For the conglomerate, sustainability serves as a framework for construction companies
Jaime Z. Urquijo, Chief Sustainability and Risk Officer of Ayala Corporation, put the spotlight on the sustainable approach to value creation and highlighted the conglomerate’s journey towards long-term sustainability during the recently concluded Manila Bulletin Sustainability Forum on November 19, 2024.
Jaime Z. Urquijo, head of sustainability and risk at Ayala Corporation
“Our goal is to build businesses that enable people to thrive. This means building businesses that are sustainable, equitable and inclusive. Ultimately, we try to build businesses that enable people to thrive, that’s the common thread we have in all of our businesses that we try to create or potentially acquire. When it comes to sustainability, this is the framework we use when we think about sustainability in the companies we build,” Urquijo said as he opened his presentation.
Sustainable value chain
For Ayala Corporation, the most compelling way to create value is to solve societal challenges and leverage innovation to scale the business. He cited Manila Water for creating social benefits in water and sewerage, GCash for the financial inclusion of 90 million users, and Acen for building its renewable energy capacity. Additionally, AC Health improved access to affordable quality care by providing the ecosystem that enabled more patients in the formal healthcare system, while ACMobility provided the driving public with new mobility options, reducing gas emissions and transportation costs.
Ayala Corporation’s Jaime Z. Urquijo teams up with program host Issa Litton.
Addressing negative external factors
In his lecture, Urquijo discussed negative externalities, where companies unintentionally create harmful environmental impacts that are not factored into their business models. To address negative externalities, Ayala companies are implementing environmental, social impact and equity action projects in value-enhancing ways.
Acen’s transition of its energy mechanism to renewable energy production, and Globe’s use of solar energy to power cell sites, are good examples.
Ayala Corporation is also committed to diversity, equity and inclusion (DEI) through multiple initiatives. Internal policies related to DEI and inclusive benefits have been implemented, such as supporting working parents, redefining qualified dependents, and addressing a variety of needs including mental health consultations for qualified dependents, education loans, and home repair loans.
Valuable insights are gathered from studies into employee engagement and mirror board integration. There are also programs for inclusive circles, patients of cancer and other diseases, and DEI learning programs for employees and HR teams.
Building thriving communities
Urquijo also discussed how the Ayala Foundation is working towards shared prosperity in the country.
In community development, the foundation aims to lift families from poverty to the middle class in their target communities (e.g. El Nido, Mindoro, Zambales and Makati), and empower Filipino artists through a portfolio of arts and culture platforms (e.g. Ayala Museum, Filipinas Heritage Library, Contempo) nurture young leaders in leadership development (e.g. Ayala Young Leaders, Atletang Ayala, scholarships) and empower their staff to be active in purpose-driven and volunteer projects. In response to the learning crisis, the Big Bet program aims to close the learning gap by developing competent and confident teachers through the Center of Excellence in Public Elementary Education (CENTEX) to support students at the highest levels.
Leave a Reply