filipino corporate culture
TRANSCRIPT
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LIBRARY
Cover Design by
Liz
JaOTffo,,. •
T o w a r d s D e v e l o p i n g
FILIPINO
CORPORATE CULTURE
(Uses of
F i l ip ino
Traditional Structures
and Values in Modern Management)
R E V I S E D E D I T I O N
F. L A N D A JOCAN O
PUNLAD Research House,
Inc.
Metro Manila/Philippines
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y c . v m
*
m
T O W A R D S D E V E L O P I N G
A FILIPINO C O R P O R A T E C U L T U R E
: Revised Edition
Philippine Copyright © 1999 .
by F. LandaJo cano
and
P U N L A D Research House,
Inc.
First Edition © 1988
by F. Landa Jocano
and
P U N L A D Research House
Al l
rights reserved.
This
publication may n ot be reproduced,
stored
in a
retrieval system,
or
transmitted in whole
or in
part, in
any form
or
by any
means,
electronic,
mechanical,
photocopying, recording,
or
otherwise, without
the
prior written
permission
from
th e
author
and t he publisher.
ISBN
971-622-007-3
. Published by:
P U N L A D Research House,
Inc.
P. 0. Box 121 UP Post Office
Di l iman,
Quezon
Ci ty
1101
Philippines
Printed in the Philippines
Contents
Preface
to the
Second Editi on
Preface
to the
First Edition
Introduction
v i i
1
P A R T 1: B A S I C C O N C E P T S
1
Management and Culture
23
2
Overview of Human Resource
Management
37
3 Sources of Contradictions
i n Phi lippine Management System
53
P A R T 2: S O C IO C U L T U R A L E N V I R O N M E N T
4 Kinship and
Family:
Basic Structures
of Relations 73
5 The Family: The Inner Social World
of F i l i p i n o L i f e 95
6 Core Values: Heart and Soul
of
the
F i l i p i n o 107
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P A R T 3: C O R P O R AT E C U L T U R E
7 Corporate Culture
8 Enhancing Strong Corporate Culture:
F i l i p i n o
Values in Management
9 Integrating
Traditional
Structures
into
Modern Corporate Organizations
Bibliography
Preface to the Second Edition
T
TT mis book is about culture and management.
Specifically.,
it deals
with
the uses of
traditional
structures and values
in developing a F i l ip in o corporate culture. Western
managerial
concepts and practices
s t i l l
heavily influence the
management system in the
Philippines.
The result has so far not
been very satisfactory.
It is suggested
that
for management to
;
be effective, i f
must have the support of the psychology of the people working
in the enterprise. This can be achieved by "fine-tuning" the
management style to the cultural values of the society wherein
the corporation operates.
Many
managers overlook the fact
that
management is an
activity
shaped by the interactions of people
within
the
organization
and affected by the cultural tradition of the larger
society outside it. The hard facts of capital, technology, and
market are not the only elements of corporate l ife. The human
resource component of the company is just as crucial and
deserving of management's attention.
Incorporating F i l ip in o cultural values in management
does not mean rejecting Western concepts and ideas. Instead, it
is
retrieving
from the dustbin of our
colonial
past the suppressed
and
almost forgotten dynamics of
F i l ip in o
culture and using
these
to strengthen as well as enrich the foundation of corporate
l ife.
In this era of
rising
national awareness, there is a need to
redesign our corporations,
modify
our management styles to suit
the temperament of its cultural environment.
This
means:
Western corporate structures, Filipino
management
style.
As
an
ideology of excellence and development:
Western science,
Filipino
values. These can merge successfully.
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In
updating this work and reaffirming my advocacy for
the use of Filipino traditional culture in management, I was
assisted by a number of institutions and individuals. First, I
wish
to acknowledge the assistance of P U N L A D Research
House, Inc., for funding the publication of this revised edition,
and for M F C Printers , for accommodating our print ing needs.
Second,
I am also indebted to the following persons for
their invaluable assistance in preparing this book for
publication:
M s.
Mary
Juliet B . Jocano, for editing; and M r . C.
O. Ricafort JL,, for book design.
Last, but not the least, I wish to thank my wife, A d r i a , "
and my children, Bot and Liz , for their love, patience, and
understanding of my extended stay in the field and relative
isolation when I was writing as well as updating this book.
F . L A N D A
JOCANO
Quezon
C i t y
October
20
3
1
999
vi
Preface
to the
First
Edition
/
IT this volume contains the revised and expanded text of
I lectures delivered during management seminars, labor
- L .
and management workshops, and training programs on
human resource development at various Philippine corporations
from 1981 to 1988, The materials presented here are the results
of my field research on F i l i p i no , culture, values, and value
orientation
for almost two decades (1963 to 1983) and on a four-
year (1982-1985; 1987-1988) intermittent study of Filipino
corporate organizations and cultures. Additional materials have
been
culled
from the
works
of my colleagues and other scholars.
M y purpose in putting
these
lectures, in one volume is to
share
my research findings and ideas
with
as many people as
possible. Each
lecture is presented as a chapter and is
linked
with other chapters by a common theme: the positive use of
Filipino
traditional values and structures i n enhancing effective
management and sustaining industrial peace.
I hope corporate managers, management educators,
union
leaders, and students of business administration and
industrial
relations wil l find
these
materials useful in developing
ways . of increasing.. productivity and enhancing managerial
effectiveness.
In
preparing this work, I am tremendously indebted to
many people and institutions, especially to
those
companies that
initially involved me in their management seminars, and
consequently allowed me to study their organizations. For lack
of
space, I cannot personally thank each one of them, but I
gratefully acknowledge their valuable help and generosity. Their
ideas and insights immeasurably heightened my awareness of
managerial
difficulties
and also stimulated my interest in
organizational behavior.
vii
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M y
special thanks go to the
following
institutions for
their support of the research and writing of this volume: the
Productivity Development Center for the Development
Academy of the Philippines, the Asian Productivity
Organization,
the Asian Center, Japan Foundation, and the
Salesman Center.
To the following persons who assisted me unselfishly and
so wel l , I extend my
deepest
gratitude: Art Tolentino, Roberto
Vasquez, and Nadine Teodoro of the Productivi ty Development
Center of
D A P ,
for
involving
me in many of their research and
workshop projects,
Rollie
Buencamino of San Miguel
Corporation, for'setting up the San Miguel lecture series, some
of which are included in this volume; Jun Garing of the
Salesman's Center, for organizing a series of seminars where
most of the ideas
here
were
tested;
Jose and M ay Gatchalian of
the University of the Philippines, for the many opportunities to
work
with them in workshops on industrial relations and in
seminars on standards and quality control management.
M y
special thanks go to
M s.
Carmen Aquino-Sarmiento,
M s.
G i l da Cordero-Fernando,
M s.
Noemi
A .
Medina,
M s.
M y r a
V .
Dizon,
and Ms.
Wilma
Reyes, for their assistance and
encouragement during the preparation of this book.
But,
most of
all,,I
thank my
family
who bore patiently
and stood by me faithfully through the rigors of research and
writing. This would not have been possible without them.
F .
L A N D A
JOCANO
Quezon
C i t y
August 8,1988
v i i i
Introduction
U n c r i t i c a l transfer of management theories and
techniques' based on Western ideologies and value
' systems has in many ways contributed to organi
zational
inefficiency
in the devel oping countr y con
text
' R. N. Kanung b & A . M . Jaeger,
in M a n a g e m e n t
i n
D e v e l o p i n g C o u n t r i e s ,
1990
After
one has discover ed where the buttons are
located, [one] begins to learn that many of them do
. , nof buzz at .the othe r end. Or , that the perceptions
, and conclusio ns of the immediate subordinates may
• be compl ete ly different
from
and even more meritor
ious than those of the boss. .
Ex-President
Fidel
V . Ramos,
' ' M a n i l a B u l l e t i n , 16
July
1998
O
bviously, the quotations above are gentle reminders
to those Who
wish
to become managers or leaders
that there
are certain realities in the workplace—i.e.,
office or plant—that they need to recognize if they want to be
effective. '•
.
'.. Fir st , many theories, par ticularly the Western ones,-
learned in schools may not be applicable to actual Philippine
situations. Second, uncri tica l use of
these
theories contributes
not on ly to organizational inefficiency but also to miscommu-
nication between management and labor. Third, managers
must remember that, when workers join the company, they
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2
FILIPINO
CORPORATE CULTURE
bring
with them, as part of their mindsets and emotional re
sources, their local cultural values. Fourth, these cultural va l
ues continue
to
influence their relationships with
one
another
even
within the
organization. And f i f th , unless understood,
these
values
can
cause
a lot of
unnecessary miscommunica-
tions,
frustrations,
and
conflicts.
Thus, it would be
helpful
if managers go out of their
way
to
learn
these
cultural values
and
incorporate them
as
part
of
their managerial style
so that
when
the
corporate but
tons
are
located, they know
which end
does
not
buzz
at
all.
A cursory review
of
companies
that did not
fare wel l
during.the'1998-99
Asia n
financial crisis reveals
that
manag
ers, in
these,
companies, particularly
the
multinationals,
had
not fine-tuned their managerial leaderships
to local
cultural
environments. Thus, they found it difficult to communicate
with their colleagues or relate with their subordinates. When
a crisis
finally,
happened, they
did not
receive
the
support
of
the workforce; instead, they
got
negative feelings
and
labor
problems.
, . . •
O n the
other hand,
there
were companies that
did not
only
survive
the
crises
but
even thrived
in the
face
of
adversi
ties. They bravedthe storms
of economic, social, and political
turbulence'
and
succeeded
in
attaining their goals: making
profits in the midst of crises-. How did they do it?
'..
Research
on
this amazing phenomenon
of
success
in
times
of
crises reveals
a
pattern: successful companies
are
guided
by
proper.business.att itudes..They also shift their cor
porate gears, early enough
from
purely technical to substan
t ia l ly , cultural management style. While they keep their tech
nological .-capabilities, at; par
with
the
latest developments^
in
the f ie ld , they
hold
their management styles close
to and in
tune with the
cultural psychology
of the
workers.
This knowl
edge
enables them
to
redesign their business strategies, gain
the committed support
of the
:
employees,
and
affirm
the pa
tronage of
the
customers, before any disaster takes place.
Threatened companies,,
on the
other hand,
are
those
with
conservative, textboofeorknted management styles.
The
techniques they,
utilize. to
manage corporate activities
are
INTRODUCTION 3
often
too
bureaucratic
as to
allow immediate response
to
sud
den environmental changes. Moreover, executives of these
companies see no need for cultural values being meshed with
"modern" management. They
are of the
opinion
that
"such
a
venture
w i l l only
lead
to
confusion
and
management prob
lems." To
them,
a
culture-bound perspective
is not
necessary
for
making current management techniques work.
Good
knowledge
of
business opportunit ies
and
better
discipline
of
workers' behavior
are
al l that aire needed
to
achieve corporate
goals. ,''/ ,
:
There
can be no
argument against this latter point
of
view. Functionally,
this is what business
is
for—taking advan
tage of
business opportunities.
But there are
other
aspects of
the business enterprise that managers ought
to
keep
in mind:
business is people. In spite of modern technology, l ike the use
of computers and robots in offices and plants, business con
tinues
to be
dependent
on
people.,
Automation has not re
placed
people.
The
corporation remains
to be an
organization
of human beings. Thus,
it can be as
good only
as the
people
who
run it. No
enterprise
can be better
than-
the men and
women who direct
i ts
activities. Management must, therefore,
also aim
at
enhancing productive relations
in the
company.
• ... It needs to be
stressed,
in
this connection,
.that
man
agement
is not only a
system
of
ordering activities
but is
also
a
sociocultural encounter. People with.diverse
social
back-,
grounds, cultural orientations,. and educational tra ining
are
recruited and brought to one place for accornplishing certain
specific
objectives.' .These backgrounds, orientations, and
training may
not be
supportive
of
corporate purposes
nor ade-,
qua'te
enough
to
meet effectively
the
adaptive: demands
of the
corporate environment., But
these
people
are
supposed
to
work
together
as a
team. They
are
expected
to
perform their tasks
with the
same
level of
competence,
efficiency,
and
productiv
ity.
, The
business managers
are
responsible
for
achieving
this end. It is their job to level these differences and mold
them into a commonly shared corporate sentiment that can
motivate
the
group
to
work toward
a
common
goal.
Thus,
to
treat..the employees
and
workers,with detached objectivity,
as
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FID PINO CORPORATE CULTURE
scientific
management requires, is to lose managerial impact
and effectiveness, especially
in
times
of
economic crises. Even
labor unions are not exempted
from
criticisms
by
the workers
themselves when labor leaders neglect
the
human side
of the
enterprise
in
managing union affairs.
Managers have traditionally developed
th e
s k i l l s
in
finance,
planning, marketing, an d production tech
niques. Too often, th e relations
with
their people have
been assigned
a
secondary role.
This is too
important
a'
subject
not to
receive first-line a ttenti on.'.
Comparatively, scientific management deals with what
is
to be done on'the basis of
empirical
evidence,
cultural
man
agement, with
how best
things can be done productively and.
with
the
least
conflict. Scientific
management
has its
merits,
but
it
represents
only
one
aspect
of the
business reality. C u l
tural
management
is the
other aspect
of the
enterprise.
The
two approaches must
be
harmonized into
one
corporate orien
tation.
Scientific
techniques must
be
tempered
with a
" c u l
tural/humanist touch." Otherwise,'people
are
reduced
to
sta
tistical
figures
and
human behavior 'into
co ld ,
barren
me
chanical relations. Likewise, cultural techniques,
while
hu
manist in perspective, must be'derived
from
and supported by
empiricalreasoning. Otherwise, they are merely
superficial"
fads'. It is
only
when these two complementary techniques are
properly
utilized
that
management
can
mobilize
the en
trepreneurial spirit
of the
organization
to
greater productivity
or
motivate workers
to
strive
for
quality, professionalism,
and
excellence.
A
company's human resource is its most potent and
only
viable instrument for
survival
at al l times. Without dedi
cated
men
and women, technology is useless; science, mean
ingless.,That
is
why it
is sad
to note that many companies take
good
care of their machines
but not
their workers.
In
fact, ma
chines
are
treated
as assets, while
workers
are
counted
as
INTRODUCTION 5
wages and expenditures.
Although
machines can be used to
facilitate efforts and save valuable time, problems-are u l t i
mately solved
by
people. Everything depends
on
how success
f u l l y
the
company
harnesses and
transforms
the
ordinary
abilities of
managers into sterl ing qualities,
of
managerial
leadership
and the
detachedly complacent attitudes
of
work
ers into productive personal commitments.to
the
goals-of
the
company,.It
is
through
these
processes
that
the
company
can
sustain its successes;and -insure
its,survival:
in times of eco
nomic
difficulties.
• ,
A t it s best, human resource management is the
brain an d nerve system for the brains, hearts, an d bodies
of people
w h o
make
an
organization. Without human
resource management,
an
organiza tion cannot exist,
as
.there w i l l be no people, no unity o f minds," no
division
of:
labor:, or more's imply stated, nobody to take care of any
thing.
Human resource management, therefore, mus t
be
the basis
of
management
of any
human organi zation,
if
it
needs .collaborative efforts of. two .or more .per sons .
2
-
Corporate analysts often overlook
the'
fact
that
man
agement is an activity, shaped by the interactions of people
within the organization and affected
by
the cultural tra'dition
of the
larger society outside
it.
The hard facts
of capital,
tech
nology, and market are not the
only
elements of corporate l ife.
The human resource component
of
the-company is-just
as cru
c ial and deserving of management's attention. • ..•••-.. • >
Corporate managers must, therefore, be sensitive to
the psychological
and
cultural demands
of
the' environment.
These factors affect the
nature
of corporate l ife. But they do
not easily
y ie ld to
numbers
and
accurate statistical predic
tions. They
involve
deeper human predispositions—processes
that
even high-tech instruments often
fail to
uncover.
In
this
context,
it is the
"intuitive" ability-of-managers
to assess the
unquahtifiable workings and the dynamics of the various en-,
vironmental
factors
that
enables them
to
chart
the
course
of
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6
FILIPINO
CORPORATE CULTURE
the corporate ship through often dangerous and treacherous
business waters.
Methodically, there
is no question that
... qualitative information—anecdotes, feelings, values,
hunches, opini ons, and the like—complicates decision
making.
It does not y i e l d easily to rational analysis, and
its usefulnes s is not alwa ys immedi ate ly appare nt. But •'
. even when this k i n d of infor mation cannot be precisely
understood, it can be absorbed. It can be especially
valu-
- \ able in spo tt ing problems before the y get bad enough t o
show up the numbers (in coping
with
workers' discon
tent before it escalates int o a cost ly strike, for exam-
pie).
3
- ' • ' '
:
The intuitive manager is not an anachronism in this
computer age.
Although
market trends and technological
needs
of business enterprises cannot be analyzed, by sheer in
tuition,
fitting
the technology of production to market de
mands requires "intuitive insights," otherwise known as
busi
ness acumen. By whatever name, .this /undefinable and un-
quantifiable something lies behind the
sk i l l
to exploit new
ideas, to take advantage of situations, and to turn crises into
opportunities.
This
is the hidden dimension of corporate lead
ership whose dynamism and effectiveness
rest
on a deeper un
derstanding of human psychology in its cultural context.
Intellectual
strategies alone
w i l l
not motivate peo
ple. O n l y a company
with
a real mission or sense of pur
pose that comes out of an intuit ive or spiritual dimen
sion w i l l capture p eople's hearts, And you must have
people's hearts to inspire the hard work required to real
ize a v i s i o n .
4
It is often those intangible factors in human psychol
ogy,
l y i n g
underneath the observable corporate structures,
that
determine the success or failure of the enterprise. These
INTRODUCTION 7
factors are not' easily noticed because they are
difficult
to
quantify. For example, business performance can- be statisti
cally analyzed but not the strong drive to perform, market
trends can be quantitavely plotted and even predicted but not
the vision that underlies and influences their course; stand
ards and qualities of products can be technical ly control led
but not the creativity to design and to achieve them.
Dr iv e , v i s ion ,
and creativity belong to the realm of c u l
ture. These are abstract categories but powerful sources of en
ergy that make the corporation move forward. They
form
the
bases of actions, of insights that enable successful managers to
transform potentials into real ities.in an organization. Thei r
presence' or absence in a corporation is what makes the
"v ita l
difference" between achievers and honachievers.
Bel i e f in vis ion is a radically new precept in business
philosophy.
It comes out of intuiti ve knowing—lo gic is
not e yerything; it is not all in the numbers. By env is ion
ing
the future one wants, one can more easily achieve
his goal.
V i s i o n
is the l i nk between dream and action.
5
The factors mentioned above, When reinforced by the
commonly
shared cultural values in the environment where
the company operates, make an enterprise a l i v in g organiza
tion. This
is so because cul tural values are more attuned to
the way/people actually think, believe, feel,'and act than sc i
entific
theories of scholars.
In the Philippines, traditional values are so deeply
rooted in the hearts and minds of F i l i p i n o s that they remain
the "given constant" i n an otherwise rapidly changing world.
These'values are the foundation of F i l i p i n o character. They
have been and may
s t i l l
be tapped to attain corporate
ends
and'gdals. Managerial
sk i l l
can be greatly improved by enrich
ing
it with'a "cultural/humanist" approach through the
posi
tive'and
the
best
use of F i l i p i n o values and.practices. The case
of
United Drug
illustrates this observation.
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8 FILIPINO CORPORATE CULTURE
,
:
•}•
Unite d Drug
was founde d;by Jose Campos. It
.
:
i ; start ed as.a
small
street-corner drUgstbrei n Sta.
Mesa.
It
• •• •. has s ince expanded to in clude other operati ons,-
l i k e
;• -. ;drug;manufacturi ng. It no wh as some 2,000 people in its ,
, employ..;
( :
. ; . . . . ; .
. - . - " - . '
; ,• ., ,
' Its founder was said to be the .'one who ini tia ted the
;
-"
b a y a n i h a n
concept of employee-employer"relatipnshi ps,
•\
which
in a .way, reflected t he cha racter of the man hi m-
, : , self, Camp os, accordi ng to sources , came
from
a
well-to-
;
f
, : .do
family,
but his father saw to it,that he
would
experi-
. ence how it is to be a worker. That experience, it is said, '. .;
showed him the import ance of a worker to an ente rprise.
H e believed that the human asset is "the
greatest
asset
o f a business", and
that,
for the busines s to thri ve,' a
spirit
of brotherhood must
prevail
between e mployer
and employee.
Thus was born the b a y a n i h a n as a way of li fe in
U'nilab. B a y a n i h a n ...
means
" t u l u n g - t u l o n g . t a y o "
(we
• help one another) s ystem or a syste m of
working
to
gether l i k e brothers ari iJ sister" for the achievement of
the'goals of the company.'It means that all people,
from
the president to the'la st man in the compa ny, wil l ' , work
together with everything they got until the job is accom
plished.
It is accepted to mean the shar ing of one's bur
den. Thus, the saying
" b a y a n i h a n t a y o "
is often invoked
•When
.there is work to be.done and the cooperation of
other units is needed,
This
way of li fe has been transmit- .
ted
from
genera tion to genera tion .of workers at the, ;.
. . .
Unilab.
(Note: The system has been
working
effectively
fo r 20 .years
with only
one attempt to organize a un
ion . )
6
• . L i k e the
mythical
ghost in the machine, culture is the
.most elusive part of the corporate environment. But it is the
most'powerful, instigator, of' action L o n g hours are often
wasted in corporate'skills training programs because the ap
proaches to attitude changes a.nd work values militate against
'the "cultural psychology of. the workers.
Even
the concepts
used as frameworks to learning are "beyond" the workers ' im-
I N T R 0 D U C T I 0 N 9
mediate grasp.
Most
training techniques, developed as
these
are in other cultures, do not stimulate their intellects or touch
their sentiments. That is why it takes a
long
time before the
desired ideas' and'skil ls become an integra l part of their habits
and personalities. , ' T h e company cannot afford the
luxury
of
time if it has to . survive in the competitive
world
of business.
Effective,
innovation and creative: adaptation must,
therefore, begin
with what
people know and
how
they learned
what they know before they are
taught
to know what they are
supposed to know as part of. their corporate skills.-The value
sentiments of the what and the how in tradi tional learning
c a n be incorporated in the training process in-order to effect
positive responses to new ideas and ski l l s .
This
is imperative
not
only
in training but also in management. '.
A n y organization that does not fit into its cultural en
vironment: is doomed to extinction. The survivalof the "fit
test"
is as much a law of the corporate jungle as it is of the
natura l world'. 'Hence, to meet the challenge of
survival
and
growth, especially'during
difficult
times, corporations must
include
in their respective managerial styles the cultural psy
chology o f
the people who compose their organizations;
• •••
'. There has to be continuity, congruence, and'reinforce
ment'between corporate'management and corporate e n v i r o n
ment: We have'pointed this out in the preceding discussion in
order to stress the role of cultural values in management. In
fact, this study proceeds
from
two complementary'assump
tions:
First,
effective management is the functions of the
congruence between the principles of management used in
the corporation and the elements of culture prevailing in
the
environment
where
the
corporation
operates. Second,
within
the corporation,
effective
management is the func
tion
of the
f i t
or
m a t c h
of the perceptions and
expectations
managers, employees,
and
workers have
of each
other.
In,other words, it is'the perfect (or near-perfect) fit of
culture and.management that leads to excellence, productiv
i t y , and growth. In speaking of Japanese management style,
Prof. Ryushi
Iwata said:
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1
FILIPINO CORPORATE CULTURE
The so-calle d "Japanese-style man agement"
Is one adap-
tive form of the management system
that could only
have developed in the
Japanese
cultural and social envi
ronment and
that
has shown efficiency, in its own way,
in
the
Japanese
social context . Wh en we are reminded of
this fact that a management system consider ably differ
ent from the Western system has functioned effectively,
we canno t help entertain ing the misgivings about rush
in g
headlong into a
quest
for univers ality in man age menti
theor y wit hout st oppi ng to look at the "indigen ous,
qualities"
of the manage ment system in each socie ty.
Barriers
to
Change
I n
the Phi lippines, ,many business schools do not em
phasize the significance of F i l i p i n o culture in management
training. Cultural factors—i.e., values and norms—are totally
ignored (or else listed in school catalogues as cognate sub
jects), if at all recognized, they are merely treated as residual
categories to quantitatively oriented courses. The
same
ne
glect is found in actual management practices. .This- indiffer
ence to or lack of appreciation of the importance of F i l i p i n o
culture to corporate management may be traced to the prevai l
i n g
biases many business executives and business educators
have against existing
F i l i p i n o
traditional values. As one for
mer of f ic ial of the Bureau of Employment of the Department
o f Labor said:
r
It's about time
that
we demystify the belief
that there
is
such an indigenous F i l i p i n o culture or traditional way to
.resol ve conflicts. Labor management relations is a fact of -
modern, urban, industrial societies. In traditional rural
o r
upland communities,
there
are no labor-management
relations—only father-son, landowner-tenant, or male-
female 'rela tions. These' are the different yet relevant
status
relation s imping ing upon, yet not wholly related
to, production, unlike in the more specialized labor-
INTR0DUCTI0N 11
management relations
that ariso In
modern, urban, in
dustrial societies
purely for
p r o d u c t i o n .
8
B y the
same
token, many executives attribute lack of
initiative or responsibility among their employees to such c u l
tural
norms as b a h a l a n a , p a k i k i s a m a , h i y a , and so forth.
Public administrators also fault these norms for the peoples
3
seemingly lack of discipline, ethics, and morality in public
service.
•Unfortunately, these derogatory perceptions of F i l i
pino traditional ways have become sel f - ful f i l l ing prophecies.
They are used as excuses or alibis for personal wrongdoings
and inadequacies. Even
mass
media have tended to bloat this
negative
view
of
F i l i p i n o
cultural norms and practices .and
have labeled many aspects of the culture as
scapegoats
for in
dividual aberrations.
A newspaper report, such as the one below, exemplifies
the lack of appreciation of F i l i p i n o values in management.
The secretary of transportation and communications
wishes to run his department
l i k e
he used to
manage-the
IB M
Phili ppine s and in the
same
way the Zobels, Ayalas,
Sorianos, whose concern is E F F I C I E N C Y , run the ir cor po- '•
ration.
' : - - . . ' • .
V
Unfortunately, he said, the main obstacles to this
objective are the two age-old
F i l i p i n o
virtues of u t a n g -
n a - l o o b an d p a k i k i s a m a . '.
H e
said,
there
is no reason why the govern ment
cannot be run
l i k e
an efficient and profitable corporation .
if
those
who run its
departments
and agencies
would.
, -
prevent
these
two virtues—invaluable as they are for
family and personal relationships—from
S p i l l i n g
into
thfeir professional lives...,
They (i.e., p a k i k i s a m a an d u t a n g - n a - l o o b )
create
a ,
class of incompet ent privileged few who flourish at the
expense of hardworkin g employees and hurt the citiz ens
o f
the country
because
they are incapable of delive ring '
•
the service for which they are paid....
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12 FILIPINO CORPORATE CULTURE
[He
further] said
that
for the country to
progress
leaders in government and privat e sectors must do away
with these two virtues.
9
This
is a very strong indictment indeed. But many ex
ecutives
share
this view. When cultural factors do come intd.
the corporate picture; managers generally consider them "bar
riers' to good management or public administration ." The
1
idea
of incorporating tradit ional values in management training dr
imoperational techniques of actual job supervision is consid
ered not necessary or Unorthodox at best. The sentiments' ex
pressed
by-
one executive probably echo
those
of the majority
of his colleagues. *• .•':.•': -.• « -•:.:/, :• ..-.-:•.;
''
1 1
What the
h e l l
do I need t o kn ow about
these
values ' '
for? I have been pra ctici ng them n ot only- in my comp an y
. >:;. but also in my home . More ove r, these people are paid to
,
. dp a. job. Tha t is all
there
is ]fco man age men t; yo u wor k, , .. .
you
get paid; you perform
w e l l ,
you get pr omot ed.
10
The use of cul tural .-values-in management
does
not
mean an abrogation of the inviolable business maxim: NO
W O R K , - N O
P A Y Nor
does
it mean doing away
with
tested
managerial techniques. Contrary to common managerial fears
and misconceptions, understanding F i l i p i n o values and using
them to inspire and motivate workers towards
better
perform
ance do not result in anarchy or breakdown in discipline. In
stead, it encourages mutual respect and camaraderie that lead
to professionalism and excellence. Because of too much expo
sure
to external cultures, the use of traditional values has to
be managed/supervised, and monitored
wel l :
A t
pxesentj few managers and management educators
are wi l l i n g to learn or are open to suggestions regarding the
positive uses of F i l i p i n o cul tural values in corporate manage
ment. These'rare few are the executives and educators who
have realized that the essence of business is found in the
ab i l
ity
of corporate leadership to direct and motivate workers to
peak performance. Technical competence is one thing, insp ir
ing excellence is another. Lee Iacocca, the President of
Chrys-
INTRODUCTION 13
ler
Corporation, once declared: "Management
is
nothing
more than motivating people."
11
People involvement is nec
essary to achieve corporate goals. And as Andres Soriano III,
former chairman of San M i gu e l Corporation, pointed out:
A n ente rprise must invol ve its people, from top to bot
tom and bottom to top, in the tota l
li fe
of an organiza
tion.
Its people must take
part
in the selection of goals',
in
the develo pment of purposes, in the analysis of obsta
cles,
in-t he gener ation of solut ions , .in the design and
"
implementation of
strategies
and-programs, and must be
'--•<
••
rewarded
with
the fruits of succes s.
12
• '••'.';'
' No matter how scientif ic management techniques'-are
sedulously applied and how technical ly competent the work
ers are, 'if they, are not motivated to give their best perform
ance, the quality and productivi ty are l i ke l y to suffer. Scien
t i f ic
know-how is one ..business -operation,,
delivering, better
performance is another, Unless managers realize this, .man
agement
becomes a source of conflicts and divisiveness rather
than of direct ion and unity.
.-.-
The current failure of.the managerial system to
create
a
culture of excellence (in either private.or public enterprise)
is
not due to the
F i l i p i n o s '
lack of
abilities.
Rather, it springs
from
the unconscious-psychological resistance, of many man
agers toward- making a positive, if not the best, use of indige
nous knowledge, values, norhiS, and practices.'There is an im
pl ic i t
rejection of F i l i p i n o traditional'ways and an
explicit
as
we l l as straightforward application of exogenous'Ideas, mod
els, and'methods, ' even, if these do not quite'"fit" the native
thought processes and sentiments. Traditional F i l i p i n o ways
of managing group activities or
solving
conflicts are, consid
ered "backward" and contrary to what are accepted a,s sound
principles
of modern management or public administration .
Total
adoption of exogenous principles is deemed necessary to
advance corporate management. But as former University of
'dm-Philippines President Edgardo J. Angara noted: ,
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14 FILIPINO
CORPORATE CULTURE
This
experiment
does
not appear to have resulted in the
expected outcome, in view of the continuing tensions in
.; • the Philippine industrial relations. I suggest
that
com
pulsory arbitration and free collective bargaini ng did not
work, and their hybrid is not working because all are
based on an assumption which not on ly glosses over but
actually runs counter to the way
F i l i p i n o s
traditionally ,
resolve disputes.'
3
Colonialism is pointed out as the underlying historical
reason behind our people's rejection of .their indigenous c u l
ture. As wags put it, " F i l i p i n o history is 400 years i n a con
vent, then 50 years in
Hol lywood . "
That was enough, they say,
to undermine the. cultural foundations
of Filipino
society.
Other critics say that we are
-a
people uprooted from our tradi
tional roots. This is not quite accurate. Underneath the veneer
of
alienation is a truly and uniquely F i l i p i n o tradition. We
have our roots
deep
in the native grounds. Although F i l i p i n o
political unity is a relatively recent and shaky achievement,
our cultural unity had long been achieved, hundreds of years
before the colonizers came. Whatever was borrowed from out
side was modified to suit
local
needs. As anthropologist
Robert Fox pointed out: '<
:
'
Throughout the thousands of years of contact, direct . m
and indirect, with A s i a and Southeast A s i a , the
F i l i p i n o
•
| people selected and. elaborated trait-complexe s, which
... . were part of the f l o w ("trickle" would perhaps be a
bet
ter term) of tradit ions int o the Islands. Cultural and so
c ial patterns
were hot'borrowed in toto; then, as now,
specific external influences were borrowed and reshaped
to conform with existing^ inst ituti ons , values, and be- '
U l
liefs, and in response to l o c a l needs. Thus, unique, lo
cally elaborated, and
l o c a l l y
developed ways of doing, '
1
.
• . i believing, and thinking emerged .
14
*For detaile d descri ption , see F. Landa Jocano,
F i l i p i n o P r e h i s t o r y : R e d i s
c o v e r i n g P r e c o l o n i a l H e r i t a g e (Quezon
C i t y :
P U N L A D Research House, Inc.,
1998).
INTRODUCTION
15
The
F i l i p i n o ' s
experience
with
history and encounter
with modernization has him existing simultaneously with two
competing value systems: the native or indigenous and the ex
ogenous, mostly Anglo-American. The former demands na
tionalist concerns, the latter modernization. This bipolar situ
ation has resulted in a so-called "split-level" national bureau
cratic management. Indigenous sentiments are openly derided
as counterproductive but are retained in
individual
interac
tions. F i l i p i n o s accept the Americans' objectivity as an ideal
model for interactions but reject their business'as an affront,
to F i l i p i n o sensitivity.
1
' -,•• • • ;
This
somewhat schizophrenic
state
of affairs is gener
ally
recognized and accepted. However,
there
has been no con
certed and systematic effort to unify the two systems into a
single orientation. The tendency has been to discard or disre
gard indigenous F i l i p i n o cultural values if these-aire perceived
as contrary to modern (i.e., Anglo-American) management'
ideas and practices: The reverence for things-modern has of
tentimes resulted in the unquestioning acceptance of naive
and outlandish management theories so, long as these are
couched i n Western academic jargon. It is seldom realized by
many'Filipinos that
modern values-considered universal have,
in fact, a strong Western bias. --
;
-' '•>- -
Managers have to "listen to'those bells" from
With in
their storehouse of practica l knowledge of the prevai ling c u l
ture found in the environment Where the corporation oper
ates.
Insights into human behavior do not always appear in
statistical tables, People are different from each other not on
account of their being human but because of their cultural
orientation. Each culture has its own way of defining how
things Ought to' be done and why. Foreign managers working
in Asia w i l l
be happier i f they take time to understand the
culture of the workers they are managing. As Paddy
Bowie
of
the E u r o - A s i a
B u s i n e s s R e v i e w
states:
Ways
of doi ng business are inextr icably bound-up with
cultures. In the East, business is built on reciprocal as
sociations between individuals....
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1 6
FILIPINO CORPORATE CULTURE
•
: The central value js har mony— the Chin ese
w a ,
the
:.
ability to get along, with .others. The
F i l i p i n o
has a word
for i t -^pqkUdsqma—-which
is high ly priz ed. To.be iris en-, . •,
..•
, sitive to the feelings of
others
is to, be a social deli n-
:
, ,
li
,
•, quen.t. '
5
; . .
•
, • ; ,,
.,;..,
{
.;.
i . / T h e contradictions and confusions in.
the,
Filipino.'per
ceptions of work
and
work habit
are
the result of ambivalence
as to which model to
use
in managing:
men
in . corporate or
ganizations,-Managers reject, tradit ional.va lues as backward,
whereas workers hold
these
in high esteem. In almost a ll occa
sions, managers and supervisors operate on one set of assump
tion; workers, on another. To the former, to be bossy is part of
their.managerial role. To the latter, i t. is ^managerial arro
gance. . '• . ' . , ' . .
>....; . Further, to correct mistakes publicly is constructive.
Qrri-sifiismto the supervisors; to the workers, it is,an affront to
t ^ U ^ p i p r p j f Q ^ i O '
(self-egteem). For workers, to be ordered all
t]iQ ftiimje
is, in
the view
of
many
managers
and supervisors, a-
m̂ s
-UiFQIto
make up for lack
of
initiative; but
to the
workers,
ifisj^utACratioand unnecessary. In the process, the managers
a©d,
Supervisors become impatient and the workers frustrated
or resentful. They are talking but not listening.to, each.other.
It.js.
(
as though they
are
transmitting
on two
wavelengths
or
tfieir signals
are
crossed. The inevitable results: conflicts. , ,
r
But the same bossism, correction, and ordering be-,
come astute parts, of motivation when- communicated,,in
proper cultural context. A, manager
can
be bossy without rais
ing his,
voicep n a worker,, especially
in
frqnt
of
other workers.'
C r i t i c i s m or even reprimand is well-receiyed if communicated,
as a concern over efficiency and-skill development. There are
many other examples on.how to manage
and
supervise..Fili
pino'workers .'without offending their
sensitivity.'As one,
s-trikf..
ing
labor
leader said: , . . . , . ... . /
H i n d i sa h i n d i n a m l n a l a m a n g t r a b a h o . ' A t h i n d i r.ln sa-
;
h i n d i s a p a t
a n g
s a h o d .
A n g
t o t o o n g d a h i l q n
n g
p a g - a l s a
n g
m g a t a o ay a n g
k a y a b a n g a n
a t
k a l u p l t a n ,
n i t o r i g
d a y u h a n
a t n g
k a n i l a n g P i l l p i n o n g g a l a m a y . K a h i t
sa
INTRODUCTION
17
h a r a p
n g
m a r a m l n g
t a o ay
s l n l s l g a w a n k a n g p a r a n g
a l i l a .
. W a l a n g p a k l k i p a g k a p w a
a n g m g a
i y a n . K a y a n a p u n o
n a
a n g
m g a
t a o — n a g k a s u n d o
a t
l u m a b a n . (It is no t
that
we
.do not know our w.ork, It is not
that
we are not receiving
a
good salary. The real
cause
of the st rike is the rudeness,
and cruel ty of th e foreigners, apd their
F i l i p i n o ,
under;
lings.
Even in front of many people, they shout at you as
if you are a servant. They do not strive for good rela-.
tion s. That is why people agreed to fight bac k.)
16
Reconciliation ., - . , ,,. • '
;
: \ ., •• .]]:.
i : ; i , • ,
The contradictory value system has exacted from the
national society a high price in terms of economic stagnation,
social corruption, moral decadence, and
political
dry rot. The
time has come for us to stop laying the blame for what, we
have become at the colonizer's door and to give up making ex
cuses,for our shortcomings as a people.; The negative psychol
ogy of historical alienation that has estranged us from our.tra
ditional culture for so long can be transformed. A positive;
psychology can turn around, perceived sociocultural inadequa
cies and capabilities. It .can regenerate our weakening moral
fiber and turn it into inner
strengths
that .can bear us through
the next millennium.
..
This does not mean that we F i l ip in o s , should beqome
xenophobic and singularly insular and parochial on.the,other
extreme. We must be selective in borrowing, modifying, and
discarding cultural traits. Only the best in Western traditions,
as our perceptions guide us; must be borrowed and used; only
the'be'st'-in F i l i p i n o culture must be retained and emphasized.
What is best is.determined by the positive contribution a bor
rowed'idea or technique or an existing cultura l trait has .given
to the growth and'well-being of an organization or of the
greater society. For example, Western science, technology,
and principles of management can -be borrowed
• selectively^
but these borrowed
elements
have to be modified to
1
suit the
cultural characteristic of the
F i l i p i n o
people. . ,
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FILIPINO
CORPORATE CULTURE
Doing- this does not mean reinventing the wheel, so to
speak, or totally discarding cultural elements with those intro
duced by foreign sources, which may already be part of our
cultural heritage. Instead, it'i s retrieving from-the dustbin of
our colonial past the suppressed and almost forgotten dynam
ic s
of
F i l ip in o '
culture
1
and using
these
to
strengthen
as
we l l
as
enrich the foundatioh'of our 'modern
corporate l ife.
In this era
o f
rising nationalism, we need to "redesign" our corporations,
modify our
management
style's to suit the
temperament
of
their cultural environment—the
F i l i p i n o
cultural environ
ment. This means: Western corporate
structures,
Filipino
management styles. As an ideology of excellence and, devel
opment: Western science,
Filipino
values. Tne'se cah'mef^ge
successfully.
Notes
'
'
W i l l i a m .
Hawlett, "The Human 'Sid e of Management ," quoted f rom
P r a i i Tarkenton, H o w
t o
M o t i v a t e P e o p l e (New
Y o r k :
Harp er & Row Pub
lish ers, 1986), 65: '. .- •• • -
;
- •' - • U .
-''
2
Shm- ich i Takezawa, ed.
I n
Q u e s t
of
H u m a n . D y n a m i s m ' (Tokyo:
A s i a n
Pro duct ivi ty'O rga niz at ion , 1986), 3. '' ••' • -
3
Patricia O'Toole,
C o r p o r a t e M e s s i a h
(New Amer ica n Li bra ry, 1984),
269. .».-..•
• '
4
Joh n' Naisbitt and Pa tricia Aburdehe, R e i n v e n t i n g
t h e
C o r p o r a t i o n
( N e w Y o r k : Warner Boolcs
3
'lncr.,
;
1'985), 27. '; ' ' ' ' ' " '
5
Ibld.,
25-26. "
1
' ^ ' .
;. ,
6
Ma ri e Edr ali n-Aga non , "The Ba yanihan .System at Unila b: A Case
Study of Wor kers ' Partici pati on in Management,".
P h i l i p p i n e J o u r n a l
of
I n d u s t r i a l R e l a t i o n s 1 no. 1 (1st Semester, 1978):8. . . . , , . '
7
Ryushi I v / q t S i , J f l p q n p s e S t y l e M a n a g e m e n t : I t s F o u n d a t i o n s a n d P r o s ' -
p e a t s (Tokyo:
A s i a n
Pr oduc ti vit y Org ani zat ion , f98;2), 8. , , . ,
•
8
Ma ry An n Fernande z, "D emystify the
B e l i e f
That There 'Is a F i l i
pino Way to
R e s . o i v ^ Q p f l M G t S i " P h i l i p p i n e J o u n i u l
of I n d u s t r i a l
R e l a t i o n s '
6,
i i o s .
1-2 (1984)::125,.-
:;
.. . -.
.•
--, •
^ M a n i l a
B u l l e t i n ,
2 l ' M a f f c h 1988, 43. ' '.-'.'
> V , < x > ; - , -
'',;' ',
INTRODUCTION 19
10
Personal interview, 1987.
u
Le e Iacocca (with
W i l l i a m
Novak), I a c o c c a : A n A u t o b i o g r a p h y (New
Y o r k :
Bantam Books, 1984), 53.
•
12
Benj amin Mar tine z, "A Corporate Colossus on the Thresh old of Its
Centennial ," S u n d a y
T im es M a g a z i n e ,
8 M a y 1988, 9.
13
Edga rdo J. Angara , "New Dimen sion s in Industrial Relations, "
P h i l i p p i n e J o u r n a l o f I n d u s t r i a l R e l a t i o n s 5, no s. T- 2 (1983):27.
14
Robert Fox, The
P h i l i p p i n e s
i n
P r e - H i s p a n i c T i m es
(Manila:
U N E S C O , 1959), 1
15
Pad dy Bowie , "Wh en Silence Doesn't M ea n Consent,"
E u r o - A s i a
B u s i n e s s
R e v i e w
1 no . 1 (1988):34.
lf i
Per son al inte rvi ew, Februa ry 1988.
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Parti
BASIC CONCEPTS
Management and Culture
Overview of Human Resource Management
Contradictions in Philippine Management System
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Management
and
Culture
Every managerial act r.ests on assumption s, gen
eralizations,
and hypotheses —that is to say, on
theory. Our assumptions are frequently
i m p l i c i t ,
sometimes quite unconscious, often conflicting;
• neverthe less, they determine our predictio ns that if
we do a,,b
wil l ,
occur, Theory and practice are in
separable.
t r . -.-I •
;
Douglas McGregor,
' . Autho r, I960
Without
exception, the dominance and coher
en ce of culture-p rove d to be an essent ial qual ity of
excellent companies.
Thomas J, Peters
& Robert H. Wa ter man Jr.,
Authors,
1982
hroughout this study, we sh al l continually use the
terms
management and culture. For purposes of clar-
.
ity, we shall define, and explain our use of
these
con
cepts.
Management
Management is a given in all
social
groupings, from
the most primitive societies to the most sophisticated organi
zations. Management directs organization activities and pre-
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24 FILIPINO
CORPORATE CULTURE
vents the
wastage
of materials and human resources. It is an
essential
feature
of human behavior at work, and it is neces
sary in order to achieve maximum cooperation and minimum
conflict
among the members of a group.
Business management, both in big corporations and in
small
enterprises, may be viewed as a special type of relat ion
ship
that
involves not only directing the behavior of people
but also
u t i l i z i n g
capital and technology for the ultimate ob
jective of making profits. Over the
greater
society, it
shapes
attitudes, habits, and values through advertising and asserts
influence over the lives of people through the systematic con
trol
of their economic resources.
1
By managing technology
through.research and development, management further de
termines" the
level
of sophistication science can reach and u l t i
mately .the complexi ty and progressiyeness. of society.
Managing
technology through science alone is short
sighted. Managing technology through people has more far-
reaching effects on corporate growth in
terms
of productivity
and profit than through any other method 'so far devised. This
way, management opens
avenues
for better understanding and
provides proper direction of activities intended for the reali
zation of human potential in the'community or in the organi
zation. •
Technology is more than work, more than material
. objects, .more, than, mere .applicat ions of science,, more
than machines,, more than inve ntio n. It is also a set of
.attitudes
and val ues-t hat bears, qualitati ve and emo
tional consequences. Te chnology provides importan t
cultural determinants
t hat shape
the primary institu
tions of Wes tern society, and potentially of non-W est
ern society. A genuine te chnolo gical revoluti on has oc
curred and is moving relent lessly on. It has brought the
emancipation of women, changes in the organization of
work
and leisure, and a higher quality of
l i f e .
2
MANAGEMENT
AND
CULTURE
25
A s
used in this study, the term
management
refers to
the ability of
managers
to motivate people to participate crea
tively ând productively in group activities so
that
the organi
zation can achieve its goals. To motivate people is actually to
develop in them a collective sentiment, a moral consensus
that
allows them to realize their potentials as individua ls and
as members of a corporate group. If a manager cannot moti
vate, he is a failure in his role.
Management may also be viewed as the ability to
influence people to think, believe, feel, and act the way
one want s-th em to think, believe, feel, and act for the
purpose of accomplishing or achieving certain
ends
or
goals.
3
Structural relationships in the organization have con
tributed to
perpetuate
the
:
popular
view
that management is
purely the
of f ic ial
prerogative of managers. Managers are
hired
to manage; that is their sole job. They have to discharge
their duties efficiently and objectively if they are to stay at the
helm of the enterprise. In this context, the rank-and-file work
ers are viewed as people who simply do their jobs as defined,
directed, and managed, and are tota lly removed from the deci
sion-making process.
This
view
is changing. Management is no longer con
sidered "primarily a
matter
of technique but of
finding
out
ways to reach objectives
within
an exist ing sociocultural sys
tem."
4
Such development proceeds from the realization that
no business enterprise is an isolated entity but instead is
shaped by its
social
and economic environment. Thus, man
agement
is no longer guided solely by its impersonal organiza
tional
structures, but
principally
by the motivations of people.
It has become a humanist art. As such, it consists of work atti
tudes, drives, values, creativity, and innovation. It is a k i n d of
counterculture aimed pri mari ly at developing a
collectively
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FILIPINO
CORPORATE CULTURE
shared knowledge and sentiments at the corporate
level
of in
teractions.
Thus, when managers manage we l l , corporations real
ize
more profits. "When workers are we l l managed, they per
form
optimally and professionally.
Work
is approached
with
responsibility
and digni ty. For both workers and managers,
indifference
is changed into creative interest, perfunctoriness
into eagerness, doubt into confidence, and mediocrity into ex
cellence. The ultimate
test
of the successful manager is how
we l l he inspires performance and eliminates barriers to pro
ductivity. C r u c i a l
to this is the managerial ability to act ac
cordingly
and to recognize all the nuances and manifestations
of management as a cultural and behavioral process.
How W e l l managers manage and are managed
deter
mines whether business goals
w i l l
be reached. It also
largely
determines how w e l l -the enterpr ise manages
worker
and work. For the worker's attitude reflects,
above all, the at titude of his management. It directly
mirrors
management's competence and structure. The
worker 's effectiveness is determined largely by the wa y
he is being managed.
5
Elements of Management
Management as a cultural and behavioral process
means developing shared feelings and beliefs in the organiza
tion. This
includes planning, organizing, implementing, and
controlling
(evaluating) activities in order to provide a favor
able climate for operation.
6
Planning
is the first element of management. Plan
ning,
whether
explicit
or
im pl ic i t ,
is necessary in order to at
tain organizational or corporate goals.
This
necessitates
set
ting
up objectives, clearing them, and developing
strategems
MANAGEMENT AND
CULTURE
27
in
anticipat ion of future actions. It is at this point that con
ventional wisdom merges with scientific knowledge, insight
with rational thinking, vision with realistic decision making.
To
plan is also to extrapolate
from
factual information ideas
for
envisioning a course of action.
This
way, one may reason
ably
predict
that,
i f nothing disturbs existing conditions dras
tically,
the desired goal of the company can be achieved, per
haps
even easily.
The second element of management is organization.
This
involves the
definition
of tasks, the allocation of work to
people, and the integration of activities into a work system.
Beyond
the tedious process of job recruitment is the challenge
of providing
workers
with
a sense, of identity or belongingness
that w i l l promote corporate unity and productivity.
The th ird element of management is direction or the
implementation of plans as envisioned and of work activities
as organized.
Direction
or implementation (labels are a mat
ter of personal preference) includes leadership, motivation,
delegation, discipline, and cooperation. Managers must en
sure
that
the proper environment for productive work exists
and must decide
which
tasks ought to be closely supervised
and
which
responsibilities may be delegated. In
these
con
texts, they must not
only
implement policies Or direct act iv i
ties; they must also create, innovate, motivate, and inspire.
The fourth and last element of management is control
or evaluation. Without any
form
of
control, discipline
is
d i f f i
cult
to attain; without regular evaluation, group work loses its
direction.
In production, standards and quality control must
be top priorities to
avoid
losses. Furthermore, costs, machine
cap-abilities, inventories,
liquidity,
and cash flows have to be
controlled
in order to provide direction to the volumes of pro
duction and to further development.
Work
performance must
be continually evaluated to improve personal and group out
put.
Activities
related to the work
cycle
must
likewise
be
evaluated in terms of their contribution to the total effort in
achieving
corporate goals. The
overall
purpose of• evaluation
or control is to improve performance, thereby enhancing pro
fessionalism
and maintaining excellence.
< b \r
J
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FILIPINO
CORPORATE CULTURE
Management, as herein defined, has been criticized as
traditional.
7
Lately, a preference has been expressed to define
management as the reactive organ of the business enterprise.
This
latter
view
calks upon the manager to react to a variety of
problems with minimal attention to planning, organizing, and
controlling.
8
Regardless of the merits of one- definition over
the other, the main duties of the manager are
s t i l l
to plan, or
ganize, implement,-and control the activi ties Of the corpora
tion.
Our
ability
to compete rests on our
ability
to organ- '
ize human beings in such a way as to
geneca-te
opportu
nity
and results,
rather
than impasses, stagn ation , bu-
reacracy, and wasteful friction.
9
.. . . •;
Managerial
Leadership
The success,or failure of a. company is largely attribut
able to its managerial leadership. Some
managers
are merely
administrators who l i m i t their activities to routine and for
mally prescribed tasks. Others are leaders who do not only
manage the daily affairs of the company but also
harness
the
potentials of employees so as to achieve company goals.'
There are four types of managerial leadership: auto
cratic,
custodial, supportive, and
collegial.
10
Autocratic
lead
ership is formal and founded on the delegated authority to
command and be obeyed by the people over whom leadership
is
applied. It is based on the premise that management knows
best
and
that
it is the obligation of the employees to
follow
ac
cordingly.
Custodial
leadership is based on the assumption that
by
redirecting the employees' loyalties from the boss, as in
autocratic leadership, to the company (through rewards and
fringe benefits), the workers
would
be motivated to work
MANAGEMENT
AND CULTURE 29
harder in order to further satisfy their wants.
A l l
that manage
ment has to do is to provide benefits and strengthen the em
ployees' dependence on the organizat ion for their security and
satisfaction.
Supportive leadership,- on the other hand, is manage
ment that provides the proper climate for human resource der
velopment
while
achieving the ends and purposes of the enter
prise, Collegial leadership is premised on' teamwork as the
key to responsibility and productivity. It is the task of man
agement
to b u i l d a better team if it aims for corporate excel-
, 11 - . . . . .
lence.
Leadership is fast becoming a critical dimension of
interpersonal influence
that
must cpme to
permeate
the
manag ement of any company,
that
intends to remain
successful in the new business env ironme nt. Con se
quently, managers must grow to embrace leadership as a
central componen t of their self-concepts and roles. ...
12
[Managers] must grow to become Lea ders-Mana gers.
Culture
• In defining culture, the layman is most l i ke l y to turn
to the dictionary for help.. Dict ionary definitions emphasize
the applied meanings of culture: moral and aesthetic values,
development, training, and transmission ..of knowledge. C u l
ture is thus a means of learning as
we l l
as of teaching ways to
becorpe an acceptable member of the group. M u c h of what an
individual
is and the way he behaves are largely due to his
cultural
upbringing. ,
.From a holistic point of view, .the
classic, defin ition
of
culture is
that
of Edward
T y l o r
wherein culture is "the com
plex whole that includes knowledge, beliefs, art, morals, laws,
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30 FILIPINO CORPORATE CULTURE
customs,
and any
other capabilities acquired
by man as a
member of society."
13
A
close analysis
of the
above
definition
further tells
us
that: firstly,
culture,
as a
complex whole,
is
composed
of
dif
ferent elements
that are
ideational
and
behavioral
i n
nature;
secondly,
central
to
this composition
is the
interrelatedness
and interdependence among the elements that constitute the
whole;
and
thi rdly, culture
is
acquired through membership
i n
a group or in a society. - •
Tylor's holistic definition of the
dynamics
of
culture
is
of special significance to corporate management. A
holistic
view of
organizational behavior allows
for the
integration
of
the different
divisional
"subcultures" into
one
functioning
whole.
Structurally, a corporation is
divided
into
parts
or
d i v i
sions,
each one
with a
specialized
set
of
knowledge,
rules,
and
practices (e.g., accounting, engineering, sales).
Each
d iv i s ion ,
however, must relate
its
activities
to the
other divisions and
to
the total objectives of the corporation.
In this way,
the
workers
are
able
to see
each other
not
only
as specialists in their respective fields but also as mem
bers of the
total organization.
It is the
interrelatedness
of the
different units that is
crucial
to management. The
holistic
perspective
is
necessary
for
decisive plann ing
and
innovation
because it
allows
for a
common interpretation
of
situations,
for f l ex ib i l i t y
in
solving
common problems, and for the devel
opment and maintenance of corporate identity.
From
a
more specific point
of
view,
culture
is the
sys
tem
of
symbols
and
meanings people
use to (1)
organize their
ideas,
(2)
interpret their experiences,
(3)
make decisions
or
pass
judgments,
and (4)
guide their actions. These ideational
aspects are
manifested through each culture's
use of
symbols.
A
symbol refers
to any
object, idea, sound,
or act to which the
observer's attributed meanings specify what
is
intended,
s ig
nified,
indicated,
and
understood when using
the
object,
sound,
or
act.
In
this context, symbols
differ from
signs.
The
meaning associated with sign
is
intrinsic
to the
object, sound,
and
act; in
symbols,
the
meaning
is
inferred.
The
inferred
at
tributes
and
meanings
of
universal ly shared objects, ideas,
MANAGEMENT AND CULTURE 31
acts,
and
sounds account
for the
variations
and
differences
in
cultures.
14
It
is
also
the
meaning
or
significance human beings
at
tach
to
things
or
events
that
accounts
for
their
ability to
rea
son and to
draw
"v a l id
conclusion
from
formulated premises."
A s one
anthropologist argued:
M en
c o u l d
not act and feel as
they
do if
they
c o u l d
not
form
concepts
an d
make judgments,
but
neither
c o u l d
they make
use of
concepts
an d
engage
in the ideal activ
it y
of
thinking
if they had not developed their innate ca
pacity
for the "idealized"
modes
of
behavior
an d feeling
characteristic of human beings.
1
"
5
In
other words, it is
from
the symbolic perspective of
culture that we
can
grasp clearly
the
nuances
or
subtleties
of
human behavior
in the
community
or m the
corporation.
It is
from these
intangibles
that we can f ind
clues
to why
people
behave
in a
particular way
and not in
another, why they
are
what they
are
Culture is
both
explicit and im pl ic i t . The explicit as
pects are those
that
are
observable,
l ike
behavior
and
material
objects;
the im pl ic i t ones are those that are
nonobservable,
l ike values and norms. It is the im pl ic i t
part
of culture that
deals
with themes and patterns of
everyday l i fe . That
is why
culture is often elusive.
Even if culture is
abstract,
it is real. 'It is also the
dominant instigator
of
behavior. Governments,
for
example,
are not concrete entities, but they have tremendous powers of
coercion
and
control.
Re l ig ion
is
another
abstract
but a
power
fu l
shaper of ideas
and
actions.
S im i la r l y ,
physical movements
become actions as soon as they are used to symbolize certain
predispositions,
l ik e
greetings, partings, friendships,
hostili
ties,
love.
Sometimes, we are not even aware why we think, be
lieve, and act the way we do. This is because we
have been
trained
to do
things
(and
think them
out
too )
in
standardized
and acceptable ways during childhood.
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FILIPINO
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Fr om
birth, th e c h i l d is surrounded
w i t h
a
w o r l d
of
conventionalized objects. He is handled and fed, clothed
and cared for in culturally approved ways. No matter to
what k i n d of a group he may belong, he learns to eat
standardized food of traditional kinds, procured an d pre
pared in standardized ways. If he is brought up in one
culture,
he acquires a taste a nd a physiological tolerance
for foods
that an
i n d i v i d u a l
of
another culture might