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Page 1: Sustainability Report 2009 Fuji Xerox > About Us > Sustainability Report 2009 > Highlight ... As reflected in their ... This project espouses for municipalities to provide residential

Home > About Us > Sustainability Report 2009 > Highlight > Helping to Build Society Through a Mutual Benefit Approach

Highlight 3

Fuji Xerox Gawad Kalinga Village is located in an economically depressed area on the outskirts of Manila. This report spotlights the activities

that Fuji Xerox Philippines is pursuing to foster social and economic independence of slum residents.

In Fuji Xerox Gawad Kalinga Village

Skyscrapers, shopping centers, and luxury hotels line the streets of the Makati district of downtown Manila, the Philippines' capital city.

In stark contrast, just thirty minutes by car from Fuji Xerox Philippines' headquarters in Makati, is Taguig City. When passing the city's upscale

residential zones, a bleak scene of tinroofed shanties and narrow alleys suddenly appears.

Fuji Xerox Gawad Kalinga (GK) Village, completed in December 2007, is located in a Taguig

slum area. It comprises 30 homes and a two-story multipurpose hall.

The homes house 34 families, comprising 120 residents in total.

Groups of four homes share a communal kitchen and bathing facilities.

Here, the alleys serve as playgrounds for frolicking children supervised by smiling mothers and

the elderly. As reflected in their tranquil expressions, life is now much better for the local

residents. Previously, they were always under pressure of being evicted since they built their

shanties on the city's property without permission. They were virtually isolated from surrounding

neighborhoods and had to tolerate an environment rampant with violent crime and drunken street

fights. Now, however, the scene is quite different with the establishment of the Fuji Xerox GK

Village, which showcase newly built homes and a multipurpose hall that serve as community

facilities.

The first floor of the Fuji Xerox Gawad Kalinga Village multipurpose hall serves as a daycare center, while the second floor is utilized as a

computer training facility. One parent, Medy Austria, notes that she can now leave her children at the daycare center in the morning and work

on her needlecraft. Above all, Medy is happy that her children can now attend school. Before, many families could not afford the cost of

textbooks; therefore, their children were deprived of an all-important education.

The multipurpose hall is also open to local residents and other nearby GK Villages. Local volunteers regularly visit the facility to teach children

how to use the computers. Companies that support other GK Villages in the same area donated the computers. Many children learning at the

hall exclaim enthusiastically that they want to work using computers in the future. The multipurpose hall has truly become a hub where children

can pursue their dreams and aspirations.

Page 2: Sustainability Report 2009 Fuji Xerox > About Us > Sustainability Report 2009 > Highlight ... As reflected in their ... This project espouses for municipalities to provide residential

When People Regain Honor and Dignity They Become Independent

“Gawad Kalinga” from which the village gets its name, means, “to give care” in Pilipino.

The Gawad Kalinga Project is a self-sufficiency promotion project for slum communities, launched by a Cathol ic

organizat ion, Couples for Christ. This project espouses for municipalities to provide residential rights in village

construction zones, for local residents to participate in construction work, and for businesses to cover construction

material costs and provide volunteers for construction work.

It is the organization's policy to respectfully decline one-off donations. In 2006, the Gawad Kalinga Community

Development Foundation and its then-representative founder, Antonio Meloto, received the Ramon Magsaysay

Award for Community Leadership, which is widely regarded as the Asian equivalent of the Nobel Prize.

“For me, the most important thing is for people on the fringes of society to regain their honor and dignity as human

beings,” explains Meloto in describing the goals of the foundation's activities. “When people are hungry, have no place to live, and feel they

have been cast aside by society, they become desperate and violent. However, when they meet someone who cares about them, and who

works with them to build their own houses, they begin to strive on their own to lead better lives. For example, men who once never worked more

than two days a week have now started working five days or more per week. It's crucially important that people living in slum areas feel that

someone really cares about them.”

Fuji Xerox Philippines Meets Gawad Kalinga: Activities that Foster a Sense of Unity Within Fuji Xerox Pphilippines

In 2006, former Fuji Xerox Philippines president, Romerico Serrano, found himself troubled by

the downturn in the company's business performance and declining employee morale. During a

search for community programs that would foster a stronger sense of unity within the company

through employee participation, he came across the Gawad Kalinga Project and immediately

decided to get involved.

In August 2006, the Fuji Xerox Philippines Foundation made a 2.6 million yen (1,325,000

Philippine pesos) contribution to Gawad Kalinga. The groundbreaking ceremony for the GK

Village Project took place in October, with Taguig Mayor Sigfrido Tinga in attendance.

“Build Days” were held more than 30 times on Saturdays with Serrano and nearly 20 percent of

Fuji Xerox Philippines' employees participating as volunteers. The project was completed in December 2007 and handed over to local residents.

The company set up a Project Committee in September 2006. The Committee's duties ranged from internal communications to recruiting

volunteers, guiding employees to the worksite, arranging lunches and beverages and allocating work duties for more than 30 volunteers on

each Build Day.

“At times, we had so many volunteers that we had to send some off to work at other village construction projects,” chuckles Waldo Rodriguez, a

Fuji Xerox GK Village voluntary caretaker, who supports local residents on a daily basis.

“ Fuji Xerox Philippines went beyond conventional support.” Meloto said in appreciation. “It stands out in terms of the sheer number of

volunteers, and the fact that it placed importance on education and built the multipurpose hall.”

Changed Awareness Created a Sense of Unity

Each Monday after the Build Day, the Fuji Xerox Philippines Project Committee put up posters throughout Fuji

Xerox Philippines' workplace to keep employees up-to-date on the progress of the project construction work.

Photos of the president and executive officers all smudged with wet cement and paint particularly pleased

employees. In the process of working toward a common goal through teamwork, the company's employees

regained their sense of pride and solidarity.

Employees who initially had no interest in the project also became involved.

They became increasingly aware of how fortunate they are to have a stable job and life. Some employees were

inspired by the slum residents becoming more independent as the construction work proceeded, and felt a need to

become more independent in their own lives. Furthermore, many employees took their children to the Build Days as

an educational opportunity to see the wider society they live in.

In terms of Fuji Xerox Philippines business, multinational companies and giant Philippinesbased firms accounts for nearly 25 percent of Fuji

Xerox Philippines' total sales revenue. The remaining 75 percent is generated through businesses with small- and medium-size local

companies. Fuji Xerox Philippines executives who have participated in the Build Days, frequently mentioned that if more people in the slum

areas participate in economic activities, they will eventually set up their own businesses and pay taxes. Then the economy will thrive at the

national and local levels and companies like Fuji Xerox Philippines will enjoy stronger growth.

Through Fuji Xerox Philippines' participation in this project, it will develop a long-term perspective on it's contributions to society.

Page 3: Sustainability Report 2009 Fuji Xerox > About Us > Sustainability Report 2009 > Highlight ... As reflected in their ... This project espouses for municipalities to provide residential

Closer Community Ties

Gawad Kalinga ac tively encourages naming villages af ter companies that provide funding and volunteers

for the village construction, which helps to foster corporate brand recognition.

“I recommend that companies contemplate participating in Gawad Kainga visit the Fuji Xerox Village as an

outstanding model,” says Meloto. “When residents see visitors, they will understand that their Village is a

model, and their appreciation toward Fuji Xerox Philippines will increase. This will help deepen Fuji Xerox

Philippines' ties to the village community and enhance mutual trust. Both slum residents and participating

companies must merit from the GK project. Otherwise, it will not be sus tainable.”

“After working together with Fuji Xerox Philippines at the GK Project, our mutual trustst rengthened

considerably, and Fuji Xerox Philippines has become our indispensable partner,” explains Joel G.

Santos, vice-president of a local firm, who voluntarily supervises 16 Gawad Kalinga Villages in three cities including Taguig.

“When we share the same values through the Gawad Kalinga Project, we can help improve Philippine society.

Unless the Philippine society improves, our own businesses will not expand.

We see Fuji Xerox Philippines as a solid, trustworthy partner that can pursue its business operations and social action programs together.”

Taking Social Contributions to the Next Level

Now that the construction work is finished and the multipurpose hall is fully operational, Fuji Xerox Philippines is

exploring the next stage of involvement.

“We are doing business in the Philippines, a country that faces a tremendous challenge of eradicating poverty,”

says Iwao Abe, Fuji Xerox Philippines president since 2008, in stressing his own determination. “For Fuji Xerox

Philippines' sustainable growth, it is essential that we nurture employees who are sensitive to local needs and able

to translate those needs into action.”

Although FX GK Village residents' quality of life may have improved, many of their current jobs are day jobs on

construction sites and other forms of labor.

“To help citizens in these districts find stable employment, Fuji Xerox Philippines is open to the possibility of using

the multipurpose hall to start a training program for adult education and the development of other occupational skills,” explains Abe,

demonstrating his own mettle in an enthusiastic tone. “We want to think about community development together and be members of a strong

team that transcends all barriers. If we can continue to be part of a proud team, I believe Fuji Xerox Philippines will become a company solidly

grounded in the Philippine society. As its president, I am determined to assume a leadership role in these activities.”

A time capsule has been buried in the common plaza area of the Fuji Xerox Village. It contains Fuji Xerox Philippines'

Mission Statement as well as a copy of the letter of understanding exchanged with Gawad Kalinga. Fuji Xerox

Philippines and GK expect that collaboration of this kind among companies, communities, and local government will

spread to other communities and lead to the realization of society-wide sustainable development.

Third-Party Opinion

Sigfrido Tinga, Taguig Mayor

Taguig has become a model city for Gawad Kalinga, since Taguig

now has more villages than any other city in the Philippines. Last

year, the World Bank listed Taguig as the Philippines' most

businessfriendly city. However, as a citizen born in this city, I could

not tolerate the gap between the rich and poor. My strong

displeasure drove me to put behind my career as a businessman and run for mayor. I

consider it my mission to not only help Taguig maintain its status as a businessfriendly

community, but also provide better homes for citizens living in our slum districts.

When Taguig first decided to form an alliance with Gawad Kalinga, Fuji Xerox

Philippines was the first to tender a request to participate. Fuji Xerox Philippines never

once asked what benefits it would gain in return for participation. It took a look at our

community, held discussions with us, and made a decision to participate on its own.

Fuji Xerox Village is an excellent model. Whenever we hear about other companies

Page 4: Sustainability Report 2009 Fuji Xerox > About Us > Sustainability Report 2009 > Highlight ... As reflected in their ... This project espouses for municipalities to provide residential

exploring the idea of becoming involved in Gawad Kalinga Projects, we simply tell them

to visit the Fuji Xerox Village. I hope that Fuji Xerox widely publicizes its Gawad

Kalinga activities both in the Philippines and in Japan, to inspire more companies to

participate in the project.