Nina M. Diaz Archives - 大象传媒 Online /tag/nina-m-diaz/ 大象传媒: The leading and most trusted source of business news and analysis in the Philippines Thu, 20 Oct 2022 09:32:41 +0000 en-US hourly 1 https://wordpress.org/?v=7.0 /wp-content/uploads/2024/09/cropped-bworld_icon-1-32x32.png Nina M. Diaz Archives - 大象传媒 Online /tag/nina-m-diaz/ 32 32 [B-SIDE Podcast] Good design is good business /podcast/2021/02/15/344651/b-side-podcast-good-design-is-good-business/ Mon, 15 Feb 2021 03:28:40 +0000 /?p=344651

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The pandemic is changing the way we design our world and the way we move around in it.

鈥淚f you鈥檙e creating a journey from home to destination, then obviously everything you touch and interact with is design,鈥 said , founder and chair of PriestmanGoode, a design consultancy out of the United Kingdom that counts Airbus SE, Hong Kong鈥檚 Mass Transit Railway, and Transport for London as its clients.

鈥淕ood design is not an add-on but a crucial part of what makes a business successful,鈥 he tells 大象传媒 reporter Patricia B. Mirasol. 鈥淲hen used effectively, it can make a massive difference to any business.鈥

TAKEAWAYS

Health and wellness are now part of every design brief because of the pandemic.

When it comes to public transit, designers are incorporating crowd control; social distancing; and self-cleaning materials that wear well, such as brass. The coronavirus has pushed health and wellness to the top of the priority list when it comes to design briefs.

鈥淭here are universal principles when it comes to good design,鈥 Mr. Priestman said, 鈥渢he first of which is that you really have to understand who you鈥檙e designing for. What are the problems you are trying to solve?鈥澨

A key element that drives the work the design consultancy has done for its clients is the enhancement of customer service. 鈥淗ow can we create an environment that provides comfort, convenience, and efficiency for passengers?鈥 he added. 鈥淗ow can we include design elements that also make the crew and maintenance staff jobs easier?鈥

Companies gain a competitive advantage with good design.

Design is a strategic tool that improves business profitability as well as the appeal of a product or service, said Mr. Priestman, who pointed out that good design is essential for companies wanting to compete at the international level. 鈥淒esign is not an add-on cost. It鈥檚 one that improves profitability and saves expense and money,鈥 he said, adding that most successful brands in the world use design effectively.听听

Design creates a sense of place.听

Another key element is creating a sense of place. 鈥淲e work a lot with national airlines, and our designs always focus on referencing the cultural heritage of that country, so that the interiors don鈥檛 just look like every other aircraft, but that they look distinct, and of that place,鈥 said Mr. Priestman. The rebrand of , for instance, references the classical architecture of Greece translated into cabin patterns and motifs.

Transport plays an important role in how people experience places. It becomes one of the reasons people visit a city, he said. Travelers in Hong Kong go on the Star Ferry, visitors in New York get on its iconic yellow taxis. Transport has to be a cultural experience because part of the enjoyment of travel is doing something different.听

鈥淲e鈥檙e working in Austria, where we have to create places for putting skis so people can go skiing,鈥 Mr. Priestman shared as he talked more about designing products that become a cultural symbol of a country. 鈥淚n the vestibules where you get on and off trains in China, people like to have hot water, but in the UK it鈥檚 not necessary.鈥澨

Designing to include the needs of the elderly will be a growing trend.

One of the other important issues shaping up in the world鈥攁part from the pandemic and climate change鈥攊s its aging demographic. 鈥淭hink about designing for your grandmother or grandfather. When designing a new product, ask: can they use it? That鈥檚 what we need to constantly reference,鈥 said Mr. Priestman.

鈥淲hy take the fast train? Take the slow lane. Enjoy the travel experience,鈥 he added. 鈥淓njoy living. Design has everything to do with enhancing that.鈥澨

This B-Side episode was recorded remotely on Jan. 13. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] How female founders can get the funding they need /podcast/2021/01/18/339505/b-side-podcast-how-female-founders-can-get-the-funding-they-need/ Mon, 18 Jan 2021 03:01:10 +0000 /?p=339505

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Only 3% of invested dollars went to female-only founders in 2019. According to a in startup funding, female-only founded companies raised $6 billion dollars; their male counterparts, $195 billion.

In this episode of B-Side, Nicole Denholder, founder and CEO of , tells 大象传媒 reporter Patricia B. Mirasol why this gap exists and what women entrepreneurs鈥攁nd the business community at large鈥攃an do about it.

Next Chapter Raise is a funding ecosystem based in Asia with one mission: to get female founders funded faster.

TAKEAWAYS

Female founders face a steep uphill battle.

  • Key-person risk听

鈥淢any female founders are sole founders. If they fall ill, the business could stop,鈥 said Ms. Denholder. 鈥淎 sole founder won鈥檛 have all the skills necessary anyway to build a business.鈥

  • Industry bias听

Women are expected to work in stereotypical industries such as fashion and wellness, less so in fields such as technology and engineering. 鈥淭he expectation is that women aren’t that engaged and working in those industries so how do they have that industry knowledge? Or how do they understand what the problem is? Or how do they understand the client?鈥 Ms. Denholder said.

  • Lesser capital

Men start their business with twice as much financial capital as women. Women, on the other hand, bootstrap for two to three years on average, Ms. Denholder said.听

Find a co-founder that complements what you bring to the table.听

Ms. Denholder advised looking at the way the team is built and what the business needs, especially if you happen to be a sole founder.

鈥淢ake sure you have the right agreements in place, and clarity in roles and responsibilities. Regardless of gender, you need to understand what both of you bring to the table,鈥 she said. 鈥淥ver time, you need to make sure you’re continually aligned to be delivering on the business.鈥

Even if asked the wrong questions, reply with the right answers.

Investors, too, demonstrate unconscious bias in how they assess founders. A 2018 study by Dana Kanze, Laura Huang, Mark A. Conley, and E. Tory Higgins discovered that men are asked 鈥減romotion鈥 questions, or questions about how great everything will be. Women, meanwhile, are asked 鈥減revention鈥 questions, or questions about how horrible everything will be.听

Examples of prevention-based questions are: 鈥淗ow long will it take you to break even?;鈥 鈥淗ow predictable are your future cash flows?;鈥 and 鈥淚s it a defensible business wherein other people can鈥檛 come into the space to take share?鈥 Examples of promotion-based questions include: 鈥淗ow do you plan to monetize this?;鈥 鈥淲hat major milestones are you targeting for this year?;鈥 and 鈥淲hat鈥檚 the brand vision?鈥

Those asked promotion questions were more likely to answer in promotion-based ways, which left a positive taste in an investor鈥檚 mouth. The result from the study showed that male-led startups ended up receiving five times more funding, with promotion-based Q&As receiving $16.8 million in funding, as compared to the $2.3 million raised from prevention-based Q&As.

Female founders can counter this unconscious bias by being aware of the language they use in their responses. Answering in a promotion-based manner is preferable to answering in a prevention-based way. The former tend to include words such as 鈥済rowth,鈥 鈥渁cquire,鈥 鈥減lans,鈥 鈥渢argets,鈥 鈥渕ilestones,鈥 and 鈥渧ision.鈥澨

The best funding type will depend on where you are in your business journey.

Funding a business is not one-size-fits-all. Female founders need to determine what stage the business is, what the goals are, and what the funds are needed for鈥攚hether it be working capital or investment growth.听

Those in the idea or pre-seed funding round, or the stage where startups are trying to get their idea off the ground, might seek the assistance of friends and family. Angel investors, meanwhile, may be tapped for those in the seed funding round, or the phase where the founders are perfecting their product or service.听

Ms. Denholder advised looking at accelerators and rewards-based crowdfunding in the idea stage, and then moving on to venture capital for the later stages.听

鈥淟ook too at competitions and grants programs. Often, you don’t just get money but also a bit of media. You might get mentoring. Those can really help legitimize or boost your business,鈥 she said. 鈥淭hink about it in the longer term. Plan out your funding journey alongside your business plan. If you’ve set goals and you have plans to achieve them, analyze: what money do I need to get there?鈥

Tapping a supportive network will help leverage resources and open doors.

鈥淎t Next Chapter Raise, we built the business around three aspects: community, knowledge, and access to the investment community,鈥 said Ms. Denholder. 鈥淲e’re trying to make female founders feel they can be an equal at the table and navigate the discussions around funding.鈥

She added: 鈥淭here鈥檚 not a lot of female role models out there. It鈥檚 really great to be able to connect women.鈥

This B-Side episode was recorded remotely on Dec. 16, 2021. Produced by听Nina M. Diaz,听Paolo L. Lopez, and听Sam L. Marcelo.

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[B-SIDE Podcast] The sports industry: down but not out /podcast/2021/01/11/338166/b-side-podcast-the-sports-industry-down-but-not-out/ Mon, 11 Jan 2021 10:05:34 +0000 /?p=338166

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Everybody loves a comeback story, where the underdog鈥攂eaten and bruised鈥攚ins it all despite the odds. The sports industry has to recover from a year that saw tournaments canceled and stadiums silent and empty. In this B-Side episode, Rely San Agustin, a sports marketing professional who has been in the industry for more than 20 years, tells 大象传媒 reporter Michael Angelo S. Murillo how sports stakeholders are dealing with the harsh reality that getting fans back into the stands will take time. 鈥淎 bubble setup makes sense,鈥 said Mr. San Agustin. 鈥淪eclusion is needed. You really have to control movement in and out of the venues.鈥

TAKEAWAYS

Last year鈥2020鈥攊s a lost year for sports.

The effects of the coronavirus hit the revenues of various sports leagues, which were forced to shut down to comply with government quarantine, as well as budgets reserved for sports activities and programs.

鈥淲e were taken by surprise by the pandemic, leaving stakeholders scrambling for what鈥檚 next to be done to move forward,鈥 said Mr. San Agustin.

To survive, sports leagues are replicating the 鈥淣BA Bubble.鈥

Sports leagues, such as the Philippine Basketball Association and Philippines Football League went the 鈥渂ubble鈥 way for their activities鈥攁 setup where they had all tournament participants holed up in a specific area for a duration of time to guard against the spread of the coronavirus.

It is proving to be a viable option but requires utmost commitment across all levels to succeed.听

It鈥檚 going to be a long trek back, requiring patience and the ability to adapt.

The sports industry will be among the last to return to normal, which is why stakeholders must use the time they have right now to carefully chart the path they are going to take.

But all is not lost for the sector as there are avenues to take in its return push, including bringing sports entertainment and brands to consumers through a digital approach鈥攇oing online and exploring the potential of e-sports. The role of social media is now more valuable than ever.

It is still wait-and-see for sports but it will recover gradually.听听听

This B-Side episode was recorded remotely in December 2020. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Bang for your buck: how businesses can change the world a dollar at a time /podcast/2021/01/04/336865/b-side-podcast-bang-for-your-buck-how-businesses-can-change-the-world-a-dollar-at-a-time/ Mon, 04 Jan 2021 02:45:24 +0000 /?p=336865

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Jeremy Meltzer, founder of cause marketing platform , explains how brands and consumers can make a difference, a dollar a time.

鈥淐ause marketing鈥 is a term coined in 1983 by American Express to describe its campaign to raise money for the restoration of the Statue of Liberty. American Express donated one cent toward restoring the statue every time someone used its charge card. As a result, the Restoration Fund raised over $1.7 million.

Businesses on i=Change give back a dollar to a specific cause with every sale they make. “Customers understand what a dollar is,” Mr. Meltzer told 大象传媒 reporter Patricia B. Mirasol. “It’s more understandable than ‘we give back 1% of our profit to charity.'”

He added: “Don’t think about how clever you can be. Think about how authentic you can impart your message to your customers.”

TAKEAWAYS

Cause marketing differs from corporate social responsibility.

Corporate social responsibility is an umbrella phrase for how corporations behave and choose policies, guidelines, purchasing practices, and waste management. Mr. Meltzer described it as a broad term that looks at the way businesses are responsible for a whole series of indexes.听

鈥淏usinesses realize they operate as part of a broader community,鈥 he said. 鈥淭o be successful, businesses realize they need a social license to operate. A business can鈥檛 thrive in a community that doesn鈥檛. Cause marketing, on the other hand, is more specifically geared around how brands are giving back to causes hoping to achieve a marketing result.鈥

Authenticity, transparency, and simplicity get your message across.

鈥淐ause marketing hasn鈥檛 been done properly in the past,鈥 Mr. Meltzer said. 鈥淲e set out to reimagine it as an experience for the customer and a solution for the retailer, to make it simple for them to give back and simple for them to integrate [giving back] in the customer experience.鈥

He adds that authenticity is crucial in cause marketing. Brands need to be transparent and support causes that are aligned with their core values, else customers will see through the false ploy.听

鈥淒on’t think about how clever you can be. Think about how authentic you can impart your message to your customers,鈥 he told 大象传媒.

Mr. Meltzer cited as a company that knows how to do cause marketing: 鈥淪imilar to Patagonia, that brand has become synonymous with听 transparency, synonymous with impact, synonymous with being a steward of the community and of the environment.鈥

It鈥檚 easier to understand a dollar than 鈥1% of profit.鈥

Most of the businesses on i=Change to a specific cause with every sale they make. “Customers understand what a dollar is,鈥 Mr. Meltzer explained. 鈥淚t鈥檚 more understandable than 鈥榃e give back 1% of our profit to charity.鈥欌澨

Mr. Meltzer said that being a force for change makes a business relevant, and that both product and purpose have to be part of the new normal. He hopes that more businesses become stewards of the community and the environment and that they would consciously choose to integrate these values with the way they do things.

鈥淲e cannot continue living in a world where profit is the lens in which we measure success. We are all intricately connected to our communities, to our environment, and to the broader world,鈥 he said. 鈥淚t鈥檚 only a lack of vision and imagination and consciousness that prevents us from understanding the importance of that.鈥

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[B-SIDE Podcast] Shipping news: Lessons from UPS /podcast/2020/12/21/335364/b-side-podcast-shipping-news-lessons-from-ups/ Mon, 21 Dec 2020 02:48:25 +0000 /?p=335364

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The disruptions caused by the coronavirus pandemic to global supply chains were unexpected.听听

鈥淭his has really been one of the most challenging times 鈥 in all walks of life,鈥 said Christopher Buono, managing director of UPS Philippines, who has been in the industry for 18 years.

UPS is one of several logistics groups tasked with delivering billions of coronavirus vaccine doses to the world. On top of that, it鈥檚 the holiday season and packages have to be delivered.

For the logistics industry, the new normal means operating in a peak-like environment for the entire year.

In this episode of B-Side, Mr. Buono speaks with 大象传媒 senior reporter Arjay L. Balinbin, and takes stock of this year against the backdrop of the ongoing health crisis.

TAKEAWAYS

Businesses are now rethinking how their supply chains are set up, not just from a cost-efficiency standpoint but also from a resiliency perspective.

鈥淲e鈥檝e even seen their maturity, just in the last eight to nine months, where companies got online, initially in March and April just to stay afloat, just to keep their heads above water鈥 They鈥檝e learned a lot over the last eight months, and they鈥檝e become much more mature as they work to continue to grow,鈥 Mr. Buono said.

To be resilient, he said, businesses should ensure business continuity, which can mean transforming their business model and utilizing digital channels.

Digital tools being made available to businesses help them identify growth opportunities amid the pandemic.

Mr. Buono said technology solutions allow businesses 鈥渢o look at data, tell them where their customers are, and what sort of behaviors they may have online.鈥

For the logistics industry, the new normal means operating in a peak-like environment for the entire year.

UPS alone has gotten more than 600 flights in the second quarter of 2020 and more than 260 in the third quarter to cater to the demand coming out of Asia, Mr. Buono said.

This B-Side episode was recorded remotely on November 27. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Curbing the 鈥榩lastic pandemic鈥 with eco-friendly packaging /podcast/2020/12/14/333856/b-side-podcast-curbing-the-plastic-pandemic-with-eco-friendly-packaging/ Mon, 14 Dec 2020 03:51:41 +0000 /?p=333856

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The is only getting worse during COVID-19, the World Economic Forum (WEF) warned in July. As people continue to stay home to avoid getting the coronavirus, we have also become more dependent on courier services. Unfortunately, more food delivery and e-commerce shopping also mean more plastic packaging.

In this episode of B-Side, Inna Serafin and Nikki Sevilla of tell Mariel L. Aguinaldo about biodegradable packaging alternatives that work just as well as plastic. Ms. Serafin is the strategic sales and marketing director of the eco-friendly packaging marketing and distribution company, Ms. Sevilla is its founder and chief executive officer.听

Quoting the WEF report, Ms. Serafin said: 鈥淚f we are not are careful, short-term thinking during the pandemic could lead to an even larger environmental and public calamity in the future.鈥

TAKEAWAYS

Beware of greenwashing.

While some products banner themselves as being eco-friendly, not all of them are actually biodegradable or compostable. This misleading practice is called 鈥済reenwashing.鈥

Ms. Sevilla founded EcoNest in 2018 after she realized that the only readily available 鈥渆co-friendly鈥 packaging at the time was plastic with plant-based additives mixed in.

鈥淔or us, we want it to be fully plant-based,鈥 she said. EcoNest carries 鈥渃assabags,鈥 bio-bags made from cassava starch, vegetable oil, and compostable polymers. These bags disintegrate in hot water at 80 degrees Celsius. EcoNest also carries Geami honeycomb wrap, which replaces plastic bubble wrap, and sugarcane food trays.

Eco-friendly packaging improves brand image. It also produces a 鈥済reen halo鈥 that gives customers a sense of fulfillment and pride.

鈥淧eople in the Philippines are aware already of plastic pollution,鈥 said Ms. Sevilla. 鈥淎 lot of people would actually support brands or companies that have a sustainability plan or are already making use of eco-packaging. They feel good that they鈥檙e doing what they can in order to protect the environment.鈥

There are other responsible solutions鈥攁side from eco-friendly packaging鈥攖hat companies can and must start using.

鈥淲e can鈥檛 really eliminate plastic from our lives,鈥 said Ms. Serafin, who pointed out that single-use plastics like surgical masks are crucial during the pandemic. The greater the need, then, to implement sustainable solutions where possible. 鈥淪ustainability will dictate how businesses operate in the future,鈥 said Ms. Serafin.

鈥淲e are already at a climate crisis and it鈥檚 about time that we act on it鈥 added Ms. Sevilla. 鈥淪tart somewhere: segregation, recycling鈥攖here are a lot of solutions already within reach.鈥

This B-Side episode was recorded remotely on November 18. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Weathering the storm: how to protect the farming sector from typhoons /podcast/2020/12/07/332550/b-side-podcast-weathering-the-storm-how-to-protect-the-farming-sector-from-typhoons/ Mon, 07 Dec 2020 09:42:35 +0000 /?p=332550

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Typhoon season isn鈥檛 over. Before 2020 finally says goodbye, two to three more storms could make landfall and wreak havoc on a country that鈥檚 already been battered by storm after storm after storm.听

The Department of Agriculture (DA) estimates that the farming sector incurred losses worth P6.72 billion from Typhoon Ulysses alone.

Raul Q. Montemayor, national manager of the Federation of Free Farmers, talks about the impact of these natural calamities on Filipino farmers and how to protect them. Mr. Montemayor gives 大象传媒 reporter Revin Mikhael D. Ochave a crash course on the effects of the Rice Tariffication Law and what the agriculture sector will look like, moving forward.

TAKEAWAYS

Farmers need data and support that is location-specific in order to increase their preparedness and resiliency.

The DA has to translate data from the Philippine Atmospheric, Geophysical and Astronomical Services Administration into localized information that is useful to farmers. In addition to knowing when it’s going to rain, where, and how much, farmers need to know if the amount of expected rain is too much or too little for a certain crop at a certain stage of planting, said Mr. Montemayor.听

鈥淭he needs of communities and farming areas are different,鈥 he said.

Agriculture may not be the bright spot that the DA is making it out to be.

鈥淚鈥檓 not surprised that agriculture had positive growth. We are comparing [2020] to 2019, which was a drought year,鈥 Mr. Montemayor said, who characterized the reported growth as 鈥渄eceptive.鈥 He added: 鈥淲e are just back to where started. I don鈥檛 call that a big achievement.鈥

According to Mr. Montemayor, the DA tends to oversell its achievements: 鈥淥ur impression is that they [the DA] have a lot of hype in mass media, in public statements, but compare that with the feedback we get from the field, it is not the case.鈥澨

The Rice Tarrification Law could become a political issue in the next election.

鈥淚t鈥檚 growing鈥攖he sense of desperation and the disappointment in the government,鈥 said Mr. Montemayor, who wants stronger language on safeguards for farmers; the return of licensing as a better way to manage imports; and the clarification of the role of the National Food Authority.

鈥淵ou go to the field, it鈥檚 all the same. It鈥檚 the same problems and, to some extent, even worse problems now than before. I鈥檓 a little bit pessimistic,鈥 said Mr. Montemayor.

This episode was recorded remotely on November 17. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] The future of consumption (a fireside chat from the 大象传媒 Virtual Economic Forum) /podcast/2020/12/01/331549/b-side-podcast-the-future-of-consumption-a-fireside-chat-from-the-businessworld-virtual-economic-forum/ Tue, 01 Dec 2020 03:24:22 +0000 /?p=331549

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On November 25 and 26, 大象传媒 held a two-day virtual economic forum with the forward-looking theme 鈥淔orecast 2021: ReBoot. ReThink. ReShape.鈥澨

The event gathered over 40 local and international speakers who discussed the great economic reset as well as the future in a post-COVID era.

B-Side is sharing excerpts from the forum, beginning with this fireside chat between Satish Shankar, regional managing partner for Bain and Company, Asia-Pacific, and Sam L. Marcelo, 大象传媒 multimedia editor.


Over the course of this public health crisis, we鈥檝e witnessed changes in consumption, specifically further shifts to essential goods and digital services.听

Nevertheless, consumption will contribute to growth in Southeast Asia, as Bain & Company estimates that the region will generate a total of US$4 trillion in terms of consumption in the next decade.听

In order to unlock the region鈥檚 full potential, it is encouraged that stakeholders ensure efficient and effective recovery from COVID-19, focus on talent development and socio-economic inclusion, upgrade infrastructure to support urbanization and resource management, and push for open and integrated regulation, with a hyper-local approach.

This episode was recorded remotely on November 26. Produced by听Nina M. Diaz,听Paolo L. Lopez, and听Sam L. Marcelo.

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[B-SIDE Podcast] If it’s too good to be true, it probably is: Debunking fake COVID facts /podcast/2020/11/23/330226/b-side-podcast-if-its-too-good-to-be-true-it-probably-is-debunking-fake-covid-facts/ Mon, 23 Nov 2020 03:18:57 +0000 /?p=330226

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Fake COVID-19 cures and preventive measures are proliferating online, in chat groups and social media. Bananas, saltwater, and onions have all made the rounds as coronavirus remedies (which they aren’t).

As the world waits for an effective vaccine against the virus, netizens may fall prey to these fake stories and forward them.

, a Filipino science news and features website, has contributed to the 鈥淐OVID-19 fake fact debunking鈥 movement in the country.

FlipScience co-founder Mikael Angelo Francisco tells 大象传媒 reporter Angelica Y. Yang how citizens can identify and debunk fake news about the virus.

TAKEAWAYS

Be wary of bold headlines.

The anatomy of a fake news story begins with a bold headline, such as 鈥淏ananas prevent coronavirus.鈥澨

Another component is the lack of any scientific evidence or cherry-picked lines from studies, said Mr. Francisco. He added that independent websites are usually the culprits in spreading these stories, but well-meaning people who don鈥檛 do enough research can also unknowingly spread misinformation among family and friends via social media or online chat groups.

On rare occasions, big news establishments can also publish a fake news story. 鈥淛ust because it鈥檚 viral, doesn’t mean you can trust it,鈥 Mr. Francisco said.

If it鈥檚 too good to be true, it probably is.

Mr. Francisco suggested that netizens take these three steps whenever they get a forwarded message:

  • Assess whether the story seems too good to be true.听
  • Think about what the piece is really saying.
  • Look for studies that support or debunk those claims, or ask an expert.

鈥淲hen you find something that sounds too good to be true鈥攊f it鈥檚 like a magic cure for COVID-19, or something that 鈥榯he doctors don’t want you to know about鈥欌攖hat should raise some red flags already,鈥 he said.

Instead of passively consuming these stories, one must be critical.

鈥淔or example, going back to the advice that bananas can protect you from the COVID-19, you should think back and try to reflect on what you know about bananas. Have they ever been prescribed as a cure for any respiratory illnesses or diseases?鈥 he said.听

The last step is reading scientific studies or asking an expert to verify the claims. 鈥淚f you can’t find any reliable source that reaffirms that advice or proves that it’s true, it’s probably false,鈥 Mr. Francisco said.

Recorded remotely on November 13. Produced by听Nina M. Diaz,听Paolo L. Lopez, and听Sam L. Marcelo.

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[B-SIDE Podcast] Selling it: Lessons in cross-border e-commerce /podcast/2020/11/16/328944/b-side-podcast-selling-it-lessons-in-cross-border-e-commerce/ Mon, 16 Nov 2020 03:08:09 +0000 /?p=328944

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, a Singapore-based automation and logistics platform, projects that cross-border e-commerce in the Asia-Pacific region will grow to US$ 1.5 trillion by 2023. The Southeast Asian market鈥攚hich has the highest number of young people with Internet access鈥攊s expected to account for 40% of this trajectory.

Vaibhav Dabhade, founder and CEO of Anchanto, tells 大象传媒 reporter Patricia B. Mirasol how local micro, small, and medium enterprises or (MSMEs) can compete against established brands in the online marketplace.

鈥淵ou are one product out of millions,鈥 Mr. Dabhade said. 鈥淯nless and until you optimize your catalog, unless and until you create specific marketing campaigns, your chances of getting visible without effort is almost zero.鈥

TAKEAWAYS

Cross-border sellers have to adopt local payment methods.听

Cross-border e-commerce has been here for more than 15 years, with Alibaba being the pioneer. Buyers used to pay for their purchases upfront before Lazada pioneered the cash-on-delivery (COD) model. COD has propelled acceptance of cross-border e-commerce in Southeast Asia.

Marketplaces are creating models to minimize the impact of last-mile delivery costs.

Business has been challenged with the heavy cost of last-mile delivery amid the pandemic. According to Mr. Dabhade, limited flights have tripled the cost of shipping from the UK to Malaysia as of October 2020. To minimize the impact of such costs, companies and marketplaces are delivering products via the postal system, which is slower but cheaper.听

MSMEs need structural support.

Mr. Dabhade cited Singapore and South Korea as countries that can be used as models: Singapore provides access to consultants in content, marketing, and pricing while South Korea identifies organizations with global infrastructure that can help MSMEs sell their products overseas.

This level of support is vital because MSMEs get excited about the prospect of e-commerce only to get demotivated after months without sales. 鈥淵ou are one product out of millions,鈥 said Mr. Dabhade. 鈥淯nless and until you optimize your catalog, unless and until you create specific marketing campaigns, your chances of getting visible without effort is almost zero.鈥

Philippine import and export guidelines remain unclear.

鈥淭he Philippine market is very similar to India,鈥 Mr. Dabhade said. 鈥淚mport and export is difficult鈥 cargo is stuck at customs so sellers get despondent.鈥

The Filipino diaspora is a market just waiting to be tapped.听

Wherever there are Filipinos, there are stores selling Philippine-made products. These products can be optimized, but there is no structure for this as of yet, said Mr. Dabhade.

Study the market you鈥檙e planning to serve.

Entrepreneurs need to spend time to understand the main commerce restrictions of each country they plan to serve.听

Anchanto had a client whose skincare product description included the line: 鈥淭ested on Asian skin.鈥 The product, which was shipped to Canada, got stuck in customs because the language was deemed borderline discriminatory. Knowing what鈥檚 acceptable and what鈥檚 not per region will prevent your products from getting flagged at the outset, said Mr. Dabhade.

Other tips he offered are: choosing a strong payment gateway; and making the fulfillment terms and conditions clear to minimize fraudulent transactions.

Recorded remotely on October 14. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Are you okay? Treating the workforce as human beings, not just human resources /podcast/2020/11/09/327492/b-side-podcast-are-you-okay-treating-the-workforce-as-human-beings-not-just-human-resources/ Mon, 09 Nov 2020 02:32:17 +0000 /?p=327492

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The eight-month lockdown, one of the longest in the world, has kept much of the country鈥檚 workforce at home. Separation from colleagues, coupled with fears of the virus, has raised the level of anxiety among the working population.听

Nikki Vergara, co-founder and chief well-being officer of Positive Workplaces, a training and consultancy organization, tells 大象传媒 reporter Jenina P. Iba帽ez what individuals and companies can do to promote psychological well-being in the workplace (whether that means the office or the home).听

TAKEAWAYS

The absence of mental illness is not the same as mental health.

Those who feel unable to function normally should be given access to psychology professionals that can help.听

This is particularly important because Filipinos are now experiencing additional stressors鈥攕uch as worries about their health and the government鈥檚 response to the virus鈥攚hile having fewer ways to cope because of the lockdown.

鈥淪ocial ties help us cope with the most difficult parts of life. In the past, we could rely on hanging out with each other,鈥 said Ms. Vergara.听

Workers have different ways of coping with a work-from-home environment.

Workers at home have been staying in the same space throughout the day, blurring the lines between their job and other parts of their lives.

The biggest complaint among employees, said Ms. Vergara, is that 鈥減eople are unable to stop working. Citing a Google study, she advised knowing what kind of person you are鈥?听

Segmentors distinguish work hours from leisure time while intergrators switch back and forth throughout the day. The former must identify and communicate specific hours reserved for work, while the latter must ensure they get enough reset.

Companies must then measure the well-being of their employees and be aware of the well-being issues among their workforce. If the lockdown has removed positive reinforcement measures from the company, the organization must find new ways to commend their employees.

Managers must be open to feedback, intentional about praise.

Filipino workers are inclined to work hard despite low salaries or hard conditions because they are afraid to lose their jobs. They are also hesitant to talk about their needs to sustain mental health and offer feedback about tasks, especially given a hierarchical workplace.

Managers must be open to getting feedback from employees, especially because they need to find out if the tasks they assign are doable given the pandemic.

鈥淚n uncertainty, two-way feedback is important,鈥 Ms. Vergara said, adding that managers should rethink the way they reassure employees. 鈥淐omplimenting is no longer the natural thing. Under lockdown, managers should be more intentional about praise.鈥

Recorded remotely on October 22. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Duterte鈥檚 鈥榙ual-track approach鈥 to China, and why it won鈥檛 work /podcast/2020/11/03/326491/b-side-podcast-dutertes-dual-track-approach-to-china-and-why-it-wont-work/ Tue, 03 Nov 2020 00:44:19 +0000 /?p=326491

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It is a mistake for the Duterte administration to think that it can separate its maritime dispute with China from issues like trade, investment, and official development assistance, said International Studies Professor Renato Cruz De Castro, a trustee and convenor of the National Security and East Asian Affairs Program of the Stratbase ADR Institute.

At the United Nations General Assembly this September, 大象传媒 reported that 鈥淧resident Rodrigo R. Duterte gave his most forceful defense of a 2016 United Nations (UN) ruling favoring the Philippines in a sea dispute with China, in a move that could signal the end of friendly ties with its neighbor.鈥澨

This October, Mr. Duterte, changed his tone in one of his recent COVID-19 addresses and reiterated that the Philippines wants to strike a government-to-government deal with China for COVID-19 vaccines.

This compartmentalizing strategy, which Mr. De Castro calls the 鈥渄ual-track approach,鈥 won’t work with China.听

鈥淐hina doesn鈥檛 play that game,鈥 he tells 大象传媒 reporter Gillian M. Cortez. 鈥淐hina is a traditional big power; it will act like any big power. It will never deal with us [the Philippines] in an equitable manner.鈥

TAKEAWAYS

Duterte鈥檚 policy toward China is a 鈥榩olicy of appeasement.鈥

鈥淗e [Mr. Duterte] distanced the Philippines from the United States and pushed the Philippines to the waiting arms of China,鈥 said Mr. De Castro, who cited the current administration鈥檚 concessions to China and the delays in the US-Philippine Enhanced Defense Cooperation Agreement, which the Aquino administration signed in 2014. 鈥淭he very essence of President Aquino鈥檚 foreign policy of challenging China was unraveled by his successor, President Duterte.鈥

鈥楥hina will literally run over us.鈥

Multiple surveys show that the majority of Filipinos do not trust China. 鈥淵our neighbors are not usually your best friend,鈥 said Mr. De Castro, who characterized China as an expansionist power intent on dominating Asia.听听

鈥淲hen China thinks its territorial integrity is being undermined, China will throw everything off the table,鈥 he said. 鈥淟et鈥檚 not fool ourselves. China has a goal鈥攖hat鈥檚 maritime expansion. If we happen to be in its path, China will literally run over us.鈥

An international ruling has to be enforced by countries that have a stake in it.

In an online briefing, Presidential spokesman Harry L. Roque said: 鈥淵ou do not enforce an arbitral ruling 鈥μ The assumption in international law is that all countries will comply with their international obligations particularly with the arbitral award because it freely consented to the jurisdiction of the arbitral tribunal.鈥

Mr. Roque was wrong, said Mr. De Castro. 鈥淚nternational law has to be enforced,鈥 he said. 鈥淎ll naval powers have an interest in the ruling because they don鈥檛 want to see the South China Sea transformed into a Chinese lake.鈥澨

Mr. Roque鈥檚 interpretation, he continued, is 鈥渁 justification for inaction, which the Duterte administration is known for when it comes to the West Philippine Sea.鈥

There are three things that the Duterte administration can do right now, according to Mr. De Castro:

  • The Philippines can file its extended continental shelf claim in the West Philippine Sea.听
  • The Philippines can enforce鈥攏ot just acknowledge鈥攖he arbitral ruling.
  • The Philippines can organize an international coalition of countries that have an interest in enforcing the ruling.

Recorded remotely on October 14. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Bend, don鈥檛 break: business lessons from bamboo /podcast/2020/10/26/324933/b-side-podcast-bend-dont-break-business-lessons-from-bamboo/ Mon, 26 Oct 2020 03:11:07 +0000 /?p=324933

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The COVID-19 pandemic wiped out 80% of the revenue of , a socio-ecological enterprise that handcrafts bamboo bicycles. Prior to the lockdowns, Bambike was renting out thousands of bikes a month for its , which won the company a Tripadvisor award in March. Bambike founder Bryan Benitez McClelland tells 大象传媒 reporter Patricia B. Mirasol how the company is bouncing back. 鈥淏e resilient like the bamboo,鈥 he said.

TAKEAWAYS

Recognize the value of your assets.

When Bambike鈥檚 city tours evaporated, Mr. McClelland realized that he could turn his idle fleet of bamboo bikes into who were having trouble getting to work because of the lockdowns.听听

Bicycles are enjoying a growing acceptance among a populace long burdened by poor public transport. Bambike has pivoted from conducting tours to selling bikes to customers. While operations are still not back to pre-pandemic levels, Bambike nonetheless finds itself fortuitously positioned in a growth market.听

鈥淵our business plan is never executed exactly as you wrote it鈥 We鈥檙e very fortunate to be positioned in a growth market. We are able to survive now,鈥 he said.

The future of transportation is electric.

Bambike began producing e-bikes during the pandemic. Capable of covering longer distances with less pedaling power (and less perspiration), e-bikes get people around without emitting carbon. Bambike offers a range of e-bikes, from 500-watt commuter kits for easy cruising to 1,500-watt turbo kits for long distances to 3,000-watt hauler kits for extra power.听

鈥淲e鈥檙e making sure we鈥檙e doing the right thing for people and the planet as we become part of the new green economy and the next normal,鈥 said Mr. McClelland.听

Support local.

Mr. McClelland makes a case for supporting MSMEs like Bambike instead of hopping on e-commerce platforms and importing goods. 鈥淭here鈥檚 a lot to be said about still purchasing things from the palengke, or going to the small shops, or finding the entrepreneurs that just opened their online stores and are trying to continue to make a living,鈥 he said.听 鈥淲e should always look to buy Filipino first. It will pay off in the long run.鈥澨

Be like bamboo.

This year is going to be 鈥渁 year of survival, tenacity, and grit,鈥 according to Mr. McClelland, who considers Bambike to be a customer service company at heart and counts on his team to adjust to the needs of the times, whether it鈥檚 by touring clients or selling bikes. 鈥淭he goal is to keep all people employed and pull through together,鈥 he said. 鈥淏e resilient like the bamboo, where you bend but you stay strong and stay firm throughout the challenging times.鈥澨

Recorded remotely on October 1. Produced by听Nina M. Diaz,听Paolo L. Lopez, and听Sam L. Marcelo.

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[B-SIDE Podcast] At home yet unsafe: lockdowns are worsening online sexual exploitation of children /podcast/2020/10/19/323415/b-side-podcast-at-home-yet-unsafe-lockdowns-are-worsening-online-sexual-exploitation-of-children/ Mon, 19 Oct 2020 03:49:42 +0000 /?p=323415

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Online sexual exploitation of children (OSEC) is a crime that often happens at home at the hands of family, the very people who are trusted the most by the victims of this horrible crime.

This episode jumps off from a report from the Anti-Money Laundering Council on the surge of online child pornography transactions during the lockdown.听 Reynaldo Bicol, Manila field office director of the International Justice Mission, tells 大象传媒 reporter Luz Wendy T. Noble why the Philippines is a global hotspot for this crime, how the pandemic is making it worse, and what we can do about it.

TAKEAWAYS

The Philippines is an OSEC hotspot for three reasons: English language proficiency;听 widespread Internet access and cheap gadgets; and a robust money remittance infrastructure.听

English proficiency, which has long made the Philippines the darling of the Business Outsource Processing (BPO) sector, also makes it easier for traffickers to communicate with customers from Western countries.听

Internet penetration in the Philippines, as of January 2020, is at , with . According to an IJM report, most traffickers or searchable web (as opposed to the Dark Web).听

Finally, a robust remittance infrastructure鈥攂irthed by the Philippine economy鈥檚 reliance on overseas Filipino workers鈥攁lso facilitates transactions with offenders, who are, as mentioned, from Western countries.

While there are laws in place, the government needs to further invest in its capacity to attend to the needs of the children.

鈥淲hat is needed really is the implementation of these laws,鈥 said Mr. Bicol, of the already existing laws that protect children from OSEC: there鈥檚 Republic Act No. 9208, or the Anti鈥揟rafficking Persons Act; Republic Act No. 9775, or the Anti鈥揅hild Pornography Act; and Republic Act No. 10175, or the Cybercrime Prevention Act of 2005.听

There is a big gap in the aftercare services for survivors of OSEC.

Each survivor has his/her own unique story of abuse of exploitation which has given them massive trauma. Recovery is mapped out according to individualized intervention plans鈥攖here鈥檚 no uniform timeline or exact formula to restore them.

Where we can improve: finding safe placement facilities and families willing to take care of victims through a foster care system; enrolling victims into comprehensive mental healing programs that will help them with their trauma; and helping these children gain life skills to prepare them for their eventual reintegration into the community.

鈥淎s the saying goes, it takes a community to protect a child,鈥 said Mr. Bicol.

Recorded remotely on October 2. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Resparking your business: tips from seven entrepreneurs /podcast/2020/10/12/322118/b-side-podcast-resparking-your-business-tips-from-seven-entrepreneurs/ Mon, 12 Oct 2020 02:58:21 +0000 /?p=322118

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Patrick 鈥淧atch鈥 Dulay,听 co-founder of local crowdfunding platform , is turning a series of webinars into a book titled Respark, which collects tips on restarting a business amid uncertain times.

Seven years after he set up the crowdfunding platform, Mr. Dulay has come full circle: he posted the book he鈥檚 been working on , hoping it gets published with the help of the community he helped create in 2013.

In this episode, the first-time author gives 大象传媒 reporter Patricia B. Mirasol a rundown of Respark.

TAKEAWAYS

Helpful knowledge must be shared.

The book sprang from a desire to share the knowledge Mr. Dulay learned through the webinars and virtual conferences organized by The Spark Project to help creatives and entrepreneurs survive the pandemic.

鈥淚 was fortunate enough to pick the brains of our resource persons. I thought, 鈥sayang naman [it鈥檚 a shame] if the things I learned just stayed in these webinars,鈥欌 he said.

Businesses need to go back to the basics and define what is essential鈥μ

In Respark, Mr. Dulay picks the brains of seven entrepreneurs. ECHOstore founder Pacita 鈥淐hit鈥 U. Juan talks about having an entrepreneurial mindset as well as the openness to accept what is. Life coach Kitty Ferreria notes the importance of pausing and advises against rushing into new beginnings. Gino Borromeo, SM Supermalls vice-president of strategy and development, meanwhile, recommends that brands communicate being helpful, useful, and uplifting. He also suggests defining what is essential right now.

鈥淭he silver lining of this pandemic is that it gives us the opportunity to distill the way we do things to its core. It鈥檚 about going back to our values and vision,鈥 Mr. Dulay said.

…even as they need to continue to deal with the nitty-gritty of daily operations.听

Lofty ideals must be paired with effective and practical action. In Respark, ATBP Co. partners Pinky Poe and Vini Salonga unpack tips on the necessary evil that is financial management. Limitless Lab Chief Executive Officer Joie Cruz shows how design thinking can create new processes. Shirt.ly co-founder James Fernando rounds things up with tips on maximizing technology to bring businesses to the new e-commerce frontier.

Recorded remotely on September 25. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Love in the time of corona(virus): pandemic brides /podcast/2020/10/05/320749/b-side-podcast-love-in-the-time-of-coronavirus-pandemic-brides/ Mon, 05 Oct 2020 02:58:11 +0000 /?p=320749

The COVID-19 pandemic has stripped away a lot of what we expect from weddings: the pageantry, the ceremony, the large number of guests. Bridal designer Patricia 鈥淧atty鈥 Pascual and 大象传媒 reporter Joseph L. Garcia talk about love in the time of corona.听

TAKEAWAYS

There are two kinds of brides: practical and optimistic.

Amid the pandemic, Ms. Pascual has met two kinds of brides: the practical ones who take advantage of discounts offered by suppliers and get married in intimate ceremonies鈥攚ith guests participating via Zoom;听 and the optimistic ones, who believe in their hearts that they鈥檒l have the wedding of their dreams in 2021.

In terms of design, bridal gowns are going minimalist while face masks are statement pieces.

Fully beaded ball gowns with full skirts and detachable long trains are out. 鈥淲e鈥檙e into delicate silhouettes that are very modest,鈥 said Ms. Pascual. To make a statement, brides can choose from custom face masks. 鈥淚t鈥檚 the new accessory during weddings,鈥 said Ms. Pascual, who offers face masks bedazzled with Swarovski crystals. 鈥淵ou鈥檙e still sparkling on your wedding day.鈥

(Grooms, don鈥檛 fret: Ms. Pascual can match your mask to your suit.)

Push through with your wedding鈥攂ut follow health protocols鈥擬s. Pascual recommends.听

鈥淓verything is discounted,鈥 she reasoned, adding that a guest list of under 10 persons鈥攊n keeping with community quarantine guidelines for social gatherings鈥攚ill also cut costs. 鈥淚鈥檓 a very practical designer.鈥澨

And if you鈥檙e an optimistic bride holding out for your dream wedding? 鈥淐ontinue with your planning, don鈥檛 stress yourself鈥攜ou need to be healthy on your big day,鈥 said Ms. Pascual.

Recorded remotely on September 25. Produced by听Nina M. Diaz,听Paolo L. Lopez, and听Sam L. Marcelo.

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[B-SIDE Podcast] Warehousing and logistics: a bright spot in an otherwise battered economy /podcast/2020/09/21/318042/b-side-podcast-warehousing-and-logistics-a-bright-spot-in-an-otherwise-battered-economy/ Mon, 21 Sep 2020 02:16:44 +0000 /?p=318042

Thanks to e-commerce and changing consumer habits, the logistics and warehousing sector still expects to grow by 8% in the next three years despite the pandemic. This is a bright spot in an otherwise battered economy that dropped by 16.5% in the second quarter.

Sheila G. Lobien, CEO of property consultancy firm Lobien Realty Group, speaks with 大象传媒 reporter Denise A. Valdez about the impact of new consumer patterns on the future of the industry, and how the Philippines compares with the rest of Southeast Asia鈥8% growth is good, but that rate is slower when compared to the likes of Vietnam. Ms. Lobien shares insights on what the country has to do to get a bigger slice of the warehousing pie.

TAKEAWAYS

E-commerce and the demand for essentials鈥攆ood or medical goods鈥攊s driving the logistics and warehousing sector, which continues to grow despite a general drop in real estate demand during the pandemic.

鈥淭he warehousing industry is one of the luckiest sectors,鈥 said Ms. Lobien, who added that the pandemic has sped up the growth of the logistics and warehousing industry.

To maximize the potential of the logistics and warehousing industry, government must make good on its 鈥楤uild, Build, Build鈥 projects.

Due to limited space in Metro Manila, rental rates in Central Business Districts have increased to P1,000/square meter from about half that price two years ago.听

Big players such as Ayala Corp. and SM Prime Holdings are eyeing building warehousing facilities outside Metro Manila. Cavite, Bulacan, and Laguna are ideal locations since they are accessible, flood-free, and near the center.听

For warehouse operators to locate in the provinces, they need better infrastructure to ensure the seamless transfer of goods.

The Philippines鈥檚 logistics and warehousing sector still has a lot of room to grow to level with its regional peers.

Local demand is fueling the growth of the logistics and warehousing industry. The 8% growth rate cited by Ms. Lobien is slower compared to, say, Vietnam鈥檚 warehousing industry, which is booming thanks to government support, lower cost of utilities, better road networks, and low COVID-19 numbers.听

To catch up, the Philippines must address red tape, port congestion, and the sorry state of the country鈥檚 roads. The government must also step up its response to the worst COVID-19 outbreak in Southeast Asia.

Meanwhile, warehouse operators have to adapt to e-commerce and employ artificial intelligence and robotics to make the transfer of goods faster.

Recorded remotely on September 3. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

 

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[B-SIDE Podcast] The 鈥榥ew poor鈥 created by the COVID-19 pandemic /podcast/2020/09/14/316506/b-side-podcast-the-new-poor-created-by-the-covid-19-pandemic/ Mon, 14 Sep 2020 03:12:54 +0000 /?p=316506

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A million-and-a-half Filipinos could fall into poverty because of the pandemic, according to a discussion paper titled 鈥淧overty, the Middle Class, and Income Distribution amid COVID-19,鈥 co-authored by Dr. Jose Ramon G. Albert, a senior research fellow at the Philippine Institute for Development Studies.听

In this study, a million-and-a-half Filipinos creating a new kind of poor is neither the best- nor worst-case scenario. It鈥檚 midway, where income declines by 10%.听

Mr. Albert explains the simulations and scenarios he and his co-authors ran to arrive at their numbers. He tells 大象传媒 reporter Beatrice M. Laforga that the government鈥檚 emergency subsidy programs minimized the pandemic鈥檚 impact on poverty. Without financial aid, he said, 5.5 million Filipinos could have been pushed into poverty.

TAKEAWAYS

Economic recovery depends on the government鈥檚 ability to promote the proper environment for businesses to flourish.听

Investing in human capital is the most critical element to the Philippines鈥 ability to bounce back from the economic contraction, Mr. Albert said.

The paper elaborates on this point:听 鈥淭here is a lot of room not only for improving the health system, but also the entire system for formal education and learning. The latter is important to prepare the workforce, especially the poor and low income, for possible consequences of changes in the entire economy, whether among big businesses or micro-small-and-medium enterprises (MSMEs), triggered by the pandemic. While government is working toward a stimulus package in the neighborhood of 10 percent of GDP, it will have to find a proper balance for supporting businesses, i.e. selected large firms, say in the aviation industry, as well as MSMEs, especially given that the concentration of the country鈥檚 workforce is in MSMEs.鈥

The state of the country鈥檚 ICT (Information and communications technology) infrastructure has to be improved. Online access will allow Filipinos to maximize digital platforms and create new markets.

鈥淕overnment has not advocated the use of digital solutions,鈥 said Mr. Albert.

According to the discussion paper, the pandemic has highlighted the 鈥済laring digital divide鈥 across income classes. 鈥淕overnment has to seriously strengthen digitalization efforts, improve access to and cost of technology, especially the internet, that can help not only citizens but firms retrofit in the midst of current uncertainties,鈥 the authors recommended.

Poverty reduction should be at the heart of the country’s development agenda. No one should be left behind.

鈥淭he government and all Filipinos should ultimately ensure that the poor are at the center of policy attention, especially given all the reduced economic activities from COVID-19 and the likely undercounts of COVID-19 infection among the poor, who do not have the luxury to seek health care, and for whom 鈥榳ashing hands鈥 is also a luxury (as they have no access to safe water and safe sanitation services). The poor, as well as certain other non-poor groups, are vulnerable from both the public-health challenges of the COVID-19 and the economic consequences of efforts to contain the virus,鈥 wrote Mr. Albert and his co-authors in 鈥淧overty, the Middle Class, and Income Distribution amid COVID-19.鈥澨

Recorded remotely on September 1. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] The government has failed us 鈥 students /podcast/2020/09/07/315164/b-side-podcast-the-government-has-failed-us-students/ Mon, 07 Sep 2020 03:24:07 +0000 /?p=315164

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The Duterte administration deserves a failing grade for its preparations for the upcoming academic year, says student leader Raoul Manuel. In this episode, Mr. Manuel, president of the National Union of Students of the Philippines (NUSP), lists the union鈥檚 primary demands for the safe reopening of classes amid the COVID-19 pandemic.听

Naging insensitive at para bang nagde-daydream ang ating gobyerno 鈥 pinagpipilitan niya through its press conferences at iba-ibang mga briefings na siya ay handa. Hindi niya nire-represent ang hinaing at pangamba ng mga guro at mga estudyante at kanilang mga magulang sa pagsisimula ng school year,鈥 Mr. Manuel tells 大象传媒 reporter Adam J. Ang. (鈥淥ur insensitive government has been daydreaming 鈥 it insists through its press conferences and briefings that it’s ready for the start of the school year. It doesn’t represent the fears and anxieties of the teachers, students, and parents.鈥)

TAKEAWAYS

Resources and settling school fees are the top concerns of students as the Philippine education system heads towards the new normal in the upcoming academic year

Energy and Internet fees should be deducted from tuition, said Mr. Manuel, who said that these charges become unnecessary if distance learning is instituted.听

Government, he added, should provide鈥攐r at least subsidize鈥攄evices such as laptops or tablets, and routers.

Maintaining a numeric grading scheme 鈥榠sn鈥檛 realistic鈥

Given the pandemic and the distance learning scheme, Mr. Manuel believes that schools should shift to a pass-or-fail grading system, which, he says, is more compassionate.听

The Department of Education has already rejected this suggestion, despite the urging of students and teachers.

Still, Mr. Manuel believes that maintaining a numeric grading system and the usual attendance policies 鈥渋sn鈥檛 realistic.鈥

The Duterte administration deserves a failing grade for its preparations for the upcoming academic year

The pandemic has exposed the long-standing ills of the country鈥檚 educational system, according to Mr. Manuel.

Resuming in-person classes will be difficult given that a classroom can hold as many as 60 students at a single time. 鈥Matagal na nating pinapanawagan na dagdagan ang mga classrooms,鈥 Mr. Manuel said. (鈥淲e have long been asking for more classrooms.鈥)

He added that the government should improve its capacity to provide free and accessible education.

Recorded remotely on August 15. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Biking the city /podcast/2020/09/01/313999/b-side-podcast-biking-the-city/ Tue, 01 Sep 2020 02:25:25 +0000 /?p=313999

When public transportation was suspended to prevent the spread of the coronavirus, people turned to biking as a means of getting from one place to another.

Thousands of bikes were donated to frontliners and essential workers who initially were walking to work. This June, bike lanes popped up along EDSA, the busiest highway in Metro Manila.

Bike commuters like Karen Sison hope that this is the beginning of a bike revolution. Ms. Sison is a member of , a group that describes itself as 鈥渁 happy collective of cyclists who have gotten tired of just waiting and ranting about how unhappy our local biking conditions can be.鈥

Ms. Sison tells 大象传媒 reporter Patricia B. Mirasol what kind of infrastructure Metro Manila needs to become a bike-friendly city. Bikes are “the most accessible, sustainable, and responsible mode of transportation,” she added, making a case for integrating bikes with buses, jeeps, and trains in a bi-modal transportation system.

TAKEAWAYS

Cities should be designed with people, not cars, in mind.听

The Philippines is a car-centric society and it shows in our infrastructure. Decision-makers should rethink urban design and put people at the center. Aside from being more walkable, cities planned with people in mind have a dedicated network of bike lanes and reliable mass transit.

Bicycles complement鈥攏ot replace鈥攐ther forms of public transport.

Bicycles aren鈥檛 meant to replace public transportation. Cycling complements mass transit 鈥 buses, jeeps, trains 鈥 in a bi-modal transportation system.听

Cycling is the most accessible, sustainable, and responsible mode of transportation.

Anyone can get a secondhand bike for P2,500. A bike is easier 鈥 and cheaper 鈥 to maintain than a car, and it has a lower carbon footprint.听

When buying a bike, remember that it isn鈥檛 one-size-fits-all.

A few factors to consider when buying a bike: who will use it (the measurements of the bike should be appropriate for the build of its owner), where it will be used (road bikes are different from mountain bikes are different from commuter bikes), and how much load it will carry.听听

This episode was recorded remotely on August 13. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Moving on, moving forward: Logistics and supply chain management during the lockdown /podcast/2020/08/24/312578/b-side-podcast-moving-on-moving-forward-logistics-and-supply-chain-management-during-the-lockdown/ Mon, 24 Aug 2020 02:50:04 +0000 /?p=312578

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After several months, the coronavirus pandemic is still wreaking havoc on supply chains. Rosemarie P. Rafael, chair and president of express courier company Airspeed Philippines, tells reporter Arjay L. Balinbin what kind of commodities are moving, and what kind of technological innovations are changing the logistics industry.

TAKEAWAYS

On-demand delivery aggregators are doing well. Institutional mailers and traditional companies that depend on import/export are not.

The fate of a logistics company amid the pandemic depends on what kind of commodities they deliver. Those who deliver food and groceries have been in demand because of the lockdown while those in the traditional forwarding business have suffered due to the grounding of flights, which have limited their capacity.

The increasing number of players in the last-mile delivery space has sparked an unsustainable price war.

鈥淚t will not last,鈥 said Ms. Rafael of the said price war among competitors. 鈥淥perational excellence has to be there. That cannot be supported if we do not price our service right.鈥

The logistics industry, like every other industry, is using technology to become as contactless as possible.

Ms. Rafael enumerated contactless payments, interbank transfers, and acronyms such as BOPIS (buy online, pick-up in store) and BOPUC (buy online, pick up curbside) as ways of reducing points of contact. 鈥淲hat we used to do is being transformed,鈥 she said, adding that track-and-tracing of packages is intact without having to do manual work.

Online shopping is a bright spot for the logistics industry.
鈥淥ne thing that I know: Online shopping will be there. And when there is online shopping, there is going to be delivery,鈥 said Ms. Rafael.


Recorded remotely on August 13. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-Side Podcast] Looking for a job in a down market /podcast/2020/08/17/311432/looking-for-a-job-in-a-down-market/ Mon, 17 Aug 2020 04:08:31 +0000 /?p=311432

The latest official labor data showed that the jobless rate shot up to double-digits, as millions of Filipinos became unemployed. The Philippine Statistics Agency reported that as of April 2020, there were around 7.3 million jobless Filipinos.听

Jobstreet, an online platform that has around 42,000 listings, saw two million visitors checking out their website from April to June.

If you鈥檙e looking for a job, forget those numbers. Career coach Caroline Ceniza-Levine says that the only numbers you should be concerned about are your own, whether in a pandemic or not.听

In this episode, Ms. Ceniza-Levine tells multimedia reporter Patricia B. Mirasol that the coronavirus is not the end of your career. She gives practical advice, from tips on how to handle online interviews to the two main skills that you have to be thinking about if you鈥檙e looking for a job.

Ms. Ceniza-Levine is a career coach, co-founder of career coaching and consulting company , and senior contributor at Forbes Magazine. She is no stranger to the rigors of job-seeking and the vagaries of job markets, having worked more than two decades as a recruiter and career coach with professionals from Amazon, Google, McKinsey, and other leading firms.

Takeaways

There is always hiring鈥攅ven in a down market.

As a job seeker, the only employment numbers that should matter to you are zero or a hundred percent. It鈥檚 either you鈥檙e employed or you鈥檙e not. Job market numbers tend to scare people. Focus instead on numbers that reflect your effectiveness: how much time are you spending on job research? How many callbacks are you receiving? Employers are still hiring, albeit more cautiously.

Negotiate and position yourself for the right roles at the right level. If you鈥檙e a good negotiator, employers will be excited to have you on their team because they will want you to negotiate as hard for them as you do for yourself.

Negotiation is a hyperlocal situation. While each case is different, a job seeker would, of course, prefer to negotiate in a hot market where employers are fighting over job applicants.听

Regardless of circumstances, there is always room to negotiate. The reality is that when you get a job offer you already have leverage. Your prospective employer鈥檚 already invested in you. Start negotiating and putting your best foot forward early in the process, but don鈥檛 talk numbers at the get-go; that鈥檚 presumptuous. Ask for more in a way that鈥檚 confident and polite. If you鈥檙e a good negotiator, employers will be excited to have you on their team because they will want you to negotiate as hard for them as you do for yourself.

Resilience and the ability to learn: these are the two skills a job seeker should have.

The ability to bounce back, coupled with an openness to change and a willingness to learn and relearn, are must-have skills, said Ms. Ceniza-Levine. It鈥檚 not just about the pandemic. We鈥檙e also dealing with pressing issues such as social justice and climate change, as well as rapid advancements in technology that are changing the way economies work.听


Recorded remotely on July 29. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] The university of the future: Philippine tertiary education amid the pandemic /podcast/2020/08/03/308885/b-side-podcast-the-university-of-the-future-philippine-tertiary-education-amid-the-pandemic/ Mon, 03 Aug 2020 02:47:38 +0000 /?p=308885

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The academic year is about to start. Universities and colleges are shifting to remote learning as physical classrooms all across the world have shut down because of the COVID-19 pandemic.

During his address, President Rodrigo Duterte said that face-to-face classes would be allowed only when a vaccine becomes available. We don鈥檛 know when that is.听

In this episode, Raymundo D. Rovillos, chancellor of the University of the Philippines (UP) Baguio, talks about the university鈥檚 plans for remote learning. Turns out, the UP System has to play catch up with the likes of Mapua Institute of Technology and Far Eastern University, schools that embraced remote learning long before the coronavirus hit because of Manila鈥檚 notorious traffic jams.听

Mr. Rovillos also tells 大象传媒 reporter Revin Mikhael Ochave that shifting to remote learning isn鈥檛 just about technology. It鈥檚 about overhauling expectations and mindsets. Teachers have to change the way they teach, and they鈥檒l have to change the way students are evaluated. The chancellor knows that there will be bumps in the road, but he鈥檚 hopeful.

This wide-ranging episode covers grades, enrollment, entrance exams, things like UP鈥檚 maximum residency rule, even how long Christmas break is going to be.听

TAKEAWAYS

The pandemic fast-tracked the shift to remote learning; UP has to play catch up with other institutions.

鈥淭he entire educational system of the world will continue to migrate to an online or a blended style of learning, the pandemic has just fast-tracked it. In the future it will be a standard,鈥 Mr. Rovillos said.听

Remote learning, he added, maximizes available technological infrastructure: texting, social media websites, e-mail, thumb drives containing learning modules, and any other assets that can deliver education to the students. 鈥淧revious syllabi cannot be used now as they are designed for a different type of setting in mind,鈥 Mr. Rovillos said.

The chancellor noted that UP lags behind universities such as Mapua Institute and Far Eastern University, which invested in virtual learning because of the traffic snarls in Manila.听

Connectivity is a primary concern among students.听

There will be many obstacles and issues that educational institutions will have to face.

鈥淎s early as March, UP Baguio already had data regarding Internet availability for students on hand. There is an expressed need among students for internet connection support. There is currently a need to subsidize Internet connection especially those within areas that have no connection at all,鈥 Mr. Rovillos said. 鈥淭here is also the need to invest in massive online learning operating systems that can be used within entire systems of education such as the UP system.鈥澨

Expectations have to be overhauled.

鈥淲e have to change the mindset of the people,鈥 said Mr. Rovillos. The manner of teaching, performance evaluation, and requirements will have to change to accommodate the resources available to students as well as their psychological and mental well-being. 鈥淣ow is the time for greater compassion and understanding. 鈥 But, of course, deadlines are still deadlines.鈥澨

The university is aware of the mental stress this pandemic is causing. And so UP is offering counseling and other forms of psychological support to those who need it.

This episode was recorded remotely on July 4. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Creating despite COVID: The entertainment industry and the pandemic /podcast/2020/07/27/307720/b-side-podcast-creating-despite-covid-the-entertainment-industry-and-the-pandemic/ Mon, 27 Jul 2020 02:35:37 +0000 /?p=307720

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We鈥檝e been consuming a lot more content since the pandemic left us housebound. Filmmakers are streaming their films on YouTube and similar platforms, giving us hours of entertainment.

But how is the entertainment industry itself doing?

Adolfo Alix Jr., the award-winning film director behind films like Mater Dolorosa and Circa, says that the virus has left entertainment workers vulnerable. Many of them work on a per-project basis, with none of the usual benefits regular employees have.

In this episode, the director tells reporter Zsarlene B. Chua听how COVID-19 is changing the way films and shows are shot. He also pays tribute to actor Anita Linda, who passed away this June at the age of 95.

TAKEAWAYS

Films and shows will look different.

Mr. Alix said that the announced by the Film Development Council of the Philippines (FDCP) in June will cut the number of production people by half. This isn鈥檛 entirely a bad thing, he said, since it forces film crews to think outside the box.

鈥淚 want to see how this would work,鈥 he said, citing that the number of people on set will be limited to 50 to 70 from the usual hundred. 鈥淭he idea is to be able to maximize your potential as a part of the group and that鈥檚 where you will realize鈥攏ot only for creative but also technical people鈥攖he value of each role, each person鈥檚 role in the production is.鈥

People are generous.

The project started in April initially as a way for the director to help the people within his immediate network. The project included a film series that featured several of his films and shorts including 4 Days and a talk show called Actors鈥 Cue where he discussed the craft with prominent actors including Gina Alajar, Nonie Buencamino, and newer actors like Kathryn Bernardo and Daniel Padilla. The last episode of Actors鈥 Cue was released and was a tribute to the recently departed Anita Linda.

Extend the Love, at the time of the interview, raised more than P200,000 to help more out-of-work film and TV crew members beyond Mr. Alix鈥檚 circle.

Actors and entertainment workers are also essential workers

During one of his Actor鈥檚 Cue sessions, a question came up about why actors and entertainment workers are essential. A guest replied their work inspires people.听

鈥淵ou get people to smile, to empathize with the characters,鈥 said Mr. Alix. 鈥淚 think [the actor] was right in saying that people in the entertainment industry are also essential because we give inspiration and hope to people in these very difficult times.鈥


A note on the timing of this interview: It was recorded remotely on June 20, weeks before the Film Development Council of the Philippines released guidelines requiring the submission of additional production documents鈥an unnecessary level of bureaucracy that earned the ire of entertainment guilds. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-Side Podcast] Hitting the gym: how the local fitness industry is dealing with the coronavirus /podcast/2020/07/13/304766/b-side-podcast-hitting-the-gym-how-the-local-fitness-industry-is-dealing-with-the-coronavirus/ Mon, 13 Jul 2020 02:07:41 +0000 /?p=304766

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The local fitness industry was booming before the COVID-19 (coronavirus disease 2019) pandemic hit, with international chains and small fitness studios popping up to satisfy the demand for health and wellness.

When the country was placed under lockdown to contain the pandemic, the industry鈥攚hich relies on foot traffic鈥攇round to a halt.

In this episode, Gab Pangalangan, marketing manager of UFC Gym Philippines, fitness coach and founder of combat sports website , talks to 大象传媒 sports reporter Mike Murillo about the impact COVID-19 has had on the industry, how gyms are dealing with it, and what lies ahead for them. They discuss why gyms see themselves as essential businesses and how even a 鈥渉igh-touch鈥 industry like physical fitness is moving to digital.

TAKEAWAYS

The fitness industry, which relies on foot traffic, was hit hard by the lockdown.

When the pandemic began to take root in the country, the fitness industry was one of the hardest hit as face-to-face communication and mass gatherings were prohibited as part of mitigating measures to stop the spread of the disease. This setup is not ideal for an industry that needs foot traffic to get its operations going.听听听

鈥淭he fitness industry relies on people,鈥 said Mr. Pangalangan. 鈥淚f there are no people, there鈥檚 no revenue.鈥澨

The fitness industry sees itself as an essential service.

A contentious issue right now as the country moves into the 鈥渘ew normal鈥 is whether it is time for fitness gyms to open amid concerns that they are 鈥渉igh-risk areas鈥 to get COVID-19.

The industry views itself as an essential service鈥攇oing to the gym, as Mr. Pangalangan said, is about the pursuit of physical and mental health, and a person鈥檚 overall well-being.

Getting back into the swing of things will also afford industry workers, mostly independent contractors, to earn a living after months of being deprived from doing so.

It will be an uphill battle for gyms to convince people, especially authorities, that they are safe.

COVID-19 has changed how affairs across the board are conducted, and for the fitness industry to survive it needs to adjust and adapt to what it is presented with.

A lot of challenges lie ahead, including convincing people, especially authorities, that gyms are essential and restore confidence that everything is safe, and the industry must act accordingly to address these.

People have been buying their own fitness equipment as well and working out on their own at home. Mr. Pangalangan wonders if this trend will continue post-pandemic. 鈥淲e are at the mercy of the pandemic, unfortunately,鈥 he said.

Digital is the way to go 鈥 even for a 鈥渉igh-touch鈥 industry like physical fitness.

Coaches are strengthening their online presence and boosting their personal brands through podcasts, live-stream workouts classes, and YouTube videos. 鈥淲e really have to pivot and adapt to the times,鈥 said Mr. Pangalangan. Those who already had a digital presence prior to the pandemic benefit from not having to start from scratch.

Recorded remotely on May 15. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo

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[B-SIDE Podcast] Artificial intelligence: the key to a thriving post-pandemic economy /podcast/2020/06/22/300963/b-side-podcast-artificial-intelligence-the-key-to-a-thriving-post-pandemic-economy/ Mon, 22 Jun 2020 01:06:06 +0000 /?p=300963

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Artificial intelligence (AI) may be the key to helping the Philippine economy get back on its feet. Without sufficient technology and automation in place, high-touch human operations are paralyzed. As the world recovers, it will require a re-imagination of human and business processes to future-proof against the next crisis.

In this episode,听大象传媒 reporter Jenina P. Ibanez speaks with Dong Shou, co-founder and chief operating officer of , an artificial intelligence and big-data company headquartered in Singapore.

TAKEAWAYS

AI is essential to the digital transformation of a business.

AI听鈥 specifically听optical character recognition (OCR, which converts images of typed, handwritten or printed text into machine-encoded text), facial recognition, natural language processing, along with big data analysis听鈥 can aid the digital transformation of traditional offline businesses by automating processes and improving productivity.

These technologies also allow machines to sort听through big data and improve contactless customer experience.

Imagine walking into a bank without having to present any sort of identification to complete a transaction since you’ve already been vetted by the bank’s facial recognition system.

“Digital transformation is a process. It takes time. You don鈥檛 have to go from the beginning to the end in one big step. You can take small steps along the way to your big goal,” said Mr. Shou.

In 2019, the Department of Trade and Industry (DTI) began drafting the government’s AI roadmap听with the help of data scientists. Mr. Shou’s recommendations include upgrading national infrastructure in order to move to 5G networks from 4G; improving national education and emphasizing STEM (science, technology, engineering, and mathematics); supporting digital startups and entrepreneurs and allowing them to experiment in a regulatory sandbox; fostering a friendly investment climate; and committing public and private support to educate the current workforce.

The shift to digital must be accompanied by increased data security.

Data must be used for clear and specific purposes. For example, respect for patient confidentiality must be maintained even in the online world. Systems must be tested rigorously before they are deployed and government must set up regulations to prevent bad actors from abusing personal data.

BPOs and other labor-intensive industries must upskill and retrain their people.听

Given that the pandemic forced global multinational corporations to reduce their offshore operations,听BPOs must upskill and retrain their people, who, in turn, must learn to work with AI systems. “Being able to speak good English, especially for the Philippines, is no longer a big advantage because now we have chatbots which can do the work faster with lower cost,鈥 said Mr. Shou. Released from rote tasks, human beings can focus their energies on high-value tasks that require creativity and critical thinking.

Recorded remotely on April 20. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Lack of preparation threatens Philippine agriculture sector /podcast/2020/06/08/298579/b-side-podcast-lack-of-preparation-threatens-philippine-agriculture-sector/ Mon, 08 Jun 2020 01:43:00 +0000 /?p=298579

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COVID-19 has exposed how fragile the agriculture sector is. Local farmers are among the hardest hit by the pandemic and the protracted crisis is putting a strain on the country’s food supply chains. Magsasaka Party-List Representative Argel Joseph T. Cabatbat and 大象传媒 reporter Genshen L. Espedido talk about the consequences of the delays in modernizing our rice farms and why we should aim for food sovereignty in the long-term.

TAKEAWAYS

Government has to work harder to ensure that our food supply chain remains intact.
Allied businesses of the agricultural sector were not granted frontliner exemptions during the lockdown. As a result, the delivery of supplies and equipment critical for the operation of the agricultural sector was limited. Government should make sure that the transportation of agricultural products and farm inputs remains unhampered especially during a crisis.

Farmers are among the hardest hit by the pandemic.
COVID-19 greatly disrupted the country’s agricultural sector. The pandemic made it more difficult to distribute the Rice Competitiveness Enhancement Fund (RCEF), which was supposed to equip farmers with modern machinery to facilitate efficient farming. At the same time, farm produce anticipated to be sold in bulk during this season was wasted. Aid should be distributed immediately to farmers to help them recover from their losses.

In the long-term, we should aim for food sovereignty.
The pandemic showed that the Philippines cannot continue relying on importation, as other countries limit their exports to secure their own food supply for their citizens. The country should prioritize Filipino farmers by giving them enough financial and material resources, thus ensuring food sovereignty.

Recorded remotely on April 28. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Q1 GDP: Not a pretty picture /podcast/2020/06/01/297265/b-side-podcast-q1-gdp-not-a-pretty-picture/ Mon, 01 Jun 2020 03:00:49 +0000 /?p=297265

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The COVID-19 pandemic ended a 21-year growth streak in the Philippine economy as strict lockdown measures aimed at containing the coronavirus outbreak brought economic activity to a near standstill.

Shortly after Q1 GDP data was released in early May, Research Head Leo Uy asked Geoffrey Ducanes, an Associate Professor at the Ateneo de Manila University Department of Economics, and Sarah Lynne Salvador Daway-Ducanes, an Associate Professor at the University of the Philippines School of Economics, to break down the data to see how the first two weeks of lockdown affected the Philippine economy.

After parsing the numbers, they also shared their outlook for the second quarter and beyond. Both agree that it鈥檚 going to be a long, tough road to recovery: Q2 is probably going to be worse than Q1, as the numbers will reflect the brunt of the lockdown.

TAKEAWAYS
Q1 GDP was bad. Q2 GDP will probably be worse.
Using the new base year of 2018, gross domestic product (GDP) contracted 0.2% in January to March, ending 84 quarters or 21 years of uninterrupted growth. The last time GDP fell into negative territory was in the fourth quarter of 1998, when the economy contracted by 3% amid the Asian financial crisis. Q2 is shaping up to be even worse as consumption, which accounts for 75% of GDP, will likely be in negative territory due to quarantine measures. “It looks pretty bleak. There’s really not a lot of room for maneuvering,” said Mr. Ducanes, who added that a contraction of more than 10% in Q2 is possible.

The government’s revised targets for the Philippine economy are “optimistic.”
The Development Budget Coordination Committee (DBCC) expects the Philippine economy to shrink by 2% to 3.4% this year. The Ducaneses believe that even the low end of this projection is optimistic. These targets, while possible, will be “very, very difficult to achieve.”

The COVID-19 pandemic makes it unlikely for the Philippines to reach its goal of reducing the poverty rate to 14% by 2022.
Post-pandemic simulations show that poverty incidence will more than double from the 2018 level, and the effect on the poverty gap and severity will triple or quadruple.

Remittances won’t save us.
Remittances from Overseas Filipino Workers (OFWs) acted as a lifeline for the Philippine economy during the 1997 Asian financial crisis and the financial crisis of 2007鈥08. That is not the case now as the pandemic has displaced thousands of OFWs (around 300,000 are expected to return home this year). According to projections, remittances may fall by as much as 30%.

Recorded remotely on May 14. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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[B-SIDE Podcast] Navigating the ‘next normal,’ according to McKinsey and Company /podcast/2020/05/26/296270/b-side-podcast-navigating-the-next-normal-according-to-mckinsey-and-company/ Tue, 26 May 2020 01:21:52 +0000 /?p=296270

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After two months in lockdown, Philippine cities are slowly opening up to a new reality,

Management consulting firm McKinsey and Company recently released a report titled 鈥溾 that defined this 鈥渘ew reality,鈥 this 鈥渘ext normal鈥 as a time when 鈥渨e will witness a dramatic restructuring of the economic and social order in which business and society have traditionally operated.鈥

In this episode, Kristine Romano, managing partner of McKinsey Philippines elaborates on this report and applies it to the Philippine context. She tells 大象传媒 reporter Jenina Ibanez how the country鈥檚 business leaders might navigate the COVID-19 crisis and find an economically and socially viable path to the next normal.

TAKEAWAYS

This is a unique crisis.
The COVID-10 pandemic, unlike previous global crises, affects both supply and demand. Businesses have a hard time producing goods, and worried consumers are holding back on buying.

Remittances grew amid the 2008 global financial crisis, and outsourcing bounced back. But McKinsey sees the risks of a contraction in remittances, and outsourcing contracts may be cancelled among companies unable to shift to work-from-home measures.

Businesses will prioritize resilient supply chains.
In the past, economies of scale was king. But creating efficient supply chains by consolidating resources in one place is now considered risky. Supply chains could easily be disrupted by lockdowns. As a result, business priorities will shift to resilient supply chains retaining flexibility and productivity through automation and training.

The new normal will also see a shift to digital transactions, and companies that give value for money will likely capture a bigger share of the market.

Vulnerable businesses and workers may see new opportunities.
There is a significant number of Filipino workers on 鈥渘o work, no pay鈥 schemes. The social safety nets for these workers are not as strong as those of developed countries. But opportunities may shift to other sectors as the need for sanitation and delivery services requires manpower.

The country also has a reputation for high manufacturing productivity and a talented workforce that could attract firms shifting operations from China.

Recorded remotely on April 28. Produced by Nina M. Diaz, Paolo L. Lopez, and Sam L. Marcelo.

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