T he A lumni Maga zine of t he Asian Insitute of Management
T hird Qua r ter 2 010 Vol. 5 Issue 3
THE KOREAN FACTOR
AIM GRAND ALUMNI HOMECOMING 2011
Leader P R E S I D E N T ’ S
M E S S A G E
SEPTEMBER WAS A MILESTONE month for the Asian Institute of Management: in terms of governance and the initiative to strengthen the AIM brand. After years of dedicated service to the Institute, Ramon del Rosario, Jr., Narzalina Lim, Jake Almeda Lopez, Felipe Alfonso and Br. Armin Luistro earned their welldeserved relief from their responsibilities as members of the Board of Trustees. I am sure the alumni join me in thanking them for the stewardship they exercised over the Institute during a period of some difficult challenges. The retirement of these Trustees paved the way for the appointment of more alumni to the Board. The alumni already had board representation through Datuk Ir. (Dr.) Mohd Annas Hj. Mohd Nor (MM 1984) and Joselito Yabut (MBM 1979). Datuk Annas has been Chairman of the Federation of AIM Alumni (FAIM) since 2004 and President of the Kelab AIM Malaysia (KAIM) since 1997. Lito Yabut, President and Director of A.L Yabut Management & Development Corporation, is the current Chairman of the Alumni Association of AIM, Philippine Chapter (AAAIM). Jesli A. Lapus (MBM 1973) had just stepped down as Department of Education Secretary. Roberto V. Garcia (MBM 1973), who had been president of RAMCAR, executive vice president of the Federation of Philippine Industries, as well as President of the Philippine Quality and Productivity Movement, is taking time for his entrepreneurial ventures. Bobby Garcia and the third new alumni Trustee Ricardo Pascua, formerly Vice Chairman/President and CEO of Metro Pacific Corporation and Vice Chairman/ President and CEO of Fort Bonifacio Development Corporation, had already committed time to the Institute; both retired from the Finance and Investment and Audit Committees of the AIM Scientific Research Foundation to join the AIM Trustees. Napoleon Nazareno (MBM 1973), President of the Philippine Long Distance Telephone Company and Smart Telecommunications, was elected as a Trustee in 2005. Equally reflective of the decision to give the alumni greater voice in the governance of the Institute was Poly’s appointment as Co-Chair of the Board, a post he will hold with Joey Cuisia. The greater role of the alumni in AIM governance comes at an opportune time. The Institute is going through a period of transition that institutions must inevitably face. Periodic renewal is necessary, not least in the physical infrastructure of the institution. After over four decades of operation, some renovation is in order. The Institute has benefitted from faculty who have made life-time commitments to its service. But death and retirement have taken their toll. Faculty numbers have dropped in the last ten years from a high of 60 to just over 40. The faculty needs reinforcement and renewal.
Apart from internal challenges, the external environment is also making demands on the Institute. The field of management education in the region has become crowded with competitors. With education becoming a global enterprise, competition is coming from within and from outside the region. The increasing number of players has made accreditation more important, with the metrics becoming more transparent and more rigorous. The alumni realize that addressing internal and external challenges, necessary to strengthen the AIM brand, requires financial resources, and have begun to mobilize to raise them. As the new chair of the AAAIM, Lito Yabut helped launch a series of Breakfast Meetings at AIM to brief alumni about developments in the Institute and how they can be of assistance. Their goal to raise PHP10M through these meetings is modest but, if achieved, will represent an increase of annual alumni individual giving from 1 percent to 10 percent alumni giving. We have begun to see an increase in relative numbers of alumni giving through our online facility (www.aimalumni.org). A wonderful surprise came just recently, by way of a long-lost alumnus from Taiwan, Malvan Hwang (MBM 1974) who visited the AIM campus 36 years after his graduation, and any contact The alumni are with his classmates. Malvan doresponding, and nated US30,000 as a scholarship their response gift on the same evening. During the recent Asian both demonstrates Immersion Program in Seoul, and justifies their South Korea, five alumni potential role in donated W1,000,000 each to AIM governance. the AIM Alumni Leadership Fund for Scholarships: Former FAIM Chairperson Tae Sook “Sugar” Han (MBM 1984), Triple A Awardees Hong-Soo “Henry” Lee (MM 1979) and Chun Jin Suk (MBM 1979), AIM Alumni Association-Korea Chairman Chang Yoon “Johnny” Jeong (MBM 1980) and Hyun Oh “Mikael” Cho (MBM 1985). Oscar Lopez, Chairman of the Lopez Group Foundation, whose family helped establish and sustain AIM, recently reminded the alumni that “It is time for those who have benefited from an AIM education to give back to the institution.” The reminder carried greater weight, coming as it did on the formal announcement of a fresh donation of PHP25M from the Lopez Group Foundation for the renovation of the lobby and caserooms and offices on the ground floor of AIM’s main building. The alumni are responding, and their response both demonstrates and justifies their potential role in AIM governance. We are all heartened by the display of alumni concern for the Institute and look forward to working with them to maintain and enhance the value of the diploma they hold.
Edilberto de Jesús PRESIDENT, ASIAN INSTITUTE OF MANAGEMENT
EDITORIAL TEAM Greg Atienza EDITOR-IN-CHIEF
VOLUME 5 ISSUE 3
Haji Zulkifly Baharom SENIOR OVERSEAS CORRESPONDENT
Maritess Aniago-Espiritu Melissa de Sagun Voltaire Masangkay Amy Nerona Jun Javellana ALUMNI RELATIONS OFFICE STAFF
Philip Erquiaga Preeti Jain Hemlata Pathania Edgardo Garcia Alfonso Delgado Regnard Raquedan Rosie Avila-Florante Harsh Sonawala Akie Seno Anna Maria Katrina Albert Atienza Rommel Orbigo Gerard Ian De Sagun Isagani Eliezer Manikan Gary Grey Troy Bernardo Meghann Lee Rose Cheryl Orbigo Dina Paterno Kim Patrocinio
Chili Dogs DESIGN & ART DIRECTION
Justin Irigo PHOTOGRAPHER
Alex Sandoval Chili Dogs
NEWS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
COMMENCEMENT: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22 Asia Needs Your Talent Making a Difference in Our Societies Leave a Trail
Lexmedia Digital PRINTING
EDITORIAL ADVISORY BOARD Edilberto de Jesús
PRESIDENT OF THE INSTITUTE
Victoria Licuanan DEAN OF THE INSTITUTE
Datuk Ir. Mohd Annas Hj. Mohd Nor.
CHAIRMAN, FEDERATION OF AIM ALUMNI ASSOCIATION, INC.
Joselito Yabut CHAIRMAN, AIM ALUMNI ASSOCIATION – PHILIPPINE CHAPTER
Marvee Celi-Bonoan EXECUTIVE MANAGING DIRECTOR, SCIENTIFIC RESEARCH FOUNDATION
Greg Atienza EXECUTIVE MANAGING DIRECTOR, ALUMNI RELATIONS OFFICE
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: firstname.lastname@example.org 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
INSIGHTS: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 Philippines and Korea Business Report The Philippine-South Korea Free Trade: Bae Yong-Joon for Ensaimadas Stars in Their Eyes: South Korea’s Love Affair with StarCraft My Korean Experience COVER STORY: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34 The Korean Factor Asian Immersion Program, Seoul, South Korea Chaebols: Fueling the Growth of Korea’s Economy Korea and Japan: Facing the Same Problems that Growth Entails Asian Immersion Program: Reflections on South Korea Koreans in Campus SPOTLIGHT: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .44 Euh Yoon-Dae, MBM 1973: The Global Korean Chun Jin Suk, MBM 1979: Great Souls are Followed by Great Things Tae Sook Han, MBM 1984: Making it to the Top Chang Yoon Jeong, MBM 1990: Setting the Pace SHOWCASE: . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54 Food: Lose Weight, Eat Korean Arts: Two Stops Where? CLASS NOTES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .57 Cover Photography: Justin Irigo, MBA 2010 & Sherbet Katigbak-Manalili, BMP 2005
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THE ASIAN INDUSTRY PROGRAM OF THE WASHINGTON SYCIP Graduate School of Business held last August 29-September 4, 2010 saw close to 40 MBA and exchange program students head for Seoul, Korea to learn firsthand the business practices, economic and social environment, and the local culture of our neighbor in the north. It was, no less, a fascinating experience to witness the incredible growth of a nation experiencing rapid technological and economic development in spite of the financial crisis of 2008-2009. The educational trip was made even more meaningful through personal interactions with our successful alumni who provided invaluable assistance in organizing company visits and interviews, and who generously shared their knowledge with the touring group: Johnny Jeong, MBM 1980 and president of the AIM Alumni Association in Korea who arranged for a captivating visit to the highly automated facility of Hyundai Motors; Euh Yoon Dae, MBM 1973, Chairman of KB Financial Group and the Presidential Council on Nation Branding, Korea, who gave a briefing on the economic development and banking industry; and Sang-kee Min, MBM 1973 and member of the AIM SRF Board of Trustees who shared his ideas on Korean development and what needs to be done in the future. During the Alumni Networking Night on September 1 at the Geogujang Restaurant, the alumni in Korea further demonstrated the impact that the AIM education had provided them, and how grateful they were to the school by donating to the AIM Alumni Fund. Being scholars themselves, former FAIM Chairman Ms. Tae Sook “Sugar” Han, MBM 1984, Triple A awardees Mr. Hong-Soo “Henry” Lee, MM 1979, and Mr. Chun Jin Suk, MBM 1979, AIM Alumni Association-Korea Chairman Mr. Chang Yoon “Johnny” Jeong, MBM 1980, and Mr. Hyun Oh “Mikael” Cho, MBM 1985 each donated W1,000,000 to the Alumni Leadership Fund for Scholarships. During the event, Hyun Oh Cho was also awarded the Alumni Leadership Fund Award for his generous donation of USD24,000 to sponsor the AIM education of Gervasius Patar Samosir, MBA 2010 These gracious gestures of generosity is part of an unspoken alumni tradition of giving back, as we recognize the sharing of time, talents and treasure which are steadily gaining momentum in our community of exceptional AIM graduates. We hope that you have heard by now the good news These gracious gestures of that six alumni have been given seats in the governing body of the AIM Board of Trustees. Napoleon L. Nazareno, generosity is part of an unspoken alumni tradition of giving back, as we MBM 1973, Co-Chairman, AIM, Jesli A. Lapus, MBM 1973, recognize the sharing of time, talents Mr. Roberto V. Garcia, MBM 1973, Ricardo S. Pascua, and treasure which are steadily MBM 1971, Datuk Ir. (Dr.) Mohd Annas Hj. Mohd Nor, gaining momentum in our community MM 1984 (as FAIM Chairman) and Joselito “Lito” G. of exceptional AIM graduates. Yabut, MBM 1979 (as AAAIM Chairman). A recognition of the alumni’s voice as a crucial stakeholder of our Institute comes at a time when their generosity in sharing their time and talent is truly appreciated, as AIM’s learning space development is unfolding with the renovation of the dormitory, the ground floor caserooms as well as the AIM lobby. The alumni’s willingness to support the alumni fund is also witnessed in the Breakfast Forum, where the graduates are briefed, by batches, on the current developments as well as the imminent need of the AIM for alumni support. As of this writing, four powerful alumni contingents are being formed to address this need: The Council of AAAIM Chairmen, the Triple A Club, MBM 1973 and the Board of Directors of AAAIM. AIM is truly grateful and wishes to acknowledge all alumni who have come forward to assist the Institute in moving towards a sustainable future. All these efforts are a veritable example of the commitment of our graduates in responding as owners of the school.
Greg Atienza EDITOR-IN-CHIEF, AIM ALUMNI LEADERSHIP MAGAZINE EXECUTIVE MANAGING DIRECTOR, ALUMNI RELATIONS OFFICE SECRETARY GENERAL, FEDERATION OF AIM ALUMNI ASSOCIATIONS, INC.
Letters to the Editor
T he A lumni Maga zine of the Asia n I nsitute of Ma nagement
S econd Qua r ter 2 010 Vol. 5 Issue 2
CSR: CONNECTING TWO WORLDS
CSR: CONNECTING TWO WORLDS
First of all, allow me to congratulate you all for bringing out such an excellent issue. It’s very impressive, well designed with very interesting content. Many thanks for sending me the link. It was good to see the article in print. Madhulika Gupta I received today the complimentary copies of the AIMLeader. I would like to thank you for featuring my article on Cleaning the Pasig River in your current issue. I am hoping that the readers would be inspired to help clean the river. Each one of us has to do our part in cleaning up Pasig. The river is not mine, it’s ours and we will be able to clean it if we all work together. Sa ating pagkakapit bisig, mabubuhay na muli ang ilog Pasig! Regina Paz Lopez Managing Director ABS-CBN Foundation Just got a copy of AIMLeader. Cheers! Significant and meaningful concepts and striking cover/inside designs. Noted too that the Alumni Leadership Fund now covers research and development. Dra. Carmela Ortigas
I am currently visiting Manila and am staying at the accommodation of the AIM Conference Centre. I am accompanying some business partners on a business trip but I, myself, spend most of the time doing research for my PhD with Griffith University in Queensland, Australia. My area of study relates to Supply Chain Management, in particular, Humanitarian Logistics and I plan to carry out a case study of the Philippine Disaster Management system. I would like to examine the provision of high standard, professional training for people involved in disaster management (in all its phases), with special attention being paid to humanitarian logistics and the provision of disaster preparedness and response in the first place, to be followed in the future, by disaster prevention and risk management—the latter topics being the focus of significant support from Australia, through its embassy here in Manila. As such, I was most interested to read the AIM Leader of Second Quarter 2010 and the emphasis on CSR. CSR has some relationship with my study—as I would expect to see commercial companies being or becoming involved in contributing to the country’s efforts in disaster response and recovery. As well as large corporate effort, CSR can include even minor, but very important activities, particularly related to education and training for people at all levels, from top strategists down to people at the barangay level. To this end, staff from my own university, assist me, on a voluntary basis, in providing textbooks to a small college in Castillejos where there is a library but precious few books. How good it would be if AIM, for example, were to be able to provide textbooks to such small colleges—perhaps through donations of used and new books from academic staff—who knows, maybe one of the pupils from the smaller, provincial colleges might be future stars in AIM’s very excellent programs. In summary, may I, as an overseas visitor, applaud AIM’s CSR initiatives and I look forward to reading more about them in future. I would add that, although I am an overseas visitor, I do have very strong Philippine connections (my wife is Filipina and I have lived and worked in Manila in the past for some three years or so), and we, as a family, provide some support in the Zambales province for the provision of school supplies and fees for a group of children in Castillejos and Olongapo. Allan Sheppard Griffith University Gold Coast, Queensland Australia I have been regularly receiving alumni magazine by post for which I am very grateful to you. The time my family and I spent in Manila while I was studying is still etched in our hearts. Your magazine brings back those magic memories for me as I sift through the pages. Each issue is like a sentimental journey back into time. I hope to return to AIM one day and catch up with those memories! The seriousness of Prof. Macaranas, the antics of Prof. Lopez and the general friendliness of all Filipinos were lessons in themselves for many of us. The story of MBM 1980 is like watching a black and white movie which tugs at your heart. Thank you for the memories, AIM! Siddharth Dev Verman, MDM 2005
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Nazareno, Lapus, Garcia and Pascua Elected to AIM Board of Trustees THE ASIAN INSTITUTE of Management is pleased to announce the election of AIM alumni to the Board of Trustees. This latest development reinforces the alumni’s role as a major stakeholder and owner of the Institute, and provides them a golden opportunity to have a major participation in the shaping of its future. The alumni who have recently been elected are the following:
Napoleon L. Nazareno MBM 1973 Co-Chairman, AIM Napoleon L. Nazareno, is President and Chief Executive Officer of the Philippine Long Distance Telephone Co. (PLDT), Smart Communications, Inc., (SMART) and PLDT Communications and Energy Ventures (PCEV). He also serves as Chairman of the Board of Wolfpac Mobile, Inc., Smart
Broadband, Inc., I-Contacts Corporation and Airborne Access, Inc. and as President of Connectivity Unlimited Resources, Inc., which are subsidiaries of Smart. He is also currently a board member of the GSM Association Worldwide (GSMA). His other directorships include First Pacific Co., Ltd. HK, Manila Electric Company (Meralco), ACeS Philippines Cellular Satellite Corporation where he is also the President, PLDT Global Corporation and ePLDT, Inc. Mr. Nazareno’’s experience in business spans several countries in over 30 years and his exposure cuts across a broad range of industries, namely packaging, bottling, petrochemicals, real estate and telecommunications and information technologies. He was voted Corporate Executive Officer of the Year (Philippines) for three consecutive years at the 2004, 2005 and 2006 Best-Managed Companies and Corporate Governance Polls conducted by Asia Money. Mr. Nazareno obtained his Master’’s Degree in Business Management from the Asian Institute of Management and completed the INSEAD Executive Program of the European Institute of Business Administration in Fountainbleu, France.
Jesli A. Lapus MBM 1973 With a solid track record as a professional executive in the private sector behind him, Hon. Lapus has served with distinction in the cabinets of three Philippine Presidents namely: Pres. Arroyo, Pres. Ramos and Pres. Aquino in the following capacities: Secretary, Department of Trade and Industry (2001), Secretary, Department of Education (2006-2010), President and CEO, The Land Bank of the Philippines (1992-1998), and Undersecretary, Department of Agrarian Reform (1987-1989). He was elected member of the Philippine Congress for three consecutive terms in 19982007 where, as the leader in economic and education matters, he spearheaded many landmark legislation such as the crucial 2005 Fiscal Reform Measures
which saved the Philippines from certain financial crisis; WTO Safeguard Laws including the Anti-Dumping Law; Philippine Deposit Insurance Corp. Charter; Overseas Absentee Voting Law; and the Pre-Need Plan Code. Congressman Lapus was Chairman of the powerful House Committees on Ways and Means, Trade and Industry, Suffrage and Electoral Reforms and ViceChairman of Appropriations. A multi-awarded executive in the private sector (i.e. manufacturing, financial services and international trade) he has successfully managed celebrated firms and a universal bank in attaining industry leadership. Lapus is the youngest alumnus to have received the AIM Alumni Achievement Award in 1980 for his outstanding management practice. Roberto V. Garcia MBM 1973 Roberto V. Garcia retired in 2003 as President of Ramcar Inc. the largest and most technologically advanced lead acid battery manufacturer in the ASEAN region. His 34 years of continuous service in a single company is a record for an AIM graduate. An active exponent of Filipino global competitiveness, world class quality, and productivity, he was Executive Vice President of the Federation of Philippine Industries and President of the Philippine Quality and Productivity Movement. The Philippine Society for Quality conferred on
A IM L eader Magazine | T hir d Quar ter 2010
Mr. Garcia in 2004 the Juran Medal the highest individual award for quality advocacy in the country. Mr. Garcia was also a Trustee of the AIM Scientific Research Foundation for the past several years. He was also Chairman of the Audit Committee of AIM SRF. Ricardo S. Pascua, MBM 1971 A leading businessman and corporate philanthropist, Ricardo S. Pascua left active employment at a youthful age of 53. He currently chairs, or sits as board director of several organizations such as Facilities and Property Management Technologies, Inc.; Happy Communications, Inc. and Caelum Developers, Inc. (Chairman of the Board); Phoenix Land, Inc. (Chairman of the Executive Committee ); Costa de Madera Corporation, Central Luzon Doctors’ Hospital;
Phoenix Petroleum Philippines, Inc.; JP Latex Technology, Inc. and Latex Holdings, Inc. (Director); Central Country Estate, Inc. (Adviser to the Board of Directors). He is also active with Bishops-Businessmen’s Conference, the Clean and Green Foundation, Bukas-Loob
sa Diyos Catholic Charismatic Community, as well as a few
business starts-ups in food, property development, facilities management and technology. Pascua was the Vice Chairman/President and Chief Executive Officer of Metro Pacific Corporation from January 1993 to December 2001. He served as Vice Chairman/President and Chief Executive Officer of Fort Bonifacio Development Corporation from 1995 to 2001. Pascua was an Executive Director of First Pacific Company Limited from February 1982 to December 2001. He has chaired, or sat as board director of, several civic organizations including the AIM Scientific Research Foundation, the Philippine Business for Social Progress, the BishopsBusinessmen’s Conference, the Environmental Science for Social Change, and the Clean and Green Foundation, as well as a few business starts-ups in
Triple A Breakfast Meeting THE CRÈME DE LA CRÈME of the AIM alumni community gathered in the Triple A Club breakfast meeting on July 6, 2010 at the St. Luke’s Medical Center’s (SLMC) newly opened medical facility at the Bonifacio Global City in Taguig. Hosted by Mr. Robert Kuan, MBM 1975, Chairman of the Board of Trustees of SLMC, 10 Triple A awardees came
together to welcome the club’s newest members: 2010 Triple A awardees Mr. Gabriel Paredes, MBM 1972, and Victor Jose Luciano, MBM 1970, and 2009 awardee Ms. Ruth Callanta, MM 1986. In attendance were (from left) Mr. Arturo Macapagal, MBM 1971, Mr. Gabriel Paredes, MBM 1972, Mr. Jesus Francisco, MBM 1971, Mr. Ricardo Pascua,
MBM 1971, AIM President Edilberto de Jesús, Triple A Club President Mr. Jesli Lapus, MBM 1973, former AIM President Mr. Francis Estrada, MBM 1973, Mr. Roberto Garcia, MBM 1973, Mr. Philip Juico, MBM 1973, Mr. Edgardo Limon, MBM 1974, Mr. Napoleon Nazareno, MBM 1973, and Prof. Ernesto Garilao, MM 1982 (not in photo). AIM President de Jesús pre-
food, property development, facilities management and technology. An active member of Bukas-Loob sa Diyos Catholic Charismatic Community, he also acts as an independent director of various listed and non-listed corporations. Pascua graduated with the degree of Bachelor of Arts in Economics (Cum Laude) at Ateneo de Manila University and earned his Master of Business Management at Asian Institute of Management in 1971. He was bestowed the AIM Alumni Achievement award in 1993. This brings to six the number of AIM alumni who sit in the 15 member Board of Trustees. The FAIM Chairman and the AAAIM Chairman, Datuk Ir. (Dr.) Mohd Annas Hj. Mohd Nor, MM’84 and Mr. Joselito G. Yabut, MBM’79 respectively, also occupy positions in the governing body of the school. sented a plaque of appreciation to Mr. Lapus, former Department of Education Secretary, who has supported the implementation of school-based management through the professional growth of Department of Education officials. From 2008 to 2010, AIM’s Executive Education and Lifelong Learning Center has conducted 19 runs of the Management Development Program, Basic Management Program, and Leadership Development Program for a total of 845 DepEd officials, from principals, school supervisors, and superintendents, to regional directors and Department undersecretaries. The meeting concluded with a tour of the SLMC facility. Also present in the meeting were Ms. Marilen TronquedLagniton, SLMC Vice PresidentCustomer Affairs Division, Ms. Dina Paterno, AIM Development Office Executive Director, and Mr. Greg Atienza, MBM 1983, AIM Alumni Relations Office Executive Managing Director.
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A Legacy of Support Mr. Washington SyCip and Mr. Jose L. Cuisia, Jr. presented Mr. Oscar M. Lopez with the AIM Giving Tree, as a token of gratitude to the Lopez Family for their continued support and commitment to help AIM achieve its’ goals and mission.
ENEROSITY IS THE foundation that made the Asian Institute of Management (AIM) an established pioneer in business management education. If not for the support of individuals, families, funding agencies and corporations, AIM will not have been able to produce more than 38,000 degree and non-degree alumni who went on to become leaders and managers who made significant contributions to their communities/companies, and in some cases, even helped transform Asia. The contribution of one family, for instance, made possible the vision of several individuals to establish a graduate business management institution that will go on to become the pioneer in Asia.
“Without that donation, I don’t think AIM will be here today. If not for the Lopez family, AIM will not be here.” The Lopez Family, led by its patriarch, Don Eugenio Lopez, Sr., was instrumental in the establishment of AIM. At that time, the founders of AIM were looking for a donor to support
the construction of the building that would eventually house the Institution that they envision to provide rigorous academic training, similar to the Harvard Business School. If not for the support of Don Eugenio Lopez, the construction of the AIM building would not have been possible. This donation, reported by the Manila Chronicle in 1969 as “the largest donation (PhP 7.4M)… [representing] the biggest single contribution to an educational institution in the history of [this] country,” enabled the construction of the Eugenio Lopez Foundation Building, which houses the main facility of AIM. At the recent Signing and Honoring Reception for the Lopez Group Foundation held at the AIM Lobby on July 26, AIM Chairman Emeritus Washington SyCip acknowledged the generosity of the Lopez Family. SyCip emphasized the significant contribution of the family: “Without that donation, I don’t think AIM will be here today. If not for the Lopez family, AIM will not be here.” Mr. Oscar M. Lopez, son of Don Eugenio Lopez and current Chairman of Lopez Group
Foundation, reaffirmed the Lopez Group’s commitment to AIM through a donation of PhP 25 Million. Mr. Lopez stated that the Lopez Group would continue to support AIM’s activities and needs. He said that he recognized that the physical building was in need of refurbishing, and this is why they offered their donation to get the rehabilitation of the ground floor lobby and offices and four caserooms started. The first phase of the renovation, as of this writing, is ongoing. The project, which started on August 30, 2010, is expected to be completed on January 30, 2011. Systemat architects provided the designs and First Balfour, a member of the Lopez Group of Companies, oversees the engineering and construction.
Before the program started, guests were led to the Meralco Caseroom to view Philippine President Benigno Simeon III Aquino’s State of the Nation Address live television feed. Photo shows (first row from left:) Washington SyCip, AIM Chairman Emeritus, Jose L. Cuisia, Jr., AIM Chairman, Oscar M. Lopez, Lopez Group Foundation Chairman (Second Row from left:) Milagros Santisteban, Precy Psiknakis, Ma. Consuelo Lopez (Third Row from left:) Gabriel Paredes, MBM ’73, Ramon de Vera, MBM ’73, Mr. Jake Montenegro, AIM Vice President, Roberto Garcia, MBM ’73, Joselito Yabut, MBM ’79, Gregorio Atienza, MBM ’83, AIM Alumni relations Office Executive Managing Director, and Ofelia Odilao-Bisnar, MBM ’88.
Mr. Jose L. Cuisia Jr., AIM Chairman, Mr. Oscar M. Lopez, Lopez Group Foundation Chairman, Mr. Washington Z. SyCip, AIM Chairman Emeritus and Mr Edilberto de Jesús, AIM President after the signing of the Deed of Donation that formalized the Lopez Group Foundation’s PhP 25 Million donation to renovate the ground floor of the Eugenio Lopez Building
A IM L eader Magazine | T hir d Quar ter 2010
AIM Alumni Relations Executive Managing Director Greg Atienza and AIM SRF Development Office Executive Managing Director Dina Paterno with the five alumni who donated KWn 1Million each to the AIM Alumni Leadership Fund for Scholarships. Ffrom left: Mr. Greg Atienza, MBM 1983, Mr. Chang Yoon “Johnny” Jeong, MBM 1980, Mr. Chun Jin Suk, MBM 1979, Ms. Dina Paterno, Ms. Tae Sook “Sugar” Han, MBM 1984, Mr. Hong-Soo “Henry” Lee, MM 1979, and Mr. Hyun Oh “Mikael” Cho, MBM 1985)
Korean Alumni donates 5M Won to the AIM Alumni Fund THE ASIAN IMMERSION Program 2010 AIM Alumni Networking Dinner, held at the Geogujang Restaurant in Seoul, South Korea on September 1, 2010, was an occasion of sharing indeed! The event not only served as a venue for current AIM MBA students to get to know and learn from the alumni from South Korea, but it also became a means for some alumni to support the AIM Alumni Leadership Fund for Scholarships. Dr. Sangkee Min, MBM ’73 and AIM SRF Trustee shared candid and heartfelt words about what his AIM education provided him, which the 29 MBA students at the dinner resonated with and drew inspiration from. Dr. Sangkee Min is Executive Vice Chancellor of Seoul National University and Chairman of the Financial Services Commission. Earlier in the week, Dr. Euh Yoon Dae, MBM ’73 and AIM Trustee, also welcomed the visiting group of AIM students, fac-
ulty, management and alumni, to his new office as Chairman of KB Bank. He also gave KWn 1 Million for the group to treat themselves to dinner while in Seoul.
“We, the Korean alumni, are very thankful that you all visited Seoul… the five of us, have decided to give one million won each.” Earlier during the event, Mr. Hyun Oh “Mikael” Cho, MBM ’85, belatedly received his Alumni Leadership Fund Award for his USD 24,000 donation to the AIM Alumni Leadership Fund for Scholarships in 2007. After receiving the award, he quipped: “The money I donated was very small. Because of this (award), I think I should donate more...I am ashamed because I just donated exactly the same amount I received.” Mr. Cho was a recipient of the Ford Motor
Scholarship, which enabled him to study in AIM. Mr. Hyun Oh Cho’s donation paved the way for Gervasius Patar Samosir to study in AIM this year. Towards the end of the event, Ms. Tae Sook “Sugar” Han caught on to Mr. Hyun Oh Cho’s jibe, and announced her group’s intention to donate: “We, the Korean alumni, are very thankful that you all visited Seoul...the five of us, have decided to give one million won each,” she said.
The five AIM alumni, namely, Former FAIM Chairman Ms. Tae Sook “Sugar” Han, MBM 1984, Mr. Hong-Soo “Henry” Lee, MM 1979, Triple A awardee Mr. Chun Jin Suk, MBM 1979, AIM Alumni Association-Korea Chairman Mr. Chang Yoon “Johnny” Jeong, MBM 1980, and Mr. Hyun Oh “Mikael” Cho, MBM 1985 each donated KWn 1,000,000 (around USD 846 each) to the AIM Alumni Leadership Fund for Scholarships.
AIM MBA 2010 students, AIM professors, and AIM representatives posed with the Korean alumni during the Asian Immersion Program 2010 Alumni Networking Dinner
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Malvan Hwang, MBM ’74, Gives Back to AIM IT WAS A LONG-DELAYED homecoming for Malvan Hwang, MBM ’74, 36 years to be exact. He was recently in the Philippines as part of the delegation of the Y’s Men’s Club of Taipei Downtown to attend the 60th anniversary of Manila Downtown Y’s Men’s Club. Before his arrival, he thought of visiting AIM and reuniting with his classmates, whom he hasn’t seen since he left promptly after graduation of his MBM Class. Giving back was also on top of his agenda. Hwang was one of the recipients of a scholarship from AIM, which enabled him to study at the Institute. After graduation, he went back to Taiwan. He is currently doing business in the stainless steel industry. He credits his AIM education as his asset that enabled him to effectively manage a foundry. Upon Hwang’s return to Manila, his classmates gave him a very warm welcome. After 36
years, their camaraderie and friendship were restored, like it was yesterday. Amidst all the celebration of Hwang’s return, giving back was still on top of his agenda. He specifically made an appointment with AIM Professor and former Dean Victoria Licuanan to meet about the scholarship grant he would like to endow to a deserving Filipina student. On July 19 at a dinner hosted by the Y’s Men’s Club at Passion Restaurant in Resorts World, Hwang met with Professor Licuanan and Dina Paterno, Executive Managing Director of AIM SRF Development Office and then he presented his USD 30,000 donation to AIM. Earlier that same afternoon, he visited the AIM campus and met with President Edilberto de Jesús and classmate and AIM Professor Enrico Angtuaco. It was also an occasion to give him his very first copy of their AIM yearbook, circa 1974.
Engaging Classes through the AIM Alumni Breakfast Forum
Mr. Malvan Hwang (MBM ’74) signs the Deed of Donation that formalizes his USD 30,000 donation to the AIM Alumni Leadership Fund for Scholarships.
Malvan Hwang paid a courtesy call to the AIM President when he visited the AIM Campus in July. Ffrom left: Professor Enrico Angtuaco (MBM ’74), Ms. Dina Paterno, AIM SRF Development Office Executive Managing Director, Mr. Malvan Hwang (MBM ’74), Mr. Edilberto de Jesús, AIM President and Prof. Victoria Licuanan.
THE AIM SCIENTIFIC RESEARCH Foundation (AIM SRF) Development Office, in close coordination with the Alumni Association of AIM, Philippine Chapter (AAAIM) and the AIM Alumni Relations Office, recently embarked on twice-a-month Alumni Breakfast Forums (ABF) on alternating Friday mornings at AIM. The ABF provides an opportunity for classmates to re-connect with AIM and be informed of developments at AIM. AAAIM is actively supporting for more Alumni engagement, and the ABF serves as a more regular and intimate means to do this. The ABF started on September 10 with MBM ‘ 71, led by AAAIM Philippine Chapter Vice Chairman Eustacio Orobia, Jr. During the ABF, questions were raised, concerns were expressed and updates about AIM were shared. AIM President Edilberto de Jesús was present to answer all the questions and share information about AIM. Dina Paterno, Executive Managing Director of AIM SRF Development Office presented various opportunities for Alumni engagement to AIM. The 2nd ABF with MBM’ 79, led by AAAIM Philippine Chapter Chairman Joselito Yabut, was held on
September 24. The succeeding ABFs will be conducted every second and fourth Friday of the month until 2011. (for the current schedule, please refer to the calendar in box below). If your class is interested to be part of the next ABF, you may get in touch with the AIM SRF Development Office through emailing at inquirydevoffice@ aim.edu, or calling (02) 892 4011 local 553. This will be a wonderful and engaging opportunity for you to re-connect and be updated and informed about AIM’s directions and activities. AIM ALUMNI BREAKFAST FORUM SCHEDULE Venue: Abelardo Yabut Room, 3rd Floor, AIM Conference Center Manila Time: 8:00AM-10:00AM (Every other Friday unless indicated) September 10, 24 November 12, 25 December 10 January 13, 27 February 11 March 11, 15 April 8, 22 May 13, 27 June 10, 24
A IM L eader Magazine | T hir d Quar ter 2010
New MBA Graduates THE W. SYCIP GRADUATE School of Business presented the new graduates of MBA Cohort 4, also known as “Porter’s 45”, last September 12, 2010 at the Fuller Hall. AIM President Edilberto de Jesús spoke about the breakthrough stages of the learning process each student had to undergo at the AIM “boot camp”. He hopes that the last 16 months have proved that they can surpass any challenges with a sense of excitement and confidence. Professor Ricardo Lim, W. SyCip Graduate School of Business Associate Dean, assisted President de Jesús in awarding the diplomas to the graduates who were subsequently inducted into the AIM Alumni Association by Prof. Horacio Borromeo. Artur Emile Dela Cerna
and Preeti Jain spoke on behalf of their colleagues. Dela Cerna shared the lively members that composed “Porter’s 45.” More importantly, he reminisced what they have learned through the number of case studies, sleepless nights, class bondings, and CAN group sessions of the program. Jain expressed that the most important lesson learned during the program is looking at the bigger picture. She envisioned AIM as a banyan tree with a mission of making a difference in sustaining the growth of Asian societies by developing professional, entrepreneurial, and socially responsible leaders and managers. The keynote address was given by Mr. Philip Erquiga, Director General of the Private Sector Operations Development of the Asian Development Bank.
MBA 2011 Convocation THE COHORT 6 CONVOCATION TOOK place last September 6, 2010 at the SGV caseroom on the first day of pre-MBA classes. The caseroom was jam-packed with 131 new students, senior students, and AIM faculty and staff. Associate Dean Prof. Ricky Lim gave the welcome remarks and the program overview. In Prof. Lim’s talk, he guaranteed that there will be many times in the students’ AIM experience that they will have to bite off more than they can chew, with roughly 800 cases in just 16 months. But it is exactly this experience that will make them business leaders who are able to make the best choices under time pressure.
Prof. Mau Bolante, the program director of Cohort 6, introduced the MBA core faculty, program staff, and AIM support groups. He then proceeded to the cohort profile, MBA program learning goals, and academic criteria. Joanne Matas from Cohort 4 and Karan Rajpal from Cohort 5 presented videos of their AIM experience highlighting all the sleepless nights and of course all the fun parties and cultural festivals. Last but not the least to get on the floor was Khairy Alonto, Program Manager of AIM’s Career Management Service, who talked about his department’s assistance for students on job placements after MBA.
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University of Cambridge Honors Prof. Amerasinghe PROF. NIHAL AMERASINGHE, PhD core faculty of the Center for Development Management, was presented a Certificate of Knowledge and a commemorative medallion during the awarding ceremony last August 21, 2010at the University of Cambridge, England, host of World Forum. The World Forum is an organization that “serves as a platform for the melding of ideas and accomplishments, for the betterment of all nations and societies.” The American Biographical Institute (ABI) based in North Carolina, USA, serves as the headquarters of the World Forum. Prof. Amerasinghe was honored as one of ABI’s first Ambassadors of Knowledge. The invitation letter sent to Prof. Amerasinghe to join the elite group of ambassadors stated, “Your impressive achievements display a wisdom and intelligence that confirms that we share and respect this belief (that Knowledge is Power).” Prof.
Amerasinghe is a former international development banker and public servant with extensive experience in development management. Currently, he is the lead faculty for the Program and Project Development and Management (PPDM) course for the Master in Development Management (MDM). His development experience spans more than three decades covering 28 countries in the Asia-Pacific Region. He held senior positions in the Asian Development Bank (ADB) during his tenure from 1979 to 2001. He worked in the ADB’s Programs and Projects Departments where he developed hands-on experience in country strategy development, project planning, program and project design, project appraisal and implementation. His last position at ADB was as Director General, Agriculture and Social Sectors Department. The University of Cambridge celebrated its 800th anniversary.
Dr. Hartigan-Go joins CDM faculty DR. KENNETH YU Hartigan-Go has recently joined the Asian Institute of Management as core faculty of Center for Development Management. Dr. Hartigan-Go was a professor of the Department of Pharmacology at the UP College of Medicine from 1990 to 2005. In 1994, he headed the Adverse Drug Reactions Monitoring Program of the Department of Health until 1997 and was seconded from UP in 1999-2001 to serve as the Deputy Director of the Bureau of Food and Drugs, and concurrent Manager of the National
Drug Policy Program of the DOH. He was part of team that envisioned and established the National Poisons Control and Information Services. From 2001 to 2009, Dr. Hartigan-Go served as the founding Executive Director of the Zuellig Foundation, a health NGO advocating sound health policy and health sector reforms, bridging partnerships between the private and public sectors through health leaderships programs. His consultancy work with multilateral agencies in different Asian countries
(WHO Advisory Committee on Safety of Medical Products, WHO Global Advisory Committee on Vaccine Safety, EU-FP7 Monitoring of Medicines, Health Policy Steering Committee of the National University of Singapore Initiate to Improves Health in Asia, to name a few), and leadership positions in various medical and government organizations provide him a unique platform for improving health systems. Dr. Hartigan-Go graduated from the College of Medicine, University of the Philippines and
the Internal Medicine Residency Program at the Philippine General Hospital. He was a clinical pharmacology fellow at the Wolfson Unit of Clinical Pharmacology, University of Newcastle upon Tyne, United Kingdom from 1992-1994. He earned a Doctor of Medicine degree from the same university in 1998. He is a distinguished Fellow Awardee of the Philippine College of Physicians and the Dr. Jose P. Rizal Award for Excellence as Outstanding Chinese Filipino in the field of Medicine in 2008.
A IM L eader Magazine | T hir d Quar ter 2010
Ayala Foundation USA Honors Prof. Arroyo
ON SEPTEMBER 25,2010, Asian Institute of Management Professor Ma. Antonia Odelia “Maui” G. Arroyo received an award from Ayala Foundation USA in San Francisco, California as one of their pioneering Philippine Development honorees in Science and Technology.Aside from teaching AIM MBA, MM, and EMBA students, Prof. Arroyo is also the founder and CEO of Hybridigm Consulting, the first biotechnology consulting firm in the Philippines. Prof. Arroyo established Hybridigm to train up and coming biotech entrepreneurs, to help them attract key investors and finally to successfully commercialize their business ventures. In addition, Hybridigm partners with the Philippine government in developing R&D policies and legislation in order to promote the growth of the biotechnology industry. According to Prof. Arroyo, “Some people dream of building a company, I dream of building an industry—one start-up at a time. Pioneering a biotech industry in an emerging market such as the Philippines, is a long and arduous road.” She believes in the Filipino ingenuity and the unique natural advantage of the Philippines in terms of biodiversity. She presumes that the problem lies in the lack of development for these resources thus making this her life work.
Distinguished Visiting Professors at AIM to Expand Perspectives on US IN ACCORDANCE WITH AIM’s partnership with Darden, Drs. Francis and Veronica Warnock will start their MBA electives this week. Dr. Francis will be teaching Global Financial Markets, and Dr. Veronica will be teaching Markets and Society. Dr. Francis “Frank” Warnock is the Paul M. Hammaker Research Associate Professor of Business Administration at the Darden Graduate School of Business, University of Virginia. He is also currently a Research Fellow at the National Bureau of Economic Research, Cambridge MA; a Senior Fellow at the Globalization and Monetary Policy Institute of the Federal Reserve Bank of Dallas; and a Research Associate of the Institute for International Integration Studies, Trinity College Dublin in Ireland. Francis has a PhD in Economics
from the University of North Carolina at Chapel Hill. Dr. Veronica “Roni” Cacdac Warnock is a Batten Fellow at the Batten Institute at Darden Business School, a Lecturer at the School of Architecture, UVa and Principal of CW Economics Group. She teaches "Economics and the Built Environment " at the A-School and co-teaches "Markets in Human Hope" at Darden. At the core of her research is development and equity, with a current focus on access to finance and financial sector development. As Research Fellow at the Hong Kong Institute for Monetary Research, she recently conducted a cross-country study of housing finance systems, which has been presented at the Hong Kong Monetary Authority, South African Reserve Bank, Bangko Sentral
Sereno Appointed Associate Justice
ng Pilipinas, and at universities in Copenhagen, Dublin, and Manila. Previously, Veronica was Senior Economist and Director at Mortgage Bankers Association (Washington, C.C.). She received her PhD in Economics from Fordham University. AIM POLICY CENTER Executive Director Atty. Ma. Lourdes “Meilou”Aranal- Sereno was appointed Associate Justice of the Supreme Court of the Philippines in August 2010 by Philippine President Benigno Aquino III. She may well become the country’s first female Chief Justice, according to Sen. Miriam Defensor-Santiago. Sereno is the youngest Supreme Court magistrate after Justice Cesar Bengzon since 1945, and the 13th woman appointed as a Supreme Court Justice. On her appointment, Sereno said, “Gratitude has to be given to God...the promotion came from him alone. We have to ask God for blessings in this country because the work ahead of all of us is tremendous in rebuilding and restoring faith in good governance.”
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experience is about breaking conventional lending rules by giving loans to the poorest of the poor. He also challenges the cultural taboos, like discriminating lending to women. His company has grown from microfinance to a comprehensive wide range of services that will help his clients raise their income levels and to improve their living standards. He believes that credit is better than charity because credit gives dignity to the poor while charity merely makes them dependent. Mr. and Mrs. Bernido, respectively the President and Principal of Central Visayan Institute Foundation (CVIF), a high school in a simple seaside municipality called Jagna (Bohol province) shared their passion in problem-solving. As scientists, one of the major problems they have identified is the declining quality of education in public schools; as
“Leadership Challenges in Difficult Times” Forum AROUND 100 CEOS, company executives, business leaders, and managers attended the Business Leadership Forum on September 3, 2010. With the theme “Leadership Challenges in Difficult Times,” the forum was conducted by AIM’s Executive Education and Lifelong Learning Center (EXCELL) through the sponsorship of Japan Electronics and Information Technology Industries Association (JEITA) in cooperation with Panasonic Manufacturing Philippines Corporation, and Panasonic Regional Training Center, Singapore. The forum focused on the topic: “Ideas for Life: Wealth Generation at the Bottom of the Pyramid.” Three Ramon Magsaysay awardees gave important
messages at the forum—Dr. Aristotle Alip, Mr. Christopher Bernido and Mrs. Victoria Carpio-Bernido. Prof. Grace Ugut, Associate Dean of EXCELL, in her welcome remarks emphasized how difficulties are breaking grounds for great leaders. Mr. Naoya Nishiwaki, President of Panasonic Manufacturing Philippines, shared how their company started with only an idea. He thus called on forum participants to likewise share their ideas to others. Dr. Alip shared his very inspirational story on how he started his company, Center for Agriculture and Rural Development Mutually Reinforcing Institutions (CARD MRI), and how his company is able to help the landless rural poor. Dr. Alip’s
a result, they founded a high school that can provide good education as well as a schedule which allows students to help their families with daily chores. The school has groundbreaking methods and materials that they call the Dynamic Learning Program which features the zero homework policy and the 80%20% principle where students are learning on their own 80% of the time and teacher discussions are limited to 20%. After the guest speakers shared their experiences, Prof. Nieves Confesor, facilitated the plenary conversations and responses with the World Café method. The World Café method enabled the big group to link and build on each other’s ideas effectively. At the end of the forum, participants hopefully will implement what they have learned to their life, work or community.
A IM L eader Magazine | T hir d Quar ter 2010
AIM HOSTS FINEX’S STUDENT COMPETITION THE RENOWNED COMPETITION among financial wizards in Philippine colleges and universities finally found its way to the AIM campus. On September 17, 2010, more than 500 students, school officials, and their supporters convened at AIM’s Fuller Hall for the 12th Inter-Collegiate Finance Competition (ICFC) elimination round. The ICFC is annually organized by the Financial Executives Institute of the Philippines (FINEX) in cooperation with AIM’s Jose B. Fernandez Jr. Center for Banking and Finance. Some 30 schools from Metro Manila and nearby provinces were represented in AIM while other participating schools converged simultaneously in designated venues in Baguio, Cebu, Bacolod, and Cagayan de Oro. For the first time in the competition history, the event was webcast through the efforts of AIM to enable more people to watch the whole day proceedings. Mr. Vic Sarza, Junior FINEX Chairman delivered his welcome remarks impromptu, reminding the contestants that it is only from the heart that one can win battles and
achieve bigger things. He reiterated FINEX’s mission to improve corporate governance by training students to be better and more ethical managers. It is also FINEX’s objective to encourage all schools to compete in the ICFC and in the process develop the discipline and skills beneficial to students. Mr. Sarza’s inspiring conclusion called on the students to lead with their hearts, especially in this world full of uncertainties and challenges. In welcoming the guests to the campus, AIM President Edilberto de Jesús, reiterated AIM’s alignment with ICFC’s objective to promote quality education. In fact, he mentioned about the scholarships that AIM offers to ICFC winners. Together with the JBF Center for Banking and Finance, the Institute infuses stronger ethical value into an AIM education. The day’s competition involved a total of 50 questions, ranging from “Easy” to “Difficult” with each school represented by three students. The three-man Board of Judges were young finance wizards from KPMG (Manabat
Talk on Food, Fuel and Financial Crisis
LAST SEPTEMBER 16, 2010, the Center for Development Management (CDM) and the World Bank conducted a seminar at the Global Distance Learning Center (GDLC). With the theme entitled, “The Impact of the 2008- 2009 Food, Fuel, and
Financial Crisis on the Philippine Labor Market”, the seminar is the seventh of the CDM’s “Development-at-Work” series. The Philippines, like most countries, has been hit by the series of 2008 global crises, specifically in food, fuel, and
San Agustin & Co. CPAs)—Mark Yu, Sherwin Cu, and Conrad Jonathan Lee. Isla Lipana auditors were at hand to ensure integrity of results. The top 20 schools out of 72 nationwide were University of San Carlos, De La Salle University-Manila, University of the Philippines-Diliman, University of San Jose Recoletos, Ateneo de Manila University, University of Santo Tomas, University of the East-Manila, University of Baguio, Far Eastern University-Manila, University of Southern Philippines Foundation,
University of the Philippines-Iloilo, Siliman University, Angeles University Foundation, Colegio De San Agustin- Bacolod, De La Salle-Dasmarinas, Central Philippine University, Pamantasan ng Cabuyao, Technological Institute of the Philippines-Manila and University of Mindanao Tagum College and University of the Visayas. They will compete in the ICFC championship round on October 18 at the Bangko Sentral ng Pilipinas. This time they will be joined by participants from Hong Kong, Singapore, Malaysia, and Thailand.
how these effects are distributed across demographic and socioeconomic groups, and how such effects evolved over time. Studies showed that the effects of the crises on unemployment and labor force participation were not large. The less privileged were the most affected from the crises especially
The less privileged were the most affected from the crises especially in terms of unemployment but as the crises continued, even the non- poor experienced negative impacts in terms of real wage effects. in terms of unemployment but as the crises continued, even the nonpoor experienced negative impacts in terms of real wage effects. Dr. Fernando T. Aldaba (Professor, Ateneo de Manila finance. Mr. Andrew Mason of University), Dr. Alvin P. Ang the World Bank presented the (Associate Professor, University preliminary results of a new study of the labor market impact of Santo Tomas), and Ms. Susan on the series of crises. Using the Ople (President, Blas F. Ople Center and Training Institute) gender lens as a research tool, the study examined the wage and shared their views of the initial employment effects of the crises, findings of the study.
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David (middle) Binay
served the Presidential Security Group from 1987-1992 with seven key positions and assumed the post of Nolcom chief in June last year. David has held other vital positions in the military such as commander of the 4th Infantry Division, commander of the Army Support Command, chief of the AFP Command Center, and commander of the 402nd Brigade, among others. A member of the Philippine Military Academy class of 1977, David took the Basic Management Program in AIM in 1993, after which he continued with his master’s degrees on security studies and business administration from the Naval Post Graduate School in California and at the Xavier University. Gregory Domingo, MBM 1980 is the secretary of the
Department of Trade and Industry (DTI) under the Aquino administration. He is also executive director of SM Investments Corp., and has been on the Board since 2005, serving as executive director since 2006. He is also the vice chairman of Belle Corporation. He previously served as undersecretary of the Department of Trade and Industry and managing head of the Board of Investments. He sat as a Board member of several Laban), Chairman of Asia-Pacific government-owned and controlRegion Scout Committee and led corporations. Domingo the President of the Boy Scouts was also former president of of the Philippines. Carmelray-JTCI Corporation and Aside from serving Makati managing director of Chemical as mayor for almost two decades, Bank in New York and Chase Binay has also served the Manhattan Bank in Manila. Metropolitan Manila CommisLacierda sion as Governor, Metro Manila Authority and the Metro Manila Development Authority as Chairman and the Task Force on Traffic Improvement and Management for Metro Manila and Suburbs (TRAFFIM) and Pasig River Rehabilitation Commission (PRRC) as co-chairman.
AIM Alumni in Aquino Government GRADUATES OF THE ASIAN Institute of Management add luster to the executive office of Philippine President Benigno Aquino III’s adminsitration. Foremost is the new Vice President of the Republic of the Philippines, Jejomar C. Binay. Binay took the Top Management Program at AIM in 1996. As a former mayor of Makati City, he gained recognition for his leadership in propelling Makati as one of the most progressive cities in the country with his sterling programs for education and health. He is also the President of the United Opposition (UNO), President of Partido Demokratiko Pilipino-Lakas ng Bayan (PDP-
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Lt. Gen. Ricardo David, BMP 1993 was named the new chief
of staff of the Armed Forces. He
Domingo also holds a master’s degree in operations research from Wharton School, University of Pennsylvania, aside from his master’s degree in business management from the Asian Institute of Management. Presidential Spokesperson Edwin Lacierda, MM 1991 is a partner of Lacierda, Sandico and Bermudez law office. He is also legal counsel and co-convenor of the civil society group, The Black and White Movement. He holds a law degree from Ateneo de Manila University and a master’s degree in management from the Asian Institute of Management. He is a Constitutional Law professor at the Far Eastern University Institute of Law and the Pamantasan ng Lungsod ng Maynila. He served as spokesperson for President Benigno Aquino III during the 2010 presidential campaign. Triple A awardee Prof. Herminio “Sonny” B. Coloma, Jr., MBM 1978 heads the Presiden-
tial Communications Operations Office (PCOO). He has served as Associate Dean of the Executive Education and Lifelong Learning Center (EXCELL) and Associate Dean of the Master in Business Management (MBM) Program. Prior to his current government assignment, he has served in the Philippine government during the administration of President Corazon Aquino. He was President of the University of Makati from 1996 to 1999. Before he joined the academe in 1988, he was Vice President for Corporate Affairs and Human Resource Management of the Far East Bank and Trust Company. Prof. Coloma earned his PhD in Organization Development in 2009, and holds a Master in Business Management (With Distinction) from the Asian Institute of Management (1978). He holds a Bachelor of Arts degree major in Political Science, minor in Philosophy from the University of the Philippines (1973).
Sources: http://newsinfo.inquirer.net/inquirerheadlines/nation/view/20100630-278328/Thumb-nail-sketches-of-new-Cabinet-execs; http://www.abs-cbnnews.com/nation/06/29/10/nolcom-head-david-new-military-chief.
A IM L eader Magazine | T hir d Quar ter 2010
Bautista, MBM 1981 Heads IBG Group THIS FIRST QUARTER OF 2010 is a transition stage for the Investment Banking Group (IBG) of First Metro Investment Corporation, as Mr. Jose Pacifico E. Marcelo, IBG Group Head for 10 years, retired in February. He was soon replaced by Mr. Carmelo Maria “Melo” L. Bautista. Prior to joining IBG, Mr. Bautista already served FMIC as a Director and the Chairman of its Risk Management Committee, and as its Executive Director for Greater China Desk and Senior Client Coverage. Mr. Bautista’s more than three decades of banking experience covers the areas of banking operations, structured finance, real estate, mergers and acquisitions. Prior to FMIC, he held senior executive positions in both local and foreign financial institutions—
Dela Cruz, who in his spare time leads the Association of Filipino-Canadian Accountants, says he’s elated at the recognition. The Meadowvale resident of nearly 23 years says he’s proud to lead an organization that has grown from 30 active members, when he joined in the early ’90s, to 600 today. He said he’s also proud of heading a committee that raised enough money to buy a building for the Fiesta Filipina dance troupe to practice and perform.
“It’s the satisfaction that you’ve done something for the community.”
AIM Alumnus Receives Ontario Distinguished Service Award BEATO (BOBBY) AMIEL Dela Cruz, MBM 1978 was among six members of the Certified General Accountants of Ontario (CGA Ontario) to re-
ceive the Ontario Distinguished Service Award for showing exemplary dedication to the profession, the association and their respective communities.
AIM Alumnus, Nominee for Entrepreneur of the Year 2010
President of ABN AMRO Bank (Philippines), Inc., President and CEO of the Philippines Bank of Communications, and Local Corporate banking Head of Citibank N.A. Manila. Mr. Bautista is an alumnus of Ateneo de Manila University with a BA degree in Economics and a Master’s degree in Business Management at the Asian Institute of Management for post-graduate studies, and was in the Dean’s Citation List. Source: First Metro Investment Corporation Capital Notes Newsletter
LYNDON C. TAN, PRESIDENT of Basic Necessity, Inc. was nominated as Entreprneur of the Year 2010. The winners of the Entrepreneur of the Year Philippines 2010 was announced on October 12, 2010 at an awards banquet at the Makati ShangriLa Hotel. Mr. Tan received the Agribusiness Entrepreneur award for building a company that continues to succeed despite challenges in the agribusiness industry. Through his company, Mr. Tan helped developthe local lettuce industry, helping eliminate the need for importation and reducing market prices. With his innate understanding of the agriculture business, Mr. Tan decided that he wanted to compete with the popular agribusiness brands. To better equip himself for this undertaking, he pursued a Masters in Business Administration from the Asian
Institute of Management (AIM) before setting up his own company. To this day, Basic Necessity continues to supply vegetables to upscale hotels and restaurants, the wholesale mecca of Divisoria and even markets as far south as Mindanao. The Entrepreneur of the Year Philippines will represent the country in the World Entrepreneur of the Year 2010 in Monte Carlo, Monaco in June 2011. The Entrepreneur of the Year is produced globally by Ernst & Young. The Entrepreneur of the Year Philippines 2010 has concluded its search for the country’s most successful and inspiring entrepreneurs. Entrepreneur of the Year Philippines is a program of the SGV Foundation, Inc. with the participation of co-presenters De La Salle University, Department of Trade and
“It’s the satisfaction that you’ve done something for the community,” said Dela Cruz, who also has a leadership role in the National Council of Philippine American Canadian Accountants. Read more: http://www.mississauga.com/community/ article/879703—accountants-awarded
Industry, Philippine Business for Social Progress, Philippine Stock Exchange and the Schwab Foundation for Social Entrepreneurship. Source: http://www.bworldonline.com/main/ content.php?id=19390
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Hyun Oh Cho Receives Alumni Leadership Award
From left: Mr. Greg Atienza, MBM 1983, Alumni Relations Executive Managing Director, Prof. Jun Borromeo, MM 1977, Mr. Hyun Oh Cho, and Ms. Dina Paterno, Development Office Executive Director
MR. HYUN OH CHO, MBM 1985 received the Alumni Leadership Award for his generous donation of USD24,000 to the AIM Alumni Leadership Fund for Scholarships last September 1, 2010 at the Asian Immersion Program 2010 Alumni Networking Dinner in Seoul, South Korea. “The money I donated was very small. Because of this (award), I think I should donate more…I am ashamed because I just donated exactly the same amount I received,” he quipped. Mr. Cho was a Ford Motor scholar when he entered AIM.
“When you are given something, you have to give back,” he shared. Mr. Cho always considered the Ford Motor scholarship as a “personal debt which needed to be repaid when given the ability and means.” Gervasius Patar Samosir, MBA 2010 received the Hyun Oh Cho scholarship.
“The money I donated was very small. Because of this (award), I think I should donate more…I am ashamed because I just donated exactly the same amount I received.”
AIM Alumni Get-Together in Japan AFTER MORE THAN A decade, and for the first time for many of the participants, the AIM Alumni get-together in Japan was held in downtown Tokyo on July 23, 2010. Despite their busy schedules, 15 alumni and guests gathered for an evening of great food and wonderful company.
Ms. Etsu Inaba, MBM 1989 and former AIM professor, welcomed everyone to the gathering. After the “KANPAI” toast, each participant gave a brief introduction and shared his/her memories in AIM, which included how the learning and experience in AIM helped his/her professional life.
Ms. Yumiko Hatori, MBA 2007 initiated the get-together with the support of Ms. Inaba and Mr. Masatomo Toyoda, MDM 2003. Even though most of them attended different programs at different times, they were immediately united with a common bond. Good conversations ensued by
exchanging wonderful memories of their school days in the Philippines. Mr. Sanjay Jha, MBA 2007, an Indian alumnus who currently works in Tokyo, also joined the event, and his presence helped remind the other alumni of the international atmosphere at AIM. During the party, the group unanimously decided to hold an annual get-together to activate the AIM Alumni network in Japan. After two hours of enjoyable chatting and drinking, Mr. Kenshi Ichiki, J&J 1988 gave the closing remark to wrap up the happy event. Present during the event were: Takeuchi Joji (BMP 1985); Inaba Etsu (MBM 1986); Ichiki Kenshi (J&J 1988); Okamoto Mitsuhiro (MBM 1992); Izuma Mikiya (MBM 1994); Kashimura Yumiko (MBM 1995); Ookubo Shinichi (MBM 1996); Takahashi Ken (KBS 1996); Kojima Hirotsugu (KBS 1997); Takasu Naoko (MDM 2002); Toyoda Masatomo (MDM 2003); Umeyama Yuko (MBA 2004); Sanjay Jha (MBA 2007); Hatori Yumiko (MBA 2007); and Fujio Misako (Keio Business School Officer for exchange program).
A IM L eader Magazine | T hir d Quar ter 2010
Malvan Hwang Reunites with MBM 1974
by Gary Grey, MBM 1974
LAST JULY 16-20, 2010, Malvan Hwang, MBM 1974 visited Manila as part of the contingent of the The Y’s Men’s Club of Taipei Downtown on a R&R tour of Manila. This was a historic moment for Malvan Hwang as it was a homecoming and reunion of sorts with MBM 1974 classmates whom he had not met for 36 years. He was also on a personal mission—to give back to AIM what AIM had given him—a scholarship grant. Roland Young (MBM 1974 Triple A Awardee and former AAAIM Chairman) and Gary Grey current AAAIM Board Member organized a series of mini-reunions when he arrived on July 16 up to his departure on July 20, 2010. On Saturday, July 17, 2010, Roland hosted a luncheon at Gloria Maris Restaurant Greenbelt 2. General Johnny Dator (ret.), one of Malvan’s roommate at the AIM Dorm, personally accompanied Malvan from Renaissance Hotel to go the Restaurant. They were met along the way by Gary Grey. Malvan related how he is now in the stainless steel industry and how his AIM education enabled him to effectively manage a foundry. In the restaurant, Junie Caringal, Jess Villongco, Nitoy Estrellas (another roommate of Malvan) and Gary Lim joined to reminisce the AIM days when the current Greenbelt 2 was bare
“cogon” land with some horses grazing. Gary Lim spoke to Malvan in fluent Mandarin making Malvan really feel at home and in high spirits. The sumptuous Chinese lauriat lunch was punctuated by a long-distance call to Bobby Teo based in Davao, Malvan’s other roommate, who committed to meet up with Malvan on Monday, July 19, 2010 before Malvan goes back to Taiwan. Roland invited Malvan to play golf at WackWack on Monday. After lunch, Malvan revisited AIM together with Johnny, Gary Grey, Gary Lim, and Junie Caringal and had some photos at the hall where the triple A Awardees photos were hung (which included three MBM 1974 classmates— Bobby Chandran, Roland Young, and Boyet Limon.)
On Monday night, July 19,2010 (after a round of golf with Roland in the morning), Malvan had dinner with AIM’s Vicky Licuanan and Ms. Dina Paterno to write a check donating US$ 30,000 as a scholarship grant. (In a later e-mail to Gary Grey, Malvan specified his wish to grant this scholarship to a deserving Filipina who comes from a poor family). The plan on Monday night was for Johnny Dator to pick up Bobby Teo from the airport (from Cebu) to meet up with Malvan Hwang at the Renaissance lobby after his dinner with Ms. Licuanan and Ms. Paterno. And so more reminiscing ensued at Renaissance Hotel lobby with Johnny, Gary, Jess, Junie, Nitoy, and of course Bobby Teo.
Dato’ Syed Ahmad Idid Elected Chair of CoF of MIHRM by Haji Zulkifly Baharom THE COUNCIL OF MALAYSIAN Institute of Human Resource Management (MIHRM) has announced that its Past President Dato’ Syed Ahmad Idid, ABMP ‘83 and Triple A Awardee 2006 is now the new Chair for its Court of Fellows (CoF). Concurrently, Fellow Haji Zul Baharom, MM ‘89 the Vice President of Kelab AIM, has also been appointed as the Deputy Chair of CoF respectively. Both appointments take effect on September 1, 2010. MIHRM, established in 1975 is a professional association for HR practitioners, consultants and scholars. Its Patron is the Honorable Minister of Human Resources. Many alumni describe the iconic Dato’ Syed as the “Last of the Mohicans” who could bring noticeable change in the CoF of MIHRM.
Dato’ Syed (in white shirt and tie) hosted lunch for visiting AIM President Edilberto de Jesús at Royal Selangor Golf Club KL. Others present were Zul, Ben and Phillippine Commercial Attache Eric Elnar.
Dato’ Syed, a lawyer, was awarded the AIM Alumni Achievement Award (Triple A) for being the high distinction student in Asian Bankers Management Program for Class 1983. He is currently a research fellow and visiting professor at the Law Faculty of International Islamic University Malaysia (IIUM). He has successfully served as a Judge in the High Court and was the Director of the Kuala Lumpur Regional Centre for Arbitration (KLRCA). As Director/CEO, he oversaw the smooth running of this 47- nation member centre that hears arbitration cases between parties from Pakistan to Africa. He left KLCRA in 2007. In the corporate world, he first worked for the Guthrie Group and later Dunlop, both as Personnel and Industrial Relations Manager. Dato’ Syed has a stint working for Public Bank as Director of its legal division for seven years. During those interesting HR days in mid70s, Dato’ Syed was actively involved in setting-up MIHRM (at its formation known as MIPM) and was elected as the Founder Hon. Secretary and subsequently as its President.
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reduces the worst of disparities. This is what Asian Development Bank advocates, and it is how I have spent most of my career. Now, work in development institutions such as the ADB is not for everyone, nor should it be. But this point is very important. Don’t let anyone ever tell you that you can’t “do good” while working in your own chosen fields. Yes, investment banking is a world apart from development banking. And yes, investment by Philip C. Erquiaga banking is a rough and tumble Director General, place, where winners and losers are Private Sector Operations Division, ADB settled at every day’s end. But it’s also a microcosym of that constant search for efficiency and productivity that is at the foundation of growth. Lessons learned in private enterprise can be applied to public financial management to great effect. It can drive growth, and as I said, growth is at the foundation of every effort to bring prosperity to Asia, and reduce the misery of our fellow citizens in the region. Some of you have requested that I speak for a few minutes on Asian Development Bank, and on our work in clean and renewable technologies. This is an important area for Asia, and an important agenda for ADB, and I’d like to reflect on this for a moment. ize anyone in my This commencement speech No doubt most of you know that the class by that term. was delivered before the AIM MBA multilateral development banks are unique Few of you may Graduating Class of 2010 on organizations. Their mandate is to work with choose to believe it now, September 12, 2010. the governments of the region at common but my graduation picture is purpose: i.e. reducing poverty. This usually of a young man with hair half way LET ME FIRST down his back. Indeed, many of us chose means that our activities are focused in of all extend my areas of both hard infrastructure developto pursue alternative life styles back then, congratulations to each of ment, such as roads, bridges, and power some of us entering public service, a few you. Your hard work, energy and going into business, and others, yes, living in stations, as well as soft infrastructure, such drive have brought you to this point. You’ve the woods. It was both the time and the place as education and health programs. I head up successfully completed your MBA studies that part of the bank that works exclusively for it. I set out on the road for the next two and you’re now at the cusp of your careers. with the private sector. This is because we years, living off my meager savings and any Well done and congratulations! income I could generate, through some very in the ADB believe that private investment is It’s an honor for me to be here today at this commencement ceremony. I look around remote parts of South America. Best educa- the only real avenue to ensure long term and and see faces full of promise. You’re embark- tion I ever had, frankly. But one thing these sustainable growth. No public sector balance ing on a new phase of your lives. It’s an excit- experiences gave us all was perspective, and sheet, anywhere in the world today, is able to fund, on its own, the immense investment I’d like to come back to this point shortly. ing time, for sure, but a bit intimidating as required for growth. So this is why private With degree in hand, many of you well. You’ll face many challenges on the road sector development has become our mantra. will now pursue opportunities in private ahead, and you’ll find yourselves judged by enterprise, finance, and technology-related Indeed, much of what we do on the public the manner in which you deal with these. sector side as well is aimed at providing the fields. That many of you will pursue Many years ago, I was in a similar posiright conditions for private investment. these opportunities in Asia is both fitting tion as yourselves. Of course, circumstances Our private sector operations department were a bit different back then. I was studying and fortunate. Asia needs your talents. works with private developers and financiers Notwithstanding all the talk about the at the University of California at Berkeley, in bringing individual transactions to market. dynamism and growth in Asia, there are then known as “The People’s Republic of We have two main areas of engagement: infrastill many parts of the region that remain Berkeley,” and for good reason. Many of my structure and capital markets. In infrastrucunderdeveloped and wanting. Your skills, classmates were free spirits, hippies and ture, we’re heavily focused on power. Historihowever applied, will offer to Asia further maybe a few yippies. The term “yuppie” had opportunity for growth. And it’s growth that cally, this meant conventional carbon for base not been invented yet, and we certainly load demand, but now increasingly we’re drives employment, increases incomes and would have been hard pressed to character-
Asia Needs Your Talent
ILLUSTRATION: CHILI DOGS
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focused on clean energy. In addition, we fund transport investments (ports, airports, roads and railways), telecommunications and urban infrastructure, including water, solid waste management and sewage. In the capital markets, we work a lot with financial institutions in promoting SME lending and micro-finance, trade finance, securitization, housing finance and private equity. Now Clean Energy has become a key area of our private sector operations. This is central to the goal of inclusive growth which is important to our long term corporate strategy and a fundamental component of our 2009 Energy Policy. Climate change, and the need to address it, is a key motivation for us in promoting clean energy. Now, let there be no mistake on this point. The global economy cannot afford to pursue exclusive carbon based technologies moving forward. Note that I said “afford”. As most things in life, it always comes down to dollars and cents, doesn’t it? Notwithstanding the very real environmental and health consequences of continued carbon consumption, at the end of the day, it all boils down to the hidden cost and impact on the public and private sector balance sheets. And increasingly we’re coming to realize that the hidden economic and financial cost of carbon, in terms of clean up, impact on livelihoods, atmospheric warming and health, are becoming too grave. Alternatives must be developed, and this is why I think those of you that have chosen this path have many opportunities ahead of you. ADB’s policies on clean energy emphasize a continuing commitment to catalyze and advance the clean energy agenda in Asia and the Pacific. In this connection, we’ve set certain targets and objectives for ourselves. Specifically, • ADB has increased its clean energy investment goal to $2 billion per year from 2013. This doubles our previous target of $1 billion per year. • In our Clean Energy Program, ADB has an expanded mandate to support clean energy through both energy efficiency and renewable power, including wind, solar, biomass, waste to energy, hydro and geothermal. • ADB will seek to maximize access to energy, including for communities not connected to electricity grids. Indigenous renewable resources—like those just mentioned—can be tapped to bring modern energy to those under served communities. • ADB will assist countries in developing policies and regulations, and undertaking energy sector reforms, that will enable them to transition to low carbon economies
With such goals and objectives in mind, what are we finding to be the key challenges? Well, we’ve found that the main challenges to development of renewable and clean energy are related to investment, funding and the regulatory environment. The International Energy Agency estimates that energy use in developing Asia will increase by 96% by 2030, meaning that developing Asia’s appetite for energy will grow to represent 37% of the world’s energy consumption in twenty years. How will we finance the considerable investment required to ensure that this energy demand is met though clean and sustainable technologies? Conventional financial institutions are often apprehensive of clean energy investment due to their unfamiliarity with respective technologies, and the high upfront costs, especially compared to conventional sources of energy (such as coal and gas).
As you go forth, trust that you have what is necessary to contribute your meaning in this world. You are a good seed. Germinate and grow and yield many fruits for many to share. The present regulatory frameworks in most countries favor conventional energy sources. Energy tariffs, especially those for electricity, rarely reflect the true costs of supply. By and large, they do not account for environmental impact and they are distorted by cross-subsidies. And, finally, we are all aware that the electrical infrastructure is far from perfect in most of our member countries, and we have to deal with that issue in order to incorporate wind into the electricity system. ADB can, and is, playing a significant role in helping to address these challenges. As you generally find in project financing of infrastructure transactions, success is often determined by a sensible approach to risk and risk distribution. ADB’s private sector operations in general, and more specifically in relation to clean energy, are aimed at mitigating and distributing risk. Our presence in transactions is frequently the catalyst needed to secure other sources of commercial financing and to improve its terms, particularly the maturity profiles. Our guarantee products provide lenders with added comfort that
contractual obligations will be met and that perceived risks can be managed. ADB also catalyzes investments for clean energy through clean energy-focused private equity funds. Among the funds we’ve helped finance are the Asia Clean Energy Fund, the China Clean Energy Capital Fund, the China Environment Fund III, the South Asia Clean Energy Fund, and the MAP Clean Energy Fund. These funds facilitate development in different sub-sectors relating to clean energy, such as small hydropower, solar, wind, biofuels, biomass, geothermal, clean technology, energy savings and efficiency, and greenhouse gas mitigation related projects. By investing in the growth and expansion of clean energy companies and greenfield projects, funds facilitate the investment of long-term capital and make clean energy a sustainable investment niche. We anticipate that greater private participation in this area will reinforce the capacity of developing member countries to improve the sustainability of their respective supply-side and demand-side targets and collectively attain energy security in the region. Finally, ADB is very actively involved in policy advocacy work in member countries, promoting effective and fair regulatory and tariff regimes, as appropriate. Now, let me take a quick example: wind. It’s not that we are working exclusively in wind or necessarily focus on wind at the exclusion of other technologies. But it is demonstrative. Wind power can simultaneously address the challenges of energy security, climate change and access to energy for all. For this reason, ADB is exploring options for a quantum leap in wind power development in Asia. Asia is now the fastest growing wind market in the world, but the vast majority of countries in our region are unfortunately not part of this boom. To date, ADB’s private sector operations department has supported three wind power projects: two in India for the total installed capacity of 263MW, and one in PRC with the installed capacity of 50MW. ADB’s loans to these projects amount to $180mil. The installed capacity in these two countries has them ranked among the top five wind power producers in the world. We are exploring more opportunities in PRC, Thailand, India, and Pakistan. Notwithstanding this promising start, we have yet to see a considerable increase in wind capacity in the rest of Asia. We still face lots of barriers for large scale wind investments: Institutional, technical, regulatory, “Asia Needs Your Talent” cont. on page 24 >>
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Making a Difference in Our Societies
by Preeti Jain, MBA 2010 Cohort 4
In that picture I envision AIM like a banyan tree standing tall and expanding in all directions with a mission of making a difference in sustaining the growth of Asian societies by developing professional, entrepreneurial and socially responsible IT IS A PROUD PRIVILEGE TO SPEAK leaders and managers. Friends, we are the on behalf of Cohort 4, 2010 and more imporyoung offshoots of this Banyan tree ready to tantly, be a part of this diversified group. face the sun; there are new challenges and Friends, congratulations to all of you on dreams ahead of us, but in the process we completing this 16-month rigorous journey always need to remember value of knowlof great learning and evolving. Today, I am edge, perseverance and ethics we imbibed not going to remind you about the number from this great institute and yet stay conof cases we studied or the endurance tests nected to our roots. Because, at the end of of overnight WACs we sailed through. But day it does not matter how much money we as we learned important lessons during the made or the accolades we received but what course, look at the bigger picture. Today, we gave back to the society. I want to talk about that big picture. With the changing business dimensions of the world, the MBA is not just about MasThere are new ters of Business Administration. Rather, it’s: challenges and M stands for a manager who is socially dreams ahead of us, but in the process and morally responsible B emphasize on broadening your horizon we always need to so that you can commit to adventures remember value of knowledge, A relates to achieving your dreams, yet perseverance and always remind yourself of the importance of ethics we imbibed gratitude and humility in life. from this great A quote says, “There is no end; there is no institute and yet stay connected to beginning. There is only the infinite passion: Life.” We are indebted to our great teachers our roots. This speech was delivered during the MBA graduation held last September 12, 2010 at the Stephen Fuller Hall of the Asian Institute of Management.
>> “Asia Needs Your Talent” continued from pg. 23 economic and financial barriers, particularly perceptions of risk. But these barriers can be overcome, if we have experts such as you to push the agenda forward. The key challenge is to identify country specific constraints and develop roadmaps to overcome these constraints to achieve a quantum leap in wind energy development. This is one of the main goals of ADB and having the addition of your talents, at least those of you pursuing careers in alternative technologies such as wind, will help us achieve our objective of rolling out wind power more broadly in Asia. Before I close, perhaps I can offer a few perspectives on opportunities and challenges facing you all. Whether you return to your countries of origin, stay here in the Philippines or migrate elsewhere, the challenges will remain the same. The world is becoming an increasingly integrated and
competitive place. Communication is now instantaneous, and each of you, will always “be on call” in one form or fashion in your chosen careers. This means you’ll never really “get away” from the challenges, but it also means that you can exploit opportunities far more aggressively. Technology can be a marvelous thing, but sometimes, given the progress we’ve made over the last 25 years, it’s taken far too casually. Remember, it wasn’t too long ago that sensitizing corporate financial statements meant manually re-calculating each equation of a spreadsheet. That’s what I did when I first entered banking. If we wanted to send that spreadsheet to another office, we’d have to mail it. Today, we hit a button to re-calculate an entire complex of sophisticated equations and we hit another button to send it half way around the world. This is opportunity knocking. But against opportunity are challenges. There are immense global
who made us believe in our passion, have faith in our skills and capabilities. On behalf of Cohort 4, I convey our sincere gratitude to all our teachers here. I also thank our Programme Director for always being there, and especially our Programme Assistant Ms. Tess always with a smiling face to help us out. Our journey would never have been as fulfilling and rewarding if we didn’t have the love and support of our families and friends. We are thankful to our parents for their encouragement in all those moments of diffidence: without them this would not have been possible. My dear friends, we know each one of us is unique and I believe in each one of us. Let us continue our voyage to reach for the stars and never settling for mediocrity. Always remember, this life is being given to us to make a difference and I am confident that Cohort 4 of 2010 will make a difference in the societies we live. I would like to close by quoting Carl Jung, a great thinker of his time: “Your vision will become clear only when you can look into your own heart. Who looks outside, dreams; who looks inside, awakes.” So, today look into your hearts and be awake before you start a journey. I wish you all love, success and harmony in life. Goodbye, ’til we meet again.
issues, such as climate change, that will only become more pronounced in the years ahead. If there is one thing I can guarantee you, its that making your careers in this environment will require commitment and thick skin. You’ll all have your share of frustrations. But one thing will remain central to your happiness and satisfaction, and that will be perspective. Above all else, retain perspective in what you do. I know its very hard to think about this at this point in your careers, but focus on your priorities (whether professional, familial or social), and remember them. Come back to them occasionally, re-evaluate them. I’m also here to tell you that it’s ok to experiment. It’s ok to experiment and to take risks. The lessons you learn from this will take you through the hard decisions, and will help to guide you on your individual paths. In a world as increasingly integrated as we’re facing, personal
relationships and partnerships are key. Remember, these are always two-way. You get what you put in. The friendships you form at this point in your careers may follow you through the rest of your careers. And always, always treat friends, acquaintances and, in particular, business competitors and rivals, with respect. No one ever knows how the world turns and where things will be tomorrow. In my career, I’ve seen many twists and turns, and rivals today turn out to be allies and even friends tomorrow. In other words, always take the high road. It will serve you well. And finally, don’t lose your optimism. With the crisis still hanging over our heads, its easy to be pessimistic. Pessimism as an anchor in reality is not bad, but it shouldn’t be a way of life. We need your optimism to make this world work. Good luck in the months and years ahead, and again, thank you for inviting me.
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Leave a Trail
management control system, balance score card and strategy frameworks. Insights on these were given by Prof. Larry, Prof. Tony and Prof. Gallegos. by Hemlata Pathania Class President, BMP Innodata Isogen Although there was no participant from sales and marketing from our side, do. All of our previous practices and workThis speech was delivered during the closing ceremonies of BMP Innodata Isogen related beliefs were probed and dissected for we learned various aspects of marketing from Prof. Chito and Prof. Karen. logic and soundness. held last September 11, 2010 at AIM, graced The important thing which we liked “A professor is someone who talks in by the presence of Innodata Isogen COO someone else’s sleep.” This was said by W.H. about this program was its integration with Mr. AK Mishra and Professor Grace Ugut. our company’s requirement. Special efforts Auden and experienced by all of us here in were made by Father Ed and Prof. Gavino AIM. Statements like “If you are a leader, “TRY NOT TO BECOME A MAN OF SUCwhen they tackled real situations of Innodata cess, but rather try to become a man of value.” change the rules of the game” and “What’s in it there for you” are some of the powerful in our sessions. These are the words of Albert Einstein Last but not the least, our Business insights replayed in our hearts every time. and this was the vision Sir AK Mishra has Prof. Pat’s Coaching and Environmental Strategy session with Prof. Richard Cruz. given to all of us before coming to AIM. Although the game was stressful, he made it Analysis classes have helped us in underThanks to him for organizing this Business fun with long-lasting learning experiences. Management Program, which has shown us a standing various concepts of mentoring As Mahatama Gandhi said, “I suppose new world of learning and knowledge at AIM. and coaching. And how can we forget Prof. leadership at one time meant muscles; but I am honored to stand here and sincerely Manny’s Negotiation Class. He has given today it means getting along with people.” us skills to negotiate in all circumstances. acknowledge the efforts put by our profesThe same was experienced by us during Thankfully, we didn’t have revolvers. sors in fulfilling our dream. our CAN group discussions and now we are Thanks to Prof. Dizon and Prof. Mau Today is a bittersweet day for me and equipped to seed this in others at Innodata. for making us understand balance sheets the rest of the BMP participants. Today, and income statements. And now we are not The time spent here, with teachers, colthe hard work we have put into the program scared of these documents and will analyze leagues and everyone involved has helped us for the past three months is recognized. understand the need to balance time spent them instead of just filing. However, today also means that we will all How to deal with our people was taught in thinking, doing and communicating. be going our separate ways soon, and the And how can I forget to thank Bessie, by Prof. Mila in her HBO class and Prof. bonds formed here will soon be challenged Chic and Manna our food contractor. Mary has challenged our communication by distance and workload. I have started with a quote and will end skills to tackle all situations of business. I remember the first day of classes here with a quote by Ralph Waldo Emerson: The critical thing in any organization in the Korean case room with Prof. Galang. “Do not follow where the path may lead. We all appeared very eager, thinking that we is to know the competition well and was experienced in our operations management Go, instead, where there is no path and leave were well-prepared to handle any classroom a trail.” class by Prof. Nani and Supply chain challenge that will be thrown at us. We Thanks to the AIM Faculty for enlightening management by Prof. Bernardo. were all a little cocky. But we realized soon us with this thought and God bless us all! Key to success in a business is the enough that we all had a lot of learning to
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Philippines and Korea Business Report
by Edgardo J. Garcia
Commercial Consul, Philippine Trade & Investment Center, Embassy of the Philippines in Seoul
Filipinos have become accustomed to two Korean phenomenal waves: first is “Hallyu”, Korean soft power that has captivated strong followings in other Asian countries as well and second, the big wave of Koreans that come to the Philippines to work, visit, live or study. In 2009, there were about 1,000 Korean companies doing business along with over 630,000 tourists, 115,400 residents and retirees, and more than100,000 students learning English during their school breaks. Why the Philippines? This article was first published in Korean text in the journal of the Korea International Trade Association (KITA) in July 2009. The Philippine Advantage The Philippines is the world’s 3rd largest English-speaking country of 90 million people, friendly to foreigners and long exposed to western culture. Mostly Christians of mixed Indo-Malay, Chinese and Spanish background with 94.6% literacy rate and 70% English proficiency, they are highly-trainable, creative and adaptable to the demands of global markets for goods and services. The country has a young and robust population with a median age of 22.5 years that grows by 1.95% annually. Total labor force is 36.8 million. Situated in the heart of Asia, the world’s fastest-growing region and gateway for
international shipping and aviation, the Philippines is within 4 hours flying time to key Asian cities. It is the closest southeast Asian country to Korea and takes only 3.5 hours to fly from Seoul to Manila. Shipping time from there to key seaports in Asia is within 48 hours. With Korea-ASEAN FTA and the ASEAN Free Trade Agreement (AFTA) in place, it is a suitable distribution hub that can service the 570 million ASEAN consumers and the 90 million Philippine domestic market. The Philippine archipelago has diverse natural resources, from land to marine to minerals. It is the biggest copper producer in southeast Asia and among the top gold producers in the world. It has 300,000 hectares of rich arable land and 7,107 tropical islands with 36,000 km of coastlines of beautiful beaches and breathtaking sceneries. Located inside
the Southeast Asian marine diversity triangle, it has the highest concentration of marine life on earth, home to 2,145 fish species that are four times those found in Bahamas. Tropical setting of sun, sea and sand with western amenities, the Philippines is second home to expatriates who enjoy the company of friendly people, varied cultures and global outlook. It offers accessible and affordable housing, medical, shopping, and recreational facilities. It has first-rate educational institutions including international schools and English-language training centers that are recognized for quality and good value. The Philippines is an open economy that allows 100% foreign ownership in almost all sectors. It operates a Build-OperateTransfer (BOT) investment scheme for large infrastructure projects that other countries emulate. Government corporations are
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PHOTO: CHRISTIAN SENGER
being privatized and key industries have been liberalized and deregulated. These are: aviation and shipping, banking and finance, manufacturing, mining, petroleum, power, retail trade, water and telecommunication. Incentives for several sectors include income tax holidays, reduced corporate income taxes for those in special economic zones, and tax and import duty exemption of capital equipment and raw materials. Over 400 multinational companies that register for regional headquarters are entitled to tax exemptions and tax and duty-free importation of specific equipment and materials. Philippines-Korea Trade Relations Total trade between the Philippines and Korea have increased significantly from $12 million in 1965 to $5.5 billion in 2008. Korea is now the Philippines’ 7th largest trading partner, its 7th export market and its 7th import supplier. Korea consistently enjoys the trade balance as it exports higher-valued manufactures. Philippine exports to Korea consist mainly of copper products, electronic parts and components, coconut feedstuffs, fresh fruits, and marine products. The Philippines
is the dominant supplier of fresh bananas, pineapples and mangoes in Korea. The growing number of Korean residents, tourists and students traveling to and living in the Philippines will create more demand for Philippine goods and services. Together with the 50,000 Filipinos living in Korea and the growing interest of Philippine companies on Korea, more Philippine products will find their way in the Korean market. These will include: ice cream, snacks, biscuits, confectionery, spices and condiments, organic and natural food and personal products, fashion accessories, furniture, gifts and housewares and construction materials. IT-enabled services like back office operations, ESL language training, engineering design and architectural services will also expand as Korean companies access them for their Korean and overseas markets. Creative arts from the Philippines have large potentials in Korea in areas such as film, performing arts, literature, fashion, and IT-related services as animation, games and content development. The UNDP reports that the Philippines is one of the top 10 exporters of visual arts among developing countries. Creative industries contribute 5% of its GDP and accounts for 11% of its labor force. Philippine imports from Korea consist of electronic parts and components, watch components, petroleum, gas and oils, textile fabrics, chemicals and motor vehicles. Electronics will continue to dominate the exchange of goods as Korean companies and other multinationals expand their operations in the Philippines for assembly and re-export to Korea and other countries. Shipbuilding components and automotive parts will become major products for trade as Korean companies expand their operations in the Philippines. There are good prospects for Korean companies using the Philippines as logistics hub to distribute products to ASEAN, China and others. Philippines-Korea Investment Relations Korea is now the 2nd largest source of foreign direct investments (FDI) in the Philippines with PhP 40 billion ($896.3 million) approved by the Board of Investments (BOI) and the Philippine Economic Zone Authority (PEZA) in 2008. Over 1,000 Korean companies operate in the country of which 234 are located in
special economic zones while others are found in Clark and Subic freeports. Total Korean FDIs from 2004 to 1st quarter 2008 reached $2.3 billion, next only to the USA ($2.7 billion) and Japan ($2.5 billion). The ASEAN-Korea Investment Agreement signed in Jeju on 02 June 2009 will further encourage and protect Korean investments in the country. To assist Korean SMEs investing in the Philippines, Korea’s Small Business Corporation (SBC) maintains the Korean Desk at the BOI. Notable Korean investments in the Philippines include the $1.7 billion shipbuilding operations of Hanjin Heavy Industries & Construction in Subic; KEPCO with three generating plants that account for 12% of Philippine power supply; Samsung Electronics manufacturing and logistics operations; LG in mining and, a growing number that build and manage golf courses, hotels and tourism facilities. Investment Opportunities in the Philippines Energy—Green Power For 2008-2017, the Philippines requires additional 5,128 MW of power. Together with the 3,805 MW being offered for privatization, a total of 8,933 MW are available for investments. Up to 2014, it will build 41 hydropower and 62 geothermal plants. Potential energy sources for development are: geothermal—2,600 MW; hydro—13,000 MW; wind—76,000 MW; tidal—170,000 MW. Special laws— the Renewable Energy Act RA 9513 and the Biofuels Law RA 9367—give income tax holidays, tax exemptions and other incentives to investors engaged in renewable energy, feedstock supply and production of biofuels. In 30 May 2009, the Korea ExIm Bank and the BOI signed an MOU to promote investments in renewable energy projects. In 31 May 2009, KOTRA signed an MOU with the Department of Environment and Natural Resources to assist Korean investors in Clean Development Mechanism (CDM) projects that involve renewable energy. Tourism, Health and Retirement The number of tourists have grown to over 3 million in 2008 and Korea was No. 1 with over 630,000. Koreans now comprise “Philippines and Korea Business Report” continued on page 33 >>
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The Philippine-South Korea Free Trade: Bae Yong-Joon for Ensaimadas by Alfonso Delgado, MDP 2001 TELEVISION DRAMAS FROM SOUTH Korea are a hit everywhere! From Japan to China, Hong Kong, Taiwan, Southeast Asia, North and Latin Americas and even in the Middle East and Africa! Dubbed in the local languages of the importing country, Korean dramas have become so popular it now has legions of fans addicted to these series reflecting the Korean culture and society, loaded with fast-paced writing, beautiful sceneries, latest fashion and whose lead characters are always played by goodlooking actors with perfect set of teeth and skin. Hallyu and Bae Yong-Joon The Korean Wave, or ‘Hallyu’ as they call it here in Korea ( in Korean), is the term used to describe the popularity and influence of Korean entertainment and entertainers overseas: Korean pop music and singers, movies, television dramas, Korean actors and even products. One of the most popular of the Korean dramas that ever hit the Philippines is Winter Sonata, whose lead actor, Bae Yong-Joon, has achieved a god-like status in Japan, where women of ‘a certain age’ (you know what I mean) worship him like, well, a god! They call him Yon-sama, a name that denotes the highest respect, and if you don’t know who he is, just visit a Faceshop store. His face is all over the place; he’s the guy in a white shirt and spectacles, holding a bouquet and flashing that perfect smile which welcomes women, enticing them to buy Faceshop products. The success of these Korean dramas usually results in a windfall for its lead actors who are offered lucrative endorsement contracts for products marketed in Korea or in another country where he or she has won fans through the drama. In Seoul, even if you’re not a fan, you would still know if the current TV drama is a hit because the lead actor’s face is all over the city. Lee Min-Ho, who played Gu Jun-Pyo in Boys Over Flowers, was on posters plastered at donut shops. Other successful actors would be seen on TV selling products ranging from coffee, clothes, make-up, cell phones, apartment units and of all things, insurance. K-Pop Music And aside from the dramas, Korean pop music also has its own following, although it’s mostly for the younger generation represented by grade schoolers, teenagers and fans in their 20’s, who I’m sure can always pronounce
the tricky Korean names of the individual members of the girl and boy bands. Some solo artists though have unique names: Rain (or Bi in Korean), Se7en (yes, the number) and BoA (not the reptile); and members of boy bands such as Big Bang (not the theory) such as G-Dragon (not the string) and T.O.P., which are easier to remember. I guess since the real Korean names of these entertainers are very common in Korea, they opted for foreign-sounding ones in order to stand out. And when it comes to naming a group, the talent management companies have to come up with unusual names like Mblaq, SS501, Shinee, Super Junior, Big Bang, FT Island, CNBlue, TVXQ for boy bands; and Girls Generation, Wonder Girls, Jewelry, Secret, 2NE1 (Sandara Park’s group), and T-ara for girl groups, to name just a few, because with so many bands (I think one debuts every other week!), the fans should be able to remember the ones with unique names; although I’m not too sure as to the logic behind the naming of the two boy groups, 2AM and 2PM. I guess they were created within 12 hours of each other. And when they have cute names, these members should also look pretty and handsome because that’s what the screaming fans like. With these boy groups trying to outdo each other in terms of costumes, hair style and makeup, they almost look androgynous; while the girl bands compete as to who has the biggest hair, thickest makeup, shortest skirts, sexiest choreography and catchiest tune. And some groups having eight or more members, they look like cheering squads on stage, instead of singers. And did you ever notice that all members of these girl bands seem to look the same? In addition to their vocal coaches, costume designers, choreographers and makeup artists, they also have their cosmetic and dental surgeons to thank for. And speaking of K-pop, who can forget that song Nobody, Nobody from the Wonder Girls which was played everywhere? One time, I was on a bus here in Seoul when that song played over the bus’ radio when I noticed a girl in her high school uniform on the front of the bus moving to the tune while seated with her hands dancing to the choreography. The song was almost over when she realized she missed her stop! She frantically pushed the ‘Stop’ button and loudly asked the driver to let her off. She did get off, but didn’t finish her performance. Let’s go back to the dramas.
Korean Drama F ans And just like most of the Korean drama fans in the Philippines, the ones in Korea never forget the time slots of their favorite dramas. They either watch it at home, in their cars, at restaurants, at the gym while on the treadmill, or at their mobile phones (through digital mobile broadcasting) while on the bus or in the subway on their way home. And for the international fans who can afford, they travel to South Korea to visit the locations where the dramas were filmed. Nami-seom (Winter Sonata), Hongdae (Coffee Prince), Namsan Park (Lovers in Paris), and of course, Changdeokgung (Jewel in the Palace) are just a few locations where fans head to. And most of them also visit the Namdaemun Market where they buy their Korean drama souvenirs to bring home. The Philippine-South Korea Free Trade But one fan in Manila, Cielo, who happened to be a good friend, could not get enough of her idol, Bae Yong-Joon, that she asked me to buy his poster and have it sent to Manila in return for a dozen Mary Grace ensaimadas, which she learned was my favorite. I told her the ensaimadas were enticing, but buying the poster would involve a certain amount of embarrassment for me since I was a guy and was worried how would the shopkeeper at Namdaemun Market think of me as I buy another guy’s poster. She immediately doubled the quantity! And in return, I bravely bought it and had it flown to Manila! With this, I realized that all these years the trade between the Philippines and South Korea actually does not just involve tourism, agricultural products, manpower, cars, electronics, minerals and English lessons. With the involvement of Hallyu, new trading partnerships are created! Though not between huge corporations, it’s still a trade! While Cielo was ecstatic with her Bae Yong-Joon poster, I enjoyed the Mary Grace ensaimadas, which she sent through a friend flying to Seoul. There may have been other countless trading partnerships between the Philippines and South Korea involving Lee Min-Ho, Girls Generation, Super Junior, Kim Bum, Shinee or Won Bin posters, and some Philippine delicacies. The two countries have been friends since 1949, and that friendship, strengthened by economic, cultural and social exchanges throughout the decades, has been even made stronger by Hallyu, Bae Yong-Joon and some yummy ensaimadas.
Illustation by Alex Sandoval
A IM L eader Magazine | T hir d Quar ter 2010
SOUTH KORE A’S LOVE AFFAIR WITH
KOREA’S DE JURE NATIONAL SPORT IS TAEKWONDO, BUT ASK KOREANS WHAT OCCUPIES THEIR COLLECTIVE RECREATIONAL TIME AND THE ANSWER IS MOST LIKELY TO BE STARCRAFT. STARCRAFT IS A WILDLY POPULAR PERSONAL COMPUTER (PC) GAME IN SOUTH KOREA. THE GAME HAS SOLD OVER 11 MILLION COPIES GLOBALLY AND SOUTH KOREA ACCOUNTS FOR ALMOST HALF THAT NUMBER. THERE ARE PROFESSIONAL VIDEO GAMING LEAGUES THAT DRAW THOUSANDS AND BEING A FULL-TIME GAMER IS ACTUALLY A PROFESSION IN THE COUNTRY. ONLY IN SOUTH KOREA IS A NATIONAL LOVE AFFAIR WITH A VIDEO GAME POSSIBLE.
by Regnard Raquedan, MBA 2008
A IM L eader Magazine | T hir d Quar ter 2010
ELEASED IN 1998 BY BLIZZARD Entertainment, StarCraft is a space-themed Real-Time Strategy (RTS) game where players command battle units of different alien races to defeat opponents. The battle units belong to the Terran, Protoss, or Zerg factions and each type of unit has its unique abilities, as well as having its distinct set of strengths and weaknesses. In the game, players can play through different missions and campaigns against the default Artificial Intelligence (AI) or compete against other players in the multi-player network mode. The unique game design of StarCraft has significantly contributed to its immense popularity in and out of the PC Bangs (what gaming cafes are called in Korea). StarCraft’s popularity is also boosted by the fact that roughly 90 percent of South Korean households are wired to high-speed broadband Internet and there around 25,000 Internet and gaming cafes scattered throughout the country. With an “always online” culture pervading in the country, a video game becoming a fixture in the online scene is not entirely surprising. But what is surprising is the extent how far StarCraft has managed to stretch its presence beyond the personal computer in South Korea. Apart from being a pastime, StarCraft is big business and bringer of career opportunities in the country. According to the Korea Creative Content Agency (KOCCA), the video gaming market is expected to be worth $5.5 billion in 2010 with a 17 percent growth rate. There are two major StarCraft national leagues where gamers can turn professional and get paid for playing StarCraft full-time. This career move, while unheard of in other countries, is good turn for Koreans. This year, the average annual salary of a professional StarCraft player is approximately US$ 60,000. (The average annual salary in South Korea is $16,291). Lim Yo-Hwan, regarded as one of the all-time the top players in the StarCraft leagues, is said to have earned more than $1 million at the height of his popularity in the 2000’s. These StarCraft tournaments are treated as big events. StarCraft holds the Guinness World Record for the largest audience in a gaming competition, when 120,000 fans attended a national finals in Busan in 2005. Professional gamers that dominate the national leagues ascend to public celebrity— the same way basketball Apacible to Paco Market players are revered before and after
ILLUSTRATION: BASED ON A PHOTO BY QUEZEN
in the Philippines and cricket superstars are idolized in India and Pakistan. Other sectors in Korean society also made their own plays for StarCraft. The Korean army and navy created their own StarCraft professional teams to attract more recruits. Television feature shows that replay StarCraft games, with a couple of channels exclusively showing only video gaming content. In 2005, there was at least one Korean television channel showing a StarCraft game at any given time. Korean Air emblazoned several of its 747 planes with the StarCraft logo as a support to the booming e-sports culture in the country.
StarCraft also penetrated the academic life in South Korea. Cyber-universities have sprung up where students learn gameplanning and other high-tech subjects, and that includes mastery of StarCraft. StarCraft also penetrated the academic life in South Korea. Cyber-universities have sprung up where students learn game-planning and other high-tech subjects, and that includes mastery of StarCraft. This becomes an appealing option for a lot of aspiring professional gamers as enrollment in such cyber-universities postpones mandatory military service. This phenomenon is permeating outside of South Korea. The University of Florida ap-
proved last August 2010 a course called “21st Century Skills in StarCraft” that aims to “teach valuable 21st Century Skills through a hands-on approach.” The course posits that key StarCraft gaming skills such as critical thinking, problem solving, resource management, and adaptive decision making will translate into practical use beyond the game. Moreover, scientific research are backing what the folks at South Korea and the University of Florida are on to. A study from the University of Rochester found that playing action video games conditions people to make the right decisions faster. In addition to the key finding, the study also found that playing video games improves a general skills such as multitasking, driving, reading small print, keeping track of friends in a crowd, and navigating around town. Korean professional gamers have been known to perform hundreds of game actions per minute. Despite the boost StarCraft has provided to to South Korea’s grand cyber community, growing pains of a wired society have started to show. Online addiction is a serious problem in South Korea— according to the government, about two million South Koreans— nearly one in 10 online users—are addicted to the Internet. In 2005, a man collapsed and died of exhaustion after playing a StarCraft almost non-stop for 50 hours. In a more shocking case, a man was sentenced to two years in prison after he and his wife allowed their three-month-old daughter to starve to death while they raised a virtual child in an Internet cafe. But Korean society is moving forward— the government has implemented measures such as controlled Internet connection for underage game players and a Korean medical research facility has been testing a drug called Bupropion that claims to reduce gaming addiction among StarCraft players. The Starcraft leagues continue to pour in money as they set a new records in giving the biggest prizes in gaming competition. South Korea’s decade-long love affair with StarCraft can never be found elsewhere. It carries an intensity that borders on national passion and cultural obsession— from the smokey PC bangs to the grand big stadium gaming events, from sleek computer monitors to the television screen, from the Internet gaming addicts to the the glamorous professional video gamers. With the release of StarCraft 2: Wings of Liberty last July 2010, StarCraft will continue to fascinate South Korea for years to come.
CL ASS NOTES
My Korean Experience
by Rosie Avila-Florante, MBA 2006
TUDYING MBA IN AIM IS NOT EASY. IT IS NOT just expensive—it is also difficult to pass. Without the ADB scholarship, I could not afford to resign from my job and do a full time MBA in the best and most expensive business school in the Philippines. But entering AIM as an ADB scholar is not the end of the challenge. Surviving a very high standard which is patterned from the Harvard case method takes a lot of will power and discipline. In my opinion, it is more difficult than preparing for the Philippine CPA board. I have to attend classes eight hours a day, then study for 8-10 hours a day (sometimes more than 10 hours). The rest of the six hours (or lesser than six hours) is for sleeping, eating, bathing, etc. But with my parents as my motivation and with God as my savior, I managed to be in the Dean’s List and end up at the top seven of my batch. This gave me the eligibility to be an exchange student in one of AIM’s partner schools in the different parts of the world. Hurdles Towards a Rare Opportunity Making it to the top seven of our class is a good opportunity for me to study in other schools in other parts of the globe. But that is not for free. We have to pay for our airfare, accommodation, food, transportation and insurance while out of the country, visa fee, and other incidental expenses in the program. The only item that is free is the school tuition fee, which was already waived by virtue of the partnership agreement. My financial incapacity limited my choices to Asian schools since the expenses are comparatively lower. If I go to the United States or Europe, I would need around P500 thousand pesos to P1 million just for a semester. In Asia, the budget is just half of that. But half of P1 million or even P500 thousand is still big money. Being the practical person that I am, I initially decided not to go for the exchange and just spend my last semester in AIM. That means no additional cost on my end. But my CAN group mates pushed me to go for the exchange. Not only for the exposure, but the mere fact that only the top 40 of the class are eligible to go. That means, I’m throwing away a rare opportunity if I just didn’t aspire to go. My friend and group mate, Kristine, even offered me an interest-free loan so that I will be able to go, but it is not that easy. Getting the money is just one hurdle. Another thing I needed to do is to finish my thesis early and pass my defense. Being in the first batch of the MBA 16-month program with the same coursework as the previous 22-month program, it was double the effort to finish the thesis in just four months (while the rest of my batchmates have eight months and our seniors have 12 months). With lots of luck on my side and some help from my mentors like Prof. Bolante and Prof. Roxas, I finished just in time and passed the defense with very small revisions to do. On to South Korea My optimism to finish my thesis on time gave me the courage to choose KAIST Business School in South Korea as the venue for my exchange program. After complying with all the necessary requirements for admission, I also took the opportunity to ask for possible financial help from the AIM Alumni Relations Office. Mr. Greg Atienza was indeed an angel. Through his linkage with the alumni of South Korea, he was able to solicit $3000 for me from the AIM Alumni Association in Korea. That’s already more than enough since the South
Korean government had given me free accommodation, while I still have more than $2000 from my ADB scholarship. The night I first arrived in Seoul, three alumni in Korea gave me a warm welcome at the Grand Hilton. They were Ms. Sugar Han of Hotel Intercon, Mr. Johnny Jeung of Yungjin Pharma, and Mr. HongSoo “Henry” Lee (past President of South Korea Alumni Association). Mr Johnny Jeung went out of his way to drive me to my school dormitory (so generous of him to do so). When I have questions on places or other things about Korea, Ms. Sugar Han found time to answer my queries. Just like when I was asking information about Jimjilbang—the Korean public sauna. Learning About the Country I spent almost four months in KAIST Business School. In the dormitory, I shared a room with an MBA student from Kazakhstan. We spent wonderful memories at the swing dance club and walking around the campus to enjoy the wonderful autumn season. I took three subjects there—Strategic Management, Understanding Business in Korea, and Korean Language. I am lucky that the Strategic Management course was offered in the English language because that is one subject I plan to take in AIM for my last semester. Understanding Business in Korea was a good eye opener for me to understand how business works in their side of the world. It is partly similar but mostly different in the way Americans, Japanese, or Filipinos do business. Considering how big Korean companies are at this generation (Samsung, Kia, Hyundai, Daewoo, etc.), it was a good decision for me to choose that course. The Korean language is a necessary subject to help me survive in
A IM L eader Magazine | T hir d Quar ter 2010
the land of Hanguk. Unlike in Manila, few Koreans can speak English in their country so it is a necessity for me to learn the language. Unfortunately though, I think I’m almost forgetting what I learned. It is really hard to read, speak, and write Hanguk without practice. Like Filipinos, Koreans like parties, food, festivals, and karaoke. I enjoyed all the parties, singing, dancing, eating, and all the festivals I attended there. I also traveled a lot—to Jeju Island, Incheon, Gumi, and other provinces around South Korea. I went to the DMZ (demilitarized zone) where I saw the border to North Korea and the remnants of the Korean War of 1950. I also got to visit more than five palaces around Seoul. I was able to wear the traditional Korean dress called Hanbok. I ate different traditional food like kimchi, bulgogi, and many others. I joined a Korean cooking class, an art class, and other cultural activities. I experienced temple stay and lived the life of a monk for three days. I tried to go naked in their public sauna called jimjilbang (note: wearing clothes or towel is not allowed). I went to the karaoke and had pizza several times, attended a Catholic mass in the Korean language, and made friends with Koreans and other exchange students from Europe, America, and other parts of Asia. I also participated My South Korean English conversation tutorial sessions experience would not in to help my Korean acquaintances practice have been possible the English language. without the strong My short stay in South Korea made me networking of our AIM Alumni Relations understand its history. I admire their counOffice with the try and people for having progressed this Alumni Association far (they are economically far better than of South Korea. Philippines) through their hard work and patriotism. Filipinos are also hardworking and talented, but we are not as patriotic as Koreans. South Korea has done a big job after the 1950 Korean War. They have prospered economically. The life of the people there is better, with higher standards than most Filipinos. There are lots of job opportunities and many Filipinos go there to earn for their families here in the Philippines. South Korean movies have become popular not just in Philippines but also in other parts of Asia. Like Filipinos, Koreans did a good job in preserving their culture and their rich past. I was able to experience and witness it. If our sign of respect is using “po” or “opo” and making “mano”, the Koreans bow their heads as a sign of respect. They are very warm and you will often hear the word “Annyeong haseyo” which means hello. They are also full of gratitude and they always say “Kamsahamnida” which means thank you.
>> “Philippines and Korea Business Report” cont. from pg. 27
In Gratitude to the AIM Alumni Association in Korea After my semester in KAIST ended and before I flew back to Manila, the alumni arranged a farewell dinner in a traditional Korean restaurant in Kangnam. I met four new faces in addition to the three I met in the Hilton on my first day. One of them is Mr. DK Lee, the CEO of M-Teletech (a software developer). Several days after that dinner, he invited me and my Filipino friend to visit his company and he treated us for lunch. It was very warm of him to extend such an invitation considering his busy schedule as a CEO. Until now, Mr. DK Lee still communicates with me through yahoo mail and facebook. He is helping Mr. Johnny Jeung arrange for the company visits of AIM students in South Korea this September. My South Korean experience would not have been possible without the strong networking of our AIM Alumni Relations Office with the Alumni Association of South Korea to whom I will always be grateful to. Without the networking, there would have been no exchange program for me.
Agribusiness Development Agriculture, forestry and fisheries employ over a third of the labor force and account for 15% of GDP. Arable land in the Philippines is 11 times bigger than Korea. With 2 to 3 crops per year in tropical climate, huge opportunities exist for commercial production and processing of agricultural and fishery products. These include food and non-food crops such as jatropha for biofuels and covers cold storage and post-harvest facilities, packaging, feed milling, farm equipment and agrochemical production. PEZA
46% of foreign retirees living in the country. As the number of Korean tourists, students and residents on long-term stay are expected to increase, the Philippines encourages investments in tourism estates, hotels, tourist buses, resorts, hospitals and medical centers, retirement homes and villages that will serve their needs. Its retirement program allows multiple entry, indefinite stay and ownership of condominiums for second homes. Medical tourism is increasing as the country gets known for quality, caring and competitive health service. Mining and Minerals Processing The Philippines is the 5th most mineralized country in the world. In terms of mineral potential, studies show that it ranks third in gold, fourth in copper, fifth in nickel and 6th in chromite. Its total untapped mineral deposits is estimated at $850 billion. In the next five years, gold production is expected to double and copper to expand four-times the 2007 levels. The Mining Act of 1995 allows foreign investments in large-scale exploration, development and utilization of minerals, petroleum and other mineral oils. Incentives to foreign investors include income tax holidays, exemption from real property and other taxes, net operating loss carry-over and accelerated depreciation.
encourages the establishment of agroindustrial economic zones. Infrastructure Besides power projects, these include: Comprehensive and Integrated Infrastructure Program (CIIP) Public Private Partnership projects. These are being implemented by the government with private partnership on BOT and other derivative funding schemes. These involve large projects such as roads and bridges, expressways and tollways, railways, mass transit systems, roll-on-roll-off domestic shipping, airports, seaports and bulk water supply. Other projects open to foreign investors include industrial and economic zones, low-cost housing. IT parks and buildings. Information Technology and Outsourcing Growing despite global economic slowdown, these include: call/contact centers, business process outsourcing (BPO/KPO), software development, animation and games development, engineering and architectural design. These services are suitable for Korean companies that have large projects in 3rd countries such as engineering works in the Middle East or for technical support in America. The animation talents in the Philippines remain untapped by Korean companies. Export Manufacturing Export-oriented enterprises are encouraged to set up preferably in economic zones and the freeports of Clark and Subic. A large number of existing locators are in electrical and electronics, automotive, textiles, metals fabrication, rubber and plastic products. Logistics, warehousing and distribution companies are also allowed to service clients in ASEAN and other Asian markets. For more information on business opportunities in Korea, contact the Embassy of the Philippines in South Korea, Jin Song Building, 34-44, Itaewon—dong, Yongsan-ku, Seoul 140-201, Korea; Tel. (82-2) 798-2502; Fax (82-2) 798-2504; Email:dtisel@kornet. net; Website: www.dti.gov.ph.
A IM L eader Magazine | T hir d Quar ter 2010
THE KOREAN FACTOR by Greg Atienza, MBM 1983
THE AIM ASIAN IMMERSION PROGRAM OF THE Washington SyCip Graduate School of Business last September 2010 was a marvelous occasion to learn about a fascinating neighbor whose people are known for their intense fortitude resulting in an impressive economic growth that has been referred to as the East Asian Miracle. Korea is remarkable not only because of the great strides it has taken to develop itself, but also because of its people’s tenacity and perseverance. An American professor who has stayed in Korea for most of his life, Prof. Joe Dewberry of KAIST University identified two key traits in the Korean psyche: the first being what they call Han. Han is a kind of bitter resentment drawn from the colonization of their country by the Japanese in the Second World War. The other value is called Gi. It is taken from the Chinese Qi and means vigor, energy and strength and stamina. Koreans take the fire from their angst, Han, and use it towards productive ends. Another Korean characteristic is the need for speed, called pal-ri (pronounced pa-li) A trait borne out of necessity in a time of war, today’s Koreans act quickly and decisively, making fast decisions. While this trait is desirable within the country, people of other nationalities may not necessarily understand this characteristic, causing agitation with Koreans away from their native land. Perhaps one of the most apt imagery that validates this intensity as a people was when their past president, Park Chung-hee was delivering a speech in August 1974 to celebrate the nation’s freedom from Japanese colonial domination. An assassin fired a gun at Park from the front row but the bullet missed the president and hit his wife Yuk Young-soo instead. Park continued his speech as his dying wife was carried off the stage so as not to give the enemy the satisfaction of the moment.
Although many countries were devastated by World War II, Korea’s struggle to rise above its turbulent history resulted in three decades of astonishing growth, driven by its peoples’ strengths and determination. Now the 13th largest economy in the world from being one of the poorest agrarian economies in the 1940’s, Korea’s success story has culminated in a position in the Organization for Economic Cooperation and Development (OECD) in December 12, 1996. The country’s accelerated postwar growth was fueled by exports, high rates of savings and investment, and an education boom which
They joke about the father, on whether he is a goose or penguin. The goose represents the richer kind of paternity, where the father flies to meet with his family abroad. The penguin refers to one who cannot join the family overseas. It has become such a widespread phenomenon and a reverse OFW occurrence. With advances in healthcare and the emphasis on studying abroad, unique problems have been created in Korea such as an aging population and multi-cultural marriages. As more and more members of the population go abroad to study or settle in urban areas, mismatches
The Korean proverb “One should not step even on the shadow of one’s teacher” defines the country’s high degree of respect for its educators. This hunger for higher education is also a nationwide response to globalization, so that Korea could be on the same level as other countries. has resulted in technological advancement, industrialization, rapid urbanization, and a brisk rise in living standards. This phenomenon has been referred to as the Miracle on the Han River, in reference to the “Miracle on the Rhine”, which was used to describe the economic rebirth of West Germany after World War II. From a per capita GNP of less than US$100 after the Korean War in 1953, it has now risen to US$10,543 at current prices. One could say that today, Korea has the best of the market—but it also had the worst. After the Korean War, the country could barely support itself with its exports; today, its GNP is over US$400 billion. Literacy was also low, at a meager 30%; nowadays, 99.8% of the Korean population is literate. Korea commands a considerable chunk of today’s markets; however, the lower prices of Korean products are usually their defining trait. While this may seem good to consumers, for Koreans, this is a source of dissatisfaction. They are caught in a ‘sandwich’ between Japan and China: the former marketing high-quality, high-tech, high-value goods, and the latter producing high-volume, low-price, medium-quality products. Just to compete, Korean businesses have had to slash prices by up to 30%, branding Korea as a ‘cheap market’. While Koreans understand that this is a component of competition in today’s economy, it is nonetheless a situation that bothers them, part and parcel of moving from the backwater to being a global economy. Remarkably, the advance in the Korean economy was matched by a great hunger to move forward in society. To address rapid globalization and to secure a better future for their children, Koreans desire to master the English language and to send their children to study overseas. This has become the norm in the Korea of today—a practice so common place it has its own social connotations, such that it is a parent’s responsibility and ultimate goal to bring their child overseas to learn English and acquire an advanced education. This strong emphasis on education is one of the key factors to Korea’s success. The Korean proverb “One should not step even on the shadow of one’s teacher” defines the country’s high degree of respect for its educators. This hunger for higher education is also a nationwide response to globalization, so that Korea could be on the same level as other countries. This has resulted in a reverse trend where the father stays in the country and the mother and child are sent abroad for the studies.
in marriage occur because of the conflicting educational levels of the partners. 25% of marriages in the countryside are mixed marriages with Chinese and Filipinos, which lead to social and cultural problems. Another concern of Korea is how to integrate its citizens into the global community. Prior to the phenomenon of globalization, Korea was a Confucian society, homogenous and concerned only with its own affairs. That radically changed in the 70’s, when English began being taught and the concept of a worldwide society was introduced—a notion that was initially met with much resistance—and has become paramount today. A Korean professor and AIM alumnus, Sang-kee Min had shared that the country had almost, if not completely failed to train its people in the conduct of the international community—to teach the typical Korean student that there are others in the world who think, act, and feel differently and to accept them, as well as to live in a way acceptable to global citizens. In this regard, Prof. Min acknowledges that Koreans have a lot to learn from the Filipino people, who are better able to mingle with whatever cultures they are immersed into. That is their objective—to be loved and appreciated. There is a campaign spearheaded by the government itself, with AIM alumnus Euh Yoon Dae leading the National Branding efforts, using media to address both the economic ‘sandwich’ and the psychological objectives, as well as greatly improve Korea’s image in the global community. A great many of their universities are now internationally accredited due to Mr. Euh’s efforts as former president of the Korea University. As a leader of change, he increased English taught classes from 20% to 60%, raised US$400 million in four years and made Korea University one of the top 200 in three years. Our AIM alumni in Korea such as Euh and Min, as a result of their training, are more global in perspective. They are making large contributions to their society, shifting the paradigm, and making big differences in their own ways. But they realize that the rest of the country needs to shape up and improve their image so that the rest of the world will not misunderstand them. With its meteoric rise in the global economy, Korea has many lessons to share with the world, as well as to learn to address unique issues brought about by rapid economic change. As the first non G-8 country to chair the Group of 20 (G20) this November, Korea recognizes a breakthrough in the country’s history as it addresses global financial issues along with the powerful economies of the world.
A IM L eader Magazine | T hir d Quar ter 2010
ASIAN IMMERSION PROGRAM, SEOUL, SOUTH KOREA August 29 - September 4, 2010 Prof. Bolante, Prof. Ravi Kumar, Dean of K AIST Business School, Prof. Borromeo and Ms. Paterno
Han River cruise
Prof. Junbo Borromeo and alumnus Diamond Uy
At Samsung Electronics Co. Prof. Joe Dewberry, K AIST
1M won from Mr. Euh Yoon-Dae
At Metrobank in Seoul K AIST
Johnson & Johnson Medical
At Johnson & Johnson
Johnny Jeung receives a copy of his diiploma from Prof. Junbo Borromeo
Dr. San Kee Min, MBM 1973
Mr. Edgardo Garcia
Dinner hosted by Tae Sook Han and Hong Soo Lee at the Marco Polo, Grand Interncontinental Hotel At the Hanbok Village
Students in hanbok
Making kimchi at the Kimchi School
Students with Mr. Euh Yoon-Dae at KB Financial Group HQ At the amethyst store
A IM L eader Magazine | T hir d Quar ter 2010
At the Cheongwadae (Blue House)
Korea Trade-Investment Promotion Agency (KOTRA) Assistant Manager Mr. Lee Junkoo with students
National Folklore Museum
At the Namsan Hanok Village
Playing around at Samsung
Students with Mr. Euh Yoon-Dae
After the plant tour at Hyundai
KB Chairman Euh Yoon-Dae Hyundai welcomes AIM
Tour guide Stephanie Shim
Fueling the Growth of Korea’s Economy by Harsh Sonawala, MBA 2010
SOUTH KOREA HAD ONE OF THE WORLD’S FASTEST GROWING ECONOMIES FROM the early 1960s to the late 1990s. South Koreans refer to this growth as the “Miracle on the Han River,” basing it on the growth of Seoul. South Korea is heavily dependent on export and is the 8th largest exporter in the world. Korea’s growth was spurred by rapid industrialization and an adoption of an outward-looking strategy. As South Korea has low natural resource endowment, low savings rate, and a tiny domestic market, this export driven strategy promoted economic growth through labor-intensive manufactured exports, in which South Korea could develop a competitive advantage. Government initiatives played an important role in this process. The inflow of foreign capital was greatly encouraged to supplement the shortage of domestic savings. These efforts enabled South Korea to achieve rapid growth in exports and subsequent increases in income. In my opinion, the creation of Chaebols has been a primary factor of growth for The creation of Chaebols South Korea. Though they have many has been a primary factor disadvantages as well, these Chaebols can of growth for South Korea. act as vehicles for growth. A chaebol can Though they have many be defined as a business group consisting disadvantages as well, large companies which are owned and these Chaebols can act as of managed by family members or relatives, vehicles for growth. in many diversified business areas. In Korea, as the global competition increased and barriers to entry for labor intensive products from the Third World heightened during the 1970s, the focus of the Korean economic policy was shifted towards heavy and chemical industries. This was the period when the Korean government intervened in the allocation of resources and channeled resources to specific industry sectors to boost the economic growth. This period also saw the birth of Korean chaebols. As financial institutions (especially banks) were under quasigovernment control, the government was able to have these banks loan huge amounts of money to these chaebols. Such a favorable government policy resulted in many businessmen starting industries which later morphed into conglomerates or chaebols. This concept can be replicated in other developing nations as it creates private companies whose purpose is to grow and make profit, but still benefit the entire nation in terms of employment and increase in GDP. In the nineties the top five chaebols (Samsung, Hyundai, LG, Daewoo and SK) accounted for more than 50 percent of Korea’s GDP and the top 30 chaebols for 75 percent of all economic activity in Korea. One might say that this system is flawed and leaves money in the hands of the few, but it also leads to overall growth of a nation as well, as seen in Korea’s case. This system did undergo a slight change in the 90’s during the Asian crisis wherein the South Korean economy saw a rapid downsizing and reconstruction—not only of economic policies, but also the underlying philosophies of Korean Chaebols. The result was Korean giants like Samsung and LG have become lean profit making machines. The Korean policy on foreign direct investments has only fuelled the growth further and allowed healthy competition. Samsung and Hyundai compete on an international stage, and have really helped the “Miracle of Han” be a reality. Other developing nations could emulate this model of using families and organizations to fuel growth, as long as the government has control to some extent, or where it rises to healthy competition. This system allows families who are capable of running large businesses to expand and grow and carry the country on their shoulders. Recently, Korean reforms have converted the Chaebols into professional organizations. For example, in the twenty-first century, the new model for corporate governance ensures proper surveillance from both inside and outside the firm. The decision making power is being shifted from the dominant family to a board of directors that represents the greater number of shareholders. This will allow for more open market policies. But overall, this phase of growth, from using almost government extension organizations into private open market firms is a great way to move from being a developing to a developed nation.
A IM L eader Magazine | T hir d Quar ter 2010
KOREA AND JAPAN:
Facing the Same Problems that Growth Entails by Akie Seno, MBA 2010
KOREA IS ONE OF THE MOST familiar countries for me. I was exposed to the Korean culture and people many times with the image of Korea as the closest country to Japan in terms of distance, culture, and race. As soon as I arrived in Seoul, I was surprised about how the commercial cities now look like our cities in Japan. I found a big change since the last time I visited Seoul about seven years ago. This time, my view of the city, including the shape of the buildings, the people, and the fashion were becoming so much like Japan. This was not my impression of the country during my last visit. This time, I felt like I had come back to my home country. Through the Asian Immersion Program, I found out that Korea is now much like Japan because of its rapid economic growth. If I had seen the situation in Korea 30 years ago, I probably would not say that Korea and Japan are alike. Korea’s rapid economic growth occurred during this short term.
Japan’s success happened within 60 years, and is now struggling with low economic growth, a high aging population, and a low birth rate. Korea is now faced with the same situation after 30 years, just half of the time that Japan took to develop. Although historically, Korea had conflicts with Japan and China, Korea became successful and developed their country in this short period. Thus, Korea is now experiencing problems similar to Japan in terms of economics and demographics. From the presentation of Mr. Lee from KB, I learned that Korea is now having a problem with an aging society, low growth of actual GDP, and a language and culture barrier for foreign funds. These problems are common in Japan. However, it seems that Korea will be better able to manage
this situation compared with Japan. Investments in education and efforts to boost international relationships will allow Korea to gain higher potentials to overcome this situation. Korea has a clear view of this goal to achieve development and create a global awareness of its success. The presentation of Prof. Joe Lawrence from KAIST helped me to understand the difference between Korea and Japan. The Korean mentality is based on “Gi” and “Han” meaning, take the bitter experience and turn it to the power of growth. This explains a lot of things. I had been wondering why Koreans have a strong personality compared to the Japanese. Why Korean cities could be both modern and conservative at the same time. They are more aggressive to develop their country, and to affirm their success. They were required to be open. However, they had to change in a short period of time. I saw a lot of advanced electronic technology all over the town; even the mall map had high technological functions. Even Japan is not like that. In a sense, I felt that they wanted to show off how much they have developed to everyone, including those outside of their country. They have to create awareness that they are a successful country. This may sound a little cynical, but it seems that they are trying to change themselves so quickly that the gap between different age segments and different economic segments are getting wider. Japan’s success happened within 60 years, and now we are still struggling with low economic growth, a high aging population, and a low birth rate. Korea is now faced with the same situation after 30 years, just half of the time that Japan took to develop. As a Japanese national, I have a lot of things to learn from Korea. Their hunger for achievement, the strategy to achieve their goals are good models for Japan to learn from. And I believe we can work together closely to solve the common problems.
Asian Immersion Program
Reflections on South Korea by Anna Maria Katrina Albert Atienza, MBA 2010
LANDING IN KOREA AT SIX IN THE MORNING LEFT ME with little to be happy about. I was terribly tired from taking the red eye flight and hearing that the hotel rooms would not be available until 2pm left me feeling like I wasn’t going to survive the rest of the day. Not only did I survive that day, I ended up having much more fun than I thought I would, with this opportunity of exploring a new Asian city and learning about what makes it tick. The first thing that caught my eye was the amount of space the city occupied. I felt dwarfed by the infrastructure. The streets were massive and smooth usually flanked by equally impressive sidewalks. The buildings were enormous and seemed to be spaced out in a way that made you think no one was worried about running out of space. Even the flyovers seemed higher than Manila’s flyovers, like the country was taking full advantage not only of its land but also of its air. Great urban planning, I thought. Made me think about how wonderful it must be to live in a city with so much room to move around in. Keeping that in mind, we spent 4 out of the 7 days visiting different government agencies and companies. It was during these visits, during the presentations and Q and A’s that I felt I could decipher and better understand how Koreans felt about living in this city. I noticed that everyone I met seemed very accommodating and quite happy with their respective jobs. They talked about their job descriptions with much pride and I got the impression that these people, whether the big boss of the company, or a manager within a division, held the same sense of pride for their country, their government, and everything that’s been accomplished. It was a feeling of unity or oneness that I got from the Koreans I met during the company visits. I felt that they had more than mere personal happiness
in mind. They were also keenly aware of the collective happiness felt as a people of one culture with the same passions and values, striving for a better place to live in, for all. The last thing I’d like to reflect on would be the realization I had that the thirst for knowledge is universal. Not only that it is universal, but that this thirst is commonly accompanied by kind generosity fuelled by the strong urge to pay it forward. I was very impressed by the AIM alumni dinner, listening to the speeches of the distinguished alumni and hearing how much the AIM I was very impressed by the education made an impact on AIM alumni dinner, listening their lives. An impact and an to the speeches of the experience they felt would not distinguished alumni and only be terribly selfish, but hearing how much the AIM also foolishly wasted if not education made an impact shared with others. Educaon their lives. An impact and an experience they felt would tion is really such a powerful not only be terribly selfish, thing. All it really takes is one but also foolishly wasted if person. This was my biggest not shared with others. take-away from this whole trip. All it really takes is one person. Whether it’s one person to help bring education closer to you or whether it’s one person to listen and believe in your government and in its plans and hopes for the future. One person can be a very powerful thing. I hope that in three months, when I’m looking back at my own experience in AIM, and reminiscing on my own education I will remember that. Hopefully I will not forget years after I am done with all of this that all it really takes is one person to make a difference.
A IM L eader Magazine | T hir d Quar ter 2010
HIS YEAR, AIM WELCOMES students from South Korea—Jaehoon Oh, Suk Hwan Kim and Jin Young Kim. They belong to MBA Cohort 6 and will be graduating in 2011. Jaehoon Oh earned his degree in Agricultural Economics from Korea University. Prior joining AIM, he has worked for Kumkang Corporation, a fashion brand in Korea, as an assistant manager in the Planning and Coordination Division, a financial manager in the Indonesian Branch, and for PT Bosung Indonesia, a manufacturer of boxes and shopping bags
Being around professional people—fellow students, professors and members of the AIM community, made it easier for me to gain confidence. I believe that each day will be a better one. in Indonesia, as a purchasing manager. As a manager, he encountered a lot of challenges along the way and has learnt a lot from his experiences. But for him, he firmly believes that he needs a strong foundation to become a more effective manager, and AIM being in line with his goals, is the best Institution which can hone him to becoming one. Like most of the students, Jaehoon took time to adapt to the new environment. “However, being around professional people—fellow students, professors and members of the AIM community, made it easier for me to gain confidence. I believe that each day will be a better one,” he says. Suk Hwan Oh earned his degree in Hospitality Management in Enderun College. After graduating, he served as a casino agent in Running Mate Inc. and Majesty’s for three years. To support his future endeavours, he decided to enter AIM, which he believes is an outstanding graduate school that will help him reach the top. Having lived in the Philippines for a long time, Suk Hwan stills enjoys meeting new people. Like any other student, he devotes his time studying hard to
Su k Hw an Ki m,
Jin Yo un g Ki m
an d Ja eh oo n Oh
CAMPUS by Melissa de Sa gun
build his strong foundation to be competitive in the industry. Jin Young Kim earned her degree in English Area Studies in Han Kuk University of Foreign Studies. She then served as an overseas analyst in Shin Han, an art material manufacturing company, for
two years. To be well equipped with excellent management skills, she decided to enter AIM. Like Jaehoon Oh and Suk Hwan Kim, she also works hard to meet the requirements needed for her studies. In spite of the hectic schedules and heavy workload, she still finds time to
have leisurely trips in nearby provinces or just enjoy a short walk across AIM and do some shopping. Jin Young Kim has a grateful heart and wants to help and serve people from the lower class of the society and hopes to be a part of organizations such as UNICEF and ADB.
Euh Yoon-Dae, MBM 1973
The Global Korean
A IM L eader Magazine | T hir d Quar ter 2010
The global mindset of this highly distinguished Korean national aptly took root during his two years of study at Asia’s first global-standard management school: the Asian Institute of Management. RELATING HOW HE GOT TO KNOW AND ENROLL AT THE Institute, Mr. Euh Yoon-Dae, MBM 1973 recounts, “At the time I was [working] for USAID...and then the president of AIM (Prof. Fuller) dropped by the office here in Korea. Through the controller of Korea USAID, I was informed that there will be a school which will be sponsored by USAID and Harvard. They mentioned that the school will be very similar to Harvard Business School so it should be very good.” Even then, at a young age in 1971, Mr. Euh espoused an international mindset already. “At that moment I was thinking of becoming a business person. So if I go to the Asean area, Philippines or wherever it is, Singapore or Malaysia, I thought I could make a lot of friends there. Also, personally, I would be exposed to different cultures and different economies. I could be one of the first persons who knew all about Asian countries.” Mr. Euh enjoyed his two years at the Institute—and he has the fondest memories of people and instances to show for it. His roommate, Rene Azurin and another friend, Bruce Sugiura, “were very outgoing. They had many friends and girlfriends, too,” he spills the beans. But his most memorable experience was when a friend, Teddy Villanueva, broke his arm in the popular Filipino men’s sport, arm wrestling. Mr. Euh, a lefty, can never forget the pale look in Teddy’s face when it happened. He was immediately brought to the nearby Makati Medical Center, where he stayed for five very important days—because the class was scheduled for midterm examinations at that time. Even then, Mr. Euh had no problem communicating in English. He always had a dictionary in hand and his experience with USAID helped him a lot. But his accent then is not like what is now, which, according to him, is “very Korean” sounding. Mr. Euh appreciated the innovative case method style employed at AIM. “We did not have that kind of case method teaching at that time in Korea. Also, compared to other Asian people, Japanese and Korean are shy. They never talk in class. My two-year experience there was really a stepping stone not only in the theory of business but also in learning how to communicate. I felt that really the method was good.” After graduation, “I returned to Korea and worked in Collin for two years, an accounting firm. At that time I had an argument with a student who was taking MBA. I was arguing AIM is better, mainly because of the composition of students who shared ideas. For one, I couldn’t sleep preparing for the cases.” He also argued, “At that time, AIM was the business school in Manila.” It definitely was able to establish a strong domestic reputation first, before its international prowess, according to Mr. Euh. And AIM had another advantage: At that time no other global-standard management schools existed in Philippines, Singapore and Hong Kong, unlike now.
Fast forward three decades, and the global roots that took shape during Mr. Euh’s stint at AIM bloomed to a regal flower when he was inaugurated as president of his alma mater, Korea University, in 2003. His inaugural speech was groundbreaking: “I want to make [Korea University] the best in the world.” But sadly, perhaps “Nobody believed me in my speech,” he says in hindsight. As one of his university reforms for global status, he instituted that official class languages be in English and Korean. “Now around 38% of classes are conducted in English, at business school, 60%. The Korean advantage is [its] bilingual [nature],” Mr. Euh declares. His reason for this radical change is “very simple. Before, if you want to be the CEO of Hyundai Motor Co., with your factory located in Busan in Korea and total sales went to Korean people, you don’t have to learn English. “Now, look at the world market with the location of plants in India, US, China, Tokyo. Without communication skills how can you become a CEO? And if you look at the sales profile of LG group, 80% come from the world market.” To set the pace for his globalization plan, he made a bold move— he sent all of his 300-member staff to universities all over the globe for a two to three-week stint. This was “to make them prepared about what they’re doing, but before sending, [they have to] research about what [these universities are] doing.” It was a cultural shift in a sense: before you can change the mindset of the students, you have to inculcate a global and inter-cultural mindset first among university professors and staff. But the global wanderings did not end there. University students were sent abroad for at least one semester for an exchange program with partner universities. “Your teaching is good and then you can learn English, but that is not enough. We just want our students internationalized so that they know how to assess oneself to different cultures and accommodate different cultures,” Mr. Euh recounts. As such, Korea University students flew to Vancouver, Brisbane and other cities. Chinese students started flocking to their campus, however, “no one wants to go to China,” he says of his students. “Within two years, this With such a vibrant exchange program, “I have become the (KB)will become the best, finest institution only Korean honoree of China because of my generosity,” within Korea.” Mr. Euh declares. The immediate results within the next few years are proof that Mr. Euh did a spectacular job. Korea University became one of the 200 best universities in the world, according to Duke Times Publishing in London, two and a half years after his inauguration. Now, it’s among the top 150 universities, even “better than Georgetown University. That has become quite an accomplishment,” Mr. Euh proudly shares. As the old saying goes, copying is the ultimate form of flattery. “Because of what I have done, all other Korean universities followed suit.” Mr. Euh attributes the strong ranking to the University’s Equis “The Global Korean” continued on page 52 >>
Words by Rommel Orbigo | Photo by Sherbet Katigbak-Manalili, BMP 2005
HUN JIN SUK, AIM ALUMNI ACHIEVEMENT (Triple A) Awardee in 1993 is one of Korea’s most successful banking executives, and is a true philanthropist at heart. He has spent the latter part of his outstanding career leading different banks that are part of the same organization, the Hana Financial Group, before attaining his position as Vice President of Hana Bank in Korea. Retired since 2002, he is currently spending a great deal of his time with two foundations that care for children and the elderly: Nursing Home for Elders and Child Care Center. When asked about his career attainments, he quickly enumerates the various banks that he has worked for, almost dismissively, with emphasis that they were all part of the same organization. The pinnacle of his career was in 2002, when he reached CEO level for Hana Commercial. He jokes that now he has a lot of free time on his hands, hence the reason for him being so deeply involved in two very noble social welfare organizations. As Lawrence D. Bell once said, “Show me a man who cannot bother “It was important to to do little things, and I’ll show you be the best… No, we a man who cannot be trusted to do HAD to be the best.” big things.” Clearly, Chun Jin Suk is not among the number of men who belong to this breed and ilk. “In Korea, we need to take care of our elders,” he shares. He further explains the plight that most modern Korean families experience today, with the need for both parents to work to provide for their families. Unfortunately this takes a toll on domestic life. In today’s Korea, the reality is this: that being left to stay at home to take care of the young and the elderly has become a luxury in society. And Chun Jin Suk’s compassion for the young and the elderly is clearly reflected in his passion, now that he has the luxury of time in his hands.
Chun describes the first six months of studying as “like hell”. He would remain awake until the early hours of dawn all by himself, tirelessly pursuing his goals in what seemed like the most agonizing, drawn out period of his life. Thankfully, after six months of this hellish routine, Suk grew weary of being alone, always on the brink of exhaustion and loneliness as his sole companion. He brought his family over from Korea, to live with him in a foreign country that for all intents and purposes, was an entirely new and alien world for all of them. His two daughters, who were no more than three and four years old at the time, came to share in his dream. And Chun says that for all the hardships that he had to go through, someday all the sacrifices will reap huge rewards for himself and his budding family’s future.
Memorable Professors and Friends He relates that his most valuable experience in AIM was having Professor Leni Panganiban as coordinator, always encouraging him to keep pushing, despite having very low scores in his tests. It was from this esteemed figure in the AIM that he was able to learn that not giving up was just as important, if not even more so, than all the professional knowledge that any single person could ever hope to amass in a lifetime. He also has a great deal of respect for the professor that gave him his hardest time in AIM, Professor Ed Morato. Chun speaks of the professor in very high regard, calling him as his idea of a model professor. Much to his surprise, Chun was able to get a high grade from Professor Morato, who was “really brilliant, knew just what to expect, and what not to expect from his students.” Professor Ed Morato’s hard methods were something that greatly helped Chun Jin Suk in his career. Also among the most memorable of his teachers was Gaby Mendoza, who was his professor in Finance. “Dean Bernardo was also very kind to me,” says Suk. “He was the one who encouraged me to apply for scholarship funds.” Chun Jin Suk has a lot of special memories of his classmates, and he is especially thankful to his roommate, Mengie Capistrano (now The Road to AIM based in Hong Kong). In comparison to Chun he was significantly Chun Jin Suk’s easygoing manner belies the long road known only to men of his stature. His story in AIM begins when S.Y. Kim, Chairman younger—young enough to have his father drop and check up on of what was then known as Korea Investment and Finance Corporation the young Capistrano from time to time. It was from them that Chun experienced firsthand the Filipino way of welcoming even the most (KIFC), which later became Hana, recommended the Asian Institute casual of acquaintances as though they were a part of their own of Management to Chun. S.Y. Kim was four years Chun’s senior, and he family. Future Filipino roommates were Willy Yang, who now lives in valued this great man’s advice highly. He fondly recalls Kim’s words: the United States, and Dennis Reyes. Members of batch ’79 that Chun “AIM is an Asian regional school, a proper business school.” Even then, AIM’s reputation was not only having top notch teachers, but having the could easily recite from memory were Lilit Lim, Mon Martinez, Boboy Mendoza, and Carmell dela Rosa. These people were of tremendous best material as well. Along with Kim’s brother-in-law, who himself is help to him, especially in his studies. now a professor in the University of Alberta in Canada, Chun’s lifelong The local custom was apparently different from back home in partnership with AIM began its early stages. He credits a lot of his Korea—although Chun was rather pleased, if not a tiny bit surprised; success to the fact that he completed his graduate studies at AIM. he was overwhelmed at the amount of kindness he received from Chun also recalls that the one fact he knew then was that if you were from the Asian region and you wanted to do well, you had to go to AIM. the people of a foreign country. Again the language barrier makes corresponding too cumbersome and time consuming, even with the When asked what experience he remembers most about AIM, convenience of the internet. But Chun would like to keep in touch Chun breaks out into boisterous laughter. He shared good naturedly more often with fellow AIM graduates from the batch of 1979. He also that he had a hard time with the course mainly because of the lanremembers a great number of his foreign classmates from Taiwan, guage barrier. Not to be deterred so easily, Chun went to the Philippines a full three months before his actual AIM studies were scheduled Thailand, and Indonesia, including the fact that like him, the people from these countries also had a problem communicating with other to take place, to take English language classes. And to be perfectly people through a proxy language. honest, Chun Jin Suk’s proficiency in English is more than sufficient to be perfectly understood. This comes as no surprise to anyone in the A World of Risk and Success AIM community and the whole of the Asian business world as well; Among the numerous things about management that Chun Jin Suk AIM Triple A Awardees just seem to do well in most of the endeavors learned in the AIM, practicing good communication skills among evethey embark on. With his typical good humor though, he admits that ryone involved greatly helps in solving problems as well as minimizing having to learn a completely new language, while trying to apply it avoidable and costly mistakes. Chun says that he also vastly improved his with an already formidable business course to begin with was “more than very difficult.” The road that Suk traveled was difficult indeed. “Great Souls are Followed by Great Things” continued on page 52 >>
Words by Gerard Ian De Sagun | Photo by Justin Irigo, MBA 2010
A IM L eader Magazine | T hir d Quar ter 2010
Chun Jin Suk, MBM 1979
Great Souls are Followed by Great Things
ALI PALI IS AN EVERYDAY KOREAN TERM meaning “fast, fast.” The phrase characterizes most Koreans’ desire for quickness in practically everything: from delivering mail to putting food on the table to driving on the road. Like many traditional traits of a people, it can have both advantages and disadvantages. Nevertheless, on September 1, 2010, when AIM alumni met the participants of the MBA Asian Immersion program in Seoul, the positive facet of pali pali shone brightly. During dinner, Ms. Tae Sook “Sugar” Han (MBM ’84) turned to Mr. Chun Jin Suk (MBM ’79) and suggested that the Korean alumni pledge donations right there and then. After agreeing on the amount—1 million won or about USD1,000 each—five of the alumni announced the donation, stunning but bringing smiles to their visitors. “After the gathering, we got together just for beer. Mr. Cho Hyun-Oh volunteered to transmit the amount to AIM and all agreed to deposit to his bank account the first thing the next day. By 10:30 the following morning, the entire amount was deposited. “That’s the Korean style— very fast,” added Ms. Han with satisfaction. “AIM has to build its brand in Korea. Successful alumni should donate a lot if it is possible.” Ms. Han, a pioneer among career women in South Korea, guided the trajectory of her professional life as pali as she could given her environment and background. She studied in Korea until 11th grade. Because her father had business in the Philippines and her sister got married to a Filipino, the entire Han family migrated to Manila. Ms. Han resumed her high school studies and then enrolled at the University of the Philippines Diliman, where she majored in Industrial Engineering as a Fulbright scholar. Because she got “very tired of the male-oriented study,” she worked part-time at Radio Veritas Asia’s Korean Broadcasting Unit. With two years’ work experience as a radio producer and announcer, Ms. Han was accepted to AIM’s Master in Business Management program directly after completing her undergraduate degree. “I heard that UP Diliman is the best school for undergraduate [degree], and AIM is the best school for master’s degree.” At AIM, she was elected vice chairperson of the Foreign “I feel that networking Students Association. “That and building trust are most kind of exposure was very nice,” important. Networking she reminisced. “I learned a is ‘I know you’ and ‘I know lot because the MBA really them.’ It’s not enough. opened my eyes to business... I have to know you very well so I can trust you and If I survived the hectic schedI know what you can do...” ule, I felt I could do anything.” Armed with an MBA degree, she worked both at Radio Veritas Asia and Soriamont Trading Company for two years, introducing Korean products and trading companies. In 1986, she uprooted herself once again to return to Korea alone. Her first position there was as public relations coordinator for Hotel Lotte, the No. 1 hotel at the time and a part of the Lotte Business Group. “I was lucky to get in,” she noted. “At that time, there were around 2,000 employees. Only about five were female college graduates, including myself. It was very difficult for a lady to get into the big corporations. They preferred men.” Ms. Han’s advantages were not only her MBA and media work experience but also the good reference given by fellow AIM alumni such as Prof. Sang-Kee Min. “When I came to Seoul, of course, I didn’t know anyone. I was away for 10 years in Manila,” she said. “The only connection I had was AIM alumni.”
Since working in Korea, Ms. Han has been a very active member of the AIM Korean Alumni Association. At first, she wondered whether joining them was a good decision. Here was an all-male, executivelevel group who talked often about golf and held monthly meetings at expensive restaurants, while Ms. Han was the lone female, a newly hired employee who lacked money for costly dinners. However, her diligent attendance paid off, as the older alumni became her mentors. She would seek their advice whenever she had difficulty solving a work problem. In her résumé and job applications, she would include them as her references. “Because I was with senior managers who are really big shots, I was like their youngest sister,” she said. “And they are very respected in Korean society. That is a good point of AIM...AIM is a really good place for networking. We had very nice Thai and Indian guys
Words by Rose Cheryl R. Orbigo, BMP 2005 | Photo by Sherbet Katigbak-Manalili, BMP 2005
A IM L eader Magazine | T hir d Quar ter 2010
Tae Sook Han, MBM 1984
Making it to the Top
[in my batch]. I thought, why didn’t I network with them more? But my English was poor [when I was new at AIM]. Every day I studied. Competition was always there. I had no time to really go around with them. “I feel that networking and building trust are most important,” she continued. “Networking is ‘I know you’ and ‘I know them.’ It’s not enough. I have to know you very well so I can trust you and I know what you can do. When we build that kind of confidence and trust, we can establish a business and make money. I felt I lacked that opportunity.” Ms. Han herself aims to be a businessperson someday, like her father who was a successful CEO of a construction company. “Being a CEO has ups and downs. When you’re rich, you’re super, super rich. When you’re down, you’re really down,” she observed. “I didn’t want to be an entrepreneur when I was a teenager. I wanted to be in the executive level of a big corporation, traveling to different countries.”
Her adolescent dreams have since come true. For the past 11 years, she has been with the InterContinental Hotels Seoul, where she has held various positions: communications director, assistant executive housekeeper, duty manager, and executive sales. She has planned and executed marketing activities, hotel membership management, and communications with the InterContinental headquarters. Her duties have brought her to various corners of the Asia Pacific and the USA. “The work itself is very challenging and exciting. I don’t feel like I’m working,” she revealed. “Organizing the many events and activities—it’s like playing. I enjoy it a lot. “I’m very work-oriented. I find it very fulfilling even without receiving any additional salary,” she said, adding that her management style is “very dominant.” “Making it to the Top” continued on page 56 >>
President, AIM Alumni Association Korea
Chang Yoon “Johnny” Jeong, MBM 1990
Setting the Pace
A IM L eader Magazine | T hir d Quar ter 2010
At a time when overseas trips were generally not allowed in Korea’s corporate culture, Chang Yoon “Johnny” Jeong was fortunate enough to have been a student of Professor Dong Ki Kim, an AIM representative. Johnny’s mentor saw much potential in him, so Professor Kim worked, argued, and persuaded a local company, Daewoong Pharmaceutical Co., to sponsor Johnny as a scholar— a fateful decision, as the same company who sponsored him is now among the top 3 corporations in South Korea today. Following in Johnny’s footsteps, students are sent abroad each year for further studies. Johnny, however, was the only one who went to the Asian Institute of Management. The Great Divide “You may laugh,” says Johnny, “but our English teacher could not speak English.” Being one of the very few Korean students who could speak English, one would suppose that that gave Johnny a big advantage. But for Johnny, who had only studied the language from textbooks and classrooms, communication was almost as big a problem as for any non-English speaker. Johnny was very good in English, but with one caveat—his skills were limited to reading and grammar. By South Korean law, Johnny underwent mandatory military service for three years—a time he put to good use by studying English using only a tape and listening to a radio program. All this could not prepare him for when he had to actually speak the language—on coming to the Philippines, he was asked how many kids he had— a question which he could not answer due to the language barrier. Johnny was also very much surprised with the classes in AIM. “In Korea, classes are almost always one-way lectures, with the student’s grades solely dependent on his ability to observe and remember. At AIM, it was so different—not only because students were required to stand up and speak in class, but also because everyone spoke so aggressively!” recalls Johnny���part of the generation of Koreans who for whom meekness and silence were ideal. For Johnny, the first year was difficult. In his first week in AIM, he was doubtful if he could survive. He had to quickly adapt to the strong psyche of an AIM student; he had to learn to speak English fluently; but on top of all that, he had his wife and child with him. Instead of quickly returning to the dorm after each day, Johnny had to make his way through the city to the apartment where he and his family lived. Despite all these difficulties, Johnny remembered to make use of his strengths. He was very skilled when it came to finance and accounting. “Fortunately for us, our WAC was due on the Monday of the next week instead of ‘tomorrow,’” he laughs, giving him time to work on his WAC over the weekend. “My fears were unfounded, as I did quite well”—a claim evidenced by him making it to the Dean’s List after the first examination. Completing the first semester with astounding results fortified Johnny’s confidence in his own abilities, especially with his difficulty in mastering the English language. Johnny is thankful for the leeway given to him by his professors. Coming from Korea, he was used to the teaching style there; however, in AIM, where the discussion was simultaneous, he had to learn to keep up. He also appreciates the fact that you are not told what is right and wrong, but rather that you must think for yourself and choose what you think is right. In 1990, Johnny attained his Masters in Business Management degree with flying colors. According to his classmate, Gel Tamayo, Johnny “was the acknowledged Finance expert in our cohort, especially in our first year.”
Setting the Standard Upon his return to South Korea, Johnny immediately began working for Daewoong Pharmaceutical Co., the company which had sponsored his scholarship. He was delighted to find that the Korean government had allowed foreign investments in his country, especially with regards to the manufacturing industry. Daewoong Pharmaceutical Co. began to undertake joint venture projects with other groups such as Eli Lilly and Co. and the RP Scherer Corporation. Johnny’s AIM education proved invaluable in these unchartered waters; challenges would meet him one after the other, leaving no time for respite. “My AIM training in goal congruence as well as negotiation skills helped me a lot in those situations, where customers and the company reached reasonable win-win decisions” says Johnny. His time spent at AIM not only gave Johnny a distinct advantage, but also proved beneficial for Daewoong Pharmaceutical Co. Johnny’s career was not smooth sailing throughout. Defying local organizational culture, Johnny set up a task-oriented management style under his wing—a change some employees resented because they were accustomed to a patriarchal boss, and they viewed gradation as discrimination. But it was through these challenges that “You are superior to us Johnny acquired three skills in every way, except for he deems invaluable: systemone thing—the tenacity atic problem solving, financial to achieve your dreams. foresight and analysis, and negotiation skills. Never give up.” All throughout his career, Johnny has been working for pharmaceutical companies, a minority in the Korean market, with only four players. After 12 years of service to Daewoong, Johnny moved on to another pharmaceutical company, this time one which specialized in developing medical equipment. He was the CEO and representative director of Yungjin Pharmaceutical Co. Ltd., which has a $100 million annual turnover, before he retired in March of this year. I am lecturing “pharmaceutical marketing” at Sunmoon University now. In Korea, a land that formerly housed only local corporations, one must ask which kind of company one will work for. Johnny has always remained with local companies. They are like family: complementing, light-hearted, and workers are close friends. “I had a friend in a multinational company,” he recalls. “He quit in six months. He told me all they would do is pat you on the back for a job well done.” For Johnny, to be with your own people is very important. A Dual Society With the advent of aggressive globalization, Korea has changed much according to Johnny, maybe too much, since his time. An example, “Setting the Pace” continued on page 53 >>
Words by Isagani Eliezer A. Manikan | Photo by Justin Irigo, MBA 2010
its products, and its people; and to raise respect for Korea so as to support Korean business accreditation and their prestigand the nation abroad through ious roster of professors. KU has governmental initiated strate“90 full time faculty, all foreign educated. All have PhD’s; all have gies and policies,” according to a Wikipedia entry. teaching experience abroad.” One of his main challenges But the high rankings are in this government post is the not his only achievement. He was able to raise US$400 million constant flux of the Korea brand, which he says is changing because during his trips in and out of of the infusion of more cultures, the country for the University mainly due to intermarriages of Development Fund. According Korean men with Chinese, Vietto him, there are “Good reasons why you should raise money. And namese, even Filipinos. There’s also the sandwich maybe friends will give money to approach to Korean products: you if there are results.” And he had strong results to back up his with China being low cost, Japan on the high-end range and Korea claims for the further improveright in the middle. ment of the University, their When asked how he will be professors and students. He claims that his team had successful in both positions, Mr. Euh says, “The important thing no problems dealing with donor of course is knowledge. That companies. As the University is why I have studied at AIM. fulfilled the donor companies’ And experience. But that is not needs, they always argued that enough. We need more things; I KU will give back in terms of results. “The result is very impor- call it leadership. Self-dedication without any personal interest.” tant,” Mr. Euh points out. When this global expert After he stepped down as executive was asked about what KU president in 2006, another significant changes can be done global challenge emerged for at AIM, he says, “Now everything Mr. Euh. He was appointed has changed, so you must keep chairman of the KB Finanpace with change.” As for genercial Group that year and the ating interest among individual Presidential Council on Nation and company donors, he has one Branding three years later. simple advice: “You should make In a speech during his inauAIM the best in the Philippines. guration at KB, Korea’s second If there are other good [institulargest banking group, Mr. Euh vowed to cut costs and achieve its tions], then why should you give vision of becoming a global bank. money to AIM?” The day that this interview During this interview, he recounts his vision for KB: “Within transpired, Mr. Euh was scheduled to attend next day ceremonies at two years, this will become the best, finest institution within Ko- Korea University, to culminate rea.” To hit the ground running, his professorial and administerial “Already, we started a task force duties after reaching the team of the 90 best employees. I retirement age of 65. Most likely, have recommendations on more he would have received honors and platitudes from the University than 40 tasks,” this resultsand his colleagues, considering oriented executive says. his globally renowned As the chairman of the achievements in the University Presidential Council on Nation when he was president. Branding since its formation in Needless to say, nothing January 2009, Mr. Euh’s main less than excellent results was objective is “to promote Korea’s global image; to right misconcep- expected of this AIM Triple A Awardee from 2001. tions about Korea, its culture, >> “The Global Korean” continued from page 45
>> “Great Souls are Followed...” continued from page 46
risk-taking skills through his situation analysis lessons at AIM. His years at the institute made it clear to him that the world of business will forever be a world of risk. His AIM degree was a great boon for Chun Jin Suk when he faced one of the biggest challenges of his long and successful career: entering a newly invested, newly established, new industry during his time in the Korea Investment and Finance Corporation (KIFC). Even the Chairman, S.Y. Kim had to go to Bancon himself to get firsthand experience and learn more, and emulate an investment bank in the private sector. Every bit of Chun Jin Suk’s AIM education proved to be of tremendous value to himself and to KIFC, for they were successful in this revolutionary type of bank in a new market that they had to develop themselves. Chun was able to perfect a style of management that concentrates on shareholders and clients’ needs. This style is based heavily on transparency and social responsibility, and showing respect to each and every member. From the very start, they provided quarterly reports for all the investors. In his line of work, not only was it important to be honest, but it was also important to be the best. “It was important to be the best... No, we HAD to be the best,” Chun reiterates, emphasizing ‘being the best’ with a forceful change of pitch in his voice each time he mentioned those three words with that all-important meaning. In 1983, the government approved the transfer of KIFC from an investment bank into a commercial bank. Unfortunately in October of the same year, the President of Korea visited Rangoon, then the former capital of the military junta, and seventeen policy makers including deputy prime minister and economic advisor to the president were killed in an ambush. This prompted the Korean government to revoke their previous approval, basically
telling KIFC to go back and stick to small banking businesses. Indirectly this was a huge blow to Chun, since it was his idea for KIFC to expand in South East Asia, despite the great risks involved. They had to wait for eight years to try again, and by this time KIFC had converted to what is now known as Hana Commercial Bank. In 1991, they were allowed to do commercial banking once again giving Hana Bank the distinction of being the practically first commercial bank to be owned privately. All of this can ultimately be traced back to Chun Jin Suk’s efforts, proving what a special breed of person an AIM Triple A Awardee truly is. Chun says that during this process, which took place in the span of sixteen years, he was able to predict outcomes because of highly-developed skills mastered during his studies at AIM. Chun states that the period between Hana’s evolution, was one of the most dynamic, fast-moving, and challenging periods of his professional life. In 1996 Chun’s high level of expertise took him on a threeweek, around-the-world road show. He was invited to talk about Global Depository Receipt (GDR) to a wide range of people in many different countries. This was three years before the inception of the euro into the global stage, and before that time, it was the US dollar which was accepted as the global currency. Chun Jin Suk was able to foresee the need for regions such as the European Union to share a common currency. Today, over three-hundred million Europeans’ day-to-day lives are dependent on the euro as currency, and an almost equal amount of people from all over the world use money, in some form or another, directly tied to the euro. To say the least, the skill that Chun Jin Suk possesses which he calls “the power of insight”, borders on near mystical proportions. In 1999 Chun was put in charge of acquiring a small bank. At first he
A IM L eader Magazine | T hir d Quar ter 2010
was reluctant to do so, but after getting over his reservations, the acquisition of that small bank proved to be a very profitable venture. Projects personally overseen by Chun Jin Suk have a high-rate of success, truly no less than being the best is what’s deemed as satisfactory by the distinguished alumnus’ standards. Doing the Job Well Chun is frustrated by people who are too set in their ways, and have the inability to change their minds. On more than one occasion, this frustration put him at odds with some of his elders and higher-ups. Being the leader that he is, Chun was even given a special citation by the government for a job well done, despite him having to put up with opposition from people who didn’t like to work with government agencies, fighting him almost every step of the way. As befits the humble manner of Chun, he admits that doing his job well is much more satisfying than getting recognition. He cites that the recent global financial collapse happened because of certain people who didn’t know how to do their jobs properly. As a result, he says, a large percentage of the banks are either bankrupt or in the brink of bankruptcy. In Korea, an investment company that Chun acquired for Hana Financial, Choong Chung Bank, was one of those that were able to avoid bankruptcy despite not being a large bank-in fact they only number around a hundred branches, the majority of which are mostly provincial. The 1997 Asian Financial Crisis was very profitable for the Hana Financial Group. Under Chun’s vision, the Hana Financial Group was able to acquire many banks and financial companies at a very low price. Tasked with integrating the merging of all the new acquisitions of Hana Financial into their corporate structure, Chun manages this grand task by implementing the Hana corporate culture. Nearly all of these purchases were done based on Chun’s recommendations.
Chun Jin Suk considers the chairman of Hana Financial, S.Y. Kim as the ideal manager. He takes a lot of his leadership style from Kim’s own. Transparency, brilliance, and “human touch” are the qualities of an ideal leader according to Chun. Finding a man with all these three qualities is a rare occurrence, something that happens to a select few of every generation. Chun Jin Suk is one of the few fortunate enough to have all of these characteristics; for all his great achievements, this AIM Triple A Awardee is living proof that great souls are followed by great things. Going forward, Chun Jin Suk wishes to maintain his current “happy” routine of hearing daily mass, visiting the Nursing Home for Elders and the Child Care Center twice a week and playing golf twice a week. After accomplishing so much in the financial sector, he has now different kinds of challenges and missions ahead of him for the people who are in need of help. We wish him the very best and more for his future and his missions!
interpretation of equality is good. Globalization and the concentration of money are unequal, says Johnny, so the only area where people can really be equal is education. Fundraising is made difficult by this point of view, because it will increase interference from the private sector, and disrupt the idea of equal opportunities.”You must tread carefully,” he muses, “because you don’t know how people will react to your actions.”
Expanding the Community While Johnny acknowledges the importance of AIM in his personal life and career, he bemoans the small alumni community present in his home country. Johnny is currently the head of the AIM Alumni Association in Korea. “AIM has an excellent reputation” he says. “But the problem is that people would prefer to go to American business schools, believing them to be the best. However, they are rather expensive.” Johnny believes the key to attracting more students, Korean or otherwise, would be to present AIM as a cheaper alternative with the same quality. >> “Setting the Pace” continued from page 51 There are many Koreans who he says, is the use of the term go to the Philippines to finish ‘sexy’, which had, and will their education early, and for still have underlying negative Johnny, they should be the target connotations for a Korean. It market of AIM, with regards to is a kind of dual society where the Korean population. “Since everything has hidden meaning. they go to the Philippines to Idealism is good, but it learn English”, says Johnny,” why should not get in the way of other not persuade them to stay and things. Johnny relates a story complete their education rather about a certain liberal, militant than spend more going to the university where students threw US?” AIM is no longer the only eggs at a Samsung representative choice—and therein lies the because the company was challenge, to make it THE choice. viewed as a symbol of the global “I think cost effectiveness market and industry—therefore is the second advantage of AIM. a symbol of labor exploitation. The primary advantage of AIM “There is such a thing as too should be unique and distinctive, much liberalism,” he laughs. The one that AIM can best deliver. concept of equal opportunities, I think AIM can best delver the especially with regards to Global Manager with strength education is aggressively pursued in Managing Asian business. and upheld in Korea. We learn globally proven In retrospect, this plain managment principles and skills
with focus on how to apply them most appropriately in the Asian business environments. I believe effective management highly depends on how you understand the different people and market.” Today, there are few Korean alumni, and even less are active. For Koreans, says Johnny, emotional attachment is a must. “They must grow to love the school so they will stay with us. It is hard enough with so many candidates heading to the US. Why lose what we already have?” But the small community of alumni in Korea has proven that numbers do not matter where passion for the Institute lie. And this was proven by the association’s wholehearted support for the recent Asian Immersion Program in Seoul, as well as personal donations of 1 million Won each by Johnny and members of the AIM Alumni Association in Korea, Ms. Tae Sook “Sugar” Han, MBM 1984, Mr. Hong-Soo “Henry” Lee, MM 1979, Mr. Chun Jin Suk, MBM 1979 and Mr. Hyun Oh “Mikael” Cho, MBM 1985 for the Alumni Leadership Fund for Scholarships. Today, Johnny Jeong is making plans and looking forward to his retirement. He enjoys playing golf, a pastime made easier than when he first begun. He surfs the internet as well and anticipates spending more time with his family—a task that was difficult in his younger days. For the upcoming talents at AIM, Johnny has these words of wisdom to impart, “You are superior to us in every way, except for one thing—the tenacity to achieve your dreams. Never give up.” And with his impeccable leadership skills garnered at AIM, Johnny Jeong will certainly continue to set the pace for future leaders in Korea. Johnny Jeong retired from Yungjin Pharmaceutical Company on March 31, 2010. He currently lectures on pharmaceutical marketing at Sunmoon University.
CL ASS NOTES
Eat Korean Words and Images by Sherbet Katigbak-Manalili, BMP 2005
ber, doraji (bellflower root), gim (seaweed), gosari (bracken fern stems), mu (daikon), mushrooms, spinach, soybean sprouts, and zucchini. Sometimes egg, tofu or sliced meat are added. Having a vegetable-heavy diet is a filling and healthy way to lose or maintain weight.
DID YOU KNOW THAT among the developed countries, South Korea’s obesity rate ranks the lowest? According to the Organization for Economic Cooperation and Development (OECD) poll in 2009, South Korea’s obesity rate is at 3.5%, followed by Japan with 3.9% percent, and the United States with the highest overall obesity rate with 34.3%. As obesity becomes widespread around the globe, “with more than 1 billion adults overweight—at least 300 million of them clinically obese” according to the World Health Organization, the Korean menu is worth exploring. Koreans are generally
dish) and main ingredient for many popular Korean dishes, prevents obesity and works wonders with dieters. One of kimchi’s main ingredients, dried chili peppers, contains capsaicin, which boosts metabolism and reduces hunger signals. Also, since kimchi is fermented, it forms healthy bacteria that promote lactic acid. Lactic acid,
Bibimbap We all know the low-calorie, low-fat and high fiber benefits of eating vegetables. Bibimbap is packed with namul (seasoned vegetables), served with gochujang (chili pepper paste) on top of a bowl of white rice—all stirred together thoroughly before eating. Vegetables commonly used in bibimbap include cucumBulgogi
Koreans are generally thin but they definitely love to eat. So it really must be in their food that helps them stay lean. thin but they definitely love to eat. So it really must be in their diet that helps them stay lean. Kimchi Named as one of the World’s Healthiest Foods by Time Inc.’s “Health” magazine, this healthy and low calorie banchan (side
according to the National Center for Biotechnology Information, prolongs endurance, promotes healthy metabolic function, and regulates digestion. Korea boasts more than two hundred types of kimchi.
Samgyetang Samgyetang or ginseng chicken soup is a variety of guk (Korean soup). A whole young chicken stuffed with glutinous rice is boil ed in Korean ginseng broth with jujube, garlic, and ginger. This traditional dish is believed that it can both cure and prevent physical ailments. Known for its revitalizing effects,
A IM L eader Magazine | T hir d Quar ter 2010
Bulgogi Grilling is far healthier than other methods of cooking meats because more fats are removed. Bulgogi, one of Korea’s famous grilled dishes made from marinated beef sirloin, is cooked on a bulgogi grill that looks like “a perforated inverted wok” (Steven Raichlen, ‘“The Barbecue! Bible’’). Letting the fat drip off the sides of the griller can surely help control your weight. To eat bulgogi, wrap beef in lettuce with rice, kimchi, other garnishes and doenjang (bean paste) for flavor. Dak bulgogi is made with chicken and dwaeji bulgogi is with pork.
Gochujang Korean food is often very spicy. Studies show that adding spice to your food aids weight loss. Gochujang, a red, spicy paste made of red chili powder, glutinous rice powder, fermented soybeans, and salt, boasts a healthy amount of
vitamins and nutrients, and more importantly, capsaicin, which inhibits fat cell growth and kills hunger. Researchers discovered that regularly adding capsaicin to meals can significantly help lose those excess pounds. So pass the chili paste! ERYONI/FLICKR
samgyetang is being exported in 11 countries. It is sold as a ready-to-eat packaged food that is very popular in Japan, Australia, Taiwan and Hong Kong.
Ginseng Korean ginseng has shown promise as a health supplement for centuries. From treating diabetes to erectile dysfunction, this medicinal root is recognized for its unique healing properties. Korean ginseng is also believed to be a weight loss wonder. Studies show ginseng boosts metabolism and reduces blood-sugar levels. Reduced blood sugar results in less production of insulin, the hormone that signals the body to retain fat. Although most Korean dishes are served in individual servings, many Koreans typically share meals. The Korean food culture, where many people eat together and share food, believe that sharing food strengthens relationships. By adapting this eating culture, we not only develop communal solidarity among family and friends, but also acquire healthy eating by helping you “slow down, savor the food, and consume less,” according to writer Roxana Wells in South Korea.
References: http://www.ehow.com/how_ 5649198_lose-weight-eating-korean-food.html http://www.nytimes.com/1999/08/01/magazine/food-grill-in-chill-out.html http://www.foodbycountry.com/Kazakhstan-to-South-Africa/Korea.html http://www.associatedcontent.com/article/277367/the_advantages_and_benefits_of_ grilling.html?cat=22 http://www.ehow.com/how_ 2083166_use-ginseng-lose-weight.html#ixzz10n6vBODb The writer returned to Manila five pounds lighter after the one-week AIM Asian Immersion Program in Seoul. Her meals were always satisfyingly full but surprisingly, she still shed off some weight. Because of Korean food? Definitely.
Two Stops Where? FOR US, THAT’S TWO STOPS Over, a reality series for television that follows the journey of an established international photographer, Francisco Guerrero, who decides to fly back to The Philippines with his family in tow, to try and build a career in his native land, from scratch. Two Stops Over is written, and edited, by Troy Bernardo (MBM ‘93), whose previous work includes the movie, “Sabungero,” known internationally as “The Cockfighter,” which won the Aloha Accolade Award for Excellence in Filmmaking at the 2010 Honolulu International Film Festival, the Golden Palm Award at the 2010 Mexico International Film Festival, and a spot among 18 films screened at the 2010 Filipino Film Festival in New York City. The show is all about cutting edge photography, from the gear, the technical processes, and the intimate trade secrets behind taking them, to the production of the show, which was shot entirely on HD, using Canon’s latest EOS 5D Mark II and EOS 7D. From production to post, the show deals with the basics from
a first-person perspective, giving us an entertaining, hands-on master class that’s filled with superior, powerful images. Terno Recordings, the brainchild of Manila-based DJ Toti Dalmacion, provides the music for Two Stops Over; original Filipino music from: Popular Days, Hidden Nikki, Not Another Boy Band, The Charmes, Encounters With A Yeti, Musical O, Sleepwalk Circus, Radioactive Sago Project, and Up Dharma Down. “The show isn’t just about photography, it’s more of a journey,” says Troy, bringing up a debate that’s long-drawn: does the photographer change the subject or does the subject change the photographer? “And it’s not just about Paco’s journey, but about the viewer’s as well. Two Stops Over aims to change our perspectives on life through the lens.” It also hopes to up the standards of television programming in the country. Two Stops Over premiered in November over 2nd Avenue. Watch it on Sundays, 7:30 pm, with a second run on Saturdays, 10:30 am.
>> “Making it to the Top” continued from page 49
From 1995 to 1999, Ms. Han was the marketing communications manager of Pizza Hut Korea. Before that was her ten-year stint at Hotel Lotte. Overall, she is satisfied at how much she has achieved in her homeland and adjusted to its norms. Having been used to AIM’s battlefield-type case discussions, Ms. Han kept the habit of speaking up in meetings upon her return to Korea, pointing out problems and disagreeing with colleagues. But she realized soon enough, “That kind of style is not proper in Korea because you have to think about the other person. You have to talk differently so you can still be friends...Probably you have to discuss it without hurting the other person’s face value. I didn’t know that one well. I had colleagues who told me, ‘Why don’t you say that more smoothly, in a more diplomatic way?’ I realized that my attitude was too westernized. “With my UP and AIM background, I was able to excel in an international organization,” she said, citing that Pizza Hut is owned by Pepsi Cola, and the InterContinental is a multinational corporation. “I know Korean culture now, and I know Asian culture. So I can really come up with a good strategy.” She admitted, however, that working in a local Korean company would not suit her. She usually found it “very difficult to adjust.” “For example, in Hotel Lotte, they were all Korean men who were college graduates, while I was an MBA. Based on the way I talk, they thought I was very strange,” she confessed. “In the Korean organization, ladies are passive: ‘You do this.’ ‘Yes, I will.’ But here I am with a westernized background. If a manager gives me work late in the evening, must I do it? Why couldn’t he give it to me early in the morning? With the Korean attitude, when a man-
ager gives an order, even though you don’t like it, you accept it. “I thought I’m a very smart person, but in the business circle, smart is not enough,” she observed. “You have to know the culture and things like that. When all the employees are male, they look at females very differently, and they are very purist about what they’re doing.” The professional field is changing as more women managers toil their way up, “but it’s still slow,” according to Ms. Han. “Maybe that’s why I feel comfortable in a foreign company—that’s where I could go up to an upper-level position. If I were in a Korean company, my position would still be low... I should have learned these things before...I needed to understand the Korean business circle. When Asian students deal with the Korean or Japanese, there’s a difference in the way you look at the person, in your attitude. It’s very different. You need to know these many small things. And [initially] I didn’t know,” she laughed. Now that she knows better, she can discern when to be aggressive, when to be diplomatic, and when to keep a low profile. At the InterContinental Hotels Seoul, about half of the employees are female, and Ms. Han holds the highest position among them. “There are very few women my age working in a big corporation, and I’m one of them. Because ladies find it very difficult to get into a company, they become entrepreneurs right away, and they become more successful...A lot of ladies stop working when they get married and when their child goes to elementary school because education in Korea is very important. They spend a lot of time with their children. And in school, there is so much homework that is not done by the students but by the parents. “I had a conflict when my daughter was in first year of elementary school. Do I continue
my work or not?” she asked herself. “Here in Korea, a lot of elite ladies who graduated from good universities devote themselves to their children’s education. So when I saw that their children’s grades were good, while I had no time to take care of my child, I had a lot of conflict...But I was able to continue because I have only one child, and my daughter said it’s good that I work. If I stay home, maybe I’ll give her too much trouble! And when my daughter got older, she was proud that her mother is working.” Her daughter came to Manila in 2007 just after finishing 9th grade, and she is currently taking up Finance and Investment at Miriam College. Aside from nurturing her career and her family, Ms. Han also takes good care of her health. “I go to the health club almost five times a week. I spend around two hours for practicing golf, swimming, ping pong, bicycle and sauna,” she said. “I enjoy going there.” On Sundays, she and her husband have a routine of going to the cinema at an upscale mall, followed by lunch. She also frequents the mall’s bookstore. Looking back at her three decades of professional experience, Ms. Han shared a few significant learning experiences. First is the reliability of having a network. “In Korea, connection with your school, with your family, with your hometown is very important,” she explained. “But I was away for 10 years; I was like a foreigner. My mentality’s different, and I didn’t have any connection.” Therefore, she joined the AIM Korean Alumni Association. After two decades of active participation, she was elected as chairperson of the Federation of AIM Alumni Associations (FAIM) from 2003 to 2005. She likewise reached out to women’s associations and work-related circles. In 1996-97, she was the Asia and Pacific coordinator of the International
Federation of Business and Professional Women’s Federations. For three years, she served as president of Career Women in Korea, and for four years as chairperson of Hangaram Business and Professional Women’s Club. From 2005 to 2007, she has been the vice president of the Business and Professional Women’s Federation. Recently, upon Lee Hong Soo’s (Henry) invitation, she joined the Rotary Club, the oldest rotary club in Korea where English is the medium of communication. “A lot of networking helped me to go up the business ladder,” she stated. Second is the importance of self-confidence. “I’m very competitive,” she admitted. “Through my studies at UP and AIM, and my experience in Korea, I was able to have confidence in myself. In fact, my UP and AIM background is quite good in Korea...Whatever I do, I feel I can do it well.” Third and most valuable is balancing work with family. Ms. Han has been able to succeed in this regard because she has an understanding husband and in-laws. “Fortunately, my mother-in-law was also working, so she was very understanding,” she noted. “My husband works in a freight forwarding business. He has an MBA from Korea University. He’s the same age, so we’re like friends.” What makes their home setup unique is that she and her husband have divided the housework 50-50. “Actually, initially, he wasn’t doing it. We fought because he’s a Korean man who thought, ‘I’m already helping you a lot. You are still complaining,’” she narrated. “But I said, ‘I am also educated... You’re working, and I’m working. Why do I have to do so much work?’ There was a lot of conflict. We were able to solve it through a lot of discussion. He was able to understand and help me. That’s balancing. My family’s emotional support has been quite important.”
Pras Chaudhuri, MBM 1994 is the Sr. Director-Enterprise Business Strategy at Hewlett-Packard with business office at Hewlett-Packard Worldwide Headquarters 3000 Hanover St., Palo Alto, CA 94043, United States of America. Pras writes: “It’s been a fairly long time since I had an opportunity to meet my classmates and professors in person. However, the virtual world of social networks has ensured we are all connected in a way I could never have imagined during my days at AIM: My LinkedIn profile at: http:// www.linkedin.com/in/praschaudhuri My blog “Review of Business Issues” at: http://prasenjitchaudhuri. blogspot.com/ My Facebook profile at: http:// www.facebook.com/profile. php?id=680898169 My film review blog “Pras on World Films” at: http://prasenjitchaudhuri. wordpress.com/ Other interesting site (for entrepreneurship): http://celbits.org/ conquest/pastjudges.html Prassy’s thoughts on leadership is “not about what one aspires and prepares for. It’s about what one believes in strongly enough to stake his future. An inspiring line from a Pink Floyd song that has always inspired me about leadership— ‘did you exchange your walk-on part in a war for a lead role in a cage?’ “After 15 years of managing and advising large corporations, leadership (to me) boils down to that moment-oftruth when you face an uncertain situation and someone (your stakeholder) is looking up to you for direction. Every business and leadership framework you believed in and followed faithfully quickly dissolves into insignificance, and you find yourself reaching deep inside to draw out an answer. That’s when all the education and training you have been through so far begins to seem worthwhile. That’s when a leader is born.”
(CODEC) in Chittagong, Bangladesh. “There is a newspaper advertisement of a glue company about their brand: It can join everything except broken heart. I have been battling with my broken and bad legs, holding a hand stick for long years. But my heart is always strong, confident and cheerful as my MDM degree, classmates, professors and staff of AIM galvanized my heart with a glue of inspiration, spirit and dreams.”
with a certain framework. The marketing finance and HBO learnings are just by the way things but you can pick up the character formation at AIM. The experiences I miss are the case studies, CP and projects with classmates, dealing with over 700 cases, the discipline, and the framework. Regards to the FF Professors Ed Morato, Junbo Borromeo, Gabi Mendoza , Mayo Lopez, and Purba Rao.”
Pavaanjeet Singh, MBA 2009 is currently the Lotus Software Sales Specialist of North and East India of IBM India. Pavaan writes: “AIMites, this one’s for you: COLD CALLING ROCKS! Here I was at a high delegation board room presentation. Our solution was all worked out and the CIO of the company was in sync. This final make or break presentation was for the
Vikram Singh, MDM 1991 assurance service to Cambodia, Phnom Phnem recently: BG Associates Ltd (Tel: +855 023 992418). Look me up when you are there. 23 years on, the funs and challenges of class MM 1988 are still fresh. When are we going to have our class reunion?”
Kaiser Naseem, MM 1984 is the Program Manager at the International Finance Corporation (World Bank) in Canada.
MDM CEO, MD, Vice Chair and a couple of Directors. See, I wasn’t expecting all of these folks to understand technology so well but I sure wanted them to be attentive. So during my presentation, I saw their VC blink a little (gosh, in AIM if that happens during a class, we know what happens... COLD CALLs!) So immediately I pointed at him and said, ‘Sir, you look very keen. Do you have a question?’ That totally shook him up but at least I got his attention into my presentation and after that, the VC and others became active and the session got interactive and more productive. “After graduation, cold calling will still be fun! Miss the late night WACs and the early morning cold calls, the CAN group dynamics, fun pool side parties, and all the wild trips we had together.”
Benito Lopez, MBM 1997
Billy Kang, MM 1988
is currently with sales customer care of Coca Cola Amatil in New South Wales, Australia. “I enjoyed my AIM experience. I am a totally new person because of this AIM course. I am able to think faster and
is currently a partner of Billy Kang & Co with business address at 4th Floor, Lot 164, Sec 8, Jalan Pintu Pong, 15000 Kota Bharu, Kelantan, Malaysia. He writes: “I have expanded my audit/
Jinapala Kiribandage, MDM 1991 is a researcher at the International Water Management Institute with headquarters at 127 Sunil Mawatha, Pelawatte, Battaramulla, Sri Lanka. He writes, “I am doing well in my job and education at AIM has been very useful.”
Sultan Giasuddin, MDM 1999 is the Research and Monitoring Director at the Community Development Center
is currently with Verinder&Vikram HUF in India. He writes: “In young democracies it is vital that a vibrant and responsive judiciary that delivers justice in realistic time bound deadlines is nurtured and developed. This bedrock is what should be the foundation for a democracy that is truly representative. It goes without saying that the laws that this judiciary implements must be in tune with social, political and economic realities of the day in that society/country. Where delays occur in justice delivery or justice is subverted due to other reasons parallel organizations/authorities emerge which profit from the delays in the authorized legal system through subtle and not so subtle extortion. Laws, their origins and the legal systems of our respective societies need tremendous application of intellect, time and financial resources so that they are upgraded to standards where the common citizen is assured of the protection of his basic civil liberties, rights and justice delivery is swift. At present we exist in societies where justice exists only for the affluent who can afford the lengthy process. Glaring inequity requires the application of the finest minds in management.”
Lauris Anudon, MDM 2003 is the Local Market Area Manager of Chemonics Int’l, Inc. with business address at PRISM 2, Rockwell Tower I, Ortigas Ave., Pasig City, Philippines. “Up to now I remember with fondness Prof. Vic Limlingan with his SUPERIOR STRATEGIES and DOING WELL and DOING GOOD. To my classmates and professors, keep going and stay focused on your vision and mission in life.”
Berna Lomotan’s “Major, Major” Achievement
BERNA LOMOTAN, MBM 1974 AND former AAAIM Chairman has a “major, major” achievement which is a shining light in the midst of the recent hostagetaking controversy in the Philippines— her daughter Micaela Rustia was voted Southern Nevada’s Top 100 lawyers out of 10,360 lawyers. With great joy and pride, Berna e-mailed her classmates from Los Angeles: “My dearest classmates, my daughter Micaela Rustia is on the cover of Nevada Business Journal’s September 2010 issue. Micaela was voted by her peers as one of Nevada’s top 125 lawyers (out of 10,360 licensed lawyers in Nevada) and one of 20 best up and coming lawyers, having practiced law for only five years. Micaela specializes in financial restructuring and bankruptcy at Fox Rothschild LLP.” Immediately, a flood of congratulations inundated Berna-from Bing Azanza, Oogie Pena-Dolina, Marissa Sibal, Rene Montemayor, Ermie la Rosa, and Gary Lim. Berna would respond with her ecstatic wit: “Oogie, I am so proud of Micaela who never fails to surprise me with her achievements. I am grateful if I inspired her, she has always been so persistent and driven to succeed. “Thanks Manny and Marisa. I am ecstatic over Micaela’s achievement. She is turning out to be a major, major improvement over me!” Here are excerpts from the article “Legal Elite” from Nevada Business Magazine September 2010 issue: Legal Elite ATTORNEYS CHOOSE AMONGST THEIR PEERS Representing the top attorney’s in Nevada, the 100 Southern Nevada lawyers and the 25 Northern Nevada lawyers included in the 2010 Legal Elite
have earned the trust and endorsement of their peers. These attorneys have been recommended by the people that know them best, the lawyers they work with or see across a courtroom. Who better to determine a lawyer’s merit than another attorney? Out of the 10,360 licensed attorneys in Nevada, 125 are being honored as this year’s top attorneys. Whereas previously, only the top 100 statewide were honored, due to the difference in regional size, this year attorneys from both ends of the state are being honored in two separate lists: Top 100 Southern Nevada and Top 25 Northern Nevada. Additionally, lawyers were asked to submit three names for the best up-and-coming attorneys. This third annual Legal Elite list is the result of those recommendations. METHODOLOGY Balloting for Legal Elite began earlier this year when Nevada Business Magazine asked members of the Nevada Bar to nominated their peers. Attorney’s were sent email ballots as well as encouraged to nominate
were eligible to participate. After each vote was tabulated, our research team began to review the top scorers and determine their eligibility. They also reviewed each of the top 20 best up-and-coming attorneys. The following pages highlight the top attorneys as chosen by their peers and will provide an invaluable resource for anyone looking to retain an attorney. Other Tidbits from Berna in Los Angeles Berna e-mailed last July 27, 2010: “I had an opportunity to visit Vivian Chandran at her Hillsborough home on July 22. Vivian flew to Manila on July 23 and will be in Asia for three months. “At the reunion of the North America-based alumnae of the College of the Holy Spirit, I bumped into Ilo Echevarria-Wallenstein and Techie Jacobo-Blakeney. Ilo suggested we, who had an AIM connection, pose for posterity. More from Berna when she gets back to Manila in October.
Berna with Vivian, the wife of the late Bob Chandran
through the website. The response was outstanding. After sorting through countless ballots, the arduous process of determining this year’s Legal Elite began. Each attorney was given a score based on the number of votes he or she received and whether the votes came from within their firm (one point) or outside their firm (three points). Only lawyers that are licensed in Nevada
Berna with Ilo Echeverria-Wallenstein and Techie Jacobo-Blakeney
Hoang Thi Thu Ha, MDM 2003 is the Vice Head of the Culture, Sport and Tourist of Ho Chi Minh City Department. Her message to her classmates: “I hope many good things will come to you. Wishing you and your family all the best.”
Rommel Juan, ME 2004 is the President and CEO of Binalot Fiesta Foods Inc. with business address at 3686 BUJ Bldg. Sunvalley Drive, Sunvalley Subdivision, Parañaque City, Philippines, writes: “My AIM education prepared me to take my business further primarily by introducing me to the bigger picture. For an entrepreneur, seeing the forest and not just the trees is crucial in making any business grow. “Of course, a wider perspective is useless if one does not have the skills to take advantage of insights gathered. AIM also taught me to check the nuts and bolts of my business—from contribution margins to quality delivery price—and incorporate all of these in an all-encompassing mission. VMOKRAPI SPATRES, which was drilled in us our entire stay, helps me focus on my dayto-day activities while still keeping sight of the larger goals. “I also developed my marketing skills while studying at AIM. Finding my company’s Unique Selling Proposition and benchmarking competitors while analyzing them against classic and modern case studies is still a big part of my planning process. “Finally, no school is complete without classmates, from whom I’ve also learned from. AIM introduced me to like-minded people whom I can share stories and advice with—a must for any entrepreneur. “As of today, there are more than 40 branches of my company Binalot (company-owned and franchised). But more than the growth in size and coverage, my company is also growing as a responsible enterprise. In 2007, we started the Dangal at Hanapbuhay para sa Nayon (DAHON) Program which has been providing an extra source of income for banana farmers in Nagcarlan, Laguna. By adopting the community that produces our packaging material (banana leaves), we were able to establish a CSR program and
A IM L eader Magazine | T hir d Quar ter 2010
streamline our supply chain. Right now we are expanding the program by sponsoring two more communities —another banana farming community in Calamba, Laguna and an Aeta Community in Zambales. “To my dear professors, I am very grateful for the experience of being under your mentorship. What and where I am now is can be attributed to the knowledge you have shared and values you have instilled in me. Continue being a source of wisdom and inspiration to those who are aspiring to be successful in their fields. “To my fellow alumni, we are very privileged to have experienced the kind of education we have. Let us maximize all these learnings by establishing businesses or being in a profession that aids in the development of our society. Thank you as well for being part of the learning experience in AIM, your insights and stories have also been helpful for me.”
Darwin Guillermo, BMP 2008 is the marketing manager of Refamed Research Laboratory Corporation in Carmona, Cavite, Philippines. He shares, “AIM BMP jump-started my career in marketing. It created a paradigm shift from a mindset of a veterinarian (my profession) into an entrepreneurial frame of mind. It planted an ‘entrepreneurial seed’ in me which is very critical in understanding my role in my company. This seed continuously grew as I perform my job and continue to appreciate the business processes undertaken by my company. “Leadership for me is an art of influencing. It is not necessarily being ahead of the pack. Leadership is multidimensional. It’s a way of life and built around a person’s character. A leader is an influencer. “To my BMP127th Classmates, I hope everyone is doing great!”
Mohammad Minhaz Uddin Sheikh, BMP 2010 is the Deputy Manager of Palli Karma Sahayak Foundation in Bangladesh. He was promoted in August 2010. He writes: “Prof. Tan was so lively in the classroom
Efren Pimentel, PDM 1995
and Prof. Lopez was familiar to us as he has some direct knowledge about Bangladesh.” Shamim is inviting his classmates and professors to visit Bangladesh.
Emmarita Mijares, SMP 1997 is the Deputy Executive Director of the Export Development Council with office address at 375 Gil Puyat Ave., Makati City, Philippines. She has led the advocacy group that helps in export development and promotion. She has also co-authored the Philippine Export Development Plans.
Satornino Amaral, PPMC 2009 is the Local Governance Program Manager of The Asia Foundation in Timor Leste. Sato writes: “The PPMC course was the best course that I have attended in my career life. It gave me a lot of experiences and knowledge on project management and project cycling. Connecting to my current work as program manager, the PPMC was the true guide tool for me to run for work as professional.”
is the Managing Director Global Inner Circle Consulting with business address at Lot 7, Block 31, Barangay Acacia, Silang, Cavite, Philippines. He writes: “The dynamism of my learning experiences at the Asian Institute of Management was life changing as a development management practitioner. Those intensive and unique learning experiences allowed me to seize opportunities, calculate and take risks. I was equipped and nurtured with the best strategic development frameworks, innovative and creative mindsets, passion for mastery, and culture of excellence of the AIM community. “I am blessed with my AIM education and truly grateful for the scholarship grant of the Andres Soriano Foundation and the Association of Foundations as their social investment for increasing the strategic value of the intellectual assets of the development management practitioners in the Philippines. “With gratitude in my heart, I am also paying forward and advocating the use of mastery learning system at the early childhood education level in line with the Millennium Development Goals set forth by the United Nations to achieve universal primary education. And, as an offshoot of my AIM education,
I am also serving as the chief advocate for the 5S leadership mindset of synergy, stability, success, significance and service (and not the common 1S mindset of survival). “As the prime mover of Global Inner Circle Consulting, the service value of my consulting engagement is specialized and focused in the domain of training, research and business development or through the core elements and processes of the knowledge-based economy. “Classmates, greetings of peace and development! Still remember our graduation song If We Hold on Together? I am sure, yes. Would you agree with me that the heart and soul of that song still reminds and binds us in our common agenda of bridging leadership for social change in our respective organization, sector, community and nation? “Can we still hold on together in this globalize and borderless world? I hope and pray yes. Then, please be glad to sustain your connecting bloodlines with our AIM Alumni Relations Office, AAAIM and IMDM for important updates and enriching activities. “While navigating your respective journey plan towards our dreamland, be reenergized and refreshed by the spirit of our graduation song, which is anchored on faith, hope and love for our humanity. Miss you classmates. Keep in touch, take charge and be blessed always.” Efren can be reached at email@example.com.
Ofelia Odilao-Bisnar, MBM 1988 On August 5-10, 2010, Janine and I went to Tinajin, China, together with 50 other members of the Philippine Delegation, with 32 Filipino High School students from all over the Philippines, for the 2010 China Junior High School Math Olympiad. The Philippine Team garnered two silver awards, 55 bronze and one trophy for merit award-team category. Janine brought home two bronze awards.
Ma. Elizabeth Vicencio Dela Paz, SNP 2010 is the Vice President-District Sales Manager at the Rizal Commercial Banking Corporation in Makati City, Philippines. She wishes her classmates and professors “a successful life and career.”
(Left) May Orense, MBM 1991 and her daughter Jessica with Janine and Ofel. Both Janine and Jessica are members of the Philippine Team. (Right) Ofel and Janine met up with Jack Niu, MM 1998.