Articles, essays, and talks of Rey Lugtu

(Published in the Manila Standard under the Greenlight column on November 6, 2006) "Our businessmen come to Nanning looking for products as candidates for integrative trade with China,” President Arroyo said at the opening ceremonies of the 3rd China-ASEAN Expo (CAEXPO) and the 3rd China-ASEAN Business and Investment Summit (CABIS) on October 31, in Nanning, China. She further said that Filipino businessmen participated in the expo "looking not only for products to bring home, but for industries where Chinese and ASEAN manufacturing can collaborate to produce for our own domestic markets and for the rest of the world." This was an opportune time for Filipino businessmen and executives participants, who will be part of the strengthening of “integrative trade” within the East Asian region to reduce dependence for exports on Western markets. Managing in an unpredictable environment But perhaps what is more important for the Filipino participants to learn from this exhibitio...

(Published in the Manila Standard Today, under the Greenlight Column, August 7, 2006) The Department of Education (DepEd) has introduced this school year the “Know About Business” (KAB) curriculum for pilot implementation in selected public and private high schools in the country using an entrepreneurship module developed by the International Labor Office (ILO) head office in Geneva, Switzerland. KAB, which has been implemented or is under pilot testing in more than 20 countries in Africa, Asia and Latin America, aims to promote awareness among the youth of the opportunities and challenges of entrepreneurship and self-employment, as well as their role in shaping their future and that of the country’s economic and social development. This program is perhaps the first of its kind in the country. But actually, teaching entrepreneurship is nothing new. Entrepreneurship is being taught in many schools around the globe. In the country, a number of colleges and universities offer undergraduat...

(Interview with Prof. Reynaldo Lugtu, Jr, by Sam L. Marcelo, Special Features Writer, BusinessWorld, published July 31, 2006) The bundy clock is a throwback from an era that primarily used time spent at the desk as a measurement for an employee's productivity. In those days, working always meant going to the "office" - the physical space that ensured interaction between management and the rank-and-file. Working in the same environment allowed supervisors to swoop in unexpectedly and literally read over someone's shoulder to see if a report was being done correctly. being in the same place also made it easier to instill a sense of belonging and company loyalty, and employees could mingle at the proverbial water dispenser, swap ideas, or indulge in tales from the rumor mill. While wireless connectivity does not automatically mean that employees will never darken their office's doorstep, it does mean flexible hours and less opportunities for "bonding with cowork...

(Published in the BusinessWorld under the View from taft column, July 27, 2006) In the recent 95th International Labor Conference in Geneva, Switzerland, the Philippines through then Labor Secretary Patricia Sto. Tomas, urged the international community to redefine the meaning of work. She cited that work has been traditionally defined as an activity for which one was paid and that which was done inside national boundaries, effectively excluding OFW’s as well as cooks, maids, and other mundane tasks. Perhaps work needs to be redefined to account for the shifts that are taking place that shape its very meaning. Indeed, technological change, globalization, and shifts in demographics are affecting patterns and nature of work in developed as well as developing countries. Advances in digital automation technology will replace more routine work involving processing of information or transactions with individuals. Already we are seeing this trend in the banking sector where Internet banking t...

(Published in Business Mirror, under the Mirror Image column, June 14, 2006) “Business model innovation is becoming the new strategic differentiator”- this is one of the findings in "Expanding the Innovation Horizon," the 2006 IBM Global CEO Study reporting on the agenda of CEOs in the next few years. The results are based on interviews conducted recently by IBM and the Economist Intelligence Unit (EIU) with 765 chief executives from around the world. With ever changing markets, globalization, and stiffer competition, companies need to innovate to survive and grow. According to the study, innovation is no longer about inventing new products and services, but more on innovating business models and competing in new ways. So what is a business model and how can it be the centerpiece of innovation? Amit Singh Sisodiya, author of “Business Models - An Introduction” defines business model (which he also referred to as business design) as “the mechanism by which a business intends t...

(Speech delivered before the National Association of Independent Travel Agencies – Philippines, Inc. (NAITAS) General Membership Meeting, March 31, 2006)

(Interview with Prof. Reynaldo Lugtu, Jr, by Sam L. Marcelo, Special Features Writer, BusinessWorld for the Corporate Wireless Business Solutions supplement, March 2006) BW: In your article "TheEmerging Mobile Workforce", you said that "some employees may abuse the newfound freedom from mobility, and instead spend their time away from the workplace on personal matters." Isn't it that output of employees is more important than howmuch time they spend at the workplace? Used to be, the bundy clockplayed a role in paying employees-- with mobile/wi-fi technology (andflexible hours) how should performance be judged? Would you say thatas long as employees deliver, how much time they spend at theworkplace is irrelevant? Prof Rey Lugtu: Much of the mobile workforce right now are working as marketing and sales professionals, consultants, technical support, and other business executives that need to visit clients and business partners. Measuring the performace of such wo...

(Published in the Manila Standard Today under the Greenlight Column, March 13, 2006) Manny Pacquiao was pegged a 10-8 underdog in the Las Vegas sports book betting windows a week before his rematch fight against Erik Morales; and this after Pacquiao was pegged the 7-5 choice earlier. As the fight neared, the odds became even until more bettors placed their wager on Pacquiao on the day of the fight itself, making him a 10-9 favorite. True enough, more bettors got their winnings as Pacquiao kayoed Morales. Wise Crowds The collective wisdom of the bettors, despite the vacillating odds, turned out to predict the winner in the historic boxing fight. This crowd of diverse bettors, as James Surowiecki put it in his book “Wisdom of Crowds”, is “remarkably intelligent”, and is “often smarter than the smartest people in them” under the right circumstances. Surowiecki argues that “four conditions characterize wise crowds: diversity of opinion (each person should have some private information, ev...

Published in Businessworld, View from Taft column, February 16, 2006 The emergence of the information and communications technology (ICT) and allied industries in recent years has lead to the phenomenal growth in employment opportunities in various sectors. For instance, the number of professionals in the business process outsourcing (BPO) sector has been growing exponentially since 2001; and to date, there are around 100,000 employed call center agents, customer service reps, BPO managers, and other IT professionals that interact with clients from all over the globe and other parts of the value chain. Likewise, the growth in telecommunications services sector has resulted to the growing number of professionals in software development, sales and marketing, and even entrepreneurs and business managers whose jobs are anything but routine. These professionals and employees not limited to the ICT industry, such as customer service representatives, managers, and salespeople, make up the fas...