Tour08 Air, Sea and Land Tavel Management

Land Transport Organizations:

Vision
The LTO envisions a well-developed transportation system that will play a vital role in improving the quality of life of the Filipino people, particularly in providing a more viable means of land transport and a secured travel for transport users and commuters.
Mission
To rationalize the land transportation service and facilities and to implement effectively the various transportation laws, rules and regulations.
Mandate & Main Functions
1. Inspection and Registration of Motor Vehicles
2. Issuance of Licenses and Permits
3. Enforcement of Land Transportation Rules and Regulations
4. Adjudication of Traffic Cases
5. Collection of Revenues for the Government
Land Transportation Office


Historical background:

The concept of land transportation system in the Philippines started when our ancestors invented means of locomotion. The early means of transportation used was animals in moving people and goods from place to place. Although the means of land transportation during the early days were not as sophisticated as the modern vehicles of today and the roads were as well constructed, the early Filipinos also observed some forms of laws to govern their mobility. These laws were as informal and simple as specifying which animal could be used for certain purposes. However, the existence of these rules showed that our ancestors had already felt the need to regulate the transportation system.

As early as 1910, few motor vehicles were seen operating in the public highways in Manila and suburbs.

Better means of transportation were invented and introduced in the country. Gradually, the Filipinos learned to use cars, trucks, jeeps and other types of vehicles. The means of transportation became better and powerful and the laws governing land travel became more formal and sophisticated.

On February 6, 1912, Legislative Act No. 2159 was enacted to regulate motor vehicles in the Philippine Islands and to provide for the regulation and licensing of operators. This was the first formal law on land transportation. This law created an Automobile Section under the Administrative Division of the Bureau of Public Works. The Section was tasked to take charge of motor vehicles and drivers' services. Later on, Legislative Act 2159 was amended by 2256, 2389, 2587, 2639 and 2925.

In 1922, Act No. 3045 was passed into law compiling and incorporating all laws governing motor vehicles. The Automobile Section was upgraded to the Automobile Division still under the Bureau of Public Works.

On January 1, 1933, Act No. 3992 0therwise known as the "Revised Motor Vehicle Law" was enacted amending Act No. 3045. The Automobile Division was renamed Division of Motor Vehicles. The Chief of the Division was called the Superintendent of Division of Motor Vehicles. Act No. 3992 was amended by Commonwealth Act Nos. 123, 548, 556, 652 and Republic Act No. 314, 587 and 2383.

On June 2, 1945, Department Order No. 4 was issued by the Department of Public Works and Highways reorganizing the Division. This took effect after the liberation of the Philippines from the Japanese invasion.

In 1947, Executive Order No. 94 was promulgated reorganizing the different executive departments, bureaus and offices. Under Section 82 of this E.O., the Division of Motor Vehicles was upgraded into the Motor Vehicles Office (MVO) with the category of the Bureau. The Chief of the MVO enjoyed the rights and privileges of a Bureau Director.

During the fifties and early sixties, our country started undergoing rapid economic development. Industrialization advanced. As a consequence, more and better roads were constructed. The Filipinos then realized the need for more and better means of transportation. The growth in the number of vehicles increased the demand for services that the MVO must render to the public. This necessitated the issuance by the DPWH on June 5, 1961 of Administrative Regulation No. 1 transferring the function of collecting the registration and miscellaneous fees from the provincial and city treasurers to the various vehicle agencies of MVO.

On June 20, 1964, R.A. No. 4136, otherwise known as the "Land Transportation and Traffic Code" was enacted abolishing the Motor Vehicle Office and creating the Land Transportation Commission. This law likewise partially repealed Act No. 3992. The Code provided that the Land Transportation Commission shall "control as far as they apply, the registration and operation of motor vehicles and the licensing of owners, dealers, conductors, drivers and similar matters." To effectively carry out its mandate, the Land Transportation Commission established regional offices in various parts of the country.

On July 23, 1979, Executive Order No. 546 was promulgated creating the Ministry of Transportation and Communications (MOTC). This marked another reorganization. The Land Transportation Commission was renamed as the Bureau of Land Transportation and was absorbed by MOTC.

On March 20, 1985, Executive Order 1011 was promulgated. This Executive Order nullified the Board of Transportation and the Bureau of Land Transportation and established the Land Transportation Commission. The defunct BOT and BLT were merged and their powers, functions and responsibilities were transferred to the Land Transportation Commission (LTC) headed by a Chairman assisted by four Commissioners. The LTC was tasked to perform functions such as registering motor vehicles, licensing of drivers and conductors, franchising of public utility vehicles and enforcing land transportation rules and regulations.

On January 30, 1987, the land Transportation Commission was abolished and two offices were created, namely: Land Transportation Office (LTO) and the land Transportation Franchising and Regulatory Board (LTFRB). The LTO took over the functions of the former BLT and the LTFRB took over the functions of the BOT. The MOTC was likewise renamed as the Department of Transportation and Communications (DOTC). All these changes took effect with the promulgation of Executive Order No. 125 which was later on amended by Executive Order No. 125-A dated April 13, 1987 and 226 dated July 25, 1987.

Despite the changes in names of the Office and all the reorganization that took effect, its basic functions on land transportation system remain the same. The promotion of safety and comfort in land travel is its continuing commitment





Land Transportation Franchising and Regulatory Board (LTFRB)

Our Vision
World-class land transportation services contributing to the over-all development of the country, improvement of the socio-economic status of its stakeholders, and promotion of the welfare of the general public
Our Mission
Ensure that the commuting public has adequate, safe, convenient, environment-friendly and dependable public land transportation services at reasonable rates through the implementation of land-based transportation policies, programs, and projects responsive to an investment-led and demand-driven industry.
Our Mandate

To promulgate, administer, enforce, and monitor compliance of policies, laws, and regulations of public land transportation services

Historical Background

The regulatory land transportation dates back to the early 1900s. The LTFRB therefore, is a product of a series of transformations. The evolutionary progression runs as thus:
Coastwise Rate Commission – November 17, 1902
Supervising Railway Expert – June 29, 1906
Board of Public Utility Commissioners – December 19, 1913
Public Utilities Commission – March 9, 1917
Public Service Commission - 1926
Specialized Regulatory Boards - 1972
Board of Transportation - 1979
Land Transportation Commission (BOT & BLT) - 1985
Land Transportation Franchising & Regulatory Board -1987



Functions

Powers and Functions of the Land Transportation Franchising and Regulatory Board.


The Board shall have the following powers and functions:
1. To prescribe and regulate routes of service, economically viable capacities and zones or areas of operation of public land transportation services provided by motorized vehicles in accordance with the public land transportation development plans and programs approved by the Department of Transportation and Communications;

2. To issue, amend, revise, suspend or cancel Certificates of Public Convenience or permits authorizing the operation of public land transportation services provided by motorized vehicles, and to prescribe the appropriate terms and conditions therefore;

3. To determine, prescribe and approve and periodically review and adjust, reasonable fares, rates and other related charges, relative to the operation of public land transportation services provided by motorized vehicles;

4. To issue preliminary or permanent injunction, whether prohibitory or mandatory, in all cases in which it has jurisdiction, and in which cases the pertinent provisions of the Rules of Court shall apply;

5. To punish for contempt of the Board, both direct and indirect, in accordance with the pertinent provisions of, and the penalties prescribed by, the Rules of Court;

6. To issue subpoena and subpoena ducestecum and summon witnesses to appear in any proceedings of the Board, to administer oaths and affirmations;

7. To conduct investigations and hearings of complaints for violation of the public service laws on land transportation and of the Board's rules and regulations, orders, decisions and/or rulings and to impose fines and/or penalties for such violations;

8. To review motuproprio the decisions/actions of the Regional Franchising and Regulatory Office herein created;

9. To promulgate rules and regulations governing proceedings before the Board and the Regional Franchising and Regulatory Office: Provided, That except with respect to paragraphs d, e, f and g hereof, the rules of procedure and evidence prevailing in the courts of laws should not be controlling and it is the spirit and intention of said rules that the Board and the Regional Franchising and Regulatory Offices shall use every and all reasonable means to ascertain facts in its case speedily and objectively and without regard to technicalities of law and procedures, all in the interest of due process;

10. To fix, impose and collect, and periodically review and adjust, reasonable fees and other related charges for services rendered;

11. To formulate, promulgate, administer, implement and enforce rules and regulations on land transportation public utilities, standards of measurements and/or design, and rules and regulations requiring operators of any public land transportation service to equip, install and provide in their utilities and in their stations such devices, equipment facilities and operating procedures and techniques as may promote safety, protection, comfort and convenience to persons and property in their charges as well as the safety of persons and property within their areas of operations;

12. To coordinate and cooperate with other government agencies and entities concerned with any aspect involving public land transportation services with the end in view of effecting continuing improvement of such services; and

13. To perform such other functions and duties as may be provided by law, or as may be necessary, or proper or incidental to the purposes and objectives of this Executive Order








Office of Transportation Cooperatives (OTC)
The Office of Transportation Cooperatives (OTC) was created under Executive Order no. 898 dated May 28, 1983. It was attached to the Department of Transportation and Communications to enhance the efficiency of the facilities and services related to transportation, consistent with the integration and rationalization of public transportation system in the country.
In 1990, the Cooperative Development Authority (CDA) absorbed the registration authority of the OTC, an entity created under Republic Act No. 6939 dated March 10,1990.Functions retained by the agency pertains to promotion, organization, regulation, supervision, and development of all transportation service cooperatives in the country. Its mission is to gear the transport cooperative system towards maximum integration of the public transport system, and to uplift the socio-economic condition of the public utility transport workers, particularly, the drivers.
Toll Regulatory Board
The Toll Regulatory Board is a Philippine government agency that regulates all toll roads in the Philippines.
The TRB was created by virtue of Presidential Decree (“P.D.”) No. 1112 or the Toll Operation Decree. It possesses regulatory authority over all toll facilities in the Philippines, and is authorized under its charter to enter into contracts on behalf of the Republic of the Philippines, with qualified persons, natural or juridical, for the construction, operation and maintenance of toll facilities.
At present, it exercises jurisdiction over the following toll facilities:
1. North Luzon Expressway (NLEX);
2. South Luzon Expressway (SLEX);
3. Manila-Cavite Expressway (Coastal Road);
4. South Metro Manila Skyway (Skyway);
5. Southern Tagalog Arterial Road (STAR Tollway); and
6. Subic-Clark-Tarlac Expressway (SCTEx).

From 2005 to 2007 and under the auspices of its Executive Director, Manuel G. Imperial, the TRB entered into contracts with private investors for the expansion and rehabilitation of its existing projects such as the SLEX, Skyway, Coastal Road and STAR and the construction of the new Subic-Clark-Tarlac Expressway (SCTEX) that would link Metro Manila to the Central Luzon area and the special economic zones located in Subic and Clark.
Other projects in the pipeline involve the extension of the NLEX that would connect it to the existing SLEX. Also, the TRB is considering the construction of new toll road development projects in the Calabarzon area.
Needless to state, the TRB played a vital role in spurring economic progress in the Philippines by improving and providing vital road networks that are necessary in revitalizing the economies of regions outside Metro Manila.

Philippine National Railways
Vision Statement
To have an economical, safe and efficient railway network in the entire Luzon to include Batangas, Cagayan Valley and Marilaque and in Mindanao, Panay and other island in the Visayas.
Mission Statement
To provide railway services within the integrated national transport system which shall serve as a socio-economic development tool, while ensuring the viability of operations for optimum service at minimum cost.
General Corporate Objectives:
1. To develop the railway system and related services towards the establishment and maintenance of a dependable, economical, safe and efficient integrated transport system in the country;

2. To ensure efficiency in operation without sacrificing but even improving on service and utility as demanded by the riding public;

3. To ensure maximum utilization of corporate resources;

4. To maintain the financial viability of the corporation, enough to provide for continuous progressive growth in an accelerated improvement of all its facilities; and,

5. To professionalize and improve a long range training program to upgrade its manpower, and to promote and enhance employees' welfare

Historical background:
The island of Luzon has been endowed with nature’s blessings but only slightly stirred by trade and commercial activity. The galleons that plowed the seas to and from Mexico offered some awesome sights to the Filipinos at that time. Under these prevailing conditions, the railroad was introduced as means of exploiting the untapped riches of the virgin island of Luzon.
On June 25, 1875, by virtue of royal decree of King Alfonso XII of Spain, required Inspector of Public Works of the Philippine Island to submit a general plan for the establishment of a railroad line in the island of Luzon. After five months of conscientious study, Don Eduardo Lopez Navarro, head of the Public Works Office submitted the plan called “MemoriaSobre el Plan General de Ferrocarilles en la Isla de Luzon.” The plan was granted for its implementation. On June 1, 1887, a concession for the construction of a railway line from Manila to Dagupan, Pangasinan was awarded to Don Edmundo Sykes of the Ferrocaril de Manila-Dagupan, the original corporate name of Manila Railway Company Ltd. of London.
On July 31, 1887, the cornerstore was laid at the present site of its main terminal building at Tutuban, Manila. Five years later, on November 24, 1892, the first 195 kilometer railway line from Manila to Dagupan in Northern Luzon was opened for operation.
On February 4, 1916, the Philippine Legislaturer passed Act. No. 2547 acquiring the then Manila Railroad Company (MRR). Construction of lines continued such that by 1940, the railway had been extended up to Legaspi, Albay in the South and to San Fernando, La Union in he north. Branch lines were constructed from Paniqui, Tarlac to San Quintin, Pangasinan; from Tarlac, Tarlac to San Jose, Nueva Ecija; from Bigaa, Bulacan to Cabanatuan City; from San Fernando, Pampanga to Carmen, Pangasinan; from College to Sta. Cruz, Laguna and from Sta. Mesa to Hulo in Mandaluyong.
The Second World War brought considerable damages to the system. The United States Army, which had temporarily gained control of the Company, after the war in 1945, was able to restore 40% of the pre-war lines.
On February 1, 1946, the control of the railway system was turned over to the Philippine Government. Of the 1,140 route-kilometers before the war, only 452 route-kilometers were made operational. Since then, the activities were concentrated on the rehabilitation and/or reconstruction of damaged railway facilities. The period 1954-1957 marked the dieselization program of the Company. Steam engines were retired and replaced by diesel electric engines.
On June 20, 1946, Republic Act No. 4156, the new Charter was passed, renaming the Company to what it is today – Philippine National Railways (PNR). This law had been amended twice: first Republic Act No. 6366 enacted on August 20, 1971 which provided for the rehabilitation and selective modernization program of the Philippine National Railways; and the second by Presidential Decree No. 741 issued on July 3, 1975 which raised the capital stock to P1.5 billion.
On July 23, 1979, Executive Order No. 546 was issued by the President of the Republic of the Philippines, creating the then Ministry of Transportation and Communications (DOTC), with the PHILIPPINE NATIONAL RAILWAYS as one of the attached government agencies.
In March 1990, the Main Line South (MLS) has been rehabilitated. The rehabilitation included the acquisition of Diesel Electric Locomotives (DEL) and the introduction of concrete ties in selected sections of the south line. In 1992, additional units of Diesel Electric Locomotives had been acquired.
On February 23, 1995, the Improvement and Modernization of Commuter Line South had been started. The Commuter Line South starts at Tutuban, Manila, and ends in Calamba, Laguna with branch line to Carmona, Cavite, a total stretch of 40 kilometers.
MANDATE(LEGAL BASIS)
• Congressional RA No. 4156 enacted June 20, 1964 – creation of the Philippine National Railway
• Amended 1st by RA 6366 Aug. 20,1971- for the rehabilitation and selective modernization
• Then by PD 741 on July 3, 1975- raising the capital stock to Php 1.5-billion
COMPANY PROFILE

1. Strength - 1,300 employees
2. Route length - 479 km
3. Annual turnover - Php
4. Services:
• Commuter Express
• Long Distance Train Service
• Cargo/Freight Express
• Real Estate
• Hospital

The Light Rail Transit Authority


The Light Rail Transit Authority is recognized as the premiere rail transit in the country providing reliable, efficient, dependable, and environment-friendly mass rail services to all residents of Metro Manila. LRTA is a wholly owned government corporation created on July 12, 1980 under Executive Order (EO) No. 603, as amended by EO No. 830 dated September 1982, and EO No. 210 dated July 7, 1987. The LRTA is primarily responsible for the construction, operation, maintenance and/or lease of light rail transit systems in the Philippines.

A pioneer of the industry since 1984, LRTA has become the country's prime mover in the rail transport sector serving the needs of millions of Filipinos by exploring avenues where the LRT system could continuously provide efficient transport services while promoting economy and efficiency of operations

Vision

To be the institution in the field of mass rail transit system and be in continuous pursuit of excellence in the provision of safe, reliable, efficient and effective mass rail transit services for optimum customer's satisfaction.

Mission

To pursue excellence in the provision of quality mass transport and related services in the metropolitan areas of the country in a safe, reliable, cost-effective, caring, integrated, and ecologically responsible manner.

Mandate

By virtue of Executive Order No. 603, the Light Rail Transit Authority was created to be primarily responsible for the construction, operation, maintenance and/or lease of LRT Systems in the Philippines


The LRT Line 1 System - The Yellow Line

The Light Rail Transit System Line No. 1 consists of the 15 km elevated railway system servicing the Taft Avenue - Rizal Avenue route between Baclaran, Pasay City and the Bonifacio Monument in the City of Caloocan. It is considered to be the first LRT system in Southeast Asia.

Line 1 has a length of about 15 km and runs from Baclaran in Pasay City to Monumento in Caloocan City. Pasay City lies in the south-west section of Metro Manila, close to the airport. From there, the line runs in a north-western direction, parallel to the Bay but at some distance from it along Taft Avenue to the Manila City Hall, where the central terminal is located, then through Arroceros Street, across the Pasig River, entering the Santa Cruz district at Feati University. From there, it follows Rizal Avenue and Rizal Avenue Extension in a northerly direction to the terminal at Monumento in Caloocan City.


The LRT Line 2 System - The Purple Line

The Megatren, more popularly known by its generic name Line 2, is a 13.8 km mass transit line that traverses five cities in Metro Manila namely Pasig, Marikina, Quezon City, San Juan and Manila) along the major thoroughfares of Marcos Highway, Aurora Boulevard, Ramon Magsaysay Boulevard, Legarda and Recto Avenue

It extends from Santolan, Pasig City in the east to Recto, Manila in the west with 11 stations or terminals: Santolan; Katipunan, the first and only underground air-conditioned station; Anonas; Araneta Center-Cubao; Betty Go-Belmonte; J. Ruiz; Gilmore; V. Mapa; Pureza; Legarda; and Recto


Manila Metro Rail Transit System
Manila Blue Line or Manila Metro Rail Transit System
The Manila Blue Line or Manila Metro Rail Transit System, popularly known as the MRT 3, Metrostar Express or Metrostar,is part of the metropolitan rail system in the Metro Manila area of the Philippines, the Strong Republic Transit System (SRTS). It has a single line, MRT-3 or the Blue Line. Although it has characteristics of light rail, such as the type of rolling stock used, it is more akin to a rapid transit system. It is not related to the Manila Light Rail Transit System, a separate but linked system.
The MRT forms part of Metro Manila's rail transport infrastructure, known as the Strong Republic Transit System, and overall public transport system. One of its original purposes was to decongest Epifanio de los Santos Avenue (EDSA), one of Metro Manila's main thoroughfares and home to the MRT, and many commuters who ride the MRT also take road-based public transport, such as buses, to reach the intended destination from an MRT station. MRT has been only partially successful in decongesting EDSA, and congestion is further aggravated by the rising number of motor vehicles. The expansion of the system to cover the entire stretch of EDSA is expected to contribute to current attempts to decongest the thoroughfare and to cut travel times.
The MRT is operated by the Metro Rail Transit Corporation (MRTC), a private company operating in partnership with the Department of Transportation and Communications (DOTC) under a Build-Lease-Transfer (BLT) agreement.
The single line serves 13 stations on 16.95 kilometres (10.5 mi) of line. It is mostly elevated, with some sections at grade or underground. The line commences at Taft Avenue (Taft on the map) and ends at North Avenue, serving the cities that EDSA passes through: Makati, Mandaluyong, Pasay, Pasig, Quezon City, and San Juan.
North Avenue, Taft Avenue and Araneta Center-Cubao are interchanges with the LRT network, with MRT North Avenue station connected to North Avenue station and Taft Avenue station connected to EDSA station on the Yellow Line and Araneta Center-Cubao connected to its namesake station on the Purple Line. The line's termini have been designated as transport hubs, where commuters can change to and from take other forms of public transport.
Although much of the MRT has already been built, the route envisioned by the DOTC and the government in general was for the MRT to traverse the entire length of EDSA (from Monumento to Taft Ave), eventually connecting to the Yellow Line at Monumento in Caloocan City. The expansion has been shelved in favor of the Yellow Line's extension from Monumento to a new common station that it will share with the MRT at North Avenue, thus closing the loop. It is also planned that the southern terminus of the proposed MRT-7, which will link Quezon City, Caloocan (north), and San Jose del Monte City, Bulacan will be sharing the same station.










METRO MANILA DEVELOPMENT AUTHORITY

The Metropolitan Manila Development Authority (Filipino: PangasiwaansaPagpapaunladngKalakhangMaynila, abbreviated MMDA), is an agency of the Republic of the Philippines created embracing the cities of Manila, Quezon City, Caloocan, Pasay, Mandaluyong, Makati, Pasig, Marikina, Muntinlupa, Las Piñas, Parañaque, Valenzuela, Malabon, Taguig, Navotas and San Juan and the municipality of Pateros. Metropolitan Manila or the National Capital Region is constituted into a special development and administrative region subject to direct supervision of the President of the Philippines. The MMDA office is located at Epifanio de los Santos Avenue (EDSA) corner Orense Street, Guadalupe Nuevo, Makati, Philippines.

The MMDA performs planning, monitoring and coordinative functions, and in the process exercise regulatory and supervisory authority over the delivery of metro-wide services within Metro Manila without diminution of the autonomy of the local government units concerning purely local matters.

The agency is headed by a Chairman, who is appointed by the President and continues to hold office at the discretion of the appointing authority. He is vested with the rank, rights, privileges, disqualifications, and prohibitions of a cabinet member.

The Chairman is assisted by a General Manager, an Assistant General Manager for Finance and Administration, an Assistant General Manager for Planning and Assistant General Manager for Operation, all of whom are appointed by the President with the consent and concurrence of the majority of the Council, subject to civil service laws, rules and regulations. They enjoy security of tenure and may be removed for cause in accordance with law.

The Assistant General Manager for Planning should have not less than five (5) years extensive experience in development and planning or must hold a master's degree in urban planning or similar disciplines.

History

February 27, 1975. President Ferdinand Marcos issued Presidential Decree 824 creating the Metropolitan Manila Commission (MMC). It integrates the Philippine capital Manila and adjacent Quezon City with 2 cities and 12 municipalities of the province of Rizal and 1 municipality of the province of Bulacan. Marcos appointed his wife Imelda Marcos as governor and Ismael Mathay, Jr. as vice-governor. The office was located in front of the GMA-7 TV station at EDSA corner Timog Avenue, Diliman, Quezon City.

January 9, 1990. President Corazon C. Aquino issued Executive Order No. 392, in accordance to Article 18, Section 8 of the 1987 Philippine Constitution, creating Metro Manila Authority (MMA). The Metro Manila mayors will choose from themselves as chairman. JejomarBinay of the municipality of Makati served as its first chairman. The agency transferred to its present office at Guadalupe, Makati. Binay was followed by Ignacio Bunye of municipality of Muntinlupa in 1991, Ismael Mathay, Jr. of Quezon City in 1992 then Prospero Oreta of the municipality of Malabon in 1994.

March 1, 1995. Since the elected chairman is one of the mayors of Metro Manila, the role to his constituency gave less attention. Thus, the Philippine Congress, composed of the Senate and the House of Representatives, passed Republic Act No. 7924 creating the Metropolitan Manila Development Authority (MMDA).

May 1995. Prospero Oreta did not run in the Malabon municipal election. President Fidel V. Ramos appointed him as the first Chairman of the MMDA and made him independent of the Metro Manila mayors.

June 1998. JejomarBinay was prohibited by law from running for his fourth consecutive term as mayor of Makati. President Joseph E. Estrada appointed him as the second Chairman of the MMDA.

January 2001. After the removal of Joseph E. Estrada as President, President Gloria Macapagal-Arroyo removed Binay from office and appointed Benjamin C. Abalos Sr. as Chairman. Abalos served as Mayor of Mandaluyong City from 1986 to 1998. In May of the same year, Binay ran as Mayor of Makati City and won. Since then, Binay has been a critic of the MMDA and advocated for its abolition.

February 2002. Abalos was appointed Chairman of the Commission on Elections of the Philippines. President Gloria Macapagal-Arroyo appointed Bayani Fernando as the fourth Chairman of the MMDA. Fernando served as Mayor of Marikina from 1992 to 2001. He was credited for transforming Marikina from a 4th class municipality to a model Philippine city. Well-known for his work as Mayor of Marikina, Bayani Fernando was then appointed as Chairman of the MMDA. He launched the "Metro Gwapo" drive to start the advocacy of turning Metro Manila to the pride of the Philippines as its capital. He created the Sidewalk Clearing Operations Department, which aimed to clear all sidewalks of illegal structures. Among these are the sidewalks of the North Luzon Central Market (Cloverleaf Market) in Balintawak, Quezon City. The national government saved money because of his decision to change the design of some existing intersections by installing numerous U-turn slots and steel pedestrian overpasses, which he called "footbridges". Metro Manila became notable for becoming the Asian metropolis with a unique male sidewalk urinal. Among the 17 cities and municipalities of Metro Manila, the City of Makati and the city of San Juan disapprove of Fernando's proposals. As a result, these locations do not have major MMDA projects constructed nor deputized traffic enforcers.

October 2009. Fernando ran for Vice-President, which required him to step down from MMDA. Oscar Inocentes succeeded him. Inocentes halted forced sidewalk clearing operations, but continued many of Fernando's projects, with the twist of coloring pink elements into green. He briefly gained popularity as he was strict like Fernando, but not as stubborn, earning the trust of Fernando's rival, JejomarBinay.

MMDA Today.Inocentes was replaced by former Tagaytay mayor Francis Tolentino. Though he had ordered one Gwapotel converted into training barracks and ordering the closure of MMDA TV for austerity measures, he has the intention of continuing every productive endeavor of his predecessors, in line with Noynoy Aquino's challenge to all government units to lead by example. He pledged to continue Fernando's sidewalk clearing operations, but with more compassion. However, Fernando, his predecessor made his presence felt by defending Tolentino in the question about flood control, mentioning previous troubles encountered by the former chairman that were still an issue presently.

Tour 09 Tourism Promotions and Marketing

Chapter 4
Strategic Marketing Planning

CHAPTER OBJECTIVES
• Explain companywide strategic planning and its principal steps.
• Describe how companies develop mission statements and objectives.
• Explain how companies evaluate and develop their ‘business portfolios’.
• Explain marketing’s role in strategic planning.
• Describe the marketing management process and the brand plan.
• Show how marketing organizations are changing.


Strategic Planning Process
Strategic Planning involves developing an overall company strategy for long-run survival and growth.

This process involves:
• Defining a Mission: Statement of an organization’s purpose; should be market oriented.
• Setting Company Objectives: Supporting goals and objectives to guide the entire company.
• Designing a Business Portfolio: Collection of businesses and products that make up the company.
• Planning Functional Strategies: Detailed planning for each department designed to accomplish strategic objectives.

STRATEGIC PLANNING
Strategic planning is the process of developing and maintaining a feasible fit between the organization’s objectives, skills, and resources and its changing marketing opportunities.

Strategic planning is the process of developing and maintaining a strategic fit between the organization’s goals and capabilities and its changing marketing opportunities. It relies on developing a clear company mission, supporting objectives, a sound business portfolio and coordinated functional strategies.

Overview of planning
Formal planning can yield many benefits for all types of companies, large and small, new and mature. It encourages systematic thinking. It forces the company to sharpen its objectives and policies, leads to better coordination of company efforts, and provides clearer performance standards for control.
Companies usually prepare annual plans, long-range plans, and strategic plans:
• Annual plans- short-term plan that describes the current situation, company objectives, the strategy for the year, the action program, budgets and controls.
• Long-range plan- describes the primary factor and forces affecting the organization during the next several years. It includes the long-term objectives, the main marketing strategies used to attain them and the resources required.
• Strategic plan- involves adapting the firm to take advantage of the opportunities in its constantly changing environment.

Reasons for Planning
• If we do not know where we are going any road will take us there.
• The essence of strategic planning is the consideration of current decision alternatives in the light of their probable consequence over time.
• The future is unpredictable but it is not a random walk.

THE STRATEGIC PLAN
Strategic plan is a plan that describes how a firm will adapt to take advantage of opportunities in its constantly changing environment, thereby maintaining a strategic fit between the firm’s goals and capabilities and its changing market opportunities.

The strategic plan contains several components: the mission, the strategic imperatives, the strategic audit, SWOT analysis, objectives and strategies. All of these feed from and feed into marketing plans.

The mission
The mission should define the competitive scopes within which the company will operate. Industry scope, products and applications scope, competencies scope, market-segment scope, and vertical scope.
• Industry scope- the range of the industries that the company will consider. Some companies will operate in only one industry, some in only a set of related industries, some in only hotels, some in airlines, and some in any industry.
• Products and application scope- the range of products and applications in which the company will participate.
• Competencies scope- the range of technological and other core competencies that the company will master and leverage.
• Market-segment scope- the type of market or customers the company will serve. Some companies will serve only the upscale market.
• Vertical scope- the number of channel levels from raw materials to final product and distribution in which the company will engage.
• Geographic scope- the range of regions, countries, or country groups where the corporation will operate.

A mission statement is a statement of the organization’s purposes—what it wants to accomplish in the larger environment. A clear mission statement acts as an ‘invisible hand’ that guides people in the organization so that they can work independently and yet collectively towards overall organizational goals.

Mission
• What business are we in? What businesses should we be in? What do we do best? What are the values/ethics of the firm?
• Define business by need rather than product.
• Lodging vs. hotel
• Quick service restaurants vs. fast food hamburgers
• Marketing myopia - Transportation vs. railroad

Management should avoid making its mission too narrow or too broad. A mission should be:
• Realistic.
• Specific. It should fit the company and no other.
• Distinctive competencies.
• Motivating. It should give people something to believe in.
• Fit market environment.
• Market oriented.

Strategic objectives
The company’s mission needs to be turned into strategic objectives and be responsible for reaching them. The mission states the philosophy and direction of a company whereas the strategic objectives are measurable goals.

Strategic imperatives
Are objectives or defined practices
Companies have plans at many levels: global, regional, national, and so forth. The higher-level plans contain objectives and strategies that become part of subordinate plan.

Strategic audit
It reviews the company and its environment.
It covers the gathering of this vital information. It is the intelligence used to build the detailed objectives and strategy of the business. It has two parts:
1. External audit- or marketing environment audit examines the microenvironment and task environment of the company.
2. Internal audit- examines all aspects of the company. It covers the whole value chain. It includes the primary activities that follow the flow of goods or services through the organization.


SWOT analysis
A distillation of the findings of the external and internal audit which draws attention to the critical organizational strengths and weaknesses and the opportunities and threats facing the company.
The SWOT analysis draws the critical strengths, weaknesses, opportunities and threats (SWOT) from the strategic audit. The audit contains a wealth of data of differing importance and reliability. The SWOT analysis distils these data to show the critical items from the internal and external audit

Opportunities and threats
Managers need to identify the main threats and opportunities that their company faces. The purpose of the analysis is to make the manager anticipate important developments that can have an impact on the firm.

Strengths and weaknesses
The strengths and weaknesses in the SWOT analysis do not list all features of a company but only those relating to critical success factors. (The strengths and weaknesses that most critically affect organization’s success. These are measured relative to competition). A list that is too long betrays a lack of focus and an inability to discriminate what is important. The strengths or weaknesses are relative, not absolute. It is nice to be good at something, but it can be a weakness if the competition is stronger.

The business portfolio
From here, strategic planning calls for analyzing the company’s business portfolio and deciding which businesses should receive more or fewer resource.

Designing the Business Portfolio
The company must:
• Analyze its current business portfolio or Strategic Business Units (SBU’s)
• Decide which SBU’s should receive more, less, or no investment
• Develop growth strategies for adding new products or businesses to the portfolio

The business portfolio is the collection of businesses and products that make up the company.
It is a link between the overall strategy of a company and those of its parts. The best business portfolio is the one that fits the company’s strengths and weaknesses to opportunities in the environment. The company must (1) analyze its current business portfolio and decide which businesses should receive more, less, or no investment, and (2) develop growth strategies for adding new products or businesses to the portfolio.


Figure 3.4 Product/market expansion grid.
















USEFUL MARKETING TERMS

• Fixed costs- costs that do not vary with production or sales level.
• Variable costs- costs that vary directly with the level of production.
• Product mix- (or product assortment) the set of all products lines and items that a particular seller offers for sale to buyers.
• Price- the amount of money charged for a product or service, or the sum of the values that consumers exchange for the benefits of having or suing the product or service.
• Value in use pricing- setting prices that will capture some of what customers will save by substituting the firm’s product for the one currently used.
• Value pricing- setting a fair price level for a marketing mix that really gives customers what they need.
• Value- (monetary worth) an amount expressed in money or another medium of exchange that is thought to be a fair exchange for something
• Market penetration- a strategy for increasing sales of current products to current market segments. This is achieved by winning over competitors’ customers, acquiring a competitor, and/or by increasing product usage rate.
• Market development- looks for new markets in which current products can expand.
• Product development- a strategy for company growth by offering modified or new products to current market segments. Developing the product concept into a physical product in order to ensure that the product idea can be turned into a workable product.
• Product idea- An idea for a possible product that the company can see itself offering to the market.
• Diversification- a strategy for the company growth by starting up or acquiring businesses outside the company’s current products and markets.



THE MARKETING PROCESS

The strategic plan defines the company’s overall mission and objectives. Within each business unit, marketing plays a role in helping to accomplish the overall strategic objectives. Marketing’s role and activities in the organization are shown in Figure 3.5. It summarizes the marketing process and the forces influencing marketing strategy.

Figure 3.5 Influences on marketing strategy.



















Market analysis
Managing the marketing function begins with a complete analysis of the company’s situation. The company must analyze its market and marketing environment to find attractive opportunities and to avoid environmental threats. It must analyze company strengths and weaknesses, as well as current and possible marketing actions, to determine which opportunities it can best pursue. Marketing analysis feeds information and other inputs to each of the other marketing management functions.

Marketing planning
Through strategic planning, the company decides what it wants to do with each business unit. Marketing planning involves deciding marketing strategies that will help the company attain its overall strategic objectives. Marketing product or brand plans are at the center of this.



Implementation
Implementation turns strategic and marketing plans into actions that will achieve the company’s objectives. Marketing plans are implemented by people in the marketing organization who work with others both inside and outside the company.

Control
Control consists of measuring and evaluating the results of marketing plans and activities and taking corrective action to make sure objectives are being reached. Marketing analysis provides information and evaluations needed for all the other marketing activities.
















Figure 3.6 Market analysis, planning, implementation and control


Marketing strategy
Target consumers are at the center of the marketing strategy. The company identifies the total market, divides it into smaller segments, selects the most promising segments and focuses on serving them. It designs a marketing mix using mechanisms under its control: product, price, place, promotion. The company engages in marketing analysis, planning, implementation and control to find the best marketing mix and to take action. The company uses these activities to enable it to watch and adapt to the marketing environment.
A marketing strategy specifies a target market and a related marketing mix. It is a big picture of what a firm will do in some market. Two interrelated parts are needed:
1. a target market- a fairly homogenous (similar) group of customers to whom a company wishes to appeal.
2. a marketing mix- the controllable variables the company puts together to satisfy this target group.

Target consumers
To succeed in today’s competitive marketplace, companies must be customer centered—winning customers from competitors by delivering greater value. However, before it can satisfy consumers, a company must first understand their needs and wants. So, sound marketing requires a careful analysis of consumers. Companies know that they cannot satisfy all consumers in a given market—at least not all consumers in the same way.

Demand measurement and forecasting
Suppose a company is looking at possible markets for a potential new product. First, the company needs to estimate the current and future size of the market and its segments. To estimate current market size, the company would identify all competing products, estimate the current sales of these products, and determine whether the market is large enough to profitably support another product.
Equally important is future market growth. Companies want to enter markets that show strong growth prospects. Growth potential may depend on the growth rate of certain age, income, and nationality groups that use the product.

Market segmentation
If the demand forecast looks good, the company next decides how to enter the market. The market consists of many types of customers, products and needs. The marketer has to determine which segments offer the best opportunity for achieving company objectives. Consumers are group based in various ways based on geographic factors (countries, region, and cities); demographic factors (sex, age, income, education); psychographic factors (social classes, lifestyle); behavioral factors (purchase occasions, benefits sought, and usage rates). The process of dividing a market into groups of buyers with different needs, characteristics, or behavior who might require separate products or marketing mixes is market segmentation.
Market segment- A group of consumers who respond in a similar way to a given set of marketing stimuli.

Differential advantage
It is a sustainable internal or external strength it has over its competitors. There are five chief sources of differential advantage.
1. Product
2. Position
3. Value chain
4. Organization
5. Finance

Market targeting
It involves evaluating each market segment’s attractiveness and selecting one or more segments to enter. A company should target segments in which it has a differential advantage over its competitors; where it can generate the greatest customer value and sustain it over time. A company with limited resources might decide to serve only one or a few special segments; this strategy limits sales, but it can be profitable. Alternatively, a company might choose to serve several related segments—perhaps those with different kinds of customers but with the same basic wants. Or perhaps a large company might decide to offer a complete range of products to serve all market segments.

Positioning
It is the place the product occupies in consumers’ minds.
If a product were perceived to be exactly like another product on the market, consumers would have no reasons to buy it.
Market positioning gives a product a clear, distinctive, and desirable place in the minds of target consumers compared with competing brands. Marketers plan positions that distinguish their products from competing brands and give them the greatest strategic advantage in their target markets.
For example:
Ford says, “Everything we do is driven by you”.
“You can’t go wrong” with a Volvo.
Mercedes is “Engineered like no other car in the world”.
BMW is “the ultimate driving machine”.
Jaguar is positioned as “A blending art and machine”
Such simple statements are the backbone of a product’s marketing strategy.
In positioning its product, the company first identifies possible competitive advantages upon which to build the position. To gain competitive advantage, the company must offer greater value to chosen target segments, either by charging lower prices than competitors or by offering more benefits to justify higher prices. However, if the company positions the product as offering greater value, it must deliver greater value. Effective positioning begins with actually differentiating the company’s marketing offer so that it gives consumers more value than offered by the competition.

MMDA/LTFRB/TRB

The Philippines' Land Transportation Franchising and Regulatory Board (Filipino: Lupon sa Pagpaprangkisa at Regulasyon ng Transportasyong-Lupa), abbreviated as LTFRB, is an agency of the Philippine government under the Department of Transportation and Communications responsible for promulgating, administering, enforcing, and monitoring compliance of policies, laws, and regulations of public land transportation services.
Address:
East Avenue, Diliman, Quezon City 1100
Philippines
Our Vision
World-class land transportation services contributing to the over-all development of the country, improvement of the socio-economic status of its stakeholders, and promotion of the welfare of the general public.
Our Mission
Ensure that the commuting public has adequate, safe, convenient, environment-friendly and dependable public land transportation services at reasonable rates through the implementation of land-based transportation policies, programs, and projects responsive to an investment-led and demand-driven industry.
Our Mandate
To promulgate, administer, enforce, and monitor compliance of policies, laws, and regulations of public land transportation services.
LTFRB Functions
Powers and Functions of the Land Transportation Franchising and Regulatory Board.
The Board shall have the following powers and functions:
1. To prescribe and regulate routes of service, economically viable capacities and zones or areas of operation of public land transportation services provided by motorized vehicles in accordance with the public land transportation development plans and programs approved by the Department of Transportation and Communications;
2. To issue, amend, revise, suspend or cancel Certificates of Public Convenience or permits authorizing the operation of public land transportation services provided by motorized vehicles, and to prescribe the appropriate terms and conditions therefore;
3. To determine, prescribe and approve and periodically review and adjust, reasonable fares, rates and other related charges, relative to the operation of public land transportation services provided by motorized vehicles;
4. To issue preliminary or permanent injunction, whether prohibitory or mandatory, in all cases in which it has jurisdiction, and in which cases the pertinent provisions of the Rules of Court shall apply;
5. To punish for contempt of the Board, both direct and indirect, in accordance with the pertinent provisions of, and the penalties prescribed by, the Rules of Court;
6. To issue subpoena and subpoena duces tecum and summon witnesses to appear in any proceedings of the Board, to administer oaths and affirmations;
7. To conduct investigations and hearings of complaints for violation of the public service laws on land transportation and of the Board's rules and regulations, orders, decisions and/or rulings and to impose fines and/or penalties for such violations;
8. To review motu proprio the decisions/actions of the Regional Franchising and Regulatory Office herein created;
9. To promulgate rules and regulations governing proceedings before the Board and the Regional Franchising and Regulatory Office: Provided, That except with respect to paragraphs d, e, f and g hereof, the rules of procedure and evidence prevailing in the courts of laws should not be controlling and it is the spirit and intention of said rules that the Board and the Regional Franchising and Regulatory Offices shall use every and all reasonable means to ascertain facts in its case speedily and objectively and without regard to technicalities of law and procedures, all in the interest of due process;
10. To fix, impose and collect, and periodically review and adjust, reasonable fees and other related charges for services rendered;
11. To formulate, promulgate, administer, implement and enforce rules and regulations on land transportation public utilities, standards of measurements and/or design, and rules and regulations requiring operators of any public land transportation service to equip, install and provide in their utilities and in their stations such devices, equipment facilities and operating procedures and techniques as may promote safety, protection, comfort and convenience to persons and property in their charges as well as the safety of persons and property within their areas of operations;
12. To coordinate and cooperate with other government agencies and entities concerned with any aspect involving public land transportation services with the end in view of effecting continuing improvement of such services; and
13. To perform such other functions and duties as may be provided?? by law, or as may be necessary, or proper or incidental to the purposes and objectives of this Executive Order.
Scope of MMDA Services
The MMDA is responsible for services that have metro-wide impact and transcend local political boundaries, or entail huge expenditures beyond the capability of the individual local government units (LGUs) of Metropolitan Manila. These services include:
• Development planning, which includes the preparation of medium and long-term development plans; the development, evaluation and packaging of projects; investments programming and coordination and monitoring of plan, program and project implementation;
• Transport and traffic management, which include the formulation, coordination, and monitoring of policies, standards, programs and projects to rationalize the existing transport operations, infrastructure requirements, the use of thoroughfares, and promotion of safe and convenient movement of persons and goods; provision for the mass transport system and the institution of a system to regulate road users; administration and implementation of all traffic enforcement operations, traffic engineering services and traffic education programs, including the institution of a single ticketing system in Metropolitan Manila;
• Solid waste disposal and management, which include the formulation and implementation of policies, standards, programs and projects for proper and sanitary waste disposal. Also included are the establishment and operation of sanitary land-fill and related facilities and the implementation of other alternative programs intended to reduce, reuse and recycle solid waste;
• Flood control and sewerage management, which include the formulation and implementation of policies, standards, programs and projects for an integrated flood control, drainage and sewerage system;
• Urban renewal, zoning and land use planning, and shelter services, which include the formulation, adoption and implementation of policies, standards, rules and regulations, programs and projects to rationalize and optimize urban land use and provide direction to urban growth and expansion, the rehabilitation and development of slum and blighted areas, the development of shelter and housing facilities and the provision of necessary social services;
• Health and sanitation, urban protection and pollution control, which include the formulation and implementation of policies, rules and regulations, standards, programs and projects for the promotion and safeguarding of the health and sanitation of the region and for the enhancement of ecological balance and the prevention, control and abatement of environmental pollution; and
• Public safety, which includes the formulation and implementation of programs and policies and procedures to achieve public safety, especially preparedness for preventive or rescue operations during times of calamities and disasters such as conflagrations, earthquakes, flood and tidal waves, and coordination and mobilization of resources and the implementation of contingency plans for the rehabilitation and relief operations in coordination with national agencies concerned.
Functions and Powers
The MMDA shall:
• Formulate, coordinate and regulate the implementation of medium and long-term plans and programs for the delivery of metro-wide services, land use and physical development within Metropolitan Manila, consistent with national development objectives and priorities;
• Prepare, coordinate and regulate the implementation of medium-term programs for metro-wide services that indicate sources and uses of funds for priority programs and projects, and includes the packaging of projects and presentation to funding institutions;
• Undertake and manage on its own metro-wide programs and projects for the delivery of specific services under its jurisdiction, subject to the approval of the Council. For this purpose, MMDA can create appropriate project management offices;
• Coordinate and monitor the implementation of such plans, programs and projects in Metro Manila; identify bottlenecks and adopt solutions to problems of implementation;
• Set the policies concerning traffic in Metro Manila, coordinate and regulate the implementation of all programs and projects concerning traffic management, specifically pertaining to enforcement, engineering and education. Upon request, it extends assistance and cooperation, including but not limited to, assignment of personnel, by all other government agencies and offices concerned;
• Install and administer a single ticketing system, fix, impose and collect fines and penalties for all kinds of violations of traffic rules and regulations, whether moving or non-moving in nature, and confiscate and suspend or revoke drivers' licenses in the enforcement of such traffic laws and regulations. The MMDA enforces all traffic laws and regulations in Metro Manila, through its traffic operation center, and may deputize members of the PNP, traffic enforcers of local government units, duly licensed security guards, or members of non-governmental organizations to whom may be delegated certain authority, subject to such conditions and requirements as the Authority may impose; and
• Perform other related functions required to achieve the objectives of the MMDA, including the undertaking of delivery of basic services to the local government units, when deemed necessary subject to prior coordination with and consent of the local government unit concerned.
The Toll Regulatory Board is a Philippine government agency that regulates all toll roads in the Philippines.
The TRB was created by virtue of Presidential Decree (“P.D.”) No. 1112 or the Toll Operation Decree. It possesses regulatory authority over all toll facilities in the Philippines, and is authorized under its charter to enter into contracts on behalf of the Republic of the Philippines, with qualified persons, natural or juridical, for the construction, operation and maintenance of toll facilities.
At present, it exercises jurisdiction over the following toll facilities:
1. North Luzon Expressway (NLEX);
2. South Luzon Expressway (SLEX);
3. Manila-Cavite Expressway (Coastal Road);
4. South Metro Manila Skyway (Skyway);
5. Southern Tagalog Arterial Road (STAR Tollway); and
6. Subic-Clark-Tarlac Expressway (SCTEx).

From 2005 to 2007 and under the auspices of its Executive Director, Manuel G. Imperial, the TRB entered into contracts with private investors for the expansion and rehabilitation of its existing projects such as the SLEX, Skyway, Coastal Road and STAR and the construction of the new Subic-Clark-Tarlac Expressway (SCTEX) that would link Metro Manila to the Central Luzon area and the special economic zones located in Subic and Clark.
Other projects in the pipeline involve the extension of the NLEX that would connect it to the existing SLEX. Also, the TRB is considering the construction of new toll road development projects in the Calabarzon area.
Needless to state, the TRB played a vital role in spurring economic progress in the Philippines by improving and providing vital road networks that are necessary in revitalizing the economies of regions outside Metro Manila.
Its office address is Second Floor, Integrated Bar of the Philippines Building, Doña Julia Vargas Avenue, Ortigas Center, Pasig City.