BOC performs well, finally

Customs Commissioner Antonio Bernardo has reported impressive numbers for the first four months of the year. Tax and duty collections have exceeded targets, with the January-April take hitting P35.534 billion as against the target of P30.626 billion. That puts the Bureau of Customs 16 percent ahead of target.

The numbers are impressive considering that this is the first time in recent memory that the bureau has performed this well. And the turnaround has been remarkable considering that only last year, the BOC was struggling with its collection target.

But what is truly significant is that these record-breaking numbers are being posted in this day and age of trade liberalization and diminishing tariffs.

Employing a management style he calls "himas-batok," Bernardo was able to rally his people to focus on revenue collection. He also reshuffled people in key collection districts like Manila, Batangas and Cebu to optimize performance. As controversial as the move was at the time (Bernardo became the target of media attacks for the revamp), it has now apparently paid off as these districts showed the highest collections.

Bernardo says he continues to streamline the import documentation process while monitoring collections very closely. This way, the commissioner believes he can avoid bottlenecks and at the same time ensure that his people are focused on keeping the workflow smooth and unimpeded. This is part of what Bernardo preached last year about the bureau evolving from a purely collection agency to a trade facilitation office. This has already endeared him to the business community which apparently appreciates the commissioner’s efforts to do away with bottlenecks and document processing hassles.

And this is probably where Bernardo has been most successful – providing the proper system to facilitate importations which greatly improves the efficiency of the private sector because time and money wasted with these bottlenecks are greatly reduced, if not altogether removed.

But the proverbial yardstick will still be revenue collections, in light of the national government’s perennial deficit problem. In this area, Bernardo and the BOC have so far passed with flying colors. It’s a pity though that the BOC collections account for only 20 percent of total government revenues and that Bernardo is the customs commissioner and not the chief of the Bureau of Internal Revenue. The deficit scenario could have been much sweeter.

PLDT reorganization

Just last Thursday, I met the new guy who replaced Al Panlilio as head of PLDT’s corporate business group. Eric Alberto had over two decades of corporate banking experience with Citicorp and Citytrust. With an impressive resume, I can’t help but ask him why he decided to change career path and join PLDT? Eric believes that it is telecommunications and food that will spur the country’s economic development, and of course, many will agree with him.

Al, I learned, is now heading the PLDT group in charge of international business (PLDT Global). ePLDT co-managing director Ariel Roda (who used to be chief information officer) has now transferred to PLDT as senior vice president in charge of business development. The changes, I may say, are surprising, but as Ariel puts it, the whole thing hopes to make the organization more efficient.

And speaking of changes, PLDT controlling shareholder First Pacific Co. Ltd. based in Hongkong has also undergone some significant changes in key personnel following the exit of chief finance officer Michael Healy and general counsel Ronald Brown effective last April 30.

Paul Wallace, who used to be a senior partner at Price Waterhouse (as well as the boss of PLDT’s very own finance consultant Chris Young), is back at First Pacific to take over Healy’s post. Wallace is not new actually. He had a long stint with the First Pacific Group until he left for personal reasons.

As for Ron Brown, I heard that First Pacific may just farm out the legal services to an external firm instead of hiring a new general counsel. Management though has decided to promote Nancy Lee as corporate secretary, a function that Ron used to handle.

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