Organization and management: Key strategies for effective leadership

Understanding organization and management can help you work smarter in the Philippines. Your business knowledge can give you an edge over other job seekers and improve your relationships with colleagues and superiors. We'll explain local organizational structures, management styles, and workplace culture in the Philippines and teach you how to use this knowledge to secure work and advance your career. 

• Understanding organizational structures in the Philippines 
• Management styles in Philippine companies 
• Key aspects of workplace culture in the Philippines 
• Career development and advancement opportunities 
• Navigating the job search process in the Philippines 
• Leveraging organization and management knowledge for career success 
• FAQs 

Understanding organizational structures in the Philippines 

Hierarchical structures, which place leaders at the top, are traditional in the Philippines. Leaders in this type of structure make the final decisions for lower-ranked employees. These structures are common in family-owned businesses, where fathers are in the leadership role. They have authority over their children, who have less responsibility. In a family with no father, the oldest child may run the business and make decisions for their siblings. 

65% of Filipino employees think hierarchical structures interfere with innovation and communication. This belief has encouraged some Philippine businesses to adopt new methods. Progressive companies, including startups and tech businesses, may prefer flatter organizational structures. These businesses encourage all employees to communicate and help make decisions. 

Other organizational structures within these categories determine how companies work, including: 

• Divisional: Separate independent businesses operate under a larger corporate banner. For example, San Miguel Brewery, San Miguel Foods, and SMC Infrastructure are all part of the San Miguel Corporation. 
• Functional: Departments focus on specific tasks, but the executive team makes all final decisions. Jollibee Foods Corporation, for instance, has separate marketing, finance, and human resources departments. 
• Matrix: Employees report to functional managers for daily tasks and project managers for projects. Globe Telecom uses this approach to encourage collaboration between departments. 
• Holding company: A holding company owns and makes decisions for subsidiaries but isn't involved in daily operations. Ayala Corporation is an example of a holding company, with subsidiaries including AyalaLand, BPI, and Globe. 

A company's organizational structure affects how it makes decisions and how employees advance. Companies with flatter structures appreciate teamwork and give employees more opportunities than hierarchies. Understanding organizational structures can help you find businesses that match your goals and how you work. 

Management styles in Philippine companies 

Traditional Filipino values often affect management styles in Philippine companies. The values of pakikisama (getting along with others) and bayanihan (communal unity) lead people to build personal bonds. Managers regularly check in with their employees to chat about personal and business matters. 

Family-owned firms often keep decision-making with the patriarch or, in his absence, the eldest sibling. The leaders of these businesses commonly act as authority figures and treat their employees like part of their families. 

Modern management practices are changing the way some Filipino managers lead. Global companies, in which Western ideals encourage managers to value everyone's input, influence this shift. Many tech startups also believe that empowering employees is effective organizational management. 

Understanding different management styles can help you adapt to various workplaces and adjust to your manager's expectations. The ability to adapt to other leadership styles can make you a versatile employee who can succeed in any business. Your flexibility can also help your job search because it makes you a good fit for various roles in any company. 

• Cultural influences can shape how workplaces function in these ways: 
• Pakikisama encourages teams to work harmoniously and make decisions that most people agree with. 
• Utang na loob (debt of gratitude) encourages employees to be loyal to employers who've helped them and vice versa. An employer may also try to repay a debt by promoting an employee whose family member or friend has helped them. 
• The yes po culture encourages employees to respect people higher in the company. 

Traditional values balanced with modern leadership are typical of multinational companies and other Philippine businesses. 

Key aspects of workplace culture in the Philippines

Philippine businesses have unique workplace cultures influenced by tradition. Knowing and adapting to a company's culture can help you form good bonds and work well with your team. Here are some of the key aspects of local workplace culture: 

• Pakikisama encourages professionals to develop interpersonal relationships and network with peers and superiors. 
• Hierarchies, where the lowest-ranked people respect authority figures, are common. People might show respect for their managers by asking for their approval before acting on decisions. 
• Filipino time is a more flexible approach to scheduling than absolute time. As it can cause delays and scheduling conflicts, employees should try to be punctual, but understand others may be more relaxed. 
• Filipino collectivist culture values teamwork and individual contributions to groups. 
• Initiatives such as flexible scheduling and family-friendly activities support work-life balance and employee well-being. 

Local workplace culture is changing, especially in companies with young, tech-savvy teams. Traditional values will continue to matter, but some companies have more modern expectations. Taking cues from managers and respectfully sharing your views can help you do well in progressive companies. 

Career development and advancement opportunities 

More Filipino employees say career development opportunities encourage them to stay with a company than higher salaries, a 2022 Jobstreet survey found. Opportunities for growth may also encourage Filipino workers to apply for new roles. If you want to advance in your career, try our tips: 

• Keep learning and improve your skills with training, seminars, and articles about your industry. 
• Find a mentor through a formal or informal program who can teach you from their experience. 
• Try to receive the best performance evaluations you can, and learn from feedback so your employer sees you're an asset. 
• Attend networking events and build strong relationships with people who may present new job prospects. 
• Accept international assignments to gain new organizational management skills and a broader perspective. 

Navigating the job search process in the Philippines 

Considering Philippine business structures and management styles can help you get a new job. These techniques may help you look more appealing than other applicants: 

• Research the company online and tailor your resume and your cover letter to reflect its workplace culture. 
• Use popular local networking sites and online job portals such as Jobstreet. 
• Prepare for interviews by planning an outfit that fits the dress code and consider potential responses to interview questions that suit the company's culture. 
• Use your professional network to get job referrals and insights into companies that are hiring. 
• Greet interviewers using their job titles, followed by their last name. 
• Smile during interviews to show you're friendly and build trust. 
• Use reliable online tools to understand fair pay for the job you want. Negotiate salary only after receiving a job offer. 

Using organization and management knowledge for career success 

Understanding the principles of organization and management can help you get a job and advance your career. You can improve your chances of success by adapting to different workplace cultures and business trends. Continue to upskill and network to further your understanding and opportunities. The local job market has many opportunities if you're prepared and educated about the local business landscape. 

FAQs 

Here are the answers to the most frequently asked questions about organization and management. 

1. What are the most common organizational structures in Philippine companies? 
   ⁠Hierarchical organizational structures are the most common. A 2022 study found that 78% of Philippine businesses have this structure. 
2. How has the organizational structure in Philippine businesses changed in recent years? 
   ⁠Many Philippine businesses have recently shifted to become more flexible and inclusive. These changes have led to more open communication across all business levels. Businesses have also introduced policies that prioritize diversity and cultural sensitivity. More flexible work arrangements have improved employees' work-life balance. 
3. What are the dominant management styles in Philippine companies? 
   ⁠The most common management styles in the Philippines are: 
   ⁠Management by kayod (working hard like an ant): These managers are hard-working, experienced, and immediately react to problems.
   ⁠Management by libro (book): These managers are thoughtful people who follow processes and rely on research when problems arise. 
   ⁠Management by lusot (shortcut, bribery, and rule-breaking): These managers are opportunistic and may act unethically to get results. 
   ⁠Management by suyod (to take away lice from the hair precisely and neatly): These managers look at problems from all angles and know the strengths and limits of their projects and teams. 
4. How do Filipino cultural values influence management practices in the workplace? 
   ⁠Zenaida S. Macaspac explained that the following cultural values impact management practices: 
   ⁠Familism: Family comes first. Managers often promote their family members, close friends, or people they recommend. 
   ⁠Personalism: Managers get to know their employees personally to build strong connections. 
   ⁠Emotionalism: Managers are sensitive to each employee's feelings and try not to offend them. 
5. What are the key aspects of workplace culture in the Philippines? 
   ⁠The key aspects of Philippine workplace culture are strong relationships built on personal connections, respect for the chain of command, teamwork and collaboration, a strong work ethic, and the ability to adapt to changes. 
6. How does the concept of Filipino time impact work schedules and productivity? 
   ⁠Filipino time can hold up operations and impact a company's ability to meet deadlines. Missed deadlines can harm relationships between the business and its clients. Delays can also push events back and cause scheduling conflicts. Promptness training and time management apps can help you stick to a schedule. 
7. What are the current trends in career development opportunities in Philippine organizations? 
   ⁠Many companies in the Philippines want to improve their workforce's digital skills. Data analysis, artificial intelligence, cybersecurity, and software development are common areas for training. 
   ⁠Hybrid courses with in-person and online lessons help professionals work and study. Learning management systems are assisting businesses in tracking their training programs. Cross-cultural training helps employees interact with clients and colleagues from different backgrounds. Emotional intelligence and leadership training may make professionals more sensitive to others. 
8. How do performance evaluation processes typically work in Philippine companies? 
   ⁠The most common processes for evaluating the performance of employees in the Philippines are employee goal setting (where employers measure achievements at the end of the goal period), regular performance appraisals from employers, 360-degree feedback (where colleagues and, in some cases, their customers share their views on the employee), and assessments of how employees measure up against key performance indicators. 
9. What are the most popular job search platforms and methods in the Philippines? 
   ⁠Job seekers in the Philippines usually search for jobs by networking and browsing online job platforms. Jobstreet is one of the most popular job search platforms in the Philippines. 
10. What are the typical interview practices and etiquette in Philippine companies? 
    ⁠A senior employee usually interviews promising applicants. Interviews are usually one-on-one, although other people may observe or ask questions. Interviews can be face-to-face or held remotely via telephone or video call. 
    ⁠Most interviews ask the applicant to answer a series of interview questions. Case challenge interviews ask the job seeker to solve a problem or complete a task that's relevant to the job. 
    ⁠Wear professional clothing that matches the company's dress code for your interview. Being on time or early shows you respect the interviewer's time. Shake the interviewer's hand and greet them with a smile. Wait for the interviewer to finish speaking, then think about your response so you can answer directly. 
11. What do compensation packages and benefits typically look like in Philippine organizations? 
    ⁠Employees in the Philippines receive wages or salaries for their work. They may also get financial bonuses for good work. Some salary packages may include health insurance, paid leave, and retirement plans. 
12. What are the new trends in organization and management in the Philippines? 
    ⁠Employee well-being and empowerment are some of the latest business trends. Companies may offer flexible working options or better salary packages to boost their employees' quality of life. New open offices with collaborative zones encourage teamwork, while cubicles have tech features to improve efficiency. Some businesses have gyms and rest zones to help employees address their physical and emotional health.