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Call for After Class Participation

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Susan Africa-Manikan

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Sherbet Katigbak-Manalili MANAGING EDITOR



Maritess Aniago-Espiritu Khristine Revilla Voltaire Masangkay ALUMNI RELATIONS OFFICE STAFF

Gaby Mendoza James Neelankavil Jesse Edep Rose Cheryl Orbigo Rosie Avila Joy Salcedo–Posadas Yvonne Larcher Dinna Dayao

28 Call for

After Class Participation Leaders of Alumni Philantrophy



Levi Lacandula Jopet Puno PHOTOGRAPHERS

Panch Alcaraz Brian Vallesteros Chili Dogs ILLUSTRATOR S

Lexmedia Digital PRINTING

AIMLeader Survey . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 A Day in the Life of a SyCip Scholar . . . . . . . . . . . . . . . 42 The WAC Reader Experience . . . . . . . . . . . . . . . . . . . . . 42 A Family Away from Home . . . . . . . . . . . . . . . . . . . . . . . 44

Program Feature


New Entrepreneurship Programs









The AIM Alumni Leadership Magazine (AIM Leader) is a quarterly publication of the Asian Institute of Management with editorial office at the Alumni Relations Office, Asian Institute of Management, 123 Paseo de Roxas, Makati City, 1260 Philippines Telephone No.: 892.4011 locals 331, 540 and 533 Telefax: 893.7410 | Email: aimalumni@aim.edu Copyright 2007, AIM Alumni Leadership Magazine. All rights reserved. Reproduction in any manner in whole or in print, in English or other languages, without written permission is prohibited. ISSN 1908-1081

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Asian Development Outlook in a Transforming World What Asian Businesses Can Learn from Top Fortune 500 Companies Managers of the Learning Process



Great Manila Expectations My MBA Journey in AIM An Exchange Semester at AIM—A Retrospective

“If the alumni are doing well already, then they should think how they can help out in causes like reducing poverty. My ideas have been on how to improve education and this situation on large interest payments.” Words of WiSdom




Unraveling the Rural Indian Market: Juzar S. Khorakiwala, MBM 1975 Money, That’s What I Want: Gabriel M. Paredes, MBM 1972 The Global Professor: James P. Neelankavil, MBM 1972

Money That’s What I Want


cover photo: Jopet Puno

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alumnileadership alumni leadership P RES IDENT’S


I AM ELATED TO SHARE WITH our alumni community the many positive developments currently taking place in our Institute as a result of our new strategies and specific initiatives. Enrollment: The September intake of our MBA program applicants as of this writing is now at 128 compared to 99 at the same time last year. This translates to an increase of approximately 30% in enrollment. The applicants come from China, India, Indonesia, Malaysia, the Philippines and the US. In addition, an MBA May “train” consisting of 33 students has been successfully launched. Research: Dr. James Paul Neelankavil, MBM’72 completed a successful visit under the Fulbright Program. Quite apart from a very successful conference and teaching an MBA elective on “Global Marketing Strategy and Policy,” the various research colloquia that he has conducted have been well received with several faculty members announcing plans to conduct/publish (individually or in partnership with Dr. Neelankavil/others) relevant research in the current school year. A number of research initiatives with a number of international partners/sponsors have also been launched covering a variety of relevant themes ranging from Competitiveness, CSR, Bridging Leadership to Good Governance. New Programs: A number of new programs have been recently launched (e.g. the EMBA-Famcor/Entrepreneurship and a number of “blended-learning” programs) while a number of programs are being designed or re-designed. Faculty: AIM has appointed two new full-time faculty members, Dr. Neric Acosta and Dr. Wilfred Manuela. Dr. Acosta was congressman from 1998-2007 and principal author of the Clean Air and Clean Water Acts. He holds a PhD in political science from the University of Hawaii where he was an East-West Center doctorate fellow. In 2004, he was named World Fellow of Yale University. Dr. Manuela has to his credit nearly a decade of experience in the academe, having taught courses on financial, operations, and strategic management, as well as organization studies, and systems analysis and design in various universities. Our new faculty members bring with them valuable knowledge and expertise in management. We are also pleased to announce the forthcoming arrival of Dr. Anil Khandelwal for a visiting professorial stint. Dr. Khandelwal was the immediate past Chairman/CEO of the Bank of Baroda, one of the largest and most successful state-owned universal banks in India and was the immediate past president of the Indian Banking

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Institute. He has a brilliant academic career and over three decades of banking experience. In December 2005, the Economic Times, Corporate Dossier named him as the 36th among the 100 Most Powerful CEO in the country. In addition, Dr. Angel Cabrera, President of Thunderbird School of Global Management visited AIM for possible partnerships. He is a world-renowned global leader and management educator whose expertise has been acknowledged and tapped by top global organizations including the World Economic Forum and the United Nations. Dr. Cabrera leads a truly global learning network with operations in the United States, Latin America, Asia and Europe, including Russia. Thunderbird is regarded as the world’s leading institution in the education of global managers. The school holds the number one ranking in the U.S. News & World Report, the Financial Times, and The Wall Street Journal/Harris Interactive survey of corporate recruiters. We are also happy to announce that six faculty This surfeit of good members are currently completing their PhDs. news is a result This surfeit of good of the innovative news is a result of the and responsive innovative and responsive leadership from the leadership from the AIM AIM community. community. I am sure that you are as extremely pleased as I am in knowing about the numerous good news taking place at AIM. As alumni, your role has been steadily evolving. Eventually, you may soon represent a majority of the Board of Trustees. A chosen few have already accepted our invitation to be members of an alumni advisory council. On your shoulders will rest the destiny of our institution in many ways. Whether deliberately or not, you have chosen an AIM education, which, by definition, has earned for you an automatic regional network. The way to optimize on that network is to actively involve yourself, participate in the institution, and shape the direction of the initiatives at AIM. So I invite you to become much more actively engaged. Tell us what you want, what you need, and help us achieve that. We have boarded a train that is moving forward to an exciting future for AIM. I hope that you will join your fellow alumni and me in this most exciting of journeys.


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Alumni Giving

AFTER CLASS PARTICIPATION is a term we are all familiar with. It is a term that I am sure evokes many memories of what happens after a grueling day in the case room, whatever year you have graduated in. It is the term we use for the cover of this 11th issue of the AIM Alumni Leadership Magazine, as the statement now has deeper meaning and implies a profound involvement from the alumni who have long left the portals of our school. We recognize in gratefulness the many alumni and members of the AIM community who continue to share their expertise and resources with the school. First and foremost is our Honorary Alumnus and Chairman Emeritus, Washington SyCip, whose generosity and wisdom has made it possible for AIM to lead management education in Asia for 40 years. As the biggest donor to AIM, Mr. SyCip continues to AFTER CLASS provide scholarships to the best PARTICIPATION and brightest MBA students. is a term...we use We also recognize and for the cover of this acknowledge our top alumni 11th issue of the AIM donors, as well as the alumni classes Alumni Leadership Magazine, as the and associations who have made statement now has invaluable contributions to the deeper meaning and institute. We are publishing, for the implies a profound first time, their gifts to the Institute involvement from the alumni who have and hopefully will continue to long left the portals encourage other alumni to consider of our school. leaving a legacy for the future of AIM. It is also fitting that we feature in our Spotlight section the following alumni whose generosity of their time and expertise has been palpably felt through recent events: James Paul Neelankavil, MBM’72, Juzar Khorakiwala, MBM’75, and Gabriel “Gabby” Paredes, MBM’72. Prof. James Neelankavil, PhD, graduated with Distinction in 1972. James was a visiting professor under the Fulbright Senior Specialist program and has recently taught an elective in Global Marketing Strategy and Policy at the W.SyCip Graduate School of Business. He also held a series of research sessions for faculty members, as well a forum on “Successful Business Strategies of Top Fortune 500 Companies” last July 25, 2008 at AIM. His contribution as an alumnus, on the academic front, is an example of how our graduates are supporting the building of intellectual


capital for students and the AIM community. Juzar Khorakiwala is an AIM Alumni Achievement Awardee and is CEO of Biostadt India Limited. In a recent forum at AIM, Entrepreneurship and Innovation in a Complex World, Juzar shared the success stories of a few Indian enterprises in capturing the country’s large rural market. These initiatives have resulted in competitive rates and range of agricultural inputs; increased rural bank aid; farmers’ availing of agronomists’ services; and better selling price of farm products. Juzar provided invaluable inputs and inspirational insights for entrepreneurial leaders who are deeply involved in advancing their enterprises or organizations to sustain growth amid challenging times. And of course we feature our new partner, Gabriel “Gabby” Paredes, MBM’72, who now leads the Alumni Association of AIMPhilippine Chapter. With Gabby’s support, we are hoping to achieve the following goals: unite alumni towards the goal of investing in AIM’s future by providing financial resources on a regular basis; expand and systematize a relationship between the Institute and its alumni to support scholarships, research and imminent needs of AIM; and institutionalize an Annual Alumni Fund Raising Campaign with AAAIM and FAIM as partners. We also recognize in this issue our alumni volunteers for the Host Family Program I & II, and the top 10 WAC readers whose generosity in sharing their time for our students is indeed incomparable, invaluable and deeply appreciated. There are numerous alumni whom we also wish to recognize, our contributors for this magazine, our leaders in FAIM, and the many outstanding personalities who color our daily life at the Alumni Relations Office. Many positive developments are now taking place at AIM. But without the continuous support of our alumni—who, with their participation can only advance the value of their degree and their networking—we can only go so far. I invite all of you, our dear readers and our fellow alumni, to continue to touch base with us, because only when we can address your needs can we continue to be relevant and meaningful to AIM and the alumni community. Thank you for your invaluable partnership and I look forward to your continuous and much-needed support for our school. God bless!


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eader L M I A VEY

WE'D LIKE TO HEAR FROM YOU. Send your thoughts on the AIM Alumni Leadership Magazine to aimleader@aim.edu.

Rents: 164 SU o p s nd

Re ion: 8 Durat 3-Aug. 30, ‘0 2 y Jul

Which sections do you like reading?

Is the AIMLeader print edition worthy of your support?


Overall content is good. However, many times it is focused too much on the Philippine market. We are a global/Asian B-school and should include market/ industry outlook for all the major markets in APAC. Reading this magazine should help us have an overview of the key management issues in Asia. SUBHAGATA MUKHERJEE MBA 2006


YES 89%

NO 11%






10% 10% 9% 8%


AIMLeader Online will be launching soon. Which format do you prefer?

71% 7% Print


Are you happy with your magazine? Unhappy


4% Quite Happy 9%

Online Print & Online

Do you receive your magazine?



Very Happy



NO 38%

YES 62%

Articles or features on selfdevelopment, emerging trends in business and financial markets across the world should also be given due coverage. LOKNATH GUDIMETLA MM 2004 It’s a great resource material. After 22 years since I left the institution, this is my only link with the institution. I migrated to Melbourne 19 years ago. EARL V. DACANAY MM 1986 Possible business ventures in the form of a classified ads section, like a printed marketplace would


be good. Also, some travel tips, recommended resorts or trip advisor type for balikbayans or fellow alumni overseas. RIA SANCHEZ-JANUSZCZAK MBM 1999 More holistic, spiritual stuff for graduates like myself, if there are any I guess. Management practices, etc. are good for the brain, but what about articles for the soul? We’ve fed the mind so much already, let’s focus on our Selves. Print only if it uses recycled paper. If not, online is best. TROY BERNARDO MBM 1993

I usually read it from cover to cover. Since the magazine reaches me long after the featured events, I read it mostly for the “nostalgia” value of remembering my MM experience. NANCY HOPKINS MM 1990

29% Our magazine is keeping the link among AIM alumni. MANOLITO F. MENDEZ BMP BATCH 86 Provide new information, trends that are helpful in work. MA. CHRISTINE F. REYES MDM 2001 Why not include a section whereby in every issue, we select an industry and write about it from a global perspective and the opportunities this industry provides (from the perspective of entrepreneurs as well as job seekers). NILESH MODI MM2008

The magazine’s contents are more of an executive management magazine rather than a magazine for alumni affairs. RAMON IGNACIO ME 2000

The content is good and well-organized. In my opinion, we should launch the e-version along with the traditional version. In the e-version, all AIM alumni can post and give their comments on the articles which cannot be done in paper version. We should open a new section which is country-focused— Vietnam, China or India. It will attract more readers. The new section should be written by AIM alumni in that particular country to give country insights. VU TUAN ANH MM 2002 The overall content may be improved by increasing the space for the Briefcase section. Have alumni contribute fulllength articles. PEMA WANGDHEE MDM 2001

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(Behind from left) Augustus B. Esmeralda, Michael M. Macatangay, Raoul B. Rodrigo, AIM President Francis G. Estrada, Celine S. Bautista, Gabriel M. Paredes, AIM Chairman Jose L. Cuisia, Jr., Datuk Ir. (Dr.) Mohd Annas Hj. Mohd Nor, Agerico G. Agustin and Cesar M. Espino; (front from left) Marvee Celi-Bonoan, MBM’95 (Executive Managing Director of the AIM Scientific Research Foundation) representing Prof. Horacio Borromeo Jr., Virgilio G. Espeleta, Corazon T. Jimenez, Tomas Marcelo G. Agana III, Ramon M. de Vera, Perpetuo M. de Claro, Gregorio J. Atienza and Matthew P. Gaston




HE NEW MEMBERS OF the Board of Directors of the Alumni Association of AIM (AAAIM)-Philippine Chapter were inducted last June 20, 2008 at the TPIC-Bancom Function Room at the AIM campus. Former AAAIM Chairman Mr. Ramon M. de Vera, MBM’73, gave the welcome remarks. AIM Chairman Mr. Jose L. Cuisia, Jr., was the keynote speaker and led the induction of the 2008-2009 AAAIM Board. Guests of honor included AIM President Mr. Francis G. Estrada, MBM’73 and FAIM Chairman, Datuk Ir. (Dr.) Mohd Annas Hj. Mohd Nor, MM’84. Inducted were the following


board members: Mr. Gabriel M. Paredes, MBM’72 – Chairman, Mr. Perpetuo M. de Claro, MBM’73 – Vice-Chairman, Ms. Celine S. Bautista, ME 2000 – Secretary, and Mr. Raoul B. Rodrigo, MBM’72 – Treasurer. The members of the Board of Directors 2008-2009 include the following: Mr. Tomas Marcelo G. Agana, EMBA Manila 4; Mr. Gerry G. Agustin, MBM’87; Prof. Horacio M. Borromeo, Jr., MM’77; Prof. Sofronio C. Dulay, MDM’03, Mr. Virgilio Brigido “Nonoy” Espeleta, MBM’91; Mr. Cesar M. Espino, ME’01; Mr. Matthew “Fritz” P. Gaston, MBM’88; Ms. Corazon T. Jimenez,




MDM’02, Augustus Caesar Esmeralda, MM’97; Mr. Michael Sherwin M. Macatangay, EMBA’06; Mr. Manuel R. Salak III, MBM’83; and AIM Representative, Mr. Gregorio J. Atienza, MBM’83.

Outgoing AAAIM Chairman (2007-2008) Mr. Ramon de Vera presented the Chairman’s Award to Ms. Celine S. Bautista for organizing the first Alumni Family Day last August 2007, and to Mr. Henry S. Tenedero for heading the successful “Leadership TuneUp Conference” last October 2007. A plaque of appreciation was also presented to MBM 1988 represented by Mr. Fritz Gaston, for the success of the “Asian High


at Boni High” Homecoming held last March 2008 at the Bonifacio High Street. The AAAIM Board of Directors also paid tribute to the outgoing Chairman, Mr. Ramon de Vera, recognizing him for having successfully led many first time events at AIM, such as the first AIM Alumni Family Day, the “Leadership Tune- Up Conference,” and the “Islamic Forum”. De Vera was also the first AAAIM Chairman to have a seat in the AIM Board of Trustees. Under his term, AAAIM was able to present the title of Honorary Alumnus to two outstanding leaders of AIM, Mr. Washington SyCip and Mr. Jose L. Cuisia, Jr.

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Fulbright Program Lecture with Prof. James P. Neelankavil, PhD, MBM’72 held at AIM PROF. JAMES P. NEELANKAVIL, PhD, MBM’72 was the guest speaker for the Fulbright Program Lecture, “Successful Business Strategies of Top Fortune 500 Companies” held last July 25, 2008 at the TPIC-Bancom of the AIM Campus. Prof. Neelankavil discussed the key success factors of the top ten best performers and their performance in Asia and overseas markets. The presentation included how Asian companies might benefit from following some of the strategic initiatives by these Fortune 500 companies. Over 200 alumni and guests attended the event. Prof. James Neelankavil, PhD, is a Visiting Professor under the Fulbright Senior Specialist program. Prof. Neelankavil taught briefly at

AIM after earning an AIM MBM degree (With Distinction, 1972). After studying at AIM, Prof. Neelankavil went on to take a Doctor of Philosophy, major in International Business, minor in Marketing from Stern School of Business, New York University. During his stay at AIM (until August 16, 2008) he taught an elective in Global Marketing Strategy and Policy at the W.SyCip Graduate School of Business. He also held a series of research sessions for faculty members. Prof. Neelankavil is Professor of Marketing and International Business at Zarb School of Business, Hofstra University, New York, where he also served as Dean (1989-1991) and Associate Dean (1986-1989). He was also Visiting Professor at SDA Bocconi in Milan, at the Rotterdam

Vietnam Deputy Prime Minister Visits AIM

Vietnamese Deputy Prime Minister and Minister of Foreign Affairs Pham Gia Khiem (center) walks through the campus of the Asian Institute of Management (AIM) in Makati, Philippines. With him are AIM President Francis Estrada and AIM Dean Victoria Licuanan, representing the school’s management and faculty


School of Management in the Netherlands and at the Stern School of Business, New York University. Prof. Neelankavil has written and published extensively in his key areas of expertise, including international business strategy, cross-cultural research, and international marketing. His articles have been published in various refereed journals, including the Journal of Management Development, the Journal of Business Research, the International Journal of Cross-Cultural Management, the Journal of International Business Studies, the European Journal of Marketing, the Journal of Advertising Research, and the Journal of Global Marketing. He has also presented papers in numerous international conferences and authored and co-authored TO ADDRESS VIETNAM’S growing demand for qualified government and business managers, Vietnamese Deputy Prime Minister and Minister of Foreign Affairs Pham Gia Khiem held a discussion with officials of the Asian Institute of Management (AIM) in Manila. The meeting at the 40-yearold pioneering Asian graduate management school was part of Deputy Prime Minister Khiem’s official visit to the Philippines. The two countries maintain longstanding diplomatic, trade and cultural ties with one another. AIM itself maintains ties with Vietnam, with more than 200 of its alumni situated in Hanoi and Ho Chi Minh, and organized under the Vietnam AIM Alumni Association (VNAAA). Because of this, the Vietnamese government hopes to begin a cooperative relationship directly with AIM, to fund or support the training of government officials and scholars. Khiem was accompanied by Vietnamese Ambassador to the Philippines Vu Xuan Truong,

several books in international business and marketing. His latest book entitled, International Business Research, was published last year.

Because of this, the Vietnamese government hopes to begin a cooperative relationship directly with AIM, to fund or support the training of government officials and scholars. Philippine Ambassador to Vietnam Laura del Rosario, and a delegation of 25 businessmen, academicians, and company directors from Vietnam. He was received at the AIM campus by a local delegation of Filipino school officials led by AIM President Francis G. Estrada, and AIM’s Vietnamese students. AIM President Estrada had previously met Vietnam’s Prime Minister Nguyen Tan Dzung in August 2007 to discuss AIM’s own initiatives for the country, specifically with the Vietnamese Ministry of Education and Training. Khiem’s visit underscores how critical business education has become for the developing nation of Vietnam.

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ADB-JSP-AIM Scholars’ Association Get-Together


HE ADB-JSPAIM Scholars’ Association turn-over program was held on July 11, 2008 at the First Philippine Holdings Case Room, Asian Institute of Management. The association’s adviser, Prof. Nihal Amerasinghe, delivered the welcome address. “You had been talking the talk while you were here. Now is the time to walk the talk. Now is the time to go forward and make a difference,” Prof. Amerasinghe urged the Asian Development Bank-Japan Scholarship Program (ADB-JSP) scholars who have just graduated on the same day. Aleem Guiapal, MDM 2008, the association’s information officer, shared the history of this newborn association. Nishi Chandran, MDM 2008, secretary general, reported on the accomplishments and activities of the association while Dil Maya Rai, MDM 2008, the outgoing president, presented and turned over the plans for the next

C E L E B R AT E S G R E E N DAY The Asian Institute of Management Alumni Association of Canada (AIMAAC) held an activity last June 21, 2008. Dubbed “AIMAAC’s Green Day,” the fun and educational event treated AIM alumni and their families to a tour of the Halton Recycling Plant (HRL). The company offers the most comprehensive capability for full waste diversion services for municipalities and the Institutional Commercial and Industrial Sector. HRL turns household waste into valuable and marketable recyclables, green electricity, compost and ethanol. HRL uses the latest technology known as BTA Anaerobic Technology from Germany and VCU aerobic

batch of officers of the association in September 2008. Rosie Avila, MBA December 2008, has accepted the responsibility to bridge the outgoing and the incoming batches of the association. Prof. Amerasinghe and Dil Maya Rai awarded the certificates and tokens of appreciation to the outgoing officers and members of the association. Student Services, Admissions and Registrar (SSAR) Executive Managing Director Mr. Rey Reyes delivered the closing remarks. Center for Development Management (CDM) Associate Dean Prof. Mario Antonio Lopez,

“You had been talking the talk while you were here. Now is the time to walk the talk. Now is the time to go forward and make a difference.” Prof. Sol Hernando, Washington SyCip Graduate School of Business (WSGSB) Associate Dean Ricardo Lim and Alumni Relations Office (ARO) Executive

Director Mr. Greg Atienza graced the occasion. The ADB–JSP-AIM Scholars’ Association was the brainchild of the batch 2008 ADB-JSP scholars and the walkabout project of Nurhikmah Ola, MM 2008. As a result of the walkabout project, the association was officially established on April 7, 2008 with an initial membership of 18 students. AIM has the biggest number of ADB-JSP scholarship recipients in the Philippines from 1988 to 2005. The Asian Development Bank-Japan Scholarship Program (ADBJSP) was established in April 1988 with fi nancing from the Government of Japan. It aims to provide an opportunity for well-qualified citizens of ADB’s developing member countries to undertake postgraduate studies in economics, management, science and technology, and other development-related fields at participating academic institutions in the Asian and Pacific Region.

From R: John Veloso, MBM‘83 (PresidentAIMAAC), Bobby Dela Cruz, MBM‘78 (VP-AIMAAC), Nelson Cruz, MBM‘92, Ramkumar Srinivasan, MM‘97, Hasan Akhtar, MM‘99 (Treasurer-AIMAAC), two guests, and Peter Clemente, MBM‘92

technology from New Zealand to attain their objective. AIM alumnus Noel Moya is currently General Manager of HRL, and is the prime proponent of this new technology. Moya has been actively involved in the field of engineering since 1975 with a focus on water and waste water treatment plants, municipal solids recovery. He has produced several patents concerning water filtration and treatments, cooking oil recycling, electronic precipitators for killing bacteria in water, and accelerated composting of organic waste. All AIM alumni are invited to visit the AIMAAC website at http:// www.aimaac.org/index.html.

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ORE THAN 300 successful international and local entrepreneurs, CEOs, and development leaders from diverse industries spoke and participated in panel discussions at the Asian Institute of Management’s (AIM) recent forum, Entrepreneurship and Innovation in a Complex World. The forum featured innovative and entrepreneurial leaders who are deeply involved in advancing their enterprises or organizations to sustain growth amid challenging times. The event was also marked by the launch of new AIM programs focusing on entrepreneurship and innovation—the MBA Major in Entrepreneurship and the Executive Education Programs for Entrepreneurs and Business Owners. Mr. K Brian Keegan, managing director and global head for Capital Structure Advisory and Solutions of JP Morgan Securities, New York, delivered a keynote speech on the subject Financing of Growing Small and MediumScale Enterprises. “Entrepreneurs search for innovative ways of doing things to create wealth,” defined Mr. Keegan, who believes that middle managers must be taught financial skills in the context of an entrepreneurial attitude and that an objective third party is needed to measure credit risk in Asia. Mr. Rajat M. Nag, Managing Director General of the Asian Development Bank (ADB), also led the lineup of speakers and discussed the topic Asian Development Outlook in a Transforming World. He avers that Asia is expected to continue to exhibit high growth rates. But the region 8

has to address six pressing challenges: 1) unfinished poverty agenda and rising inequality; 2) infrastructure deficit; 3) institutional deficits; 4) environmental challenge; 5) demographic bulge; and 6) regional integration. Sharing their experiences on Entrepreneurship in Established Corporations were Dr. Magdaleno Albarracin Jr., vice chairman of PHINMA, and Dr. Mooryati Soedibyo, chairperson of Mustika Ratu Tbk Pt, which manufactures cosmetics and traditional herbal products.

“When an idea for a new product or service or process is combined with a business model, then we can have entrepreneurship.” —AIM Dean Vicky Licuanan Dr. Albarracin, also the president of cement company Holcim Philippines, recounted the history of PHINMA, whose businesses include low-cost housing, energy, education, steel roofing, financial services, and business process outsourcing (BPO). According to him, the PHINMA way means co-investing with friends, then managing the business; bonus and stock ownership; minimal government influence; and contribution to national good. Dr. Soedibyo, who was hailed Ernst & Young Entrepreneur of the Year for Indonesia, gave tips on hurdling obstacles by enumerating her company’s strategies during the Asian financial crisis and strategies for expansion, strong branding, and efficiency,

thus resulting in the company’s growth rate of 20% per annum. Speaking on Entrepreneurship and Development were Hon. Ma. Lourdes Fernando, Mayor of Marikina City; Encik Meor Kamal Azhar, head of the National Unipreneur Development Program of the Multimedia Development Corporation; Dr. Jaime Aristotle Alip, chairman and managing director of the Center for Agriculture and Rural Development (CARD); and Mr. Juzar Khorakiwala, chairman and managing director of the agro-chemical company Biostadt India Ltd. Marikina, consistently named among the most competitive Philippine cities, has “developed a number of economic enterprises which are generating substantial revenues for our city,” said Mayor Fernando. “Economic development is thriving in our city primarily because of our environment wherein order is pervasive, democracy exists, rules are followed, fairness and predictability reign, and leaders can be trusted.” Meor Kamal Azhar bared details of his company’s Technopreneur Development Programme, which promotes ICT enterprises, start-ups, and existing ICT concerns in Malaysia through programs on awareness, development, funding, incubation, and partnership. CARD has served more than 600,000 clients. According to Dr. Alip, the multi-awarded group has been faithful to its methods: 1) giving loans to poor women only; 2) standardized systems and

procedures; 3) simplified loans and processing; and 4) continuous innovation. The group aims to reach one million clients by 2009. Mr. Khorakiwala, an AIM Alumni Achievement Awardee, narrated the success of a few Indian enterprises in capturing the country’s large rural market. These have resulted in 1) competitive rates and range of agricultural inputs; 2) increased rural bank aid; 3) farmers’ availing of agronomists’ services; and 4) better selling price of farm products. Mr. Musa Adnin, managing director of the Adinin Group of Companies, and Mr. Jaime Enrique Gonzalez, CEO and managing director of IPVG Corp., shared their experiences on Leading New Ventures. Mr. Adnin narrated the beginnings of his Brunei-based family business. He enumerated the elements that he believes must be considered in any business as well as elements needed to be successful in business. IPVG operates in eight countries and has high performance growth with minimal risk, revealed Mr. Gonzalez. It has a blend of stable and high-growth businesses that have made it a leader in communications, online games, and BPO. AIM Dean Victoria Licuanan likewise touched on the subject Entrepreneurship = Innovation. “When an idea for a new product or service or process is combined with a business model, then we can have entrepreneurship,” she said.

Dr. Mooryati Soedibyo and Mr. K Brian Keegan

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AIM Launches New Programs DURING THE FORUM, “ENTREpreneurship and Innovation in a Complex World” held last May 30, 2008, AIM launched its new programs focusing on innovation and entrepreneurship. The MBA Major in Entrepreneurship is for young men and women who have big ideas for new ventures, have an appetite for risk, and carry the ambition to grow in quantum leaps. The program is first a comprehensive MBA that equips students with “steady science” in managing Asian business systems, finance, accounting, people and teams, marketing, communications, operations, and strategic planning and execution. Students learn to scan for opportunities, develop surveys and interpret marketing research, re-engineer products and services, leverage technology, and pitch for venture capital. Second, students put learning into action. AIM will help the student locate the actual resources to put ideas into action. The Executive Education Programs for Entrepreneurs and Business Owners are designed to address the special challenges of entrepreneurial and family-managed firms and to fit the learning needs and schedules of entrepreneurs and business owners. Aspects of the courses may be conducted online or face-to-face in a classroom setting. Two- to three-day Entrepreneurship courses address specific needs for training in the foundation skills of entrepreneurs and business owners— business plan writing, finance, marketing, strategy, and supply chain management. The three-week Entrepreneurship Development Program aims to professionalize entrepreneurial management by building core business leadership competencies. The Entrepreneurial MBA provides broad strategic management education aimed at breaking barriers to participants’ and their businesses’ growth and transformation. Leaders from the local and international public and private sectors, heads of multilateral and funding institutions, academics, and students attended the conference. For inquiries on the MBA Major in Entrepreneurship, please contact the W. SyCip Graduate School of Business at (632) 8940043 or at wsgsb_admissions@aim.edu. For inquiries on the Executive Education Programs for Entrepreneurs and Business Owners, please contact the Executive Education and Lifelong Learning Center at (632) 8924011 ext. 426/263 or at excell@aim.edu.

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From L: Prof. Ricky Lim, associate dean of the AIM W. SyCip Graduate School of Business; Prof. Victoria Licuanan; Dr. Magdaleno Albarracin Jr; Mr. Francis Estrada, AIM president; Prof. Grace Ugut, associate dean of the AIM Executive Education and Lifelong Learning Center; Dr. Mooryati Soedibyo; Mr. Musa Adnin; Mr. K Brian Keegan; Encik Meor Kamal Azhar; Mr. Juzar Khorakiwala; Mr. Enrique Gonzalez; and Mr. Jose Cuisia, AIM chairman

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Sec. Jesli Lapus, MBM’73 Inducted into Certiport Champions of Digital Literacy Hall of Fame THE PHILIPPINE SECRETARY of Education JESLI A. LAPUS MBM 1973, was inducted into the Certiport Champions of Digital Literacy Hall of Fame for his efforts to roll out one of the world’s largest digital literacy programs for the Department’s over 480,000 teachers in the Philippines. Lapus, the first Filipino to be so honored, represents Asia in the Hall of Fame induction for mandating information, communication technology competency program for virtually all of the country’s teachers in primary and secondary education.

Photo: www.bsp.gov.ph/publications

“The Leadership demonstrated by Secretary Lapus in the digital literacy development of Filipino teachers will enrich student learning and global competitiveness of the Philippines” Lapus was recognized for his pro-active effort to develop and validate teachers’ ICT skills using globally-recognized standards. “The Leadership demonstrated by Secretary Lapus in the digital literacy development of Filipino teachers will enrich student learning and global competitiveness of the Philippines” said David Saedi, president and CEO of Certiport. With support from the private sector, the Philippine Department of Education has already sent into digital literacy training more than 100,000 teachers. These include 86,000 teachers trained under a project


with Intel, 18,000 in collaboration with Microsoft and 4,000 together with the USAID. The in- service training of teachers under DepEd’s own information communication technology for education (ICT4E) initiative also provided an estimated 100,000 public school teachers with computer literacy skills. “Our students are the direct beneficiaries of our efforts to harness the power of technology to improve classroom instruction and ICTs as valuable tools to accomplish our goals,” Lapus said. Lapus added that the certification of the teachers’ ICT skills is aligned with globally established standards such as the UNESCO’s Competency Standards for Teachers and the National ICT Standard for Teachers. The Champions of Digital Literacy Hall of Fame honors the exemplary efforts of individuals across the globe who transform the landscape of education and employment through championing the adoption of digital literacy standards. Each year, nominations are received from around the world and award recipients are selected based on the measurable scope and social impact of their efforts. The Champions of Digital Literacy Inspiration Award is given in recognition of the visionary leadership required to transform communities and nations through large-scale digital literacy initiatives. Secretary Lapus was formally inducted into the Champions of Digital Literacy Hall of Fame on August 2, 2008 at the Certiport Pathways Hawaii International Conference, a forum where world leaders in business, government and academia exchange best practices to transform individuals and communities around the world through digital skills and credentials.

From L: Jerry Adevoso (Rex’s cousin), Asst. Secretary for Veterans Affairs, Offi ce of the President; President Gloria Macapagal-Arroyo; 2008 Apolinario Mabini Presidential Awardee Rex Bernardo; wife Marissa; niece Christine; and Tito Sarte Sarion, Mayor of Daet, Camarines Norte

Bernardo, MDM 2002 Receives Apolinario Mabini Presidential Award REX BERNARDO, MDM 2002, WAS AWARDED THE APOLINARIO Mabini Presidential Award on August 6, 2008 by Philippine President Gloria Macapagal Arroyo at the Malacañang Palace’s Heroes Hall for Rex‘s exceptional contributions to the rehabilitation of persons with disabilities, for his achievements in the academe and for being a founding member of the Alyansa ng May Kapansanan sa Pilipinas (AKAP). Rex’s wife Marissa, son Rexmar, Mayor of Daet, Camarines Norte

HENRY GRAGEDA, ME 2002, DIRECTOR of the Case Research Group at the Asian Institute of Management, won the “Best Original Screenplay” award for the independent film “Pisay” during the 5th Golden Screen Awards (GSA) on June 24, 2008. “Pisay” received the highest number of honors in the 2008 GSA in eight categories—Best Director, Best Editing, Best Motion Picture, Best Musical Score, Best Original Song, Best Performance by an Actress in a Supporting Role, Best Production Design, and Best Original Screenplay. “Pisay,” a movie about eight Philippine Science High School students coming of age in the 1980s, also won two major awards, Grand Prix du Jury (Grand Prize of the International Jury) and the Prix du Public (Audience Prize), in the 2008 Festival International des Cinémas d’Asie de Vesoul in France. The film, directed by Auraeus Solito, debuted and won Best Director, Best Production Design, and Audience Choice awards in the 2007 Cinemalaya Philippine Independent Film Festival. It was part of the official selection in the 2007 Toronto International Film Festival (Canada) and the 2007 Pusan International Film Festival (South Korea).

Grageda Wins Best Original Screenplay

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Tito Sarion, and International Movement for Development Managers (IMDM) President Coratec Jimenez, were present during the awarding ceremony. “Eighteen years ago, I would never imagine myself in this situation— here in Malacañang Palace and saying this acceptance speech. Because at the age of twenty, I was still unschooled just like the situation of the majority of PWDs in this country. Yes, maybe I was uneducated but just like any individual, I still have my dreams and best of all, the human spirit that cannot be crippled by my frail physical condition. Yes, I persevered to study and gain knowledge and in the process, had to endure the ridicule and insults of the unbelievers and insensitive segment of our society. With sheer determination, I was able to finish my college education and three masteral degrees, foremost of which is the Master in Develop“With sheer determination, ment Management that I got I was able to finish my college education and from the Asian Institute of Management as a Japan-ADB three masteral degrees, foremost of which is the scholar, within the span of Master in Development twelve years,” Rex said in his Management...within the acceptance speech. span of twelve years.” The Apolinario Mabini Awards was launched by the Philippine Foundation for the Rehabilitation of the Disabled, Inc. (PFRDI) in 1974 on the occasion of its silver anniversary. Since then, the Mabini Awards has been a major annual program of the PFRDI. The Awards was named after one of the country’s foremost heroes, Apolinario Mabini, also known as the “Sublime Paralytic,” whose disability was not a hindrance to his creative genius that provided inspiration to the Philippine revolution. Source: http://www.mb.com.ph/SP_MAIN20080316.html

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F A C U L T Y PROF. NERIC ACOSTA, PHD, joins AIM as a core faculty member of EXCELL. He holds a PhD in Political Science from the University of Hawaii (1994), and an MA in Public Affairs from Indiana University, Pennsylvania (1987). Prof. Acosta also holds the distinction of being a World Fellow, Yale University (2004), and was also a Doctorate Fellow for the East-West Center Institute of Culture and Communication in Honolulu, Hawaii (1989-2004). Dr. Acosta has had extensive experience in the academe, as well as in government and civil society. He was very recently a Visiting Professor at McGill University, Canada, as well as lecturer/ part-time faculty member at the Ateneo de Manila University, Xavier University, De La Salle University, and UP Diliman. His areas of expertise include public management, leadership, and governance, as well as environment, education, and other development concerns. A staunch advocate of equal opportunity in education, Prof. Acosta co-founded the Northern Bukidnon Community College, which caters primarily to Lumad minority students and scholars.

A three-term member of the House of Representatives (representing the First District of Bukidnon from 1998-2007), his key accomplishments include principal authorship of nine environmental legislative measures, including the 1999 Clean Air Act, 2001 Ecology Solid Waste Management Act, and the 2004 Clean Water Act. Professor Acosta has authored and published various articles related to his areas of interest, and his articles on political and public life regularly appear in the “Perspectives” section of the website www.thelobbyist.biz. In management, he is interested in market-based instruments as well as government policy that will help achieve environmental goals. PROF. WILFRED MANUELA, PHD, holds an MBA (2000) and PhD (2005) from UP Diliman, is the newest addition to the AIM-WSGSB core faculty. Professor Manuela’s areas of expertise include finance, operations, and business management. He has researched and written extensively on e-governent, the banking industry, and the Philippine airline industry, and has presented and published articles


in various local and international fora including refereed journals. Dr. Manuela is an Affiliate Professor at the Centrum Catolica Pontificia Universidad Catolica del Peru, the oldest-established private higher education institution in Peru. He has also held various teaching positions at UP Diliman and UP Baguio, and the Ateneo de Manila University. Also an expert in management information systems, Prof. Manuela is currently a Project Manager/ Business Analyst of UP Diliman’s University Information System. PROF. JAMES NEELANKAVIL, PHD, is a Visiting Professor under the Fulbright Senior Specialist program. He taught an elective in Global Marketing Strategy and Policy at the W.SyCip Graduate School of Business. He held a series of research sessions for faculty members. Prof. Neelankavil, who taught briefly at AIM after earning an AIM MBM degree (With Distinction, 1972), met with some of AIM’s alumni. After studying at AIM, Prof. Neelankavil went on to take a Doctor of Philosophy, major in International Business, minor in Marketing from Stern School of

M D M D EG R E E S C O N F E R R E D T O N E W G R A D UAT E S THE COMMENCEMENT exercises for the 19th batch of the Master in Development Management (MDM) of the Asian Institute of Management was successfully held on July 11, 2008 at the J.V. del Rosario Functions Rooms at the AIM Conference Center


Manila, Philippines. AIM President Francis G. Estrada conferred the MDM degrees to 29 graduates representing eight countries— Bhutan, India, Indonesia, Lao PDR, Malaysia, People’s Republic of China, Philippines, and Vietnam. Estrada was assisted by AIM

Dean Victoria S. Licuanan and Center for Development Management (CDM) Associate Dean Prof. Mario Antonio G. Lopez. Mr. Arsenio M. Balisacan, Ph.D, Director of the Southeast Asian Regional Center for Graduate Study and Research in Agriculture

Business, New York University. Prof. Neelankavil is Professor of Marketing and International Business at Zarb School of Business, Hofstra University, New York, where he also served as Dean (1989-1991) and Associate Dean (1986-1989). He was also Visiting Professor at SDA Bocconi in Milan, at the Rotterdam School of Management in the Netherlands and at the Stern School of Business, New York University. Prof. Neelankavil has written and published extensively in his key areas of expertise, including international business strategy, cross-cultural research, and international marketing. His articles have been published in various refereed journals, including the Journal of Management Development, the Journal of Business Research, the International Journal of Cross-Cultural Management, the Journal of International Business Studies, the European Journal of Marketing, the Journal of Advertising Research, and the Journal of Global Marketing. He has also presented papers in numerous international conferences and authored and co-authored several books in international business and marketing. His latest book entitled, International Business Research, was published last year. (SEARCA) and who was recently awarded the title of Academician by the National Academy of Science and Technology (NAST) Philippines, gave the keynote address. Mr. Handoko Ngadiman from Indonesia was conferred the Distinction award by Estrada and Licuanan. “The eleven months was and will be one of the most valuable milestones of our lives. It was a journey of self-discovery beyond the academic knowledge of development management...It provided reflective moments on our willingness to go extra miles, to even sacrifice our own comfort for bridging the gap of the widening societal divide...” Ngadiman said in his valedictory speech. Ms. Celine S. Bautista, ME 2000, Corporate Secretary of the Alumni Association of AIM-Philippine Chapter (AAAIM), inducted the graduates to the alumni association.

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“City Marketing: Global Trends and New Approaches for Global Positioning” THE AIM POLICY CENTER, in partnership with the Konrad Adenauer Foundation, held the 78th Edition of the Globalization Lecture Series (GLS 78) last August 15, featuring Dr. Norberto Muñiz Martinez, a Professor in Marketing at the Department of Strategic and Economic Management, Faculdad de Ciencias Economicas y Empresariales, Universidad De Leon, Spain. His lecture, entitled “City Marketing: Global Trends and New Approaches for Global Positioning,” highlighted how cities gain international reputation according to their special attributes. He stressed that cities are beginning to acquire geopolitical importance crucial in the shaping of worldwide flows and exchanges and at the same time, they are becoming subjects or products for consumption, brand names with identities and values. He added that city governments can capitalize on these attributes through:

Cities are beginning to acquire geopolitical importance crucial in the shaping of worldwide flows and exchanges and at the same time, they are becoming subjects or products for consumption, brand names with identities and values. 1. Unique approaches of strategic management and marketing in the world of business; and 2. Enhancing its resources and potentials through remodeling, which is greatly influenced by major public works that are adequate and efficient.


“CREATING A SINCERE brotherhood among different faiths is not only possible but necessary —and surprisingly beautiful,” concluded Pa Ahmad Syafii Maarif, speaking on the basis of his experience and years of involvement in promoting and fostering peace through interfaith dialogue and cooperation in his home country of Indonesia, the largest Muslim community in the world. Pa Maarif is the recipient of the prestigious Ramon Magsaysay Award for Peace and International Understanding for the year 2008. While in the Philippines to receive the award last August 31, he took the time to visit the Asian Institute of Management to speak among fellow peacemakers, members of civil society, academe and diplomatic corps, and officials from the Philippine Embassy and his colleagues from the Muhammadiyah Movement in Jakarta through videoconference last September 2. The lecture was the 79th edition of the AIM Policy Center’s Globalization Lecture Series. Pa Maarif began his discourse with a background on the two major Muslim mainstreams in Indonesia, the Muhammadiyah Movement, in which he served as president, and the Nahdhatul ‘Ulama (NU), that are moderate, open-minded, and modern in their worldview. These two groups are staunch advocates of peace. An opposing minority, in Pa Maarif’s view, has developed a contrary attitude due to what he believes is their limited, subjective, and ad hoc understanding and interpretation of the same sources, which is the Qur’an. Going further, he identified the types of terrorism— individual, group, and state—bred by humiliation, rampant poverty, social injustices, and various hidden

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agenda of the stakeholders in the peace process. As regards poverty, one of its sources, corruption, “also breeds terrorism,” Pa Maarif observes. Those who choose the radical path “misuse religion for the lowest worldly interests and purposes,” he added. Thus, good governance has a bearing in the process of waging lasting peace among different faiths. Ending his speech, Pa Maarif reminds us of the three values needed in the pursuit of genuine peace and development—justice, sincerity and wisdom.

“Creating a sincere brotherhood among different faiths is not only possible but necessary— and surprisingly beautiful.” Pa Maarif’s talk was followed by reactions from a panel of peacemakers in the country, Ms. Amina Rasul-Bernardo, lead convenor of the Philippine Council for Islam and Democracy, and Ms. Marites Guingona-Africa, founder and executive director of the Peacemakers’ Circle Foundation, Inc (PCFI). The audience in Jakarta and Manila were given a chance to participate in the open forum moderated by Prof. Edmundo Garcia of International Alert, UK.

Participating in the forum live from Jakarta were Consul General Catalino Dilem, Jr. of the Philippine Embassy in Indonesia, representatives from the Philippine community and members of the Muhammadiyah Movement in support of their former leader, Pa Maarif. In Manila were Minister Counselor for Political Affairs Mr. Andhika Bambang Supeno of the Indonesian Embassy in the Philippines, Dr. Wilfrido Villacorta, Ms. Karen Tañada, the executive director of the Maarif Institute, Mr. Raja Juli Antoni and Hj. Nurkhalifah, the wife of Pa Maarif. For the final segment of the lecture, Dr. Federico M. Macaranas, executive director of the AIM Policy Center, integrated the key points of the discussion in a synthesis. Dr. Macaranas noted that there are two dimensions that we need to address: the material and the spiritual. Today, perhaps we are in a less tolerant and more fearful and violent world because we have less of both. Both Indonesia and the Philippines share the same economic deprivation indices and he calls to mind that some parts of our countries that were left behind. Not surprisingly, these very same areas of material deprivation have become the breeding ground for radicalized groups or terrorists. In closing, Dr. Macaranas saluted Pa Maarif and the Muhammadiyah Movement for its independence and ability to communicate the right messages of peace to a vast country like Indonesia. Pa Maarif has dramatically shown a greatness of spirit in confronting terrorists in the Bali bombing and the US invasion in Afghanistan, the same greatness of spirit and selfless act of the late President Ramon Magsaysay. I L LU S T R AT I O N : C H I L I D O G S

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State of Philippine Competitiveness 2008: “Philippines at the Crossroads of Competitiveness”


HE NATIONAL competitiveness Council (NCC) presented its first year’s accomplishment report and expects to keep on its proven track, buoyed up by reports from an independent international institute that the Philippines advanced by five notches in its competitiveness ranking against 54 other countries over the past year. This NCC positive review was highlighted during the 2008 State of Philippine Competitiveness Conference, held at the SMX Convention Center on July 15

“The Philippines’ 5-notch jump from 45th to 40th slot is the second widest gain among the Asian countries ranked by the WCY” (Tuesday). The conference, organized by the AIM Policy Center and the Konrad Adenauer Stiftung, also featured the full presentation of the results of the world competitiveness ranking, and spotlighted the creative industries as a vital key to sustain and improve the country’s competitiveness. The National Competitiveness Council (NCC) presented its first year’s accomplishment report and expects to keep on its proven track,

buoyed up by reports from an independent international institute that the Philippines advanced by five notches in its competitiveness ranking against 54 other countries over the past year. The conference was keynoted by Marikina Mayor Marides C. Fernando and Undersecretary Fortunato de la Pena of the Department of Science and Technology, while Amb. Cesar B. Bautista, co-chair of the NCC, presented the first year harvest of the NCC. The Philippines’ 5-notch jump from 45th to 40th slot is the second widest gain among the Asian countries ranked by the WCY, after Thailand’s 6-point jump from the 33rd to the 27th rank. Three other Asian countries slipped two rungs down—Korea, India and China Mainland. To maintain this pace and hit its target for the Philippines to land in the upper third of the economies ranked by 2010, the country’s competitiveness strategies are looking to the creative industries. During the conference, a panel presentation tackled various aspects of the creative industry. The featured speakers included CCP President Nestor Jardin; film director Marilou Diaz -Abaya; director of the Bureau of Export Trade Promotions of the DTI Senen Perlada; president of the Book Development Association

of the Philippines Lirio Sandoval; president of the Animation Council of the Philippines Grace Dimaranan; VP for Academics of DLSU College of St. Benilde Robert Tang; chairman of BBDO Guerrero David Guerrero; and CEO of Brave Design Beth MacDonald. Adrian Cristobal, Jr, director general of the Intellectual Property Office and Professor Patricia Lontoc of the AIM acted as moderators during the panel discussions. The world competitiveness ranking has been conducted annually since 1989 by the Swissbased International Institute for Management Development (IMD). The results of the IMD’s research and analyses are published in the World Competitiveness Yearbook (WCY), which measures and ranks the ability of economies to create and maintain an environment conducive to sustaining market

competitiveness. Over the years, the WCY has been used as a vital reference for government policy makers, business leaders and executives, analysts and investors in assessing country performance. The AIM Policy Center, a public-policy think-tank of the Asian Institute of Management, has been a partner institute of the IMD, contributing to the World Competitiveness Yearbook since 1998. The Policy Center is the academic partner in the National Competitiveness Council and organizes and hosts the annual State of Philippine Competitiveness Conferences. This year, the conference was co-sponsored by SM Investments Corporation and PLDT SME Nation, BusinessWorld, Business Mirror, PhilStar.com, SE Comp, Padua International, Townes, Inc., the Creative Industries Initiative and the AIM Alumni Relations Office.

MBM 1988 donates to AIM

IN GRATITUDE FOR THE SUCCESSFUL AIM ALUMNI Homecoming 2008 last March 7, 2008, AIM President Francis Estrada and the Alumni Relations Office held a thank you dinner for MBM 1988, the Homecoming’s Lead Host Class, on July 11, 2008 at the Gloria Maris Restaurant, Greenbelt 2, Makati City. What started out as a simple get-together turned out to be a special affair when the class surprised President Estrada with a donation of P100,000.00 to the AIM Alumni Fund for Research. Present during the dinner were (front L): Alumni Relations Executive Managing Director Greg Atienza, AIM President Francis Estrada, Ofel Odilao-Bisnar, Carol Lumakang, Beng Yatco and Bing Cacnio; (back L) Charles Ngan, Fritz Gaston, Ric Blanco, Toby Gan, Connie Parungao, and Marvin Beduya (not in photo). The Alumni Homecoming with the theme “Asian High at Boni High” was well-attended at the Bonifacio High Street, Bonifacio Global City at Taguig City, Philippines. The joyous commemoration paid tribute to celebrating classes, professor emeriti, as well as alumni leaders from AIM’s degree and executive programs from various countries world-wide.

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Asian Development Outlook in a Transforming World R AJAT M . N AG , M a n a g i n g A s i a n D eve l o p m e n t B a n k

D i r e c t o r

G e n e r a l

I always take advantage of looking way forward because nobody can really pin you down, because they can always say, “However...but...therefore, etc.” So I’ll take advantage of that and talk about 2020, and basically first paint a picture of what we see in ADB what Asia will look like in 2020, but more importantly, talk about the challenges that Asia will face to achieve that. >>


VERALL, OUR ASSESSment is that Asia will continue to exhibit high growth rates. That has been the story of the past 20 years. We think that will continue. By 2020, Asia Pacific, we believe, will account for more than 25% of global GDP in nominal terms, and as much as 45% in purchasing power parity (PPP) terms. By 2020, Asia Pacific should be close to Latin America levels in GDP per capita. In 1980, as a reference point, it was less than one-fourth. So it would have gone a long way in 40 years. By 2020, poverty in Asia should be below 10% as defined by a dollar a day per capita, compared to about 19% now. Asia will become much more urban, with majority living in mega or medium-sized cities. Asia will remain a capital-surplus region with huge accumulative reserves. Asia will continue to increase intra-regional trade and investments even while globally integrated. We estimate that by 2020, Asia would account for about one-third of the world trade. Asia will continue to attract significant capital flows from within the region and from the rest of the world. But contrary to what some people believe, I strongly believe that none of these are preordained or guaranteed. If the economic vigor of Asia is to last and Asia is to realize its potential, countries in the region have to address a raft of challenges. But I think they pertain even more prominently to Asia. There are many, but let me identify what I consider the six pressing chal16

lenges. They are not in any particular order, but I think the first challenge is the most critical. The first challenge is what I call the unfinished poverty agenda and rising inequality in Asia. It is true that Asians are generally richer, healthier, better educated than they were a generation ago. And I think we can all be proud of it. In 1970, 50% of Asians were poor—again a dollar a day— one in every two. And as I said, now it’s one in every five. The average life expectancy in Asia in 1970 was roughly 48 years. Now it’s much higher—in South Asia, over 63; East Asia, over 70; Central Asia, over 65. And this has all happened in a generation. These are remarkable achievements when you consider that some other societies took more than a hundred years, or more sometimes, to achieve that. Literacy rate was only 40% in 1970, and now it’s over 90% in East Asia, over 60% in Central Asia and South Asia. Again, a success story that we can all be very proud of. But there are these two faces of Asia which must cause us to pause. Though we’ve done very well on the poverty front, two-thirds of

But in Asia, the rich are getting richer faster than the poor are getting richer...The reason it’s important is our analysis shows that the same percentage in growth in economies, superimposed on a more unequal distribution, results in a lesser impact on poverty.

the world’s poor live in Asia—600 million plus. By the measure of $2 a day, which is certainly no measure of luxury, that number goes up 1.6 to 1.7 billion. 600 plus million people are without access to clean water; about 1.9 billion people without access to improved sanitation. Malnourishment in some parts of Asia is worse than in Sub-Saharan Africa, and 107 million children under the age of five are underweight in Asia. The reason I mentioned this last statistic is not only because it is terrible in its own self but because it’s an indication of stunted growth, which means this generation is not only doomed now; there’s nothing you can do about them. That is I think, an unacceptable situation of the so-called two faces of Asia. You have the glitzy towers of Makati; you have Tondo. You have the towers of Mumbai, and you have the world’s largest slum very next-door to it. You have the glitzy towers in Jakarta, and the slums nearby. These two faces haunt us, or at least it should haunt us. And they should haunt us even more because these two faces are diverging, not converging. So that’s on the unfinished poverty agenda, but I would also like to bring in the issue of rising inequality. For me, inequality is not a moral issue. That’s not why I’m raising it. It is a moral issue for me personally, but that’s irrelevant. The reason I bring it up is it is coming in the way of reducing poverty. In Asia, rising inequality is not a phenomenon of the rich getting richer and the poor getting poorer. If it were that, it would certainly be morally unacceptable. But in Asia, the rich are getting richer faster than the poor are getting richer. And one could therefore say, “Good. So what?” The reason it’s important is our analysis shows that the same percentage in growth in economies, superimposed on a more unequal distribution, results in a lesser impact on poverty. That’s the more important point. For example, if the income distribution in Nepal did not worsen from 1995 to 2005, and of course it has worsened, and they had the same economic growth in Nepal, their poverty rate would have come down to 12% instead of being at 25%, what it is now. In Cambodia, the figure would have been 9% rather than 19%, what it is now. Therefore, basically the point is that growth

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Illustrations by Brian Vallesteros

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BRIEFCASE matters, but the pace and pattern of growth also matter. So inequality is an issue in Asia as one of the challenges. If we don’t meet this unfinished poverty agenda and rising inequality, I think we are endangering this growth process. It’s something we need to worry about. The second challenge, as I see it, is what I call the infrastructure deficit. Our estimates are that Asia will need about $3 trillion over the next decade to have infrastructure levels which will allow the growth to happen as we project it to be. Take the example of India. India invests roughly 5% to 6% of its GDP, which is a very significant improvement over 3-4% even five years back. India wants to increase it to 9% of GDP. Our estimates are that it has to go up to 12% of GDP—a huge investment required so that India can go at its potential of 8% plus. So when we talk about these very attractive growth rates of Asia, it is predicated on investments in infrastructure, which again cannot be taken as a given. Therefore we think infrastructure deficits in Asia are a major challenge. Third challenge is what I call institutional deficits. And here I include governance and corruption. It’s a major issue. But I think sometimes we get so focused on corruption that we forget it is part of something larger, and the larger issue is governance, institutions, the rules of law, the predictability of the law. Private sector will come in if they know what is going to happen. The dispute resolution mechanism— I know there are these laws, but are the courts there? If the courts are there, do I know how long it will take to get through the system? The dispute resolution mechanism, the legal judicial framework are all part of what I call the institutional deficits. That’s a huge challenge for us in Asia. And as I have seen, and I’m sure you have seen, there’s asymmetry of the capacity. I have been in situations when very honest, well-meaning senior government officials have called off negotiations with the other side, and I couldn’t figure out why they did that. If they were not honest, I could understand why. But they were very honest, upright, and they called off negotiations. I said, what happened? When we talked about it, everything looked fine, like this deal with this particular private sector partner. The answer was striking because it was also so correct. The answer was “What do you expect me to do? The people across the table there are so smart. I can’t match up with them.” The capacity on the other side—Wall Street firms and the capacity of the lawyers on the other side. And here are my friends from Vietnam or Cam18

bodia trying to barely cope up with that. That struck home to me as a very major constraint, a very real constraint of the asymmetry of the capacities to do business. Therefore [entrepreneurship] programs like this that you’re putting on are so terribly important. And therefore programs that AIM puts forward are so terribly important to build capacity. The fourth challenge for Asia is environmental. And let’s be very honest about it. One of the pleasures of speaking in an academic setting is you can be very honest about it because academics at least speak their mind. They disagree, but at least they speak their mind. On this, I hope you won’t disagree with me, and that is I think we have just messed up our environment in the Asia Pacific. We have grown, but we have grown at a huge cost to environment.

You just have to go to any of our cities—be it Delhi, be it Beijing, or be it Manila—and you’ll see what I mean. The economic growth has come at a cost which we can no longer afford. I fully understand, and I fully empathize with the countries in Asia that therefore speak of per capita pollution. I understand that who is the West to lecture about doing this? Look what they did. And on a per capita basis, we still pollute only a fraction. Unfortunately, pollution does not work on a per capita basis; it works on a global basis. Yes, I think there is a lot of merit in being politically sensitive to the aspirations of Asians to grow and to this concept of per capita carbon footprint. But the point is the environmental degradation is going to choke our growth. And it will need leadership and wisdom from all concerned, both from Asia and the rest of the world, to move this forward. It is not going to be possible

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to continue on the growth path if we continue messing up the environment like we are. The fi fth challenge is what I call the demographic bulge. Is it a dividend, or is it a curse? We are in Asia passing through a demographic phase that has a high share of young adults in the total population. This huge bulge is obviously very positive. It could stimulate economic growth through productive employment, through asset creation, through investment. However, this huge bulge will start to shrink by about 2010 by our reckoning, and by 2040, the percentage of young people in the total population in Asia will be about 14%, down from 20% in 2005. But this huge bulge can easily become a curse if we do not tap into their potential. At the moment, for example, in Asia, only about 60% of young men and 40% of young women are employed. Poor quality education and training are increasingly pushing impoverished young

workers to lowly paid jobs in the informal sector. And mind you—the social tensions being built if this youth is not challenged in the proper way. Paradoxically, developing Asia, which is home to about two-fi fths of the world’s population, is suffering from a serious shortage of skilled workers. The supply of highly skilled and professional workers has not been able to keep up with Asia’s booming demand. Widening skills gaps raise costs for businesses but also obviously hobble productivity of industries and can constrain growth of the wider economy. India produces 250,000 engineers a year. Unfortunately, less than 10% are employable by international standards. Therefore, we believe that it’s very, very important that there be an overhaul of Asia’s under performing higher education systems. We recognize, of course, it’ll take time. But barring a few institutes which have global

Paradoxically, developing Asia, which is home to about two-fifths of the world’s population, is suffering from a serious shortage of skilled workers...Widening skills gaps raise costs for businesses but also obviously hobble productivity of industries and can constrain growth of the wider economy.

reputation, Asia’s higher education system needs to be better, needs to be more innovative, needs to be more responsive to the needs of the market. Governments, of course, can implement some short-term measures. These would include, for example, efforts to stem the brain drain, encourage Asian emigrants to return home, making it easier for skilled non-Asians to live and work in the region, and raising perhaps retirement ages. But the demographic issue is not an automatic dividend because that’s what we always assume: Asia is young, therefore it will take care of the old, therefore growth is assured. The point is it is not assured if they are not channeled and challenged into productive employment and given the right skills. The sixth and the last challenge, the way we see it, is what we call regional integration. Asia’s economies are increasingly vital to each other and to the world. Asia’s output today roughly equals that of Europe or North America, and may well be 50% larger than theirs by 2020. But Asia needs to come together much more as a continent. There is more integration today than there was 10 years back or 20 years back, no doubt about that. I think we are much more integrated by production networks, by the financial sector, but we still are nation-states. There is absolutely nothing wrong with the nation-state, excepting there are issues which go beyond nation-states—on region public goods or public bads, be it SARS or diseases, environment, trade flows, etc. So Asia needs to come together much more than it has. The integration process in Asia, encouraging as it has been, still is what I would call nascent. A major challenge for Asia is how we can come together not necessarily as a common market right away or a common currency right away, but certainly more integrated where there is greater flow of trade and investment, there’s greater flow of financial instruments, and more importantly—something that is terribly missing—greater flow of people. If we in Asia Pacific can honestly look at these six challenges—I’m sure there are more, which are more localized—but we believe that if we can look at these six challenges and consciously build them into our policymaking and into our growth processes, Asia will finally be able to claim its place in the polity of nation-states. Speech delivered during the “Entrepreneurship and Innovation in a Complex World” held at AIM on May 30, 2008.

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What Asian businesses can learn from top Fortune 500 companies D R .



N E E L A N K AV I L ,


1 9 7 2

Essentially, corporate management is the efficient use of resources that drive a modern company. The critical resources that need to be managed are human capital, financial capital, raw materials and components, technology, and information. Efficient utilization of these resources results in higher profits and better returns on invested capital. The area of corporate performance management is gaining importance in the management of companies as firms seek to be successful in a highly competitive global market. >>



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ECOGNIZING THE IMPORTANCE OF corporate performance in managing multinational companies, a study was undertaken to evaluate the performance of American companies. Data for this analysis were gleaned from the annual lists of the top 500 companies reported by Fortune from 1954 to 2005. Four performance variables were used in analyzing the data— return on equity (ROE, important from investors standpoint); total assets (accumulated assets provide the tangible evidence of a company’s wealth); net earnings (indicates how efficiently a firm is using its resources), total revenues (underscores the size of a firm). Each criterion was assigned a weight reflecting its contribution to a company’s long-term success. Based on the analysis of the Fortune 500 list of companies, we could identify ten specific markers that were found to have a bearing on a company’s success. The underlying theme among the most successful companies seems to be the time, attention, and commitment to managing the human capital that was essential to managing a successful company. Some of the key markers that were identified among the successful US based companies such as innovation, process improvement, leadership, etc., seem to be derived out of human capital. The analysis of the Fortune 500 companies from 1955 to 2005 identified the following ten key markers that were essential to consistently remaining at the top: 1) Initiators/adaptors—companies that altered the current business model or those that were quick to adapt to a new paradigm. For example, GE’s embrace of the Six Sigma protocol, a system that was first developed by Motorola. In addition, CEO Jack Welch stressed innovation in developing new products and services and encouraged operational and process improvements across the company. These initiatives led GE to be the number one or number two brand in most of the industries that it competed in. 2) Innovation—introduction of new products and services. Example, the introduction of the Ipod by Apple allowed it to distance itself from competitors. 3) Process improvement—improving internal efficiency. For example, Toyota’s introduction of lean and flexible manufacturing systems. 4) Leadership —providing direction and vision for a company. For example, Jack Welch’s leadership at GE and its performance during his tenure. By focusing on across the board quality through the implementation of the Six Sigma techniques in managing quality, GE set consistently high standards, allowing them to outperform S&P 500 and other performance benchmarks through CEO Jack Welch’s leadership and vision for the company. 5) Competitive advantage—through various strategic initiatives a firm that acquires competitive advantage is able to sustain growth. For example, Samsung has gained competitive advantage in the electronic industry through innovation and strong marketing efforts, displacing Sony, the historic leader in the industry.

6) Core competencies—the benefit of knowledge gained through specialization. For example, Merck and its R&D emphasis on product development has led to it being one of the most successful pharmaceutical companies. 7) Industry position—companies that are able to remain as the leaders in their industries have clear-cut advantage compared to others in sustaining profitability. For example, ExxonMobil has remained the number one company in the energy industry. 8) Type of industry—some industries such as automobile, petroleum, and pharmaceuticals seem to have an intrinsic advantage because of the oligopolistic nature of their businesses. 9) Mergers and acquisitions (M&A) —it appears that those companies that undertake successful mergers seem to grow at a faster rate and are able to perform at a higher level than those that do not. For example, the acquisition of Mobil by Exxon has made the merged company one of the most successful in the petroleum and energy sector. 10) Global presence—a common criterion found among the best companies in the Fortune 500 list over these 51 years seem to be their expansion into overseas markets, deriving more than half of their revenues and profits from these operations. The analysis indicates that companies such as IBM, GE, ExxonMobil, and P&G are the top performers in the last 51 years, as they seem to practice most of the ten markers that were identified here. GM and Eastman Kodak also emerge as the most successful For Asian companies, companies in the to be globally successful analysis. Unfortunately, they should leverage the human capital. Use product their positions are dictated more by their and service innovations past performances and by focusing on Asian consumer preferences and not reflective of their current strategies. needs and leveraging the For Asian cost benefits of the region. companies, to be globally successful they should leverage the human capital. Use product and service innovations by focusing on Asian consumer preferences and needs and leveraging the cost benefits of the region. Samsung, Toyota, and Jollibee have had success through their innovative approaches in dealing with the market forces. From a prescriptive point of view, companies that plan to attain growth and perform at a higher level could use these markers. By understanding their current level on each of the ten markers, companies performing at a lower level could introduce one of the missing markers and head towards success. Dr. James Paul Neelankavil was a visiting professor of the Asian Institute of Management under the Fulbright Senior Specialist program. He taught an elective in global marketing strategy and policy at the AIM W. SyCip Graduate School of Business. Prof. Neelankavil served as a faculty member at AIM after earning his MBM degree (With Distinction) from the Institute. He went on to take his PhD, major in international business, minor in marketing from Stern School of Business, New York University. He is now a professor of marketing and international business at Zarb School of Business, Hofstra University, New York, where he previously served as dean.

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Managers of the Learning Process P R O F.


EXCELLENCE IN TEACHING BEGINS WITH THE REALIZATION that it is not teaching but learning that is important. From time immemorial, the process of education has always been teachercentered. The focus has unrelentingly been on teachers’ qualifications; on the knowledge, skills, and values that teachers seek to impart to their students; on the curriculum that teachers cobble together and, thereafter, religiously follow; on the text books that teachers prescribe; on the lesson plans that teachers prepare; on the methods that teachers use to enliven their classes and to keep their students interested; on the discipline that teachers impose on their students. Teachers judge how well their students have done by giving them tests and exams in which the students must prove to the teachers’ satisfaction that they have learned what the teachers wanted them to learn. Academic administrators judge how good teachers are on the basis of how faithfully they have “covered their material.” Seldom is the question asked, “What and how much has the student learned?” Of course, we sometimes quip, “If the student has not learned, the teacher has not taught.” This is a step in the right direction but it is, at best, a half step. It does not go far enough. It still concentrates attention on the teacher. It is time we teachers accept the reality that although we may teach as eruditely as we know how and as skillfully as we can, we may even “speak with the tongues of angels,” but if our students do not learn, education has not taken place. Basically, fundamentally, at root, education is an activity that should be concerned not so much with teachers teaching but with students learning. It is time we put students where they rightfully belong: at the center of education. As teachers, we are, not so much sources of wisdom, dispensers of knowledge, and transmitters of culture but managers of the learning process. Our responsibility is student learning and not merely the teaching of subjects. We can best prepare our students for life by helping them develop the basic intellectual and interpersonal skills required to continue learning, to understand and absorb new information, to process these into usable knowledge, and to employ the insights they arrive at in making balanced decisions and carrying out effective action. We should dedicate ourselves more to helping our students to grow as competent, responsible human beings than to the pursuit of our own academic interests. Learning is best attained when students actively participate in the learning process

A .


and are principally responsible for its success. Excellence comes from rigorous and repeated exercise in thinking, feeling, deciding, and doing significant things. We should therefore demand from our students hard work and dedication to their studies and require that they stretch their talents and abilities, exert their bodies, minds, and wills to the utmost. As managers of the learning process, it is our task to choose the modes of learning, specify the teaching materials, guide the manner in which the students relate to and learn from us and from one another. Beyond these, however, we should listen to our students. Find out what their view of the world is and how this affects their learning. Determine what their learning needs are, what problems they encounter, what opportunities they seek to exploit. Discover how they best can learn and how they can retain and truly own what they have learned. Reacting to cues from our students, and learning from them, will enable us to continually renew our programs and our courses, update the material that we use, and upgrade the manner in which we conduct our classes. In our classrooms, our primary function is to create an environment that will encourage our students to think boldly, to talk freely, and to act judiciously. We must pique their curiosity. Quicken their memory. Provoke their imagination. Challenge their reason. Prick their pride. Build up their self-respect. Make available to them opportunities to exercise initiative in class and out. Give them room to grow, chances to make mistakes. Ultimately, the responsibility to shape their own development. Most important, we should meet with our fellow teachers, regularly and often, to review, critique, agonize over or celebrate the progress of each of our students; “plot” with one another how best we may motivate and inspire every individual “to be the best that he can be.” In short, we should manage all the elements of the learning process such as to ensure our students’ greatest possible growth as empowered thinkers and responsible doers. Finally, we must be single-minded, relentless, ruthless with ourselves in the pursuit of our ultimate objective: student-learning. We must never allow the meagerness of our resources to retard our constant striving for excellence in our craft as managers of the learning process nor to slacken our continuous seeking of excellence from our students. The greatest test of and the crown to our success should be the fact that by the time our students graduate, they no longer need us. I L LU S T R AT I O N : PA N C H A LC A R A Z


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Great Manila Expectations JOY




AS A YOUNG COLLEGE GRADUATE FROM THE UNIVERSITY OF the Philippines, my life was filled with grand visions. My father was a chemical engineer who eventually introduced product standardization (remember the radio jingle: “It’s easy to change from English to Metric, the secret is there if you know it. Just multiply inches by 2.54 and there you get centimeters...”) in the country and he likewise lectured in well-known institutions such as Ateneo, La Salle and even AIM. He fostered a deep desire in my heart to value an MBA education and thus, it was always an option. Quite unexpectedly, however, my father also passed away just as I was facing the incalculable brink of higher education. His death led my mom to eventually pursue a life abroad, thus leaving me perfectly free and independent to make my own decisions. It was at this point that I pondered whether it was actually a good idea to remain in Manila. During the early nineties, Manila was actually plagued with an insufferable traffic situation, i.e. you had to be ready with something to do in case you got stuck for two hours or more. The country just reeled in from the Marcos era. Suffice to say, the economy wasn’t that great either. My father was quite nationalistic and moving abroad was never an option in my younger years. At that point, however, it was easy to think otherwise. Being the daring ingénue that I was then, I chose to explore the world in whatever capacity that I could. More precisely, I contemplated studying abroad among other things. I took the GMAT in San Francisco, received a pile of school catalogues, and also looked at other unexplored possibili-

ties such as becoming a lawyer or becoming a housewife. Since this is not meant to be a confession of sorts, let me just say that on one fateful day, wrapped in the arms of my beloved San Francisco, it became clear to me that I had to return to Manila for a purpose I had yet to discover. Don’t ask me how these illuminations come about—you simply make a choice as you go along life’s rocky road. It also helps if you believe in God. My decisive return to Manila brought me to the Asian Institute of Management. It was not my first choice, actually. Given my limited resources, I planned on pursuing part-time MBA at La Salle. After talking to my mom, however, she suggested that I go ahead and pursue higher studies at AIM. In the eyes of many people at that time, the institution was quite prestigious. Since graduating from AIM, I have remained in Manila. During quiet moments, I look back and try to understand how things turned out the way they did. If there were some things that should have been, it seems that studying at AIM was one of them. It was a memorable part of my youth. The school also taught me general principles in Asian management that I could apply right where I was. There was an emphasis on Asian culture that I found unique and relevant. I also remember our graduation reminders, “When much is given, much is expected.” I have turned this phrase over my head many times and have always discovered my shortages. If at all, the school has ingrained the importance of social responsibility—that, by the way, is a buzzword and does not always translate into practice. It is a challenge each person needs to address within himself. Next year (2009) will be 15 years since graduation day when my classmates and I left AIM portals with one heart and many dreams. I remember that we used to call ourselves “the batch with a heart.” I just hope that heart still thrives and hasn’t been bogged down with too much cholesterol that aging and a comfortable life bring. I have since married and now enjoy three lovely toddlers. In midlife, I also discovered that I had found love again. It’s not your typical romantic rendezvous of sorts. It’s a kind of love that grows with friendship and togetherness. It happens when you’ve known each other from childhood and one day open your eyes to discover a different vantage point. It’s that perfect moment when you finally realize that you have found a home. With all its imperfections and political upheavals, In midlife, I also discovered I have grown to love that I had found love again. It’s not your typical romantic my Manila. Perhaps rendezvous of sorts...With all you should love her too. its imperfections and political Genuine devotion upheavals, I have grown to means that Manila love my Manila. Perhaps you deserves our time and should love her too. attention just like any jealous lover demands. It needs complete involvement that benefits the common good. If other people celebrate Earth day, we should also consider Manila day to launch and finish worthwhile community projects. It could be as simple as developing a good quality Marikina shoe label or finding alternative uses for coconut products. AIM students are the best advocates or experimenters for their host country, the Philippines, because truly, few people ever get the special privilege of higher education (just go out in the streets and you will know what I mean). And if by chance, we have had great expectations from the motherland and find ourselves quite disillusioned in the end, perhaps we have our own selves to blame for having failed to light that single matchstick. P H OTO : L LOY D J U M PAY/ F L I C K R


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BELIEVE EVERYTHING HAPPENS for a reason. Studying in AIM on scholarship is a blessing and I am truly grateful for this opportunity. My journey towards my MBA started in 2006, when I turned five years in my previous job. The things which used to make me happy, did not give me the same happiness anymore. I wanted more challenging things to do, more training, a little stress, and more things to look forward to. In one of my trips to Manila, I met with a college friend who had just fi nished her MBA degree in AIM. She shared with me a part of her experiences and not very long after, I started completing the application requirements. I almost gave up my MBA dream when my family lost our home in a typhoon that killed many people in my town. I am from the Albay Province in the Bicol Region-the second to the poorest among the 16 regions of the Philippines. My hometown is approximately 500 kilometers south of Manila, around 10 hours travel by bus. In November 2006, right after I decided to apply for MBA in AIM, a typhoon struck the Philippines, with most of the destruction felt in a town called Guinobatan. Guinobatan is one of the municipalities of the 3rd district of Albay Province and this is where I come from. Hundreds of people died because of the flood, two barangays were almost wiped out in the map, and hundreds of homes were destroyed because of the lava flow from Mayon Volcano. We had no electricity for more than one month, no internet connection, no television, and no telephone. It was like back to the basics. Not spared from that destructive force of nature, my family lost our home and the 600 square meter lot where our house was built. It was a total wipe out, nothing left. My family and all others had to start from scratch. The whole village was sand, rock, and pebble, five feet below the road level. It will take years to dump soil there & make it a residential area again. It was not even a safe place to live again because of the possibility of lava flow when Mt. Mayon erupts again. Despite that tragic event, God made everything possible to pave the way for my MBA in AIM. I had completed all requirements on time, passed the exam and interview, and I

INSIGHTS was awarded the ADB-JSP scholarship. There was only one slot for an MBA scholarship in the August 2007 intake and I got it. Miracles do happen. I know there are many MBA candidates with excellent credentials and are also in need of a scholarship, but God gave it to me so I accepted the blessing wholeheartedly. My parents were half hearted with my decision to resign in the government and I understood why. If I resigned before accomplishing 15 years in the service, I will not get the government share of the GSIS contribution. The GSIS employee contribution can be claimed only at age 60. Aside from that, life

My MBA Journey in AIM ROSIE AVIL A , MBA 2008

standards. I feel good when I do not miss any class and when I am not lost in class discussions. Recognition and appreciation drives me to do more and to improve more. When someone appreciates my efforts, I tend to contribute more in the succeeding projects. I feel good when others recognize that I do well. Thinking about my parents motivates me to endure my pains and difficulties. I am from a family of five siblings whose parents are both government employees and have no business to augment the family income. We grew up in a “not so easy” life. All five of us studied in public schools from grade school to college and we lived a simple life to make both ends meet. I saw how my parents sacrificed just to make all of us fi nish college. Our needs were taken cared of fi rst before theirs. My father stopped his vices (like smoking, drinking, and cock-fighting) to raise our family. My mother does household chores even if she is tired from work as an elementary teacher. All these give me reason to do my best in every opportunity that I am in. I know that this is one of the many ways to make my parents happy. My Small Dream

in the province is less costly, less complicated, and less stressful. But because I had an inner calling to do something more than what I was doing at that time, I decided to go for the MBA and my family fi nally supported me. My motivations

Many things motivate me. Internally, I have set a standard for myself in anything I do. I always tell myself to excel all the time, to be the best that I can be. I feel good about myself when I am prepared in all my classes and when my projects are in good quality based on my standards and my professors’

It is my dream to work with institutions like the ADB that is dedicated to poverty reduction in Asia. I want to be a part of an organization encouraging economic growth, social development, and good governance. By getting an MBA degree, I can have the eligibility to work in international organizations like the ADB and UN and be a partner in making a difference in the lives of many people. As for my plans after graduation, I want to do something for the Bicol Region. Our place has not fully recuperated yet. I plan to tap organizations like the PICPA, BCBP, and SIP, to do some livelihood projects to help those families who are not yet financially sufficient by that time. For the housing problem, I plan to tie up with the Habitat for Humanity and Gawad Kalinga, raise funds through friends and networks from other countries to build homes for the thousands of Albayanos who are still homeless. I really hope and pray that life will be kind to me after graduation. It is a human weakness not to share when you also do not have. Once things get stable for me by 2009, I hope to start with my small plans to help my fellow Albayanos. May God bless my dreams for myself and others.

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An Exchange

Semester at AIM

A Retrospective





FROM SEPTEMBER TO December 2007, I was attending my exchange semester at AIM. In the beginning, I had no clue what was waiting for me there. But let’s start with the school selection process. I chose the Philippines because I wanted to get in contact with Asian culture for the first time in my life. One of the reasons why I chose Asia was that I see the (economic) future in this part of the world; and I want(ed) to be part of this future. I decided to apply for the Philippines because the country is one of the more “westernized” Asian states, so I wouldn’t face a lot of cultural problems. I started doing some research on the country in order to be able to write a motivation letter for my application.

I read field reports from former Austrian exchange students and they definitely encouraged me to go there. What was funny was that all of them said that you never want to leave the Philippines after being there. At that point in time, I couldn’t believe them. I thought there is no country in the world that could make me feel like that. During my research I recognized that the Philippines faces a lot of problems, but still, I saw a lot of potential within the country. Moreover, I read field reports from former Austrian exchange students and they definitely encouraged me to go there. What was funny was that all of them said that you never want to leave the Philippines after being there. At that point in time, I couldn’t believe them. I thought there is no country in the world that could make me feel like that. My exchange experience

Well, it was definitely amazing, awesome, great...and a B AC KG R O U N D P H OTO : JAC K S O N P E / F L I C K R


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lot more (I hardly find the right words). I never thought of having such a good time. The people in the Philippines and at AIM are the best in the world. I never experienced such warmth. From the beginning I felt welcome. It didn’t even take me a day to have a feeling like being/arriving at home. Wherever you go, people smile at you, start talking, trying to help you...it’s incredible. I have never met people who are so polite. The people at school are great. All the students and the staff help you. I never felt alone when I was there. I loved staying at school, meeting all the people and chatting with them. The community feeling you get there is unique. You definitely feel like being part of it, and I loved being part of it. The parties at AIM are unique as well. Sometimes there are just smaller, spontaneous parties, or sometimes you can participate in one of the Indian’s birthday parties (which are always big fun). There are also festivals like Diwali, Christmas, Chinese New Year, and so on. Partying with all the people at AIM is like celebrating with your family. What I liked among the festivals was that students organized the activities. They really work hard on it, and each batch tries to contribute as much as possible (which is pretty hard, as the workload at AIM is a lot). Normally, I would never contribute to any performances on such parties. But my colleagues there made me do it. I participated in an Indian performance at Diwali, and I danced the ‘tinikling’ (a Filipino folk dance) on Christmas. The reason why I don’t do such stuff normally is that I feel stupid doing it; but at AIM it was different: people are supporting each other and encourage one another. The most important thing for me was that I did not only learn

something about the Philippine culture, but also about Indian, Chinese and other Asian cultures. AIM was the perfect platform to meet people from different countries.

The students I talked to before coming to the Philippines were right. You’ll fall in love with the people at AIM and the country; and I did...Now, back in Austria, I use every free single second to think back to the times when I was at AIM... physically I’m back in my home country, but mentally I’m still in the Philippines. The teaching system at AIM is far different from the one at my school. I liked this difference because at AIM you are more able to express your opinion. Activities apart from school

One thing which impressed me was that AIM students try to do additional work apart from school. I participated twice in doing some community work. It’s an amazing feeling, knowing that one is doing something good. It was the first time I taught some children about good behaviour and hygiene. Afterwards, we also helped paint some houses. Moreover, I collected some clothes from my other exchange student friends in order to donate them to the poor people. I know that what I did was only a very small help for the people there. But I really felt connected to the country and the people there, so that I wanted to give something back, even if it is only a small part.

are awesome. They welcome you wherever you go. I was impressed that even in small villages, people speak English. You can’t expect that in my home country. Moreover, I felt free while travelling. Without any real plans, I packed my backpack, took the plane to a particular place, and then my friends and I decided where to go from there. My travels brought me from Northern Luzon down to Mindanao. I tried to explore the country as much as possible with the time I had. Definitely, I enjoyed it! The country is a real paradise—unbelievable! What I really liked was that the places are really untouched. Except for a few places, you will find areas still undeveloped. Unfortunately, it is exactly this point that is so important for the Philippines. Tourism is so much an important industry for the country. The islands, with their diversities, are such jewels, and I’m pretty sure, as soon as there is sufficient infrastructure, people from other countries all over the world will love to go there. Development, politics, etc.

A coup, bomb explosions, typhoons, landslides, an earthquake; all of that happened during my stay, and still I was not frightened, and I didn’t want to leave the country. All those incidents changed nothing in my feelings for the country and the people there. I knew before going to the Philippines that the country faces a lot of problems, and some of them I experienced. Still, I see that there is a lot of potential within the country and its people. I am confident that they can handle it. Step by step, slowly,

the country will develop and improve. And I hope I can be a part of this development. What happened after my exchange?

It was really hard leaving all my friends and the country I fell in love with. The students I talked to before coming to the Philippines were right. You’ll fall in love with the people at AIM and the country; and I did. Now, back in Austria, I use every free single second to think back to the times when I was at AIM. I really have the feeling of still being there; physically I’m back in my home country, but mentally I’m still in the Philippines. My exchange showed me a new path for the future. Before I was not sure what I wanted to be; but now I have a clearer view of my future. What did I take with me aside from the amazing memories? Well, I try to keep the community spirit within me. Moreover, I’m less impatient than I was before. Another thing is that I take more things with humour and less seriousness. I really miss the more relaxed lifestyle, but I try from time to time to bring it in my busy student life over here.

My exchange showed me a new path for the future. Before I was not sure what I wanted to be; but now I have a clearer view of my future. I’m back now for months now, and still, I have the desire within me of going back. I want to see all my friends again. I also want to return and give the country back what it gave to me: a new view on my life!


During my stay, I travelled not only around the Philippines but also to some Asian cities as well. The people in the Philippines

Yvonne Larcher, from Vienna, Austria is with the Vienna University of Economics and Business Administration taking International Management, major in Public Management, International Marketing and Management, International Business and Development Economics. She was an AIM-ISEP student in 2007.


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Call for After Class Participation R O S E


O R B I G O ,


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CP. IT’S A CLASSIC AIM TERM MEANING CLASS PARTICIPATION. Because of CP’s hefty weight on the final grade, all AIM degree program students survive on CP. Think of a case discussion where a flurry of hands are raised to get much needed “airtime.” Zero CP means you’re in danger of being permanently booted out of the caseroom. Recite for the sake of opening your mouth, and you risk being shot down by your professor and peers. It’s a delicate balance. Come armed, or be disarmed. Today more than 7,000 degree graduates and 29,000 non-degree alumni are armed with an AIM education. Located in more than 70 countries, they have used what they learned from the case method and other pedagogies to run corporations, build enterprises, create jobs, nurture NGOs, craft policies, manage public agencies, and fight poverty, among others. For four decades, AIM alumni have been helping direct the upward trajectory of the Asian region amid the hurdles of globalization, increased competition, and tearing down of trade barriers.

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NBEKNOWNST TO MANY ALUMNI, HOWEVER, these same challenges have also affected AIM. In its incipient years, AIM was practically the only game in town. Established in cooperation with Harvard Business School, the Ford Foundation, and visionaries of the Philippine business and academic communities, AIM gained prestige as one of the best graduate schools of business and management in Asia. But beginning in the 1990s, Asia’s phenomenal growth and demand for professional managers not only provided fertile ground for the sprouting of new business schools; it likewise attracted the eye of leading Western institutions, which eventually opened their own campuses and centers, and offered degree and certificate programs in the region. Suddenly AIM was no longer competing against a few players. Whether it planned to stay ahead of the pack or even to stay in the game, AIM had to act—thus, the applications for international accreditation, the reengineering of programs, and the policy and governance changes, among others. The Institute had to transform, and with it came pain. As an Olympian athlete has to endure aches and trials to be the best in his sport, so AIM has had to undergo pain and sacrifice to be competitive in the increasingly tough industry of business schools. And the process of change is ongoing. A New Vision

“Our competition is not local; our competition is global and regional. Which means you’re competing with institutions with long-standing international brand names and a lot more resources. That’s their advantage. Their disadvantage is that they’re not operating in their backyards. We’re operating in our backyard; we know the market and the region much better.”

AIM scanned its environment—a continent of socially and culturally complex peoples; the most exciting and promising region in the world which, despite its prosperity, is still home to 600 million of the world’s poor; and a host of business schools that have opened their doors. Drawing up a new vision, AIM “needed to work on the basis of what our natural strengths and comparative advantages are,” said AIM president Francis Estrada. “These are our unique knowledge of Asia, our deep relationships all over Asia, meaning not a single one of these major business schools has the breadth and depth of relationships in the private and public sector that we have concretely. We have taught more public and private sector institutions all over this region than anybody else.” AIM’s vision therefore is to be the graduate school of management that best prepares anyone operating or intending to operate in Asia. “AIM will do it best by reason of its understanding of the content and relevance of the themes that it chooses,” he explained. “It is generally recognized throughout the region that our faculty are among the best facilitators in the region. 30

“On top of that, we must develop, and be acknowledged to have, unique domain expertise in areas that are most relevant to Asia,” continued Mr. Estrada. These subject areas include entrepreneurship, development management, Asian financial markets, Islamic management, corporate governance, and corporate social responsibility. “As we move forward, the strategy has to do with looking deep into the Asian soul, if you wish, and developing Asian insights on managerial, entrepreneurial, and development issues.” For this vision to be achieved, AIM needs to retool itself in several ways. “First, we must be much more demand-driven,” he enumerates. “It is not a question of ‘these are our capabilities, and these are the capabilities of our existing faculty, therefore what can we teach?’— which is, in my view, unfortunate and tended to be how we did things in the past. The issue is, what does the marketplace out there need? We design our programs in accordance to that need because the market does not owe us a living. We don’t have subsidies. We don’t have endowments of any substance. The only way we must live and die is on the strength of our market relevance. “Second, to be demand-driven, we must create real meritocracy as an organizational culture. We must reward performance and penalize non-performance across the board because this is what we teach. We must walk the talk. Third, we must also be more open...We must encourage and bring in new ideas, different people, different perspectives, not be inbred.” New Faculty

What will be the implications of the strategy in terms of faculty? “We’ll be bringing in a lot more, younger PhD faculty—not all, but what we have dropped the ball on, for example, is research,” admits Mr. Estrada. “I don’t favor purely esoteric or academic research. I believe it must be practitioneroriented, but we must research and do that well. We will begin hiring faculty that has strong research expertise and capability because, apart from being practitioners, we must begin to contribute to the body of management knowledge. We are at the stage where we can no longer be simple purveyors of other people’s ideas. But having said that, we seem to have a number of areas where we’re doing quite well. For example, we have a whole framework on Bridging Leadership. There’s been a lot of work on family corporations, microfinance, competitiveness, and corporate social responsibility.” To intensify research initiatives, AIM recently recruited two relatively young PhD graduates. “There’s a list of others that we are

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actively pursuing,” adds Mr. Estrada. “We have also brought in a Fulbright scholar, James Paul Neelankavil (as Visiting Professor)... Until we are able to build a broad-based, regional faculty, we’re taking a much more aggressive view to faculty exchange programs and to attracting faculty that are on sabbatical.” Another notable accomplishment has been the approval of a new Faculty Manual. A joint faculty-alumni committee recommended changes to the Manual; Management endorsed it, and the Board of Trustees approved it. The new Manual incorporates a performance-based management system that will enforce research responsibilities and that will define and seek to eliminate conflicts of interest. It has also eliminated tenure for new hires. “A tenure is a system that, in a certain area, freezes conditions,” observes Mr. Estrada. New Partners

that the scholars from these three areas will no longer be hostage to the refereed journals of the West,” notes Mr. Estrada. “Because the resources of these large Western management institutions are far larger, we cannot afford to compete in the traditional bannerheads, linear kind of mindset. You want to leverage on each other’s strengths as long as they’re the right partnerships— common vision, common standards, etc. If we’re able to succeed in our vision of an MBA where you spend one-third of the time in India, one-third in China, onethird in AIM or Southeast Asia, that then sustains in a way much more dramatic the argument that nobody can give you a better understanding of how to operate in Asia.”

“AIM may only be as strong as its alumni, not only in terms of their level of success but, moreover, in terms of their involvement and commitment to maintaining AIM’s position of leadership and to ensuring that new generations will have access to the same quality education and opportunities that they had.”

Inherent in the AIM strategy is a major partnership program. “Our competition is not local; our competition is global and regional,” clarifies Mr. Estrada. “Which means you’re competing with institutions with long-standing international brand names and a lot more resources. That’s their advantage. Their disadvantage is that they’re not operating in their backyards. We’re operating in our backyard; we know the market and the region much better.” AIM’s partnership strategy is best represented by a triangle whose three legs are ASEAN, China, and India. “The intention is to establish deep strategic partnerships for a functional merger with institutions that share common values, common standing, and common aspirations with us, and to do this first in the two biggest markets in the region, India and China. AIM would be the partnership representing Southeast Asia. Within the AIM ambit would be Indonesia, Malaysia, and Vietnam subpartnerships because these have been our traditional markets.” Last February, AIM signed an agreement with Xavier Labour Relations Institute (XLRI), one of the top eight business schools in India. It is in talks to secure a partner school in China. Phase 1 of the partnership strategy will be to (a) develop and market joint executive programs; (b) teach case method and research to AIM’s partners; (c) conduct joint research; and (d) exchange and leverage on common faculty and data pools. Phase 2 will include (a) developing degree programs that will be run in multiple campuses; (b) joint consultancy/advisory; and (c) joint publications focused on local or locally relevant content. “In other words, once we have these three (India, China, ASEAN), our dream is

Quality and Diversity

Better faculty, original research, the opportunity to study in other Asian countries—all these are bound to benefit future AIM students. How is AIM, as an international school, ensuring student quality and diversity? “We are making a major effort to maintain the highest possible standards, keeping in mind that a large part of Asia is not English-speaking, and therefore one should not confuse quality with language facility,” says Mr. Estrada. “We are beginning to see how to deal with this. Aside from that, we have recruited top students through the XLRI Admissions Test. On diversity, we are launching aggressive efforts in China and Vietnam as ways of recruitment. We’re identifying suitable candidates through our Best and Brightest scholarship. We’re also looking at scholarships for people from specific countries and seeking to partner with institutions that have commitments to capacity building.”

New Campus

The list of tasks is long and daunting. Which of these project areas needs the most resources and needs to be prioritized? “It’s different. For example, the re-engineering of the Institute in terms of meritocracy does not take a lot of resources,” cites Mr. Estrada. “That takes character and chutzpah. But at the end of the day, that is at the heart of everything, because it is useless to do anything else if, at the heart of the institution, its values are not right...The overall criterion now is what is good for the Institute and its students, not the individual stakeholder.” For the so-called software aspect, faculty development and recruitment, research, alumni engagement, and new program design and execution need both resources and prioritization. For the hardware side, AIM needs to develop a new, state-of-the-art campus. “We are “A Call...” continued on page 36

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Leaders of Alumni Philantrophy The AIM Alumni Leadership Magazine traces the history of significant donations* made to AIM through the AIM Scientific Research Foundation, and lists the top individual alumni donors, as well as the top batch and chapter donations through the years.

Individual Donors

Hyun Oh Cho, MBM 1985 2007 Donor, Scholarship

USD 24,000 Twenty-two years after graduating from AIM, Hyun Oh Cho gave the Alumni Relations Office a pleasant surprise through an email sent by former Chairman of the AIM Alumni Association in Korea, Sugar Han, expressing interest to donate to a scholarship fund. This was in appreciation for his tuition scholarship as an MBM 1983 student. “In my personal philosophy, I always considered the Ford Motor scholarship I received as a personal debt which I needed to repay when I would have the ability and means,” says Cho. He requests that his donation should go to a “poor but deserving student at AIM.”


Edgardo L. Limon Limon MBM 1974 Triple A Awardee 2006 2008 Donor, Scholarship

Php 1,000,000 AIM_v2_comp13.indd 49


Francis G. Estrada MBM 1973 Triple A Awardee 1989 1983 Donor, 25th Anniversary

Php 262,500 A generous donor to the Alumni Fund of AIM’s 25th Anniversary, Francis Estrada would later on become the fi rst alumnus to lead the Institute as its president.

“I was fortunate to have studied and worked in this fabled institution, for Rogelio C. Damasco, TMP 1988 this is where I learned the ropes of 1993 Donor, 25th Anniversary management and entrepreneurship,” said Edgardo Limon during the Deed of Donation Ceremony held in September 2005 at the AIM Lopez Gallery for his A IM A LUM N I L E ADE R SH I P M AGAZ I N E Apri l to J u n e 20 0 6 49 donation of P1,000,000 to the Alumni Leadership Fund for Scholarships. Limon made his pledge to support a scholar 5/26/06 10:29:01 PM during the 2nd AIM Alumni Leaders Summit in 2005 which was held as a response to the AIM Board of Trustees’ historic decision for alumni to represent five of the fifteen seats of the highest policymaking body of the Institute.

Solutions, Service, Servant Leadership Php 210,000

Rogelio Damasco goes on record as the first non-degree alumnus to have donated a significant amount to the AIM Alumni Fund during the Institute’s 25th Anniversary in 1993. *Significant donations refer to amounts of Php 100,000 and above.

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Perpetuo M. de Claro, MBM 1973 Triple A Awardee 2006 2007 Donor, Scholarship

Robert V. Chandran, MBM 1974 (+) Triple A Awardee 1992

Php 1,000,000

Robert “Bob” Chandran was a member of AIM’s Board of Governors before his untimely demise in a helicopter crash last January 2008. In 2005, he allotted US$ 500,000 to AIM to start the annual Robert V. Chandran Venture Capital Award for the best start-up venture by a graduating AIM MBA student.

A minute and 50 seconds into delivering his two-minute acceptance speech during the 2006 Triple A Awards ceremony, Perpetuo de Claro surprised the distinguished audience by announcing that he will be pledging P 1,000,000 to the Alumni Fund for Scholarships. “It was a knee-jerk reaction,” recalls de Claro when interviewed by AIMLeader for the June 2006 issue. “I was moved by the events that evening. As AIM alumni, we need to have a heart for this institution. I believe AIM has a lot to contribute to the country. It was my little way of helping the institution, of giving back.” De Claro is now active with the Alumni Association of AIM, Philippine Chapter in its fund raising efforts for AIM.

Ricardo S. Pascua MBM 1971 Triple A Awardee 1993 1998 Donor, 30th Anniversary

Php 375,000

Triple A Club

2006 Scholarship Donor for Ariel de la Cruz, MBA 2008

Ric Pascua has displayed his generosity to AIM, not only through his donation to the Alumni Fund during the 30th Anniversary of AIM, but also by sharing his management expertise as a former chairman of the Alumni Association of AIM, Philippine Chapter. Under his leadership, the fi rst Asian Business Conference was successfully staged during the Homecoming Week in March 2007. This Triple A awardee is also a member of the AIM-SRF Board of Trustees and serves in its Audit and Finance Committees. Mr. Pascua has also volunteered to join other programs of AIM for alumni such as the Host Family Program launched by the Alumni Relations Offi ce in 2007.

Yoo Hwan Kim MM 1979 Triple A Awardee 2004 2004 Donor, Faculty Development

Php 101,969 When former AIM President Roberto de Ocampo visited Korea in 2004, Triple A winner Yoo Hwan Kim gifted him with a donation to the Alumni Fund for Faculty Development, then more popularly known as the “Paw Fund.”

With the Secretary of the Department of Education, Jesli Lapus (MBM 1973) as chairman, the Triple A Club pledged to provide one full scholarship to a deserving student during the May 18, 2006 Triple A Testimonials at the Manila Polo Club. At the same time, a bright young lad from Pampanga, Ariel de la Cruz, had been praying for a sponsor to enable him to attain his dream of an MBA at AIM. The fates intervened and in 2008, Ariel graduated with an MBA with generous sponsorship plus personal mentorship from his Triple A ‘godfathers,’ Lapus, Roberto Garcia, Robert Kuan and Art Macapagal.

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Php 350,000

Class Donors

To support AIM’s construction of the ACCM, MBM‘74 subsidized Room 909 with a donation of Php 350,000.

MM 1975

Php 107,000 MBM 1970

Php 1,406,035

The class of MBM 1970 donated an endowment of Php 1,406,035.00 in 1990-1991, for the MBM Class 1970, I.B. Gimenez Securities Inc. and Luis B. Padilla Chair in Entrepreneurship.

MBM 1971

Php 1,000,000

In 1992, during AIM’s 25th anniversary, a fundraising campaign was launched to build the ACCEED (now AIM Conference Center Manila or ACCM). MBM 1971 subsidized ACCM Room 901 in the amount of Php 500,000. Class president Arturo Macapagal, was supported by his batch mates: Alfred Burgos, Antonio Samson, Conrad Benitez, Elenita Panganiban, Enrique Filamor, Francisco Lichauco, Hermina Aquino, Leonardo Gallardo, Marirose Garcia, Ramon Javellana and Renato Valencia. In 2006, during their 35th anniversary as alumni, the class donated Php 500,000 to the Washington SyCip Graduate School of Business. The amount represented the proceeds from a book published by the class, “Driven: How to Make it in Business.”

MM’75 class members Benjamin Salvosa, Juanito A. Magno, Nestor Garcia, Nicasio Garcia and Ramon Farolan donated Php 107,000 for ACCM Room 904.

Php 100,000

MBM 1977

MBM 1979

The class of MBM’77 donated Php 400,000 for ACCM Room 910.

In 2004, MBM’79, celebrating their Silver Anniversary as alumni donated Php 100,000 to the Alumni Fund for Faculty Development through Mr. Ed Bañaga, MBM’79, then Chairman of the Alumni Association of AIM, and Emil Reyes.

Php 400,000

MBM 1983

Php 300,000 As the Lead Host Batch for the Annual Alumni Homecoming in 2003, MBM 1983 donated Php 300,000 to the Alumni Fund for Faculty Development.

MBM 1972

Php 2,500,000+

Members of class MBM’72 had been able to raise a scholarship fund, which now amounts to over 2.0 million as of June 2007. In addition, MBM’72 had contributed Php 500,000 to the ACCEED representing the construction of one room. Two scholars, Patrick De Villa and Joao Miguel Manikan have been recipients of the MBM’72 scholarship funds.

MBM 1973

Php 3,550,000

MBM 1973 started its financial support for the Institute in 1993 when they celebrated their 20th Anniversary and donated the proceeds of the Alumni Homecoming amounting to around Php 500,000 for the President’s Conference Room. On their 25th Anniversary, they donated Php 150,000 to AIM for ACCM Room 903. In 2003, on the occasion of their 30th Anniversary, MBM‘73 donated P1 million to the AIM Alumni Fund for Faculty Development. Various MBM‘73 individuals have also donated to the Institute through the AIM SRF Alumni fund amounting to Php 1,900,000.

MBM 1988

Php 100,000

The most recent batch donor to the AIM Alumni Fund was the class of MBM 1988 who donated Php 100,000 to the Alumni Fund for Research and Development. As the Lead Host Class for this year’s Homecoming, the class surprised AIM President Francis Estrada with a check during an exclusive thank you dinner last July 11, 2008.

Php 23,456 Before their graduation in May 2008, the MBA class of 2008 donated Php 23,456 to the Alumni Fund for Scholarships. Their gracious donation represents the first time that a graduating class gave a gift to AIM before leaving the Institute. MBA 2008


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AIM Alumni Association-Hongkong

Group & Alumni Association Donors

Php 44,190 In celebration of AIM’s 30th Anniversary, the Alumni Association of Hong Kong, through the Federation of AIM Alumni (FAIM) donated Php 44,190.00 to AIM’s 30th Anniversary Fund.

Alumni Association of AIM-Philippine Chapter

Php 2,270,000 As the representative of the largest AIM alumni population, the Philippine chapter of AIM’s alumni association supported the ACCM construction with a donation of Php 500,000 each for rooms 913 and 1201. In 2003, with Felipe Diego, MBM‘73 as Chairman, AAAIM donated Php 100,000 during the launch of the Alumni Fund for Faculty Development, or the “Paw Fund.” As Chairman of the AAAIM in 2005, Alex Tanwangco, MBM’73 made a donation of Php 450,000.00 to the Alumni Fund for Research and Development for the development of the AIM alumni database. The AAAIM also sponsored the renovation of the SA store the same year. In 2006, AAAIM donated the equivalent of Php 720,000 worth of Panasonic equipment to the Institute. AAAIM continues to support the fund raising activities of the school, with its current Chairman Gabby Paredes, MBM’72 committed to launching and institutionalizing an AIM Annual Alumni Fund.

Kelab AIM Malaysia

Php 163,903

To support the ACCM project, the AIM Alumni Association in Malaysia, known as Kelab AIM Malaysia supported Room 610 with a donation of Php 163,903.

AAAIM Cebu Chapter

AIM Alumni Association of India

Php 100,000

Php 3,463,760

Under the leadership of Nonoy G. Espeleta, MBM 1991, COO of Julie’s Franchise Corporation, the AAAIM Cebu Chapter gave a donation of Php 100,000.00 to the Alumni Fund for Scholarships, with the intention of building the fund until it is able to support an MBA scholar.

In 2001-2002, the AIM Alumni Association of India, headed by Mohan Phadke made a donation of Php 3,463,760 representing an original endowment for an AIM Alumni Association India Professorial Chair.

International Leadership Conference

Php 136,000

In 2004, the fi rst International Leadership Conference was staged during AIM’s Anniversary Week. The fi rst alumni videoconference was staged at the SGV Conference Hall with Mr. Lynn Sy, MBM 1984, Mr. Greg Atienza, MBM 1983 and Ms. Dulce S. Casaclang, MBM 1973, jointly taking the lead. A donation of Php 136,000.00 was made to the Alumni Fund for Learning Space from the proceeds of the event.

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“A Call...” continued from page 31

discussing an exciting new relocation, a formula for building a stateof-the-art campus, in keeping with our market positioning,” reveals Mr. Estrada. “We are exploring several combinations: a city-based campus, a suburban-based campus, or a split campus—a suburban and a city presence. We’re exploring these with our principal social investor, the Ayala Corporation, and we will do so as well with the Lopez Foundation.” What If...

“Integrity is not tradable. Excellence is not compromisable. A constant commitment to improve and studentcenteredness cannot be compromised.”

Should AIM be unable to change, the result will be untenable. “If we do not move forward, we really face mediocrity,” states Mr. Estrada, “like, unfortunately, many strong and positive institutions in the Philippines that had once upon a time been strong... Look at the flip side, the positive side. We have an enormous opportunity here in this institution, whose DNA and whose sponsorship was Filipino, and had established a level of excellence despite the unfavorable economic performance for many years of the country. Here is an opportunity to re-establish its preeminence in the region in a manner that is consistent or responsive to regional and global developments. “As in human life, change is associated with growing pains. [The issue with the AIM Faculty Association] is unfortunately the price of progress. I do not see this as a negative. I see this as a healthy sign that we are in effect moving forward. We are changing from a kind of locked-in, hardened artery. And whenever you do that, there is a natural resistance to change...It will not impede the development of the institution. The train is leaving regardless. Either you participate, or you don’t. And if you opt not to, you will be left behind...We are moving forward. “The real world tells us that everything is changing all the time. Comfort levels are not sustainable. The moment you suddenly arrive at a point where you think you’ve reached an equilibrium, that is one of your most dangerous enemies, if you begin thinking you’re there, because the nature of the beast is you’re never there. The static state is one of our biggest enemies...You must constantly reinvent yourself because changes are happening all the time. It is important that this value be incorporated and internalized now. It is painful, unfortunately, because these changes have been long in coming. But it is necessary. I see it as very positive. You cannot make an omelet without breaking eggs. Steel is tempered in fire. All of these sayings have a basic message: Anything of great value has a very high price. Nobody will give us anything on a silver platter. “AIM must stand on principle. In a world where everything is traded off, this is one of its fundamental values,” declares Mr. Estrada. “Integrity is not tradable. Excellence is not compromisable. A constant commitment to improve and student-centeredness cannot be compromised.” 36

Peering into the governance structure of institutions like AIM, how they have survived all these years is quite a curious feat. AIM has no owners; it has no shareholders that will keep it going. It has a low endowment fund compared to other business schools, and it is dependent on revenues. Its engine is the collective effort of various individuals: individuals who have made social investments at AIM, who have elected to work here, who have served on its boards, and who have committed themselves to this institution. Taking away that support means chipping away the foundation of AIM. Out of all the stakeholders that hold AIM together, probably no constituency is as important as its alumni. AIM may only be as strong as its alumni, not only in terms of their level of success but, moreover, in terms of their involvement and commitment to maintaining AIM’s position of leadership and to ensuring that new generations will have access to the same quality education and opportunities that they had.

After-Class Participation

Alumni can contribute to the AIM vision in different ways. “It’s not one size fits all,” says Mr. Estrada. “It depends where you are.” Alumni engagement can be fulfilled by 1. Being active in alumni and class events 2. Participating as case writers, written analysis of case (WAC) readers, and, when appropriate, as adjunct faculty 3. Financial contributions for research, faculty development, scholarships, and facilities 4. Hosting and mentoring overseas students in the foster family program, and 5. Being active in lifelong learning programs.


eeding the Call Throughout the years, numerous alumni have answered the call for increased after-class participation. Mr. Gabby Paredes, chairman of the Alumni Association of AIM—Philippine chapter (AAAIM), is happy to be in a position to serve voluntarily. He had been initially invited by his cousin, Arps de Vera, AAAIM immediate past chairman, to join the latter’s ticket. He was hesitant at first: “I said, ‘Arps, I’m very busy. I have a growing business.’ He replied, ‘This will be easy. Just attend morning meetings once a month. I need you there for support.’ And then in the first meeting, he nominated me for vice chairman, which means incoming chairman the following year. So immediately I was given a harness. But in retrospect, I’m so glad that he invited me because being able to give back to the school gives me a very good feeling. I’ve been out since ‘72. The education has done wonders for my

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career. It’s really only right that I use whatever faculties I have to try to help...I now feel special to be given the opportunity to lead a very good team of committed directors. It comes at a time when the school needs help. The challenge is more, the commitment is deeper because the consequences could be greater.” An upcoming activity of the AAAIM is the second annual Family Day to be held in October. “The idea is to get the alumni back to the school so that there is a rekindling [of connection],” explains Mr. Paredes, “and to let them know that the AIM family is alive outside the school.” Another very important project of AAAIM is alumni giving for the school. “The objective here is to get the graduates to pay back, to support the school,” says Mr. Paredes. “All successful institutions of learning in America have significant support from alumni. In Asia, the governments of other countries, notably Korea, Singapore, Thailand, Taiwan, are really pouring out support for learning. Here (in the Philippines) there is none. So if we are to remain competitive, we have to have money. Very simple. We have to build an endowment fund to enable the school to forge into areas that will reestablish our preeminence in the region.” Most of AIM’s existing endowment funds were given by donors and allotted for specifically designated purposes, e.g., research, scholarships, and faculty chairs. Therefore, majority of these gifts spin the current of present activities, but the unrestricted portion leaves a limited field for innovation and other projects. AIM needs new resources that will build existing endowments and will allow for greater flexibility. The alumni giving project is in its initial phase and will be in perpetuity. “This is not going to happen overnight; this is a slow burn,” confesses Mr. Paredes. “But better a slow burn that will burn forever than a flash fire that will run out of steam after six months or two years. I want to demystify the giving process so that people will not be afraid to receive a letter—because you don’t have to give big. You can give a hundred pesos; you can give Php100,000. It doesn’t matter. But we have to get alumni accustomed to giving because who else will support the school but its graduates? “What we will accomplish, we don’t know [yet]. It will be apparent after my term,” continues Mr. Paredes. “Actual accomplishments are a result of many factors...The effort is more important because the effort now can produce very tangible results two years from now for as long as you earnestly get into that mode of giving your best. At some point in the future, it will translate to accomplishments. I’m not too

particular that the results come out during my term. The important thing is you give to your school and, at some time in the future, the effort will benefit the school.” Hyun Oh Cho (MBM ‘85) is one of the generous alumni who expressed support by giving a full scholarship. “I gave the sum as repayment for the full-tuition scholarship that I myself received from the school. I was giving back the same amount of money given today’s price level.” He hopes that the recipient of the scholarship “will succeed in life and give the money back to the school. I mean just passing on... All definitely would like to see AIM become better and better in the world arena.” Alumni have much at stake in the reengineering of the Institute because the value of their AIM education rides on the same parallel as AIM’s reputation: my AIM diploma is basically as good as the institution that gave it to me. A thriving AIM makes its alumni more attractive in terms of reputation and career prospects. But besides increasing AIM’s competitiveness and the trust in an AIM education, support for AIM pools into the font that serves the AIM mission—its commitment towards “making a difference in sustaining the growth of Asian societies by developing professional, entrepreneurial, and socially responsible leaders and managers.” Dr. Stephen Fuller, the first AIM president, considered the dedication ceremonies of the AIM buildings in 1969 “a milestone in the economic development of Asia.” He declared: “...it is our hope that through these halls will pass young men and women of superior intellectual and moral capacity who, fortified by their training here, will exercise strongly beneficial influences in Asian institutions of the future. It is the professional commitment of the Institute that our students shall be equipped with knowledge of the best available managerial tools and that they shall be inspired to creative ways of using these tools. It is the social commitment of the Institute.” Sharing time, effort, and resources that will enable AIM to become better and better at training these young men and women is, therefore, the continuation and edification of a proud, 40-year-old legacy. AIM was a promise in 1968 that has become a positive force for 36,000 individuals and counting. Each alumni class, each individual can make a difference in AIM and, through AIM, make a difference in Asia. Let this difference be the legacy of a CP that transcends airtime, bounces through caseroom walls, and redounds to the benefit of growing Asian societies. To participate in alumni activities and contribute to AIM, please email aimalumni@aim.edu.

“...if we are to remain competitive, we have to have money. Very simple. We have to build an endowment fund to enable the school to forge into areas that will reestablish our preeminence in the region.”

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Words of


MARCH 7, 2008. THE ASIAN INSTITUTE OF MANAGEMENT’S 40th Anniversary Celebration at the SyCip Park beside the campus. Fingers of twilight were barely touching the treetops when the last part of the program came: 40 alumni lined the aisle to recognize a very special person. “Without his light and leadership, there would not have been an Asian Institute of Management,” read Greg Atienza, executive managing director of the Alumni Relations Office. “Without his wisdom, grace, and generosity, we would not have been here to celebrate 40 years of excellence.” AIM chairman emeritus Washington SyCip, seated on the front row, was glancing left and right, perhaps wondering who the honoree would be. When his name was announced, he clasped both hands to his mouth, visibly surprised. Several guests congratulated him before he walked down the aisle between the two rows of AIM graduates. At the end of the aisle, the alumni’s gift awaited him. Mr. SyCip’s eyes glistened as he tried to feel what lay beneath the canopy. As the cloth was lifted, the sculpture of a golden tree on volcanic rock emerged. Its caption said: “WiSdom.” One might wonder: How could Mr. SyCip not have guessed that he was the special honoree, when the script obviously referred to him? But then anyone who has been even remotely acquainted with him would know: Mr. SyCip would not think himself deserving of accolades. His modesty is perhaps matched only by his generosity, the same generosity that helped establish AIM. Mr. SyCip is the founder of the SGV Group, a group of operations and management consultants with operations throughout East Asia. He is likewise the founding chairman of AIM and has been the Institute’s biggest individual donor. But infinitely more valuable than his donations to AIM has been the contribution of his time—from dispensing advice to inviting prominent business leaders to the board, to engaging alumni and students. Mr. SyCip’s involvement in non-profits took root in the establishment of the SGV Foundation. “I had to take the initiative as head of the firm,” he recalls. “When you’re starting a firm, you hardly have extra funds. But later on, as business profited, I immediately thought that SGV should have a foundation to help others.” From 1950 onwards, he worked closely with Ambassador Ramon del Rosario Sr. 38






in setting up the Management Association of the Philippines and played a major role in the establishment of AIM and the Philippine Business for Social Progress, a foundation promoting business sector commitment to social development. Mr. SyCip has supported countless organizations and institutions, among them the University of the Philippines (UP) and Columbia University, where he took his master’s degree in Commerce. He has held advisory positions at both corporations and not-forprofit organizations. He is the chairman of the Asia Pacific Advisory Committee of the New York Stock Exchange, and he sits on the international advisory boards of the Council on Foreign Relations, AIG, Chase Manhattan Bank, and Darby Asia Investors. He was also the president of the International Federation of Accountants from 1982 to 1985. In 1991, the Philippine Government conferred on him the Philippine Legion of Honor. The following year, he received the Ramon Magsaysay Award, Asia’s equivalent of the Nobel Prize, for his promotion of international understanding. Continuing this service, he recently co-founded the Asian Business Council, a group of “Without his light 70 prominent businessmen and and leadership, there women from all over Asia, with would not have been four to five representatives per an Asian Institute of Management...Without country. One goal of the Council is to take a stand on certain his wisdom, grace, issues and to make Asia’s voice and generosity, we would not have been heard, especially in the media. here to celebrate 40 These days, Mr. SyCip tries to years of excellence.” confine his non-profit activity to three areas. First is education. “I’m confining most of my funding now to basic education,” he reveals, citing his support for the Philippine Business for Education and Synergeia Foundation, where he sits as trustee. “If a mayor wants change in his school, in his hometown, then Synergeia will help out. Newspapers have had headlines about the fact that enrollments are down. I’ve spent time in Mindanao with Synergeia. Sometimes you feel so dreadful when you see young kids who are not going to school. After the first or second grade, they drop out. Since they have become illiterate, their whole lives are in trouble. They’re a burden to society, to the nation for most of their lives. The national average is that out of ten students who

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started grade one, less than eight finish grade six. And if they finish grade six, many drop out in first or second year high school.” Public school education is of paramount concern to Mr. SyCip, who has always been proud to say that he attended public school. “My father was a banker...But he did not let us go to school in his car. He insisted, and I thought wisely, at the time, that we go to public schools, whose standards at the time were very high,” he notes. “But I could not do the same for my children because now the standards are so low compared to the better schools.” As a pupil, he had been dedicated. “I spent too much time studying. I didn’t have as much time to have fun and relax,” he says in hindsight. “The teachers then were almost all quite good...At that time, if you graduated valedictorian, [then] you could get scholarships from the universities. When I finished high school, I did get free tuition from UP. But then I moved to [the University of] Santo Tomas (UST) because in UP, business school at that time was not that good.” At UST, Mr. SyCip did not only graduate summa cum laude, he also met the professor who influenced him the most—UST dean Stanley Prescott. Mr. SyCip’s second preferred non-profit area is microfinance through the Pinoy Micro Enterprise (ME), a national program harnessing funding for rural enterprises and poverty reduction which is spearheaded by former President Cory Aquino. He remembers how his interest in microfinance was piqued: “The Indian ambassador (Navrekha Sharma) came to see me. We all know about 5-6, where you lend P500 on Monday and then collect P600. Interest-wise, you claim 1,000%. A poor person can never get out of poverty if you have to pay such high interest. Ambassador Sharma asked me, do you know how many 5-6 people there are here? I thought, maybe a thousand, 2,000. She thought there were only 15,000. Then she realized that there were 20,000-25,000 Indians on motorcycles, giving you P500 on Monday. If you don’t pay P600 on Saturday, they rough you up. So I realize why we have to greatly increase microfinance so that the bottom group will have a chance to get out of poverty. That’s why I spend quite a lot of time on microfinance.” The third non-profit area is rural health. “Many rural health units or rural hospitals are closing up,” he observes. “The nurses and 40

doctors are migrating abroad. If a person’s health is not attended to, then it affects everything. If a child is not feeling well, then he doesn’t go to school. If parents have to pay so much to go to a provincial hospital, then they head home because they can’t afford it. I was asked to be on the board of the Zuellig Foundation. They’re developing these rural health workers. That is something I’m just starting to get into...I haven’t contributed funds yet.” As a philanthropist, Mr. SyCip acquired his attitude of giving from David Rockefeller, whom he knew “very well for many, many years.” “From my viewpoint, helping out is something that I should do. I’ve always said, if you’re better off than the others, you should have the normal instinct to help,” he notes. “There are so many of our people here [at SGV] who are from poor families. They appreciate that some of them are sent abroad for education. I don’t look for people to thank me.”

“If you are doing better, your conscience will bother you if don’t help out other people. It’s really part of your duty to help out, especially in a poor developing nation.” This perspective is linked to his guiding principle as a leader: “If you are doing better, your conscience will bother you if don’t help out other people. It’s really part of your duty to help out, especially in a poor developing nation.” In the course of his work and travels, Mr. SyCip has met numerous world leaders. Who impressed him the most? “Probably, in terms of helping out his people, Lee Kwan Yew of Singapore,” he reveals. “In the Philippine setting, probably Cory Aquino. She was a very honest President. Her integrity is unquestioned.” But as a businessman, Mr. SyCip’s most influential mentor was his father. “He was very dedicated to Philippine welfare,” he says. “He was very hardworking. He was known for integrity; no favoritism. In that sense he did not want any of his children to work in the bank, and I did not want any of my children to work at SGV to be sure that we would have meritocracy.” Entering Mr. SyCip’s office on the topmost floor of SGV’s office building, one is welcomed by his famous owl collection—owls in various forms, sizes, and materials, sitting in military rows on the shelves and on his desk, signify-

ing wisdom. On the left of Mr. SyCip’s desk is a painting of an old man who is stooping down to talk to a turtle. “It’s a cheap painting I bought in Shanghai,” he recalls. “The old man sought the turtle for wise advice. The turtle told him, ‘Take it easy.’” Ever since he bought the artwork, friends and peers have been giving him bric-a-brac of turtles, which also symbolize long life. The turtles adorn his office in peaceful coexistence, one might say, with the owls. In his own way, Mr. SyCip has been “taking it easy” these past several years. As AIM chairman emeritus, he has passed on the reins. “My idea is, normally, if an institution has ongoing help already, then I should let that organization go on its own, and I should try to help others.” Nevertheless, Mr. SyCip is still involved in AIM affairs and attends meetings whenever he is in Manila. What drives him to remain active in institutions like AIM? “In many cases, they feel that I may have a broader viewpoint on things through my exposure to so many different countries, different ideas. I read a lot. So I guess they sometimes feel that I have ideas that can still help.” He feels ambivalent, however, about the naming of AIM’s Graduate School of Business in his honor. “Memories of people are very short. I visited the Ninoy Aquino Memorial in Tarlac. Cory told me that a lot of kids now don’t know Ninoy Aquino. Then fi nally, they say, ‘Ah, that’s the father of Kris Aquino!’ Memories of people are short, so don’t expect that just because you’ve done something, to help something, you will be long remembered. No. That’s why, even in the firm, I deliberately emphasized SGV without the name. It’s like IBM—many people don’t know what IBM stands for now...I assumed people’s memories everywhere would be short.” With this personal assumption, when he was told by this writer, “A lot of people idolize you,” his immediate reply was “No.” Pressed to share who his personal idols are, Mr. SyCip said: “There are many people that are very successful who also helped me. I was a member of the Jaycees—Junior Chamber International. There, my good friends were Ramon del Rosario [and] Jobo Fernandez, who started Far East Bank and then was forced to take the job as Central Bank Governor during the last few years of

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Marcos, when the Philippines was in fi nancial trouble. I greatly admire Cesar Virata, who, although he was Finance Minister and Prime Minister under Marcos, did not take advantage of his position in government.” Although his peers are local and international luminaries, Mr. SyCip makes it “a point to meet younger people and get their ideas. In my case, I see my two very bright granddaughters—they’re both young lawyers—to get their ideas. They’re working for their father, who has a law firm. Even my grandson, who has a knack for cars, is self-sufficient, not dependent on his father. He has his own repair shop. I get ideas from him, you see, [on] what young people are thinking about.” Mr. SyCip cannot determine yet who among his children has inherited his spirit of giving “because they’re still trying to accumulate funds.” “And I’ve told them that they should not expect from me. I’ve given them the best education that they want,” he adds. “But between having a Toyota or a Mercedes, they better earn the difference. It will not come from me. I see too many families that are spoiled. I mean, the parents give the children so many luxury items, and then the children become lazy. They don’t want to work at all. In the end, it could lead to trouble. “I’ve seen many, many rich families here. I was saddened,” he shares. “After the education process, it’s better for you [as a parent]

to give the money to others who need it more because your children have had better education than many others from poor families. Better give your funds to others who need it more than your own family. Your family will just fight among each other for the money. We saw recently what happened to (philanthropist) Chito Madrigal’s inheritance. I knew Chito very well...In so many families I know, the children are given too much money, for

All the other [Asian] countries spend more on education... Thailand spends about six times per capita what the Philippines spends. In any country, if you don’t develop your human resources, sooner or later, the country will go down. example. They start fighting each other. I don’t know how many families have come to settle the problems of the children by giving more money to help the poor. [If that were the case,] the Philippines would be better off than now...The people there in the upper-income group are quite selfish. I ask them sometimes to contribute to this and that. It’s very, very hard to get them to respond.” Mr. SyCip, therefore, is against bequeathing inheritance. “If you give them good education but they cannot earn a good living, then it’s their fault.” But if a parent gives a

child a Toyota instead of a Mercedes, would Mr. SyCip approve? “Don’t give him a Toyota. Give him a bicycle!” he says emphatically. Aware of the prosperous status of most AIM alumni, Mr. SyCip remarks: “In a nonprofit school like AIM, what the school spends on the students is more than the tuition that they pay. So to enable AIM to continue that way, whether the alumni do well [or not], they should try to pay back.” He cites UP as an example. “I went to UP for only one semester because at the time, the UP business school was part of an overall liberal arts program without a specific identity,” he narrates. “However, I found out that 10 of my close family went to UP and, from my viewpoint, did not pay the proper tuition in the sense that the tuition at UP is very low. It’s tax money. I have these two very bright granddaughters. One graduated from liberal arts, magna cum laude. They both wanted to study law; they’re identical twins, but they didn’t want to be classmates. For law school, one went to Ateneo; the other to UP. I found out that the tuition of Ateneo is about four times [that of] UP. So I told my son-in-law, why should tax money subsidize your daughter at UP when you can afford the Ateneo tuition? You should pay UP the same. “Then, of course, as I got further into the subject, I counted 10 of my close relatives that went to UP, including my two brothers. I thought it wasn’t right that they paid such low tuition when, at the time, my father could afford to pay higher tuition. So I gave a large donation to UP—one million pesos for every SyCip that went there on underpaid tuition...Then I challenged the UP president: You have so many lawyers, engineers, and other graduates that are doing very well. You should challenge them to each give back one million [pesos] to you. If they’re not doing well, then fine. But if they’re doing well, then they should pay back...Even now, many at UP complain that there’s not enough parking space. If a student can go to class in a car, he should pay the full tuition.” In the same token, Mr. SyCip is challenging AIM alumni to give back—not only to AIM but also to society at large. “If the alumni are doing well already, then they should think how they can help out in causes “Words of WiSdom” continued on page 57 >>

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A Day in the Life of a SyCip Scholar ENA LIZA ANG, MBA 2009 Ena Liza Ang was awarded the Washington SyCip scholarship for the MBA program for school year 20072008. During her first year, Ena ranked number one in the batch. In this article, she shares how a typical day is like at AIM for a 16-month MBA student. WHAT IS A “TYPICAL” DAY IN THE LIFE of an AIM student, albeit one that is a SyCip scholar? The only thing typical about this is that the hundreds of students enrolled in the AIM MBA program share it. Everything else is extraordinary. The Beginning My desire to take an MBA degree was actually a result of what I experienced at work. I worked for five years before taking my MBA and I was happy with my work experience. I was lucky to be able to move up in my career to a position where I could see the entirety of the business. As I became exposed to more and more units in the company, I observed and experienced how people have a tendency to work in silos and how that creates tension between different departments. Most of the time, it is simply because they do not clearly understand what the other departments are doing. This realization made me want to learn more about the other aspects of business and not just master a single field. I felt that getting an MBA degree would help me accomplish that. I then decided to apply for the ADB scholarship for AIM. I wasn’t able to get that. It, however, turned out to be a fortunate turn of events as I was instead awarded a GSB scholarship with Mr. Washington SyCip as my sponsor.


A “Typical” Day at AIM In AIM’s MBA program, one was initiated to expect to read a lot of cases, to write a number of reports and to accomplish a lot of group projects. I didn’t realize how serious they were when they said that. Suffice to say that we have a very heavy workload that needs to be accomplished at a shorter period of time. In this kind of environment, the real challenge is being able to accomplish the work well without sacrificing the things that one values in life. My “typical” day at school starts when my alarm rings at 7:00 in the morning. I get ready for class as soon as I wake up. The first class usually starts at 8:00 am. I always find myself rushing to class with my nameplate and cases in hand. Mornings usually have a slow start. I still feel very sleepy from just having a few hours of sleep the previous night. I wake up when my notorious teachers would start to cold call or when the class gets into a heated argument. After two consecutive classes, I would have my lunch break. My classmates and I would usually eat in the AIM cafeteria. If we want a different type of food, we will walk towards Greenbelt 1. We get back to school just in time for the next class. I will attend another two classes in the afternoon that will end by 4:00-5:00 pm. After the last class, I would usually hang out in the Zen Garden

One of the funny things that some of my talented classmates like doing outside class is to imitate the voice or the mannerisms of people when they recite in class. with some of my classmates. We would talk about the things that happened in class, share our concerns, or funny stories. One of the funny things that some of my talented classmates like doing outside class is to imitate the voice or the mannerisms of people when they recite in class. They were able to copy the mannerisms so well that people would immediately know who they were imitating. I never thought that I had a distinct mannerism of my own until one of my classmates imitated me! That always gave everybody a good laugh. After having that short break, I usually go back to the dorm by 6:00 pm and start reading my cases for the next day. By 7:30 pm, my dorm mates and I would go to Greenbelt to get some take out for dinner. We usually just eat in the room so we can go back to reading again. At some nights, I have dinner with my family or my boyfriend before going back to the dorm. Whether we’d eat out together or not, I usually spend at least 30 minutes talking to them. By 9:00 pm, I go down to the Zen

“A Day in the Life...” continued on page 46 >>




HE WAC (WRITTEN Analysis of Cases) is an academic requirement for the MBM/MBA students as a drill to sharpen thinking skills and has become a tradition at AIM. The WAC experience left many treasured memories with the alumni, surpassing MRRs or field studies. “It seems WAC has burned a collective memory in all alums,” says Prof. Lim. “Of Friday nights sweating it out in the dorm lobby or by the pool, lots of cigarettes and coffee, laptops (or typewriters, if you belonged to a different era) blazing into the wee hours of the morning, and of course, haggardlooking, droopy-eyed, exhausted classmates by submission time. You were not the only one doing it—you had 100+ other classmates poring over the same case, trying to make heads or tails of it. This was not just a personal agony—it was a group experience.” Most of the WAC reader volunteers were extremely generous with their time. “While we offer a piddling token fee (about Php 180, net of taxes per WAC), most alums would donate it to charity,” adds Prof. Lim. “The volunteers said they were in it not for money, but to help AIM. They were also gung-ho and almost nostalgic, wanting to do the WAC to feel like a student again.” Some WAC readers returned all their papers back with nothing but U’s. “Stockholm syndrome, I’d say,” smiles Prof. Lim. “The prisoners sympathizing with the jailers. Of course we had to adjust some of these scores, or else we’d permanently traumatize the student body.” To many alumni, the WAC was a grand tradition, an experience to be treasured. The alums were almost admonishing the current students, “WAC helped in my thinking process!” One WAC reader even requested Prof. Lim for a special lecture on QA. Prof. Lim continues to invite alumni to join the WAC Readers Program. “We defi nitely need continuous alumni help, what more now with our September and May batches, as well as larger classes. We need all the WAC readers we can get. Please sign up—email me at

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Reader Experience In June 2007, the Washington SyCip Graduate School of Business through Associate Dean Prof. Ricky Lim invited alumni volunteers to be WAC readers for the MBA students. More than one hundred graduates joined the program as their way of giving back to the school.



WAC Readers WSGSB selected the following Top Ten WAC Readers, based on the volume of WACs corrected and the quality of feedback and learning they gave to the students. AIM and the Alumni Community salute you!


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Chupungco, Ma. Carmela (MBM ’95) Lamberte, Agnes (MBM ’92) Fajardo, Elaine (MBA ’07) Belvis, Melissa (MBA ’07) Vega, Carlo (MBA ’06) Barellano, Mary Dawn (MBM ’01) Villareal, Ernest (MBM ’75) Bate, Crisostomo (MBM ’93) Leveriza, Renato (MBM ’76) Estaniel, Patricia (MBM ’98) Calimon, Carlo (MBA ’05) Parua, Anirban (MBA ’07)

ralim@aim.edu, and I will slot you in. Your reading load need not be more than five WACs per three weeks, not a bad load at all. All we ask is that you give the students max feedback and comments on his or her WAC performance, and that you give us feedback quickly. “We appreciate the alums’ help on this important tradition. Please keep it alive—

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Leveriza, Jr.




volunteer to be a WAC reader. Salamat.” The Asian Institute of Management is grateful to all alumni who continue to support the WAC Readers program of the WSGSB. For comments and more information on the WAC Readers Program, please contact Prof. Ricky Lim at ricardo.a.lim@gmail.com.

In addition, the following WAC readers have donated their “WAC fees” to PACTS amounting to Php 63,100.00: Anand, Saurabh (MBA’06) Anand, Vaibhav (MBA’07) Aquino, Bibi (MBM’95) Atienza, Emmanuel (MBM’94) Bahukhandi, Carol (MBM’98) Barranda, Trina (MBM’01) Bate, Crisostomo (MBM’93) Bautista, Butch, (MBM’71) Bayangos, Dina (MBM’98) Bayot, John (MBA’07) Bolaños, Roberto, (MBM 2000) Borlongan, Donna (MBA’07) Calizo, Ma. Liza M. (MBM’83) Canieso, November (MBA’04) Castillo Jr, Leoncio S. (MBM’70) Chandak, Nitin (MBA’05) Chowdury, Prasun (MBM’93) Chupungco, Ma. Carmela (MBM’95) Cruz, Ma. Charissa (MBM’96) David, Roberto Antonio Francisco S. (MBM 2000) De Guzman, Cristina C. (MBM’01) De Guzman, Rafael (MBM’71) De Leon, Cesar (MBM’70) Enhaynes, Gladys V. (MBM’98) Estaniel, Patricia (MBM’98) Fajardo, Jose Mari (MBM’95) Gajria, Tanuja (MBA’07) Gallegos, Jemps (MBM’03) Garcia, Ren (MBM’71) George, Peter MM’85) Gonzales, Aristides (MBA’04) Keskar, Dhananjay (MBM’74) Kovoor, George (MBM’93) Lacdao, Raymond (MBM 2000) Looi, Cristable (MBM’88) Machacon, Victor (MBM’81) Male, Gail (MBA’04) Menguito, Mabel A. (MBM’93) Montalbo, Denise Maria R. (MBM 2000) Narnoly, Vikas Kumar (MBA’07) Natrajan, Rajan (MBM’92) Poornanandan, Nithyanand (MBA’04) Rajgopal. Sagar (MBA’04) Rout, Rishi (MBA’06) Salazar, Janet (MBA’06) Sebastian, Alain (MBA’04) Saracin, Daniel (MBM’83) Shashank Kalyan, B.P. (MBM’97) Sivadandan, Sajith (MBM’01) Srikrishna, Anish (MBM’97) Srivastava, Vishal (MBA’06) Vaidyanathan, Bhaskar (MBM 2000) Velasco, Lisset (MBM 2000) Villarica, Willyn (MBA’04) Yap, Sammy (MBM’76)

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FROM SEARCHING FOR A Valentine’s date, to white water rafting, cheering up sick children at the PGH, and Christmas shoppingPhilippine style, the experiences gained by AIM’s overseas students with their alumni mentors were as varied as the individuals themselves. The unique program, tested for the first time by the Alumni Relations Office and Student Services Admission and Registrar provided unseen opportunities to grow the AIM community and to forge lasting friendships between the institute’s students and graduates. A Unique Experience for the Students

The program was conceived after AIM President Francis Estrada consulted the AIM student body in the summer of 2007. As part of AIM’s ‘Asianization’ and integrating with the different cultures of the region, the result was the idea of a student-alumni interaction particularly for the benefit of overseas students, similar to foster family concepts applied in other schools such as Harvard and UCLA. The Host Family Program’s initial goals were to assist overseas students in adjusting to life and an intense academic experience away from home, and to help promote a positive experience through an alumni mentor 44

who can provide academic advise and support in the Philippines. The community-building project was also conceived to explore the value and extent of alumni networking and to foster cross-cultural awareness and sensitivity. “In the beginning, we were hoping to provide cultural experiences, and perhaps academic

provide advice to students adjusting to life in a different country, while caught in the frenzy of an intense academic atmosphere in the case rooms. “I still remember when I first came to Manila for the MM program in 1977,” recalls Indonesian mentor Victor The (MM 1978). “At the time, Martial Law was still in force and it’s really hard to be alone. There were very few Indonesians then- in fact, only three in my class.” Norio Alumno (MM 1997) accepted the invitation to host as he saw it as an opportunity to contribute in a unique way. “As a student, I was not able to share with my overseas classmates because of the work load. It was more of a competition then between myself and all students, foreign or local. All you wanted to do at that time [as a student in 1996-1997] was to complete the requirements and graduate in the program.” By October 2007, ARO was able


Providing Unique Engagements Between Students and Alumni S U SA N

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guidance for our overseas students with their practitioner oriented mentors,” says Greg Atienza, Executive Managing Director for the AIM Alumni Relations Office (ARO). “What we did not foresee was the amount of personal gratification for both student and alumni as part of the exercise.” The chance to build new friendships and support overseas students appealed to many alumni. For some, it was a chance to relive their AIM experience and

to recruit a total of 48 committed alumni volunteers from the MBM, MM and MDM programs. Student volunteers from the MBA and MM programs also offered to host fellow students, bringing the total number of host/mentor volunteers to 59. After ensuring the commitment of the Filipino hosts, ARO proceeded to invite current overseas students to participate. Indian, Indonesian, Vietnamese, Bhutanese, Malaysian, Nepalese and Chinese students were then paired, as closely as pos-

sible to the hosts’ degree, industry and area of interest. Putting a Smile on Someone’s Face

On November 9, 2007, the alumni and student partners met for the first time during the launch of the Host Family Program, timed to coincide with the Indian Diwali Festival of Lights, and strategically scheduled close to the Christmas Season. The alumni and student pairs were called onstage, acknowledged by AIM President Francis Estrada and Dean Victoria Licuanan, and presented with simple gifts as each pair were given AIM mugs as a token of friendship and gratitude. Over one hundred alumni volunteers and students attended the happy occasion. During an assessment facilitated by AIM Prof. Mila Lagrosa, the participants were asked what part of the experience made them smile the most. Alumni mentor Gary Grey (MBM 1974) recalls, “the smile of my mentee when we first met during the launch, and how he felt at home by the fact that he had an alumni mentor.” The duration of the program provided many more opportunities to put smiles on the alumni’s faces. Flora Briones (MDM 2002) was paired with Indonesian MDM 2008 student Mardalenna “Nina” I.F. who was immediately accepted as an additional member of the family. “What continues to put a smile on my face is when I introduce my Indonesian mentee as my ‘adopted overseas daughter’ to my family and friends,” says Flora. On meeting Flora for the first time, Nina remembers with a smile, “[When I saw that] my ‘mom’ is much shorter than me, I was asking myself, would she be able to ‘handle’ me?” Flora has already introduced Nina to Philippine public transports, as they have been able to ride jeepneys and the MRT together during their trips around Metro Manila.

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Sr. Consolata Manding (MDM 1994) shares that her fulfillment is in having “the chance to help others who struggle to survive in AIM, and get the most of their learning experience.” For Jun Jun Dayrit (MBM 1977), the experience provided him a rare opportunity to be part of the Indian Diwali Festival in Manila. Norio Alumno attained fulfillment in “helping some one unknown and accepting him as family.” Tony Soriano (MM 1984) was even able to assist his lucky mentee academically. “I was anticipating to be a cultural host of some sort. But I had found an opportunity to offer Madhusudan Devarajan a walkabout project that I believe challenged him to put his leadership and project management skills to the test. I helped provide a walkabout for child breastfeeding advocacies to an AIM would-be graduate. I heard that he was able to impress the walkabout panel with his involvement in the project, and he got a clean pass,” Soriano says proudly. Even Greg Atienza (MBM 1983), the proponent of the program smiles as he recalls, “I was even invited by my mentee (Yash Makharia, MBA 2008) to his wedding next year.” Students found a welcome relief from the rigor of the case

rooms whenever they meet with their alumni hosts. “I was able to develop a precious friendship with my mentor (Max Ventura, MDM 2006)” says Nishi Chandran, MDM 2008. Even the MM 2008 students, led by Glen Elle, Macoy del Pilar, Paul Paraguya, Pierre Gadpaille, and Lowell Yu bonded with their classmates through their white water rafting experience and visits to sick children at the Philippine General Hospital. Abhishek Mehrotra, MBA 2008 enthuses: “The entire experience of spending two days with (MBM 1975) Rey Angeles’ family during the Christmas break last December 2007, and being a part of such a special occasion was like a dream come true for me. I had one of the most wonderful experiences of my life by spending time, interacting with family members, observing very closely, and being a part of Filipino traditions, thus taking back a lot of rich memories. This is indeed something I would cherish for a lifetime!” Chidananda Jena, MM 2008 has not seen his wife and daughter for a year, but sacrificed his Christmas visit to India to stay with his mentor, Tita Puangco (MM 1991) and her family for five days. “I was so touched by Tita and her family’s hospitality. I learned much about Philippine culture and Catholic values.” Jena met many people and observed many similarities in culture and even in superstitions. He also learned much about consulting when Tita brought him to visit her office, which added to his classroom learnings. His bond with the Puangco family was even proven through telepathy. “After the visit to Tita and Renato’s house for five days during Christmas, we departed. After one month when she visited Greenbelt 1, she remembered me. At 3-4 p.m., I went to Greenbelt 1 and I never even knew she was there. Normally I do not go to Greenbelt at that time. Both of us were pleasantly surprised to see each other!” His wonderful experi-

ences with the Puangcos have left an indelible mark in Jena’s life. “I shall look forward to paying back to any foreign student that way, when I am back in my own country.” “AIM has a very good alumnus/alumna system,” shares Vo Duc Truong, MDM 2008 from Vietnam. “Through this system, overseas students integrate into the life here [in Manila] easier. We have shared working methods (with alumni mentor Joseph, MDM 2006 and Bembette Ladip, MDM 2004) and also individual feelings and knowledge about our national culture.” Learning Experiences and Challenges

Aside from learning about different Asian cultures, the program also provided an opportunity to glean many additional aspects about AIM, and even learning more about oneself. “Foreign students are concerned about AIM’s

placement ability and in-campus basic services such as food after classes, coffee, etc.,” says Angel Ornedo. He encourages alumni to stay connected and adds,“There’s tremendous potential in maintaining close ties with the AIM community. Building networks and contacts with AIM students and graduates through the internet and social nets can become an advantage in business life.” On the broader side, Gary Grey shares that the program has provided “a unique privilege on the part of the alumni to keep abreast of what is happening in AIM and the quality of the students nowadays.” Sr. Consolata muses that the program gave her additional insights on the MDM program. “It widened my understanding about how other cultures and nationalities would look at the MDM program. Listening to “A Family...” continued on page 46 >>

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SPECIAL FEATURE >> “A Day in the Life..” continued from page 42

>> “A Family...” continued from page 45

Garden to meet with my can group mates for our group project or case analysis. That usually ends at midnight. I go back to my room after to read some more and then sleep by 2:00 am.

[my mentee’s] work experiences gave me insights on the various areas of development that the MDM program can be useful for.” Flora Briones realized that “the Filipinos’ value of an extended family unit provides a strong personal support, and it transcends cultural roots and country origins.” Junjun Dayrit summarizes the experience with the thought that “there is so much to learn from others.” The greatest challenge that faced both alumni host and student was the amount of time that they could spend with each other. Squeezing meetings in between the academic calendar and professional schedules was difficult for most. “The demands of student life at AIM made it difficult to interact regularly with my mentor,” says Nishi Chandran. “I felt the time was too short to really go deep into mentoring, as I was never able to provide mentoring to my mentee during the practicum period,” shares Gary Grey. The ever helpful Flora Briones was flustered that she was not able to help Nina with her MRR. “I suggest a meeting with the MRR advisers with the mentor and the mentee at the earliest time possible to establish terms of references. This will be helpful to facilitate the MRR preparation, completion and submission by the student within the prescribed period.” With the element of time as their primary hurdle, some students nevertheless managed to escape from the stress of the case rooms to be with their hosts. “Meeting with Regnard (Raquedan, MBA 2009) was always a nice break from the rhythm of AIM for me,” says Chandra Preetam, MBM 2009. “Once when we went out, he even helped me buy a guitar!” The program resulted in many other unforeseen learnings and immeasurable qualitative advantages for the overseas student participants, some even resulting in an inner change through the interaction and acceptance of people and cultures. “You bring that change with you,” shares Akbar Gulzar, MDM 2008. “I have now learned to speak more softly,” he says with a smile. The warm participation and commitment of the gracious alumni hosts was able to inculcate cultural acceptance and harmony as well. “The program is very useful as there was a need to approve each other’s values,” says an overseas student participant. “It increases your adaptive qualities and adjustment abilities. You will feel that any part of the world is as friendly as your own country.” Norio Alumno sums us the real value of the program. “I didn’t expect my mentee to become a good friend,” he says. “In the beginning, I was thinking that one wants to join the program to make [the student’s life] at AIM like a walk in the park. But, it is not like that. One discovers the friendships, camaraderie and support one gives to a total stranger. That’s the beauty of the program.”

Wash, rinse, repeat. The schedule would be “typical” as one should expect; but it would be interspersed with extraordinary experiences and learning. One of the most unique and memorable for me is the experience of working in a can group. They say that in AIM they group you with the people that have different backgrounds, experiences and personalities from you. That is very true. Arguments are bound to happen because of the personal differences. It makes the work even harder than it already is. It was very frustrating at the start but we all learned to adjust to each other after a while. The transformation of the way my can group worked together was truly amazing for me. I had a chance to see how a “group of people forced to work together” naturally evolved into a team. It eventually made the work easier, the output better. After eight months of being together, they have become the people that I shared my joys and frustrations with in school and that type of bond would be difficult to forget. I also appreciate the rigor and the discipline that the MBA program instills in you. With the number of cases that you have to read, you learn to read fast and to think fast. Sometimes it feels like you are being pushed to your limits with deadlines that are almost not humanly possible. It allows you to challenge yourself, and at the same time, it teaches you to prioritize. These experiences have helped me look at things in perspective and helped me realize what the most important things in life are. Final Notes I am grateful for having a chance to have this unique experience in AIM. I am especially thankful to Mr. SyCip for his generosity and for all the opportunities that he has opened for me. I also feel lucky for being given a chance to meet him personally and engage him in lively discussions. I am inspired by his hard work and his sincerity to the people that he interacts with. When I graduate from AIM, I also dream of becoming successful in my career. I want to become a CEO of a multinational company and to be the kind of leader who inspires people to work as teams, to achieve challenging outcomes and make people enjoy doing that with me. Though that is one dream I wish to achieve, I know that at the end of the day, my source of fulfillment will come from making a difference in other people’s lives. I want to always bring that with me when I deal with the people I love, the people I work with and the people that I will meet. 46

The Alumni Relations Office wishes to thank the following alumni who have participated in AIM’s Host Family Program: Alex Gaston, MBM 1970 Alex Tanwangco, MBM 1973 Angel Ornedo, MBM 1999 Anna Pia Sanedrin, MBA 2008 Antonio “Tony” Soriano, MM 1984 Antonio A. Albert, Jr., MBM 1974 Apolinar Ng, MBM 1979 Arps de Vera, MBM 1973 Astrea Ocampo, MM 1984 Bembette, MDM 2004 & Joseph Ladip, MDM 2006 Bobby Benares, MBM 1979 Carlo Alzona, MBA 2008 Charlie Gaw, MM 1999 Conrado “Jun Jun” Dayrit, MBM 1977 Coratec Jimenez, MDM 2002 Dado Domingo, MDM 1992 Domingo Mapa, MM 1976 Ed Bañaga, MBM 1979 Elmer Soriano, MDM 1997 Elzy Ofreneo, MDM 1996 Emmy Hayward, MBM 1971 Enrique V. Abadesco Jr., MM 1976 Eriberto C. Villagarcia, MM 1981 Ernest Villareal, MBM 1975 Felipe Diego, MBM 1973 Francisco del Rosario, MBM 1972 Flora Briones, MDM 2002 Francis Reyes, MBA 2008 Gabby Paredes, MBM 1972 Gary Grey, MBM 1974 Geraldine Go Bernardo, MBM 1993 Gerard E. Reonisto, MBM 1986 Gil F. Cacha, MM 2000 Glenn Elle, MM 2008 Greg and Mekit Atienza, MBM 1983 Honorio Alumno, MDM 1997 Imelda J. Madarang, MM 1985 Irene Quilino, MM 1999 Jeffrey M. Nisnisan, MBM 1994 Jimmy A. Lina, MBM 1983 John Fajardo, MBM 1997 Jophie and Butch Bautista, MBM 1971 Jose Marco H. del Pilar, MM 2008 Jose Roberto L. Mamuric, MM 2006 Ken Ong, MBA 2008 Leon Angel Antonio Ismael Araneta, MM 2007 Lester Tongson, MBM 2000 Lowell Yu, MM 2008 Ludy Hofer, MDM 2004 Lynn O. Sy, MBM 1984 Marcos C. Hermoso, MBM 1980 Maria Rosa Diokno-Tria, MM 2001 Maria Teresita Luna, MM 2002 Marirose Sison-Garcia, MBM 1971 Marlyn Siapno, MDM 1999 Max Ventura, MDM 2006 Mehul Maru, MBM 1996 Mila C. Delos Santos, MM 1996 Mila Lagrosa, AIM Faculty Narayanan Sreenivas, MBM 1998 Oscar Gendrano, MBM 1974 Paul Paraguya, MM 2008 Perpetuo “Boy” de Claro, MBM 1973 Pierre Gadpaille, MM 2008 Ramon Tan, MBM 1971 Regnard Raquedan, MBA 2008 Rey Angeles, MBM 1975 Ric Pascua, MBM 1971 Richard L. King, MBM 1983 Richard Lim, MBM 1984 Roberto Nebrida, MDM 1994 Rosauro Sibal, MM 1977 Rowena V. Jalbuena, MM 1985 Roy D. Antonio, MM 1999 Samuel Partosa, MBM 1987 Serafin Tongco Sr., MBM 1975 Shan Benjamin R. Buyco, MM 2005 Sr. Consolata Manding, MDM 1994 T.R. Mohan, MBM 1974 Tae Abe-Abion and Ruel Abion, MM 1999 Teddy Villanueva, MBM 1973 Tita Puangco, MM 1991 Tomas Osias, MDM 1995 Victor The, MM 1978

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Continue your Legacy with the AIM Alumni Loyalty Grant The Asian Institute of Management is grateful to all alumni who pass on our tradition of leadership and excellence to their children. AIM alumni who wish to avail of this exclusive benefit shall be given a 50% discount on their children’s tuition fees subject to the following implementing guidelines: 1. The Alumni Loyalty Grant is available to children of graduates of full-time degree programs (MBM/MBA, MM and MDM) regardless of nationality. A 50% discount from regular tuition fees shall be given to children of alumni who may apply to either the MBA, MM, or MDM programs. 2. Children of alumni must pass all Institute qualifying requirements of the degree program. 3. Discount cannot be availed of in addition to other forms of financial assistance such as other discounts and promos. 4. Accepted children shall have no minimum level of performance to continue enjoying the privilege. The discount is not an academic scholarship.

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5. A maximum of five percent (5%) of each incoming MBA, MM and MDM classes can avail of the Alumni Loyalty Grant. 6. The concerned school of the degree program may require beneficiaries of the Alumni Loyalty Grant to render reasonable work or service to the Institute.

For inquiries, please contact the Alumni Relations Office at aimalumni@aim.edu.

10/21/08 9:26:21 PM

and inspiration without discipline is fatal: good ideas will flounder without management techniques. Such techniques are a steady science in finding unmet needs, capturing new markets, and developing brands. AIM provides this “steady science” of logical reasoning and creative thought, and grounded by solid management foundations. A double major. AIM’s MBA-entrep is first a comprehensive MBA that equips students with “steady science” in managing Asian business systems, finance, accounting, people and teams, marketing, communications, operations, and strategic planning and execution. Students learn to scan for opportunities, to develop surveys and interpret marketing research, to re-engineer products and services, to leverage technology, and to pitch for venture capital. Second, MBA-entrep students put learning into action. AIM will help the student locate the actual resources to put the ideas into action. The students learn not only management foundations and entrepreneurial “radar” from the components above, but also actually execute their ideas.



if you are cooking up big ideas for new ventures, have an appetite for risk, and carry the ambition to grow in quantum leaps, AIM’s MBA Major in Entrepreneurship (MBAentrep) is for you. Entrepreneurs now or entrepreneurs to be. We recognize that MBA-entrep students

MBA Major in Entrepreneurship YOUNG MEN AND WOMEN, BIG IDEAS. Tony Fernandes of Air Asia and Tony Tan Caktiong of Jollibee started small, but their big dream was to “scale up” their businesses. Tony Tan took his small Cubao ice cream store and made it an all-power fast food marvel. Tony Fernandes took an old idea, discount travel, and adapted it for Asia, using Asian values and know-how. Like the two

Tonys, if you are cooking up big ideas for new ventures, have an appetite for risk, and carry the ambition to grow in quantum leaps, AIM’s MBA Major in Entrepreneurship (MBA-entrep) is for you. Steady science. A mistaken stereotype is that entrepreneurs are born, not made. It would seem that good business ideas come from bursts of gut inspiration. But creativity

may not want to be entrepreneurs right after graduation. On the contrary, many choose to join established corporations to build capital and knowledge before taking the big leap. This is not only doable but also win-win: students practice their entrepreneurial skills in big businesses, and businesses use the students’ knowledge of new opportunity scanning, developing products, and scaling up. The corporation and student learn and prosper together. The case method: powerful, sticky, robust. All AIM students learn in the inimitable, rigorous case methodology of AIM. Students are not so much taught by instructors, but learn more from each other’s experiences. Such learning is powerful, “sticky,” and robust. AIM’s core MBA does not only teach theory and concepts, but also complex thinking and analytical skills to handle fresh problems. I L LU S T R AT I O N : C H I L I D O G S


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Executive Education AS ASIA TRANSFORMS INTO THE fastest-growing region of the world, it will need a strong base of outward-looking, everexpanding enterprises, and, driving these firms, professional leaders and managers who will continue to break new ground and hurdle the challenges of competition and globalization. Entrepreneurship and innovation, and the people behind them, will be key to quickening the pulse of Asia.

The Executive Education Programs for Entrepreneurs and Business Owners are designed to address the special challenges of entrepreneurial and familymanaged firms and to fit the learning needs and schedules of entrepreneurs and business owners. AIM’s Executive Education Programs for Entrepreneurs and Business Owners promote the development of firms and the entrepreneurs that will lead them through a three-tier approach. Top Tier: The Entrepreneurial MBA provides broad Strategic Management education aimed at breaking barriers to participants’ and their businesses’ growth and transformation. Core Tier: The 3-week Entrepreneurship Development Program aims to professionalize entrepreneurial management by building core business leadership competencies. Base Tier: Short Entrepreneurship courses address specific needs for training in the foundation skills of entrepreneurs and business owners—business plan writing, finance, marketing, strategy, and supply chain management. The Executive Education Programs for Entrepreneurs and Business Owners are designed to address the special challenges of entrepreneurial and family-managed firms and to fit the learning needs and schedules of entrepreneurs and business owners. Aspects of the course may be conducted online or faceto-face in a classroom setting. ENTREPRENEURSHIP COURSE SERIES

The Entrepreneurship Course Series addresses specific training needs in the basic skills of entrepreneurial management. Each course runs for two to three days, making it

convenient for business owners and executives. • Creating Winning Business Plans • Entrepreneurial Finance: Financing and Managing Risks in Start-Up and Growing Firms • Entrepreneurial Marketing: Exploring Regional and Global Markets • Growth Strategies for Entrepreneurial Companies • Business Strategy for Technology-Based Enterprises • Supply Chain Management for Small and Medium Enterprises ENTREPRENEURSHIP DEVELOPMENT PROGRAM

For inquiries, visit www.wsgsb.aim.edu or www.excell.aim.edu or call (632) 892.4011 locals 268, 426 or 263. • Building an Innovative, HighPerforming Organization and Culture ENTREPRENEURIAL MBA

Every entrepreneur and business executive dreams not only of growth that lingers past the next fiscal year but success that takes wing beyond the next bluff of uncertainty and the next generation. AIM’s Entrepreneurial MBA will provide broad strategic management education that can tear down obstacles to business growth and longevity. Specifically, the program will create superior growth, profits, and stability for firms; enable participants to lead their organizations through the complexity that comes with growth; and help them develop new vision, values and skills to realize their own and their firms’ full potential. Key Features: • Business concepts and tools suitable to the unique needs and challenges of entrepreneurial and owneror family-managed firms • Compact program of learning designed to fit the busy schedule of entrepreneurs and owners of growing enterprises • Seamless, interactive classes and on-the-job application that Entrepreneurial ensure learning and MBA quick returns to the business

For new, small, and medium-sized companies, attaining superior growth while building an innovative, high-performing organization and ensuring survival in tough times is a challenge distinct from that of large corporations. Entrepreneurial enterprises can thus be particularly vulnerable in both highgrowth and declining markets. AIM EXCELL’s three-week Entrepreneurship Development Program can help entrepreneurs and owners of businesses with significant potential, their successors and top executives, grow and professionalize their firms amid trying times. Content: • Scanning and Shaping the Global-Local Environment and Industry for Entrepreneurial Opportunities (includes field visits and networking) • Entrepreneurial Marketing (Local, Regional and Global Markets) • Competitive Business Process and Supply Chain Management • Formulating Business Models and Strategies for Breakthrough Growth • Entrepreneurial Finance and Risk Management • Recruiting and Retaining Talented People Entrepreneurship • Structuring the Development Program Entrepreneurial Organization • Designing Management Control and Entrepreneurship Course Series Performance Measurement Systems

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Unraveling the Rural Indian Market Juzar S. Khorakiwala, MBM 1975

When Juzar S. Khorakiwala, MBM 1975, received the Alumni Achievement Award or Triple A in 1992, he was the executive director of Wockhardt Limited, an Indian pharmaceuticals manufacturer owned by his family. >>


ODAY, HE IS THE CHAIRMAN and managing director of Biostadt India Limited, a family-owned manufacturer and exporter of agricultural products ranging from Biozyme, a well-known seaweed-based bio-fertilizer, to hybrid seeds. (According to Khorakiwala, a bio-fertilizer is “a substance which is biological in nature and does the work of a fertilizer.”) Biostadt was spun off from its parent company, Wockhardt Limited, in 2003. Today it employs 400 in India and 70 in its Philippine office. It has revenues of 1.5 billion rupees or 1.56 billion pesos. Last May 30, Khorakiwala shared “The India Story of Entrepreneurship and Development” at the forum on “Entrepreneurship and Innovation in a Complex World.” In this interview, he discussed the huge potential of the rural Indian market, the challenges of doing business in a promising area with significant infrastructure gaps, and some success stories. He also talked about management in general. What are the key points of your presentation?

I’ll talk about four rural initiatives undertaken by four different companies including my own. (See sidebar, “Success Stories.”) I’ll focus on rural India because there is huge potential available in that area. According to the McKinsey Global Institute report, “The ‘Bird of Gold’: The Rise of India’s Consumer Market,” rural India will grow at a much faster rate than before, pulling many people above the poverty line. This means that their purchasing capability is going to go up tremendously in the future. W O R D S




C .

There are 128 million households in rural India, three times that of the urban population. Forty-one percent of Indian middle-class homes are found in the area. Rural India accounts for 58% of total disposable income and contributes 20% to the country’s GDP. And the fast-moving consumer goods market in rural India is growing faster than that of the urban area. About 650 million people, 60% of the country’s population of 1.1 billion, are engaged in agriculture. If you get these farmers to integrate into the economy, you’ll have a very large economy. What has been Biostadt’s experience in tapping the rural Indian market?

We realized that a small farmer in India is concerned about three things: crop care, animal care, and human care. Typically, he has about a hectare of land to cultivate, two to three cows, which he raises for milk and to plow the land, and his family’s and his own health to take care of. The farmer’s life revolves around these three different areas in the village, a remote area. There are rural areas that are 50 to 60 kilometers away from an urban area. And the roads are poor. We thought we should cover these three areas and deliver the services to the farmer under one roof: the Biostadt Aastha Clinic. This concept aims to provide a one-stop solution to all three needs of the farming community. Usually, for his animal’s health, the farmer has to look for a veterinarian. For his crops, he has to go to the market and look for the right products. For his health care, he has to look for a doctor. What we have done is recruit a franchisee, an influential and well-thought-of local D A Y A O




individual, to invest in a building of about 3,000 square feet and manage it. The building will house experts—agronomists, veterinarians, and doctors—who will offer all the three services needed by the farmer. Also inside it are a soil testing laboratory and a training center. The franchisee will also sell Biostadt’s agricultural products. The building serves the needs of the community while providing us with an outlet for our products. It’s a win-win situation. We launched this concept in 2005. Today, we have three profitable Biostadt Aastha Clinics in Madhya Pradesh, Uttar Pradesh, and Andhra Pradesh. An Aastha clinic van also brings doctors and agronomists to different villages for health and crop care campaigns. It sounds like a wonderful concept.

Concept is wonderful, implementation is tough. It’s difficult to manage a business in rural India because the roads and telecommunications facilities are poor. Also, the supplies of electricity and water are unreliable. (See sidebar, “The Four As.”) These are the reasons why we look for franchisees to share the risks and rewards of growing a business in rural India. We cannot invest in these clinics by ourselves. What do you think is the most difficult thing to manage?

I find the most difficult thing to manage is change. I always give this example to our people: When you leave your home to go to the office, there’s a predictable route you take everyday. You don’t even think about it. But if I ask you to take another route, you start paying attention to your surroundings. That’s change. What has been the biggest change in the company’s history?

The company was part of Wockhardt Limited, a pharmaceutical business. I handled Biostadt five years ago. “Unraveling...” continued on page 56 >> L A C A N D U L A ,


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“I find the most difficult thing to manage is change... When you leave your home to go to the office, there’s a predictable route you take everyday. You don’t even think about it. But if I ask you to take another route, you start paying attention to your surroundings. That’s change.”

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That’s What I Want Gabriel ‘Gabby’ M. Paredes, MBM 1972

“If I can sing my way through the hearts of alumni, it’s got to be ‘Money’ by the Beatles,” he said. Then instinctively, he filled in the first stanza with his cool, jazzy voice. “The best things in life are free But you can keep ’em for the birds and bees So gimme money, that’s what I want…” IF YOU’VE HEARD OF THIS 1960’S HIT, you’ll definitely hear it more often because this year, the new AIM Alumni Association-Philippines (AAAIM) chairman will “shout” this out to the alumni community. And just as he can energize an audience as a singer, AAAIM Chairman Gabriel ‘Gabby’ Paredes can move the alumni to one melody that will inspire— to give back to our beloved Institute. “While the school is surviving, the present funding support is not like what it was in the 70’s. We must help,” Gabby urges. Fund-raising for the school is the top priority of AAAIM’s current chairman who realizes that it is a vital and necessary component in helping AIM achieve its vision and mission. “AIM is still an excellent institution. But there are many other competing schools in the Philippines and Asia Pacific, many of which are well supported. Who’s supporting AIM? I believe we should tap our graduates, since they are the ones that benefited the most from an AIM education. We have to institutionalize fund-raising. Big schools in America rely on alumni contributions.” Donations do not have to be big, he explains. “We should not be afraid to give. We must demystify the giving—in regular and small amounts, at your own pace, is acceptable. The amount you give may be as much as the tips you give to waiters, or as big as your paycheck. By giving to the school regularly, you might surprise yourself in realizing that you actually feel good about what you did. The more you give, the easier it is to give more. With supportive and generous alumni, this will snowball with the proper combination of emotion, drive, spirit, and willingness.” Gabby added that nothing gets done W O R D S



without money. “So let’s support our alma mater and contribute.” Singing a New Tune

Gabby credits the rigor of an AIM education for contributing to his professional successes. Although entering AIM was not his initial game plan, he shares that his life took some unexpected turns, and AIM turned out to be one of them. “I really wanted to be a singer. I told my mom that after graduation, I would save up and go to New York to sing. My mom said, ‘It’s your life. Just don’t put our name in shame and always be with God.’” After earning his bachelor’s degree in Economics from the Ateneo de Manila University (Philippines) in 1969, he landed his first job as an account executive trainee for Advertising & Marketing Associates (AMA) in Manila. His goal was to save for his New York dream.

“While the school is surviving, the present funding support is not like what it was in the 70’s. We must help... We should not be afraid to give...” Gabby jokingly blames Hermie Aquino (MBM 1971), a childhood friend and batchmate from grade school to college, for derailing his plans. “Hermie went straight to AIM after college. During his summer in first year, he invited me to take the entrance exam at AIM. I told him I was going to sing for the rest of my life. Hermie and I had this thing—whatever Aquino could do, Paredes could do better and vice versa. So he retorted that I didn’t want to take the exam because I was afraid to know that I wouldn’t get

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accepted.” So challenged by a dare, Gabby took the exam, passed, and with another sudden twist of fate, entered with a scholarship that business tycoon P.L. Lim offered to Gabby over lunch, naming it after his wife Peggy, who had passed away in a plane crash, a week before. AIM became a turning point in Gabby’s life. “I really prayed about going to AIM. In the end, I decided to take my master’s so that if I failed to achieve my dream to become a singer, at least I’d have a master’s degree as fallback. I still wanted to sing but realized that I had more passion than voice.” Hard Day’s Night at AIM

Gabby took his MBM in 1970. During his first year, he confesses, “Instead of books, my mind would be in Dewey Boulevard, where my former band mate was performing with his new group. I didn’t have the discipline or the good study habits to be able to focus on schoolwork. Fortunately, I hung around with classmates who had these—Danding Lucero, Louie Hernandez, Ramesh Gelli, and Ray Segura. These were the people that put me on the right track.” Summer of first year was Gabby’s eyeopener when he and classmate Ed Morato (former AIM Dean) worked for Mr. Claude Wilson, Harvard graduate and owner of Business Machines, whose two companies were on strike. “We did a lot of strategizing in closed-door meetings and during these instances, I noticed that as I spoke, Mr. Wilson would occasionally jot down notes. It hit me that I must have learned something from AIM to warrant his taking notes, and so I decided that from thereon, I would take my MBM seriously.” Gabby and MBM batch 1972 studied hard but they also played hard. “We started these Friday night drinking sessions. We would drink for an hour or two before we did our WAC. Our class had a lot of fun.” The Leader of the Band

After graduation, Gabby worked for P.L. Lim “Money...” continued on page 57 >>





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The Global Professor James P. Neelankavil, MBM 1972

With soothing ease on a comfortable armchair, Professor James Neelankavil begins spilling the beans about what he’s abreast of: Globalization. He says India and China, who represent one-third of humanity, have, for instance, moved afar in terms of such byword. >>


Y OPENING THEIR economies to trade in goods and services and by encouraging Foreign Direct Investments (FDI) through liberalization of investment policies, both China and India have achieved a measure of economic success. The growth in globalization has led many European, Japanese and U.S. companies to consider the developing nations as a source of inputs and also a market for their goods and services. These companies have tapped into the cost efficient workforce in many of the Asian countries transferring China to be the manufacturing center of the world and India as the Information Technology hub. As a visiting professor, Neelankavil has taught an elective in Global Marketing Strategy and Policy at the institute’s Washington Sycip Graduate School of Business. He also organized research seminars for the AIM faculty and also conducted a successful lecture on “Successful Business Strategies of Top Fortune 500 Companies” last July 25, 2008 at the AIM Campus. Go Global

HAVING global presence, he says, is one of the successful business strategies of companies included in Fortune 500, an annual list compiled and published by Fortune magazine that ranks the top 500 US public corporations as measured by their gross revenue. It is one among the ten markers that companies should strive to have for success, 54

though. Other attributes include innovations, leadership, mergers and acquisitions, process improvement, core competencies, among others. These success factors are gleaned on his latest study on what the top companies in the US are doing right. “This would give a different perspective to Asian business leaders on how to manage and look at their firms’ future,” says Neelankavil, who finished his master’s degree in business management with academic distinction at AIM in 1972.

“It feels gladdening to have the minds of young people in my hands, developing themselves as better human beings.” Using Fortune’s annual rankings of companies according to the four performance criteria on return on investment or equity, net profits, total assets and revenues dimensions, Neelankavil computed an average ranking based on a company’s particular rank each year and its total number of appearances from 1955 to 2005. And, by assigning each of the four performance criteria a weight reflecting its importance, a composite score was derived based on a company’s average ranking on all four criteria. The study is the first to present a composite performance metric compiled from Fortune’s annual rankings of four critical performance variables and representing an aggregated weighted American companies over a half century, explains Neelankavil, who had undergraduate degrees in physics and mathematics. Neelankavil, whose latest book entitled International Business Research was published last year, recounts that most

US companies attain success by going international first and emphasizing global strategic initiatives. “They didn’t mind looking for resource inputs from different regions of the world,” he says. “They chose raw materials from one place, assembled in a different place, brought in technology from a third place, fi nancing from a fourth place, and market products in another place.” Canon, for instance, is using technology from Japan. Its cameras are assembled in China, and sold all over the world. Neelankavil says it produces the best quality of materials at the most reasonable price. In short, globalization wouldn’t work if there were “boundaries,” points out Neelankavil, who has written and published articles in various referred journals, like the Journal of Management Development, the Journal of Business Research, the Journal of International Business Studies, the European Journal of Marketing, the Journal of Advertising Research and the Journal of Global Marketing. Very International

A few years after he had graduated from AIM, Neelankavil pursued a doctor’s degree (Ph.D) in business, majoring in international business and minoring in marketing at the New York University’s (NYU) Stern School of Business. But before he made it to NYU, he had taught for about a year and a half at AIM, on the suggestion of Gabino Mendoza, AIM’s former dean. Despite his accomplishments and the international degrees that he completed, Neelankavil remains modest as he manifests a dignified aura as an international educator. “Th e Global...” continued on page 57 >>

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SPOTLIGHT >> “Unraveling...” cont. from page 50 We came out of a big company as a medium-sized entity. That was a big change, for me and for the organization. It was like losing an umbrella over your head. It took us time to realize the strengths and weaknesses of the organization. And what are Biostadt’s strengths? It’s a stable organization in terms of people. A professional and self-motivated team fuels Biostadt. It’s a very marketing-oriented organization. We touch base with the farmers. We educate them on the benefits of using our products. Biozyme, our seaweed fertilizer, for example, is not easy to sell. It’s an expensive product, more expensive than any other seaweed. We process seaweed in a very different way. We source it from Scandinavia, where there are six months of daylight and six months of darkness.

The seaweed stores a lot of nutrients in preparation for the dark period. We harvest the seaweed when it is full of nutrients. It is then processed in Italy and fermented into a solution and granule form in India. Biozyme costs two to three times more than other products. Still, we’ve managed to convince small but enlightened farmers to buy it. What keeps you up at night? I worry about growth. That’s the proof of any organization. If it doesn’t grow, it gets left behind and it dies. People have to grow with the organization. You cannot disassociate organizational growth with people growth. We have grown the bio-fertilizer segment in India. We only export this one product, Biozyme, our flagship product. The rise of food prices worldwide, while worrisome at the societal level, is an opportunity for us. Economic growth is taking place in India, China, Brazil,

Success Stories DESPITE THE CHALLENGES involved in tapping the rural Indian market, there are success stories. In his presentation, “The India Story of Entrepreneurship and Development,” Juzar S. Khorakiwala mentioned three other initiatives, besides the Biostadt Aastha Clinic, which have partnered with the farmers, the main consumers in rural India, in a win-win way. “While the companies found profits, the farmers got farming advice and information, credit facilities, and better prices for their produce,” he explained. “As a result, the farmers improved their financial positions.” These successful initiatives are: • Hariyali Kisaan Bazaar of DCM Shriram Consolidated Limited (DSCL). In Hindi, kisaan means “farmer.” The bazaar provides rural consumers with many services in a single location. It offers the company’s products—such as fertilizers, sugar, and textiles—in a malllike ambience. This was a new experience for rural consumers who until then never had the 56

chance to touch the products before they bought them. The bazaar also features a fueling station, where customers are assured of buying unadulterated kerosene and other fuels. Thus, they avoid falling prey to a common practice in rural India. It also features banking facilities and demonstration plots. The latter helps farmers gauge the effectiveness of various agricultural products. A typical Hariyali Kisaan Bazaar serves about 15,000 farmers and covers about 50,000 to 70,000 acres, reports the DSCL web site. • Project Shakti of Hindustan Unilever Limited (HUL). In Hinduism, Shakti is the female principle of divine energy. The project recruits female members of village self-help groups and trains them to become direct-to-home distributors of the company’s products, reports the McKinsey Global Institute. The project has produced 40,000 Shakti entrepreneurs so far. By 2010, HUL envisions 100,000 Shakti entrepreneurs covering 500,000 villages and

Indonesia, and Bangladesh—countries with large populations. Many people are going to eat more. There will be pressure to produce more food. Also, fuel has a close relationship with food. In the US, corn is being diverted into ethanol. Tracts of land are being planted with corn. Less wheat and rice are grown. Less land is available for growing food. There is a huge need to grow more food. There is an opportunity for an organization like Biostadt because we offer nutrients to grow more food. How do you unwind? I play tennis two to three times a week at our local club in Bombay. In any sport, you meet a lot of people, and you meet them on common ground. You learn a lot about the other person, which you will not know if you meet him in a business or any other situation. You learn about the qualities of a person, his personality, at a different level. When I am in Bombay, I religiously go

touching the lives of 600 million rural Indians • The E-Choupal initiative of Indian Tobacco Company (ITC). In Hindi, choupal means “meeting place.” Through a large network of Internet-ready computers across several villages, farmers can access valuable information such as daily closing prices in local markets, farming advice, and weather forecasts. As a result, they secure better prices for their crops and boost the productivity of their land. According to ITC’s web site, E-Choupal today serves more than four million farmers growing soybeans, coffee, wheat, rice, pulses, and shrimp through almost 6,500 kiosks across eight states.

“While the companies found profits, the farmers got farming advice and information, credit facilities, and better prices for their produce.” As a result, the farmers improved their financial positions.”

to my farm with my family every weekend. I have a tennis court, a speedboat, and a jet ski at the farm. I don’t keep a TV or computer in the house. My best thoughts come to me there. Many executives like being wired. They are comfortable being just a phone call or email away. What about you? At the farm, I put my mobile phone in a drawer and forget about it. People who are wired want to control every part of the organization. They expect to be consulted on everything that happens. Then, obviously, they need to have two or three mobile phones. But if you feel that the decisions in your organization are properly delegated, then these decisions don’t have to be made by you. If you review them occasionally or periodically, which I do, that’s a different matter. I review all our managers every month and every quarter. After that, I’m relatively free.

The Four A’s

Think you want a slice of the promising rural Indian market? Then do your homework. There are many challenges involved in doing business in a market characterized by wide geographic spread and low per-capita spending. According to Juzar S. Khorakiwala, these daunting challenges can be summarized in the following four As: • Availability. There are six million villages spread across 302 million square miles. Poor infrastructure makes efficient distribution difficult. • Affordability. Most of the wage earners in rural India receive daily wages. As a result, they have low disposable incomes and tend to buy small packs of fast-moving consumer goods. • Accessibility. Customized product offerings require keeping the infrastructure gaps in mind. For example, since power interruptions are common in rural India, Coca-Cola provides lowcost iceboxes to store its products. • Awareness. The 22 languages and 2,000 dialects spoken across India make communication a challenge. A high degree of localized advertising is necessary.

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>> “Money...” cont. from page 53 as a key executive for twelve years after which he left for the U.S. to work in a bank and then a garments firm. Returning to Manila in 1987, he managed a group of textile companies. In 1992, he joined Andok’s Corporation, a roasted chicken food network, as president and COO. It was in Andok’s that an embarrassing experience with a worker changed his outlook completely. “I reprimanded an employee for coming to the office in slippers on a rainy day. After apologizing, the worker explained that he did this because the rain would damage his only pair of leather shoes. After hearing that, I felt so small.” Gabby added that the incident fully transformed him. Having the heart for his employees, Gabby successfully grew Andok’s from 75 to 200 stores with revenues jumping from P200M in 1992, to P750M in 1995. “I believe that more than brilliance, the key is learning how to work with people. Our workers provide the spirit for success. You can move a company through people who give with their hearts.” Just like Andok’s, Universal Storefront Services Corp. (USSC), where Gabby is currently president and CEO, continuously reaps successes because of the leadership style he practices. “Leadership is passion and heart. You cannot lead if you do not have genuine concern for people. You have to care for them first as individuals before you show concern for them as employees and associates. People will see through you if your intentions are not genuine; if they like what they see, they will do almost anything for you,” he says. USSC, which serves the public as RCPI, is the largest Western Union money transfer agent, in terms of transaction volume, in the Philippines and Asia Pacific. It also ranks among the top 15 agents globally. Aside from remittance, USSC also offers transport ticketing, electronic loading (top-up), payment collection, and calling stations for domestic and international long distance calls. In 2005, Gabby concluded a management buyout of the storefront business of RCPI from the Lopez group when the conglomerate decided to concentrate on core businesses. In 1999, out of four Western Union agents in the Philippines, USSC was only able to capture 8% market share. Today, out of eight agents, USSC is on top with a staggering 46% share with 845 RCPI storefronts nationwide. Since 2001, USSC has received the much-coveted “Agent of the Year-Asia Pacific Award” from Western Union, three out of five times that it was conferred within seven years. In 1999, within his first seven months in USSC, Gabby attended a regional Western Union conference in Sydney.

Then Western Union Asia Pacific regional head Rick Tines asked, “How many of your stores are doing Western Union?” Gabby answered, “I don’t know.” Asked about the number of transactions and corresponding revenue, Gabby again truthfully answered that he didn’t know. “So, what are you doing here?” asked Tines. “I have never been to Sydney,” he answered. A week later, he was asked by Tines in Manila what his goal for USSC was. “To be number one,” was his cocky reply even if, at that time, Gabby had no inkling on how to achieve it. Looking back after those nine years, Gabby believes that USSC’s success story is his greatest accomplishment. “We see ourselves as the USSC family where everyone has a strong and close relationship with one another. Reaching the top through hard work while maintaining sincere personal relationships is the most successful thing I’ve done.” Gabby’s original mandate from the Lopez Group was to recommend whether to close, sell or continue operating the company that had never brought dividends and profits for the owners. “And now it is thriving.” In a personal note to Gabby, Eugenio “Gabby” Lopez III, wrote: “My only contribution was bringing you in but you have done a remarkable thing. More than the money and all the concrete accomplishments, the pride you have instilled in your people is what you will bring with you, no matter what happens. The satisfaction you get in seeing people believe in themselves…you just can’t buy that.” Within the USSC family, Gabby shares an inspiring story of Jun, who started as a messenger, climbing his way up to become regional director, with great potential for even more. “I always share his success story with my employees.” Jun lived in a squatter area and to be able to rise up, he worked and studied hard. “Everybody has a chance if they have the desire and the drive.” Gabby shares how proud he was when Jun announced that his son was going to Ateneo de Manila for high school. “I feel so much joy in seeing my people realize their own dreams.” Thank You for the Music Aside from Gabby’s leadership style, his music has also contributed to the unity and harmony in USSC. “For as long as I have the microphone, I have the power,” says the former Ateneo Blue Eagle Batallion cheerleader. “The bigger the audience, the more I am able to deliver my message. I just let it out. When you sing from the heart, you speak from the heart. It has done me well.” Gabby listens to all kinds of music in the same way that he can listen to all kinds of people. He acknowledges and appreciates P.L. Lim’s wisdom, which continues to guide him through the years. “P.L. Lim told me to treat everybody with respect and

with the same amount of interest because it is the right thing to do. Talk to the janitor and your business partners with the same sincerity. Never forget to listen because everybody has something to say. If you’re a good listener and you possess both a great sense of urgency and sensitivity for others, you can excite people to do what you want and that gets the organization moving.” In the Paredes household, like the USSC family, Gabby enjoys the kind of openness, sincerity and affection from his wife and children. “I’m easy and open as a father. My kids can tell me anything. It’s been proven time and again. I’m able to talk to them from the heart and when in a situation, they do go up to me and say, ‘Dad, I want to share something.’” Despite all the successes, “the most important things in my life are my wife and children. They are my life.” A doting husband and father, Gabby’s best friend and wife Marianne and three children Michelle, John and Roxanne all share his passion for music. “But I’m the showman. I cannot stop when there’s a microphone,” Gabby laughingly concludes.

>> “Words of WiSdom” continued from page 41 like reducing poverty. My ideas have been on how to improve education and this situation on large interest payments. All the other [Asian] countries spend more on education...Thailand spends about six times per capita what the Philippines spends. In any country, if you don’t develop your human resources, sooner or later, the country will go down. If you develop your human resources, you win out.” AIM being a center of human resource development, Mr. SyCip voiced his wish for the school’s 50th Anniversary. “I wish that it would be known to be the school most successful in training Asians for Asian leadership. At one board meeting, I suggested that we plan trips for students, for them to know their neighbors before they graduate. Many Filipinos know everything about the U.S., but they don’t know Indonesia, Thailand, and Malaysia. I’m suggesting that all AIM degree program students should travel for at least two weeks around Southeast Asia to see what the neighbors are like. The British colonies tend to know more about the UK. Vietnam at one time knew more about the French; Indonesia, the Dutch. I think it would be good to have them know each other better.” Having dropped his words of wisdom and shared his resources these decades past, ultimately Mr. SyCip would simply like people to know and say “that in the area I’m involved in, I did develop a firm that could compete internationally, and hopefully I did my best to reduce poverty.”

>> “The Global...” cont. from page 54 “My teaching career was developed by serendipity, not by design,” shares Neelankavil, who served as associate dean (1986 to 1989) and dean (1989 to 1991) at Zarb School of Business in Hofstra University in New York. He also became a visiting professor at SDA Bocconi in Milan, at the Rotterdam School of Management in the Netherlands and at the NYU’s Stern School of Management. As one who never thought of taking up teaching as a career, Neelankavil has been enjoying the satisfaction that being a professor could give him. “It feels gladdening to have the minds of young people in my hands, developing themselves as better human beings,” he says. He used to think he would end up as a senior executive in some multinational firms. Neelankavil, who is based in New York, also enjoys consultancy—“but to a higher degree. I want to do strategic level consulting, where companies seek advice from me,” he says matter-offactly. “Also, there’s so much fun in discovery. When I do that, I can always bring new concepts to the classroom.” Which leads him to reminiscing on his classmates back at AIM in the ‘70s. “It was an excellent, highly motivated bunch of students. Few were slackers then. But many have become successful in the business realm,” tells Neelankavil. He met his Filipina wife while teaching at AIM in Manila. They currently reside in Manhattan, New York. They have two children who are also in New York: a 31-year-old, creative-writer daughter, and a 29-year-old, medical-resident son. In the next few years, the visiting professor suggests that AIM—as a premier business school in Asia—should need to have a specialty that distinguishes the institute from its neighboring schools. “Presently, I don’t know what that is. It would be nice to look into it,” he says, before shrugging his shoulders. “I’m sure that AIM is starting to broaden its globalized community.” Even before globalization became a mantra, he had the vision to develop internationally competent business leaders. How? He just keeps himself updated and well informed with the trends and developments in the international business arena. Neelankavil’s teaching viewpoint is based on being always in knowing and understanding the current developments in the international field. In each class, he makes sure that everyone achieves a beneficial learning experience that will rouse them to be leaders in their companies—and the world at large.

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Whatever amount you choose to give as a gift, annual donations to the AIM Alumni Fund for Scholarships will be pooled together to allow deserving individuals to study at the Asian Institute of Management and earn a master’s degree. Scholarships shall be given to talented individuals who would otherwise be unable to undertake the program because of financial concerns. Your continuing help and involvement as a graduate of AIM will help your school make positive changes and growth possible, increase diversity in the case rooms and contribute to the education of exceptional individuals who we hope will be at the forefront of the shaping and reshaping of a new and exciting Asia. Be AIM’s partner in expanding and growing the number of the best and brightest AIM scholars. Give to the AIM Alumni Fund for Scholarships. To make a donation now, send an email to aimalumni@aim.edu.

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Profile for AIM Alumni Publication


Call for After Class Participation JULY-SEPTEMBER 2008 | VOLUME 3 ISSUE 3


Call for After Class Participation JULY-SEPTEMBER 2008 | VOLUME 3 ISSUE 3