Ginni Rometty

IBM chairman and CEO was named a member of president-elect Donald Trump’s strategic and policy forum. She is the only tech CEO invited to the forum. Rachael King of the Wall Street Journal reported:

“Ginni Rometty is one of 16 business leaders who will advise president-elect Donald Trump as members of the president’s strategic and policy forum. The group will meet with Mr. Trump to consult as he implements his plan to stem the flow of US jobs to other countries. IBM is one of the technology companies he has criticized for offshoring jobs and manufacturing products abroad.”

“Mr. Trump’s impending presidency has raised concerns among some tech CEOs who rely on manufacturing or inexpensive labor abroad. The president-elect, in a Nov. 6, campaign speech in Minnesota, noted that IBM had laid off 500 workers in Minneapolis and moved their jobs to India and other countries. He said he would impose a 35 percent tax on imports by companies that move US-based operations outside the country.”

In what I thought was an excellent manifestation of corporate responsibility, Ms. Rometty wrote a letter to the president-elect offering support and constructive advice on how IBM could assist the incoming president. She prefaced her letter by citing that IBM was the nation’s largest technology employer, leading patent creator with a 105 year history. Her comments were as follows:

1. IBM hires on the basis of relevant skills, pointing out that one-third of the employees have less than a four year degree. Her company supports a new educational model — a six year public high school which is similar to vocational training but combines traditional education, mentoring and real-world job experience. After five years of IBM support in New York, there will soon be 100 such schools in the country. She asked for the president-elect’s support.  (Parenthetically, I would respectfully suggest that our President consider a similar program in the Philippines. I recall former president Fidel Ramos also supported this approach similar to the European version of apprenticeship).

2. She recommended infrastructure investments which incentivizes building intelligent, secure roads and bridges;

3. She recommends the use of technology and fraud analytics to save the government more than $1 trillion(Once again, President Duterte may wish to consider securing IBM advice on how to use smart technology in government as he did in Davao).

4. On Healthcare, she cited 15 specific ideas which could potentially save $900 billion over 10 years through common-sense reforms to the healthcare system which included the use of data analytics to reduce fraudulent Medicare claims and healthcare information. (Again, data analytics could be very useful if utilized in our Philhealth). 

She responded on how to bring back billions of dollars of American companies. She said they did not come home because of an outdated and punitive tax system. She will support his tax reform proposals. Her penultimate paragraph was a tactful response to Trump’s criticism of moving jobs abroad: “At more than 50 major locations across the country, we hired more US employees last year than in the previous five years. We are opening new innovation centers and business units across the country, we are proud of the work we do here in the United States, just as we are proud of the work we do in more than 175 countries around the world.” 

In my humble opinion, we in the Philippines can adapt many of the recommendations embedded in Ms. Rometty’s letter.  One last point, president-elect Trump’s formation of a strategic and policy forum may be worthy of consideration by our President. It may compel competing corporations and business organizations to speak constructively with one voice devoid of parochial interests.

An American friend and philanthropist

I met Henry Howard several times in Washington, D.C. during Ambassador Joey Cuisia’s dinners. Everybody seemed to know him. He wasn’t in government and yet during my conversations with him, he amazed me with his knowledge of the “ins and outs” of Philippine as well as American politics. My old friend and classmate, former Ambassador Raul Rabe enlightened me that Henry was a well-known figure in Cagayan de Oro having been educated there. Henry has also been recognized by the US-Philippines Society for his unstinting support for the Philippines and sits on the board. Recently, he was the recipient of an outstanding alumnus award from his Alma Mater, Xavier University. He was recognized for his donation of $1 million from 2001 to the present. Scholarships were given to 125 poorest of the poor students from Mindanao and Sulu; half of them Muslims, 25 percent Lumads. Beyond his donation to Xavier, there are countless instances when he supported our cause financially. I also learned that he is a meaningful contributor to US presidential candidates. I share the sentiment expressed by his friend: “You are more Filipino than some of our oligarchs.”

During Henry Howard’s courtesy call, the President introduced for the first time the designated ambassador to Washington, D.C. (not in photo)