring anotherbook on building rhe HR scorecard, which focuseson the challenging task of creating and susraininghigh per formance us ing people merr ics.

Challenging the M4hs

The New Competition. Competition has manyhces, It is about serving customers better than yourcompetitors. A number ofstrategies have been de-ployed to do bener ar these rwo things. The tradi-tional one is to build customer intimacy, attain prof-itable growth (or in todays lingo, increase Eco-nomic Value Added), leverage technology, and pro-vide superior products or services. Strategies calledmission, vision, values, strategy, goal, or objectiveswere lormulated which gave a firm a unique nichein the customer marketplace.

'While they are not incorrect, these rather dated

answ€rs are rapidly becoming indistinguishable.Competitors can match product, service, and price.Executives must discover new ways to characterizethemselves to valued customers.

An emerging view is that strategy alone willnor ensure competiriveness. Competitive advan-tage requires organization, which represents thefirm's ability to act, perform, and deliver what ispromised. To a customer with rwo firms makingsimilar promises, organization provides comforrand confidence in the ability to deliver.

These changes provide HR people with a greatopporruniry because human resource pracrices canturn strategy into results; mission into action; andvision into commitment.

How do we build the right organization? Daverespond. that we need ro redefine organization:

"The o ld answer was to def ine organizar ion asstructure or syst€ms. Organizational diagnosis fo-cused on changing structure in terms of layers ofmanagement, number of people, or reporting rela-tionships (charts). Other organizational diagnosesfocused on analysing fit between systems (e.g., staff-ing, process, rewards, structure, people, strategy).These views operated on organization as mechanismwhich can be changed.

New answers to "what is organization" areemerging. They focus less on structure and moreon capabiliry which goes by many terms - core com-perence, process, high-performance work teams,disciplines, characteristics, or processes. They rep-resent things the organization knows how to do well,and is known for by customers and employees.

Today's organization diagnosis focuses on "what

organization capabilities are required to turn strar-egy into resulrs?" This question highlights humanresource practices. HR practices are the bundles ofmanagement investments which create and sustaincapabiliry. For example, an innovation capabilitymay come from hiring bright, creative people, re-wardin$ risk-taking, communicating the on-goingimportance of innovation, organizing into virtualteams and projects for new ideas, and training em-ployees in ways to make things happen quicker -all

of which are HR practices.

Dave is quite passionate about the opportuni-ties for HR professionals to play a lead role in thisnew world of work, but he cautions that the suc-cessful HR professionals ofthe future must acquireand demonstrate new competencres.

Survival Kit

Know the business. For HR professionals, todo so would be the ticket to business discussions.Without being able to easily talk about finance, mar-

24

Page 24: The Asian Manager, January 2000 Issue

keting, customers, rechnology, competitors, andbusiness strategies, HR professionals will alwaysbe afterthoughts. They must know what their se-nior leaders have in mind, and deal wirh thoseproblems in business terms.

Master HR practices. HR is a profession basedon theory from multiple disciplines. Learningtheory informs training motivation theory informscompensation choices; cognitive theory inlormsculture. HRprofessionals need to know the rheoryand research in the field, to access, as well as applv,the best practices.

Shape culture. Culture represents a firm's eq-uity or identity to key external cusromers. HRprofessionals who weave their work together roshape external culture turn events into patterns andcreate value in firm equity.

Manage change. Every firm has increasing de,mands to move quicker, to change, to get rhingsdone faster than ever. HR professionals createenormour va lue when rhey manage change.

Achieve personal credibiliry. In our work, wefound that personal credibiliry is critical to suc-cessful HR proGssionals. This is composed of threefactors. HR professionals have ro live the firm'svalues, work well on teams where they serve anddevelop a proactive approach. They should comero meer ings wi th so lur ions. nor jusr quesr ions.

Organization and Effectiveness

Senior execurives in reresred in execuri ng srrar-egy, increasing employee commirment . ga in ingshare oftarget customers, and building intangiblevalues real ize rhe i mporrance of organizat ion.

Organization matters more because the lifecycle of strategy is getting shorter, talented em-ployees have more choices, and rhei r commirmenris more imponant. It matters more because gain-

ing customer share comes from the intimacy rhatfo l lowr involv ing cusromers in organizat ion prac-tices, and intangibles, including capabilities and lead-ership, have become critical forecasters of marketcapiralizarion.

Important questions facing members of the se-nior executive team: How do we know if we havethe right organization? What can we do to creare abetter organization?

A new theory of organization has emerged inrecent years to answer these questions. Rather thandefining the organization through its morphology,a growing group who studies and observes organi-zations is seeing the organization as a bundle ofca-pabilities. This transition shifts the focus from rules,procedures, policies, levels of management, andother hierarchical mechanisms to a focus on corecompetencies, processesJ culture, and high-perfor-mance teams.

An effective organization is not defined by thenumber of laye rs of managemenr, systems in place,or by headcount, but by the abiliry ofthe organiza-tion to respond to business demands. The age-oldadage "structure follows strategy" is being replacedwith "straregy requires capabilities-"

Capabilities represent the abiliry of an organi-zation to use resources, get things done, and behaveto reach goals. They are a combination ofthe skills,abilities, and experiences ofthe organization. Theydescribe what organizations are able to do and howthey are able ro do ir. They are collections of indi-vidual competencies turned into organizational ca-pabilities. They complement the technical, corecompetencies resident in an organization and maybe characterized as the identity ofthe organization.Capabi l i t ies musr be a l igned ro emerging srraregiesthat offer direction, not destination. For example,Intel had a product development strategy for years,with organizational capabilities around speed to mar-ket with new products. Afrer the crisis of thepentium chip, their management realized that their

) <

Page 25: The Asian Manager, January 2000 Issue

strategy should not just be product, but customeror brand. So they began to find ways to build thebrand (Intel Inside) which would attract and re-tain customers.

This strategic shift required a new set of capa-bilities for Intel's success, such as building customerintimacy, leveraging brand across products, form-ing alliances with distributors, and qualiry Em-bedding these new capabilities enabled Intel to turnits strategy into practice.

Dave cites Disney as another example. It is notdefined by the number of levels in the hierarchy,how much ofthe decision-making is delegated toeach employee, or how pay is allocated based onexperience, but we think about Disneys ability togive guests a fun experience, to cr€ate a safe andwholesome atmosphere, and to continually createnew guest experiences.

In the future, organizations will identifr andnurture a handful of critical capabilities. Vhilethese capabilities will clearly differ by industry (a

pharmaceutical firm is more worried about inno-vation and cycle time, whereas a utility is more in-terested about consistent delivery in a deregulatedworld), a handful ofcentral capabilities may com-prise the essence ofhow organizations will operate.

Results-based Leadership

A crirical success factor for any organization isthe calibre of executive leadership. Dave suggeststhat people can increase their effectiveness as lead-ers by:

o Beginning with an absolute focus on re-sults

o Taking complete and personal responsibil-ity for your group's results

o Clearly and specifically communicating ex-pectations and targets to people in your group

o Determining what you need to do person-

ally to improve your results

o Using results as a litmus test for continuingor implementing leadership practtce

o Engaging in developmental activities andopportunities that will help you produce better re-sults

o Knowing and using every group member'scapabilides to the fullest and providing everyone withdevelopmental opportunities

o Exper iment ing and innovat ing in everyrealm. looking constantly lor new ways ro improveperformance

o Measuring the right standards and increas-ing the rigour with which you measure them

o Constantly taking action - results wont im-prove without it

o Increasing the pace or tempo ofyour group

o Seeking feedback from the employees aboutways you and your group can improve the outcomes

o Ensuring that your subordinates and col-leagues perceive that your motivation for being aleader is the achievement ofpositive results, not ofpersonal or political gain

o Modelling the methods and striving for theresults you want your group to use and attain. I

Les Pickett h a mernber of the International Board ofAduisors to the International Personnel Management,*-sociation, and President-Elect ofthe Asian fugional Tiain-ing and Deuelopment Organi tion. A ?ast internat;onalpresident of the Institute of Business Administration andchairman ofthe executiue board ofthe International Fed-eration ofTiaining and Deuelopment Organizations, heis currently aduising the United Nations Staf College onthe deuelopment of a global HRD strategy. Contdct:l, ic kett@e n te rni t. c o m. au

26

Page 26: The Asian Manager, January 2000 Issue

Are You Globally Literate?

A few years ago, when I was a member ofthe boardof the alumni association, we ran a visioning workshophere at AIM, facilitated by Prof. Sonny Coloma usingcomputer technology dedicated to this purpose. Of thequestions we had to answer, perhaps the most significantwas, \fhat are the alumni's most important needs inrelation to the Institute?

tW�hen the answers w€r€ tabulated, the one that ao-peared ar rhe top was "conrinuing educarion."

Ifanything, this need has become more acute in thelast couple of years, whar with the radical upheavals inindustries, in economic environments, and in the tech-nologies that shape both. These changes are extraordi-nary because they are not located in specialized areas.They have altered even rhe fundamentals that the gener-alist manager (e.g. the AIM alumnus) has long takenfor granted.

And so, the question to you is, how are you keepingup? Here at your Instirure we strive to help you keep upwith your changing world through different initiatives.You have the option to take a few days offand enroll inone ofthe Executive Education courses, rated as no. I inthe region. You can rake even a shorter time away andparticipate in one ofthe many conferences and seminarsrun and sponsored by AIM throughout the year. Checkout the Institute's web site for announcemenrs.

The magazine you have in your hands is another me-dium for your continuing education. One ofthe articlesin the current issue summarizes the objective many ofyou share: to become globally literate. That means rhat aregional perspective will no longer suffice. To be globallyliterate implies that business mastery will only get you25 percent ofthe way toward success. To be currenr is tounderstand, and practice, the ideal that the Institute haschosen for its new positioning: Asian management witha global perspective.

TsE funN M.aNncrnA pUBUcATIoN oF THE AsrAN INSTITUTE or Malacrumr

lst Quarter 2000

Cover Art: "Sunrise" / Charlie Hilt / Superstock HKView el€ments added/modjfied by Manny Espinola/TAM

Update form

Beyond the Box

Faculty Profile

Shakespeare on Loan

Leadership ls an Art Form

AIM Scholarship Launched

On Campus: The Dorm

Alumni Profiles

o What Dreams Are Made Of

. An MM Grad's Gift of Words

What Recruiters Look For: You

Prevision

About AIM

a Home Perks

. FAIM Chapters

Gadflyl

Class Notes

-/a rnv'<.a'ra'r/ / t /

Page 27: The Asian Manager, January 2000 Issue

STH A'IAN IN'TITUTE OF MANAGEMENTAsian lnstitute of ManagementEugenio Lopez Foundation BuildingJoseph R. McMicking Campus123 Paseo de Roxas,1260 Makati, Phil ippines

CERTIFICATE

El Basic Management Program

E Management Devetopment Program

E Top Management Program

C] Marketing Strategy course

E Finance for Senior Executives

E Course for Senior Bank Managers

E Program for Development Managers

E Program & Project Development and Management Course

E Pre-t4an

DEGREE

E N,laster in Business Management

E Master in Management

E EMBA corporate change Program

E Master in Entrepreneurship

AIM Programs Previously Attended

(2 years)

{1 year)

(18 months)

(18 months)

month year

[T__ll-T__l

(4 weeks)

(8 weeks)

(4 weeks)

(2 weeks)

(2 weeks)

(2 weeks)

(4 weeks)

(4 weeks)

(6 weeks)

Professional Title (e.9., Atty. / Dr. / Military Rank)

Please write the name you would like to appear on offlcial documents

Last Name

Home Address

Number Street

District City Postal Code & Country

Telephone (County Code, Area Code and Number) Fax E-mail

Pager Mobile Phone

Nationality Citizenship

Birthdate Age as of June this year

civit status E Singte tf Married tl Separated E Divorced E widow(er)

Page 28: The Asian Manager, January 2000 Issue

E BOXBy Maria Milagros T. Garcia

Controlling Energy

Before we can begin to controland focus this energy we need to be-come aware of the following con-cePts:

The Uniuerse is Pure Energy.

Quantum physics has proven whatphilosophers have argued about forcenturies: that we are all just pointsof unified energy that, when brokendown to its most miniscule level, re-veals a uniform energy source. So lifearound us as we know it is really acollage or combination of these en-ergy points.

We are Co-creators through ourThoughts. Our thoughrs are acruallyenergy conductors. Much like acellphone receiving messages from.acellsite, our thoughts relay messagesto the energy centers around us and

Insighxfor boundaryless thinking and liuing

have the power, therefore, to affectand direct this energy.

Beauty Raiset Our Energl. Thisraises the issue ofhaving clean andpleasing surroundings. Vhen welook at objects of beaury flowers,f ie lds, a beaut i fu l pa int ing,our energy sources and receptorsare raised to a higher level, similarto placing a metal object next to acellphonet antenna to increase re-ception. Negative surroundings,garbage. dirr. a lack ofgreen space,can also cause our energy to plum-met and lower our abiliry to con-trol this universal energy.

Energy Awareness

Becoming Aware of EnergyRaises our Vibration. Once we al-low for a shift in consciousness andunderstand that at a micro level weare only one part ofa larger energysource, rhen we can begin ro prac-tice ways in which we can harnessat will and focus the power avail-able around us.

Energy Issues in the Vorkplace

Eminent parapsychologist, JaimeLicauco points out that we alreadyexperience this energy source in theworkplace.

ENERGYTAPPERSEnhancing Your Personal LEnergy in the Workplace

ave you ever wonderedwhy you feel drained andweak in your workplace

bur feel recharged the minute youleave? Orwhyyou feel tired afrertalking to a subordinate and en-ergized after a meeting with yourboss?

The answer lies in Einsteintfarnous equation: E=mc2, orplain and simple, energy.

Celestine Prophecy

In James Redfieldt best-seller"The Celestine Prophecy", thereader is presented with a primaryconcept: that energy exists withinus, around us and has a powerfuleffect on our world. This energy,unseen and intangible for themost part, is one of the most im-ponant forces in our daily lives.'What's

more interesting is rharwe can harness this energy andfocus it in a positive manner toimprove our lot. And we knowenergy is focused when goodthings happen to us, when we at-tract positive people and feel en-ergetic and enthusiasric.

29

Page 29: The Asian Manager, January 2000 Issue

, l"Do you notice that there are

people you talk to who leave youenergized and excited about aproiecr and rhere are orher peo-p le who dra in you? Thi ' is anexample of personal energy arwork."

Licauco says that cornpaniesneed to consider this unseen fac-tor when hiring personnel. Infact, whether a person possesesnegative or positivc energy can bean important factor in placementand job description. "People

with negative energies shouldprobably not interact with otherpeople as much." This meansthat people with negative ener-gies should probably be keptaway from service functions tharrequire heary interaction withcustomers and clients. "They

could probably work with ma-chines like computers. But stud-ies have also shown that a nega-tive mindset can also affect ma-chines. Thke for example a studyone US university made on theincreased rate ofcomputer break-downs during exam time and thestudent's agitated and negativemindset during that period!"

According to Licauco, "rVe

have the capacity to affect theenvironmeni around us and atthe same time, the world is a re-flection ofour inner self."

Corporations looking to hirethe best people possible shouldtake the energy quotient intoconsideration. At the same time,executives can work to enhanceenergy in the workplace, al-though this is not easy as mostworkplaces are tox ic energysources to begin with. Fluores-cent Iighting for one has beenshown to be harmful to humansand weakens your energy, mak-

ing you susceptible to stress-relateddisorders and illness. As well, elec-tromagnetic radiation from comput-ers, copy machines, faxes and cellu-lar phones, the standard corporarebattle gear, may greatly affect personalenergy by draining and deplering ir.In fact, the effects ofnegative energyhave proven to be fatal in some cases,like the cancer and leukemia victimsin US communities that have put uphigh-tension wires. It is believed thatthe toxic energy emitted by the hightension wires is directly related to theunusually high incidence ofthese dis-eases in those areas.

Increasing personal energy

Increasing energy in theworkplace can be done even if thecurrent work environment isnot con-ducive to positive energy flow. En-ergy drained executives can'use thefollowing techniques to raise theirown personal energy:

Centering. Take two ten minutebreals a day to practice breathing,allowing your mind to slow down toalpha wave level (a deeply relaxed butconscious state). Imagining a brightwhite light envelopingyour body alsohelps in increasing your energy. It issaid this exercise has the capacity toaffect those around you as well.

Wsual Sourres. Keeping beauri-ful visuals like posters, photographs,and positive affirmations on yourdesk can affect your energy positivelythroughout the day.

Liuing Sources. Plants, in soil,not cut. are a good source of en-ergy and enhance the air and flowin a workplace. Plants also absorbnegative energy around them.

Physical Sources. Leaving yourworkplace to walk around andmove your body also increases yournatural energy. A lethargic andheavy body is a natural energydrainer.

Enu i ro nm e nta I S o urces. Walk-ing inro the sunlight, playing sooth-ing music and releasing calmingscents in the ofEce can also increasepersonal energy. However, oneneeds to take into account the ap-propriateness of this in the workarea!

Corporations Thke Note

Energy-e nhanci ng methodscan be taken into considerationwhen developing a work area. Aswell, toxic work environments canbe lessened with adequate attentionand respect for this unseen forcethat affect us at a cellular level.

Corporations are lirerally or-ganic environments and humanbeings are extremely affected byshifts in energy around them. Ifyou're srill unsure. try Iogging inyour energy levels for one workday.You may find your energy levelsdipping and rising in response topositive and negative triggers fromyour secretary, colleagues, clients,your spouse and even your dog! I

For more information on energ!-enhancing exercises uisit Jaime Licauco'suebsite at www,geocities.com/eureha/concourse/5969.

30

Page 30: The Asian Manager, January 2000 Issue

Tomas B.LapezJr.

The Natural

' ',- 't

The Tbmmy Blend: old aisdom plus new passions equak the Wql

o be with Tomas "Tomrny" B.an unapologetic space-clair.ner.his heft than with the genuineof the moment.

Lopez is to be in the presence ofa manner that has less to do withdesire to experience all the details

He would never, 1br example, talk about the weather unless it's raining,which seriously pours water on his golfplans, thus leading him to consider worth-ll,hile altematives. He could, though, go on and on about the latest PowerPointpresentation he has prepared for a class, and compare software notes with any-one who cares to share in his excitement. And when he asks after you, you'resure he's notjust being polite when he presses you to tell hirn why you're fine orotherwise. He is loath to make conversation. Ifhe has nothing to say to you he'drather not have to speak to you. And when he does, his body language speakslolumes as well: the ann that cuts across the air to emphasize a point. the handsthat try to mimic the shape ofthe feeling he wasjust telling you about, all accom-panied by a resonant broadcaster's voice.

No wonder the students adore hirn. They have consistently given him highratings. "ln the last three years I realized that I could spend the rest of my lifeteaching," says Tommy.

Page 31: The Asian Manager, January 2000 Issue

" t

Man in the Middle

While he says he feels that his career is at its most productive phase, he admits to beinglazy about some traditional expectations in the academe. For example, he doesn't like to write.In a publish-or-perish ethos Tommy would wilt, though not quietly, in his fusty comer.

But he could be inspired, he says, "to do more than what I'm doing now for AIM." Exactlyhow and by whom (or what) he doesn't know as yet, having straddled the middle road. Tommydescribes himself as belonging to the "middle" tier in the AIM faculty, being neither among thefounders - like Gaby Mendoza and Mel Salazar- nor among the "young" faculty. And as far ashe's concemed the middle is a good place to be. From there he could participate in helpingblaze new trails for the Institute with both the wisdom he has gained and the passion for freshexperiences and expertise. In this case, "middle" is mature - a privileged position, indeed, in anInstitute that is constantly redefining itself.

He is unabashedly a fan ofthe Harvard model - create individual superstars who will carrythe school. Not that Tommy fancies himself to be one such icon. The closest he'll ever get tobeing a pop idol is ifhe seeks, and wins, public office - an idea that still appeals to him yearsafter he served as agriculture undersecretary in the Aquino administration. He had consideredrunning for Congress during the Ramos administration but decided against it in the wake oftheCharter Change campaign and the Asian crisis.

Otherwise Tommy knows he's the original snake charmer. He truly likes people, and peoplelike him back. "When I was running businesses I had always been accused ofbeing too nice,"Tommy recalls. "For a long time I went around feeling guilty; I thought I didn't make a goodmanager. But then I realized that ifl could make people feel good about themselves and achieveresults, hey, that couldn't be too bad."

Always Something New

For all his classroom popularity, which doubtless stems from his candor and humor, Tommygladly concedes the Master in Entrepreneurship floor to Prof. Ed Morato, whose sixth-sensecomponent gives a unique twist to the Institute's newest degree program. "I am totally uncom-fortable with that," says Tommy, who has himself run a range ofbusinesses and has an idea ofwhat Morato means. And which, he says, makes the program immensely marketable.

Tommy, 50, now takes it easy as a businessman, living off retums-on-investment andconsultancies. He's even thinking ofcashing his chips in the wall-systems business he startedwith a former classmate (in MM) six or so years ago. He just can't imagine himself running abusiness full-time. Life is too short (and too good) to pass up in Tommy's view For instance, hewants to track the marketing trends in the Web, how these are changing the traditional market-ing systems around the world. He wants to be on top ofdevelopments in information technol-ogy so he can deploy the best and the latest applications in the classroom and for the greaterglory ofthe Institute.

Indeed, he has designed his computer system's architecture on his own by scraping up allthat current technology has to offer. This way he maximizes its use for his purposes, satisfieshis deep curiosity about how things work - or don't, but Tommy himself you can alwayscount among those things that do. - J. de Jesus

4 )

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Sha[E>eare

HenryY shows the wayfor worhpkce leadership in the 21" centur!,courtes! of Richard Oliuier

rear work ofliterarure have beenused to cast light on the eternal themesofthe human condition. Love and be-trayal, hate and longing, desire and sor-row, ambition and defeat - these de-fining moments flow into each other,and their power to build or destroylives has changed little since the world'swriters chose to amplifr them in nov-els, plays, poetry and myth.

Shakespearet works, for example, have beenpressed into new service - not just as dependablefilm material but in Richard Olivier's trade. as achange tool for management leadership. But wait:Richard Olivier...is he...? Yes, het the son of SirLawrence Olivier named after fuchard II and, yes,hed spent several years as theater director - he haddirdcted productions of Henry V and The Merchantof Venice at Shakespearet Globe - and worlshopleader. Since 1997 Richard has been working closelywith the Cranefield Praxis Centre at the CranefieldSchool of Management in London, us ingShakespeare's plays as a focus for leadership devel-oPment.

In January fuchard was a guest of the AIM-Scientific Research Foundation (SRF), duringwhich he conducted a three-day course titled "In-

spirational Leadership - Henry /' for topJevelmanagers at the MML Development Center inAntipolo Ciry fuzal. It helped that the introduc-tion to the course mentioned that "no previousknowledge of the play is required." A good manypart ic ipants might have s ighed in re l ie f .

Shakespearet llrzry l/at that, not even,say, the more popular Romeo & Julietor HamleC

fu it happe ns, Henry Vis most in-strucdve on the finer points ofleader-ship, in Olivier's reckoning. And al-though one may imagine, say,Shakespearet Tioilus and Cresida, asappropriately demonstrative of leader-ship qualities in the midst of change

and turmoil, Henry V stikes at the heart of the di-lemma - exactly how to turn around a losing propo-sition - more graphically (see rynopsis next page). N-chard Cunanan, a Filipino stage actor whot done arange ofShakespearet plays, still wishes he could oneday play HenryV if only for the King's stirring speechto his foot soldiers:

"Once more unto the breach,dear fiends, once more. . .Or close the wall up with ourEnglish dzad.

. In peace there\ nothing so becomes a manAs modest stiltnes and humiliry:But when the bhst of war bhws in our ears,Then imitate the action of the tiger:Stifen the sineus, tumrnon up the blood,Disguise fair nature with hard-fauou'rd rage;Then lend the eye a tetiblz aspect. .....Folhw your spiit, and upon this chargeCry, 'God

for Harry! England and Saint George!"

How Leaders BehaveLeaders lead, Leaders inspire. kaders rise to the

occasion. Unfortunately, all this is easier said than

33

Page 33: The Asian Manager, January 2000 Issue

done, and being an effective leadercertainly takes more than merelybreaking out in grand and timelyspeeches. kadership, when it knowswhen and where to deliver thatspeech (or to say nothing at all), rsboth inspired and inspiring. "The

course will provide an imaginativespace where delegates can improvetheir abiliry to make decisions in theface of dilemmas," says Olivier.

The course plots the sub-themesofthe five-act play along leadershipchallenges, here outlined in tip-of-the-iceberg highlights:

Act I: Defining the VsionWhat do you have to start with?

Describe the terrain. rVhat's rhe mis-sion and how does the arsenal looklike? \fhat are the rules and howmuch room is there to move aroundin? lWhot on the level and who canyou count on? \i?hat's the first move?

Act II: Dealing with TiaitorsOn it's way up, leadership invari-

ably trails with a cloud of friends,hangers-on, sycophants, kibitzersand opportunists. All are potentialconfidants as well as traitors. Loy-alty cant be bought. On the otherhand, you can wear out the patienceand trust ofproven friends. Do youbnout all the fuot soldiers toiling inyour service? Ifyou do, theywill fol-low you to the ends ofthe earth.

Act III: Into the BatdeSun Tzu in one act.* t*/hilc a

successful bluff saves resources allaround, a tactical withdrawal teachesus lessons more valuable in the longrun: a sharper eye for recognizing

.SwTzr, Thc An ofllat wnnen :nd compiled 3,600B.C.. theoldcs mrlnary ucrosc in hnrory. a mainxry inmilitary acadmies ad Fonune 500 board rooms.

HENRYVTheArchbishopof Canterbury worried overa legislation thatwould

take away the wealth and power of the church, convinces Henry to letgo of his ambition to conquer France. Bul armed with a legal technical-ity, Henry is determined to take the French throne by whatever meansnecessary France's insulting response is to send an ambassadorwith a gift of tennis balls. The French, says the ambassador, will onlyrespond to war. Thus, Henry ananges for an army to invade France.

However, rebellion always seems to erupt when the king is away,and so Henry leaves behind enough troops in England to quell anypotential uprising. However, this leaves him with a smaller invasionforce. In fact, Henry has to deal with a plot first before crossing theChannel. With French sponsorship, Lords Cambridge, Scroop and Greyare discovered to be conspiring to assassinate Henry, and so Henryarrests and executes them himself. The army then lays siege to theFrench stronghold Harfleur, capturing it after heavy losses on the En-glish side. Henry then attempts to take his army out of France beforewinter, but now the French think they can teach the young king a hu-miliating lesson in war Henry resolule and emboldened, asks themwhen the classes will start.

While in camp, Henry disguises himself as a common soldier andmingles with his troops before the battle. There he gathers that whilethe men are leery of their king, their willingness to fight the French isundaunted. The next day at Agincourt, Henry makes the stining St.Crispin's Day speech, knowing his army is outnumbered five to one.Aided by his archers' longbows, Henry routs the French. The Frenchare then left with no choice but to sue for peace. Henry grants it, but inhis own terms. According to the Treaty of Troyes, Henry marries Prin-cess Katherine of France and is named heir to the French throne. En-gland and France are thus united in peace.

things that are not what they seem.Once upon a time the Princess andher kingdom was the grand prize forvictory hard-earned. But the battlehas hardly begun, so whose chivalricpride is bruised yer? The more in-triguing question then

.is: utho is she?

Act IV : The Role ofthe LeaderTo be or not to be a fearless king,

that is the role. Canvassing commonopin ion sreers you closer ro winningh e a r t s a n d m i n d s , b u r d o i n g i tovertly invites everything you wantto hear except the candid truth. Andso as the dark night of the soul ap-proaches to blanket the earth, uponwhose shoulders must the burden ofresponsibility fall, the finger ofblambpoint, the songs of praise sang? "From

this day to the end of the uorld, butwe in it shall be remcmbered, we few,we happy feu ate band ofbrothers..."

Act V Tirrning the Batdefield intoa Ganden

At long last to conjure a circleof friendship with formerly hostileneighbors. At the very least it buys acertain amount of peace and quiet.The compulsive warrior will want torape and pillage, as is due his basernature. But the wise one will takegently to the laying down of arms,the hea.ling of wounds. Then witheyes ofa hawk read the fine print inall mergers and acquisitions. Afterfive he can then knock himself ourtrying to get to know the Princess. I-J, de Jesus and Mannl Espinok

34

Page 34: The Asian Manager, January 2000 Issue

I\ewndffic.Ijatd:ILEADERSHIP IS A1{ ART FORi'

But why stop at Shakespeare? Leaders of the 21st century can discover inspiration, enlightenment, and motiva-tion from the writers and players, and their supreme works, presented on this list. List making, of course, is arisky business. We have concluded that if we tried to please everyone, we will certainly please no one. Do

remind us, at [email protected] what we may have criminally neglected to include, from your own list.

MAHABHARATA'1'his

vast, epic fantasy about good versus evil is also a profound meditarion on dury and laith.k hotses the Bhagaual Glra, which has shaped lndian culture (and its spiritual offsprings allover Asia and consequenrly the rest ofthe world) as no other book has

PLATOThe greatest philosopher from the birthplace ofdemocracy. A consistent set ofseven tetralogies

meant to educare kings, Platot dialogues often Features Socrates, from whom Plato inherited

the dialecrical sryle ofsearching for the truth: questions, answers, and more querriont.

OVIDThe 250 mlths in ,4.letamotphoses is the best classical source of myths from the ancient West(btger rhan Homer). Dante, Chaucer, Milton, Marlowe, Shakespeare, Auden, Ted Hughes,

and Anne Carson owe him royalties. Eueryone is here, from Atlas to Zeus.

GABRIEL GARCiA MARQUEZV/here there's as much PowerPoint on globalization as on the end ofthe world,his One Hundred Years ofSolitude alone assures another hundred oflove, loss,and all the spectacular tragicomedies in between.

JORGE LUIS BORGESThe blind visionary from Argentina quotes himself, plays with philosophy, makesshimmering worlds out of mirrors, dreams, and libraries where "Pomo" and otherisrns rnay or may not exist.

URSULA LEGUINEveryone has a monthly cycle where PMS involves choosing your gender at least forrhe next couple ofhours you spend at The Lef Hand ofDarizas. Her worlds areprofoundly thought of bur inhabitable.

ISAAC ASIMOVScience fiction has never been more a question ofTQM than in Asimov Aparrfrom hisFoundation series, the genret mosr prolific has proven time and again that when the world ends,he wil l have been rhe mo't detailed about it.

J.R.R. TOLKIENThe benchmark for all Fantasy, as he is given credit for elevating rhe genre from the "pulp" language and so-called escapism

the others are (critica)ly) charged with.

EDGAR ALLAN POEForget rhe riny

"tintinnabulation" slip. The fact is he remains the father ofscience fiction, the psychological novel, and the

detective story. Before Holmes and Poirot, there was Dupin.

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Page 35: The Asian Manager, January 2000 Issue

ALLEN GINSBERG ; n.: r:Not one to be satisfied wich merely singing the body elecrric, he ,.\tt i'rhowls on into the pitch black beat ofa new cenrury with both .: tr-

THINGS FROM THE 2OST CENTURY TO TAKE TO THE NEXT

T.S. ELIOTTo the 20'h century poetryt snob, the night is a parient etherized on a table, and it often takes more rhan a hundred 1'earsfor such a line to really sink in. "l-et us go then, you and L.."

ARTHUR RIMBAUDSomeplace between "Illuminations" and'A Season in Hell", he cries "O Seasons, O Castles/ what soul is withour blame?"

RAINER MARIA RILKEIn his solitude, the bed is a theatet outside could feel like "a day ofblue and green witha shout ofred", flamingos have stems, and behind the innocence oftrees, Doom isgrowing a soundless face.

BASHO MATSUONo environmental policies here, just the master ofrhe haiku's paradoxes(e.g. depth bound by the economy ofwords), and his humbleassertions ofthe greatness ofnarure. L g t u.. go

i i h e n t h eLl Po ou t . igr in s

\X/har is rhe sound of che wind in rhe rrees? Dirch rhe :earch ensine =, ^ llet taoist spontaneity ".ra y.".. or.r"g"iond; ;.;p;";.*

-. " " :,::-'.Orlu p o n ; t

PABLo NERUDA Let u ' q

Should indusrry ever succeed ar wiring rhe r.rorld from celebraring :" ' "- '

his love poems, there are always his odes 'To rhe Happy Day,' I he l- ' lut"To Sadness," "To Life." ' ' t re:.-! i

energy and gentle humor to spare. : t

WALTWHITMAN I. . A ] l t r u t h s w a i t i n a l l t h i n g s ' ' , h e e x u l t s i n . . S o n g o f M y s e l | , ' �

Starting with the human body elecnic and. soul, evernhing in life i." , , ,h . dbfrom sex to taxes - is cause for rapture.L E I U 5

WALLACE STEVENS ln theThere are "thirteen ways oflooking at a blackbird." \X/ho says high coflle

poetic thought can't intrigue and be pleasurablel

SONG OF SONGSIf \MH. Auden wrote some of the best lines on love in the last century ("Restyour weary head my love, human on my faithless arm"), ir is only in answer tothe best search from the ancient world: the Song ofSongs ('At night my Lordwhen I close my eyes to sleep, I sought him whom my soul loves, I sought himbut found him nor, refresh me with apples, for I am sick with love").

SYLVIA PLATHThe culprit ofinjury commercialization, Ms. Confessionalism will continue to inspire poerry as rhe acr ofexpiring,whether the world likes it or not

Prcvious paga collage: (lop lo boltom) MAHABHARATA,Saralsofl<httpJ/u,'$rv.saralsoff.com/mmcdroml>; OVIO Ovid Projecl <htlp://wwwuvm.edu/-hag/ovid>;GABRIEL GARCIA MARQUEZ, book cover<htlpJ/wwwamazon.com>i JORGE LUIS AORGES, Borges Fetishization <httpJ/web.nwe.ufl.edu/-mcasal/bo€es.html>; ISAAC ASIMOV, Foundalion Arts <httpJ/hom6.int6rstal.nev-slawcio/foundation>; PLATO, book cover <http://wwwamazon.com>; EDGARALLANPOE, The Raven <hipjl,lww.comnot.cal-forresr>; URSULA LEGUIN, book cov€r <htlp://wwwamazon.com>; J.R.R TOLK|EN,Denelhor & Pippen by NicholasBe€kman <httpj /vwwlolkien-archives.com/gallery/beekman/denethorjpeg> Itis paoe corradai (top lo bottom): WALT WHITMAN, Poet at Work<htlpr/rs6.loc.gov/wwhome.html>; T,S, ELIOTtext background <http:/ ,!ww.prufrock.org/poem>i BASHO MATSUO <http/www.lsi.usp.brlusp/rod/poeusumei/bashoing.hlm >t RAINER

36

i,n44,s n'^Pl! fa.lii#...th2t ote' atpal'ra^ra, f ortha' ta*2' of o' nqlo uert',ono tnug t12 mowt citi,ot,

.rv t td't)t irqr, oav' m.tat,.r,ou tia' ornfialt oti2' aaatfe.r hot, rh4' bir.L fl, a'\d',-^oi' tha, te*u.o winh wtuAvUftb Aoe.'', oD.rv it! t*e

-fl.Liirt Uatla'R.d*2,

T l ] l l Inq FFlc l- ruufisEYg3

i t n o i ^s p r e ,

Page 36: The Asian Manager, January 2000 Issue

THINGS FROM THE 2OS CENTURY TO TAKE TO THE NEXT

MARCEL PROUSTfumembrance ofThings Past is "rhe Mt. Everest ofnovels" and the neurologist's unwitting proof that the sense of smell is the

key to ddjtr tu. A spectacular embroidery patterned after the nature of emotion, reason and time, Remembrante...is au.thored

by France's most dazzling literary talent, triggered by a sniffofa piece ofpastry called madeleine.

JAMES JOYCEHave you read classical novels? Read: Have you read U/liail The father of realism, he authored "the greatest 20'n century

novel," "#e Modernist masterpiece," and with a simple 'Araby,"

he gave birrh to the 'bdult child" in fiction.

SIMONE DE BEAUVOIRWith her work (The Mandarins, All Men Are Mottal), as well as with her

life, la femme phenomenal spearheaded the abolition of the second sex,

and paved the way for the birth of the three Fs in women studies -

feminine. feminist. and female.

LADY MURASAKI SHIKUBUHow often does it happen that an epic on Japanese royalryt sexua.lconquests can be dubbed "the world's first real novel"?It is the first novel, period.

CHARLES DICKENSThrough rhe best of times and the worst of times, his parentedplot continuiry and character dimension live on through hisunparalleled skill at detail and language.

CHINUA ACHEBEIfonly for sheer resiliency and individualiry. Before things fallin the next next century don't miss this grassroot-genuine article

"

WOLE SOYINKAIronically enough, itis The Man Died, his pessimism in solitarywhich has earned this poet-dramatist-autobiographist-novelisr the

Nobel Peace Laureate sratus.

ERNEST HEMINGWAYThe close ofthe 20'h century marks the centenary ofthis visionary's so-called

mismanaged life and works. "And we can have all this, and everyday we make it

more impossible," reads one ofhis most treasured short stories he wrote back in

the late 1930s. Hou could he haue knoun?

VIRGINIAWOOLFSchizophrenic or impressionistic or both , The W'aues (you rnust admit) needs at least another century ofstream-of-con-

sciousness in your hands. Vho's afraid of stream-of-consciousness?

WILLIAM BURROUGHS"Language is a virus..." The author ofthe mind-splitring The Naked Lunch coined "cyberspurik' and has influenced

everyone from arrist Keith Haring to rock poet Patti Smith and cyberspace novelisr '\(illiam

Gibson

MARIAR|LKE, textand phoio<httpj rwwgeocilies.com/Pa s/Left Ban k/4027/>t ALLEN GINSBERG,In l\,4emoriam <httpj/www.sftoday.com/enn2lginsberg him>i

WALLACE STEVENS, Feigning with the Strange Unliks, <htlp:/l,!ww mtsu.edu/-dlavery/stovens/wspic.htm>; Ll PO <htlp/wwwdpo.uab.edu/_yangzwlibai htmi>;

ARTHUR R|MBAUD, The Drunken Boat <httpj/members.tnpod.com/-RoadSide6/>; PABLO NERUdA <httpJ/wwwuchile.cl/neruda>; SYLVIA PLATH, Tribulepage <http://wwwmembers.tripod.com/-jonnykaUsilvia.htm> A!9yc-cOl&g€(top to botlom): VIRGINIA WOOLF, Virginia Wooll on Women and Ficlion <httpJ/

www cygneis.com/woolf/>; LADY 'IURASAKI SHIKUBIJ, book cover <httpl/wwwamazon.com>i SIMONE DE BEAUVOIR, book cov€r <http://$\rw.amazon com>;

WLt-tlti,t SXlXgSpglaE, lmage Aankt JAMES JOYCE, book cover <httpi/1,\iwwamazon.com>t ERNEST HEMINGWAY, The Hemingway Resource Center <

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THINGS FROM THE 2OS CENTURY TO TAKE TO THE NEXT

ergei Rachmaninov, Frank Sinatra, Joy Division, Tito Puente, lgor Stravinsky, -Lo-uis Armslrong, Queen Latifah,- Elvis, George and lra Gershwrn, l\4uddy Waters, Richard Wagner, Sinead O'Connor, Carlos Gardel,Gustav Mahler, Cocteau Twins, Baaba Maal, Leonard Bernstein, Astor Piazzolla, Marvin Gaye, Luciano

Pavarotti, Joni l\4itchell - they're here because when you scroll down further, they're not. And no apologieshere either (how do you say sorry for excluding l\4adonna or the Sugar Hill artists or New Age from the

"canon"?). That said, the following is TAM'S desert-island picks for the 21" century' When you reachNirvana, feel free to object to our tastes, otheMise email us with your own hit list.

[email protected]

JOHANN SEBASTIAN BACHThe close of the century celebrates 250 years ofhis violin sonatas,cantatas, lugues, canons, and concertos. \Vhatt another hundred for

rhe keyboard meister ofall time? The most mathematically

structured pieces written for performance, Bach's music is the ideal

architecture for computer visualization of everything from

geometric progression, systems dynamics, initial-condition-

dependent cycles, and fractals. The critics' recurring word

for the larest release ofhis six suites for cello: exquisite.

WOLFGANG AMADEUS MOZARTTheret still talk that listening to his pristine, brilliantcomposirions can, in fact, up your IQ level and stimu-lare creativity. Ofcourse, it remains to be seen whetherconstantly listening or not, to an ad on televisionplaying Piano Concerro K.466 can actually help youwith mental long division. Jusr in case it doesn't -

well, there is always the music.

LUDWIG VAN BEETHOVENMozart may have had rhe savantt precision, but he is by

no means fondly referred to as the Revolutionary Romantic.

It is with Beethovent nine symphonies where "romantic"

and "classical"

were firsr uttered in the same breath.

GIACOMO PUCCINI'hue -La Donna / Mo6l/a may be the most popular aria, and

Verdi may often be the more critically acclaimed, but it is

Ptccini's Nessun Dorna that continues to reduce people to tears

and relationships. And who could proceed to take up opera as a

serious interest without first attending -Ma ddmd Buttetl!,

considered the 20'" centuryt operatic crowing glory?

GIUSEPPE VERDIVhether it's La Irauiata or Aida or Rlgalera that made him themost predominant figure in Italian opera doesn't matter.As a criric has remarked, he could easily be the only isle under"Best of Ooera." and the world wouldni crumble.

;-r t .' ,.'3) ' , ) t

:

httpt/wwwtostgeneration.com/hrc.htm>; MARCEL PROUST, Societe des Amis de l,larcel Proust <httpJ/wwwa]manel.frlprousv>, CHINUA ACHESE, African

Auitrors <nttp://r,vww. cocc.edu/cagatucci/classes/hum21 1/achebe. htm >; WOLE SOYINXA, Wole Soyinka <httpJ/wwwnobel.se/laureates/ ilerature-1986>l WILL_

IAM BURROUGHS The William S. Burrcughs Files <httpJ/wwwhyperreal oru/wsb> Alglgi(top to bottom) BACH, "lhle" poltrait, Bachaus, JS Bach Homepage<hflpj/wwwjsbach. org> t B E ETHOVEN ( eft), poil porlrail, J. K. Stieler, classical l\ru sic Pages <httpl/wz.rz-be in. mpg. de>; MOZART (ig hl), oil/ no cred it, The

[,ozartExperience<http://wwwgeocities.com^/ienna/strasse/291o/mozad>;VERD|(LaTraViataposlcard,portrait)Verdiana<httpJ/www'l-ds.com/verdiana>iPUCCINt (m!sic sheet, portrait, Turandot poster detail) Giacomo Puccini<httpJ/sibley.esm.rochester'edu>

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THINGS FROII ITHE 2O' CENTURY TO TAK: TO THE NEXI

DUKE ELLINGTON. . I r don i rnc : t n : r t h i r r g i f i t l l i t l . t go t t h l t t s * ' i ng . . l n t i l l l l t ha r j azz 'Thc lon i r r sN1onkp le r ' edh in l . t l 1eF i t zgc I ' e l , . 1en t1 l , ou i s

Armsrronia slnit hin. No c,thcr jazr i igrrrc has cxrendcd a stronger inl lLrence rhen tfre [)uke in rhe inrprori ' . rr i ,rrr qurrrc'

hc pioneered.

THELONIUS MONKBccuLse

'Rornd Liidm qlt, tfrerc are no bo:rrcl

le club scene liorr Lt Liaisons [)atgereuses tct

centun.

meetings to artencl, no tarqcts to prc,ndc'. Bring thc l i r lorrs

thc mini-bar at home rvith r/rr bebop pi,rno pl,rver of thc

JOHN COLTRANEA Lot ' , : Suprenc is perhaps rvhat nrakcs this rcnor saxophonist one of

thc rnost effecrive inenegers' in the inprov biz. ' l

he elburn sees him

sri l l at his experimental gcnius, although the jazz leaves the irnpression

of having sonrehorv been grounded, even ' i ranaged

indic:rt ing a

marured intensit t in his arr istry.

MILES DAVISBevond his improvisational stunner Kind oJ Blue, dre world-renorvned

trurrpet plaler\ Birches Brea and. ()n the (.orner

(for insrance) paved the rval fbr a number of fusions, thus

securing the jazz lane throughout \Woodstock and Madonna.

BILLIE HOLIDAYIn thc end, and not ( larmen McRae, S:rrah Vaughen.

or El la f i tzgerald. Nina Simone\ cattv remark about hcr

rotorious alcoholic habits has somehou'onlv endeared"l-adv

l)ay" lurther into the next centurv\"( iood

Morning Heartache" jazz l isreners.

B.B. KINGBlues shorvmanshipi unsurpassed star to Bono Vox (of U2)

at a l ive perfbrmance: " l

dc,nt dc, no chords." Currentlv st i l i

on the road, he has more than proven he doesnt need to.

In any l ine ofbusiness, i t pa1's ro plav i t by ear, indeed.

CHARLES MINGUS"Good jazz is rvhen t ire leader jumps on rhe piano, rvaves his arrns.

and yel ls. Fine jazz is when a tenorman l i f ts his foot in the air

Grear jazz is uhen he heaves a piercing note for 32 bars and

collapscs on his hands and knees. A pure genius of jazz is manifested

rvhen he and the rest ofthc orchestra run around the room rvhi le rhe

ins r rumenrs . -

rht thm section grimaccs and danccs :Lround their

ARETHA FRANKLINI ronic:r l l r ' , rhe Queen of Soul must have rrouble ident i lv ing * , i th her s ignature song once in e *4r i le - she has af ter a l l

earned ruorld.r,ide R-E-S P E (l T and admiration for borh her versatility ancl r-angc.

This page collage:(tap to bottom) DUKE ELL|NGTON.Official Website <http //wwwcmgww com>: THELONIUS MONK. Tribute <hxp /iwww duke.edu/-giu/monk htm>; JOHN COLTRANE,Col t rane Comp ele<http:www.geoc I es com/Vrenna/stud 0/9753> MILES DAVIS, CD cover Kind oI B ue. Co umbiaJazzMastefpeces BILLIE HOLIDAY B e llo day Posters<http //!!ww a wall.com>:8.8. KING. OfficalWep Page <hltp //www bbk ng.com/> ARETHAFRANKLIN.tl nofficial Aretha Frank n Web S le <hlip webhome globalserue net ebutler/>

! !e4 p?99 99! !?99- l top to bot tom) HANK WILL|AMS.Off ic ia l Websi te <ht ip l /www.cmgww com/mLrs c/hank> LEONARD COHEN. Web Page <hl tp: i /

www leona rdcohen. com>: J lM I H E N DRIX, The J im Hendr x Experien ce < hltp www > BOB DYLAN, Bob Dylan Revisited< hltp //web.wt. net_sbasu/bd h61 _r htm >:BOB MARLEY, Bob Marley, Tufl Gong <http://www angefre com>t JAMES SROWN. On ine Taleni Agency <http //www.onlnetea enl comiMR Brown> THEBEATLES AllAbour The Bealles <htipJ/www thecore.com>i VELVET UNDERGROUND. Al Tomorrows Pades <httpr//www outand cyberwa. com/_2050/ve -

vetsr THE CLASH. Londons Eurning < ht tp / /www geoc t es. com/s u nset st r p/pal a d iu m/ 1 O2ghzl tebaa> . KURT COBAIN. A Tf bute to Kur l Cobain. <ht tp / /wwwanoelfire com>

39

Page 39: The Asian Manager, January 2000 Issue

THINGS FROM THE 2O'" CENTURYTO TAKE TO THE NEXT

HANK WILLIAMSVirh tides like "I'm So Lonesome I Could Cry," "Your Cheatin' Heart," and "Honky Tonk Blues," the barely literatecrooner single-handedly put the "country" next to music. In his wake, Nashville singers benchmarked the self-effacingstyle that made him a classic country music all on his own.

BOB MARLEYThe grandmaster ofreggae said:"Emancipate yourselves from mental slavery/None but ourselves can free our minds."Legend and ic rasta reggae wonders reveal there are certain things you just cant glean from PowerPoint presentauons.

BOB DYLANBecause the "times, they are a-changin," with every current Nokia model in this growing virtual workplace. Fortunately, thisliving patron sainr of rock endures, as his most current (Tine Oat of Mint) proves he can still come out with the same 3zaaz.1substance right in the midst ofthe antiseptic IT culture.

THE BEATLESThe virtual inventors ofpop as we know ir today, they're here more out ofa sense ofgratitude and habit. And a little fear, lest your grandchildren give Bette Midlercredir for ' In My Life. and the adverrising world for a carchy deodoranrjingle.

JIMI HENDRIXThere i hard ly a p i l ru re o f h im where the e lec t r i< gu i ra r i ' n i s lunghis shoulder, and the hands arent on one oftheir rechnicallyextended riffs. Eueryone fron Led, Zeppelin, The Kiss, to Metallica,even all the future Dream Theatres -all bow to the T Rex of Rifl

LEONARD COHEN!7ith classics like "Famous Blue Raincoat," "Coming Back to You,"and "Chelsea Hotel No. 2," this Canadian singer-songwriter of thcworld-wearied oriesti voice has oroven more than once that

out ofthe working class' decrepit aparrmenr that poerry, in

JAMES BROWNAfrer 50 years on stage there's a lot to feel good about.He has not only spearheaded R&B and modern funk,was also doing more painful versions ofthe moonwalkwhen Michael Jackson was still a high-pitched toddler.

VELVET UNDERGROUNDThere are silk-tie boardroorns. and then theret Velvet

Underground. Its feedback, running three-corddozen albtrms as a band, but everyone who botghr Andl lV'arbal has since become influential themselves-Joy Division,Violent Femmes, The Smiths, Jesus & Mary Chain, etc.

THE CLASHSome reggae, a little ska, - all punk -the double album Londnn Callinghad enough attitude to go around the alleys ofangeraround rhe world before "Should I Stay or Should I Gol" challenged the critical epithet "the only band that matters" with ananarchist's fists ofrage against any form ofstupidiry

NIRVANAHas meant, since the early 1990s, a grunge band from Seattle that single-handedly resuscitated rock for the next hundred orso years with strong anti-core-distance songs like "School," "Dive," "Smells Like Teen Spirit," and "Pennyroyal Tea'. On itsbeing classified under "alternative" music, a critic observes, "To what?"

25-cenr suicides, black humor, and artistry, exists in

Text: Kislne Doningo, Manny Espinola, J. de Jesus, Jet Magsaysay. Collages: Manny Espinola from 101 listed website sources / rcndqrcd in Pholoshop 4

40

Page 40: The Asian Manager, January 2000 Issue

--€l ' ''"]�|r-

LAUNCHESFULL SCHOIARSHIP PROGRAM

ffiAIM

siat premier internadonal academlc lnsotu-tion for business manas€ment and market-

ing excellence is set to launch a scholarship pro-

gram for "the best and brightest minds in Asid'.

The Asian Institute of Management or AfM(www.aim.edu) announced recently that it is oFfering full scholarships for Masterin Business Management (MBM)

Degree Program and Master in

Management (MM) Degree Pro-

gram for the school year 2000-2001, as part ofits continuing mis-sion to develop professiona.l, entre-preneurial, and highly responsibleleaders and managers of Asia.

According to Dean Jesus G.Gallegos, the AIM Full Scholarship Program is

expected to provide qualified candidates a highlycompetitive scholarship package that is compa-rable to scholarships offered by other reputablegraduate management schools in Asia, Australia,

Europe and the United States.

Dubbed as AIM Future Leaders Circle, theprogram is 'tnvisioned to further enhance the

experiendal and cultural diversity ofthe school'sinternational graduate student body," added

Gallegos.

The scholarship program, which provides fullcoverage ofthe academic fees and living expensesfor the duration of the masters degree, is alsogeared towards forging relationships across cul-

tures, blending leadership sryles, and deepeningthe understanding ofAsian business man€ementwithin the context of a global perspective.

The markets represented in the AIM FutureLeaders Circle are Japan, Taiwan, South Korea,

Singapore, Hong Kong and Macao, Australia,New Zealand, People's Republic of China, Viet-

nam, Indo-China (Cambodia, l,aos, Myanmar),

Philippines, Indonesia, Thailand, Malaysia, India,

Sri Lanka, Brunei and Nepal.

Candidates will be evaluated onthe basis of their scholastic perfor-

mance and intellectual potential, pro-fessional track record, and overall per-

sonaliry and leadership potential.

Designed to prepafe and equipfirture managers to lead and transformorganizations in the new millennium,the MBM is a two-year graduate de-

gree program that emPhasiz€s cross-funcdonal in-

tegration, extensiye field projects and contempo-rary themes of globalization, cross-cultural man-

agement,.ethics and development.

The I 1-month degree program MM prepares

experienced managers to assume substantiallygreater responsibilities and positions by broaden-ing their skills, competencies, perspectives and

attitudes as general managers. r

More informatitn about the schokrship is auailableat the AIM Admissions Wce, '4sian In*itute ofManagement, 123 Paseo de Roxas, Makati Citlt,Philippines, through telephone numbers (632) 893'7631 and 892-4011 ext. 322, hyfax number 817-9240, or uia email ([email protected].

4r

Page 41: The Asian Manager, January 2000 Issue

THE DORM:

EnorniryglnstrnctsThe Asian Manager peehs into the student dorm. No fue+tar hotel this, but there is no better place

to study for a management degree - 0r seeh refuge fom the stess of the AIM classroom.

here is a TV show called "Feliciry" wheremost of the conversations take place inthe rooms of a university's dormitory. The

conversations are often between undergraduates,

and they are often confrontational, emotionally

charged. The rooms are spotless - models of

minimalism. There are dramatic amberJit lamps

in them, and bare windows, queen beds with

evenly tucked comforters.

Now cut to the most famous coffee shop in

the Institute where I am having a latte with Carlo

Tiukinhoy, MBM2000 (who insists on bottledwater). It is a Thursday afternoon. At around four,

says Carlo, housekeeping will gather bundles of

bed sheeis, pillowcases, along with other articles

in need of wash. As the AIM Student Dorm

chair r r rarr . he is responding ro quesr ions concern-ing the living conditions in the dorm. Even

though he removes his mobile phone from sight,

you worry aboui wasting another hour of his onjust trying to con.iure up the dimensions of the

house, the current residents. He could after all

be responding to his phone's Mission Imposible

alerts, attending to more pressing matters thatmay have to do with the house itself, or pausing

after another meeting he has just come from at

another nearby cafe. But anyway he answers away,

and beyond the perfunctory yes or no, at that.

The particulari are served with a genuine smile.

42

Page 42: The Asian Manager, January 2000 Issue

No Frills

Yes, he says, to whether there's hot water from theshower or not. There is, for 24 hours and from the sinkfaucet, too. No, an outsider friend may not crash forthe night, and rhe same goes for a fellow dormer oftheopposite sex (the dorm is quaintly divided into maleand female departments), and parents can only visit. Acappuccino maker or any form ofhearing devic€ is pro-hibited for safety reasons, but who's to complain whenthere's no law against installing your own refrigerator?And TV and play station, computer, VCR, or audiocomponents. There is a microwaveon each floor, a rym ar rhe bareme nt,and the chapel is in the lobby. Theretthe SA store near the lobby for emer-

tsc,,1) srrc,r, ,drr.

The Institutet swimming pool isright next to the dorm. There's ac-cess to the library and the computerroom until midnight. You are free toplay table tennis, drink, surf, do somecompuls ive channel-swi tch ing,swim, and sleep berween classes (not

an oprion usually taken in the firstmonths of a degree program). Youcan play RPGs (in case youie not aufair with computer-based enrerrarn-ment, that's "role-playing games"played on a gaming console), andsing a liitle (theret a no-noise policy, so rowdy karaokecompetidons are not allowed). By the time Carlo is donewith the diversion list, one realizes how these modestgraces offer refuge from the classroom, which Carlofrankly describes as "a stressful environment." One alsounderstands why Carlo had consistently refused coffeeall afternoon - jitters from his MRR didnt need anymore help from caffeine.

But I thought the really good news was that there'sno curfew, unlike in universiry undergraduate dorms.Besides, there's air condition at all hours, even on holi-days. It can be manually regulated with the basic high-mediumlow knob, but it's often freezing, Carlo says.For the fashion-conscious or for those who come from

places where winter collections actually do apply, this isa plus, for should it be past ninety degrees out the win-dow (which it often is), that cornflower cashmere turtle-neck purchased on impulse last Christmas would stillbe room temperature-correcr,

Ar any temperarure, the dorm is envi ronment-friendly. The dorm supervisor, Jocelyn Nono, cites thisas one ofrhe dorm's advantages, aside from the obviousconvenience of living on campus and in Makati. Forone thing, rhe place does nor have sanirarion issues. es-pecially after the lnstitutet Environmenta.l Management

Systems were adopted. Nono assuresthey make sure a company submirs acertificadon which guarantees that thechemicals marketed are environment-friendly. She points out that theyweigh daily the volume of reryclablesand non-reryclables to monitor the ef-fectiveness of the poliry on waste re-duct ion. The employees are a lsorra ined act ion-or iented, promor ing"well-coordinated, prompt qualityserv ice f i l led wi th cour tesy andwarmth. . .which makes every studentfeel at home and very secure, thuswanting to drop by the dorm eachtime they are in the Makati area, evenyears after graduation."

The Real Deal

The blinds ofthe cafi are creased back up, and itssoon time for the guided tour of the house before theovernight stay. There really isnt much left to inquireinto anymore regarding the facts and figures, so thatthis is the part where the non-particulars, the onthe-record licle stories, take ovet From his animated ac-counts, itt not difficult to guess that these are in theend partly why Carlo didnt (and doesnt) mind takingon the responsibility of "taking care of the students."

'Walking down one of the dormt hallways though,

there are suddenly reasons for the less intrepid to be

slightly apprehensive about spending the night:

...the good news was there's no curfew...43

Page 43: The Asian Manager, January 2000 Issue

How many sheep does it taketo put Accounting students to sleep?

o A look ar rhe paper bin by the elevator and youjust know that smokingis really stricdy prohibited here,even in the fire escape.

o You are told there's a staggering six packed in each"suite," so you get this image in your head ofa hospitalward with identically ascetic white-sheeted beds that areseparated only by sheer curtains.

o Despite what their R.A. says about everybody be-ing "family'' in the house, you're nonetheless uncom-fortable about your contributing to the "stressful envi-ronment" he has mentioned more thanonce.

V4ratever fears about the night ar€soon found unfounded. First ofl youcan't help but laugh at the sight oftheworking elevator if you recall Carlotaccount of the smal l controversyaround it last year. The story is theretthis cheap-thrill-seeking characterlurking somewhere in the topmostfloor (the sixth), who would block thethreshold with the paper bin. Someone must've re-minded him ofthe possible penalties, namely the angrycitizens of the dorm, not to mention banishment fromthe dorm. He has yet ro be heard from since his laststunt, which involved placing the paper 6in inside theelevator, so that those whoU see it would be too stunnedto actually set foot on the elevator.

Ifthere is anything concrete to worry about, itt theshower the next day. The washrooms are clean, as Carlohas reassured, but then you hear slippers are needed,that the shower tends to make performance artists outof students who have to leave early in the morning -

they end up doing inspired Spider Man imitations inthe valiant attempt to rinse themselves.

Speaking of the shower room, Nono says the fix-tures will be replaced with "more trendy, cost-efTicientones." Most ofthe other proposals involve transforma-tions as well: from monoblocs to hotel-lobby sofas, glasswindows rc analok sliding glass windows, chipped ceil-

ings to freshly painted ones, uninspired hall frames tolargel more vibrant paintings, more modern phones,and concrete-gloomy floors to marble. With regards tosecuriry the stationary guards at the entrance may soonstart inspecting luggage, as a new dormer clearance sys-tem may be implemented.

Choosing to Stay

You do have to keep in mind, as you st€p on an-other cheerless vinyl rile, that most students who are

initially required to stay for a month or sochoose to remain for the whole term. It ap-pears they do enjoy - even on their MRRbreak, the dorm has a 55 percent occupancyrate.

And once you enter one of the suitesyou'll see that the residents dont exactlylook like they suffer from any morningdroughts or argum€nts over space. Theirshirts are pressed, and they say the place isconducive to studying. The suite is divided

into two bedrooms of three persons and the commonstudy-recreation area. Though the place really does de-serve the "stressful environment" remark (minimalist itis not), the students genuinely seem to enjoy "burning

the midnight oil together," as one puts it. They are not

the wan patients doing time in a hospital ward you mayhave pictured in the beginning. They look up from theirnotebook screens to smile. The hellos are consistentlywarm. Jokes about counting sheep to have enough sleepfor tomorrows' Accounting case are cracked.

As you settle on the brorvn antique sofa of a srudyarea, the place becomes more and more ofa house thanthe dormitory from "Feliciry." And thank heavens, foron television, there are no ba$y pictures and roommienotes, sneaker-string smells are highly unlikely, theshower head has the stamina of severa l gardensprinklers, and television never g€ts fuzzy reception.Theret no true stress to relieve with light-hearted talksagainst stark, fluorescent light. There is no real paper-

44

work to be done. I - Kristine J. Domingo

Page 44: The Asian Manager, January 2000 Issue

The story of Ashok Soota. NlltNI '73,'l.riple

A Alvardee,sholvs how the tapestrl of success

is rvol'cn fronr the labricol' risk-takins

hen Ashok Soota took thehelm of Shriram Refrigerationin the mid-Seventies, it was the

weak link of a successful export chain,the DMC Group of India. But in lesstime than it took to show the boardwhere to pick up the losses and go,Ashok Soota cracked his brand ofmanagerial whip and turned the com-pany from a losing proposition into aRs 350 million exporter. That was then;and this is now: as Grouo Presidentof Wipro Infotech, he presides overanindustry leader with annual revenuesof over Rs 1000 crores* at the turn ofthe century.

The story of Ashok Soota moves like ithad written itself. Beginning with a speedychildhood nurtured by a mother who told herbrood that they were born with roller skates -

as others were with a silver spoon in their. mourhs. His early days in Jesuit schools ex-posed him to the manner and matter of the'West,

and the years at the University ofRourkee (where he earned his BSEE degree)anchored him more firmly to his roots in In-dian culture. AIM helped bring out a globalorientation. Here he learned the value of ex-pression in management - it is important notjust to know onet work but to be able to com-municate well.)

His surge to th€ top began at the rankswith Burmah Shell, a multinational company.He later joined DCM Shriram as a manage-ment trainee under the MD of DCM, Dr.

Charat Ram, and Mr. Bishan Sahai. He

'crore - \'kror \ pl. crores lHindi karor] ('1609): a unit ofvalue eaual to tenmill ion rupees or 100 lakhs

+>

Page 45: The Asian Manager, January 2000 Issue

worked at DCM for 19 years, and was part ofthe topmanagement, at their Sri Lankan fan and sewing ma-chine manufacturing subsidiary. He then took a sab-batical and enrolled in AIM's MBM program, barch1973 . On his return to the DCM group, he was re-sponsible for their fan exports. The company managedto chalk up impressive export figures during his tenure.He then became CEO of Shriram Refrigeration. Un-der his leadership, a complete turnaround occurred -

the company achieved a Rs350 million turnover.

The Vorld-Class Company

Ashok's strongest asset is his ability to make the rightdecision at rhe right time, which means scouring theenvironment, getting the lay of the land, and havingthe index finger for telling the direcrion rhe enrrepre-neurial wind was blowing. Soota saw the potential ofinformation technology early on and envisaged that ITcompanies, just like any organization worth its salt, couldbe run professionally. A risk-taker, he took on the chal-lenge of heading rVipro Infotech, where his enrrepre-neurial metde was tested to the fullest. Wioro head AzimPremjigave him elbow room ro run rhe business, a boldmove itselfas India was facing the tough challenges ofaliberalizing economy. The local industry was watching'Wiprot

moves toward or away from the idea of finallyallowing a foreign IT company to buy into the busi-ness. Meanwhile, close competitor HCL had tied upwirh H11 which later took a reduce-equiry posirion inthe company. Soota, however, decided to transform thecompahy while retaining its distinct identity. Recog-nizing that hardware is a low-merging business, Sootamoved the company into "soft" businesses like sofrwareexports, systems integration - building verrical segmentspecialization along the way. He convened the R&Ddepartment into a "a global lab-on-hire" designing hard-ware and system software for multinational OEMs. Inthe process, he created a complete IT solutions com-pany, which is the key reason for

'Wiprot continuing

dominance in the IT Industry

Ashok's success at Wipro can be attributed to threekey decisions. First, he committed himself completelyto the PC business. Second, he studied the domesticmarket as if he was starting from ground zero in an-other culture. And third, he formed alliances with SunMicrosystems, tndem and Epson. So far so good. But

like any other story that engages both the heart and themind, dark clouds soon stole across Ashokt bright en-trepreneurial sky. The tie-up with ACER in the form ofjoint branding (dubbing the hybrid PC "Vipro-Acer")

failed dismally. -iTipro Acer products fell between twostools. They were not received by the market as multi-national products nor were they available at price pointsaddressed by local brands. But as often in informationtechnology, the race goes to the swift. He cut and cutclean despite the resources and devotion sunk into theventure. He dropped joint branding like the proverbialhot potato and replaced it with a clever in-house con-cept called the Super Genius PC. The local marketbought it fast like the proverbial hot cake.

"Ifyou are going to be in the business you have tobe the leader," Ashok sums up his philosophy. The com-pany is now targeting supporr services both in indiaand abroad, establishing call centers for multinationalcompanies, and providing Internet services with a fo-cus on the corporate client.

The World-Class Manager

People who have worked for Ashok Soota de-scribe him as the best manager they have ever had thefonune of workin g u.'ith, A man of vision and reason,he is at once highly analytical and nurturing (his houseis vibranr with greenery), decisive and patient, as wellas open and refreshingly lacking in prejudices. Thoughmodestly accommodated for such a financially success-ful man, Soota's fulfillment as member of sociery ap-parently lies deeper. Civic function, the arts, and anenduring spirituaiity reward him with peace as experi-erice and rhe real world continue to hone his mind andnourish his dreams. Already he has set his sights on newfrontiers that can anchor him after retirement, after hehe has sheperded Wipro into becoming the largest ITservices company in India.

His message to the young? "These are wonder-Ful rimes ro be young. There are more opporruniriesfor young people today than there were ever before. Iwould advise youngsters to be true to themselves. Askyourself what it is you want. Seek it out, make yourwork a hobby ind enjoy it - it's your turn now and ittbest ifyou enjoy ir. Enjoy life and be successful." I

46

Page 46: The Asian Manager, January 2000 Issue

lli ll lh'adhcrrl'. \'INt '97.

re'turns to AINI:rcconlpanied b)

hundreds ol'nranagement b(x)ks,

\! hiclr he donatedkr the l , ibrary.

I l r c i les t l tuse -

l rulh hookr und per\pc(t i \ t j \ -

vou shouldn' t do u' i th0ut.

An MM Grad's

GITT",

tt been said that life is a series ofcircles'

At any point, new ones are opening; old

ones are closing. Bill Bradberry, MM

1977 , could easily identify with that idea.

He's been a student, faculty member,

alumnus, and donor, each identiry seem-

ingly flowing into the next one.

At the center of Bill's circles have been, and perhaps

always will be, books. Books have been a personal pas-

sion of Bill; books are also a metaphor for his constant

search for learning; and now, books in their physical form,

as donated by Bill to the AIM Library, have helped him

to come full circle in his association with the Institute.

The Asian Manager caught up with Bill and talked

to him about his donation and about his perspectives on

management as an AIM alumnus.

47

Page 47: The Asian Manager, January 2000 Issue

How did you first become associated with the AsianInstitute of Management?

I joined AIM as a student in 1976 in the MMprogram. I graduated with Distinction, having re-ceived citations during each ofthe three modules ofthe program. I felt the program was excellent andadded to my business experience. I had spent 17 yearsin Asia, including 7 years in the investment and lifeinsurance business and 10 years in tradingand manu-facturing of chemical products. rVhen I was takingthe MM Program, I had worked for a Japanese-American joint venture and was President of theirPhilippine subsid-iary. It was an ex-c i t ing ven ture,but it did not havea great deal ofeco-nomic potent ia lin the late 1970s,when martial lawhad a negative ef-fect on our busi-ness.

'W'hat was your

most importantlesson in MM?

The abiliry to function as a generalist, rather thanas an individual with a functional bias (marketing).This gave me the path to strategic thinking. The nexrbest lesson was on developing negotiating skills. Ibelieve the experience was a great way for managersto prepare themselves to move upwards.

You joined the faculty soon after?

I began to talk to one of my professors, VicLimlingan, at that time and became convinced thatI had something to offer the MM Program, givenmy extensive business experience in other Asiancountries and the perspective this gave me. It helpedthat my family was also Asian. I was married to aPhilippine native, Carlotta Barrios Bradberry, whograduated from AIM's Management Development

Program the MBA Program from Loyola Universityin New Orleans. We had three children at that time,and my permanent residence was in the Philippines.I was interested in the process ofdeveloping manag-ers; this could be my principal contribution to mak-ing rhe Phi l ipp ines and Asia a berrer p lace.

So I went to Gasry Ortigas and applied for a fac-u l ty posi t ion. Junbo (Associate Dean HoracioBorromeo, Jr.) and I were both accepted for faculrypositions. I joined the faculty in 1977 and startedteaching Strategy and Policy along with general man-agement classes. I taught in the MM, became pro-gram coordinator in 1979 trII 1980. Then I taught

in the MBM for oneyear. After that I wentro the States to .join thefaculty at the Unive rsityof Texas at Dallas as avisiting professor and toenroll in the school'sPh.D. program in In-ternat ional Manage -

ment. I graduated fromthe Ph.D. program in1986 and joined severalUS universities as a per-manent faculty mem-ber (Loyola in New Or-

leans and the Universiry ofHousron). Finally I startedmy way back to the Philippines via Universiry ofGuam and came home to Manila in 1997. But dueto my mdther's health I had to return to the States.

Vhat are you involved in now?

I am in Joplin, Missouri working as Consultantfor the International Tiade and Quality Center atMissouri Southern State College and an AssociateProfessor in International Business. Missouri South-ern has an international mission. It promotes inter-narional trade and investment, and has a number ofIinks to Europe and Latin America. The College isat the center of the United States. Around 76 firmsin this area are involved in exporting. For them, andfor students, we do things like develop Import-Ex-port Management Courses, hold conferences, and de-

48

"Stop thinking like local managers and get real to global forces"

Page 48: The Asian Manager, January 2000 Issue

velop seminars in various areas of the world (includ-

ing Language and Culture seminars).

How should Asian managers step up their interna-tional businesses?

Stop thinking like local managers and get real toglobal forces. Asian managers,like all managers, have a ten-dency to th ink too c lose rohome. Second: get comfortablewith other people, other cul-tures, other money, other cus-toms, other religions, and re-spect them all. I really meanthat - respecr rhem all. Man-agers have to remember thatonce they are outs ide thei rcounrry rhe rules either changeor dont exist as they did be-fore. Without an understand-ing of the global market andthe rules of that market youcannot survlve.

About your donation ofbooksto AIM; what prompted it?

The gift was prompted bymy return to the Philippinesand the fact that I had collected various tvpes ofbooksduring my rime in rhe Srares. Many oiih.r. bookwere out-of-print management classics; others werestandard textbooks.

I believe that books are important and have al-ways had a fairly extensive collection in all my areasof interest - international business, marketing, re-search methods, and TQM. They seem to me an ap-propriate gift to AIM. At least I can share my interest.

Which bools do you think belong in a manager'slibrart'

l. Out of the Crisis by Vl Edwards Deming. Thisis his core book. It forms the basis for solid manage-ment thinking and ofcourse is a good solid founda-tion for Qualiry Management.

cult book written earlier - TheFunctions of the Executiue I:yChester Barnard (if you want

"Get comfortable with punishment, read this book andsleeDr.

other people, other cuh

t u res, o ther money,

other cus- toms, other

religions - and respect

them all. I really mean

that - respecl them all"

2. Management (Ths hs, Responsibiliies, Prauices)by Peter Drucker. Profound, like all his boola; basicand covers all the points (more or tess;.

3. Administratiue Behazlor by Herbert A. Simon.Forms the foundation of the administrative way ofthinking and is an explanation of a much more diffi-

4. The Concept of CorporateStrategy by Kenneth Andrews.This is still a great book, and itcovers Business Policy well.

5. Michael Porter's books,llke Competitiue Strategl a'ndCornpetitiue Aduantage, could beincluded. He seems to have givena new emphasis to the word"Competition."

6. Undzr*anding Variation:The Key to Managing Chaos byDonald J. rVheeler. This tellsa story many managers don'thave a clue about. It can be pur-

chased for $9 and is worth millions (at least in myopinion)l

7. Elihayu Goldratt has a great series of booksthat read like novels and teach a lesson that goes alongwith Activity Based Management, Qualiry Manage-ment, and the concepts of Process Management asopposed to "functions." I have read and enjoyedGoldran's The Goal, The Race, The Critical Chain,The Halxach Syndrome, and h's Not Luck.

8. Others: Of course yod can add Peter SengetThe Fifh Discipline and its follow-ups. The Machinethat Changed the World and its follow-ups on "lean

production" are also essentials.

Now I have'given enough for a manager to spenda year reading.

49

Page 49: The Asian Manager, January 2000 Issue

What are the headhunters looking for?

U!Wnt. i. is extremely rar€ that an applicant ishired on the spot, a job fair is the closest to an on-the-soot-assessment ofa iob huntert current worthin the market in the course ofan afternoon. Tense andleisurely at once, one such afternoon saw head huntersand their prey congregate at AIM Conference Centerlast February and The Asian Manager got to watch thegame. "Tense" because the decision towalk the field in proper attire recalleda night of smiling and handshakingwith an imaginary interrogator. "ki-

surely'' described the hours that trailedeach power resumd, each applicarionform filled out with the familiat soul-searching content ofa distilled biogra-phy. Above it all the questioned loomedlarge but unasked: Is it you they want?\hat do they want?

To quote the head-hunting credoof the ages, "Can you do the job?" Itseems that in the age of in te l l igenrmachines, a person still has to be thereto decide what the machine will be intelligent abouttoday. In not so many words, the following head-hunt-ers pitched the manager they were looking for:

AC Nielsen, a market research company, is lookingfor applicants with "excellent qualitative and quantita-tive skills because the company does both rypes of re-search." V/hich is to say that he or she can read thenumbers and know what they mean. Presumably he/she must has excellent communication and people skillsas well, which is to say he/she gets along well with otherpeople. \t(4y AIM? Well, itt "the best hunting groundfor these very skills in the region." Over fifty applied,around a dozen shoftlisted for managerial and supervi-

sory positions. The personnel manning the ACNielsen booth was herselfan AIM graduate, with15 years experience in client servicing and mar-

keting prior to her studies at AIM.So far so good. Reads like the normal run of middle

management head-hunting. How about a numbers-heavy organization like the Philippine Stock Exchange?

Surely theyve got their eyes peeled forthose math wizards, those human num-ber crunchers, those geekoids? "AI>so-

lutely not," said PSE Senior Human Re-source Specialist Josielyn G. Sembrano."Those are actually a dime a dozen -

they wash out pretty fast because it's a

different ball game now. The managerswe're looking for are presumed not onlygood in numbers but have excellent PRskills as well because they get sentabroad (referring to Federation stockexchange scholarship)." In fact, becauseof the emphasis on the virtues of boththe Asian and \Testern models of ma.t-

agement, AIM graduates have generalist mke on the craft

that becomes an advantage over the doctrinnaire. "tVhile

cutting edge in their fields of specialties, AIM gradu-ates are exposed to a wide, cosmopolitan range of man-

agement values and practices," says Philippine StockExchange President Jose Luis Yulo, himself an AIM

alumnus.And then there's Eli Lily. Maker of Prozac, the mil-

lion-dollar selling anti-depressant and Ceclor, the best-selling pediatric andbiotic. On the surface it seemedlike a drug manufacturer would be the last place on

Planet Management where an AIM graduate wouldflourish. But in fact Eli Lilv is the one multinational

50

Page 50: The Asian Manager, January 2000 Issue

"AlM is the most productive hunting ground for excellentqualitative and quantitative skills in the region"

headhunter in the dayt pack that made no bones aboutprey profile in the region. "For what we need - marketresearch, strateg;r, distribution and promotion, we prowlhere," said Kathy Guzman, associate director for Hu-man Resources. 'AIM is the most productive huntingground for excellent qualitarive and quanritative skillsin the region', she adds. 1999's top two MBA gradu-ates are working for them now, one in Singapore.

AmkorTechnology Philippines is an Arizona-based,Korean-owned subcontractor for integrated circuit as-sembly and test since 1983 and constitutes 60% ofrhePhi l ipp ines ' to ta l expor ts . Low prof i le andunprepossessing, it is the packt hunting darkhorse: ithas low-recall name but supplies chipsto giants like Intel and Motorola andis currently developing mobile phonevideo function for Nokia. This fairwas their first in AIM and, in termsof management needs, Amkort wasthe most specific: a qualitative bias("800/o ofthe job is technical") and adangling carrot higher up there thanoperations manager, finance and HR;the process engineer. V/hatt a pro-cess engineer? He's the one whomakes sure that every reensie weensielittle step and protocol in consttuct-ing an inregrared chip and orher mi-croelectronics is Followed, orherwisea speck ofdust could get sandwichedbetween the wafers and render the chip totally unus-able. Pays the top dollar.

And so all the resumis were counted in, but whenit was time ro pitch down the tents, everyjob hunter inthe fair moved no closer to his/her new job than theforms in the folder. Not even when rhey were called fora first interview. Granting he/she made it to the shortlist, the verdict is in on the causal relationship betweeninterview performance and job performance. "There isabsolutely no correlation between how well you per-form in an interview and how well you perform on thejob," says Nick Corcodilos, managing director ofNor thbr idge Group, a U.S.-based head-hunt ingconsultancy. This is no news, either, as evidenced by

rhe growing reliance on headhunters by in-house HRdepartments. Fortunately, another growing trend inrecruiting is emerging from the ranks of the big head-hunters themselves. Tired ofthe faceless and eventuallymeaningless questions standard to the business of bag-ging corporate prize heads, the hunters are shifting theinterview focus from persona.lity to abiliry "I'll describea situation, a real live business problem, and ask, 'How

would you handle this?,"' says Mary Kay Haben, anexec-VP at Krafi Foods. The job inrerview as a mini-case study. Sounds familiar? In fact, while the lVest wasswitching head-hunting technology back and forth be-tween personaliry and abiliry .jackpot bells have beenringing in the academic halls of AIM, where the case

merhod on top of specialized mana-gcial sbills was already sacrosanct.

"I was still in school when therecrtiters came - three multination-als, in fact. I didnt get asked mindtrick questions like 'Can you legallymarry your widowt sister?' or airyhypothetical questions like 'How

do you see yourself five. t€n yearsfrom now?,' recalls Richard l,aig, fi-nance manager for Eli Lily, bagged,strapped and conscripted straightinto top management from AIM."It's all applied skills, verba.lly posed- which, of the many I was trainedfor, will come to the fore should

such and such situation arise. Itt already assumed thatan AIM graduare already has both the leuel ofquanrita-tive and qualitative skills required for the job. That EliLily shortlisted me means that I distinguished myself inseveral key areas that matched their needs, while in theoth€r two I myself decided I was not the right match -

although I was in their shortlist, too."It's clear that what the headhunters were looking

for havent changed. The method ofhunting may have,but that was probably an effort to suit the times. \Well,

old times, it seems, are new again, and the premium onability over perspnaliry has regained im original currency.So why do the headhunters congregate in AIM? Vell,where the qame is, the hunter follows. I

5r

Page 51: The Asian Manager, January 2000 Issue

PRE

Ideas For the Up-to-Date Manager

What's YourBurlnecE

Agaln?

You are ininfrastructure,

c u stomer-re latio ns h ip,or product innovation

- not all three at the sametime

W hat business are you in? When PeterDrucker asked that question in the 1950s,few had the right answers. Even today, notmany corporations answer it well.

Now they have to face a new version ofthe question. What business are you reallyin? it's not a subtle difference. Chances aremuch grearer now rhat your business is norwhat you think it is. John Hagel III andMarc Singer explained why in their article,"Unbundling the Corporation," for whichthey won the McKinsey Award for best ar-ticle published in Haruard Busines Reuiewin 1999.

Most companies, say the authors, arereally engaged in three kinds ofbusinesses.One'attracts customers; a second developsproducts/services; a third manages opera-r ions. The problem is that the economicsand cultures ofall three essentially conflicrwith each other. !7hat makes it a biggerproblem is that specialized competrtors canperform any of the three businesses faster,better, and - thanks to electrontc net-works - at less cost.

tWhat we're going to see soon: compa-nies deciding whether they are infrastruc-rure businesses, or customer-relationshipbusinesses, or product-innovation busi-nesses - but not all three at the same ume.'What

did you say your business was?

< ?

Page 52: The Asian Manager, January 2000 Issue

TI hroughour rhe business landscape. managers are rrdns-

forming rhemselves into entrepreneurs. !?hether you'reangling to get a piece ofthe Internet jackpot, or finding amarket for skills gained in a corporate setting, here are

tactics from some ofthe most successfi:l company founders

and advisers, gathered by Fast Companl:

o "The key to a successful startup is networking - bothpersonal and professional. Networks are the steel of

the future."

"Dont start a business unless you have enough money

to invest in rhe business yourselfand enough moneyto live on for a year. You're not going to be profitablefor at least that long."

"Develop an exit strategy from the get-go. Go beyond

strictly financial considerations. \lfhat is your personalexit strategy?"

"Get the funding that you need to build the right

organization. These days, money is so much easier tocome by than it used to be. But people are hard toget."

"lfyoure rrying to start a web site from scratch, you

need to have somerhing up within l0 weeks. Ifyouhave an idea, someone else has it too. You'll never getthere ifyou try to put up the perfect site."

'A lot of people who go into business for themselvesdo so because rhey want to be their own boss. In someways, when you are the owner ofa business, you have

many rnore bosses than you ever had before."

"Theret a new wave of managers and leaders who

can quickly build a company and take that company

global . They star t up in many cc,untr ies at once, so

that after l2 months the company has a balanced busi-ness in Europe, the United States,.and Asia. The old,restricted view that you can start in your domesticmarket and then progressively expand, taking coun-

rries one by one, is completely obsolete."

The Ageof the Startup

Networksare the steel

of the future -personal,

professional,global.

Together withan exit strategy,sound finance,tactical speed

and a good eyefor people who are

good to hire,you can go global

in a snap bystarting up

simu ltaneouslyin severalcountries

53

Page 53: The Asian Manager, January 2000 Issue

" l

aG

.: World's Best-Managed Companies' ! .

,-|F|

CorporateFormula One 2000:

Strong f inancialperformance, steady

investment intech nolog ica I

innovation,employee training and

welfare,and society

Slow, Stupld, Expenclve

The title of this item describes what your peoplc arc if thcfnot as productive as those from the best companies,people are definitely not slorv, srupid, and cxpensive.achieve that by nroving beyond the old notions of productivitv, says Sirarcgr C" Busines. The new productiviwcall for "reintegr:rting work." Wait, before your jargon

goes off: theres real substance behind this phrase.

Lett say you're in manulacturing. Instead ofhaving workers man:rge:r single stage in the process, put them in teamsshare responsibility f-crr the final outpur, azl improve mainrenance, and enhance quality. Ifyou havc delivery people stocking shelves at stores, turn them into account managers azl invcntory control people, azrl pricing decision-rnakers, and lo-gistics cxpcrts. lfyou havc diffcrcnt people in engineering, mar-keting, sales, and customer service, train thcrn to become cus-tomer service engineers doing all funcrions ari/ educating cus-tomcrs azltaking thcir ordcrs on thc spot. Resulrsi Better andfaster decisions, enhanced customer locus, rnotivatcd crnplov-ecs. Fast, srnart, low-cosr.

TI he formula for hecoming one oI the hesr-managed companies is

simple: strong financial pcrformance, steady investment in technologicalinnovation, employee training and welfare, and sociery Those are thecrireria Industrl tYeeh uscs to judge the worldt elite companies, and thecompetition to get in the Iist is intense. C)nly 43 companies have consis-tently made it to the top I 00 in the lasr fbur years. Of these, the biggestin terms of reve nues is

'lbyota Motor Corp. The rwo other Asian compa-

nics rh:rr made the list are also from Japan: Sony Corp. and Kyoccra Corp.

1'he biggest European company in the elite list is Switzerland-basedNcstli SA, fbllowed by Unilever Group of England. Among the best-managed American companies, the biggest is General Electric Co. Thesmallest comp:rny in the elite Iist is Novo Nordisk A/S of De nmark, whichmakes insulin and industrial enzymes. According tb the manufacturingcompanies polled in thc survcy, the top three corporate manufacruringstratcgies in rhe 21" century will be:

1. Enhanced flexibility and agility2. Cost reductions3. Integrated supply-chain management

standards cal l for workreintegration, wheresingle-stage-special istsbecome all-around expertsby sharing responsibi l i ty inthe f inal output of amult i-stage process

>+

Page 54: The Asian Manager, January 2000 Issue

Home PerksAs an AIM alumni, you are entitled to a wide range

of free services and discount privileges.

All you need to present is your

alumni power card

. RCCESS T0 RSIR ' �SRICHEST MRNRGEMENTE D U C R T I O N T I B B R R Y

Tap the wealth ofAsias flstest-

growing bank ofcorporate case his-

tories. AIMt case bank is the r ichest

in the region for the sheer volume

methodically accumulated through-

out the Inst i tutet historr Now elec-

tronically upgraded for faster, more

compacr searches, rhe AIM library

is the Asian manager's most reliable

resource when reseatch requires bulk

history', case frequency, and phenom-

enon precedence, both fiom the re-

gional and global perspectives. An

Institute-rrained staff is ready to in-

troduce you to the librarty's advance

information-retrieval system.

. R C C E S S T O R I M I TF R C I L I T I E S

For resumi wriring and some rvork

related to AIM studies, the computer facili-t ies ofthe computer room is at your disposalior free. You need only pa1' a minimal f'ee

for the use of the faciliries should you feel

like surfing for a feu' minutes.

. P L R C E M E N T S E B U I C E SPlacemenr Services such as iob place-

menc (fbr alumni looking for jobs) and iobrecruitmenr (for alumni looking for prospec-tive employees) are atyour disposal. Yo,.r maveven submi! your resumd for inc|.rsion in the

current Talent Bank, an lnstitute databasc

ofresumes in active search.

. F B E E S U B S C R I P T I O N . T OTHE f lS IRN MRNf lGEB

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. C O N T I N U I N G E D U C R T I O NSpccial discount (and sometimes even

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Page 55: The Asian Manager, January 2000 Issue

Mr Milon B. Paul, MM '88

Depury Exec. DirectorPopulation Services andTraining Cenrer103 New Circular Road,Dhaka, l2l7 BangladeshTel: (880-2) 84-25-69Fax: (880-2) 84-25-68Emaii: [email protected]

Mr Lucius I{-P Lai,MBM '80

Senior AdviserVocational Training CouncilThe Managemenr Devr.Cenrer ofHong Kong1l/F, VTC Tower, 27 VoodRd.,\(an Chai, Hong KongTel: (852) 283'618-28Fax: (852) 257 -27 1 -30

Email: luci us /@ut c. edu. h h

The PLACEMENT& ALI'iINI RELATIONSOFFICEGround FloorAsian Inslitute of Management123 Paseo d6 Roxas1260 Makati City,PhilippinesTel:(632) 89240n1loc.254l 540 I 541Fax:(632) 893.7/t-10Emall:el u'l/l,@.hbitefl eain.edu.ph

FEDERATION OF ASIAN INSTITUTE OF MANAGEMENT ALUMNI CLUBS

INMMr. Mohan Madhav Phadke.MM '80

President, FAIMAAJndia,520 Maker Chamber V221 Nariman Point. Mumbai400 021 . l nd iaTc l : ( 91 - l t ) 281 '4212Frr: (91- l1) 022'204'6773Entail: b by a i m @a uo rld. n er

Mr. Leonard Tanubrata,MBM'77ChanmanFAIM,A-{ Indonesia Chapter,FAIMAA Secretarial OfliceRoom 254, Sahid Java Hoteland Tower, Jalan Sudirman,86, Jakarta, lndonesia'lel: (6221) 570-23'05Fa,x: (622t) 570'23-06Email: j htep @ i n do. n et. i d

IZir,ElIMr. SukJae Lee, MBM '75

PresidentData View Company Lrd.,U'1 106. 1698'3, Seocho-Dong, Seocho-Ku, Seoul,KoreaTel: 1.82 2) 521-86-96Fax: (82-2) )486-42-22Email:co n t a ct @/a t a u i e u co. h t

EIMDatuk Ir. Mohd AnnasHj. Noa MM'84Director CeneralDept. of Elecrriciry andGas Supply19/F, Menara Haw I'ar, JalanSultan Ismail , 50668Kuala Lumpur, Malaysia1i1: (03) 232-24 47Fax: (03) 232'97-76Ematl: Annas@kttp. gou m1

Mr. Bimal Chapagain,MDM'96AIM Association-Nepal, GPOBox I1918, Katmandu, NepalTcl: (977 t) 47-15-83Fax: 19771) 43-44-33Email: bima /@htp. cont. up

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Ms. Dulce Casaclang,MBM '73

Executive DirectorAlumni Association of AIM123 Paseo de Roxas,Makati Ciq', PhillppinesTel: (632) 892-40-l Il oc .318 / 220Fllr : (632) 893-74-08Email: dcascla ng@a i m. ed u.p h

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ItrIlEIMr. Christopher Lin Jih-Fung, BMP '77

PresidentEnlighten Communication,Inc.,2/F, #126-6 Secdon I,Sin Shan S. Road, tipeiTaiwan, ROC'tel:

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IIItrEilLMs. Porntip lyimapun,MBM'92Managing DirectorM Advert ising (Thailand)

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IIENMr. Robert Chandran,MBM'74PresidenrChemoil Corporarion.Embracadero Cenrer,Suitc 1800, San Francisco,CA., USA 941 1-lel:(4t5)

268-27-00Fax: (415) 268-27-01Email:[email protected]

Page 56: The Asian Manager, January 2000 Issue

llerosy,Torycr l(coprruend Thr tcarch

for TruthTiekhing the rough road to change with the GadJIy

I n a metal-poorworld called Darkover, a generation shipcrashed. By some stroke of cosmic luck, the native intelli-gent race called chieri turns oul fo be an inter-species fer-tile with humans. Through the usual interregnum of lossof technology, a ruling caste, the comyn, arises throughthe studied breeding for psi powers called laran. The mostpowertd among these are sent to the Towers to be trained-The most powerful among the trainees stay - to serue.The technicians in the tower work together in matrix circlesand do all the work that technology would otherwise ac-complish. This working together is made possible by ma-trix crystals and the Tower keeper. By long tradition sur-viving the last of the great matrix wars, the office of keeperls held sacrosa nct - held only by vigin females trained byIong, painful lessonsto avoid all personal contacts - keep-ing her psi channels clean- description of the world called Darkover from the novels of MarionZimmer Bradley.

Some days, I almost feel like I fell into some mind warp and ended

up in some authort wild imaginings of Ancient Europe replete with

witches, druids and dark rites.

Okay. I know change is tough. But the iheer devotion with which

corporate rituals and unwritten rules are protected in many compa-nies approaches the ridiculous. Someone out there must have a map....

'Am I therefore become your enemlt, because I tell you the truth?"

Galatiarc 4:16

57

Page 57: The Asian Manager, January 2000 Issue

I

Learn whothe keepersare - theseare peoplewho have

made it theirbusiness to

protect

the rules

The worst thing about change is that, even when you call it an improvement and nota correction, it will be seen as branding the current way ofdoing things inferior. Obser-vations, suggestions - whatever you call them, they will be taken as criticism. Vhatiimpottant is how fast you can get people away fiom defense mode and into improve-ment mode. Different folla .. . different strokes.

'Lihe all keepers, she had learned to barricade her oun thoughts."- Maion Zimmer Bradlel in Forbidden Tbwer

Learn who the keepers are.These are people who have made it their business toprotect the rules. They are the white blood cells of the corporate immune system - thefirst line in the defense. They will be the last people whose minds you can change - butwill be the ones to sound the call to battle. Tiead carefully.

'For Leonie, lihe all heepers, was a pledged airgin, neuer to be hoked upon with a sensualthought, neuer to be touched by any man. " - Marion Zimmer Bradley in Forbidden Touter

Know your enemy. There are a.ll kinds of keepers.

There is the Miss Manirers Keeper. Quite easy to spot, she is typically in middlemanagement. Neither overwhelmingly brilliant nor obviously incompetent. If you hadto choose a model for appropriate office wear, she's the one you would choose. Normallyin a position which allows her lots of time for keeper activities, lots ofaccess to informa-tion and lots of access to people's ears. Often gets quite upset over the funniest things -

socializing between managers and staff, for example. How do you handle her? Keep tohigh ground. Minimal engagement.

Then there is Old Man Keeper. Het been around forever. He can be anywhere inthe organization. The higher up he is, rhe more dangerous he is to change efforts. Hegets particularly upset about change. Always the one to get historical during discussions- dredging up events from twenty or thiity years ago in order to establish a point. Han-dling? Lots of respect - something on the level of ancestral worship. tctful maneuver-ing. Always bow to the past and show howwhat you are doing is merely an emulation orextension of 'what we have a.lways stood for'.

Then there is Star Keeper. He's young, bright, an artful talker, rea.lly charming. Thisis a particularly insidious keeper. He talla change and progress but is really so muchmore comfortable with the way things are - too much change is dangerous to his well-planned way to the top. Handling? Find a way to make him part of the change. Allowhim to claim something. Make sure the risks to him are minima..

'Aim at the stars and hit London" - Bruce Sterling in Green Days in Brunei

The engineers and zealous management types in your organization will come onboard ifyou can show them a clear case for change and a clear plan.

Set the goal. Write it down. Give everyone,copies. Make sure you all have the sameunderstanding. Finally, find a way to align people to the change effort. Doing goodmust feel good. Doing badly must hurt.

58

Page 58: The Asian Manager, January 2000 Issue

Most importantly, show people how easy it will be to get at the win. Small, easy steps.

Earlywins, visible wins. Very few people can reject the invitation to join a winning team.

'Who wouA sup with the mighty must climb the path ofdagen. On the heighx, all paths are

paued with dagers." - Robert Jordtn in The Path of Dagers

Get the gods in at the correct moment. Too late is bad. Too early can become

disastrous. These people did not get to where they are by backing losing horses. They are

probably extremely risk averse.

By the time you make your pitch to them, it must be a full plan - down to

implementable details. You want to be able to say you are confident of getting support

from your colleagues - without making them feel you have overstepped your boundaries.

Make really sure you know where their buttons are. All people have joy buttons and hot

buttons. Push the joy buttons and stay far away from the hot buttons.

Small, informal events where you can make small noises are a good way to start your

campaign. This way, you know early whether you are espousing a hopeless cause. It's also

a way of claiming prior consultation without having to make a formal commitment on

either side.

Vlry do young men fght the wars started by old. men?" - Felix C, Goxchalh in Vestib*hr

Man

Dont fight the old wars. Most organizations have old arguments - not much differ-

ent from the arguments of old couples. Most of these arguments will have ma.iorprotago-

nists and favorite words and stories. Stay away from the old stories and the old wars. On

the other hand, dont underestimate the possible usefulness of the protagonists. In many

organizations, it is the old stars who fall into the old wars and you're well-advised to know

which of them still command the respect of others. Good generalp dont waste an1'thing.

"I haue foaght a goodfght, I haae fnished my coune, I haue kept thefaith. - II Tirnotlry 4:7

Finally, at the end ofthe day, celebrate the change. Involve everyone in the celebra-

tion. You may need them again soon.

And the funniest thing was, they discovered in the end that, not onlywas celibacy not a requirement to hold a matix circle together, you didn'teven have to be female. So there! I

Gad.fl1 is a real manager utith real obseraations about real companies. Tb giae him your ounreality ehech, send mail to: gadfl1-aimphQrchoo.com

Stay awayfrom theold storiesand theold wars...On theother hand,don'tunderestimatethe possible

usefulnessof theprotagonists

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classNotesisyoUlbU||g l inboad,yoUlownlorm'orannouncingcareelachievements,mi |eslonesin| i 'e 'bUsin� � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �yoUl6elwi | |br ingfe| lowA|MgradUa|eslotheat tenl iono| � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � � �we'll be happy to publish your notes. ll you do lind your class here, remember lo update lhe wodd aboul you and your classmates in each issue, so send us mail regulady.

Rohit Mehra is also doing busi-ness in the Big Apple. Rohit iscurrently working in a businessdevelopment role for a buddingcompany cal led K2S (Knowledge'2'Solut ions), whose business isimplementing Oracle. Like theothers, he commutes from Jersey.I bel ieve Rohit is st i l l interestedin corporate finance work, so nextt imeyou hear from him, he mightbe CFO ofsome large corporationhere, or some real ly famousi mar-ket-moving stock analysrl (Re-

member to share stock t ips withus Rohit:J ). His e-mail addressis: rohitmehra@botmail .comShaanth Balaji is the intellectualamong those of us who got to-gether. He's pursuing furrherstudies on commodiry oprions ata school here in New York (Sorry

Shaanth, I forgot which one :-( ) .I think the school is in Brooklyn,where he lives. He's also helping aprofessor write a book on deriva-tives! One day, this might be AIMclass material! Photocopied ver-sion, ofcourse. Shaanth's also get-t ing his feet wet doingsome analysis at a com-pany by Vall Street. Sonext t ime you need someadvice on the wheat, grain,soy or other commodit iesmarke t , t a l k r o P ro iShaanthl You might findhim teaching the course atAIM... His e-mail addressis: shaanth@hotmail. com.As for myself,well, I'm justa Los Angelino having funhere in New York. I workfor CambridgeTechnologyPartners and special ize inimplementing Broad Vi-sion - one of the leadingedge e -commerce apps .I'm here in New York giv-ing a class to fel low con-sultants about the product.So i f you guys need towebbiffy your business,maybe I can he lp . YouLnow where to reach me. If ly back to LA later thisafternoon, so just thought

Id send you rhis update before Itake off New York is definitely agreat place to be inl There's sooomuch to do and see, it'll take for-ever to run out offun. The publictransportat ion is pretry good, roo,so you can get anywhere using thesubway/bus for only $4 a day or$17 a week. I highly recommendvisiting the Metropolitan MuseumofArts (you'll need a few days forthar and i t onlycosts $10 for a daypass), or checking our the Broad-way plays (goc to see /es Miserableslast night - very good storyl - got agood seat for only $20). There arehundreds ofpubs and grear restau-rants too, ofcourse.The best rhingis, we've got friends and classmareshere ro ger togerherwith. Tlkecarea l l l ABE

Unti l a year ago, DANNYOTANES, MBM '99, didnt knowa rhing about warehousing, thef re i gh t p rocess , c l ea r i ng andforwarding, much less about supplychain and management consul-rancy.

"l was offered the job I was

looking, yes, but I didni exacdvknow there was a job descriptionlike that. But then I thoughr, whatrhe heck." And so a year later, withGulf Agencv Co. Logist ics andDistribution Services, Danny's gotrhe job descript ion down to ascience, third party logisrics. whichreally did involve - yes, logistics,wa rehous ing , t r anspo r ta t i on ,clearing and forwarding, and allrheknors and tangles involved inmoving goods and services acrossoceans and conrinenrs, I t was awhirlwind initiation into rhe realworld of demand and supply."There's

always a solut ion to aproblem,'Danny echoes a personalfirst principle he learned from AIM,and the next step towards thedirect ion of a solut ion is that "a

complex problem can alwavs besimpli f ied. " Not surprisingly,Danny is optimist ic about thefurure. "Things are not as hard asthey seem. Face all life-changingexperiences and learn all the lessonsrhey have ro teach you. Ifyou cando thar, you're on your way."

Master in BusinessManagement

ABE SYCIB MBM'99: HiAl l lAfew weeks ago, when I was plan-ning a business tr ip ro NewYork,I asked myself who I knew in thecity that never slept. Couldnithink of too many names then.Fortunately Rahul posted his con-tact info on rhis mailing list ear-lier, andYudi sent me some namesfrom France (after he visited NY).By rhe time I got here, I was sur-prised to f ind at least a handfulofour batch here. So we had a mini-reunion where there was at leastone from each ofour sections whowas able ro make it. Heret a lirtleupdate on those of us who wereable to ger together earl ier thisweek in this real ly grear city:Rahul Kapur (aka Kaps) is now ahigh-fl ying management consult-ant for one ofthe most prominentbanks here in New York. ChaseManhartan., Looks l ike he's do-i ng g rea t and l i v i ng i n wha tHazel calls somewhat ofa dreamapartment in New Jersey. His e-ma i l add ress i s : r ahu /kapu [email protected] Hazel, for thosc ofyou who havent heard yet, is nowMrs.Yaptangco and she is nowliv-ing in New Jersey with hcr hus-band, Eric. Eric works for AIG astheir systems architect and wasASMN'-based before moving herelast year. When I heard fromRahul that Hazel was here, I firstthought she was here on vacation,so I was prertv surprised to learnshe's setded here. She's in the pro-cess ofgert ing rhe feel of l iv ing inAmerica (it's her first time here,too and moving to a new homesoon). She's not sure yet whatshe'll focus on, but knowing Ha-zel, I know she' l l do greatl Hermail is: h a ze lyap ta ngc o @gte. n et

60

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mail your notes to F [email protected]

HARRY ABRILLO, MBM'79 andRUTH CALLANTA, MBM '84:

About 10 years ago todav. MBM '79

togerher with MM'79 and gradu-ates of various professional develop-ment programs held that year,hosted rhe annual alumni home-coming at the Manila Peninsulaba l l r oom w i t h more rhan 600elumni in attendance. In order tomake rhe occasion more meaning-fuland relevant, the host batches feltrhat there had to be something morethan the usual "kamustahan," raffle,beer, food and music. Turning themeerings into a case discussion, themembers ofrhe organizing commit-tees €elr rhat perhaps ir was abourtime AIM alumni showed solidar-iqv wirh broader concerns of soci-ery. Ir cannot be perceived as anenclar-e ofthe privileged few. A so-cial arm would be needed, the num-bers of rhe organizing commirteesconcluded. Thus was born the ideaof an AIM Alumni Foundation,Inc. $/hile the alumni associationwould primarily look inward to pro-mote the interestofits members, theFoundation would look ourward topromore the interesr ofits members,

the Foundation would look out-ward, reaching out parricularly thedisadvantaged members of Philip-pine sociery \fith the full supponofCasty Ortigas, President ofAIMthen,rhe AIM Alumni Association

launched the AIM Alumni Foun-dation shordy after the homecom-ing. The homecoming gave rhe hostclass a ner ofabout P250,000. Thisamounr providentially became rheseed money lor rhe Foundarion.

Todav, this amount has grown toabour P450,000. lVhile the Foun-darion "hibcrnatcd" during the sub-sequenr years for lack of fol lowrhrough, the concepr remains validas ever more so rhe present crisis.'[

he hosr barch for rhis year's home-coming therefore decided to revivethe Foundation but this t ime withfirm resolve ro pursue its mission.As an innial srep, the Foundationentered inro a joint project with theCenrer for Communir,v Tiansforma-rion (CCT), an NGO headed by arespected name in the social secrorcommuniry Ms. Rurh Callanra.Theproject aims ro assist chi ldren ofpoor families enrolled in public ele-mentary schools who are in dangerof dropping out for economic rea-sons. This assistance will consist ofa subsidy for school uniforms,school supplies, food and transpor-tacion allowance. This will requirean investment ofP600,000 per pu-pi lpermonth. Butan even more im-portanr component ofthe programis values formation, by way ofregu-lar bible srudies and Christian dis-cipleship. This will be provided bythe CCT not only to the srudencsbut to the parents as well. Startingwnh pupils at Grade III level, theselected beneficiaries or scholars willbe assisted up ro high school. Aftergraduarion, furrher assistance willalso beprovided in rhe form oflook-ing for sponsors for post-secon-dary education (vocarional/techni-

cal or degree courses) or for job

placement. The init ial target for theschoolyear 1999-2000 is 100 scho-lars from rhe depressed communi-ties in San Andres and Tondo. Thepractical side of us, steeped in rhediscipl ine of rhe bottomline mayask: "\flhy rhis kind of invesrmentwhen the rerurns are unquesdonableand way, way down the road?" Vell,first ofallbecause they are rhere and.they need to be helped. Secondly,because we have betrer chances ofsuccess wirh those who are nor yerstreet chi ldren bur are porenrialstreer children. The idea is to catchrhem in their formativeyears. Orhercountrics such as the US have actu-ally qualified the cost to society ofadelinguent child and the amountwas sobcring. Ve probably have not

A consisientshow-stopperslnce lheinceptlonot the colorlulannual AIMfestival olcultures,lndonesiahas never beenless thanbrealhtaklng lnits showcasesol a herilageunparalleled Inthe visual,mythlc andperforming aris

()j

Page 61: The Asian Manager, January 2000 Issue

is, the fact that our class probablywas one ofthe more openly collabo-rative (not collusive, mindyou) vis-i-vis competitive during the '70s.

It was bnrited abour, for example,thar the Faculry was very pessimis-tic about our future in the "real"

world as we lacked the ferociw ro

fight, to survive and to succeed inthe dog-eat-dog corporate world. Itwas also rumored that bets werebeing taken as to whetherwewouldhave the gumption or nor ro be-come CEO's in relarively equaltimes to the othe! more comperi-tive preceding classes, Perhaps, roo,one can trace roots ofthis cohesionthrough a framework of commu-niry-building morespecifically,family-br.rilding. The formal lead-ership srructure in school where wehad for class presidents, BennyLomotan (currently engaged in rhesh ipp ing bus iness ) and ReneMontemayor (of the famedPurefoods company) both great6therfigures (believe it or not, theywere, even i f Rene is 20 yearsyounger than Benny), was bolsteredafter graduation with camaraderienurtured by a "maternal" figureOogie Peha-Dolina - the movingspirit ofthe class (who took painsto call the class by phone). Birth-days, deaths, sickness, promotions,and litde milestones - were cel-ebrated with or without fanfare -

hosted by different members ofthedass . It was as ifthc "motley''

groupdescribed in the school yearbook

mall your notes to>

compriscd of various nationalitieshad coalesced inro one global com-muniry

This sense of global commu-niryis further propelled by the forceof the Internet. As the Internetreached critical mass during the sec-ond halfofthe 901, Joe Macmang,based in the U.S.,

"spammed" class-

mates wirh e-mail addresses withjokes. Thus, from the tcdious,"low-tech" approach of calling class-mates by phone for reunions, a"high-tech" approach evolved -

through e-mail. Now the class isunited in cyberspace through a -group e-mail [email protected]. \liti theincreasing ease of website-building,some membersofthe class have alsosprouted their own sites such asGary Grey (http://nenbers. tipod.com/ - garygrE/aents I .htm),PietroRet'es (he works for PNB New Yorkwhere he developed and maintainsPNBt website), Chito Corpus(connected with the AIM ScicntificResearch Foundation) and ofcourse, Joc Macmang (working forAT&T). \Ve look forward to therime when almosr everyone willhave his own websire, hyperJinked

done that but once we do, rhe re-sulrs could nor be far different. So,if we are able ro make them pro-ducrive citizens and prevent themfrom becoming rhe Leo Echegaraysof rhe world for the sake of ourchildrens' children, that should begood enough ROL Ifwe reallycometo think ofit, ir does nor really takevery much to make a difference inthe life ofa target beneficiarv. Andthe beauty is making such a differ-ence in our lives roo. Join us there-fore as we help, in our own littleway, to build a better furure for our. ^ , , " . ^ , , " . t . " ^ . 1 "

GARY A. GREY, MBM '74:

Vhere in the world do you findpeople so hung up on each otherthat they insist on meeting up atleast once every quarteri Only inAIM. And we think in only one ofirs graduating classes. Vhile otherclasses would have annual ger-rogethers, the clxs ofMBM'74 hashad fiequent reunions - sometimesmon th l y , some t imes qua r te r l y .\7har was the ingredient thatbrought this about even afrervenry-five years from graduarion?Since our firsr Grand Homecom-ing in'84, we have kept up ourmonthlv and/or quartedy dinners,our Christmas parries. And rhisvear, that tradirion is fifreen vearsold and we don'r think it will sropvet. Perhaps one can fault, iffault it

62

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@aim.edu.ph

to one another, forming one inter-connected global communiry

'We have rranslated our get-

togethers in Manila ro virtual reun-ions by sending our pictures world-wide so that others can share- \feexchange family pictures throughthe net. We also exchange gossipand rumors. And finally, we sendout reams and reams ofjokes.

Ve regret that the followinghave already left us: Daby Fried-land, Bert Morco, Pinok Day'rit,Visit Charerntantanakul, OcaCar as, and Fr. Jim. May theirsoulsrest in peace. Ve continually prayfor those ofour class who have losttheir way and are desperately seek-ing the light.

Perhaps coming from rhe in-e r t i a o f t he 25 th Ann i ve rsa ryHomecoming at Fort Bonifacio lastMarch 5, 1999, a small group ofMBM

'74 proceeded to Puerto Azul

to continue celebrations by playinggoll mahjong, strolling, and just

soaking in the sun the next day. JessVillongco (consultant to variedbusiness interests) came to playgolfbut didnt complete the golf gameas he wasn't feel ing well . (His

brother classmate Sonny Villongcois also an entrepreneur-businessmaninvolved in mega-projects). BasicPetroleum President Mon Mangabeat President/CEO BobbyChandran of Chemoil in a toughgame of goll Among those whostrolled in the sun were business-woman Oogie Pefia-Dolina, GaryGrey (banker and informarion rech-nology whiz), Manny and MarissaSibal (managing partners of Phoe-nix Publishing). Berna Lomotan,instrumental in getring rhe cottagesth rough he r membersh ip w i t hPuertoAzul, camewith her son andher friend Cecilia Ferrer Ms. Ferreris astudent ofleoVllarosa (a mas-ter ofthe ancient Indonesian art ofkalima-sada, a form of harnessingour energies rhrough srimulation ofthe chakras), who also happens tobe the General Manager of M-SroneInternarional Inc. (an operarionsresearch firm).

Atty. Tadeo Villarosa (who

now practices law and runs theirhacienda in Bacolod at rhe sametime) came back from Bacolod fora return march a few weeks after tobear Mon Maylga MBM '74 also

had a match wirh MBM '73 atVack-Vack a few months larer(MBM '73 won). The MBM '74

team was complemenred by Kim(our blackbelt taekwando masterwho happens to also play golf).Bobby Garciaof MBM

'73 coordi-

nated the golf game for class '73

while Jing Alampay coordinared thegame for class'74.

During Gary Greyt stint asY2K Project coordinator of UnionBank, he was able to see formerclassmates in Cebu and Davao. Hemet up with Perry Rarnos who hasa fish pond business in theoutskirtsofCebu. He was able to ferret outthe activities ofChito Misa, Presi-dent and Senior Consultant ofTiead, Inc. (Tiaining, Educarion &Devclopmenr Consultants, Inc). InDavao, he met up with Bobby Teo(currendy on sabbatical leave asDean of Ateneo Graduate Schooland busy with his travel businesswhich he partners with his wife).He also met up with Magno Cam(Vice President ofCam & Co., Inc.)who has a flourishing piggery busi-ness.

The c l ass : l so ce leb ra redRoland Youngi birthday last July23, \999 at the Penrhouse of All-Asia Capital. Aside from the usualcore groupr rhere were less fre-quently seen classmates such asNonoy Yulo (President of thePhillippine Stock Exchange, LolongNavarra (currendy in shippingwith

Japanese partners), BoyYaptinchay(EVP of The Meridien Groupwhich recendy complered EssensaEast Forbes at Fort Bonifacio),Sammy Floro (Emry Group, lnc.d i r ec to r ) , N i t oy Es t re l l as J r .{omagri Development Corpora-tion Presidenr based in Pangasinan),Ronnie de la Cruz ( lop Service,Inc. GM), Fermin la Rosa (Princi-

pal of KPMG based in Canada),and Bert locsin (Locsin Inrerna-tional General Manager). Formerprofessors Oscar Lagman and

Quintin Tan spoke. Prof. QuintinTan annouriced his retiremenr fromAIM but he wil lsr i l lbe doi lg con-

sultancy jobs. Speaking of profes-sors, our Korean classmate, Boo-HoRho, is now a Ph. l). and prolessorofmanage-ment at Sogang Univer-siry Korea. One professorwho usu-alll'arrends MBM '74 reunions isPrim de Guzman (who is into somany businesses nowadays includ-ing network markering).

Other Cafd Rizal reunionsduring 1999 included female class-mares, viz., Esmeraldo C. Malapit(President/GM of Lerlvin Publish-ing House) :nd EIsa Buenaventura(Vice Presidenr Regional tusk In-spector of ABN-AMRO, based inSingapore).

M B M 7 4 ' s m o s t r e c e f l tm in i - ga thc r i ngs we re he ld l as rDec- 8. 1999 ar i ts inst irut ional-ized meeting place-Cafi Rizal.This t ime a former classmate dur-ing f irst year. Ting Sibug, basedin I loi lo, was present. This wasMBM

'74 s

"Ch r i s rmas pa r t ywhe re t he eve r -d ie -ha rd co regroup were present. There werethe Ceneral-Boots de Veyra -

with wife Emy de Veyra, RolandYoung ( P res i den t o f A l l -As ia'Capital)

Andrew Gaston (now

based in Davao engaged in agri-business), Chito Blanco (owner/

director of Blanco Cenrer), MonMayuga (President ofBasic Con-sol idared), Francis Suatengco(Markering Direcror of Caprariand Bio-Research), Jing Alampay

o)

Page 63: The Asian Manager, January 2000 Issue

(funds managemenr), Professorfuco Angtuaco (now professor ofIT at AIM), Mari lyn Jul iano-Luciano (now "dri l lmasrcr" ofAIM's Masters of Entrepreneurshipgraduare course), Napocor's CaloyGuadarrama, Sol Gimenez (globe-

trorter busincsswoman based inGermany), Berna l-omotan (jet-sec

rer bcrween the U.S. and the Phil-ippines, engaged in jewelry andother diversified businesses), busi-nessmen Ed Sison and CynthiaSalazar (her husband Rev was notable ro atrend), Boyet Limon wirhwife Sylvia (engaged in IT and edu-cation), and myself ( lS PlanningHead ofUnion Bank). On Decem-ber 9, 1999, Oogie Peia-Dolinareceived a call from Brian Ho whowas in.town for some Phil ippine-Malaysian projecr. Having missedthe Dec. 8, 1999 gathering, Oogiepromptly ser a dare, l)ec. l l , 1999- a breakfasr meeting in a ChineseResrauranr at Creenbelt. Onlymyselfand Caloy Guadarrama wereable ro sec Brian o1{ (Brian usedto work for a semi-conducror com-pany based in Manila and is projecrmanager of M.E.l . Project Engi-neers Sdn. Bhd based in PenangMalaysia.) Hardly had rhe newmil-

64

lennium starred when the grouphad a New Yeart gathering at CafiRizal. The affair was hosred byNellie Galvez (currently engaged inreal estate). The main guest wasVilly Manlongat, one of the classes'milirary classmates, now based inrhe U.S. Villy relared rhe hisrorvofhis work career - how he movedtogerher with his orher mil iraryclassmares to rhe investmenr bank-ing field (Phividec) and moved tothe U.S. just prior to the EDSArevolution. Aside from rhe usualcore group, the meering was alsoatrended by Col. Rico Javier (now

engaged in rhe golf business).Boyet Limon (lnrex President) alsoaaended wirh his wife S1'tvia (who

pur up a school in Paraiaque).There are some classmates

whom we haven't heard offor some-t ime. There is former General

Johnny Dator, who we garheredwas into rhe computer hardwarebusiness. Tom Claudio was DepuryExecurive Director ofrhe Congres-sional Commission on AgriculruralModernization last time we heard.The alumni grapevine says Attor-ney Danny Carnpos went full-timeinto legal practice, doing collecrionwork, Everyone seems to be diver-

sifying. Remember Junie Caringal?He's now in rhe warer business afterhis IT srinr in investment banking.Aside from the miniclass reunions,there is an interesring new venue formeering in order to network anddevelop enrrepreneurship. This isthe monthly meering ofrhe Philip-pine Ve.nture Capital InvesrmenrGroup at AIM. The core membersof MBM '74 in rhis group are T.R.Mohan (CM of GenDiesel, Corp.)and myself Here business contactshave already helped fellow MBM'74

classmates as well as those fromotherbarches. An example is a pat-n6r of Oogie with husband Nestorin an upcominggrowrh area 3rdparry logist ics for e-commerce.Those classmares who are interestedmay artend the last Thursday ofevery monrh at 7:00 a.m.

Berna Lomotan also has asranding invitarion for all classmates.who mighr be interesred to take avacarion in l,os Angeles, U.S.A. Sheis offering her housewhere the classcan stay. The rrip should be madeduring the lst quarter 2000 to availof significant discounts from Phil-ippine Airlines. We expect contin-ued surf ing, partying, andspamming in the new millennium.

And the reunions wil l bemore and more rhat ofaglo-bal communiry of friends.

CHE}ry GANGOSO,MBM '90: This vear, weienot spendingour Chrisrmaswith Baby and Rico. \X/e'vebeen m iss ing Baby f o rChristmas dinners for quitesome rime now, but for fuco,it's our firsr time. Thoughdinner last night was fun,fun, fun (not to mention areal treat, the meal beinggood and free), I cant helpbut feel a light tug in myheart ofhearts that this year,rhe gang of six (from theoriginal 7) is now two menshort (Joey not counted inthe missing members).

Surely, it will be a bigchange rhar fuco will not bearound for the "real"

Chrisrmas dinner. Imagine, one lessguy caughr in rraffic in Makati inthe merry month ofDecember andone less poor soul desperatelyseeking for parking space, I say, bigchange...big change.

This year has also seen a lot ofcnange among us - att€noance-wise, I say, we have become trulywise. Ifwe persisted in keeping rheusual friday lunches, rhe artendancewould have been poorer. Goodrhings came out from this play-it-by-ear and shoor-rhe-moon skeds.

Ve have seen more ofEris thisyear (l didn't mean you beingbiggerthan before or orherwise, I can saythe same thing for borh of us)because ofthe shifr to breaMast.

\le are no longer surprised if

Joey doesnt show up for breakfast,fuco doesnt make the appearanceforlunch, Gigi and I breeze rhroughdinner (forwork and family telatedeks), Eris misses the shuttle or getsstuck in MakatiAve.

We discovered new places,roo.Ok, ok, Dome isnr, wasnt rhat newby then - but it was just a fcw giantsteps from home (Cafi fuzal) Anapology is in order: Sorry, Eris, welost you one time there. But youhave to agree, the muffinswere OK.

Page 64: The Asian Manager, January 2000 Issue

99

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Page 67: The Asian Manager, January 2000 Issue

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Page 68: The Asian Manager, January 2000 Issue

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Jo rrs .loq.{ 3 Pa^er or P?q I Pu8'prp sruspnrs raqro .qr II€ rlll rsnl(l?,{ld - ru.tur8rurl^J l?uolleurelul3o tuu8o.r4) :u3o1o3 30 ,tlsrt^Iufl

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Page 69: The Asian Manager, January 2000 Issue

IAsian management with a global perspective

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