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DICT warns courier service providers violating COVID-19 protocols

THE DEPARTMENT of Information and Communications Technology (DICT) on Sunday warned Private Express and/or Messengerial Delivery Service (PEMEDES) operators who violate the government’s guidelines on handling and delivering basic goods and necessities amid the Luzon-wide community quarantine.

The DICT said it received several complaints regarding the actions and protocols of some PEMEDES operators.

“The DICT advises all PEMEDES operators to strictly comply with the guidelines and directives… [if they want to] continue their operations for the delivery of basic goods and necessities amidst the Luzon-wide enhanced community quarantine,” the department said.

The department said social distancing of couriers or messengers is mandatory and should be strictly observed.

It said operators are also obliged to ensure that their staff is equipped with precautionary and protective equipment like face masks, gloves, and alcohol, among others.

“Violation or non-compliance will be sanctioned with the appropriate penalties which may include the suspension or revocation of the Government Authority granted to the PEMEDES Operators, after due process,” it added.

President Rodrigo R. Duterte on Monday last week announced a month-long “enhanced community quarantine.”

Under the rules, the movement of people would be limited to accessing basic goods and work, while police and quarantine officers will be present at border points.

The Department of Trade and Industry earlier said supermarkets, drugstores and banks would remain open, while cargo vehicles transporting basic goods would be allowed to cross the checkpoints unhampered. — Arjay L. Balinbin

Maynilad, Manila Water suspend meter reading, billing

WATER concessionaires Maynilad Water Services, Inc. (Maynilad) and Manila Water Company, Inc. (Manila Water) have temporarily suspended their meter reading and billing activities amid the enhanced community quarantine due to the coronavirus (COVID-19) pandemic.

The monthly water bills for the affected customers of both water companies will be computed based on their average consumption for the past three months.

Any difference from the actual consumption will be applied and adjusted to subsequent bills once actual reading of meters resume.

West zone concessionaire Maynilad started its temporary suspension last March 20 and will last until the end of the quarantine period on April 14.

Maynilad covers the cities in the western part of Metro Manila such as Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas, Malabon, and some areas of Manila, Makati, and Quezon City.

The company also serves some cities and towns in Cavite province.

Meanwhile, east zone provider Manila Water started its suspension last March 17 and will be in effect until further notice, or when the government officially ends the enhanced community quarantine declaration.

Manila Water covers the cities in the eastern part of Metro Manila such as Mandaluyong, Makati, Pasig, Pateros, San Juan, Taguig, Marikina, and parts of Quezon City and Manila.

It also covers several cities and towns in the province of Rizal.

Both water concessionaires encourage payments via online banks or mobile fund transfer channels.

This move by the two water providers is in accordance with the approved policy of the Metropolitan Waterworks and Sewerage System-Regulatory Office on the application of average billing. — Revin Mikhael D. Ochave

Lawmaker calls for toll fee exemptions for COVID-19 response operations

A LAWMAKER has called for the suspension of toll fee collection on operations related to the government’s response on coronavirus disease 2019 (COVID-19).

“I am urgently requesting the management of NLEX (North Luzon Expressway), SLEX (South Luzon Expressway), and other connecting tollways for the immediate waiving of toll fees on operations related to our response on COVID-19, specifically on the delivery of foods and transport of medicines,” Iloilo Rep. Janette L. Garin said in a statement Saturday.

Under the enhanced community quarantine in Luzon, Ms. Garin said only government vehicles on official business are exempted from the payment of toll fees.

“Tandaan din po natin na (Let us remember that) samples from different hospitals need to be sent to RITM (Research Institute for Tropical Medicine) for validation. Bawat byahe po papuntang RITM ay umaabot ang toll sa higit-kumulang (Every trip to RITM costs them about) P350,” she said.

The former Health secretary noted that with the exemption from toll fees, “we are providing vigorous support for all humanitarian activities to uplift the morale of our kababayans (countrymen).”

In January, San Miguel Corp. (SMC) waived its toll fees at SLEX and the Southern Tagalog Arterial Road (STAR) for vehicles involved in relief operations in areas affected by the Taal Volcano eruption. — Genshen L. Espedido

NFA assures enough rice supply for NCR

THE National Food Authority (NFA) has completed the prepositioning of rice stocks and is now awaiting delivery and disbursement in strategic areas across Metro Manila amid the enhanced community quarantine measures implemented in Luzon, the agency said Sunday.

In a report to Agriculture Secretary William D. Dar, NFA administrator Judy Carol L. Dansal guaranteed that there is enough rice supply to meet the requirements of the National Capital Region (NCR) for the next two weeks, with additional supply readily available depending on the demand.

NFA currently has 400,000 bags or 20,000 metric tons (MT) of rice stored in its warehouses around Metro Manila.

Based on NFA data, Metro Manila’s daily rice consumption is at 110,000 bags, with NFA’s market participation pegged at 7%, while the private sector and household inventories were at 93%.

Ms. Dansal said NFA’s market share is expected to increase by 20% once local government units (LGUs) start purchasing their rice needs from government-owned warehouses because of the enhanced community quarantine.

He added that they will prioritize LGUs for the sale of NFA rice.

NFA has also prepositioned 15,000 bags of rice to augment the requirement of Cavite province. — Revin Mikhael D. Ochave

#COVID-19 Regional Updates

LUZON

Cagayan officials assure district hospitals ready; 14,000 persons who came home under monitoring

HEALTH and local government officials of Cagayan have given assurance that the district hospitals around the province are ready to handle suspected COVID-19 cases with isolation rooms set up and medical workers briefed. As of March 21, there is one patient at the Cagayan Valley Medical Center confirmed to have the new coronavirus disease. Governor Manuel N. Mamba, in a statement on the province’s Facebook page, stressed the call for people to stay at home as 14,000 persons are under monitoring around the province. These people are mostly those who came home from Metro Manila following the declaration of an enhanced community quarantine in the entire Luzon island on March 16.

NO TESTING KITS
Mr. Mamba also underscored that there are asymptomatic persons who can spread the virus, but “dahil sa walang testing kit sa lalawigan, hindi agad nalalaman kung ang isang indibidwal ay positive carrier nito (because there are no testing kits in the province, we cannot immediately determine if a person is a positive carrier of the virus). Meanwhile, Provincial Health Officer Carlos D. Cortina III said aside from the isolation rooms in the district hospitals, vehicles for transporting patients are also on standby. The province has at least nine district hospitals, including the Northern Cagayan District Hospital, Baggao District Hospital, Alfonso Ponce Enrile Memorial District Hospital, and the Aparri District Hospital.

VISAYAS

Taxi, tricyle ban takes effect under Iloilo City ‘lockdown’

ALL public transportation, including taxis and tricycles, are now covered by the ban in Iloilo City, which has been placed under “lockdown” by Mayor Jerry P. Treñas on March 19 to prevent the spread of the new coronavirus disease known as COVID-19. “We want to use lockdown to better emphasize the need of the people to stay in their homes and practice the enhanced community quarantine and to limit the movement of people,” he said in a press conference. Public Safety and Transportation Management Office (PSTMO) head Jeck D. Conlu announced on Saturday that taxis and tricycles, which were previously allowed to continue operation, will no longer be allowed to ply the streets starting 8 p.m. Sunday. The PSTMO has earlier accredited several jeepneys that will be allowed to continue providing public transport service. Mr. Conlu also said that the city government will be providing free transport services to ferry the workers exempted from the community quarantine rules. “We will be providing three modern jeepneys and one bus of the city government. We re still in talks with other bus companies for the additional units,” he said. As of March 21, there is one confirmed COVID-19 case in Iloilo province, coming from the town of Guimbal and currently being treated at a hospital in Iloilo City. The patient is the second positive case in the Western Visayas Region, with the first in Bacolod City. — Emme Rose S. Santiagudo

@RONNELRIVERAPAGE

MINDANAO

GenSan’s evacuation complex being readied as COVID-19 quarantine center

GENERAL Santos City’s evacuation center, located at the Rajah Buayan Air Station, is being prepared as a quarantine area for patients under investigation (PUI) of COVID-19. Mayor Ronnel C. Rivera, in a statement on his Facebook page, said the facility, which can accommodate 120 patients, will be used should there be a rise in the number of PUIs. “While we are fighting na hindi makapasok ang (to prevent the entry of) Corona Virus sa city, we are still preparing for the possibility na just-in-case dadami ang ating (in case there will be an increase in the number of PUIs,” he said. The city, which still has zero confirmed cases of the new coronavirus as of March 21, was placed under enhanced community quarantine last week. Ryan M. Aplicador, deputy incident commander of the city’s Inter-Agency Task Force for COVID-19, said General Santos City’s medical professionals and private hospitals have committed to help operate the quarantine center. “The LGU (local government unit) will provide the supplies and equipment and the Philippine Medical Society General Santos Chapter and the Philippine Hospital Association General Santos Chapter promised to provide personnel,” Mr. Aplicador said.

CENTRAL KITCHEN
Meanwhile, the Department of Education will also open its central kitchen at the Datu Dalid Acad Elementary School to prepare food for the frontliners and other responders. Schools Division Superintendent Romelito G. Flores said he will also activate the volunteer parents to augment the kitchen workforce. Department of Health-Soccsksargen Region data as of March 20 shows there are 784 persons are under monitoring and on home quarantine, of which 177 are in General Santos City. The region has one confirmed COVID-19 patient, confined at the Cotabato Regional and Medical Center. Two persons under investigation have died, but their test results for the disease are still pending.

SPMC in Davao City suspends outpatient operations to prevent overcrowding

THE SOUTHERN Philippines Medical Center (SPMC), the biggest state-run hospital in Mindanao located in Davao City, is suspending its Outpatient Department (OPD) operations beginning Monday until further notice. SPMC Chief of Hospital Leopoldo J. Vega, in a text message, said this is “a temporary measure to contain” the spread of COVID-19 by preventing overcrowding. SPMC is considered a high volume hospital with 1,500 beds and an average capacity of 2,200 outpatients a day. It has been identified as a COVID-19 hospital for severe and critical patients. As of March 21, Davao City has two persons confirmed positive of the coronavirus disease 2019, a couple with travel history in Metro Manila. They are currently asymptomatic and are on home quarantine. They will be undergoing re-testing. One SPMC patient who was considered a person under investigation, a 71-year old from Matanao town in Davao del Sur who died March 15, tested negative of COVID-19. SPMC is preparing to serve as satellite laboratory for “diagnosis and identification” of suspected COVID-19 patients in Mindanao. It is the only hospital in Mindanao equipped with a polymerase chain reaction (PCR) machine that allows real-time diagnosis of COVID-19 and other infectious diseases. — Maya M. Padillo and Carmelito Q. Francisco

Nation at a Glance — (03/23/20)

News stories from across the nation. Visit www.bworldonline.com (section: The Nation) to read more national and regional news from the Philippines.

Nation at a Glance — (03/23/20)

DA seeks extra P1 billion for food supply efforts

AGRICULTURE Secretary William D. Dar has requested a supplemental budget of at least P1 billion to support his department’s food resiliency and price control activities during the COVID-19 pandemic.

In a letter to Executive Secretary Salvador S. Medialdea Saturday, Mr. Dar cited the need to support extraordinary operations to supply areas under lockdown.

”While the DA (Department of Agriculture) support systems are already in place to ensure food supply availability, we need additional funds to sustain their implementation, especially in areas where the enhanced community quarantine is strictly enforced,” Mr. Dar said.

The funding request includes P325 million for logistical support to the food supply chain; P250 million for urban agriculture in Metro Manila and other cities; P200 million for production support, including seed and inputs; P150 million for agriculture workers, including medical assistance packages, biosecurity measures, information and communication, and financial assistance; and P75 million for suggested retail price (SRP) enforcement and price freeze monitoring.

“The DA has a quick response fund as do all other agencies, but we want to proactively deal with the situation by ensuring the continuous production, processing, packaging and delivery of basic food commodities to major consumption centers, particularly Metro Manila,” Mr. Dar said.

The proposed P1-billion supplemental budget will let DA upscale its “Kadiwa ni Ani at Kita” project by establishing additional outlets in partnerships with local chief executives in Metro Manila.

Additionally, partnerships with the private sector will include setting up “Kadiwa” stores to cater to the basic food needs of their employees.

“We commit to make efficient use of the supplemental budget during this challenging time, as this grim episode is indeed a huge challenge for all of us,” Mr. Dar said. — Revin Mikhael D. Ochave

Workers from exempt industries, cargoes may go through checkpoints — DTI

THE Department of Trade and Industry (DTI) said employees of companies allowed to remain in operation will be permitted through lockdown checkpoints, as will goods cargoes bound for factories.

In a revised memorandum issued Friday, DTI said employees working for enterprises that are exempt from the lockdown may pass through the checkpoints, and listed firms in industries like delivery services, hospitals and medical clinics, food preparation and water refilling stations, banks, power, telecommunications, and waste disposal services among the exempt.

Trade Secretary Ramon M. Lopez told reporters in a mobile message said all cargoes are allowed to pass through checkpoints.

“We stressed the importance of unhampered cargo movement and allowing personnel in allowed establishments to pass through checkpoints.”

Business groups have been calling for consistent implementation of the unhampered movement of goods throughout Luzon.

Semiconductors and Electronics Industries in the Philippines Incorporated (SEIPI) President Danilo C. Lachica said in a mobile message that there were some hiccups in their cargo movements over land.

He said Sunday that recent directives and advisories from government may improve the movement of goods.

Supply Chain Management Association of the Philippines President-Elect Pierre Carlo Curay said at an interview with ANC on Sunday that the implementation of the lockdown guidelines has improved.

“There were initial concerns because there was a couple of days where cargo wasn’t able to get to where they needed to be, or being stopped or being pushed back. But in the past four days, and reports the are coming in, the movement of goods is smoother.”

“In the next few weeks, supply will be constant.”

He said that he is looking forward to the implementation of dedicated lanes for cargo.

The delays in the movement of goods raised questions about the continued availability of raw materials to produce food.

The Philippine Association of Meat Processors, Inc. (PAMPI) on Friday wrote to Mr. Lopez, saying that the lockdown has impeded the delivery of raw materials to manufacturers, possibly causing shortages.

“There were just implementation glitches at first two days of ECQ since some trucks (were) stopped at checkpoints. That’s why perhaps they wrote me,” Mr. Lopez said.

PAMPI has said its imported materials were held up at the port because customs brokers cannot go to the Bureau of Customs (Boc) to process imports as they are not authorized to travel.

Bureau of Customs Assistant Commissioner and Spokesperson Vincent Philip C. Maronilla said in a mobile message Sunday that BoC has set up an online system to process shipments “at least on the BoC processing level.”

“We do however understand that the release of imported shipments entails some processing that involves other stakeholders as well such as the shipping lines and arrastre operators,” he said.

“We are encouraging them to adopt online systems and other measures to allow the processing of release on their end with no or minimal face-to-face interaction.”

He said the bureau is also working on guidelines for authorization orders for customs brokers to be able to work.

Meanwhile, PEZA on Saturday said it released new guidelines for the movement of people and goods across all their registered economic zones nationwide.

PEZA Director-General Charito B. Plaza is seeking from the Inter-Agency Task Force and local governments a consistent policy on the “unhampered movement of ecozone cargoes and ecozone company shuttle buses/vehicles ferrying the workers within the immediate vicinity of the ecozone.”

PEZA called for strict implementation of quarantine measures, including work-from-home arrangements, minimal on-site workforce, housing for workers, social distancing, and transportation services among companies in its ecozones.

“For this purpose, all are kindly reminded to please observe the directives on physical distancing, provision of face masks and other protective equipment for employees and provision of alcohol, sanitizers and frequent sanitizing of the workplace.”

PEZA said that ecozone workers do not have to present IATF IDs. Employees may present valid company IDs, proof of residence, and proof of employment at checkpoints.

Certifications for vehicles indicating ecozone destination, PEZA said, will be distributed to locators after the zone administrator, manager, or officer in charge vets the company’s compliance with quarantine measures.

“As we know that this COVID-19 crisis is a bitter pill to swallow, we are sympathetic to the difficulties you are all going through, together with your employees. We are ourselves overwhelmed by the magnitude of the situation. However, as all countries that are affected realize that lives are at stake and hard decisions must be made,” Ms. Plaza said. — Jenina P. Ibañez

External debt at end of 2019 rises 1.1% vs end-Sept.

OUTSTANDING external debt rose 1.1% quarter-on-quarter at the end of 2019, according to the Bangko Sentral ng Pilipinas (BSP), with debt levels remaining within prudent levels by government norms.

In a statement, the central bank said outstanding foreign debt rose to $83.6 billion at the end of last year, from $82.7 billion at the end of September.

“The rise in the debt stock during the fourth quarter was brought about by the increase in non-residents’ investments in Philippine debt papers issued offshore of $507 million. The upbeat investor sentiment was reflected in the generally narrower bond spreads due to positive external developments such as the initial trade deals between the US and China at the latter part of the year,” the BSP said.

Net availments of $317 million, mainly due to oil imports, and prior periods’ adjustments of $150 million added to the rise in the debt stock. These were partially offset the revaluation of foreign debt held in foreign currency, worth $29 million.

The debt stock also grew 5.9% year-on-year due to $3.7 billion in net availments, prior-period adjustments of $954 million, and currency revaluation adjustments of $170 million.

“This upward impact on the debt stock was partially offset by the transfer of Philippine debt papers from non-residents to residents,” the BSP said.

UnionBank of the Philippines, Inc. Chief Economist Ruben Carlo O. Asuncion said that the slight uptick is a positive development given the global trade environment at the end of 2019.

“The general appetite of investors was upbeat about the Philippines’ 2020 economic growth prospects with the passage into law of the 2020 national budget,” he said in an e-mail.

“The debt profile remains manageable and the ratio is competitive compared to neighbors in the region,” he added.

The 2020 budget was approved in early January while the 2019 budget’s validity was extended to make up for its delayed passage last year.

The BSP said key external debt indicators remained at prudent levels despite the rise in external debt. It noted that the debt service ratio — which refers to the principal and interest payments (or debt service burden) is a proportion of export of goods and services receipts and primary income — improved to 6.5% from the 6.6% seen a year ago.

Foreign debt with tenors longer than one year accounted for 79.4% of total external debt. Those that have a tenor of one year or less comprised 20.6% of the balance, consisting mainly of bank liabilities, trade credits, and others.

The weighted average maturity for medium- and long-term (MLT) accounts was 16.7 years, down from 17.1 years in the previous quarter. The BSP noted that public-sector borrowing has an average term of 20.9 years compared to 7.4 year for the private sector.

“This means that FX (foreign exchange) requirements for debt payments are well spread out and, thus, more manageable,” the central bank said.

Borrowing by the government rose to $42.8 billion at the end of December from $42.5 billion at the end of September.

“About $36 billion of public sector obligations were national government (NG) borrowings while the remaining $6.7 billion pertained to loans of government-owned and controlled corporations, government financial institutions and the BSP,” it said.

Debt taken on by the private sector rose to $40.8 billion from $40.2 billion at the end of the third quarter following net availments worth $372 million.

In the fourth quarter, Japan ($8.1 billion) was the country’s biggest creditor, followed by China ($685 million), and Singapore ($439 million).

Some 59% of the debt stock was dollar-denominated (59%) followed by yen debt (13.9%). — Luz Wendy T. Noble

WESM continues trading amid Luzon lockdown

THE Wholesale Electricity Spot Market (WESM) is still operating during the enhanced community quarantine in Luzon.

The Energy Regulatory Commission (ERC) said Saturday that both the system and market operators on WESM have submitted their Business Continuity Plans (BCP) amid the island-wide implementation of a total lockdown to prevent the spread of COVID-19.

In a text message, Independent Electricity Market Operator of the Philippines (IEMOP) Chief Operating Officer and Head of Trading Operations Robinson P. Descanzo said the power demand in Luzon is “significantly low” compared to summer months due to the lockdown from March 17 to April 14.

“The market is still continuous in its operations. The demand for Luzon is significantly low compared to summer months for obvious reasons],” Mr. Descanzo told BusinessWorld.

Last week, the Department of Energy (DoE) noted a 30% drop in electricity demand as businesses temporarily closed following the imposition of the island-wide quarantine.

Following a DoE order, the WESM operator has implemented its BCP, which includes its close coordination with the government’s Inter-agency Task Force on Emerging Infectious Diseases and the release of status updates on its market operations to all trading participants and stakeholders.

Meanwhile, the system operator in Luzon reported that the island’s grid was “normal.”

“The Commission has been closely monitoring the activities in the WESM and there is no breach in the criteria or parameters that would warrant the declaration of a market suspension at this time,” ERC Chairperson and Chief Executive Officer Agnes Vicenta S. Torres-Devanadera said in a statement.

The ERC noted that prices in the WESM have been declining in the past days due to lower electricity demand.

Electricity prices on WESM as of March 20 rose P53 to P1,692 per megawatt-hour (Mwh). — Adam J. Ang

FiT-All fund still sufficient to support renewables industry — TransCo 

THE National Transmission Corp. (TransCo) said it still has a “sufficient” balance in the feed-in-tariff allowance (FiT-All) fund to aid renewable energy (RE) developers and help sustain their operations during the Luzon-wide enhanced community quarantine.

Late Friday, the Energy Regulatory Commission (ERC) ordered the suspension of FiT-All collections, effectively cutting power rates by P0.04 per kilowatt-hour (kWh) in the next utilities billing cycle.

“The FiT-All Fund has sufficient total balance to address its current obligations to the FiT-Eligible RE Developers even if no new FiT-All collection comes in for the time being,”  TransCo President and Chief Executive Officer Melvin A. Matibag told BusinessWorld in a text message Sunday.

“We are currently coordinating with the ERC on some technicalities regarding account disbursements,” he added.

The ERC has asked TransCo to continue its payments of obligations to feed-in-tariff-eligible power producers, which it claimed would not be affected by the collection halt.

Meanwhile, the agency tasked with administering FiT-All collections said it has advised its collection agents to observe the order.

“[W]e will contribute to this cause by complying with the Order and not adding to the concerns and anxiety of the public.  We have also advised our Collection Agents to observe the ERC Order,” Mr. Matibag said.

Asked to comment, Negros Occidental-based San Carlos Biopower, Inc. Vice Chairman Don Mario Y. Dia said that the FiT-All collection break might affect the company’s projects.

“(We are) definitely affected, especially now that we are in a crisis. But if this helps alleviate the plight of the poor, we are treating it as cushion or assistance, and part of our Corporate Social Responsibility,” Mr. Dia told Businessworld in a text message Sunday.

In its order, the ERC suspended the FiT-All collection to “provide some economic relief to the majority of electricity consumers,” mainly minimum-wage earners.

“With the ongoing lockdown situation, most of them are facing forced unpaid leave, reduced working hours, or no work-no pay arrangements,” ERC Chairperson and Chief Executive Officer Agnes Vicenta S. Torres-Devanadera said in a statement.

The agency said some 19 million electricity customers will benefit from the rate cut.

This year, on-grid customers are charged a P0.0495 per kWh FiT-All rate, which is P0.1731 lower than the previous FiT-All rate of P0.2226 per kWh.

FiT-All is a uniform charge to all electricity customers, calculated and set annually. It is collected by distribution utilities, the National Grid Corp. of the Philippines, and Retail Electricity Suppliers, while the payments are remitted to the FiT-All fund held by TransCo. — Adam J. Ang

Are you ready for the data-driven digital era?

Digital technologies offer new opportunities to create value by leveraging data captured while companies carry out business as usual. However, while most companies embark on data-driven digital transformation, many still struggle to 1) determine the right data strategy that allows them to become a truly data-driven organization and 2) properly manage and govern their data. In fact, data management and governance ranked as the second top IT challenge identified by business tech leaders after IT security and privacy. As data increases in scale and complexity, some organizations remain fragmented and still work in silos to collect, transfer, process, analyze and store their growing data. Many companies cannot adapt to these changes and find themselves stuck in the archaic way of managing data.

As companies work to innovate and go digital, management must strike a balance between the need to implement information security mechanisms and effective data management, including but not limited to data quality, data governance and data protection. Based on research, consumers of data spend 80% of their time looking for and cleansing data, and only spend 20% of their time analyzing and transforming data into valuable information to drive sound decision-making. This highlights the need for companies to reassess their data management strategy as well as their governance structure to better manage their data.

Initiating data management and governance can seem daunting, considering how these cannot be confined to one corner of an organization. They can only be effectively managed through collaborative efforts between business departments and IT. Companies also need to govern their data environment regardless of the type of data and where it resides. A sound data management and governance program helps an organization achieve its desired targets over time to support its business objectives, while upholding data integrity and consistency accelerates the deployment of business activities and can reduce the cost of owning data. With this, companies should start by looking at their data sources and make sure that there are sound strategies and robust policies in place to protect the integrity of their data.

There are many reasons why data management and governance programs fail, or at least, underperform. A company’s data governance strategy and policies may not be established nor well-defined, or data management itself is either viewed as an academic exercise or treated like a finite project. Executives may also isolate data as an “IT issue,” leading to business units and IT not working together to manage data in a structured and repeatable manner. It’s possible that the company’s unique culture is not taken into account, or that company personnel are already overloaded and can no longer handle governance activities.

To revisit their data management strategy and governance mechanisms, companies can take the following items into consideration.

ALIGNING DATA GOVERNANCE STRATEGY
Companies must first define what data management and governance mean to their business. There should be a clear understanding of their business goals, since these will drive the company’s data strategy and scope. The scope is then defined based on priorities and the level of governance that fits the company culture.

Establishing data governance will impact the whole organization. Placing strong focus on the company’s change management and communications approach is vital for successfully implementing and sustaining a data governance strategy. Everyone in the organization needs to understand the purpose of treating data as a strategic asset as well as their role in this shift. Lack of ownership can be a very challenging issue, especially during the early stages of implementation.

Companies should also formalize their data governance committee and clearly define roles and responsibilities while ensuring that the responsibility does not rest solely on IT. Since data governance requires the collaboration of the entire organization, management support is the most significant component when starting a governance program.

ESTABLISHING FORMAL DATA GOVERNANCE POLICIES
Policies intend to establish ground rules that must be followed within the organization. They should enable the right people and the right steps to be taken at the right time.

Data must be managed as an important asset of every organization. Formal accountability should be put in place while compliance is ensured with the relevant regulations, especially on data privacy and security. Data quality must also be consistently managed across the entire data life cycle. Management should establish a periodic review and approval cycle to ensure that data governance policies stay relevant and responsive to the fast-changing business landscape. Proper key performance indicators (KPIs) must be agreed upon and put in place when the data strategy is implemented.

PROFILING YOUR DATA AND COMPLETING A DATA CATALOGUE
A company should be aware of what data it has on hand, making it imperative to establish a data catalogue which becomes the heart of the data governance framework. As a living document, the data catalogue is subject to changes to accommodate the organizational (business and technology) landscape. Companies must know where they use their data as well as why it captures, stores and uses the data.

A data catalogue should help entities define their data, identify data owners and a data custodian to establish accountability, and define data quality measures to ensure data integrity, confidentiality and availability. This allows management to rely on a single source of truth to support their decision-making.

SELECTING THE APPROPRIATE TECHNOLOGY
There are several technologies available that can provide visualization of the quality of data that a company decides to master. This can be achieved by utilizing efficient design technology that provides accessibility and the seamless integration of data across all systems. It should also be noted that in selecting a design solution, cybersecurity is a key area of consideration.

Establish checks and balances to monitor data quality on a regular basis, the frequency of which depends on the required availability of top critical data elements. One way to achieve this is to implement audits and to monitor KPIs, as well as to continuously evaluate and improve the company’s data governance program.

UTILIZING A VALUABLE RESOURCE
Companies can no longer ignore data as a resource nor overlook its management to properly maximize its value. As companies continue to become more data-driven, their success will ultimately depend on their ability to manage and utilize a coherent view of their data. Better data — and a clearer view of what that data means — can give valuable insights that ultimately allow companies to make well-informed decisions in the face of change and growth.

This article is for general information only and is not a substitute for professional advice where the facts and circumstances warrant. The views and opinion expressed above are those of the author and do not necessarily represent the views of SGV & Co.

 

Conrad Allan M. Alviz is a Senior Director from the Advisory Service Line of SGV & Co.