INTERVIEW WITH THE ASSISTANT REGIONAL DIRECTOR OF NFA REGION VIII ENGR. JOHN ROBERT R. HERMANO ON THE BEST PRACTICES IN MANAGING CHANGE by Joel T. Lim

Engr. John Robert Hermano entered the NFA with neither a whimper nor a bang, and the causal manner by which he assumed the reins of NFA belie the intensity of his leadership. Instead of displaying in his nameplate his position as the NFA Region VIII Assistant Regional Director (ARD), he simply displays himself as a Public Servant. He was once the manager in General Services Department (GSD) of NFA Central Office, and served as the Provincial Manager of NFA Zamboanga, NFA Bukidnon and NFA Misamis Oriental before he became a full-fledged Assistant Regional Director. He was also one of the Top 10 Outstanding Graduates of the first batch of NFA Management Training Program, an MBA graduate, and a Career Executive Service (CES) Eligible.

This interview was conducted thru emails and the convenience of social networking sites, considering that ARD Hermano is presently based in Leyte. It comprises a series of questions and answers about the best practices in managing change.

1.) How do you view the challenge of change in NFA?

Change is not farfetched as NFA braces for the coming years, and will celebrate future anniversaries. Change will take the NFA employees to renewed hope, optimism, dedication and commitment as we go about doing our daily tasks as employees of this agency and as Filipinos inspired by our dreams and aspirations. The challenge of change behoves us to become stronger and better persons against all odds.

After four decades, NFA would start counting more years to sustain the very reason of its existence. We now have to look at rice on a deeper perspective and find out how has this subject of our mandate evolved into a precious economic and political commodity that is almost every nation’s staff of life and the parameter of national development. Further reforms are happening within the agency that would sustain supply and price stability of the staple food, farmer empowerment, availability of rice during man-made and natural calamities, rice fortification, pro-poor programs, and shift from “buy high, sell low” to full-cost recovery.

Several reforms in the various aspects of NFA operations are meant to support the development agenda being espoused by the Aquino administration “tungo sa matuwid na daan”. The NFA hopes to achieve a level of stability that will highlight even more its role and contribution in the food industry. The ultimate objective is to transform the NFA into a more cost-effective government agency that will safeguard national food security through efficient and sustainable execution of its mandates. This mission will see NFA through as it looks forward to more good reasons to celebrate its existence

2.) Why is managing change important?

Meeting milestones is not the primary determinant of the success of a change project. Successful change also involves ensuring employees’ capacity to adapt to and work effectively and efficiently in the new environment. The underlying basis of change management is people’s capacity to change can be influenced by how change is presented to them. The rationale is that if people understand the benefits of change, they are more likely to participate in the change and see that it is successfully carried out, which in turn means minimal disruption to the organization.

3.) What are the common factors to successful change management in the public sector, like NFA?

The government is a large organization. The larger the organization is, the more difficult is to institute change. However, the common factors to successful change management in the public sector are: (a) planning, (b) defined governance, (c) committed leadership, (d) informed stakeholders, (e) aligned workforce.

Planning is developing and documenting the objectives to be achieved by the change and the means to achieve it. Planning ensures that organizations are aware of the implications of what they want to do, and are prepared for all reasonable eventualities. It can also be the point at which an assessment is made about whether or not a proposed change should proceed. A good planning process must set a clear vision which is aligned with the vision, mission and mandates of the agency.

Defined governance is establishing appropriate organizational structures, roles, and responsibilities for the change that engage stakeholders and support the change effort. Change starts at the top and an organization’s leaders must be the visionaries, champions and role models for change. Committed leadership is ongoing commitment at the top and across the organization to guide its behaviour, and lead by example.

Informed stakeholders is encouraging stakeholder participation and commitment to the change, by employing open and consultative communication approaches to create awareness and understanding of the change. Fundamentally it is people who make change happen - nothing moves forward without engaged, motivated stakeholders. It is important that everyone in the organization and those interacting with the organization, both internal and external stakeholders, are kept informed and provided with messages and information that allow them to feel engaged, thus paving the way for involvement and adoption. For example, the conduct of the region-wide  “Ugnayan” with farmers, local government units (LGUs), Municipal Agricultural Officers (MAOs) and other agencies has borne fruit and has created the desired awareness amongst stakeholders about NFA’s palay procurement program and the benefits derived from it, such as the modified and simplified requirements in securing farmer’s passbook, upgraded delivery incentive fee, prompt cash payment scheme, and revised quality specifications in order to minimize rejects as it was the complaints of farmers before. These Ugnayan meetings have been conducted to keep them abreast of the latest plans and programs of the agency.

 Aligned workforce is identifying the human impacts of the change, and developing plans to align the workforce to support the changing organization – that is people must understand what they need to do, be enabled to do it, and be supported in doing it. Budget for trainings is a critical part for professional development.

4.)  What is resistance to change and how does it manifest? How do you spot resistance to change?

Resistance to change is a natural reaction when employees are asked to change. Change is uncomfortable and requires new ways of thinking and doing. People have trouble developing a vision of what life will look like on the other side of a change. So, they tend to cling to the known rather than embrace the unknown.

Managing resistance to change is challenging. Employees can realize that they don't like or want a change and resist publicly and verbally. Or, they can just feel uncomfortable and resist, sometimes unknowingly, through the actions they take, the words they use to describe the change, and the stories and conversations they share in the workplace. It affects the feelings and opinions of employees at all stages of the adoption process. It affects productivity, quality, and relationships.

How do I spot resistance to change? Listen to the gossip and observe the actions of the employees. Note whether employees are missing meetings related to the change. Forgotten commitments and absenteeism can all be signs of resistance to change. Something as simple as listening to how employees talk about the change in meetings and hall conversations can tell you a lot about resistance to change. Some employees will publicly challenge the change, the need for the change, or how the change is unfolding. The more powerful the resisting employee, in terms of job title, position, and longevity, the more success he or she will have with resistance. Less well-positioned employees may resist collectively. Yet, I honestly believe that organization change is often overcomplicated by bad execution and communication, and lack of clarity in vision and plan.

5.) How do you sell change in an organization?

Change is rarely easy to implement because people almost always think that their current situation is good... or at least good enough. Perhaps things at the moment aren't great, but as long as people think they're good or good enough, they won't have a tolerance for change.  People can resist change for a number of reasons: self-interest, denial, fear of the unknown or different perceptions. The rationale is that if you want people to change, they need to invest in the changes you are asking them to make, and they are more likely to do that if they understand the benefits of the change. It is not just the thought but on how to influence emotions.  “Selling” change to people is not a strategy for success. When people listen to a regional director or even to a provincial manager, most employees will generally smile and appear to accept it, but quietly to themselves they are thinking, “I don’t like this”. .“I’ve not been consulted or involved”. “I am being manipulated”. “This change will just benefit the regional director or the provincial manager, not me, so I won’t cooperate”. Instead, change must be understood and managed in a way that people can cope effectively with it. It is a thoughtful planning, sensitive implementation, and consultation and involvement with the people affected by the changes.

When any kind of change is announced, people are hungry for information. In the absence of sufficient information, change can be stalled. People will continue to work as they have done in the past; or rather than risk doing the ‘wrong’ thing, they do nothing. Effective communication is important to overcome the fears and concerns aroused by change, to explain why the change is happening and what the whole thing really means in the long run

6.) What is the most challenging or demanding role so far?

When the issue is about change, one must recognize the human element. People have different needs and different ways of reacting to change. They need time to deal with and adjust to change.

Everything is new and every day is a challenge for me. But what sets the new day from the previous one is that we have accomplished something. I attribute my success to our employees. Wise men write their names on the pages of the book; fools write their names on the walls; and, I would like to write my name in the hearts of the people. I cannot owe it up alone. Everything is doing what he can and is making our roles more bearable.  For we have done our best to serve our purpose in the industry. We have worked hard performing our duties and responsibilities so that NFA shall be the epitome of a caring organization that thrives on the need for food security against the risk and perils in a society constantly beset by changing social, economic and political climate, as well as, environmental issues and concerns.

ARTICLE REVIEW ON “ENGAGING CHANGE MANAGEMENT IN ORGANIZATIONAL DEVELOPMENT: NSO’S QUEST FOR EXCELLENCE IN PUBLIC SERVICE by Joel T. Lim

Employees, in most cases, prefer status quo rather than change. Resistance to change is part of human nature. For many people, "sameness" is psychological security. Change leads to psychological insecurity. Most people like security. Even though it is difficult to change human nature, there is still value in understanding that resistance is normal and must be considered and managed. Change means stepping into the unknown and losing your comfortable routine. And most people view this as frightening. Resistance to change can be a form of self-defense that comes from fear. Whether it's in a corporate sense, or with individuals, understanding what motivates a personality is a key to understanding how to keep them moving ahead.

Change can originate from external sources through technological advances, social, political or economic pressures, or it can come from inside the organization as a management response to a range of issues such as changing client needs, costs or a human resource or a performance issue. No employee is left unaffected in most changes. As a result, resistance to change often occurs when change is introduced. It can affect one small area or the entire organization. Nevertheless, all change whether from internal or external sources, large or small, involves adopting new mindsets, processes, policies, practices and work behavior.

The need for an organization to embrace change is clearly described in the article. Without change, issues in public service delivery function of NSO R10 surfaced. Simply asking the question "Why?" can lead to new ideas and new innovations that can directly impact the bottom line. Organizations benefit from change that result in new ways of looking at customer needs, new ways of delivering customer service, new ways of strengthening customer interactions, new products that might attract new markets and new technologies. New employees joining an organization are especially valuable because they can often point to areas of opportunity for improvement that those who have been long involved in the company might have overlooked. But even existing employees should be encouraged to question why things are done a certain way and look for new ways to get work done faster, better and with higher levels of quality and service.

Change that results from the adoption of new technology is common in most organizations and while it can be disruptive at first, ultimately the change tends to increase productivity and service. As the world evolves, customer needs change and grow, creating new demand for new types of products and services -- and opening up new areas of opportunity for companies to meet those needs. Customers who were satisfied with conventional ovens many years ago are sometimes impatient with the microwave today. Change is important in organizations to allow employees to learn new skills, explore new opportunities and exercise their creativity in ways that ultimately benefit the organization through new ideas and increased commitment. Preparing employees to deal with these changes involves an analysis of the tools and training required to help them learn new skills.

It is worth noting in the article that the reason for the success of a transition stage, from unfrozen to being prepared for something new, was the support of the leader. Leaders must lead. The new system will ultimately have to stand on its own feet, but every new system needs support and nurture. Because change is inherently unsettling for people at all levels of an organization, when it is on the horizon, all eyes will turn to the CEO and the leadership team for strength, support, and direction. The leaders themselves must embrace the new approaches first, both to challenge and to motivate the rest of the institution. They must speak with one voice and model the desired behaviors. The executive team also needs to understand that, although its public face may be one of unity, it, too, is composed of individuals who are going through stressful times and need to be supported. Mindset then plays a key essential element. Without initially transforming their mindsets, leaders and employees would ultimately continue to operate in their old ways which then in turn completely rules out the ability for the business to change into its new designs and execute its new strategies. Changing an individual’s mindset provides greater awareness and deeper thoughts towards diverse ways of operating. Taking this idea into a personal action, I myself have tried to become more aware of my customary ways of operating and I am trying to develop different, more influential ways to go about changing my emotional state towards a more positive note.

As change and culture meet, a natural friction is likely to occur. it isn’t easy to change attitudes or relationships; they’re deeply ingrained in organizations and people. Leaders should be prepared to compromise on cultural issues that are not critical to accomplishing successful change.

This marriage of old and new won’t ever be exact, and a likely outcome of the change initiatives will be eliminating ineffective norms and behaviors. Leaders need to understand that this cultural shift can be a gradual process and that organizations, like humans, are only capable of digesting so much at one given time. Employees are more apt to support change if they are ready to make changes. This means that they believe in the changes, have the time and energy to invest in the changes. It is not enough to just have a vision but it is essential to communicate in such a way that it is actionable and believable by those who can be affected and will be affected. Leaders should not assume that the company’s strategy is clear but will see to it that the employees understand “why” and “how” the company will be changing. Too often, change leaders make the mistake of believing that others understand the issues, feel the need to change, and see the new direction as clearly as they do. The best change programs reinforce core messages through regular, timely advice that is both inspirational and practicable. Communications flow in from the bottom and out from the top, and are targeted to provide employees the right information at the right time and to solicit their input and feedback. Getting the whole organization together can build momentum, create a memorable event, and build peer pressure for the change.

REACTION PAPER TO LIVINGSTON’S PYGMALION OF LEADERSHIP by Joel T. Lim

I was surprised that some of the facts being mentioned in this article exactly resemble the reality of my own experiences as a supervisor and as a subordinate. It is worth noting that any individual will be inspired to perform better in his work if he is given a positive treatment and realistic expectation from his manager. In other words, simply believing in potential will create potential.

Maslow hierarchy of needs reminds me that at some point a person will seek to satisfy his need of self-actualization after fulfilling his basic needs. By letting an employee know that he is appreciated is the next big thing a manager can do. When a member is encouraged, feels supported and motivated, they are more likely to believe in their own ability simply because one has conveyed those attributes.

However, questions still appeared in the back of my mind. Can this Pygmalion effect be applied to every team member? The same rules and ways may not apply to the millions of people or may not be effective for them since human beings are too dynamic in nature. Yet, a leader can still influence and drive good performance in all team members if he adopts the correct behaviours and has positive expectations for his team. What if a subordinate has high self-efficacy even if he is a low to an average performer? If a person is egoistic in nature, then he will probably strive hard and do better even if someone underestimate or undermine his capability. If a person will limit his belief in others, then he will simply limit his potential. If the only vision a person has for himself comes from the opinions, perceptions, and expectations of the people around him, then he must have viewed himself in a social mirror.

TEACHING SMART PEOPLE HOW TO LEARN by Joel T. Lim

The author, Chris Argyris, argued that highly skilled professionals, who are smart, had very good academic records, even MBA degree holders and had gone to work in business in consulting, still find it difficult to learn. They may have had other kinds of failures, but not academic. Therefore, their muscles for dealing with failure were not very strong. And since they are smart, they have developed all sorts of fancy footwork to prevent themselves from experiencing failure. Some of that footwork included out-talking other people, outgunning them, and so on. They have sophisticated defensive routines. These people did not only fear failure, they feared even thinking of fearing failure. So then they became very brittle. And if they made an error, they overreacted.

They are paid highly because they’re smart. However, they rarely face up to their own defensive routines. Examples abound of where supposedly “smart” people, working in business or public policy, thought they had it figured out and knew the answers. Then the problem persists. Being consumed by your own self-perceived brilliance is in reality a major learning disability, one that not only impedes critical self-reflection but also creativity and innovation. At its worst, it can result in harm to others and more broadly society and the environment.

I remember one young man who made an interesting presentation and the Director said, “I don’t know what you’re talking about.” This person became flustered. In order to increase the level of proof he brought in more presentation slides and consequently frustrated the Director even more. His supervisor said to the young man, “I don’t hear him [the Director] telling you that you need more of this kind of information. Why don’t we ask him what it is that he’s seeking, what kind of knowledge could we give him to prompt him to say, ‘Now that is what I want.’ The supervisor was willing to be sensitive to the fears and frustrations of the Director. I don’t think the younger person was willing or capable of doing so at that time. But he learned to become more capable through coaching and experience.

Acting defensively can be viewed as moving away from something, usually some truth about ourselves. If our actions are driven by moving away from something, then our actions are controlled and defined by whatever it is we are moving away from, not by us, and what we would like to be moving towards. Therefore our potential for growth and learning is seriously impaired. If my behaviour is driven by my not wanting to be seen as incompetent, this may lead me to hide things from myself and others, in order to avoid feelings of incompetence. For example, if my behaviour is driven by wanting to be competent, honest evaluation of my behaviour by myself and others would be welcome and useful.

The business consultants Argyris studied were skilled at rationally analyzing and improving their clients’ problems and challenges, but they were defensive and reluctant to ever admit their own contribution to failed engagements.   We are designed to procreate and get out of trouble fast.  In times of perceived danger, our brains are designed to allow the fear system to take control of the brain and to override the conscious, deliberate, rational system.  Argyris’s business consultants are using their rational system when analyzing their clients’ business, yet they are using their fear system when responding to management’s feedback on their own performance. But then the dilemma hits because most people “blames the client” for his lack of effectiveness. Instead, it is their responsibility to look at what they actually did versus what they wanted to do; look at their actual results versus their planned results, and then apply scientific and rational thinking.

In other words, Argyris invites workers to be open to criticism, to be willing to test their claims publicly against evidence, to accept that they too are partly responsible for the problems they are confronted with. The client may or may not be ‘‘stupid,’’ but if such consultant is really keen on learning, the real question is ‘‘what can I do to improve the relationship with the client (or my boss, or anyone else)?’’ It all comes down to individual responsibility, and this is essentially, a moral issue.

The single loop learning is maintenance learning or getting better at what we already know how to do, and double-loop learning is basically asking if we are doing the right thing. The author contends that most successful people are adept at solving problems, but they don't really know how to learn. They are able to solve problems and overcome many organizational obstacles, but when it comes down to examining why there are obstacles and looking at the underneath dynamics of the problem they are unsuccessful. They lack introspection and the ability to see their own part in the problem and hence are not able to learn from it. They are often unaware that they’re doing it, between the way they think they are acting and the way they really act. If you’re playing a good game of tennis and someone says, “Bend your wrist just a bit,” you may say “Aw, come on, let me alone.” If you then start hitting the ball out of the court, it is probably because you have become conscious of how you hold your wrist. The dilemma is that once you are skilful you no longer pay attention to what creates the skill because you have now internalized it. You are unaware of the impact, but the unawareness is due to the skills you have. It’s not an empty hole in your head. The brain is not at all unaware of how to help you be unaware.

This article has made me much more aware of how my own demands on motivation can get in my way. I definitely relate to how easy it is to defer the blame to others when something goes wrong. As a motivated person, I think that sometimes the present situation is better as long as I produce. I have done nothing wrong. But how can just producing be our best? Isn't it better to accept responsibility for problem solving beyond the mere resolution of the issue at hand? Isn't it better for us to learn and understand our internal strengths and use them in a positive forceful way to not only solve problems, but make a contribution to whatever team or project that we are called to be a part of? These questions seem easier to ask than to actually do.

Livingstone’s Pygmalion of Leadership by Benedict Jan Baloncio

Understanding the nature and sensitivity of your work is as important on how you display your individuality. It is desirable that those who dress professionally will behave in the same manner. A lawyer can never gain respect from clients or of the court if he cross-dress or a sales officer dresses up too fashionable can’t possibly close a deal. But more than how one carries himself outside with the clothes he appropriately wears, it is how he presents himself to the public – smart and with finesse. A number of members in the workforce now are lenient without putting their best foot forward. To work for compliance instead of appreciating the learning experience they have that translate sincerity and fulfillment of their work. These are some red flags to observe in meeting desired expectations, productivity and environment.

a. CORPORATE COMMUNICATION – Sending the correct message across, it is then sought to be consistent with what you say (including the tone of your message) and on what they understand in a proper medium of communication.

b. SENSE of ACCOUNTABILITY – If only commitment can be injected in every vein of an individual as to live up to commitments at all times. Deadlines and expectations are no longer observed to give way to biased personal interest. Also, a great deal of accountability is how one is responsible for his actions. Delays, failures and infractions should be dealt with personally, without having to point other people. This will spare conflicts within the organization, thereby keeping things harmonious.

c. EMOTIONAL MATURITY – Some human resources issues are present in a work place such as office romance, dealing with a crying employee and many others. These can be avoided if we display due maturity at workplace and create a line between personal issues and work.

CEO Interview by Benedict Jan Baloncio

A.M.C Distribution, Inc. (AMCDI) was established and registered with the Securities and Exchange Commission (SEC) on February 12, 1999, primarily to engage in trading of general merchandise at wholesale and retail basis.   AMCDI has evolved from the retailing business of the 1st generation Carpio’s in the early 70s to become one of the top 1,000 companies of the SEC’s top 5,000 corporations of the Philippines in 2008 under the management of the 2nd generation Carpio’s, headed by Allan Michael. (No. 941 based on Philippine Business & Government: The Philippine Yearbook Reference Edition 2010)

AMCDI currently trades the following: Plywood, Cement, Yellow Corn, Crude Coconut / Palm Oil, Copra Extraction By-products like: Copra Meal, Copra Solvent and Palm Kernel Meal. AMCDI’s related business and companies under the leadership of Allan Michael Carpio are: Evergreen Realty (Real Estate), 5M Consolidated Hatchery Inc. – (Toll Hatchery services), M7 Trucking Services and Circle Logistics Services (Logistics and Trucking Services), Mariano Milling Corporation (Feed Mill Plant), and recently Pinas Global Coconut Oil Mill Corporation (Oil Mill Plant).

Allan Michael Carpio (AMC) is a Filipino of Chinese descent, 46 years old and born on September 9, 1967 is married to Marlene Gaspar - Carpio. Doc Michael as he is fondly called, finished Medicine at the University of the East Ramon Magsaysay Memorial Medical Center in 1995. He is currently the CEO / President of AMC Distribution Inc., a position he has held since the inception of the company.  He is also the president of Mariano Milling Corp and 5M Consolidated Hatchery.  Wife Marlene finished her degree in Accountancy in 1998 at St. Paul’s College. She is currently the assistant finance officer of AMCDI, and actively participates in the operation of M7 Trucking Services. Prior to joining AMC, she was an Account Manager of Sherwood Corporation, a Manila based company.    Other siblings actively in running the family businesses are: Marlon Carpio, Marilou Carpio – Ibarra with husband Eriberto Ibarra and Rebecca Carpio. The latter, the mother of Allan Michael, Marlon, Marilou and Mariano Jr. used to have a retail store selling rice and other consumer products in her younger years. According to her children, their business acumen is a result of the best business traits of their mother, Rebecca and father Mariano Sr.



OPERATIONS

AMCDI presently supplies about 5,000 MTs/month (from an average of 500MTs/month in 2007) of CNO to some of the biggest feed mills and integrators in the country. AMCDI trades CNO and copra cake (a by-product of CNO), crude palm oil (CPO) and palm kernel cake (a by-product of CPO), yellow corn, cement and plywood. It buys copra from various farmers and copra traders in the CARAGA region for the processing of CNO and copra cake with Iligan Bay Trading & Milling Corp. on tolling basis. It also buys and trades CNO from Wilmar Edible Oils and Cargill Phils., Inc. on 15 to 30 days term, and CPO from Agumil Phils., Inc. on COD basis.

Bulk of their sales are coming from CNO, CPO and by-products are sold to feed mill plants and integrators.  At present, AMCDI already caters to top 10 biggest feed mills and integrators in the country, including San Miguel Corp., Bounty Fresh, Pilmico Foods, Gama Foods, Cargill Feeds, Unahco Feeds (subsidiary of Unilab), Shamus, General Milling Corporation, Pacific Oil Farmers Inc. and Breeders, among others. Terms of sales range from 7 to 30 days.

Plywood and cement are sold to various hardware and construction supply stores in Visayas Mindanao area.  The company is the exclusive distributor of Mindanao Portland Cement Asia Pacific plywood for Northern Mindanao.

Solely on its trading business, AMCDI employs a manpower size of 20 regular employees and approximately 20 skilled workers on per contract basis. Fortunately, there are no records of Union / Labor problems in spite of the absence of a human resources department.  

BEST PRACTICES in MANAGING CHANGE

MARKET SHARE

Reputation and Credibility. Being in the trading business of various commodities for more than 10 years, they already adapted to the market behavior and have aligned its risk appetite in this industry. The Carpio family has been trading copra/coconut oil since 2007, corn since 2003 and plywood since the mid 90s.  They already have built a network of suppliers and buyers to sustain business volume on these commodities. Further, AMCDI has established itself as reliable suppliers to big customers including SMFI, Cargill, Pilmico and GAMA Foods. Hence as the key man, Doc Michael puts its, it is then very important to establish a healthy relationship between suppliers, customers, financial partners and other stakeholders to create a competitive advantage.

BUSINESS MODEL

Competence of managers and succession issue. The Carpio siblings (Allan Michael, Marlon and Marilou) have been exposed in family business since their high school days and have successfully established and managed their own businesses now. They were able to grow a small trading concern, founded by their parents, into a large distribution company that is now one of the top 1,000 corporations in the Philippines in terms of sales.

Prime movers Doc Michael, Marilou and Marlon are still in their 40’s and actively running the operations of the businesses backed-up with commendable skills, quantifiable experiences and prudence.

FAMILY-RUN

Corporate Set-up. AMCDI is engaged in various business lines. The Carpio’s years of experience can be traced from their parents and their long-term relationship with their trade partners are definitely to their advantage. Further, intimacy and show of compassion to employees are exhibited. Having loyal and honest employees working with them can manifest this.

On the other hand, a number of changes are yet to be adopted in the operations, especially in setting up a human resources department, documentation of policies and procedures and what not.

CONCLUSION

Prime movers’ humility and compassion to their businesses made them successful as entrepreneurs. As an ending note, Doc Michael shared their management secrets in spite of many challenges (least to mention that they are in commodity trading business) and changes through time.  He summarized them in three points: Establish sustainable relationship with stakeholders, Act professionally with business partners and Maintain an open communication with internal and external team players.

Engaging Change Management in Organizational Development: NSO’s Quest for Excellence in Public Service by Benedict Jan Baloncio

The first three operative words are quite challenging: ENGAGE. CHANGE. MANAGE. More so, implementing them at the public sector, which requires a well-thought program, consistent system, and commendable political will of a leader. Public sector possesses unique organizational set-up versus of the private and/or third sector, hence, organization development is deemed necessary; Appreciation and recognition is ought to be given for an exemplary performance. Furthermore, reading the article with title, Engaging Change Management in Organizational Development: NSO’s Quest for Excellence in Public Service sent me to surreality, but gave us a REAL and FAVORABLE EXPERIENCE as manifested at National Statistics Office Region 10  (NSO R10).

The article started with a theoretical foundation on Lewin’s model of unfreeze-change-refreeze and Kotler’s Eight Steps for Leading Change and Our Iceberg is Melting. The former presented a supporting System Model of Action-Research process as adopted from Johnsons (1976) by identifying the required INPUT (Preliminary diagnosis, Data gathering, Feedback results, and Actions planning), by analyzing a TRANSFORMATION (Learning process, Action planning, and Actions steps) and by anticipating a desired OUTPUT (Changes in behavior and Data gathering measurement). The latter, on the other hand, it illustrated concrete actions vis-à-vis the eight-step path to successful change. Presented theories then were used as guiding principles in the analysis of gathered data, consistent with their goal of achieving high-quality public service.

Equally important is the manner of gathering data and its validity. Data gathered used several methods: in-depth interview with key informants, focus group discussion (FGD), and distribution of questionnaires among the five provinces of Region 10 covering personal attributes of participants that summarized different organizational issues; a client satisfaction survey was also conducted as part of its first stage in Action-Research process.

After completing the UNFREEZING stage, where the results of the study were evaluated and analyzed, CHANGING stage commenced where actions were planned. The most challenging was on the REFREEZING, the diagnosis and treatment stage. On the case of NSO R10, they started with the engagement of the problem by identifying the issues and how they can manage them. CHANGES followed by communicating well to each employee with proper motivation and support among peers, supervisors and the Regional Director. Changes took time for them, but were successful and can be validated with the consistent awards and recognitions.

The article on the transformation at NSO R10 presented a solid foundation with theories backing it up, generation of scientific data and initiation of behavior changes and its measurement. The success of Change Management in Organizational Development for NSO R10 I think grounded by reviewing employees CORE VALUES, consistent with institution’s MISSION STATEMENT, having to consider as service-oriented industry.

YourDictionary.com defined Core values as fundamental beliefs of a person or organization. The core values are the guiding principles that dictate behavior and action. Core values can help people to know what is right from wrong; they can help companies to determine if they are on the right path and fulfilling their business goals; and they create an unwavering and unchanging guide. For corporations, core values can be manifested with their mission’s statements which are mostly published with their website or even within their premises.

An essential component of human capital management is managing a corporate discipline program. Corporate discipline requires appreciation of the work and moral standards and behavior set by the company and commitment to the company’s thrusts and undertakings. Indispensable to the company’s attainment of its objective to be the best institution is the quality of the employees who carry out its day-to-day operations. Their exemplary conduct, discipline and total commitment to doing business with integrity are the cornerstones of company’s success. The company’s long-term interests and the interests of everyone with a stake in the institution depend on its employees embracing the standards.

Accordingly, for any institution, the corporate discipline programs aim to instill among the employees a commitment and dedication to the virtues of honesty and integrity, together with a high sense of prudence, responsibility and efficiency in the conduct of duties. The problem arises on the observance of an employee with the set of corporate discipline, on how employee’s actions affects others, and is it imperative that all employees live by the values that their institution stands for and reflect these values in their behavior.

I remember then when I started my first professional career as bank employee, I had an immediate supervisor, a Bank Operations Officer for that matter, engaging in a personal activity that potentially compete with the bank’s business. Surely, these activities claim the employee’s time and attention during office hours. Among us newbies in the banking industry, we had questions in mind like, why is the branch manager allowing these activities? What if these situations may lead to conflict or potential conflicts between his personal interests and that of the bank? Is implementation of these programs are for the chosen few? If this corporate discipline program is not implemented, how can good conduct and corporate discipline be promoted in a culture of professionalism and maturity characterized by appropriate work ethics, socially acceptable behavior and high moral standards?

Along with the professional decorum expected for an employee, giving quality service and operational efficiency are vital and essential factors for business success. In the current workplace I am with, I transferred to another commercial bank by the way, it is a challenge for me to work with individuals in an environment where mediocrity is prevalent. It may seem undesirable to share, but there are individuals who cannot think outside the box, have questionable level of authority, lack level of trust, and where human interventions from superiors are commonly practiced. Furthermore, these observations have been strengthened with conversations among peers who recently joined the institution. We have noted that these can possibly come from the existing culture the institution has. Quite disturbing to point out, if such a culture continue to persist, how then can we promote the employee’s positive work attitude manifested with commitment and dedication to productivity and quality work output, and compliance with all policies in the performance of one’s duties?

Entrepreneur.com defined a mission statement as A sentence describing a company's function, markets and competitive advantages; a short written statement of your business goals and philosophies. Simply, it is what the organization hopes to achieve, the very reason for its existence. But backed by these objectives, are the people comprising it who should share the same goal as the company. Because needless to say, the mission will remain to be unfulfilled if its people tread a different path. Hence, employees should possess the ardent desire to achieve results through action and to rise quickly to challenges and opportunities. Employees should exhibit genuine and sincere concern to provide consistent quality service at all times and to maintain a working environment more conducive to enhanced work productivity.

“The strength of the team is each individual member. The strength of each member is the team.” as Phil Jackson would put it on TEAMWORK. An institution acknowledges that its success does not depend only on individual effort but more importantly on teamwork. Teamwork is the demonstrated willingness to work with others in the organization toward the overall achievement of desired results or set goals. Teamwork works best when each team member is competent and skilled and possesses enhanced interpersonal abilities. Open and unhampered interpersonal relations are the key to teamwork. The further challenge then is to maintain and sustain cordial relationship in spite of differences and disagreements.

For any service-oriented industry, the adage, “SERVICE is our BUSINESS” can be a battle cry and customers are the driving force behind everything. However, do institutions continuously prioritize customers’ needs by consistently delivering on the promises, dependably and accurately? Do employees are knowledgeable and courteous in the delivery of services? How willing are employees of the service-oriented institutions ready to help and provide prompt service. At a glance, they are still instances where failure to attend promptly to clients’ requests/inquiries, and rumor-mongering, gossiping and character assassination of clients are among the examples of non-acceptable behavior under this standard of conduct.

As an individual, employed or being a business owner, to maintain the confidence of the public we serve, we must always strive to work by the highest ethical standards or at least maintain the core values of professionalism, result-oriented, teamwork and customer care. We may have many roles to play at a given time but these can be fully tested on how we respond to situations. On personal note, I am fortunate that at an early stage, I was able to learn and to manage different roles, professionally responding to every need and always striving for excellence in everything I do. We are then challenged to uphold a rigorous standard of integrity and instill in our everyday conduct these competencies and to comply with the ethical business standards.

In summary, if only employees refrain from engaging in any kind of activity inside or outside the institutions that might compromise the interest, then its ethical business practices are complied with. If only employees maintain the highest degree of integrity, fully aware that any misconduct or misdemeanor is a breach of the confidence that the institution has entrusted to them, then misrepresentation is avoided and defined. If only the “I” is contributed in a collective action, then it creates productivity. If only institutions promote care for their customers and with their stakeholders, then business is sustained. If only these core values are well defined and adapted, then it creates competitive advantage.

It ‘s all about Management by Maria Consuelo R. del Castillo

Reflecting on the paper, I realized how important management is.  Organizational growth as well as career and personal growth of workers in an organization  are both a function of how competent management is—from top to the lowest level.  Hence, taking care of an organization and its workers means putting only competent managers in position.

But  before lower-level management can be selected,  top management first, are put in place.   Hence, a big question to ask is, who is on top?  What kind of a manager is he or she?  If he is quite skewed—highly technical but cold and impersonal or not technically competent but kind-hearted, one may not be able to expect high performance from such organization.  Technical competence and real concern for workers, I believe are two qualities that have to be in a really excellent manager.  Having one quality but without the other may not work.  With top managers having both qualities, high performance of organization and workers are better ensured.  These excellent top managers can then do a good job in placing competent managers at the lower levels.

The lower-level managers play an even more critical role because they deal directly with the organization’s  soldiers—the ones on the ground and making sure the targets are met. These managers have to be technically competent because they tow the line in terms producing the outputs—the high quality outputs.  They have to be most human and therefore loving (because only humans I believe are the most capable of all beings to love and care for another) and most enlightened (in order to see the potentials in each of his subordinates) in order to guide his colleagues in aiming high for themselves and the organization and feel satisfied about themselves along the way.

Reaction Paper on the Pygmalion in Management by Rhea Suzette Mocorro

Reading the Pygmalion in Management is definitely a good one and truly applicable not only to managers but anyone who leads a team or working with one. Personally, it made me aware that managing is more than dependent on qualification, years of service, experience, background and working environment. Managers will also play a big role towards an employee’s success. And this is evident by the reading itself.

For one, managers must firmly put their belief and their trust in their people. It was stressed in the article the power of expectations. Should a manager want his or her team to produce the best results, this must be evident with the way the manager connects, communicate and believe in his or her people. And I could not help but agree with this notion. Employees have varied motivation factors. And one of which would be in accordance to how the managers would treat them. Take for instance, an employee would love to go to work if every so often his or her manager would pat him or her at the back for a job well done. That gesture alone can motivate the employee to do better output. In the contrary, an employee who is not praised at all would surely lose interest with the job. And it can drastically change his or her performance.

Another thing to look would be time. As early as the employee joined the company, they must be shaped by the manager’s expectations. The longer they stay in the company, the harder on the end of the manager.

That is when I realized that being a good manager is not an easy feat. In your hands, you can shape people and transform lives. That is why, it has to be done carefully and has to be done right. 

Engaging Change Management in Organizational Development: NSO’s Quest for Excellence in Public Service by Rhea Suzette Mocorro

Regional Director of the National Statistics Office Region 10 and Professor of Management at Capitol University’s Graduate School shares his study with regards to the process of initiating change and managing it in his office that led the way to the office’s recognitions and awards. He adapt Lewin’s model of unfreeze-change-refreeze and Kotter’s Eight Steps for Leading Change as well as insights from Kotter’s book Our Iceberg is Melting.

Summary

During his time NSO is confronted with varied organization issues that were evident from their data gathering phase from their interviews and FGDs from the five provinces of Region 10. The five uses are (1) minimal public image of NSO, (2) difficulty of NSO R10 employees in coping with computerization, (3) low percentage of civil registration among indigenous peoples, (4) low percentage of civil registration in the barangays and (5) great volume of clients at NSO every day.

The five issues that surfaced eventually lead to poor client satisfaction. This is evident by the Client Satisfaction Survey done way back in 2005. The said survey reveals that there are lag time with regards to processing of application form, verification, payment and releasing. Yet, many are satisfied with the services of the NSO R10 because of the establishment of the Census Serbilis Outlet. There is also that level if dissatisfaction with regards to the area and facilities of the Outlet in terms of the comfort of the area and also the facilities availability. In addition, there is also that small client percentage who remarks that the Outlet’s service is slow. Worst is that even with continuous improvements, NSO R10 still receives the same complaints.

In accordance to Lewin’s model of unfreeze-change-refreeze, NSO R10 employees underwent the unfreezing process combined with Kotter’s Eight Step Leading to Change and from Our Iceberg is Melting. In here the employees were presented with feedback from people. The survey feedback techniques were used in order to make them be aware of the need for change. The change stage involves presenting them with solutions to the office’s problems and the employees were part of the change. Plus, stakeholders and also the communities were also included. The refreezing stage then fortifies the changes into the organization. Employees were taught skills and their leaders are the ones checking if the items were applied. This solidifies Kotter’s Step 8 which entails that the changes must stick to the organization. Employees were part of the thinking and implementing process to make them appreciate and understand the need for change. They were cultivated to develop their skills as well as see opportunities for growth and development. No wonder, the change that happened to NSO R10 was deemed effective and a success.

Critical Reflection

The dominant purpose of the paper is to show how varied organizational models and framework of change can be applied in any organization in order to engage in change management. True enough with Lewin’s model and Kotter’s framework, it aided in the effective change implementation of NSO R10.This is grounded in the office’s goal to provide high-quality public service management. True enough with the said changes, the office were given awards and distinct recognitions.

Other organizations and businesses will find this paper useful for understanding and implementing change that can aid to the better performance of their office or enterprise. The paper clearly states how they were able to identify their office’s issues, what they did to the employees and the organization and how they were able to make it work. Plus, the items that were undertaken were grounded with related models from Lewin and Kotter. I like the general ideal that states “change management starts and ends with the individual” (51). True enough an individual is crucial to change. It must be started with them and ended with them. That is why the employees must be part and involved of the change, assume responsibilities and let them feel that they are trusted with such activities.

In spite of the change being slowly implemented in the NSO R10, the entire paradigm didn’t leave an individual. This is evident by adopting computerization in the said office (52). Employees were trained on how to use it, make them believe its use and using technology as a tool for them to use. More than the insertion of new knowledge, they inserted the right attitude towards it. Employees were also tasked to think outside the box (52). Their inputs were considered, their voices were heard. That is why when they implement the strategies coming from the employees, it was not a chore to do it since they were the ones who suggested it.

It would be best if the paper would also include the after effects of the change management implementation with regards to the five organization issues confronting NSO (48). It was stipulated in here the varied issues that were identified during interviews and FGDs. It would be a good way to identify if the issues were addressed because of the change and up to what extent. For instance, the first issue was minimal public image of NSO. After the change did the public already know the other functions of the said office? Are there NSO responsibilities that are still unknown to the public? Aside from that, it would also be appropriate to develop another client satisfaction survey after implementing the changes and be included in order to define the new satisfaction ratings of the clients. Should there be a change can greatly glue the change implementation as a success.

Conclusion

Change is inevitable in an organization. How you implement it can mean a thin line between failure and success. That is why in implementing change, it is important for the manager to be engaged with it. Not to mention, more than changing the organization’s procedures, you also need to change your employee’s attitude. Remember, they are the beginning and the end of change. Their cooperation is crucial to the organization’s success. That is why, make them involve, let them be aware of the change, its importance to the enterprise and how their presence can aid in its success. Motivate the employees and empower them. It is also a manager’s responsibility to continue the change with continuous effort for development. Implementing the change is only half of its success. The change must stick to the organization as stated by Kotter’s Eight Steps for Leading Change. 

Managing Change by Suzette B. Viñas

I have a reason to believe that the people we work with have the influence to help us become better and inspire us to do more for our organization. I joined Father Saturnino Urios University(FSUU) in the year 2006 and my first encounter with Fr. John was when I wrote a letter for his signature and without intention I rearranged his name to Christian John and when he signed it he attached a post it saying, “My name is John Christian with a smiley.” Right there I realized I was working for a cool President.

He started working for FSUU as University President in the year 2003 at the age of 36. But at the time he never divulges that information because it will affect how people in the organization view him. Before that he was in Rome doing his Doctorate in Missiology and was requested to come home because FSUU was in a pretty bad shape. The salaries where highly distorted, there was student unrest and the school was on a financial meltdown. He said that the worst thing that could happen is that the school might close down at least they get to keep the land and building.

According to Fr. John, there is no one true formula for managing change. In his case, he really started by looking at the situation, gathering data so that he can start diagnosing and starts fixing. Because of the ever increasing salaries and no increase in tuition fees, it was affecting the school operation. The major problems of the school that time were finances, human resources and lack of focus.  Obviously these are all very critical to the health of the institution. He started by flattening the hierarchy since he noticed that too much bureaucracy affects the efficiency of the operation. The structures lead to free flow of information and direct contact with the deans, heads of offices, etc. One very essential element was also his meeting with the union and giving them a scenario of the state the university is in. They were able to see the big picture and they also realized that the President is inviting them to work hand in hand in trying to save the school. The union was even given the chance to craft a salary grade scale which meets the President’s requirement that it be just, fair and sustainable.

He had to orient the FSUU community of the Culture of being Thrifty. Because of the university’s limited resources at that time, he said it was fundamental to set your priorities and allocate funds to areas which prove to be beneficial for the school. He also talked to students and make them understand the situation and to stop the uprising. Fr. John said that aside from studying the terrain, gathering data and coming up with solutions, the key element to change management is the will to do it. He said he had to work 14 hours a day just to ensure that the school can regain the stability it once had. He said that in every act of change it is necessary to understand that personal sacrifice will go along with it. Lastly, he never forgets to pray. He prayed long enough that he will be given the right people to help him manage the school and indeed his prayers were answered.

 In his 11 years tenure as President, he was able to re-engineer the financial system and organization leading to financial sustainability and growth. The school was granted university status within 2 years of assuming the Presidency. One of the highlights of his career was the construction of the 3.5 hectare Abp. Morelos Campus which has now become a landmark in Butuan City. Moreover, he put in place a fully funded Retirement Trust for all faculty and staff of the university within 1 year of becoming president. He continuously ensured together with his management team the improvement of quality and standards of the offerings and programs of the university, upgraded the educational environment and physical facilities and introduction of new program offering which summed up led to sustained increase in enrollment.

Fr. John said there is so much more that needs to be done. His only consolation is that being a priest he is duty bound to produce men and women who will be responsible in the future. He never forgets that aside from being a President he still has to fulfill his calling to love God and love his neighbor as expressed in his unparalleled service to the institution.

Commitment to Change by Suzette B. Viñas

Change is the most permanent thing in this world. That is why most if not all organizations go through a change process to improve a product or a service to increase customer satisfaction. The thing about change is not all people welcome it with open arms. Thereby change in this context becomes very challenging for a leader in an organization.

The article Engaging Change Management in Organizational Development: NSO’s Quest for Excellence in Public Service is one concrete example that change management can be done in an organization. First step towards change is the realization that there is something that needs fixing or something that needs to be improved. In this case, the survey showed that to the employees of NSO Region 10. It is an output representative of the insights and issues from the point of view of the public. This is the unfreezing portion in the change process. In reality it takes so much humility to admit that some things need to be change especially if the organization has been in existence for a number of years and has been accustomed to how things are done the usual way.

I commend the leadership and administration of NSO R10 for rallying the support of their employees towards this move for change. I also want to highlight on the phrase being mentioned, “human beings make organizations work, not technology.” I agree with this statement all the way. It is essential not to forget that the role of humans is irreplaceable to that of the machines. The employees have the ability to think, rationalize and make decisions which are crucial in the delivery of prompt service. The technology is there to make jobs easier and faster and employees should also be open-minded to learn new things, to adapt to new environments and update their competencies.

Trust should also be accorded to employees to initiate activities in their level. Those in the grassroots are well aware of the problems they encounter and they have all the information of what works and what does not. It is important to solicit ideas from them to also make them feel that they are contributing to a greater whole. For employees to give out valid suggestions and actionable ones, the administration is also duty bound to equip them with trainings and provide them with due support. Give them space and area to nourish their creative sides and explore possibilities of innovativeness and provide them assistance by assigning them to work in teams or committees.

As human resources are developed, there is also a need to look into the operations side in implementing change management. In this article, there is a significant discovery of the reasons why people from the provinces don’t avail of the services. The logistics problem was carefully thought of and the Touch Base Civil Registration Management Systems proved helpful to the public as well as lessened the volume in their respective offices. This movement improved two parts of the delivery of their services and that to me is quite exemplary especially coming from the public sector. If this movement is effective for NSO R10 I don’t see any reason why this cannot be adopted with the other regions and government agencies.

The transformation part of the model is very thought-provoking as there will be mixed emotions involved in the change process. Because aside from the process, there are also behaviors that needs to be addressed especially the negative ones. Sometimes if policies are not in place to support the change movement then things might go back to the way it was before. Action planning then should involve everyone to create concrete steps which are actionable and realistic. The timeliness of the action plan is also very important because if it were implemented later, it may not yield to desirable results. This stage can also be considered as a trial and error stage to come up with the best of the best plans. Solutions that cater to personalized needs and answers fit to case-to-case basis problems. The more number of people are involved, the more chances of equal representation of ideas and more options to choose from. The culture of initiative and innovativeness is hard to come by thus administration should also be sensible to varying needs of employees as well as changing demands of clients.

Even the refreezing part needs to be unfreeze from time to time because the very essence of change management is actually look into ways of continuously improving the system. Newbies will enter the organization, new technologies will be developed or even change in leadership can also be experienced. For that reason, every move to change management should be coupled with sustainability mechanisms. Strategic plans for the future should not rest on one person alone. It has to be built in within the system. A system that knows how to correct itself, a systems that solicits feedback and a system that is geared towards excellence coupled with people who are empowered and enlightened will prove to be the best assets of any organization.

In a world fueled by change, competition is inevitable. People will fight for resources, people are empowered to demands their rights and the social media has changed the platform of providing feedback and expressing issues and concerns. Organizations placing priority on customer satisfaction and consistently working on its improvement will prove victors in the quest for efficiency and effectiveness of product and service delivery.

In conclusion, I am reminded by one of my favorite quotes which states that, “what doesn’t kill you makes you stronger.” Those who strive for change are the people with more strength and they can withstand anything that comes along the way. And the best leaders are the ones who can inflict change without sacrificing the belief in the human capital. Lastly, the greatest wonders of the world were made out of a collective effort and not by just one man. If change can be likened to a boat, one needs people to paddle for it to move and more people to arrive at a destination sooner. Most importantly if sailing against the tide, there should be a clear vision to propel those in the boat to paddle hard and motivate them never to stop working. One can only do that if he/she has well invested on relationships rather than on material things.

Reaction Paper on Pygmalion in Management by Suzette B. Viñas

Being in a managerial position is hardly a walk in the park. One has to portray various roles such as being a role model, a mentor, a pacifier, a negotiator, and so many others. In so many cases, they say that a good manager should be someone who has rose from the ranks so that he/she can easily relate with his colleagues and subordinates. But the article on Pygmalion in Management talks about a very essential characteristic a manager or a leader should possess that is: to be able to inspire others to work hard and meet expectations.

I believe that is where standards are for so that employees can measure their performance vis-à-vis a benchmark to which managers gauge their improvements. The experiments presented in the article suggest that employees tend to work hard to meet managers expectation thus managers are duty bound to give out expectations which are both realistic and achievable. Honesty is still a very important key element to foster manager-employee relationship. If a manager gives out instructions to deliver an output yet the employee does not have what it takes to perform then both parties would end up being frustrated. Hence, managers and employees should communicate well as to what can be done given the set of skills and capabilities and what needs to be augmented so that expectations have to be met.

I have been a manager with subordinates twice my age. I agree with Livingston’s statement that it is really way better to train the young ones compared to those who have been in the organization for quite some time. But it is also undeniable that you need this people for their wisdom and experience. At the end of the day, it is a manager’s duty to form managers out of subordinates may it be from different generations. One way of doing it successfully is to keep them motivated, assign challenging tasks and develop an attitude of initiative and due diligence. And the best part is having the opportunity of giving them appreciation and a pat on the back for a job well done. As stones take time to become diamonds, so as people need time and proper guidance to bring out the diamonds in them.