Physical Exercise and Brain Efficiency

You may have noticed that I haven’t been updating my blog as often as I should.

I’ve entered a mall-based fitness club two months ago.

No, it’s not for weight reduction, although I certainly need to lose a few pounds. I just want to engage in regular vigorous activity to prevent stress and boredom. And considering that the club is based inside a mall and closes at 10:00 in the evening, it made exercise very attractive to me. I also read somewhere that people with blood type O (me included) need to undulge in intense physical workout to feel good and be healthy.

There was a study of over 2,000 French adults which indicated that ones weight can directly effect mental functioning. Researchers found that participants with a higher Body Mass Index (BMI) did not perform as well on a battery of standard cognitive tests, assessing abilities like memory, attention and speed of learning, attention and speed of learning. The results indicated that not only did individuals with higher BMIs perform poorer, but they were also at greater risk for dementia later in life.

Exercise is an excellent antidepressant I was told and, according to experts, a great anxiety prevention..

For an investment of at least 20 minutes, 3 times a week of physical exercise, you get: a detox treatment, improved thinking, and decreased stress, anxiety, depression, and addictive tendencies --- certainly a good deal! Not to mention weight loss, increased energy, and socialization (that is why I joined this horrendously expensive “exercise club” …ha…ha…ha).

An interesting component to the stress reduction is not just the physical burning up and removal of stress hormones, but also the sense of control that a regular workout gives you. The sense of autonomy you get by taking control of your health is a great stress reliever.”

I recently learned that if you play sports that involve strategy and skills, it will give you a brain workout. I use the time in the gym to focus on my breathing and/or technique so that I get a meditative workout.

So, with a good workout, you can accomplish 3 of the 4 brain fitness pillars at one time: physical exercise, mental stimulation and stress management. Add in a balanced diet and you're ready for the travails of life!

ASEAN Summit Fever

The Philippines is ready to host the 12th Summit of the Association of Southeast Asian Nations (ASEAN) in Cebu City on Dec. 10-14.

The summit is supposedly an important benchmark to accelerate free trade within the ASEAN region from 2010 to 2015.

Ten ASEAN leaders from Brunei Darussalam, Cambodia, Indonesia, Laos, Malaysia, Myanmar, the Philippines, Singapore, Thailand and Vietnam will converge in Cebu City to discuss a wide range of issues such as trade, investments, security, including the all-out war against international terrorism, among others.




My agency is certainly ready with the tokens (which come from the provinces of Cebu, Negros Oriental and Bohol) for the ministers, their spouses and other foreign dignitaries.

Here are photos of some of our gifts ...

Building personal wealth

By just looking around, you can understand why the lack of wealth cripples a person’s ability to enjoy life. (An indigent person will always be thinking of his day to day survival. This means that comfort and pleasure is treated as a rare luxury. )

Is building wealth really as difficult as most Filipinos say?

Well, that depends on their definition of wealth.

I don't care much for luxury cars, huge houses or flashy entertainment components. As far as I know, I just want to live life on my terms, and that doesn't take much.

Most Filipinos probably feel the same way I do, the problem is that they don't know how to achieve it.

Financial advisers say that wealth creation isn't really all that complicated. In fact, they believe there are just four vital steps for an ordinary Filipino individual to achieve personal financial security:

Save first and refrain from buying unnecessary items. This can be difficult for compliant Filipino parents who want to please their demanding kids; but learning to say no can work wonders to the family coffers. (one of my pet peeves is someone who makes a habit of asking money or treats me like an Automatic Teller Machine).

More often than not, financial growth is incremental, with our personal net worth increasing steadily over time. Savings cover a significant role in wealth creation.

Most rich people are quite conservative in what they buy. This habit is what enables them to become wealthy in the first place, but even after they have achieved financial security they tend to appreciate the value of saving (and buying assets), rather than purchasing luxuries.

As research show, many people who buy expensive watches, clothing, cars and homes are, in fact, not yet wealthy. Rather, they want to appear wealthy. By spending money on items that do not produce income (liabilities), wealth remains elusive for most of these individuals.

Take the case of Filipino Overseas Contract Workers. Most consume all of their earnings to buy consumable items for “pasalubongs” to their family and relatives, easily burning a hole in their pockets. They end-up as poor as before they left to work abroad.

Buy assets, not liabilities. Asset means: something that will put money in your pocket over time such as investing in stocks. Liability means: something that will cost you money over time such as buying a luxury car which depreciates and expensive clothes (and even “ukay ukays” if done to the extreme) which become rags in a year.

Be very careful with handling loans. An official of a credit information provider once said that for Cebu to become the “next big thing in Asia,” Cebuanos need to change their views on handling debts. This means that Cebuanos must learn discipline in their use of loans and must pay their basic obligation.

“Non-payment of loans when these are due causes an increase in the cost of borrowing, thus resulting in a slowdown of the economy and the inability of most companies to expand their business.”

Continue to learn how to earn money and find new ways of managing it. Enroll yourself and your kids to schools that teach investment or overall financial know-how.

I believe that kids as young as five years old should be exposed to knowledge on wealth creation and management, especially here in Cebu, a hub of trade in the Visayas-Mindanao area, where everyone is expected to be entrepreneurial. “Today's global economy demands a constant upgrading of skills, and a general overall knowledge of investing.”

Financial security is within everyone's reach; it just takes knowledge and discipline.

Handbook on Consumer Assistance and Protection

I'm currently writing my initial inputs for the Handbook on Consumer Assistance and Protection which will be used by members of the Barangay Consumer Advocacy Assistance and Protection Team (C.A.P.T.)

I. Sample cases of scams

A year ago, unscrupulous persons posted themselves as representatives of "Masumi Corporation and Sakaki Takiyama" with supposed address at No. 188 Sergio Osmena Street, Cebu City.

Despite the various advisories issued by the DTI, there were still consumers who were fooled by these swindlers. These swindlers promised bigger cash prizes and claimed that they were provided by SMART and GLOBE with cellphone numbers of their subscribers.

These cellphone callers then informed their victims that their cellphone number won during a raffle activity conducted under the supervision of a DTI representative.

To win the confidence of their would be victims, the caller will give them the following information to make the sales promo seem legitimate:- company name which is foreign sounding;- a sales promo permit number;- a company's representative of which they can only be contacted through their cellphones;- postal address.

Another ploy used by unscrupulous persons is to call the victim and tell the victim that his mobile number won as a homepartner winner in the Lotus Ballpen Philippines' "Magkapera't Magkakotse Raffle Promo" and that he won a Toyota Corolla Altis and P20,000.00.

These callers then identify themselves using fictitious names. One caller even mentioned a DTI-NCR permit number 772813-5 to make the promo appear credible.

The victims are then asked to give the callers the numbers of their two (2) prepaid cards worth P300.00 and for the victims to shoulder the storage cost of the Toyota Altis at P16,000.00 per day by depositing the amount at a certain account in a specified bank.

Another sales promo scam used by swindlers is tell the victims that their names, which appear in the PLDT directory, were chosen as winners of a raffle draw.

The callers will then cite the name of the Philippine Racing Commission, PAGCOR and even well known companies as promo sponsors to appear credible.

These callers ask their victims to deposit as much as P20,000 by 12:00 noon on that day to a certain account so as not to forfeit their prize. These callers will say that this amount is needed to defray cost involved in the transport of the vehicles won.

If their victims are not convinced the first time, these callers will again call and persuade the victims to change their minds.

Still another favorite ploy of swindlers is to call people and tell them their mobile phone numbers were picked as the winning numbers in a sales promotion allegedly approved by DTI or DOH-BFAD.

Other swindlers inform the consumer through text messages. Among the schemes employed to deceive the public is persuading the unsuspecting consumer to purchase eight cell cards from a certain cellphone company and tell him to text the pin numbers of these cell cards in order for him to avail of the first prize amounting to P 2 million. These swindlers sometimes drop names of prominent individuals just to convince the victim to join.

Another bogus scheme is for swindlers to use an existing sales promo such as the well known GAME K-N-B. They will tell the victim that he has just won in the home partner raffle draw last July 26, 2002 amounting to P3 million pesos.

The most alarming modus operandi employed by another swindler is introducing himself as an employee of DTI, to trick the victim into joining. Afterwhich, the swindler tells the victim that he has won P750,000 to P1 million in a PAGCOR promotion.

In all these promo scams, the name of a contact is given and his cellphone number. The person contacted will then give the victim instructions such as depositing a substantial amount in a certain bank account or giving the pin numbers of cellcards in exchange for of the prizes.

The DTI7 has observed that the swindlers posing as sponsors of fake promos are now offering cash prizes instead of the expensive cars which they used to offer.

II. Definition of the Problem

Q. When is a sales act considered deceptive?

A. A sales act or practice is considered deceptive whenever the producer, manufacturer, supplier or seller, owner or operator of a consumer service or repair shop induces a consumer to enter into a sales or lease transaction of any consumer product or service through concealment, false representation or fraudulent manipulation.


Q. What is unfair or unconscionable sales act?

A. An act of the producer, manufacturer, seller or supplier of a consumer product, or the owner or operator of a consumer service or repair firm of inducing, or enticing a consumer to enter into a sales or lease transaction of a consumer product or to avail of its services grossly inimical to his interests or grossly one-sided in favor of the producer, manufacturer, distributor, supplier or seller, owner or operator, by taking advantage of the consumer’s physical or mental infirmity, ignorance, illiteracy, lack of time or the general conditions of the environment or surroundings.

Q. Why is the “No Return, No Exchange” notice considered deceptive?

A. The “No Return, No Exchange” notice is considered deceptive because it creates a misconception on the part of the consumers that they do not have the right to return shoddy or defective goods or demand for remedies in case of defective or imperfect service.

On the contrary, consumers may return or exchange goods or avail of other remedies in case of hidden faults or defects, or any charge not known to buyer. By provision of law, sellers are obliged to honor their implied warranties and grant corresponding remedies.to consumers.

Q: What is a home solicitation sale?

A: Home solicitation sale means consumer sales or leases which are personally solicited by any person, organization through person-to-person contact at the buyer’s residence, place of work, at the seller’s transient quarters, or any appointed place, except the seller or lessor’s usual place of business.

IV. Common practice or modus operadi

DTI-7 regional director Asteria Caberte points out some of the present modus operandi of unscrupulous traders that consumers should be wary of:

Instant Raffle Draw Contest
"Don't be deceived if somebody approaches you either in the mall or in any business establishment telling you of a free raffle", Caberte warns. "Usually the pseudo-raffle draw is the scratch and win type.

If you take their bait, you will soon find out that you will be made to shell out a substantial amount of money for high end products as a pre-condition for the release of a promised prize."

Caberte describes how three or four sales people will gather around customers to overwhelm and subtly pressure them to buy. "They even go to the extent of filling out the forms for customers, so these customers will give cash or use their credit card", she said.

Raffle Draws Through Text Messages and Cellphone Calls
If you receive a call or a text message congratulating you for winning either one million pesos or a brand new luxurious car, think again. You might fall prey to this trap, Caberte relates, "after telling you of the supposed "good news", they will tell you to deposit an amount to a certain bank account before 12:00 noon on that same day, otherwise, another winner will be drawn since you have not met the deadline."

Before, it used to be only P6,000. Now it has reached P18,000 or even P20,000, Caberte added. "A day after depositing the amount you cannot reach the person who called you over the cellphone and worse, the account where you deposited your money has already closed.

Door to Door Selling
Unscrupulous sales representatives conduct a door to door selling activity telling an unscrupulous housewife that the wares they are selling are very much lower and better than those in the market.

Caberte says that buying such products from them is unwise. "If it turns out that these products are defective, consumers have no way of returning their products, especially if they forget to ask the sales representatives' business name, their business address or even their identities."

Caberte reiterates to the public to check the validity of all sales promotions they intend to join. "Check if sales promo is indeed genuine before parting with your hard earned money", she says. "Try to get as much information about it such as sales promo permit number, the name of the sponsor, the coverage and most of all the mechanics of the promo. Only then can you detect if it's a scam or a legitimate sales promotion.

If it is a door to door selling activity, ask the sales representative for a home solicitation sale permit. Just like the sales promotions in business establishments, DTI also regulates door to door selling through home solicitation sale permit, Caberte says.

Should consumer fall prey to these unscrupulous sellers, they are advised to file a fomal written complaint with any of the provincial offices of the DTI. Consumer Arbitration Officers will attend to all consumer complaints.

V. Role of the Agency
Monitoring, preventing and enforcing the laws on sales, home solicitation and warranties are handled by the Trade and Industry Regulatory Division of the Department of trade and Industry.(TIRD).

The TIRD performs a number of functions to ensure that consumer's welfare is promoted and their rights protected.

It also provides services to businessmen to help them sustain the viability of their ventures. Its specific concerns in these areas include:
· registration of business name
· issuance of licenses/permits
· accreditation of service and repair enterprises
· processing of patents and trademarks
· technical assistance/consultancy on product standards and other quality-related technical information
· legal assistance
· consumer information and protection
· resolution of consumer complaints and grievances
· enforcement of fair trade laws
· price and supply monitoring and etc.

The National Consumer affairs Council (NCAC) is the body created by the Consumer Act to improve the management, coordination, and effectiveness of consumer programs and policies of the different government agencies and private organizations.

The council is composed of representatives from the following government and non-government agencies:- Department of Trade and Industry- Department of Education- Department of Health- Department of Agriculture- Consumer Organizations of nationwide base- Business/Industry sector


VI. Quick Tips
In order not to be victims of promo scams, the DTI offers all consumers some tips to determine a fake or genuine sales promotion:

1. Consumers who won in a sales promotion amounting to P500.00 or more are always notified in writing by the sponsor with the instruction of what documents to bring in claiming their prizes. Notices through text messages or through phone calls are not enough.

2. Consumers are advised to ask for the sales promo permit number as well as the DTI office or DOH-BFAD office which approved the promo. Better still inquire the name of the DTI or BFAD representative who supervised the draw.

3. Check the promo period as well as the areas covered by the promotion.

4. Always ask the name of the contact person of the sponsor, his address and his landline. All sponsors provide their landline number when applying for a promo.

5. Try to know the mechanics of the promo and how you won.
Under the Consumer Act, a winner of a prize amounting to P500.00 or more shall be notified in writing or by registered mail of by any other form of communication wherein proof of notice or service can be verified.

So if somebody calls you through the cellphone, ask why you were not provided a written notice. Verify also from the DTI-Regional Office or the DTI Provincial offices if they have approved of such a promo.

Sales promotions for food, beverages, drinks, medicines and cigarettes are approved by the Bureau of Food and Drugs – Department of Health. You may also inquire from their office.


Don’t easily part with your hard-earned money. Always check if the sales promo is genuine or not. Try to get as much information about it, the sales promo permit number, the name of the sponsor, the coverage and most of all the mechanics of the promo.

Only then can you detect if it’s a scam or a legitimate sales promotion. Remember " that a well informed and vigilant consumer is the best-protected consumer."

VII. Filing a Complaint

Q. What can a consumer do if he has a complaint?

A. Identify the problem. Identify the problem and what you believe would be a fair settlement. Do you want your money back (Refund)? Would you like the product repaired (Repair)? Will exchange do (Replace)?

Gather documents. Gather documents regarding your complaint. Sales receipt, repair orders, warranties, cancelled checks, or contract will substantiate the complaint and help the company solve your problem immediately.Go back tow here you made the purchase. Contact the person who sold you the item or performed the service. Calmly and accurately explain the problem and what action you would like taken. If that person is not helpful, ask for the supervisor or the manager and repeat your complaint. Many consumer problems are resolved at this level.

Write a formal letter of complaint. If you are not satisfied with the company’s response, write a formal letter of complaint to the consumer protection agency concerned. State your name and address; the name and address of the establishment you are complaining; and the circumstances regarding the complaint including names, dates, places, etc. Also, enclose supporting documents such as official receipts, deed of sale, and the likes, and be prepared to make an appearance when called, especially during the mediation conference.

Q: What is the prescriptive period for filing consumer complaints?

A: Within two years from the consumer transaction was consummated or the deceptive or unfair and unconscionable act or practice was committed, and in cases of hidden defects, from discovery thereof.

Q: Where can a consumer complaint be filed?

A: The administrative complaint shall be filed in duplicate with the Provincial Office of the Department having jurisdiction over the subject of the complaint. In areas where there are no Provincial Offices, the complaint shall be filed in eth Regional Office.

In cases where the complainant and respondent are situated in different provinces, the complainant has the option to choose the place where to file the complaint.

Q. What are the available remedies available to consumers?

A. For Administrative Proceedings:- Replacement or repair of product or services- Refund of payment made- Restitution or rescission of contarct- Reimbursement to complainant fo amount spent in pursuing the complaint.

For Civil/Criminal Action:
Civil action- Award of damages- Replacement of repair of product or services- Refund of payment made- Restitution or rescission of contract- Reimbursement to complainant of amount spent in pursuing the complaint

Criminal Action- Imprisonment or payment of fine or both, at the discretion of the courtQ. What are the consumer responsibilities:

A. Critical Awareness. The responsibility to be more alert and questioning about the use, price and quality of goods and services.

Action. The responsibility to assert ourselves and act to ensure that we get a fair deal. As long as we remain passive consumers, we will continue to be exploited.

Social concern. The responsibility to be aware of the impact of our consumption on other citizens, especially disadvantaged or powerless groups, whether in eth local, national, or international community.

Solidarity. The responsibility to organize together as consumers to develop the strength and influence to promote and protect our interest.

Environmental Awareness. The responsibility to understand the environmental consequences of our consumption. We should recognize our individual and social responsibility to conserve natural resources and protect the earth for future generations.

VIII. Contact details
Consumer Complaints: btrcp@dti.gov.ph
DTI (head Office) Hotline: (02) 751-3330

DTI Central Visayas Offices:

DTI Cebu Provincial Office
Nelia Navarro, Provincial Director
(032) 412-1863
Email: nelia@dticebu.net.ph / dticebu@dticebu.net.ph

DTI-Bohol Provincial Office
Ma. Elena Arbon, Provincial Director
(038) 422-1764
Email: dtibohol@globelines.com.ph / dtibohol@yahoo.com

DTI-Negros Oriental Provincial Office
Javier Fortunato, Jr., Provincial Director
(035) 422-1764
Email: dtinegor@glinesnx.com.ph

DTI-Siquijor Provicnial Office
Nimfa Virtucio, Provincial Director
(035) 480-9065
Email: dtisiquijor@yahoo.com

Check Rediscounting Facility

Here's part of a speech I wrote for my boss. This will give you an idea of the new Check Rediscounting Facility of the Cebu-GTH.

How does government assist exporters, particularly those based in Cebu, to face up to the challenge from the domestic and international fronts?

I believe one of the essential steps we need to take is to help their suppliers and subcontractors who contribute 85% of the production process.

The Philippine Export-Import Credit Agency (PhilEXIM) recently provided the Cebu-GTH Foundation Twenty-Five Million Pesos (P25M) to open a Check Rediscounting Facility for the benefit of subcontractors of members, paving the way for easier access to funding in order to purchase raw materials for production.

In Cebu, we all know that exporters rely heavily on subcontractors for their production. It is a sad reality that subcontractors are often confronted by lack of capital which compels them to regularly borrow money from usurers, who charge interest rates between 10-20%.

That is why I am happy to know that the Cebu-GTH Foundation has agreed to provide assistance to its members by way of this Check Rediscounting Facility.

This is a first in the country where an industry foundation tries to professionalize a common practice among subcontractors. Documents such as promissory note, request for availment, job order and post-dated check will have to presented to the creditor in order for a loan to be released.

PhilEXIM, which provided financial assistance to the Cebu-GTH, is a government financial institution attached to the Finance department that is mandated by the government to assure the export sector's speedy and unobstructed access to trade finance.

This is just one way for government to assist exporters who are currently affected by the strong peso.

Government is acknowledging the huge contribution of exporters to the Philippine economy and is doing everything it can to ease their burden.

In any economy, exports provide an opportunity for rapid growth since the other components of National Gross Domestic Product (GDP), such as government spending, consumer spending, and investments may be impacted by other dynamics central to the country itself, and may not grow as fast as the export sector, as has been shown in recent years.

Growth in exports leads to greater employment opportunities and fosters greater productivity which, in turn, allows specialization to occur. In time, as higher rates of economic growth are sustained, a leveling in skewed income distribution takes place.

Exports, in other words, constitute a viable and effective tool against poverty.

Checking on our statistical data, the Philippines’ export landscape has drastically changed in the last 25 years. From being largely agricultural and resource based, exports today consist mainly of manufactured items. Resource-based products have gradually shrunk to a little above 5% of total trade. This means that the export industry is hiring a lot more subcontractors to produce items than they did years ago.

It goes without saying that the DTI will always be supportive to the Philippine export sector.

However, let us bear in mind as we face the global challenge that what happens to us is entirely in our own hands. That is why initiatives such as this Check Rediscounting Facility to ease fund availability for subcontractors is significant.

With this, I would like to encourage those concerned to avail of the new service facility of the Cebu GTH foundation for their liquidity needs.

Let us all support this project.

Visayas fast crafts

Fast ferries in the Visayas will take you to the most popular places of the Visayas in comfort.

It is comparable to flying in quick time. These fast crafts typically have a bar where you can buy snacks and drinks.

To entertain passengers, they show movies or other videos on big television screens.These fast seacrafts are what our office personnel normally take when traveling between islands in Central Visayas.

There are three plying the islands from Cebu: Weesam Express, Supercat and Oceanjet.I took the Weesam in my recent trip to Tagbilaran City for the Sandugo Regional Product Showcase.

Weesam is the newest addition to the fleet of fast crafts in Cebu. The boat looks smaller than the Supercat or the Oceanjet; but the Weesham Express travels faster in my opinion.

What I like about Weesam is that it is always on time (Their engines are probably new). And the ferry’s airconditioner temperature is set just right… comfortable enough for me.

On the other hand, the Supercat temperature seems to be always set too high.

The first and economy class sections in all fast ferries aren’t normally packed with people except during holidays and “fiestas”. So, you can move around to any seat you want. The prices of fast ferries are usually between 350 to 500 Pesos.

There are separate terminals for passengers of fast ferries in Cebu. In Tagbilaran, Dumaguete and Larena, the same terminal is used by all the ferries.

All fast ferries have their own websites for prospective passengers to check out their destinations and schedules. Weesam Express and Supercat have online service which provides a free, easy-to-use, automated reservation system, where anyone can reserve seats.

Most locals usually check schedules of seacrafts in newspapers and buy tickets in travel shops scattered around cities. But I’d rather go directly to the pier to inquire and buy tickets …. nothing beats getting first hand information from the companies.

Jungle in my front yard

My sister enjoys gardening.

It’s not that she cares for plants; it’s just her way of releasing stress and all the tribulations of work.

Unfortunately, she doesn’t have an eye for aesthetics. She plants whatever catches her fancy. Three months ago it was papaya. The grown plant is presently leaning awkwardly by the balustrade, beside a bunch of ferns. I’m currently sitting under it right now ---- reading a book and sipping hot Chamomile tea.

I also need to relax.

In fact, I’ve voluntarily imposed a “news blackout” for myself today. This means no television, radio or newspapers --- just silence and the company of plants.

A constant supply of "bad news" isn't healthy for our bodies—our cells are designed to take in joy and peace, not catastrophe.

I’ve spent my weekends for the past few months just gazing at these plants, sipping tea, and trying not to think about the office.

There is something about nature that mutes internal chatter and heals the spirit. I also sleep better at night.

Strong Peso

The Peso’s strength against the Dollar is increasing.

So, what is the hullabaloo all about?

For those (they are surprisingly in the majority) who have no idea on the significance of the peso exchange rate to the lives of ordinary Filipinos, let me take a leaf from the Bangko Sentral ng Pilpinas.

The appreciation of a currency against other currencies is generally viewed as good as this is a reflection of improved economic fundamentals, that is, lower inflation rate, high balance of payments surplus, etc.

On the other hand, to the extent that the depreciation of the peso against other currencies was due to deteriorating economic or other negative conditions in the Philippines, then a depreciating peso is not good news.

Certain parties, however, may not welcome this increase in the value of the currency. For instance, our exporters and overseas workers get fewer pesos from their foreign exchange earnings every time the peso appreciates.

If the peso’s exchange rate against the US dollar appreciates to P48 from a previous P50 to one dollar, a family which receives $1,000 monthly from their breadwinner-father employed as a computer programmer in New York will get only P48,000. For a ready-to-wear exporter to the USA, the appreciation of the peso by P2 will not be welcome news also. If she sells $100,000 monthly, her total peso sales equivalent will be lower by P2 million.

For foreign exchange earners, an appreciating peso will also be good for a country as a whole if the people prefer imported goods over those locally available, especially if these goods are non-essentials. This is so since less pesos are needed to purchase imported items.

In a situation where the Philippines is getting more connected with the rest of the world, it is more important to see the peso moving along with major currencies, and its trading partners and competitors.

Moreover, it is also significant to consider whether these ups and downs in the peso’s value proceed in a stable manner or at wider fluctuations. Wider fluctuations or greater volatility are disruptive, whether for business planning or for individuals who need other currencies in their transactions. Thus, the Bangko Sentral pays more attention on how the peso moves, causing it to intervene in the market to cushion or smoothen abrupt changes in its value.

As regards to some people who think that government can manipulate a country’s currency value, it may be possible through export subsidies. However, this distorts trade more than any other measure. Undervaluation of a currency through this measure constitutes a prohibited subsidy under international law because the exchange rate does not reflect market conditions.

Export subsidy is the only type of subsidy that the World Trade Organization prohibits outright because this is very damaging to competing economies.

Cebu Island Economic Zone

As reported in the local papers, there is a proposal to turn the whole island of Cebu into an economic zone.

Proponents are currently doing a study to determine the positive and negative effects of the proposal, including reduced cost of doing business, better capabilities, loss of taxes by local government units because the declaration will entail a tax holiday for businesses and industries.

A special economic zone enjoys privileges under the law such as tax holidays and incentives for companies operating within it. The area ideally operates with minimum government interference and allows the employment of foreign nationals.

If this proposal is realized, Cebu will be the first province in the country to become an economic zone. So far, the president, governor of Cebu, some mayors and, of course, all businessmen are amenable to the idea.

I believe this plan will be beneficial to Cebu and can trigger further economic development in the province. Whatever loss the government would have in terms of taxes could be offset by more vigorous development and economic activities in Cebu. The island will become very attractive to investors because of the tax breaks and increased facility in doing business.

The idea to have the entire Cebu Province declared an economic zone will hopefully render the reasons behind the “Sugbuak” moot.

Frankly, I prefer this proposal over that of dividing Cebu island into three provinces (Sugbuak). Dividing the island will not only be counterproductive to business, it will also entail additional expenses for the national government (such as replicating all government agencies in the new provinces, hiring more government employees etc).

Moreover, the availability of additional shares from the Internal Revenue Allotment (IRA) for the towns of the three prospective provinces doesn't guarantee better delivery of basic services --- the same way that having more money doesn't ensure efficiency. Ask anyone who has ever been involved in any humongous project or better yet take a look at the people living in the larger islands surrounding Cebu which have been chopped into smaller provinces. Have their lives improved ?

It is too simplistic to say that the economy of a province will automatically perk up if given a bigger IRA which is the main basis for the bills. Fact is there are several factors to consider in economic development such as infrastructure, accessibility, bureaucratic red tape, peace and order, labor force, sound leadership, corruption, financial management etc.

I hope the residents of Cebu's 4th district, 2nd district and 3rd district have not been waylaid into thinking otherwise. I'll leave it to the Cebu Island Ecozone study group to elucidate further my point since they are better at this.

I’m happy to know that Cebu island ecozone project is nearing realization as the government of Germany, through the German Agency for Technical Cooperation (GTZ), has committed to fund a feasibility study on the proposal until its completion in November this year.

The Cebu Island Economic Zone proposal was conceptualized by the Cebu Chamber of Commerce and Industry. The chamber is also taking the lead in its realization.

The move is consistent with the goal of the business sector of making Cebu an investment hub and dispersing benefits of business development to other parts of the province.

Clavel Asas-Martinez (Cebu, 4th district), Simeon Kintanar (Cebu, 2nd district) and Antonio Yapha (Cebu, 3rd district) were the congressmen who filed separate bills proposing for the creation of three separate provinces out of Cebu Province. The bills are still pending in congress.

Central Visayas Export Situationer

The following information was taken from a presentation for the RDC officers meeting this coming Friday which I and my officemate prepared for our boss.

Central Visayas exports (100% of which come from Cebu province) last year registered US$ 4.713 billion, a 13.50% increase over that of year 2004.

As can be seen in the slide, the region’s exports has had a double digit growth since year 2003. It took around five years for local exports to fully recover from the effects of the Thai baht collapse in 1997 which unleashed a wave of currency devaluations across Asia.

If you compare Central Visayas against the Philippines export performance, you can see that the region has fared better. In fact, share of region to total national exports is steadily increasing. Average export growth rate of the Philippines between years 2001-2005 is 6.42 percent; Central Visayas average is 12.1 percent for the same period.

Central Visayas exports last year registered US$ 4.713 billion, a 13.50% increase over that of year 2004.

Exports in the first semester this year is US$ 2.360 billion, a growth of 11.79% compared to the same period in 2005

As usual, electronic products and other industrial goods lead the list of top export performers in 2005.

The other product categories included in the top 10 list are furniture, garments, steel/metal products, electrical equipment, processed foods, marine product, vehicles and gifts, toys and housewares.

Although furniture hasn’t really reached its optimum performance, Cebu based firms had relatively better export sales compared to Metro Manila companies as gleaned from a survey conducted by Pearl 2, a Canadian International Development Agency.

This slide shows the top exporters for year 2005. Most of them are electronics manufacturers.

Central Visayas exports last year registered US$ 4.713 billion, a 13.50% increase over that of year 2004.

Japan remains the top market for Central Visayas in year 2005 followed by United States, Hong Kong, Belgium, China, Indonesia, Korea, Netherlands, Singapore and Thailand.

Sectors that gained in year 2005 were steel/ metal products, chemicals, garments, fresh and frozen food products, processed food and agri/ forest products.

Sectors that declined in the same year were Electronics, Electrical Equipment, Packaging, Furniture, Gifts, Toys and Houseware, Fashion Accessories, Marine Products (except Carageenan), Mineral Products and Traditional Products.

Decrease in electronics in 2005 was attributed to high world oil prices and inflation which weakened consumer spending in US and Japan.

Exports growth of garments could be attributed to bulk orders of brassieres and children’s clothing (NSO).

Here are two of the exporters' concerns which, if addressed, could considerably improve the export performance of the region:

First is the strengthening of the peso. While the Arroyo Administration’s top economic team hail the appreciation of the local currency in recent months, the export industry sector, among others, bewail the dramatic rise of the Philippine peso to its record-high in 3 ½ years citing substantial losses which threaten the industry’s competitiveness.

The Cebu Furniture Industries Foundation said the ideal peso-dollar exchange level for exporters is from 53 to 54 pesos because most exporters do their quotation at this level. Beyond that, exporters will have their export revenues considerably diminished.

Second is loss of our competitive edge in design. Cebu is known as a design destination for the distinct look of its products which uses alternative natural materials for contemporary designs. In an increasingly competitive world, product design is critical. For the past few years, several of good Filipino designers have been pirated or have migrated to other countries. This situation adversely affected the quality and marketability of our products.

However, the Department of Trade and Industry is optimistic that exports in the region will further improve this year. Since 2004, IT and IT enabled services has been included in the region’s export statistics.
The agency expects this sector to surge further this year, as demand increases.

Based on statistical data, exports growth prospects of the region appear to be good. This optimism stems from the anticipated economic growth of the Philippines’ export markets such as Europe and Asia. Surprisingly, China has turned out to be the fastest growing export market of Central Visayas.

Another reason for the buoyant forecast is the increasing attention given to Cebu and its products with the series of high-profile international activities being held here.

Out of the box

As far as I can remember, I’ve always loved reading. As a kid, it was a way to escape the monotony of school. As an adult, it is a means to break away from the ennui of work.

To me, reading should be as natural as breathing for all human beings. For heaven’s sake, books and other reading materials are basic vehicles of communication! Communicating, verbal or non-verbal, is what we do everyday.

It’s baffling to me why reading would be a neglected snag in today’s work places. I also heard that adults nowadays seldom prefer reading as a hobby.

So, with the existing scenario, expect Filipino officemates who loath reading books and news publications to settle on discussing the travails of their favorite TV soap opera heroes or the love lives of movie stars and their neighbors.

That’s the disadvantage of having a limited repertoire of subject matters for conversation --- talk revolves only around other people and mundane matters. After a time, it can get really boring. Eventually, it feels like your life is boxed-in to “birth, school, work, marriage, death.”

Don't you think that's confining and claustrophobic ?

I do.

Books widen the doors of imagination and stimulates the mind. It ignites creativity, ingenuity and resourcefulness--- qualities which are valuable in the work place. And best of all, it widens the range of office conversation topics.

There’s got to be more to life than diapers, loans, showbiz personalities, clinging housewives, rebellious kids, wayward husbands, clothes and work.

Masculinization of Filipino women

I already had an inkling of this surging trend in the Philippines since last year. Recently, my observation was validated by a national newspaper.

Official statistics say that seven out of 10 Filipinos who work abroad are women. This means that the strong peso today, buoyed by OFW remittances, is a result of the hard work of Filipinas working abroad.

This is confirmed by a recent study, which showed that "domestic husbands" or those whose respective spouses are working abroad, now make up the bulk of "decision-makers" for consumer products. The emasculated "macho man" has been forced by circumstances to take on traditional female roles in the family. These males have become homemakers who decide which brand of milk, diapers, shampoo and wash soap is best for the family.

By default, the women have taken on the role of breadwinners because the men in the family have failed to play that role.

We can’t fully blame the male for the role reversal because most jobs that are in demand in the global workplace require females. If you want proof, walk into any big office.

Clerical and managerial positions are now largely populated by females. I don’t even have to look far. In my office, most staff and supervisory positions are occupied by females.

Are the Filipino males losing their marketable skills? If given the choice, many business owners today prefer female workers even in traditionally male jobs such as welding and machine operation. I won’t go into specifics as to why this is so because I don’t want to offend our male workers. But several studies have been made on the value of emotional intelligence --- which is believed to be the strength of the female.

I don’t know if this role-reversal will have a negative effect on the family, but I know that this will have a positive effect on the status of females in our society.

Sachet Economy

Today, we had visitors from China doing research on Central Visayas, with focus on Cebu’s foreign trade activities.

The researchers were particularly interested in Cebu because of the impressive economic development in this tiny part of the archipelago.

I can see what they mean, a quick glance at our export statistics show that Cebu’s exports to China is on a steep climb. In fact, the value of our exports is higher than our imports to China.

Oh yes, we gave our foreign researchers the usual data we make available to the public. --- nothing confidential and not so much as to give ourselves away.

Being hospitable, we served them coffee, sugar and creamer in sachets, of course. .

Speaking of sachets, I noticed that this has become a trend in the Philippine economy.

While US consumers are obsessed with super sized orders, here everything is purchased bit by bit.

Local consumers have learned to adapt to economic hardships by deciding to buy products in the smaller quantities rather than pay for volume which may be cheaper in the long run. This is how they are able to cope with high prices and low incomes.

Still, big profits come in small packages - from cigarettes sold by the stick to little plastic packs of salt. A recent Synovate Global Omnibus study revealed that “nearly 90% of Filipinos buy items in sachet sizes, including non-food goods such as shampoo (90%), toothpaste (47%) and detergent powder (13%).”

The Philippines has become one of the world's biggest markets for goods sold in small quantities, earning itself the nickname 'sachet economy'.

Although logic dictates that buying a small pack is more expensive in the long run than buying a huge bunch in one go, the introduction of sachets has made most products accessible to the poorest segment of the population.

This is significant because, according to figures from the Asian Development bank, 39.5% of Filipinos live below the poverty.

Still, it is ironic that the poor need to pay more for things they can’t afford to buy in bulk.

How culture affects economic development

The rapid pace of economic development in some countries in Asia over the past few decades has awed the world.

Since the 1980's, economies of South Korea, Taiwan, China and India have experienced very rapid growth rates.

Why is there relatively large differences in economic growth between Asian countries ? Why is it that China and India have surged ahead economically during this time, whilst by comparison Philippines has lagged in relative terms?

There have been several theories posed, but culture remains as one dominant factor. Research have discovered that the culture cultivated by a nation’s people tremendously influence business environment and sets the direction of the economy.

Nurtured values such as career over family, corporate loyalty, respect for elders can foster a work ethic that favors heavily for or against business.

The Philippines is largely Catholic, forming the base of norms of social morality, influencing personal, familial, and institutional relationships, and the system of governance. Religion provides the overall terms of reference for social morality and order in the country.

Religious influences include reverence for the education and social harmony, respect for elders and emphasis on the importance of personal relationships and the family. This means that most Filipinos, if given the choice, favor good relationships over career advancement. Most consider a job merely as a means to enable them to feed and keep their family happy.

Is this bad? That depends on how you look at it.

According to a psychologist, the Filipino’s social savvy and family security have given him a temperament that works as an armor against the negative effects of stress and everyday disappointments.

That is why you don’t hear of Filipino serial killers or suicidal maniacs (they are likely to commit suicide when spurned by a love one). That is why, from my point of you, Filipinos are effective in the services industry that values human relationships.

Although the typical Filipino doesn’t take himself seriously even if the joke is on him, there are matters which he gives much importance.

Filipino culture give much weight to the value of education, and parents will often sacrifice much in order to provide their children with as good an education as possible. Both within the family and without, there is enormous pressure to 'achieve' in the realm of education.

Note that education is a crucial factor in Knowledge Process Outsourcing, a fast rising industry sector. Knowing this, economic success for the Philippines would just be a matter of harnessing existing cultural advantages.

There is a perception that the economic transformations currently underway in Asia may be replicating western models. Still, as may be gleaned from past experience, economic activity does not take place in a social or cultural vacuum.

Investing for the ordinary Filipino

Financial independence seems to be a big thing nowadays. But how do you achieve it?

I'm sure that more than half of my officemates do not know what I'm talking about here.

It is a common misconception that the terms "Saving" and "Investing" are synonymous with each other. The truth of the matter is that they are vastly different.

Knowing the difference between saving and investing is the key to managing your money. It will help you make more informed choices about financial requirements and needs and actually prevent the unnecessary loss of wealth:

Generally, savings can be best defined as a way of seeking means to preserve the assets that you have built up over time. The problem is that most people don’t realize that you can actually lose money in various conservative saving vehicles. This happens as a result of taxes and inflation.

When saving money, the primary emphasis is on the stability of the principal rather than return potential. While it is true that savings accounts are more predictable and guaranteed to preserve your principle, it doesn’t follow that they are less risky, especially in the long run. But for money that is needed in the short term, savings are probably the best option.

Remember that your money must be able to grow faster than inflation if you are to achieve your long-term financial objectives.

Investing is the key to meeting your long term financial goals and building wealth over the long-haul.

Investing is simply the placement of money into a financial vehicle. The key ideas behind investing are production and growth. By investing, you are putting your money to work for you through compound interest--- this is called passive investment.

To many people, investing seems to involve greater risk to the principal compared to saving, and it does over the short time. Investing is less predictable and more volatile in the short run. However, it also offers greater monetary rewards in the form of higher return potential and an overall increase in purchasing power.

Most investments like bonds, stocks, and mutual funds fluctuate in value. In the short terms, the fluctuations often reflect emotion and psychological reactions rather than the real value of the securities. Because of this, a key for common sense investing is to not be swayed by group-think.

Here are some of the more common investment vehicles on the market today.

1. Government Bonds, Certificates of Deposit, and Money Market
We might as well lump all of these into one group because they are the least risky of all investments. Unfortunately, these 3 investment vehicles pay a lower rate of return than most other investment vehicles. But if you are primarily concerned with preserving your investment capital, these 3 traditionally do well.

2. Corporate bonds
Corporate bonds can offer a better rate of return than government bonds, but of course, they are a bit more risky. The risk here is that the company could become financially unstable, and not be able to pay back the loan that the bond represents. However, a highly rated corporate bond is generally a safe investment.

3. Mutual Funds
Mutual funds are the worst possible investment. The reason for this is because of the management fees involved, as well as the restrictive trading as dictated by each mutual funds prospectus.

4. Stocks. Stock trading is where you can start getting consistent returns of 20% to 100% or more a year. The downside is you can loose your capital easier than in the previous 3 methods, and it takes a more active role on your part to achieve these returns.

Although I have tried using all the investment vehicles mentioned here, most of the ideas written here were taken from my research on the Net
Note that I am not a stock broker. So I would advise everyone to consult first a financial advisor before investing. You need someone who is an expert on money matters.

Ideal Business

In this job, clients usually ask me for advice on what business they should go into.

I don’t have a standard answer for that.

Most of the time, however, I usually advise them to select a business that allows them to pursue their passion and that also provides the opportunity for profitability.

I discovered from experience that people with a lot of passion can withstand disappointments and difficulties which are normally encountered by neophyte entrepreneurs.

If you really think about it, setting-up a business isn’t really for everyone. And even if the person has the knack for it, the kind of business he can get into would depend on his assets, liabilities and other non-tangible matters.

However, I came across a publication The Entrepreneur’s Handbook, by Richard H. Buskirk which contains ideas about the characteristics of the ideal business. I've also made a little research on the internet. Potential entrepreneurs could use these ideas as guidelines:

Fun and fulfilling: a natural expression of your gifts and talents. It satisfies your intellectual and emotional needs.

No initial investment: free entry to market, easy to get other people’s money, or very low entry fee.

No employees or minimal labor requirements: do everything yourself, subcontract the rest, avoid benefits, labor hassles, government reporting.

It has an unlimited global market ( this is important than ever since world markets have opened up).

Perceived need: your customer wants your product badly regardless of price.

Distribution system in place: you don’t have to build a system of retailers, wholesalers, and transport.

Cheap and Ready Supply of Materials: no limit on raw materials and cost is neglible.

It enjoys low overhead. It does not need an expensive location; it does not need large amounts of electricity, advertising, legal advice etc

No perishability: no obsolete or out-of-fashion items, no pressing deadlines like 3 days for peaches.

No dependence on weather: no waiting for snow, rain, sunshine, wind, or light or dark.

No obsolescence: product or service adapts to the times or is timeless.

No government regulation or interference: no costly compliance efforts or litigation costs.

Potential for cashing out in 5 years: investors must be able to see the end of the rainbow.

Requires no more than 8 hours/day or 40 hours/week. Working smart not hard. It leaves you with free time.

No competition: small enough niche not to attract large companies and unique products others can’t copy.

Completely portable or easily movable: no geographic ties and can be run from laptop computers worldwide. This means you can take your business anywhere you want

Information based: information is the next source of power after violence and money.

No or low taxes: a company based in an enterprise zone, online, or a non-profit.

No legal liability: no need for lots of liability insurance and no threat of lawsuits.

100% gross margin: almost all profit with very little to no cost of goods or high perceived value.

Great news value: produces positive PR without the need for much advertising.

Customers pay in advance: produce product using the customers’ money to fill demand.

Theft-proof: business depends on your unique and continued efforts and cannot be stolen.

Before you select a business, consider some of today's trends that have a major impact on people's lives:

Explosive Web Growth: The world wide web is growing and bringing with it a new economy, new business opportunities, and different business models.

Think globally and act locally: Technology is shrinking the world into a small, connected global village where your product or service could attract customers from around the world. However, you must service those customers by paying attention to their local needs and wants.

Convenience: Customers want to save time and money.

Aging baby boomers: Those born between 1946 and 1964 constitute the largest age group and are the trendsetters of the population. Follow the boomers to the money.

Mass customization: Customers want products and services tailored to their specific needs and wants. They are no longer happy with the standard one-size fits all.

Night Shift

It’s 6:00 in the evening.

As I prepare dinner, my next door neighbor, a single parent, gets ready for work.

I’ve always wondered how her kids are taking her schedule. They rarely see each other, not even on weekends. The children will still be in school when she leaves for work. They’ll be asleep by the time she comes home.

I’ve read somewhere that relationships suffer tremendously because of family members’ divergent schedules. Moreover, the health of night workers also gets a lot of beating.

Women who work regular night shifts have a high risk of colon cancer and breast cancer, according to data extracted from a study of nurses.

The link may involve melatonin, a hormone produced by the brain's pineal gland. Production of melatonin peaks at night during sleep.

One theory is that shift work disrupts normal melatonin production and increases levels of other hormones such as oestrogen. Women's cancers are often linked with oestrogen and melatonin.


Melatonin is produced at night, and regular exposure to sunlight affects the production cycle, which peaks in the middle of the night. Artificial light suppresses melatonin production.

Melatonin is known to have anti-carcinogenic properties, and a link between exposure at night and cancer risk through the melatonin pathway could offer one plausible explanation for the increased risk that has been observed, according to a study.



Indirect support of the melatonin/breast cancer connection comes from an earlier study of blind women, who were found to have a 20 percent to 50 percent reduced risk of breast cancer as compared to a comparison group of women diagnosed with stroke and cardiovascular disease. The theory behind this reduced risk: Because blind women are immune to fluctuations in light, their melatonin levels remain constant, which also keeps their circulating estrogen levels in check.


Other than the melatonin factor, sleep also allows our body and mind to reenergize, rejuvenate and restore. Sleeping also enables the body to repair and renew tissue. It allows the brain to organize long term memory and integrate new information.


So what's the experts’ verdict of these findings regarding graveyard-shift work and breast cancer?

From a research point of view, it may be wise to focus on the general notion that anything that disrupts the normal biology of the body might affect hormones that influence cancer risk.



I hear her car move out of the garage. It’ll be a long night for this shift worker and a much longer wait for her kids.

Why Visayas? Why Mindanao?

The Visayas, a group of islands at the center of the Philippines, is the easiest area in the country to sell to foreigners.

For astute businessmen, the Visayas is no doubt a brilliant choice as a prime area for investments.

With its excellent geographic location, English-speaking population, hardworking labor resources, favorable investment laws, and a variety of industry opportunities, the Visayas is truly ideal for business.

The attractive business environment in the Visayas revolves around the country’s competitive incentive package and solid financial reform program. With deregulated banking, oil, shipping, telecommunications, and insurance industries, the Visayas is more than adequate for any foreign investor.

Currently, all infrastructure development is geared towards enhancing its competitive edge in tourism. The Visayas presently attracts more than half of foreign tourists to the Philippines.

Investors would do well to take advantage of the opportunities in the Visayas, especially at this time when the area hasn’t yet been congested with too many industrial and tourism developments.

Currently, Cebu is a ready and logical choice for business investments. Among the many reasons to consider Cebu as a place for investment are the following:

Excellent location. Cebu’s location in the center of the Philippine archipelago makes it a natural port of utmost importance. It is the most accessible place in the Philippines, with more domestic air and sea linkages than Manila. More than 80% of inter-island shipping capacity in the country is based here.

Fastest-growing economy. It is not just a promise or potential, Cebu has demonstrated capability with an excellent economic track record. It has an average growth rate significantly higher than that of the entire nation, and any other province. Cebu leads 78 other provinces in gross assets, equity and total income.

Export opportunities. Cebu leads many export industries in the Philippines, including those of furniture, fashion accessories, carrageenan and gifts, toys and housewares.

Tourist paradise. Cebu consistently draws the biggest chunk of visitors to the Philippines per year. It is considered the tourist gateway to the Central and Southern Philippines.

Modern and Industrialized. The development of its infrastructure is balanced; it has all the ingredients necessary to be competitive and sustain investments. It is a cosmopolitan area with all the support facilities and amenities needed for an ideal lifestyle. Cebu is fast transforming itself into an I.T. and call center capital of the country.

Safe from natural disasters. Compared to the rest of the country, Cebu is naturally safe. It is not in an earthquake zone or typhoon belt. There are no volcanoes on the island.

Peace and Order. Cebu has one of the lowest crime rates and the best peace and order record of all cities and provinces in the Philippines. Cebuanos are independent, self-reliant, and entrepreneurial, a highly educated workforce geared towards non-agricultural lines.

Mindanao, on the other hand, is the virgin resource paradise of the Philippines.

Agriculture is where Mindanao has an advantage over other islands in the Philippines. The island accounts for over 40 percent of the Philippines' food requirements and contributes more than 30 percent to the national food trade.

Mindanao grows most of the Philippines' major crops such as rubber (100% of national production), pineapple (91%), cacao (90%) as well as banana, coffee, corn and coconut (over 50%). The island also produces exotic fruits like pomelo, mangosteen and durian.

Situated outside the typhoon belt, Mindanao enjoys a generally fair tropical climate, evenly distributed throughout the year. It is ideal for year-round crop production.Mindanao is strategically located within the

East ASEAN region, almost equidistant to the eastern sections of Indonesia, Malaysia and Brunei Darussalam. This key geographic location underscores its potential to be a major transshipment point and center of trade in the region.

**********

"There are always opportunities in places undiscovered.”

Intimidation at work

A neighbor recently related her most unpleasant experience at work. Someone at work was trying to bully her and her colleagues. And with some people, he seemed to be succeeding.

One day, my neighbor decided she’d had enough of the bullying tactics. When he threatened to talk to their boss and mess with her work performance report, she yelled that she’s not taking anymore crap from him.

My neighbor is a huge woman and if it weren’t for cooler heads who intervened, she could have wringed the breath out of the puny guy.

Some people achieve or maintain power by intimidating others in deniable and devious ways.

Too often, when intimidators succeed, their success rests in part on your unwillingness to resist, or on your lack of skill.

Intimidators force you to comply through fear, rather than asking nicely. They can be 5 or 50 years old (there is no age limit). They latch on to the "bullying gets results" tactic and never let it go. As far as they are concerned, it’s the only approach that works for them.

With each potential victim, the intimidation escalates gradually. The intimidator is always testing to see how far they can push you

They may be just cowards inside, feeling inept, not knowing how to do things differently, and are afraid of failure or they may just be nut cases.

When there is a bully in your office, know these truths: the bully is emotionally stuck in adolescence, you are smarter than that bully, you can handle the trouble maker by speaking-up and staying cool.

Remember, silence is the bully's best friend.

Information Underload

There is no such thing as information overload. That is what I learned from constantly surfing the Net.

Individuals have this tendency to automatically segregate whatever info they receive. Some of these are processed; others are discarded.

What does exist and many can’t stand is information void.



As one co-worker describes it, absence of data is like being lost at sea --- you are moving but do not know where you’re heading.

Another familiar occurrence is information underload. This often happens in any regular office peopled by different personalities.

So it comes as less of a surprise that, in such an environment, gossip abounds. Gossip is a person's way of filling in the empty space.

Gossip can range from possible job promotions to conversations between directors. If the gossiper is as creative as a screenwriter or novelist, she's bound to convey to her officemates detailed "dialogues" that never happened.

Gossip is an unavoidable presence in all workplaces.

We often start conversations by telling an interesting tidbit or piece of information about another person. And considering that some of us have very active imaginations and much more energetic vocal instruments, those conversations quickly degrade into gossip.

We all do it from time to time. Whether it's complaining about the latest office policy change or dishing about the latest spat between a director and clerk, gossiping on the job is almost an inevitable part of corporate culture.

But the overall effects of negative gossip don't necessarily suggest you should completely refrain from being in the know about situations around you.

In fact, many psychologists believe that the right kind of gossip can be good for you. Getting the latest gossip about the behavior of others helps build a social map for what is accepted, strange or bad and what kinds of actions improve your status and what doesn't.

Experts believe that you can indulge in a little on-the-job gossip safely and without guilt, as long as you keep these in mind: One, recognize that gossip is a universal human behavior that we all engage in, and which serves a functional purpose for employees and organizations. Two, idle gossip can help to cement the bonds of collegiality and should be used only for such purpose, not to disparage the reputation of another person. Three, idle gossip should not be engaged at the expense of work productivity.


To counter negative office gossip, experts suggest filling the void by communicating. Because when questions arise, and employees are unable to approach managers or supervisors for information, the gossip mill starts spinning.

Build a culture that is supportive and cooperative. Of course, this is easier said than done.

But, where there is a surplus of support and information, an organization is less likely to have to cope with malicious gossip.

Getting a grip on your finances

Oh no, not our refrigerator again, my sister protested when she learned that I’ve used our refrigerator as a visual aid in one of my talks.

I needed an eye-grabbing image for my graduate school presentation on financial discipline.

The photograph of our dilapidated refrigerator was perfect. It had character and said a lot more than a gazillion words could.

Our ref’s rubber lining had thinned out, so the door can’t be completely closed. This allows some hot air to enter the freezer compartment which isn’t good since this increases our electricity expense.

It never crossed our minds to buy a new appliance.

According to my big brother and sister, the 20 year old refrigerator is still in good condition (it still produces ice and keeps our drinks cold), although it looks like it’s falling apart.

Being resourceful, big brod took a bicycle strap and fashioned this into a belt for the poor thing. So whenever we wanted to get something from the ref, we had to unfasten the belt.It worked wonders for my pocket and my waistline.

Considering that I found it cumbersome to unfasten the refrigerator belt, I only ate twice a day (I read somewhere that a healthy human being only needs to eat two full, nutritious meals a day).

In other words, I ate less and bought less food.

It’s easier to discuss food discipline; food doesn’t really eat-up too much of your budget. And, surprisingly, it is the kind of expense most people can control.

Luxury items, on the other hand, are an entirely different matter.

Luxury items always find a way to get your attention and onto your credit cards or wallet.According to some information I've seen online, the average family is several thousand pesos in debt on their credit cards.

Some people may not mind that right now when they can still get a loan. But in the long run, debt can be an extremely huge burden.

Why is being in debt bad? Because you start paying lots of interest, so that what gets paid back is much larger than the original debt.

How exactly does debt become so bad? Two words: compound interest.
The money that is not in the lender's hands is charged interest, and interest on top of interest, it piles up fast over the months.

Unless your husband is working for the Mafia, the only way to get out of debt is to stop adding to debt.

Financial management requires discipline. You need to set yourself firmly on a clear course of action, and stick with it over weeks, months, and years.

I know how you feel; you’ll need to be reminded over and over again that there are no easy solutions.

The last time I talked to my sister, she said the photograph of our refrigerator has been doing the rounds of the Net.

Does that say anything?

Cafe conversation

It's early morning in Cebu.

I'm inside an internet cafe having my usual cup of capuccino in front of a computer.

While others hit the gym, I prefer to plop onto one of the comfy seats of my favorite hang-out at the basement of a mall.

Eating is one of my favorite activities, second is surfing the Net and third is reading in bed. In this internet cafe, I can do the first two. So it's not difficult to understand why my heart jigs at the mention of this place.

I usually start my weekend with a full breakfast while leisurely reading the newspaper.

But today, I've decided to modify my routine. The weather outside is perfect; there're just a few regulars today so I'm not niggled by much noise.

So, I thought.

A few minutes later, two frazzled women noisily came in, plunked their things on a table and sat a seat away from me --- totally oblivous to my existence (I have this knack of blending with the walls and coffee tables).

They obviously had a lot to discuss with each other.

One female, who reminded me of an overgrown, flamboyant tarsier (smallest primate in the world) with her large, bulbous eyes highlighted by charcoal powder, hurriedly ordered coffee and salad; the other, a mousy & more decorous lady, ordered milk.

Ms. Tarsier apparently didn't want to waste much time and started the conversation by bawling while I was half-way drinking my coffee, making me ingest more than a mouthful and spilling some of the dark liquid on my t-shirt.

Talking like a machine-gun out of control, she narrated in between sniffles her many misfortunes: how her boyfriend (who happens to be married) left her for another guy, how he got away with her money and her credit cards, how her parents have disowned her, how her siblings are envious of her looks and intelligence, how her officemates are ganging up on her, how her boss fired her, how she can't get a loan, how she can't help attracting the wrong men etc.

Anyone sitting at the back of the room could have heard her rattling. She was that loud.

By the time she was done, I was exhausted listening. Can one person possibly have that many problems ? Or have I fallen inadvertently in a Filipino TV drama shoot ?

The mousy lady with her managed not to lose her composure. She was calm yet concerned. It seems she had been through the same scenario. It appears to me that Ms. Mouse is a regular dumping ground for Ms. Tarsier's troubles.

"What should I do?! Everyone seems to have deserted me!", Ms. Tarsier wailed in between mouthfuls of her salad.

"That's because you've been going to them with the same problems. You never followed their advice. You never listened to anyone, not even me.", Ms. Mouse responded with considerable restraint.

"You mean to say there is no longer a solution to all these?", countered Ms. Tarsier in a panicky voice.

Ms. Mouse didn't answer and instead slowly sipped her milk, probably pondering on how she ever got herself into this human quicksand.

By this time, I had already thanked the heavens I wasn't within the line of fire. Still, I would have wanted to butt-in on their conversation to resolve everything and get back to the peace that was in this cafe.

"Have you thought of obliterating yourself from the face of this earth?", I replied in mind. "And save everyone from further trouble of being burdened by you."

Nope, not a wise answer. Moralists would surely gang up on me.

I gave her my stack of table napkins; hers were crumpled to a wet ball.

Suddenly, Ms. Tarsier had an enlightened moment.

Dabbing her eyes with the napkins, she thanked me profusely and apologized for disturbing everyone.

In minutes, without having to be told, she stood up and, in studied equanimity, suggested to her companion for them to leave.

So Ms. Tarsier and Ms. Mouse left as conspicuously as they came.

Less is more

My married officemate is again in a financial quandary. She needs money to pay-off a debt.

Considering that her husband doesn't have a stable job and with children she can ill afford to raise, she'd have to squeeze-out what other financial sources she has at the moment ... that could possibly include me (that is if I give in to her constant, palpable hints).

There is no point in giving her another lecture on family planning and financial literacy.... that doesn't seem to get through her.

What makes matters worse is that she's not alone in this office. It appears that her dilemma is repeated in several other married officemates ( I hate to admit this, but it seems borrowing money is part of the culture here).

You don't need to be a math wizard or a rocket scientist to know the advantages of having less or no children in a marriage. There are less mouths to feed, less friction (several people in the house mean living with several different personalities), more food on the table, more attention for each member of the family, more savings, less debts, better education for the kids etc.

Whether you like it or not, those cute, "bundles of joy" will eat up into your savings. I don't want to sound heartlesss, but financially speaking, children are a pecuniary liability. That is why raising kids is only recommended for those who are financially capable (aside from being emotional mature, of course).

Most people go into marriage and have babies because it's expected of them or they fear growing old alone. From experience, I've realized that what society expects of us doesn't always mean it's good for us. And alone doesn't automatically mean lonely; nor can anyone say with certainty that she will be happy in a crowd of children.

I know that what I'm saying here is too radical for most people and I don't expect everyone to bite.

A matter of personal opinion

I've noticed hate emails against Dan Brown, author of the "Da Vinci Code", circulating in the Net (sample is the email below). I was recently a recipient of a few.

Although I respect the opinion of the writers, I don't agree with his/her.

Some people felt the same way about J.K Rowling, author of the "Harry Potter" books and labelled her an anti-Christ or a messenger of the devil.

It turns out that their fears were unfounded. Besides, I don't propagate hate. It is something I don't ever want in my life.

Hate is not only self destructive. It is more lethal than whatever presumed negative effects the "Da Vinci Code" book have on people.

Hate is the root cause of ethnic and religious wars we have today.

Hate is constantly used by extremists and bigots to fuel their "causes".

According to a favorite relative of mine who passed away, "Hate is the most effective weapon of the devil".

I thought the movie was faithful to the book and made an interesting subject of conversation. I like the fact that the movie ignited the people's interest in art and history (according to the Reader's Digest magazine, there was a 10% increase in the number of visitors at The Louvre in Paris after the release of Dan Brown's book).

Definitely, it hasn't changed the way I look at my religion. And I don't think two hours of watching a movie could change anyone's faith, that is if they have it in the first place.

Like love, faith cannot be forced on people. The choice is always left to each individual.

Each of us is responsible for whatever we do with our lives. Not even Dan Brown can change that.

Call me naive, but I have so much trust in people's ability to discern good from evil. In the end, most of us always make the right decisions.

So how about encouraging love, respect and tolerance for diverse ideas ?
It is the only way that all of us can live peacfully with one another.

Updates on the local BPO industry

I thought of sharing the speech I delivered during the commencement exercise of an IT school.

I thought you'd be interested to know the latest info on BPO and KPO.

I usually do research when I'm the one talking unlike when I'm writing for someone else (where I merely rehash motherhood statements... yeah, right ...I'm a "good" girl.. he..he..he).

Here's a trivia: did you know that there are more females (around 80%) in the BPO and KPO industries? It's a trend. Males may be good in software development, animation, computer graphics and computer aided designing but that merely represents a tiny slice of the BPO/ KPO pie. Since BPO / KPO is the future trend in business, expect to see more female breadwinners and more househusbands.

In fact, as you look around the major metro supermarkets, you can see a growing number of men pushing the baby trolley while holding the grocery basket. I'm not just talking about local men, ha... also foreign Dads (I recently saw caucasian males pushing a supermarket pushcart with toddlers on it or carrying a child while trying to figure out the grocery list. Come to think of it, men look good with babies...in fact, they look more human and domesticated that way).

Indeed, this century is the turning point in the global work culture.

____________________
The Role of the IT Enabled Industry in National Growth
A speech delivered during a Commencement Exercise
held on April 6, 2006 Cebu City

Honorable guests, graduates, ladies and gentlemen, Good Afternoon.

I truly welcome this chance to speak before you because it gives me an opportunity to present to you the promise of IT - not just IT in terms of what it could be, but IT as a reality that is increasingly becoming a part of our lives.

This reality is what will enable us to create jobs, livelihood, and opportunities to raise the incomes of a large number of our countrymen.

With the world trend towards computerization, the IT and IT enabled industries have become necessary tools for the economic development of a country.

In the Philippines, one component of the IT enabled industry that has shown great potential is Business Process Outsourcing.Business Process Outsourcing or BPO is where whole business processes are outsourced and tasks from internal production are delegated to a subcontractor.

In simple terms, this means that any work that can be done using a computer are shipped to low cost destinations such as India, Philippines and Vietnam.

Most recently, BPO has come to mean the elimination of native staff in developed countries like the United States and Britain in favor of staff overseas, where salaries are markedly lower.

Let me make it clear that the BPO phenomenon is not just a temporary situation, as what those who rally in the streets would want us to believe, but a growing trend throughout the world because of technological advancement.

The BPO industry in the Philippines is not just about call centers either. Call centers may be growing at a phenomenal rate in our country, but BPO also includes non-voice services.

At present, a lot of non-core yet critical operations from developed countries have already been outsourced to the Philippines. These are software development, accounting, architecture, engineering, healthcare, financial services, human resource administration, logistics, copyediting, indexing, web design and maintenance, data conversion, data warehousing, data capture and data entry, proofreading, encoding, graphics design and medical transcription.

There is a significant amount of labor in the Philippines that would qualify for non-voice BPO. In fact, there is a wider pool of people who would fit the profiles in the non-voice sector than in the voice component.
It is true that India is the country that proved to the world that offshore outsourcing was viable. India is also the largest and most successful offshore destination in the world. But the Philippines is a close second and is reaping BPO opportunities from India.

For the past years, India was the offshore destination of choice. Companies flocked to India to set up offices. However, India today is facing a lot of problems as a result of this mass jumping on the bandwagon. These problems are related to salary inflation, employee retention, quality of delivery, office space availability, telecommunications access and even electricity supply.

The Philippines and Vietnam are profiting from this situation since the two countries had more time to develop their industry set-ups. This is a great time to be in the Philippines for the BPO sector.

The Philippines is poised to grow the strongest of any outsourcing destination in Asia.

In Cebu, there are over 5,000 contact center seats provided by 14 call center companies. These companies, particularly the large players are continually expanding their operations in Cebu.

Other than contact centers, Cebu is also attracting non-voice work such as software development, copyediting, indexing, web design and maintenance, data conversion, data warehousing, data capture, data entry, proofreading, encoding, graphics designing, medical transcription, accounting, computer aided designing and animation.

Recent developments show that efforts of the Philippines in attracting outsourcing work has paid off. According to TheAge.Com, local outsourcing firms report revenue of about $US 4 billion, up from $US 350 million in 2001. They employ 230,000 people. India, the world's outsourcing giant, employs five times as many but has 12 times the population, which suggests the Philippines is something of a silent star on the outsourcing stage.

Today, BPO hiring growth rates in the country are between 40 to 50 percent. Hiring growth rates of call centers reach around 70 to 100 percent. Now, that is a lot of foreign investments poured into the Philippines.

Foreign investments are good for our country because it create a lot of new jobs at a fast rate. It is also the greatest driver of technological progress and benefits to consumers.

So what is our edge over our competitors?

According to most foreign business leaders, Filipinos have a customer service mindset; Filipinos, generally, speak and write better English than their Asian counterparts.

Contact centers represent 70% of the total IT and IT-enabled services workforce in the country. Thus, the need for a large pool of English-proficient professionals to fill the demand. However, the 6% annual growth rate of fresh graduates from our universities hardly makes up for the growing demand for contact center agents. One other pressing issue is the low acceptance rate in the call center industry right now. About 1 in 10 of these fresh graduates will be accepted by call centers.

The industry then sees the need to fill this gap by either tapping career shifters or improving the acceptance rates of fresh graduates and non-degree holders through trainings.

If we can get our schools to continue improving the quality of English of our graduates, we will always have something most of our competitors don't.

Obviously, the key differentiator for the Philippines remains to be the people.

India is reported to have better technical universities but the Philippines have better ones in liberal arts, which is more appropriate for back office outsourcing.

The Philippines is also said to have a better infrastructure and expatriate lifestyle. With the current trend in BPO. public and private sectors are now in a more intensive campaign to improve the English proficiency of the country's local talent pool.

There is another major reason to improve our English --- the rise of Knowledge Process Outsourcing or KPO. This involves offshoring of knowledge intensive business processes that require specialized domain in every field of expertise.

It can be said that KPO is one step ahead of BPO. KPO firms provide business expertise rather than just process expertise. Unlike BPOs, there are no night shifts, no calls from irate Americans/ Britons to deal with and no safety issues involved.

KPO firms give all the benefits of a nine-to-five job with added incentives. KPOs charge their international clients much more than BPOs. So, obviously, there is a vast difference in salaries.

In addition, not only do employees get better pay, they're also exposed to global best practices, Due to a large knowledge pool and significant cost arbitrage, few countries are front runners in providing KPO services. The nature of work also demands advanced analytical and specialized skills.

However, the success in outsourcing business process operations to India and the Philippines has encouraged many firms to start outsourcing their high-end knowledge work as well.

Recently, the Department of Trade and Industry welcomed two prospective foreign KPO investors on a lookout for an expansion site in the Philippines.

What was interesting about the meeting was that they were checking on the number of our graduates with PHD and MA degrees in Engineering and Sciences. They were very particular on the capacity of graduates to be able to comprehend volumes of highly technical data and be able to summarize it in English.

Let me emphasize here that employees of KPO firms are expected to have extensive knowledge of their field of expertise. In other words, KPO work requires higher brain power.

According to a report by GlobalSourcingNow, the Global KPO industry is expected to reach 17 billion dollars by 2010. Low-end outsourcing services have an expected Cumulative Annual Growth Rate of 26% by 2010. In contrast, the global KPO market is poised for a Cumulative Annual Growth Rate of 46%.

Some KPO services that can be outsourced to the Phiilppines are: Research & Development, Business and Technical Analysis, Learning Solutions, Animation & Design, Business & Market Research, Medical Services, Writing & Content Development, Legal Services, Intellectual Property Research, Data Analytics, Network Management, Training & Consultancy.

The Philippines faces many challenges and opportunities as world economic conditions continue to change. Stimulating demand for Philippine BPO and KPO services is a combination of many factors. It begins with the government and educational institutions working in synergy together.

With the demands imposed by the international market, there leaves no room for complacency. The world economy has now become global. This means that capital, technology and human talent go wherever returns are highest.

The challenges are there including preserving whatever economic gains the country has achieved. Our leaders still believe that the most essential factor to our country's success is human resource. These are the young minds that have been molded and developed by our educational institutions --- the same young minds that are here today.

BPO and KPO are the future of IT and IT enabled industries in the country. It is up to you to take advantage of it.

With this, I say to our graduates, let us put up our sails with the wind of confidence. And together, we will journey into a future of radiant possibilities.

Thank you and good day.