A STRATEGIC AUDIT OF BAGUIO-BENGUET COMMUNITY CREDIT

COOPERATIVE

JERAH MAY D. BANIQUED

CHERRYLYN S. ABELLERA

CASE STUDY

BACHELOR OF SCIENCE IN BUSINESS ADMINISTRATION

MAJOR IN MARKETING MANAGEMENT

COLLEGE OF BUSINESS AND ECONOMICS

NUEVA VIZCAYA STATE UNIVERSITY
Bayombong, Nueva Vizcaya

General Environment
The general environment consists of the economic, technological, sociocultural,
and political and legal trends that influence a business. By looking into each of these
areas, a business managers are able to identify possible opportunities and threats that can
influence the performance of the business.
Political Factors
Privatization. The passing of government obligations to corporations and other private
entities, has become a policy thrust of the Philippine government upon the dictates of the
International Monetary Fund and World Bank. Nationwide, the trend of outright
transformation or sale of government agencies, government-owned and -controlled
corporations (GOCCs), public hospitals and schools, state colleges and universities, and
public utilities, has prevailed over the peoples clamor for sufficient and accessible social
services. This scheme extends to the Cordillera region, especially in Metro Baguio as it
serves as the regions political, economic, and cultural center. Here, around 16
government agencies and GOCCs are burdened by the policy of privatization. These are
the National Power Corporation, Social Security System, Government Service Insurance
System, PAG-IBIG, National Food Authority, National Housing Authority, Housing and
Urban Development Council, Housing Investment and Guarantee Corporation, Housing
and Land Use Regulatory Board, Department of Social Welfare and Development,
PhilHealth, Philpost, National Irrigation Administration, Baguio Water District and La
Trinidad Water District. Handing over the work of basic social services to private entities
means converting these services into profit-oriented enterprises. In light of the dreaded
multisectoral impacts of privatization, Tongtongan Ti Umili-Cordillera Peoples Alliance

together with supportive groups and allies successfully launched the Solidarity to Oppose
Privatization!, Metro-Baguio (STOP!-MB) on September 1, 2001.
Privatization of health services. The two major public hospitals in Metro Baguio are now
being subjected to privatization. The different departments of Baguio General Hospital
are being privatized piecemeal. Its dialysis center is said to be controlled by a US firm.
BGH has also two newly constructed buildings for pay wards. Following the trend to
privatize the health sector, the Benguet Provincial Board has declared Benguet General
Hospital (BeGH) as an economic enterprise in early 2004 through Ordinance No. 4-88.
A Board of Directors has been formed with broad decision-making powers, including the
power to ratify earlier agreements with the provincial board, such as the 60-40 percent
ratio of the hospitals 200-bed capacity for charity and pay wards respectively. As an
economic enterprise, BeGH would still receive an annual subsidy of P40 million from
the provincial government, but this subsidy may cease once the hospital becomes
financially viable through the collection of additional fees from indigent patients. In May
2004, affected BeGH employees passed a counter-proposal, pressuring the Provincial
Board to recall the ordinance. The employees protest raised 16 concerns, ranging from
continuous appropriation to the composition of an oversight committee to ensure the
smooth implementation of the ordinance. Before this latest attempt to corporatize, BeGH
already turned over its dialysis and physical therapy department to private firms.
Continuing the privatization trend, the Baguio Health Department also increased its fees
on services and laboratory fees.
Privatization of the educational system. The governments meager budget for state
universities and public schools means a yearly slice of subsidies, pushing these public

institutions to further privatize. As a result, student youth from all over Northern Luzon
and even some Central Luzon provinces who go to study in Metro Baguio have to endure
unending increases in tuition and other fees, and the general worsening of the educational
system.
For several months now, students of the University of the Philippines (UP) System
including UP Baguio students have voiced their strong opposition to Senate Bill 2587
(formerly House Bill 455), which is designed to privatize the UP system, leading to
higher tuition fees. Section 10 of SB 2587 states that the Board of Regents, the highest
policy-making body of the University, will be vested with corporate powers, indicating
the openness to engage in business and other profit-making schemes to generate funds for
the universitys operations.
The small budget for public education affects all public elementary and high schools in
the city. In Baguio City National High School (BCNHS) alone, as per 2003 data, there
were only 365 teachers serving a large student population of nearly 12,000. At the Pines
City National High School (PCNHS), 7,000 students on the first day of classes had to be
serviced by only 174 teachers. In both schools, the average class size ranges from 70 to
80 students per class. There are worse cases of high student-teacher ratios in the city, with
the highest recorded figure so far reaching 92 students per teacher at the BCNHS Fort
Del Pilar Annex during school year 2002-2003.
Privatization of market, comfort rooms and roads. The Baguio City local governments
blind drive to privatize its market, roads, even public toilets, underscored the intense
mayhem inflicted by favored corporate interests against the general public welfare. The
pay parking scheme on city roads, which is privately operated by and mainly benefits

Jadewell Systems, is proving itself a fiasco with its continuous violations of Land
Transportation Offices supposed mandate, police traffic management, and city council
ordinances, aggravated by its arrogant posturing. Designating sections of city roads as
pay parking areas worsened traffic congestion. The Jadewell scheme has displaced public
utility jeep and taxi drivers, local motorists and commuters. In addition, Jadewell has
failed to remit to the City Treasurers Office the full revenue share of the city from its
pay-parking operations. Holding of picket/protest in front of Baguio City Hall to
influence city officials for the rescission of the Memorandum of Agreement (MOA)
between Baguio City and the Jadewell Parking Systems Corporation which paved for the
privatization of major streets in Baguio City.
Privatization of public utilities. The imposition of the onerous PPA scheme (Power
Purchased Adjustment, now being concealed through the so-called unbundled rates) on
consumers and the privatization of National Power Corporation (NPC) have resulted in
unjust power rates that go far beyond the consumers actual use of electricity. In Benguet
province, the Benguet Electric Cooperative (BENECO) is still bound to collect the PPA.
These high rates are expected to increase again with the conversion of BENECO from a
non-stock, non-profit cooperative to a stock cooperative.
A forum against the Power Purchased Agreement (PPA), an agreement between the
National Power Corporation and Independent Power Producers which had led to the
uncontrollable increases of electric/power rates. Furthermore, water rates in Baguio
continue to increase, driven by the Baguio Water Districts need to pay its P796.75
million loan incurred for the Baguio Water Systems Rehabilitation and Expansion
Project. Attempts to pass on the loan burden to water consumers would escalate again

with the P3-billion Bulk Water Supply Project. Aside from this, the Bulk Water Supply
Project threatens to privatize public water sources, which could be a prelude to more
extensive water privatization and the dependency to water rationing of the entire BLIST
area. (Read related article: Water war?)
Privatizations impact on government employees. Mergers and abolitions of government
agencies inevitably lead to the reduction of positions in the civil service. Thus, more than
2,000 government employees in the Cordillera most of whom are in Metro Baguio are
faced with retrenchment and contractualization. In Baguio City alone, 87 waste
management workers, threatened with displacement, petitioned the city council to
reconsider its proposed privatization of garbage collection, hauling and disposal. The
reorganization of four City Hall departments (General Services Office, Public Utilities
and Services, City Engineering Office, Office of City Architect and Parks
Superintendent) is threatening 349 more city employees.
Economic Factors
Labor sector in the midst of economic bankruptcy. National Statistics Office (NSO)
figures admit that the countrys unemployment rose from 3.42 million in 2002 to 3.6
million in 2003. Unemployment rates also increased in the Cordillera provinces.
Compared to other provinces, Baguio City has the highest unemployment rate of 17.2%
in a total labor force of 199,000. (Refer to table.)
Table 1. EMPLOYMENT AND UNDEREMPLOYMENT RATES AS OF
JANUARY 2004 CAR
Source: National Statistics Office

Province

Abra
BaguioBenguet

Labor
LF
Employment Unemployment
Underforce
participation
employment
(LF)
142,000 65.8%
91.8%
8.2%
6.1%
429,000 62.3%

86.6%

13.4%

4.3%

199,000 54.6%

82.8%

17.2%

4.4%

230,000 69.0%

89.0%

10.7%

4.6%

106,000 80.1%
109,000 73.5%
91,000 89.4%

90.8%
89.5%
95.4%

9.2%
10.5%
4.6%

13.6%
2.1%
2.8%

61,000 75.3%
939,000

96.7%

3.3%

21.0%

Baguio only
Benguet
Ifugao
Kalinga
Mtn.
Province
Apayao
TOTAL

Unemployment, retrenchment, low wages and poor working conditions haunt urban
workers and their families. While the living wage in the Cordillera region is defined at
P537 daily, the actual wage rates for a regular industrial worker is stuck at P190 daily.
Other workers in the service, handicrafts and agricultural sectors receive as low as P174
daily. Piece-rate and job-out workers at the Baguio City Economic Zone (BCEZ) endure
extremely low pay.
Also, the increasing number of unpaid family workers and self-employed workers
implies the short-term, transient, or seasonal nature of available employment, as shown in
the table below.
Table 2. EMPLOYED PERSONS BY CLASS OF WORKER FROM PRIMARY
OCCUPATION

CAR, July 2003

Source: NSO
CLASS OF WORKER

NO. OF WORKERS

WAGE AND SALARY

(worked for private household/
establishment/family operated activity)
WAGE AND SALARY
(worked for government/government corporation)

13,850

OWN ACCOUNT
(self-employed)
OWN ACCOUNT
(employer)
UNPAID FAMILY WORKER
NOT REPORTED
TOTAL

9, 418

2,364

1,597
3,222
----30,415

Massive retrenchments hit Philex Mines and John Hay Development Corporation
last year. Citing the economic crisis, the management of these two firms justified the
layoffs on grounds of losses despite their continued reaping of profit. In the case of
Philex, for instance, the company was able to hire contractual workers and purchase new
equipment after the retrenchment. A total of 962 workers in Baguio and 425 workers in
Benguet were displaced last year, while the first two months of 2004 also witnessed
termination and retrenchment cases of workers in Baguio and Benguet.
Table 3. NUMBER OF DISPLACED WORKERS BY YEAR PER PROVINCE
Source: Department of Labor and Employment-CAR
YEAR
2000
2001
2002
2003

BAGUIO
189
1300
76
962

BENGUET
656
422
136
425

MT.PROV

ABRA

10
49

2004 (Jan-Feb)
TOTAL

36
2,563

56
1,695

10

49

In the Baguio City Economic Zone (BCEZ), applicants are victimized by gender
discrimination and the preference for single or unwed women workers. To this aim, the
EPZA management scrutinizes applicants through expensive and prolonged screening. It
continues the practice of maintaining the casual or probationary status of workers for
several years, while the workers are severely overworked and exploited by the burden of
meeting their quotas. Lastly, workers of Texas Instruments within the BCEZ need special
attention due to their exposure to dangerous chemicals that could lead to cancer and other
serious illnesses. Their working conditions need immediate investigation, considering
that a number of recorded cases of deaths are traceable to such occupational hazards.
Sociocultural Factors
Ilocano is the predominant dialect in the city. The national language, Filipino, is
of course spoken by almost everyone. English is widely spoken and understood. It is the
medium of instruction in all public and private schools. Most newspaper and magazines
are printed in this language and the English-speaking traveler would not encounter any
communication problems. Religiosity is a basic socio-cultural characteristic that makes
the Filipino character distinct and unique as manifested likewise by Baguio residents.
Over the years, the number of religious sects in the City has been increasing. The three
most dominant are Roman Catholics to which 80.4 percent of the population belong,
followed by the Episcopalian Church with 5.8 percent and the Iglesia ni Cristo with 3.5
percent membership. The remaining 10.3 percent distributed among other religious sects.

Technological Factors
Technological advancements, government spending on technological research, the
life cycle of current technology, the role of the Internet and how any changes to it may
play out, and the impact of potential information technology changes.
Environmental Factors
The Citys main attraction is still its natural bounties of cool climate, panoramic
vistas, its pine forests and generally clean environs. Today, it still boasts of 5 forest
reserves with a total area of 434.77 hectares. Three of these areas are watersheds that
serve as sources of the Citys water supply. Of the Citys total land area, only 467.5
hectares (8.1 percent) still have old growths of pine while 1,137.5 hectares (19.8 percent)
have production pine stands and 122.5 hectares (2.1 hectares) are brush lands. The
remaining area of 4,021.1905 hectares making up 70.0 percent of the total comprises the
developed portion.
There are five major creeks/waterways that serve as a natural drains leading to the
lowlands. These continue to serve as sources for irrigation of cultural lands along its
banks. There are also nine major springs that continue to supply water in various areas of
the city, mostly those that have not been reached by or cannot be served by the water
system. The overall water consumption expanded by 3.05 percent over the previous year,
contributing to the increase is the presence of metered deep wells (private wells) wherein
volume of production is being paid to Baguio Water District. Continuing efforts to

conserve the environment through public and private sector partnerships are being
embarked upon. The City has initiated and persistently implemented its solid and liquid
waste management program. The Baguio Sewage Treatment Plant, the only one of its
kind in the country, now operates at percent of its rated capacity. The city is currently
implementing a citywide installation of secondary bilateral inlet pipes to enable majority
of the city to gain access to the services of the treatment plant.
Solid Waste Management now covers 98percent of the total 128 barangays. Most of the
Citys total households or 99 percent are served regularly. The average solid waste
density per kilograms per cubic meter is 300. The volume of waste collected decreased by
0.31 percent. This is attributed to the proliferation of ambulant scavengers who roam
around the City pulling out recyclable materials from piles of solid wastes before the
regular collection. The facility is now operating at 103.97 percent rated capacity more
than last years level of 93.32 percent. Its performance continue to improve with 90.04
and 91.11 percent reduction rate of biochemical oxygen demand and chemical oxygen
demand compared to the allowable standard of 85 percent.
The average Total Suspended Particulates (TSP) in micro gram per normal cubic meter is
200 in 2003 and 198 in 2004, taking into account the air quality of the surrounding areas
of the Central Business Areas which are still within the fair to good condition since
Baguio City has a good to fair air quality. The Ambient Air Quality (AAQ) Standard is
pegged at 230 TSP.
Legal Factors

Republic Act No. 9520. AN ACT AMENDING THE COOPERATIVE CODE

OF THE PHILIPPINES TO BE KNOWN AS THE "PHILIPPINE COOPERATIVE
CODE OF 2008. "ART. 3. General Concepts. - A cooperative is an autonomous and
duly registered association of persons, with a common bond of interest, who have
voluntarily joined together to achieve their social, economic, and cultural needs and
aspirations by making equitable contributions to the capital required, patronizing their
products and services and accepting a fair share of the risks and benefits of the
undertaking in accordance with universally accepted cooperative principles.

Competitive Environment
Threat of New Entrants. As Baguio City and Benguet continue to grow. It is expected
that more banks, more lending services, more lodging/function hall services and other
financial institutions will open in the city, BBCCC considers the impact of this force as
high therefore new entrants-new competition-new challenges.
Threat of Substitutes of Product/Services. BBCCC as a primary cooperative, a shining
hope for Baguio and Benguet, offering services and extending loans of different purposes
and located at the heart of Baguio where several lending companies and different
financial institutions, and other informal money lenders who all offer different services
and credit facilities is great threat of Substitution.
Bargaining Power of Buyers. The member has a minimal choice in availing the services
because the cooperative strictly implements its policies and procedures, hence, the
bargaining power of buyers low.

Bargaining Power of Suppliers. Due to other linkages and the credible reputation that
was built along the years, many suppliers and different providers offer better prices to the
cooperative. Therefore, BBCCC truly proves that they are the leading in terms of market
share in the City that makes the bargaining power of suppliers low.
Rivalry among Competing Firms. The rivalry among competing firms in Baguio City is
high because the competitor also offers the same services as the cooperative does.

Historical Background
The BBCCC was organized as the BAGUIO TEACHERS CREDIT UNION in
1958. Fifteen teachers from what was then Saint Louis College (now Saint Louis
University) in the City of Baguio pooled whatever savings they had and registered the
BTCU under the provisions of the pre-war Commonwealth Act 565 (The Cooperative
Law) and Republic Act 2023 (The Philippine Non-Agricultural Cooperative Act) which
were passed only a year earlier. Their aggregate capital amounted to only PhP 150.00 and
they ran a desk in the house of their principal organizer, Atty. Alexander Brillantes, for
their transactions. But they had such verve that in three years, they expand their
membership to include other teachers in the city. They adopted a new name, the
BAGUIO COMMUNITY CREDIT UNION. Circumstances were harsh, however, and
they kept moving their office. From the Brillantes residence, they relocated to Upper
Padre Burgos and promptly returned to the Brillanteses when that place was buried by a
landslide.

In 1972, when Philippine dictator Ferdinand Edralin Marcos declared Martial

Law, BCCUs members were 512 strong. In fourteen years they had raised their
aggregate share capital to PhP 121,418, an astounding average annual increase of 2,884%
over the period at the end of which, they reported a gross income of PhP 9,612.00 and a
net surplus of PhP 2,906.00. Modest perhaps, but they were also able to build up their
total assets to PhP 158,290.00. Still looking for permanent ground on which to found a
home, they transacted on Holy Ground, sinking their stakes at Sangkabalayan Building at
the Baguio Cathedral grounds in 1976. That year, they renamed the Cooperative the
BAGUIO-BENGUET COMMUNITY CREDIT COOPERATIVE, INC. (a.k.a. The
KILUSANG BAYANG PAMPANANALAPI NG BAGUIO-BENGUET) and registered it
with the Bureau of Cooperatives Development, organized by virtue of Presidential
Decree No. 175. They moved their offices again in 1977 to a small building within the
Church of the Resurrection compound along Magsaysay Road.
In 1978, at twenty years of age (and counting!), BBCCCI moved back to the
Brillantes compound. Its membership had dwindled to 373 but it still managed to push
aggregate share capital up to PhP187,049.00. Reported at PhP 20,810 at the end of that
year, the cooperatives gross income was increasing at an average annual rate of 19.42%
over the last six years. Net surplus jumped to PhP 8,558.00 over the same period,
indicating an average annual growth of 32.42%. BBCCCIs total assets then registered
PhP 202,472.00. That year, the first thorough systems analysis was made and a 5-year
Development Program implemented. In the following year, membership expanded to 494
cooperators and things began to look bright. Finally by the end of the decade, the
BBCCCI could boast of a mean share capital of PhP 563.00 per member, higher than the

Philippine cooperatives average of PhP 537.00/cooperator; it was granting loans at an

average of PhP 353.00/member-borrower compared to the Philippine mean of PhP
91.00/member-borrower; and it was earning PhP 22.00/member compared to the national
mean of PhP 4.00/cooperator.

In 1983, on its 25th year of existence, BBCCCI had 722 members from all over
Baguio and the province of Benguet. It broke new ground once again, breaching the OneMillion Peso mark in aggregate share capital the previous year. This year, its fixed
deposits registered PhP 1,763,752.00. The BBCCCs total assets in 1983 amounted to
PhP 2,059,408.00, having broken also the One-Million Peso mark the previous year. The
cooperatives Silver Jubilee celebrated these achievements with a simple theme: 25 Years
of Commitment to Progress Through Service. It was, to say the very least, an
understatement. In the last five years, BBCCC had increased its gross earnings by an
average of over 200% annually, reaching PhP 229,570.00 at the end of the period. The
Cooperative had also achieved an annual 230% rate of increase in net surplus over the
same term, realizing a net surplus of PhP 106,643.00 in 1983. In this very same year, the
BBCCCI moved into its new home at the newly renovated former garage of the Saint
Louis University Guest House.
In 1988, thirty years into its existence, the BBCCCI greeted a new dawn; a tyrant
had fled two years earlier and Philippine democracy was a-birthing, a new Constitution
written and the Congress restored. Members had tripled since 1983 and now numbered
2,314 with aggregate fixed deposits of PhP 12,246,767.00. With assets now at PhP
15,959,138.00 the Cooperative finally moved into a home of its own, purchasing the

newly renovated Estepa apartments. This led to a new surge of confidence and by the end
of the year, BBCCCI was reporting another milestone: breaking the One-Million Peso
mark, this time in gross earnings (PhP 1,670,278.00) and in net surplus (PhP
1,048,846.00). All these mean that in the past five years, capital build-up had been
registering at an average rate of 118% per year; assets were growing at an average rate of
135% per year; gross income at an annual mean rate of 125%; and net surplus at an
astounding average rate of 177% per year. There had been another reason to celebrate:
three years earlier, in 1985, BBCCCI had been selected by the Bureau of Cooperatives
Development as the MOST OUTSTANDING COOPERATIVE in the entire country.
In 1998, Joseph Ejercito Estrada was voted into the Philippine Presidency with
the largest winning margin in the countrys history. The BBCCC (the Incorporated had
been dropped in 1991 by its registration with the newly established Cooperatives
Development Authority as per Republic Act 6939 or the New Cooperative Code) faced
the turn of the millennium with tremendous confidence brought about by its
achievements as a millionaire cooperative. In 1991, it had succeeded in having the City
Government of Baguio name the thoroughfare leading to its site, Cooperative Street,
the first of a few so named in the country. 1998 would see the Cooperative 9,489
members strong, with total fixed deposits of over PhP 149.86 million. BBCCCs assets
then stood at nearly PhP 206.46 million with negotiations well under way for the
construction of its own high-rise building. Its gross income registered slightly over PhP
30.33 million by the end of the year with a net surplus of over PhP 21.76 million.
In compliance with its mandate under R.A 6939, the Cooperative established the
BBCCC Foundation, Inc. as its social arm. The Foundation was registered with the

Securities and Exchange Commission on August 13, 2002. It has since put up a Preschool Program and, through a Memorandum of Agreement with the City of Baguio, has
committed to provide quarterly grocery coupons to street urban working children
(SUWC) in coordination with the City Social Welfare and Development Office. Its
scholarship program assists needy but deserving students of Baguio and Benguet public
schools through monthly and annual book allowances. The Foundation also conducts
regular outreach medical and dental services and participates actively in the Clean and
Green Program of the City, having enlisted in the Adopt a Park Project of the local
government.
The BBCCC then took stock of itself in 2008. At fifty years of age, where stood
the Baguio-Benguet Community Credit Cooperative? With 16,387 regular members and
total assets of almost PhP 952.10 million, the BBCCC was poised to receive one of the
most outstanding awards yetthe Baguio Builder Award given to the citys most
enduring and significant contributors to the Citys development on its Centennial Year.
The new eight-floor BBCCC building, a postmodern edifice of emerald glass and
brownstone had been inaugurated three years earlier. On its fiftieth year, the Coopas it
was fondly calledhad PhP 636,577,854.00 in total share capital with gross earnings of
over PhP 101.68 million. By year end, it reported a net surplus of over PhP 58.73 million.
The journey, though rife with pitfalls, had been fruitful. Yet where did it stand go now?
The cooperative had approached a fork in the road, one tine (increasingly taken by a
growing number of institutions) leading to the corporate cooperative and the other
(increasingly desolate and forlorn) to a re-invigoration of the true cooperative philosophy.
QUO VADIS, BBCCC?

The move into the second decade of the 21st century had the Cooperative poised
at the cusp of a fresh offensive against the perennial social problems challenging the
country and the globe: poverty, ignorance, and political apathy. But the BBCCC is also
uniquely positioned in this regard:

By itself, fifty three (53) years later, as a Billionaire Cooperative, it had the capability to
project itself as a beacon of financial stability to all self-help financial organizations and
as a living and vibrant argument against the predominant principle of profit maximization
as the heart and soul of financial activity. Social activism, not profit, drives the strong
Cooperative.
And so the BBCCC counts more as assets the cooperator than the properties; the member
more than the currencies, and the community rather than the deposits, all of whom the
Cooperative co-exists in symbiosis. Man is a social, more than a financial, being. This
basic principle had served as an unshakeable foundation of the Cooperatives faith amidst
the turmoil of the worldwide financial crisis. Markets based on faith in the stability of
currencies will crash; those based on faith in the resilience of people-in-communities
remain solid as a rock.
As for the struggle against ignorance, BBCCC looks forward to the realization of the full
potential of its social armthe BBCCC Foundation. With the drafting of a medium-term
strategic plan and a long term development map, the Coop is finally moving for the
activation of its own Institute for Cooperative Training and Education which is expected
to help promote institutional development among brother and sister Cooperatives, not

only in the Cordillera Administrative Region but also in the rest of Northern Luzon. The
Foundation intends, not to compete, but to lend its intellectual muscle to the expansion of
the Cooperative spirit and movement by sponsoring and organizing seminars, workshops,
and forums addressing the various needs and challenges of cooperators wherever and
whenever its help may be called.

And with regard to political apathy, BBCCC also looks forward to the revitalization of
the national cooperative movement as an active force in national governance as it
promotes the increase of the number of cooperative sectoral deputies in the Philippine
House of Representatives. However, more than a simple move of political involvement,
BBCCCs participation in the electoral exercise is itself an act of advocacythe
promotion of Cooperativism not only in the financial or economic area but in the very
soul of nationhoodthe area of governance. For what is cooperativism but the very
essence of the Democratic Project? And what is a Cooperative but the complete
manifestation of a government of the people, by the people, and for the people, as they
manage their own resources, conscious of the growing needs both of themselves and of
their children, mindful always of the sustainability of their Project, because it is their
present as well as their future? Ah, but the BBCCC knows this well. This is its secret that
is no secret. Faith in ourselves and faith in our own people. And as the cooperative looks
forward to the next fifty years, through a fine mist that freshens the brow much as it
seems to obscure the road beyond, the BBCCC cooperators are strengthened by the
memories of their predecessors, a past that they carry deep within themselves and, thus, is
very much a part of their present, a Faith-sustaining past; a past that enriches and

delineates much more clearly the outlines of their future, and makes it more meaningful,
even through the mistthat thickens now but for their resolutenessas they march on, a
smile on their lips as they murmur, proudly, We remember!
Currently, BBCCC is affiliated with various local, national and Asian cooperative
entities. It is a supporting member of the Asian Confederation of Credit unions (ACCU)
based in Bangkok, Thailand; a member of the Philippine Federation of Credit
Cooperatives (PFCCO) and its secondary, the Northwestern Luzon League of
Cooperatives (NORWESLU), the Philippine Cooperative Center (PCC), and the Regional
Cooperative Development Council of the Cordillera Administrative Region (RCDCCAR), to name a few.
The BBCCC is also a recipient of innumerable awards. It is a Hall of Fame
Awardee in various cooperative groups and has been awarded the Trailblazer Award, The
Biggest Cooperative Award, Most Prolific Cooperative Award, and Most Outstanding
Cooperative of the Philippines on several occasions. In 2005, the Coop was awarded
Outstanding Organization in the Social and Business Sector by the City Government
which also recognized the Coops slogan, Things can happen through the Cooperative
Way, as best slogan for the Citys 96th Charter Day.
Indeed, the Baguio-Benguet Community Credit Cooperative (BBCCC) has come
a long way. Flitting back through the years on the wing of memory, we touch ground at
certain milestones, measured not only by the quantitative growth of our community and
our assets but by the wealth of our sociality; not only by the number of loans we have
extended but by the quality of life those loans have enriched; and not only by the
proliferation of the services we extend to our regular as well as associate members but by

the richness of the relationships these extensions have fostered. Yet the most visible
signposts along this journey would be the measurable indicators of our growth:
membership, assets, aggregate capitalization, etc. In our rational and rationalizing society,
for better or for worse, these are the gauges of the quality of the journey, not the bumps
on the road or the potholes along the way, nor the vicious turns that are sometimes
unexpected or the storms that were stubbornly weathered. But these we did meet along
the way as we did the butterflies, the sun, and the fair wind. It was an altogether
fascinating journey all things considered, as we shall see in reminiscing.
The officers and members are unanimous in saying! We have not only survived,
we are determined more than ever to protect our BBCCC at all costs.
Such is the story of SACRIFICE, SURVIVAL, and SUCCESS of the Baguio-Benguet
Community Credit Cooperative.

Organizational Management
Vision
The BFi envision to be widely known to render excellent services to the BBCCC
members, supplementing only what BBCCC itself renders, such as but not limited to, preschool and cooperative education, assistance to victims of calamities and extreme
poverty.
Mission

Their mission is based on the articles of incorporation to serve as a channel of

BBCCC assistance to members, in terms of goods and services. Creating opportunities
for the improvement of the life of the less fortunate BBCCC members. Networking with
individuals and institutes to obtain assistance in whatever form or kind for the povertydeviation programs and activities of BBCCC.
The core values are the following:

Patience- BBCCC believes that patience is a basic character of all its members,
every member who saves defers present expenses while waiting for their savings

to increase in value;
Active Participation- the cooperative believes that the members are actively and
intelligently use loan facilities of the Cooperative for the benefit of the member

and pave way to the growth of the cooperative;

Responsibility- BBCCC follows rules and regulations,. This ensures order and
rational approach to the further improvement of what needs to be dealt with the

cooperative
Advocacy- BBCCC is an advocate; an active member of the society who spreads

its values beyond the four corners of the cooperative;

Dependability- BBCCC is a means of taking positive action in relevant

situations;
Integrity- BBCCC adheres a high ethical standard of behavior;
Generosity- BBCCC share whatever resources it has. It also lends assistance to its

patrons, people, planet and personnel;

Moral Uprightness- Members, officers and staff are careful to follow acceptable
rules of behavior and behave in a moral way;

Self-discipline- the BBCCC staff and officers are conscious of their

responsibilities both as cooperators and servants of the members and maintain
self-discipline at all time in adhering to and upholding the basic
Objectives
Moreover, the BFi has its general objective to carry out the corporate social

responsibility and cultural advancement/humanitarian functions of Baguio-Benguet

Community Credit Cooperative (BBCCC).

They have also the following 2013 objectives:

1. To sustain and expand the following existing projects such as BFi Pre-school,
Scholarship Program, BFI-DSWD Street Children Assistance Project and BFi
Institute of cooperative Skills and Development;
2. To Continue with the organization process and activities of BBCCC community
senior citizen members and BBCCC community members who are person with
disabilities;
3. To institutionalize BBCCC assistance arm to alleviate other members of the
community in extreme need of care, to include among others: sick, victims of
calamities, poorest of the poor , and be like; and
4. To increase financial resources hence beneficiaries of BFi through networks and
fund raising activities.
Their core values includes Patience Active Participation, Responsibility,
Advocacy, Dependability, Integrity, Generosity, Moral uprightness and Selfdiscipline, Honesty, Innovation, Fairness and Trustworthiness.

The BFi have culture of being a people oriented and family oriented organization
they carry out the corporate social responsibility and cultural advancement which
focused to the people of Baguio and Benguet. BFi promotes the humanitarian
functions of Baguio-Benguet Community Credit Cooperative as an exchange of
warm acceptance of the community.
They practice family centered and applied it in the operations which in
turn helps them to achieve their wills to support people who lack care and
assistance. They always put a simple but remarkably smile on every
communication process as a sign of friendship and as a pleasing way to interact
with people around them, creativity, volunteerism, cooperation and selflessness
arise in them.
In addition, they are God-centered because they put God first in
everything they o to serve the people, these kind of attitude help them to achieve
their will to adhere, attend and serve the needs of Baguio and Benguet
community.
The BFi have strategies in their operation such as:
Baseline Surveys and Needs Assessments. It helps to identify and
prioritize needs for appropriate projects and activities, accomplish social
responsibility funcyions of BBCCC as mother cooperative organization.
Fund Development Program. Helps in generating fund for the
continuous operation of the BFi and not merely depending on the amount given to
them by their cooperative.

Customer Relationship and Service Management. The BFi provides

better assistance and care, to improve and gain quality of life. Through this, they
have published a good relationship with every customer they encounter.
Community Formation. It provides them better coordination of activities.
Membership

Development.

BBCCC Foundation is

continuously

recruiting foundation-knowledgeable and Foundation-service oriented members

from various fields of endeavor to help them provide opportunities on the
improvement of life and development of people who need assistance and care,
In addition, the BFi has their Policy Guidelines Regulating the BBCCC
Foundations programs and projects.
1. The Foundation undertakes to come up with more stringent methods of recording
and bookkeeping;
2. The Foundation provides the BBCCC Board of Directors and Management copies
of its up-to-date records particularly on its activities and projects on a regular
basis;
3. Each project of the foundation is meant to be funded by the BBCCC and be
supported by appropriate Project Proposal detailing therein its purposes, activities,
and detailed budget;
4. Each Project proposal of the BBCCC Foundation funded by the BBCCC be
submitted to the BBCCC Board of Directors for approval, with such approval
contained in a Board Resolution to that effect; and
5. The cost of each Project approves by the Board through a Resolution be advanced
by the BBCCC to the Foundation provided that such advances be properly
liquidated after the conclusion of ach project and copies of the financial and non-

financial reports of the projects be provided the BBCCC Board of Directors and
the BBCCC management of the purposes of the financial and social audit
mandated by R.A 9520.
The BFi operates at the old buildings of BBCCC, the Brilliantes Compound back
of BBCCC from Monday to Saturday from 8 AM to 5PM except national holidays
and is continuously recruiting members.
Human Resource Management