‘Innovate or perish’

To continually benefit or profit from society, business must contribute and invest on society and its institutions. The days of single products of single use, as well as monopolies, are fast becoming obsolete or endangered.

In this very season, the “History Channel” is featuring a series on the once mighty men of American business who prospered in cultures of monopolies, oligopoly, “Guns, goons and gold.” Ironically these once celebrated historical titans are dead along with their core businesses and practices. Today we hear of corporate accountability, product liability for manufacturers, social responsibility, ethical conduct as well as environmental responsibility.

The bigger the business grows, the greater the public scrutiny they undergo. Legislation and regulation have ultimately caught up with the unbridled business practices of the early days of business and manufacturing. Placed under such controls, business has evolved to be responsible, ethical and accountable.

The process of ethical evolution has undoubtedly benefitted society but a group of “Thought Leaders” find themselves at a point when being ethical and responsible are not enough. For them it is necessary to go beyond running businesses and develop a culture of innovation in the Philippines.

Perhaps they’re right, considering business today is no longer about access to raw materials or simply finding cheap labor. To be competitive in today’s markets and consumers the greatest challenge is to develop “innovative products,” processes and solutions that meet the new lifestyles and realities among consumers as well as in society. We no longer live or do business in a fixed place called an “office,” we are mostly mobile, and we are not primarily “physical” but have become visual, audible or “viral”.

The group of “Thought leaders” I refer to are the members of AVID or the Association of Vehicle Importers and Distributors, alongside their many partners who represent the academe, business and government who fall under the category of “Thinkers, Leaders, and Innovators.”

AVID recently staged their 3rd Thought Leadership Forum dubbed “ICON” or Innovation Congress and once again they showcased an event that was clearly intended to generate interest and serious discussion as well as media attention on the set topic: Innovation. This year AVID partnered with the Department of Science and Technology to showcase “Filipinnovation” and also invited high profile speakers well known for innovative thinking, action, and passion.

AVID president and Hyundai Automotive Resources Inc head Fe Agudo drove home the point by stating that today’s companies must either “Innovate or Perish” in a setting of extreme competitiveness as well as demanding consumers. Agudo reiterated her position that their industry can no longer operate on an incentive driven business model, but should begin to redefine their engagements which is why AVID opted to bring attention to the mandate and achievements of the DOST, a rich treasure trove of innovation and inventions but have received very little interest or support from the private sector.

As the keynote speaker, Secretary Mario Montejo gave the participants a very informative presentation on the DOST proposal to build and operate a “hybrid” mass transit prototype similar to the train system they built in UP Diliman. In his presentation, Secretary Montejo showed a “train of buses” with a multi-fuel tractor head that would operate on a single lane covering the +/- 26-kilometer stretch of EDSA. The “train of buses” would be locally manufactured, operate on various fuels such as diesel, electric, etc. and would have gaps of about one minute and a half between stops.

If the government, media, the public and especially the business community supported the concept, we would be able to move hundreds of thousands of commuters efficiently everyday, we would cut fuel use and emissions from public utility buses by at least half and we would be able to free up at least one lane of EDSA that can be exclusively used by motorcycles and smaller PUVs. By understanding local conditions, technology and resources and creating a more efficient mix of solutions the “train of buses” is one of the best examples of Filipinnovation. I personally found the idea so exciting that I wanted to call on all the AVID members to form the first consortium to finance and operate what I think would certainly be an innovative and profitable investment.

Once Secretary Montejo set the course for the morning, it was easy to appreciate the powerful and passionate presentations of Maria Ressa from Rappler who gave everyone a “God’s Eye View” of social media and how it has brought innovation in determining the emotions, politics and public pulse worldwide. While jurassic politicians still rely on “surveys,” the new world is now seeing a better picture of global trends and emotions through Twitter and Facebook activities through electronic hits.

For his part, Joey Concepcion, the prime mover of Go-Negosyo and breakthrough entrepreneur, reiterated the need for companies to go beyond their internal drivers for profit and growth and cast the need and vision for developing the next generation through education and empowerment. Essentially, JoeyCon emphasized that in order to insure growth and profits, corporations need to make sure that they have a next generation of educated, empowered and employed people with the capacity and desire to buy.

Lack of space prevents me from detailing the many other speakers’ presentation such as Art Tan, CEO of Integrated Micro electronics, Casey Hyun, a “master designer” for Hyundai and integral implementer of Hyundai’s design philosophy: Fluidic Sculpture; former DOST head William Padolina, Ramon Castillo, and Dan Lachica who exchanged views on creating environments and a culture of innovation, as well as Gary Villame who narrated the adventures and misadventures of an innovative mind alongside the popular and well-known motivation and education leader Josiah Go.

To be honest, it was one event where I missed having a talk show because the lineup of speakers and AVID members would have been worth two weeks of daily interviews of the highest caliber. More importantly, the AVID Innovation Congress was proof that a motoring organization can do more than just sell cars, they can present ideas, promote worthy undertakings and organizations and develop a culture and a nation of thought leaders. That alone is pure INNOVATION.

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