A study by the Economist Intelligence Unit (EIU) of The Economist Corporate Network suggested that in Southeast Asia, family-owned businesses in the Philippines are most receptive of running a business around technological operations.
According to local newspaper Manila Bulletin, the study was presented by the group's Global Editorial Director, Andres Staples during a Roundtable Presentation and Panel Discussion on Wednesday.
Participants in the study were family business leaders from a number of Southeast Asian countries including Thailand, Malaysia, Singapore, Philippines, and Indonesia with Filipino business owners reporting an average of 8.29 on a 10-point scale of being most confident.
The Philippines ranked highest in development skills at 8.6. The figures tied with that of Thailand but Filipino family-owned businesses expressed confidence in utilizing modern technological systems and automation. The country's family business leaders also recorded the highest percentage in the idea of transitioning to new markets.
Furthermore, the report found out that Filipino respondents see great opportunities in forging partnerships with foreign-owned businesses whether in large-scale or small and medium business setups.
While the study revealed that the Philippines has a lot of potential in modernizing business operations, there is still a gap that has to be filled due to economic challenges in the country. Author and management consultancy expert, Ricardo De Vera said, "Despite these high optimism, Filipino family business still sees a real disconnect in implementing change specifically digital transformation in their business."
Managing Director of SAP Philippines, Edler Panlilio echoed De Vera's concerns. He pointed out that some of the biggest problems family-owned businesses in the Philippines have been suffering with over the years are digital infrastructure and internet connectivity.
Despite the challenges that family businesses experience due to a lack of technological innovation in the country, analysts believe businesses can leverage the fact that Filipinos are heavy internet users.
Late in January, a study by Hootsuite and We Are Social revealed in the joint report, Digital 2019 that the Philippines has dethroned Thailand as the world's top internet user, the Philippine Star reported.
The report indicated that Filipino social media users spend an average of four hours and 12 minutes on various social media platforms, a record that overtakes the global average rate of two hours and 16 minutes in terms of spending time on social media.
For Premier Family Business Consultants CEO, Jonathan Ramos, family businesses in the Philippines should commit to transforming their mindset. Ramos said leaders should think of digital innovations as an investment instead of a cost.
