CORPORATE GOVERNANCE SCORECARD 2024
Section 52 of the CITEM's Manual of Corporate Governance (Recognizing the Stakeholders and Nature of their Interests) identified its various stakeholders as follows:
- Government
- SMEs
- General Public
- Partner government agencies and other external agencies
- Private Corporations having similar nature of business as CITEM
Section 55 of the manual also stated CITEM's policies on dealings with its customers as follows:
- CITEM should operate a highly effective and efficient organization, focused on meeting customer objectives with the aim of providing services which give fair value and consistent quality, reliability, and safety in return for the price paid for the same.
- CITEM should implement policies of continual improvement, of both processes and skills of the staff, to take best advantage of advances in all aspect of society in order to ensure that it continues to add value to its customer's businesses.
- CITEM should have a clear and strong line of communication which allows them to respond quickly and efficiently to customer and market requirements, and to the government for the customers to receive consistent service in order to successfully and consistenly deliver what CITEM is mandated to do.
Corporate Governance Manual (page 15)
CITEM's policy on interacting with the communities around it can be found in the following sections of CITEM's Manual of Corporate Governance:
- Section 47. Corporate Social Responsibility. As an integral part of the National Government, GOCCs are inherently mandated to be socially responsible, to act and operate as good corporate citizens. (page 14)
- Section 49. Relationship with Stakeholders, of the revised CITEM's Manual of Corporate Governance stated its policy on interacting with its stakeholders. It was also mentioned that the Governing Board of CITEM shall recognize and perform its obligations towards the National Government, together with the employees, suppliers, customers, and other stakeholders, and to communities in which it operates. (page 14)
Corporate Governance Manual (page 14)
Section 48, Environment, of the CITEM's Manual of Corporate Governance under 'Corporate Social Responsibility' stated that, to wit:
"In the course of the operations of CITEM, it should identify opportunities to reduce consumption of energy, water and other natural rersources. CITEM should also strive to re-use and recycle where possible and dispose of non-recyclable items responsibly, thereby minimizing our impact on the environment, in doing so, by adopting simple, environmentally friendly initiatives, CITEM will raise awareness among the community".
CITEM's Signature Event for food sector, the IFEX Philippines, was held on 10-12 May 2024 at the World Trade Center Metro Manila. During the event, visitors are advised to take necessary precautions to safeguard their health in public. They were also encouraged to be mindful of their surroundings and personal belongings as they move through the different booths and sections of the trade fair. A medical team was available at the venue's main lobby to assist guests with health concerns/emergencies.
On the other hand, CITEM's Signature Event for Home, fashion and lifestyle sectors, the Manila FAME 2024 was held on 17-19 October 2024 at the World Trade Center Metro Manila (WTCMM). During the event proper, the CITEM EXCOM and MANCOM members were required to be present at all times to assist VIPs/special guests and welcome visitors during the Opening Ceremony and VIP tour. Everyone was required to familiarize themselves with the event’s activities and be prepared to answer inquiries from trade buyers, visitors, exhibitors, guests, and public viewers. The assigned employees were also required to wear face masks at the venue. Likewise, a satellite clinic was provided for the employees and other stakeholders for first aid/health concerns.
Moreover, Senior Citizens and Persons with disabilities (PWDs) were also provided with special registration lane during the event proper. Also, children less than 10 years of age were not allowed to enter the exhibition hall, rather they were allowed to stay in the Kids' Area of the WTCMM Lobby with adult supervision.
The above protocols help ensure customer health and safety during CITEM-organized Signature Events.
CITEM donated the amount of P10,000.00 to support the Youth Servant Leadership and Education Program (YSLEP) of Caritas Manila which aims to assist underprivileged youths in their studies. Through this project, CITEM contributed to the achievement of the UN’s Sustainable Development Goal on Quality Education.
CITEM also donated the amount of P7,000.00 to Create a Job Disable Association, Inc. (CDAI) which aims to help indigent persons with disabilities. Through this project, CITEM contributed to the achievement of the UN’s Sustainable Development Goal on Good health and Well-being.
Likewise, CITEM also made donations to Sanchez Mira, Cagayan, intended for the children of Langagan, Sitio Katarawan of Brgy. Bangan, and Sitio Kaanangkaan of Brgy. Bangann. CITEM employees donated toys, slippers, clothes, bags of groceries, and school supplies to children affected by the recent typhoon "Marce". CITEM also donated to the children of Sanchez Mira West Central School.
Incorporating Sustainability and SDG Goals in CITEM PAPs. CITEM launched the Sustainability Solutions Exchange (SSX) on 23-25 March 2022 to present and offer sustainable manufacturing solutions, products, and services to increase productivity, efficiency and optimize their market potentials. In its pilot edition, SSX was staged as a digital event – the SSX Digital Exhibition and Conference via Hopin platform. The event highlighted the latest and relevant solutions, technologies, and products, and services, and championed local businesses that adhered to green or sustainable practices. The maiden edition of SSX onboarded 165 companies/suppliers and featured them in the SSX Advanced Solutions and Marketplace Zones, and 138 purchasers. SSX Digital Exhibition and Conference had more than 1,200 attendees composed of participants, suppliers, DTI/CITEM, government/diplomatic corps, NGOs, purchasers, media, event partners and eresource pesons.
To date, CITEM is maintaining the website (www.sustainability.ph) which is the online community platform for SSX. It promotes products, services and an exchange of ideas on sustainable consumption and production. The website features a diverse range of stories about sustainable technologies, interventions and practices that seek to engage businesses and consumers to start or continue their journey towards sustainability. Some articles uploaded in CY2024 in the SSX website are as follows:
- Healthy snacking as a wellspring for sustainability (posted: February 6, 2024);
- A bagful of hope for Mother Earth CITEM partners with Oikos Philippines (posted April 24, 2024);
SSX is also a hub for business, partnerships, and networking. This helps empower CITEM stakeholders by becoming a sustainability partner or enabler.
Implementing Energy Conservation Measures Agency-Wide. CITEM also strived to reduce consumption of energy thru observance of the following energy conservation measures:
- Air conditioning systems - follow standard operating hours, setting of air-con thermostat, preventive maintenance, conversion to inverter type units;
- Lighting systems - follow standard operating hours, Lights/Lamps at Modular desks, Use of LED lights/lamps
- Other Furniture/Fixtures/Equipment - Observe proper use of refrigerators and water devices
- Fuel - Government vehicles intended for Official Use, Observance of speed limit, Perform BLOWBAGETS before operating, preventive maintenance.
Some articles uploaded in the SSX website in CY2024:
CITEM has a CSR report uploaded on the agency's website.
Likewise, CITEM is maintaining the website www.sustainability.ph which is the online community platform for Sustainability Solutions Exchange (SSX). It promotes products, services and an exchange of ideas on sustainable consumption and production. The website features a diverse range of stories about sustainable technologies, interventions and practices that seek to engage businesses and consumers to start or continue their journey towards sustainability. Some articles uploaded in CY2024 in the SSX website are as follows:
- Healthy snacking as a wellspring for sustainability (posted: February 6, 2024);
- A bagful of hope for Mother Earth CITEM partners with Oikos Philippines (posted April 24, 2024);
Sustainability Solutions Exchange (SSX)
Some articles uploaded in the SSX website in CY2024:
CITEM has contact details dedicated for complaints/concerns:
CITEM-Citizen-Charter 2024.pdf, p.21
Feedback and Redress Mechanisms--
To promote transparency and constant improvement, CITEM encourages stakeholders to express their feedback, concerns, complaints, and suggestions through the following channels, as indicated in the Citizen’s Charter at CITEM’s official website:
- Talking to the Public Assistance and Complaints Desk (PACD) Officer at the CITEM Lobby
- Filling out the Feedback Form available at the CITEM Information Desk and dropping it in the Suggestion Box located at the lobby
- Contacting CITEM through phone at +(63 2) 831-2201; through fax no. 832-3965; or via e-mail at info@citem.com.ph
CITEM's policy on employee health, welfare, and safety is available in the following:
- Employees' Manual (pages 16-17)
- Revised-Manual of Corporate Governance: Section 39. Training and Development for CITEM Employees; Section 40. Health and Safety, page13 - CITEM shall have development discussions and structured training programs for personal and professional development for CITEM employees.
CITEM implemented several programs related to health, safety and welfare of its employees which are available in the following documents:
- Wellness Programs CY 2024
- CITEM Clinic Report on Clinic Lecture and Health Programs 2024
- Health and Safety Reminders
The CITEM Clinic also reported on the number of clinic transactions in 2024, which includes the following cases, among others:
- Hypertension
- Diabetes mellitus
- Skin infection
- Migraine
- Viral infection
- Contact dermatitis
CITEM has a list of Training Programs attended by CITEM Employees in 2024. The list includes objectives/brief description of the training programs.
Data on training and development programs for CITEM employees are available in the document 'Training Programs CY 2024. Data includes training/program title, number of participants per program, average hours per training held and sex-disaggregated data.
CITEM 's Revised Whistleblowing Policy encourages each employee to speak up when there is an issue or concerns that affects work or accomplishments. It promotes an environment of open communication between employees and all levels of management; to ask questions and report concerns. It is the obligation of everyone to speak up or report about a known or suspected violation to protect the Agency.
Whistleblowers may report such acts or omissions that are illegal, unethical, violate good governance principles, against public policy and morals, promote unsound and unhealthy business practices, violate CITEM’s policies, procedures, rules and regulations, or are grossly disadvantageous to CITEM and/or the Government. A Whistleblowing Report (WR) shall be in writing, which contains sufficient facts with basis. Reporting can be submitted through the following reporting portals:
- GCG Whistleblowing Web Portal;
- Alternative Reporting Channel (i. Face to Face Meetings with CITEM Officials, Officers, and Employees/ or GCG Officials; ii. E-mail; iii. Phone, among others.
Under the said policy, it shall treat all reports, including the identity of the whistleblower/person concerned and the respondent, in an utmost confidential and sensitive manner. Each issue or report will be handled or investigated promptly, consistently, and appropriately. CITEM will observe due process where the respondent will be given the chance to hear and explain his/her side within 15 days from receipt thereof. Personnel who initiate a report may be updated on the actions taken, to the extent allowed by law.
Enhanced CITEM Grievance Machinery. CITEM adopted and enhanced its Grievance Machinery In line with the Revised Policies on the Settlement of Grievance in the Public Sector contained in CSC Resolution No. 010113 dated January 10, 2001 and implemented through CSC Memorandum Circular No. 02, series of 2001, and pursuant to CSC Memorandum Circular No. 04, 2010 or the Revised Policies in the Resolution of Protest Cases. The Enhanced CITEM Grievance Machinery is duly approved by the Civil Service Commission on 06 August 2024.
The procedure for seeking redress of grievance shall be as follows:
- Discuss with Immedaite Supervisor
- Appeal to the Higher Supervisor
- Appeal to the Grievance Committee
- Appeal to the Top Management
- Appeal to the Civil Service Commission Regional Office
CITEM's revised Whistleblowing Policy encourages each employee to speak up when there is an issue or concerns that affects work or accomplishments. Under the said policy, it shall treat all reports, including the identity of the whistleblower/person concerned and the respondent, in an utmost confidential and sensitive manner.
Below procedures to protect the whistleblower Against Retaliation are included in the said policy:
- Retaliation actions a whistleblower or any personnel for any report will be taken cognizance of by the CITEM Integrity Monitoring Committee if the report is made in good faith. The GCG may further extend all possible assistance to the whistleblower under the law and given the circumstances.
- Any person covered by this Policy who retaliates, intimidates, harasses, or undertakes may adverse actions against a whistleblower or any person who, in good faith, has cooperated in the investigation of the whistleblowing report, shall be subject to disciplinary action.
- CITEM shall not tolerate any retaliatory acts against a whistleblower who submits a whistleblowing report in good faith.
- A whistleblower shall be protected against retaliation, intimidation, harassment, or other adverse actions for submitting a whistleblowing report in accordance with this Policy. A whistleblower who believes that he/she is the subject of any form of retaliation, intimidation, harassment, or other adverse actions as a result of his/her whistleblowing report should immediately report the same as a violation of and in accordance with this Policy.
- Such retaliation, intimidation, harassment, or other adverse action may include:
- Discrimination or harassing in the workplace;
- Demotion;
- Reduction in salary or benefits;
- Termination of contract;
- Evident bias in performance evaluation; or
- Any act of threats that adversely affect the rights and interest of the whistleblower.
CITEM's corporate objectives are available in CITEM website as well as in page 2 of CITEM's 2024 Performance Scorecard and Strategy Map.
CITEM's Financial strategic measures are available in CITEM website - page 3 of CITEM's 2024 Performance Scorecard as follows:
- SM1 - CRR;
- SM2 - Budget Utilization Rate (BUR)
- SM2a - Obligations Subsidy BUR;
- SM2b - Disbursements Subsidy; and
- SM2c - Corporate Fund BUR
CITEM's non- financial strategic measures are available in pages 4-6 of CITEM's 2024 Performance Scorecard as follows:
- Percentage of Satisfied Customers;
- No. of Trade Buyers attending Export Promotion Events;
- Implementation of the Board-approved Medium-term Marketing Plan;
- Establish a New Board-approved Marketing Plan;
- Increase PR Value;
- Number of SMEs Participating in Export Promotion Activities;
- Percentage of Completion of ISSP;
- Improve Processes to Quality Management System; and
- Improve Competency Baseline of the Organization
CITEM 's Revised Whistleblowing Policy encourages each employee to speak up when there is an issue or concerns that affects work or accomplishments. It promotes an environment of open communication between employees and all levels of management; to ask questions and report concerns. It is the obligation of everyone to speak up or report about a known or suspected violation to protect the Agency.
Under the said policy, it shall treat all reports, including the identity of the whistleblower/person concerned and the respondent, in an utmost confidential and sensitive manner. Each issue or report will be handled or investigated promptly, consistently, and appropriately. CITEM will observe due process where the respondent will be given the chance to hear and explain his/her side within 15 days from receipt thereof. Personnel who initiate a report may be updated on the actions taken, to the extent allowed by law.
Said policy is available in the CITEM website.
Biographical Details of CITEM Board of Governors are available in the CITEM Website.
CITEM Executive Director Leah Pulido Ocampo attended the Corporate Governance Orientation Program conducted by Institute of Corporate Directors (ICD) on December 3-4, 2024.
CITEM’s website contains a statement confirming the agency’s full compliance with the Code of Corporate Governance.
References:
- Sections 1-12 of Code of Conduct and Ethical Standards of CITEM Officials and Employees
References:
- Sections 1 of Code of Conduct and Ethical Standards of CITEM Officials and Employees
References:
- CITEM Code of Conduct
Governance and Nomination and Remuneration Committee Members
The CITEM Board appoints and designates a risk and Management Committee
References:
- Committees in the CITEM Board, functions, and appraisal
- Sec Cert_Board Committees Nomination (Res No. BM 2020-01-09 & 10)
Board must be provided with board papers for the upcoming meeting at least 3 working days in advance indicated under the CITEM Board of Governors Regular Board Meetings' policy.
References:
- Section 6 (b) of the Rules on the Conduct of CITEM Board of Governors Meeting
- Board Meeting Policy and Actual meeting and attendance
The agency’s Internal Audit Service Unit has been working for the agency’s ISO Certification.
References:
- CITEM Website Key Officers List
- DBM Approved CITEM Organizational Chart
The company completely disclosed their internal control procedure/risk management system.
References:
- CITEM Risk Management System
The GOCC disclosed all its key risks e.g: compliance review and financial management control and how they handle such risks.
References:
- CITEM Risk Management System
DTI Secretary or its alternate is the Chairman of the Board, while the Executive Director is an appointive member of the Board.
References:
- Key Officers
CITEM, through the Corporate Secretary and the Executive Committee, conducts orientation programs especially for new Directors.
References:
- Website: Orientation for the new board member
- Sec 66 of the Revised Manual of Corporate Governance
The company has a policy that encourages directors/commissioners to attend educational programs and they also include the list of training that was attended by the board of directors.
References:
- Section 66 of Manual of Corporate Governance of CITEM
References:
None. CITEM is compliant with all Good Governance conditions.
Note: Validation of Compliance to Good Governance Conditions for FY 2024 is ongoing.