Aboitiz Group embraces sustainability mindset

MANILA, Philippines — Retiring Aboitiz Group honcho Erramon Aboitiz said the Cebu-based conglomerate would continue to grow the business, but would also ensure that it would embrace a sustainability mindset.

“The growth of a business like the Aboitiz Group is not solely dependent on numbers, nor return on investments. What makes a nearly century-old conglomerate unique and thriving is its conscious decision to put a greater purpose at the core of every action and decision,” Aboitiz said during his commencement speech at the conferment of his Honorary Doctorate Degree in Management from the Asian Institute of Management last week.

Aboitiz said that in the conglomerate’s case, the higher purpose is ensuring that the organization is “driving change for a better world.”

This, he said, is coupled with the sustainability mindset of doing well by doing good and always making the right long-term decisions that balance the interests of people, planet and profit.

“As businessmen, there is no doubt we seek profits and a return on our capital. We, however, are equally guided by a strong sense of purpose that goes beyond just making money,” Aboitiz said.

Thus, he said, while the group needs to get a reasonable return on our investments, it also wants to ensure that it is driving change for a better world.

“There is no reason why every action, every decision cannot somehow contribute to this greater purpose,” Aboitiz said.

He emphasized the importance of upholding time-honored values of the company such as integrity, teamwork, innovation and responsibility.

Aboitiz also cited the teamwork with non-Aboitiz executives.

“We consider ourselves a family-led than a family-run enterprise, with non-family professionals taking on very senior leadership roles. Our unique culture, nurtured and strengthened over generations, is the secret sauce to the group’s success,” he said.

Aboitiz, who is set to retire effective Jan. 1, 2020, belongs to the fourth generation of family leaders  who uphold Aboitiz patriarch Don Ramon’s philosophy of nurturing and strengthening professional excellence.

Erramon Aboitiz will be succeeded by his younger brother Sabin. There are also already a number of  fifth generation Aboitizes that are holding senior and executive positions in the company.

In his speech, Aboitiz also underscored the value of protecting one’s reputation.

“Your education and the values you have imbibed from this institute have prepared you well to seize the limitless opportunities ahead. Do the right thing and do the best you can. Like Aboitiz, consider your reputation as your greatest asset one that you will protect at all cost,” he said.