(This article was serialized in 2 parts in the editorial page of the Jan 31 & Feb 5 issue of the People's Journal)
The highest recognition for exemplary performance that the national government can give an organization, whether from the private or public sector is the Philippine Quality Award (PQA).
Small, medium and large business units, as well as LGUs and other governmental departments, agencies or units are qualified for this award. It was created through Executive Order 448 on October 3, 1997 and institutionalized on February 28, 2001 through the signing of Republic Act 9013, also known as the Philippine Quality Award Act – whose patron is no less than the President of the Republic of the Philippines.
This award, which is comparable to the Malcolm Baldrige National Quality Award (MBNQA) of the US, was created to encourage local companies and organizations to improve the quality of its products and/or services (as well as its productivity) which would naturally redound to its obtaining a competitive edge. The award does not bring with it monetary or material rewards, but would instead be a source of prestige for the winning organization (a promotional and marketing plus) as well as the pride of being made an example for others to emulate.
The PQA is managed by the DTI Secretary as Awards Manager, and is responsible for the PQA Program which in essence is to "promote standards in organizational performance", "establish a national system for assessing quality and productivity performance", and "recognize organizations...which excel in quality management and overall organizational performance". He also chairs the PQA Committee, the award’s policy making body composed of six department heads from the government and six representatives from the private sector, which has set a “standard of excellence”, based on Total Quality Management (TQM) principles, that can be used by organizations in the country as a model for raising their competitiveness to world class levels. The task of implementing the PQA Program is assigned to the DTI-Center for Industrial Competitiveness (DTI-CIC) which uses the following “major criteria” in selecting awardees: Leadership, Strategic Planning, Customer and Market Focus, Information and Analysis, Human Resource Focus, Process Management, and Business/Organizational Results.
The PQA itself, which is “...conferred to organizations which have demonstrated the highest level of performance excellence, i.e., the demonstration of management excellence through its continuous generation of outstanding results and continuous improvement of its systems” is not easy to achieve. Vying organizations usually will have to “inch” through phases in their journey towards meeting the grade that would qualify them for the award. It is probably in due to this that a “Recognition Level” system was incorporated into the program so that “organizations that applied for... [and] failed to qualify for the PQA ... [but have shown to have achieved] some degree of superior performance may receive any of the following recognitions”:
1) Mastery in Quality Management – for an organization that have demonstrated superior results clearly linked to robust management systems and practices that others can emulate.
2) Proficiency in Quality Management – for an organization that have demonstrated significant progress in building sound and notable processes through the implementation of improvement plans and procedures based on quality and productivity management principles.
3) Commitment to Quality Management – for an organization that have demonstrated its serious commitment to improvement in order to achieve quality excellence. It has already planted the seeds of quality and productivity and is starting to experience already the benefits from the effort.
The 13th cycle Philippine Quality Awards conferment ceremony was held last Thursday, January 27, at the Rizal Ceremonial Hall in Malacanang Palace. There was no winner for the main (PQA) award but Level Recognition Awards were given, all to manufacturing companies, namely: Mariwasa Siam Ceramics and RCM Manufacturing for Mastery in Quality Management (Level 1) and Sunpower Philippines for Proficiency in Quality Management (Level 2). President Benigno S. Aquino III, who was also the keynote speaker, presented the trophies to the winning companies. He was assisted by DTI Secretary Gregory L. Domingo, DTI President Antonio D. Kalaw, Jr., PQA Foundation President Angelito M. Sarmiento, Ambasssador Cesar Bautista of the NCC, Mr. Raymond C. Tan and Mr. Ruy Y. Moreno Chair and Vice-Chair respectively of the PQA Board of Judges.
In his speech President Aquino pointed out to creativity as our capital as a people. He said that the best businesses in the country are the ones that combined efficiency and effort with “a dash of our Filipino creativity”. He also stressed that “creativity feeds progress”, and pointed out as example a company called Coconet which introduced “the possibility of using coconut coir instead of concrete to line our roads and some bodies of water to prevent flooding”. This idea, he explained further, can result to a savings of 3 billion pesos in road maintenance and at the same time uplift the lives of coconut farmers.
The President said that it is this creativity that is our bridge to quality as reflected by the reason for the day’s gathering or “celebration”. He pointed out that the tapping by the awardees (Mariwasa Siam Ceramics, RCM Manufacturing and Sunpower) of the Filipino’s natural traits (love for craft, traits of dedication and efficiency, as well as competence and inventive genius), and combining them with their own organization’s attributes (productivity and quality skills, resourcefulness as well as their expertise) have brought about the optimization of their human capital – which is an example of good organizational management.
The President addressed the awardees (all of whom incidentally have foreign equity) and thanked them for being the means by which, through their success as a company, the “Filipino workers receive the good reputation they deserve in the eyes of the world, and even in the eyes of some local businessmen”. He said further that it is their companies that harnessed the Filipino worker’s talents and turned them into “proof of excellence”.
Addressing now the Filipino workers, he said that it is his inventiveness and attentiveness to his crafts that are his core competencies, and which gives him advantage over the others. Still addressing the Filipino worker he said, “...your talent raises the dignity of the Filipino. Your talent attracts investors. Your talent creates jobs. Your talent feeds our country men”. And he thanked them.
The President stressed that although he recognizes the importance of the private sector’s continuing to be competitive through its products, the goal is “that progress is felt by all, across every strata of the society”. He also mentioned that he looks at the day’s celebration as also a celebration of “yet, another step towards progress”. He also challenged the awardees to aim even higher to reach the levels that he knows the Filipino workers can achieve, and he promised that government will reciprocate with steps that would foster a viable business environment for them. He proceeded to mention a dream that conditions in the country would be fixed to a point where it can be “nominated for its very own Philippine Quality Award”.
In ending he said,”...all I ask of you now is to continue your belief in our people, because ultimately, it is this belief in the Filipino that keeps us here, exerting all our energies, step by firm step toward a future that our people rightfully deserve”.
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