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Integrating Management Systems
Value Delivery Chain
BSC
QEHS MS
TBL Reporting
Total Customer Management System
   
 

Integrating Management Systems

 

Integrating management systems and tools enables a more efficient strategic execution of the Company's corporate goals. In 2007, the performance metrics defined in the Company's Quality, Environment and Health and Safety Management Systems (QEHS MS) ran parallel with the Balanced Scorecard (BSC) system. The results of this alignment provided the framework for triple bottomline reporting, integrating the social, environmental and economic aspects and impacts of its business.

 

The Value Delivery Chain
Delivery of customer value is the primary purpose of the business. The value delivery chain is the means by which CHI creates strong relationship with its customers. The series of activities in each stage of the value chain offers a level of value to the customers. It defines the Company's responsiveness and flexibility in serving its customers.

The Company's value delivery chain is translated into a business process map which outlines the Company's initiatives to provide innovative products and services to satisfy the ever changing requirements of its customers.  As embodied in the core values (Focus on the Customer) and stated in the quality policy (Customer is First), the business process for both Real Estate Development Group and Retail Business Group starts with identifying the needs of the customers through in-depth market research, focused group discussions and environmental and industry scanning.


The Business Process Map

Research results are analyzed, validated and plans are formulated to address these needs through consultative collaboration between marketing and sales, business development, and construction management. This ensures that the product conforms to the value proposition, addresses customer needs and is delivered as a commitment to the buyers and their ultimate satisfaction.

The primary activities are supported by the organization's infrastructure: corporate culture, communication, technology, finance and human resource development, control procedures and most importantly, the Company's core business competencies.  Within each stage of the project cycle, environmental aspects and impacts and occupational health and safety hazards and risks are assessed and addressed accordingly. 

With a regular review process by each unit and by management, the goals and performance of each value-generating activity in the chain are monitored and measured against levels of standards defined in the Company's strategic management systems: the Balanced Scorecard and the Quality, Environment, Health and Safety Management Systems. This ensures that all issues are addressed and systems are continually improved. 

 

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The Balanced Scorecard System
As the linchpin of the Company's performance management system, we have successfully documented, implemented, maintained and continually improved our own Balanced Scorecard (BSC) System, which became a strategic management system and one of the tools for performance assessment. It has become the Company's ‘strategy map' that enables every employee, team or division, to see a direct link between their role and the goals of the company.

The BSC considers the four perspectives – financial, customer, internal business process, and learning and growth – to evaluate the Company's and individual performance. 

In this approach, the causal aspects -- the development of people and technology infrastructure (learning and growth) and the establishment and improvement of organizational systems and processes (internal business process) to address customer requirements and achieve customer satisfaction (effect) – lead to notable financial results (effect). The Company has done so with remarkable performance since the system was implemented.

 

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Quality, Environment, Health and Safety Management System (QEHS MS)
The Company felt the need to align its existing systems with those that conform to international standards: ISO 9001:2000 on Quality Management, ISO 14001:2004 on Environmental Management, and OHSAS 18001:1999 on Occupational Health and Safety Management, against which the company's systems will be measured and evaluated. Thus, our leap towards QEHS Management Systems (also known as Integrated Management System) certification took on a new dimension.

With this objective in mind, we strengthened our systems by streamlining our processes, documenting and implementing our procedures and best practices, and subject these to regular reviews and assessments, to check on how we are doing and identify improvements on the organization's performance.    

As with the Balanced Scorecard, the QEHS MS compels us to monitor, analyze and improve the following measures of effectiveness (which basically is our standard):

  1. customer satisfaction ratings and customer complaints resolution;
  2. compliance to regulatory and statutory requirements relevant to our business, including environmental and occupational health and safety regulations;
  3. people competence;
  4. process and product performance; and
  5. systems improvements

Added to the system strengthening is the alignment of our QEHS MS corporate objectives with the Balanced Scorecard for a more manageable systems implementation and performance evaluation. If we look at it more closely, these measures of effectiveness can be subsumed into each of the four quadrants in the BSC – customer, financial, internal business process and learning and growth perspectives.

With last year's QEHS MS certification and the successful surveillance audits, CHI's status as a world-class organization is firmly established. CHI, being the first full-line real estate company that is certified to the three international standards, is now one of the few ISO-certified companies in the Philippines and in the world.


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In summary, having these standards in our systems and processes and interweaving these would ensure that:

  • the Company will meet or exceed its financial targets by continually satisfying and delighting its stakeholders
  • its systems and processes are designed and implemented to be attuned to the needs of the customers, while ensuring that the environmental impacts of the processes are addressed and mitigated;
  • its people are competent and capable of delivering the needed products and services to its customers, while ensuring their well-being; and
  • the Company makes the community the beneficiary of the enhanced business climate and the improvement of the quality of the environment.

The integration of the BSC, QEHS MS and the TBL frameworks will serve as an effective mechanism across all levels in the organization in putting sustainability at the center of its operations.

 

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