Social Icons

2013 Entrep Class

Spentrep and Mentrep Guest Entrepreneurs



Monday, February 13, 2017

Managing Family owned business/corporation

Every generation needs a revolution - an entrepreneurial revolution

Rizal Philippines
February 13, 2017


From IFC - Family Business Governance Handdbook

Corporate Governance in Family Business



Image result for managing family owned business



Related image

This coming Wednesday, I will be meeting a Board regarding questions on propriety correct way of investment by family members.  I and a lawyer will be consulted on the fairness on investment and dividends of family members on the business.

The laws of the land, the civil code, the family code, the Corporation code cant answer the query;  even management  and MBA stuff cant answer that.

Managing a family owned business is a challenge;  managing family relations and managing the business

They say that the first generation builds and grows the business, the 2nd generation enjoys it, the third generation, the nephews and grand children ruins it.

A/  There should be three governing bodies of  a family owned business each with varying compositions:

1.  Family council  -  to create and enforce Family constitution which contains

           1.  Family constitution  -   enlarging perpetuating the vision mission
                         1.  family members employment
                         2.  share holding

          2.  Family corporation institution

                        1. family assembly
                        2.  family council
                        3.  family office

2.  The statutory board  - to do the regular board meeting responsibility

3   The strategic board plan the future or the company to keep up with the times, and fend off competition


B.  FAT principle and corporate governance

     Fairness
     Accountability
     Transparency

C.  Succession Planning

Lawyers, judges cant solve the problems of family owned corporation although they are so many may be up to 80% of the total business in the country.  Many of them fall by the wayseide because solutions to their problems, mostly about family relations can be solved by the family members  themselves.  That is why Nene Soriano, Ricky Mercado (under the new Dept at Loyola on Family business) are having a great day consulting family owned business. So too Dr. Ed Morato who bills $2,000 per day





       

Sunday, January 29, 2017

Innovation at Omron

Every generation needs a revolution - an entrepreneurial revolution

Rizal Philippines
January 29, 2017

The Future of People and Machines
 - Yoshihito Yamada


The President of Omron Yoshihito Yamada spoke at NHK on the two things that propelled Omron, the maker of sensors and other innovative devices that changed the world we live in like cash counters, cash dispensers, ATM machine, portable BP devices automated ticket machine and many many more.

Yoshihito Yamada CEO of Omron at NHK at Direct Talk

They are innovation, and commercialization of those innovation

What do you think of this game changing ideas in a business?

The President used to be in sales and his project was the BP measurement devices.  They made a campaign to get people to use the device:  people should measure their BP to avoid heart attacks and strokes.   And their sales of portable aneroid sphygmo shot up.  Innovation is risky, and they had many failures too

Monday, January 23, 2017

China's strategy to jump start economy

Every generation needs a revolution - an entrepreneurial revolution

Rizal Philippines
January 23, 2017

Image result for China relocates migrant farmers to 3rd tier cities

From Bloomberg - rebalancing Chinas economy

NHK recently featured China's strategy to jump start economy.  It is moving development to 3rd tier cities relocating many migrant farmers from 2nd tier cities.  It is called hukou.  I t will help soak the excess housing in the 3rd and fourth tier cities, and create more consumer driven economy
How we wish we could do that as we legislate in creating cities, we should invite give incentives  to industries and developers to move to this cities.  Thus decongesting MM and evenly spreading  progress at the country side.  Some cities like Sto Tomas, Tanauan  Bacoor fall into this mold;  but others do not. (natural ;progression because of MM spill over?)

China has finally encouraged labor mobility following years of restrictions

But the documentary says that such move, sound as they may from macro economic point of view has dire consequences in the lives of the farmers.   Many simply can not adopt to the changes. The farmers former businesses are demolished and they are forcibly forced to move out.   There is lack of consultation with the those affected parties and lack of safety net to those affected. It would have been perfect.

We lack the thoroughness in the country to plan this way, and to give the same support to spread development and entrepreneurship across the nation