www.pbsp.org.phwww.pbsp.org.ph

www.pbsp.org.ph

The Role of PBSP in DevelopmentFour decades of collective business sector leadership in

poverty reduction

Felix TonogDirector, Strategy Management

fatonog@pbsp.org.ph

www.pbsp.org.phOutline

2

• Historical Sketch

• Development Principles

• Collective Impact Cases

• Investing in Collective Solutions

www.pbsp.org.phHistorical Sketch

• Dec. 16, 1970 – founded at the Hotel Intercontinental Makati

• March 8, 1971 – registered with the Philippine SEC

• April 1, 1971 – formally opened with operational support from the Economic Development Foundation (EDF).

• Dividendo Voluntario para la Comunidad – PBSP was modeled from; introduced by Luzio Mazzei, a Venezuelan and President of Shell Philippines

• Washington Sycip – developed the organizational framework

• Jose M. Soriano – coined the name PBSP; first PBSP Chairman

• Sixto K. Roxas III – created the first vision and mission statement

3

www.pbsp.org.phWASHINGTON SYCIPSGV and CompanyTrustee, 1971-1974

"I joined PBSP because I believed that it was the right vehicle through which the business sector can express its social

consciousness. It was also an opportunity for businessmen to come into a better understanding of what ails the Filipino masses. It

remains my strong belief that our elite must continuously acquaint itself with the larger society. In understanding their plight, our

leadership can effectively respond to the problems."

4

www.pbsp.org.phEMILIO ABELLOManila Electric CompanyChairman, 1972-1973

"We have not fully succeeded in promoting the development of man in our society and in advancing more meaningfully the well-being of the community because our efforts have been dispersed and they have taken the form of bits and pieces in uncoordinated, wasteful fashion,

giving rise to ill-considered and inadequate measures."

5

www.pbsp.org.phBIENVENIDO A. TAN, JR.The Bookmark, Inc. | Modern Glass Distributors, Inc.President, 1974-1989Executive Director, 1974-1978Trustee, 1971-2017

"No rational thinking organization can accept a situation where it stands as an island of material prosperity in a sea of poverty and

degradation.”

“Only when a self-sufficient, self-determining community able to cope with changing social and economic conditions emerges can we say that we have achieved an acceptable measure of success."

6

www.pbsp.org.ph

ANDRES SORIANO IIISan Miguel Corp. | Andres Soriano Corp.Chairman, 1987-2000

“PBSP is founded on two deeply held convictions: corporate citizenship is not an option but a responsibility. Helping the poor help themselves hold out the best hope for alleviating poverty,

unleashing human potential and achieving social development.

The task of development is so great that no one sector can bring it about alone. The key is to establish partnerships among the major

sectors of society.”

7

Andres Soriano III Address to the 48th United Nations NGO Conference, New York City, 1995.

www.pbsp.org.ph

ANDRES SORIANO IIISan Miguel Corp. | Andres Soriano Corp.Chairman, 1987-2000

“PBSP is a business-led social development foundation.

It is a collective effort of corporations committed to a common goal of helping the Filipinos help themselves. We are both business and social

development and this duality allows us to understand the concerns of both sectors and help match one’s competencies and resources to another’s needs.

This uniqueness has been a source of strength that sustains our work and an inspiration to aspire for leadership in the sector.”

8

www.pbsp.org.phPBSP’s Development Principles

PBSP’s social development programs are rooted in a core philosophy of self-help and participation. Thus, PBSP is guided by the following development principles:

» True development occurs when people participate in the process of deciding and implementing the desired goal changes.

» The objective of development is the development of organized self-managing and self-directing communities.

» Development should promote the good of man, and of the whole man. Therefore, development must be directed towards all aspects of human life.

9

www.pbsp.org.ph

MISSION

PBSP is committed to poverty reduction by promoting business sector leadership in, and

commitment to programs that lead to self-reliance

10

www.pbsp.org.ph

VISION

To lead the business sector’s efforts to reduce poverty in the Philippines

11

www.pbsp.org.ph

CASES OF COLLECTIVE ACTION

12

www.pbsp.org.ph

Provincial Development Strategy (PDS)1986-1991

• Poverty group-focused and province-specific (15 priority provinces) approach to poverty alleviation

• Approach:

– Provincial development study on development opportunities to appraise local conditions

– Formulation of appropriate institutional strategies of the province

– Assembly of necessary resources, partners and appropriate technologies

– Institution building of NGO partners

13

www.pbsp.org.ph

PDS Case Study

Project Davao Federation of Agricultural Cooperatives (DAFEDACO) Rice Enterprise Program (1986-1991)

Province Davao del Norte

Beneficiaries 70,000 lowland rice farmers

Project Interventions Provision of financial assistance of P5.6 million (72% in financial advances) to fund projects on institution building, rice-based productivity improvement (setting up a rice central and enterprise development of palay/rice marketing), and installation of radio communication system to support trading.

Results • Rice production went up by 277% due to better credit facilities, improved irrigation system and technology transfer to rice farmers and community.

• Lending rate of local financiers and traders went down from 7sacks to 4sacks per P1,000

• Lower cost of farm inputs brought overall production cost down, raising the effective price of palay from P5 to P10 per bag

• Local partnership building led to the federation of 22 cooperatives

14

www.pbsp.org.ph

Area Resource Management (ARM)1991- 2010

• Impact areas – contiguous clusters of municipalities with significant poverty population

• Integrated area development intervention

• Strategy– Development partnerships with local NGOs and POs, organized and strengthened to

implement programs

– Partnerships with LGUs legislation, enforcement of policies and delivery of basic services

– Corporate sector and donors to invest resources complementing efforts in the area.

• Scope includes– Effective and efficient utilization of natural resource base in the area

– Balanced use, conservation, preservation and regeneration of resources within ecological system

15

www.pbsp.org.ph

ARM Case Study

Project Strategic Private Sector Partnerships for Urban Poverty Reduction (STEP-UP)2002-2007

Area Caloocan, Quezon City, Malabon, Navotas, Marikina, Pasig, Taguig, Muntinlupa

Beneficiaries Urban poor families

Project Interventions • Funding from ADB-JFPR – PhP183 million; mobilized PhP119.84 from corporate and other sources.

• Financial assistance for housing and livelihood• Institution building for HOAs and LGU multi-sectoral groups

Results • Benefited 13,916 households through 52 HOAs in 12 cities in Metro Manila• 1,221 housing units completed (with electrification)• PhP4.49M in livelihood loans benefiting 1,668 households• Trained informal workers and formed workers’ cooperatives• PhP40.24 M for 59 community infrastructure projects• Housing loan repayment rate at 92.7%• Transformed communities

16

www.pbsp.org.ph

Investing in

9th Strategic Plan2017-2021Philippine Business for Social Progress

collective solutions

17

“PBSP is committed to strengthening the results focus of its development programs within the context of the SDGs. Central to achieving this is our push for the collective impact approach and an intensified promotion of inclusive business models.”

www.pbsp.org.phPBSP’s Collective Impact Framework

Collective Impact is a participatory approach to the delivery and management of development initiatives where a group of important actors from different sectors commit to a common agenda for providing long-term solution to systemic social problem [in specific sites].

18

Needs Assessment &

Validation; Resource

Mapping; Family, Beneficiary

Profiling; Entry point project

Joint planning and Project

Identification; Participatory

Project Design; Resource

Mobilization & Partnership

Building

Program Implementation

Management; Monitoring,

Review, Evaluation &

Reporting

Collective impact site

selection

Collective impact

organizing

Collective impact

backbone

management

Collective impact: an operational process

www.pbsp.org.ph

Our Theory of Change articulates our shared view of the transformational change process and the results that we want to achieve in the next five years and beyond.

Self-reliant and resilient communities with improved quality of life

Access to quality medical services

Better access to quality education

Decent jobs and more economic opportunities

Access to clean water and energy

Democratic, transparent and accountable governance

Safe and peaceful environment

Available infrastructure

Resilient and disaster-ready

Cultural diversity

Capable and effective institutions

Ecologically sustainable

IMPROVED INCOMEREDUCED MORTALITY &

MORBIDITYCOMPETITIVE K+12

GRADUATESIMPROVED RESILIENCY & REDUCED VULNERABILTY TO

CLIMATE CHANGE RISKS

TARGET MUNICIPALITIES PROVIDED WITH MIX OF PROJECT INTERVENTIONS 19

www.pbsp.org.phBayanihang Pampaaralan

A private sector-led platform for collective action

BP supports the implementation of K+12 program by leveraging business sector investments to sustain government action and harmonize development aid assistance for education reform

20

IN PHOTOS: Irah Jane Empuerto, Gr. 12 student of Lapasan National High School in Cagayan de Oro earned NC

I on shielded Metal Arc welding through the support of PBSP BP

program; BP presentation of Job Market Study results and

consultations in Ceby City; BP stakeholders’ forum in Cagayan de

Oro City

www.pbsp.org.phWater Alliance

21

A collective impact initiative created to spur a coordinated response to the water security challenge.

60 member-organizations from corporate, academe, civil society organizations and government.

At least PhP137 million mobilized from private sector to support Water Alliance initiatives.

www.pbsp.org.phNational TB Program

PBSP supports the Philippine National TB Program in partnership with the Department of Health, local government units, and various civil society groups

With funding support from The Global Fund to Fight AIDS, Tuberculosis and Malaria and USAID

22

IN PHOTO: DOH and PBSP launched the Dr. Serapio B. Montaner Jr. Al Haj Memorial Hospital PMDP Satellite Treatment Center in Malabang, Lanao del Sur on September 27, 2017 .

www.pbsp.org.ph

“Being an effective partner in collective impact requires flexibility, long-term commitment, and a willingness to share

power, decision-making, and credit with others.”

23

www.pbsp.org.ph

24