Washington SyCip, 84, was instrumental in the decision of Accenture, Texas Instruments, and Timex to come to the Philippines He has spent much of the last 30 years of his life observing the economies of Asia, watching agricultural fiefdoms grow into industrial empires, and seeing them integrate seamlessly into knowledge-based economies. Twenty years after he retired from SGV & Co., the country's top accounting firm that he founded in 1946, he continues to keep a full schedule, starting work before 7:00 a.m. Only this time, it is not the affairs of the firm that keep him busy, but the concerns of the country.
Insight of the years
Having watched the country's decline from the sidelines all these years, SyCip, now 84, has been actively doing his bit for the country through various organizations, contributing what someone of his stature can best dispense-the insight of the years. It is not without bitterness when he notes how the Philippines has somehow found itself stuck in its present development path, its people losing their head start and never really benefiting from their multicultural past.
SyCip, "Wash" to his friends, knows exactly how and when the country's slide to mediocrity started: when the educational system began to deteriorate. "If the public school system is bad, then you further widen the gap between the rich and the poor," contends SyCip, a proud product of the Philippine public school system. It was not too long ago when the country's public schools produced many of the country's best minds. A poor scholar, thus, had as much opportunity for employment after graduation as his wealthier classmate. Education was the great opportunity-builder, everyman's springboard to a decent life.
But the exigencies of poverty somehow forced a change in the country's priorities and the focus on education gave way to the more pressing needs of the fast-growing population. Per capita spending on education went down, resulting in a deterioration of the educational system. "Today, nobody dreams of sending his children to public schools," he notes.
Moreover, meager resources for basic education are going into spending for state colleges and universities. While acknowledging the importance of tertiary education, SyCip points out what every parent with a school-age child knows. "You must have children finishing sixth grade before high school and college. However, if there is no money to send the children through grade school, then how are they to move on to high school?"
From his meetings with various groups across the country, SyCip is still able to quote statistics straight out of his memory. In Mindanao, he says, where he met with at least three Muslim groups, only 3 of 10 children who enter grade one finish the elementary grades. Apparently, the predicament is the same in other parts of the country. SyCip, who himself has made the trek to the trash heaps of Payatas, has seen this situation firsthand. Another statistic that disturbs him is that at least 75% of students flunk government-administered examinations. "What a waste of resources!" he laments.
For SyCip, one can never overemphasize the value of developing a country's human resources. "Whether it's a country or a firm, the key to success is through human resources. I see this throughout the world," he says, marveling at how former Malaysian prime minister Mahathir Mohamad managed to extricate his country from poverty and push it into the growth path using education as an enabler.
It is not surprising, then, that Mahathir belongs to the elite group of men that SyCip admires. "For Mahathir, education is key, so he poured money into education despite the country's low income. To my mind, the measurement of success is how to bring the bottom group up," declares SyCip. He further points out that Malaysia has done wonders to its economy through its fairly authoritarian system. There is, for instance, no bidding for infrastructure projects in Malaysia, in direct contrast to the Philippines, where the private sector bids for projects. Despite the supposed transparency that bidding promotes, the Philippines obviously lags behind Malaysia where infrastructural development is concerned. "Infrastructure, if properly done, benefits the bottom group," says SyCip. But, he qualifies, "you will need an honest government."
It is Singapore's Lee Kwan Yew, however, who he admires the most. "To say that democracy works in a poor country is a farce," SyCip remarks. The success of countries in East Asia, he points out, owes to the fact that they were politically authoritative yet enjoyed economic freedom. That the Philippines embraced Western-style democracy is one of SyCip's regrets. In fact, he says, if he has one regret in life, it is that "I should have earlier convinced people that Western democracy doesn't work in a poor country. It must come naturally." He believes that a stable political environment is key to the stability of any company. "For any firm to do well, the country must also do well," he points out. Unfortunately, "everything here is not conducive to a growing economy."
A Growing Legacy
Despite these letdowns, however, there are a whole lot of other things that SyCip is proud of. He is proud that in the last 40 years he has established partnerships in various countries to make SGV grow. He is proud that SGV has produced "very good technocrats" from among its managing partners and that many of them have gone on to help build corporate Philippines. He also takes pride in having been part of many organizations-among them, the Asian Institute of Management, the Makati Business Club, the Management Association of the Philippines, and the Philippine Business for Social Progress-and helping build these organizations to be what they are today.
Most importantly, he is proud of how he has helped the Philippines develop its manpower through the companies he encouraged to set up shop in the country. In 1985, for instance, he insisted that Accenture-an international management consulting, technology services, and outsourcing company-expand to the Philippines, against the advice of others. Today, Accenture's success here is one that many others try to emulate. SyCip was also instrumental in the entry into the country of Texas Instruments-today the largest exporter of computer chips in the Philippines-and watch company Timex. "I could have done more if the environment was better," he rues.
The country's setbacks notwithstanding, there is no stopping SyCip from finding ways to help out. In his office, a prominently displayed collection of owl and turtle figurines catches one's attention. He laughs when asked about the turtle collection, pointing to a Chinese painting showing a man talking to a turtle. The man, he explains, is asking the turtle his secret to having a long life, and the turtle's reply is that all the man has to do is take it easy.
Obviously, SyCip has not taken the turtle's counsel to heart. His calendar is full and he is rarely in his office. But by doing just the opposite, he has reaped the same rewards. He has been blessed with a long life, long enough to see the fruits of his hard work, and certainly, he continues to enjoy what he is doing.
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