Millionaires Club

Gian Javelona: The Pinoy ‘Steve Jobs’

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Gian Javelona is the kind of person who would reach for the stars. In a recent interview with Rappler’s Ezra Ferraz, he confided, “When I was a student, I always dreamed of having a company. I wanted to build something that any person could use and a product that could change people’s lives. I remember my classmates were laughing at me when I told them that one day I would have a company that will beat Apple, and that I will name it OrangeApps.” We can imagine who is laughing now, but Gian is modest about his success.

Gian Javelona is only 20 years old, and he is now the CEO of of his own company, OrangeApps. How that happened is based on several factors. In the first place, Gian has never given up on his dream of becoming an entrepreneur. He has always dreamed of having his own company even when he was still a student. One plan has remained on his mind: To build something that any person could use and change people’s lives.

To be a successful entrepreneur, Gian knows that you have to surround yourself with other people driven to succeed. A person can learn from them by absorbing their knowledge and ideas. The young CEO also has an attitude of confidence and resourcefulness. He has never allowed other people’s suspicions to get him down. This outlook helped him find the right people for his company. People have asked, “How can a 20-year old CEO successfully run a company?” He knows this is how many people think but he chose to ignore naysayers.

Building the company from scratch can be overwhelming. Javelona knows that there are issues he has to deal with. He confesses that building his OrangeApps team was the most difficult experience he has ever had. It’s not just because people looking down on his age, but there are other matters at hand. For one, it is hard to get people to join a very young company. It is another challenge to convince them when he can’t even assure them of a regular salary. For so many people, it is too risky to join a company that nobody has heard of.

Despite these circumstances, Javelona found inspiration in the story of Facebook founder Mark Zuckerberg. Gian claims to have watched the biopic ‘The Social Network’ ten times, and he identifies with what Zuckerberg went through during the early days of  Facebook. Coincidentally, both Gian and his idol Zuckerberg started out by breaking rules. Zuckerberg built Facemash, precursor to Facebook, by taking the photos from Harvard’s website without permission. Gian created and released his first mobile app, a PUP-based mobile portal that accesses public information on the university’s website, without notifying PUP.

The school authorities told him to shut it down because security issues started cropping up. This did not discourage Gian. It just made him more determined as he fixed the app in one month. He tried once more by doing a relaunch. The app was an instant hit with  PUP students in just three days. The users grew to around 2,000 active users out of a school population of 70,000 from over 20 campuses. He shares, “The President of PUP called and asked me to present the platform. Sometimes, you need to break some rules to make big things happen.”

In spite of this success, some people still question his capability to run a company at a young age. He responded by building the company “like someone would build a family – you have to make sure there is chemistry.” He picked people whose way of thinking is out of the box, like he is. He also chose those he knows he could work well with.

When asked how a person can unlock his or her true potential, Gian thinks it has something to do with the Philippine educational system. The country’s institutions of learning still have a long way to go to match its global counterparts. What it is doing now, according to Javelona, is to force students towards a job marketplace where being employed relies on skills that constantly change every year.

This is why Gian’s biggest advocacy is youth entrepreneurship. He is constantly invited to speak to young people in symposiums and seminars. Javelona believes young people should consider becoming entrepreneurs. On this, he thinks that education is the main problem. Our educational system molds students to be employees and not employers. He emphasizes, “If you ask a student today, what they want to do after graduation, most will say that they want to work for a big, local company or go abroad and earn big money.”

Last year, Gian was accepted to Ideaspace Foundation’s incubation program for young entrepreneurs. He remembers a funny moment when he is presenting his ideas to Coach Chot Reyes and Manny V. Pangilinan, and he was just wearing a regular shirt. He admits not knowing that he needs to have financial projections and a business model. “I didn’t even understand what those words meant back then,” he says good-humoredly. Even so, Javelona’s time at Ideaspace was life-changing. He actually recommends the incubation route for those who want to build a startup, but have no idea how, for as long as they are determined to see their business ideas come to life.

The people at Ideaspace assisted the young entrepreneur in terms of incorporation, financial projections, valuations, and marketing. Gian says, “Through them, you will meet the best people in the industry, including entrepreneurs, technologists, social innovators, and other aspiring startup founders.”

OrangeApps recently launched the app Khawna. The name comes from the Tagalog phrase ‘ikaw na’ (that’s you), a teasing way to praise a person who has done anything remarkable or impressive. It coincides with the company’s slogan: “It starts with you.” Gian believes that all of us can make a difference in the world.

According to him, Khawna is a learning platform where you could learn skills currently required by the industry. He believes that the app bridges the gap of industry learning and makes education available to everyone around the world. The learning platform offers online classes that emphasize hard skills, such as science and technology, engineering, mathematics, and entrepreneurship.

Gian says, “Imagine a kid in a rural area attending a class on entrepreneurship from his mobile phone, one taught by industry experts. What will happen to the Philippines? There are 7.93 million underemployed Filipinos and 6.24 million out of school, young Filipinos. With Khawna, we can make every Filipino employable.”

He hopes that this would result in more students aspiring to become entrepreneurs and create their own startup companies. In this, Javelona is very optimistic. He shares, “I’m really happy to see successful startups operating in this country, such as Kalibrr, Guestlist.ph, and TimeFree Innovations. They inspire young startup founders to keep pushing forward – They help us realize that disrupting industries here in the Philippines will lead the country to a better future.”

Every time Gian talks to students, he reminds them of how many huge tech companies started out as small ventures. He emphasizes that all of these tech companies like Microsoft and IBM started the way he and other young entrepreneurs started. “They were built by human beings like us. So it’s not impossible for Filipinos to also build a billion dollar company in the future,” he says.

For a lot of students and fresh graduates, it will be their first time to be told through Gian’s talks, that they can do something other than compete for entry-level jobs. He shares, “For the first time they see a Filipino company who wants to build something that can definitely change lives. I always tell them that ‘the sooner you start, the faster you will learn.’ I hope that inspires them.”

Many young Filipinos are so impressed and inspired by Javelona’s story. Many of them want to work for OrangeApps, and some feel encouraged to start their own company. Some of these young people started out as Khawna’s earliest users. They see the app as a launching pad to learn the skills they need to survive and succeed in the job market. Gian hopes that most of them can become future innovators, entrepreneurs, and industry leaders who will help uplift the country’s economy.

REESE FERNADEZ-RUIZ: Social Entrepreneur Fights Poverty with Fashion

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Reese Fernandez-Ruiz, the co-founder of fashion line Rags2Riches, used to have a clear-cut idea for an ideal career: graduate with the highest honors, get a high-paying job, do “amazing” things at work, get a master’s degree in business administration, retire, create a business, and when she became rich enough, give to charity. Although there is  nothing wrong with following this path, Reese felt that it was not what she really wanted to do. Her calling actually started with a pet peeve. Reese is bothered by social inequality. She hates seeing people work hard their whole lives, only to end up at a dead end because they did not have the same opportunities that more privileged people have. Such “irritations”, according toher, can help people find their calling. Whether they are against involuntary hunger, racism, and other injustices, fighting for social justice can become a life profession. It was on a volunteering trip in Gabaldon, Nueva Ecija that made Reece decide what she will choose as a life profession. She met some of people there who have stayed hopeful despite crippling poverty and lack of opportunities. Reece spent Sundays helping build homes for landslide survivors, which resulted to an entire village of 100 new houses for several affected families. After college graduation, she would visitthe depressed areas in Payatas with some young professionals. That is where she met ‘Ate Ning’, a trash collector for 14 years and a mother of five children. The woman collected scraps of cloth and weave the scraps of cloth she found into foot rugs. She would sell them everyday butshe earned less than Php20 a day despite her hard work. “When I saw this, I got really mad,” Reece remembers. Scrap cloth handwoven by women from indigent communities were normally used for ordinary rugsfor doorways and bathroom floors of Filipino homes. Rags2Richesthought that these very same materials can be used in making luxury bags, which can be marketed to the high fashionmarket. The company has elevated the status of these textiles. They have also uplifted the lives of the people who had previously been selling these items at Php1 to Php2 a piece, earning a miserable Php10 to Php16 a day. Reecethought that there is something wrong with the fact that poor people who work hard earn so very little from their efforts, while there are people who easily get money through corrupt means. Believing that she has to correct this wrong, she formed Rags2Riches with several business partners. Their business model is simple but meaningful: ‘people, profit, planet, and positive influence’.

The company was put together in 2007, and it partners with artisans from all over the country, from the “mountains” of Payatas to the mountains of southern Philippines, giving them not just skills-training, but lessons in health, finances, and well-being, so they can help themselves out of poverty. The families involved were not just able to support their families, they also take pride in their work.TV personalities Bianca Gonzalez, Ces Drilon, and Liz Uy are seen wearing and using their products. Rajo Laurel, Amina Aranaz-Aluna, Oliver Tolentino, Olivia d’Aboville, and other designers are some of those who collaborated with Reese and her business partners in Rags2Riches. The company’s designer bags are a combination of fabric, leather, and metal. The designs are also reminders of the amazing stories about the people that the brand wanted to empower.

 

Reece says that it was a simple solution to a social problem, and an effectiveway to lift Filipinos out of poverty. The business has enabled the artisans to access the fashion bags market. In six years, they were able to uplift the lives of 900 artisans, distributing the latter’s work through 70 retail outlets in the country and in the international market. The mother of five,‘Ate Ning’, is now an empowered community member who trains others to weave scrap cloth and make fashion bags from them. Reese, as the company’s CEO,shares gladly that she wakes up every Monday morning happy to work in the company that she helped build. Not all people can say the same for themselves.Which a shame, according to the young social entrepreneur, as working days take up the majority of the week. Reece wanted not to be just successful, but to become significant in changing people’s lives for the better. As a young girl, she remembers going around different churches with her mother, a Catholic missionary worker. She encountered street children in the parishes, who became her friends. They played together and shared their dreams with oneanother. Many of them wanted to become doctors, lawyers, and teachers when they grow up.That one little girl eventually became a social entrepreneur, while the world lost potential doctors, lawyers, and teachers.

Reece doesn’t think she was better than them, but only that she had better opportunities. She has her own amazing story to share: a group of anonymous people, probably involved in the parishes her mother was working in, gave her a scholarship so that she could attend the prestigious Ateneo de Manila University. To this day, she has no idea who they are, but she is thankful nonetheless. Now, it’s her turn to do the same thing to those less fortunate. “No matter what we do, our decisions will affect someone in a positive or negative way,” she says. Asked what advice she would you give to aspiring social entrepreneurs, she says, “First of all, it is good to know that it is possible to be profitable and socially relevant at the same time. I would like to share to future social entrepreneurs that yes, it is possible. It is a viable life and career option for those who want to have a business and help others at the same time. If you do decide to take it on, the result could be world-changing! It may be daunting to start though so let me share with you some simple steps and tips. First, try to find your passion, then get together with a few like-minded friends, commit to some milestones (do not just have a vision, have a plan), and never, ever give up. It is not easy, but it is so worth it!”

DENNIS A. UY : Fueled By Passion

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WHILE most businessmen prefer to do business from Manila, Dennis Uy wants to do business close to home in Davao City.
Early this year, Uy—founder, president and CEO of the Davao City based Phoenix Petroleum Philippines, Inc.—gave honor to the city as a vehicle for his success receiving the Datu Bago Award for 2013.

“While many prefer to do business or find employment in bigger cities, to me Davao is richer in opportunity and richer in producing the elements of success than any place I know,” he said in his acceptance speech.

With Uy at the helm, Phoenix has grown to be the number one independent oil company in the Philippines in just seven years. From being the top 570th corporation in 2006, Phoenix has risen to the 53rd spot in 2011. It has also been recognized by the Bureau of Customs as the Top 7 Importer in the country for 2011 and 2012, and the Top 1 Importer in the port of Davao in the past two years.

Strong Track Record

Uy is an entrepreneur and senior executive with a strong track record of starting and leading his businesses to profit and growth since graduating from De La Salle University, Manila with a Bachelor’s degree in Business Management in 1993.

He is the Chairman, President and CEO of Udenna Corporation, the holding company of Phoenix Petroleum Holdings, Inc. (PPHI) and Udenna Management & Resources Corp. (UMRC), since its incorporation in 2002. Mr. Uy has steered Udenna Group’s expansion to businesses in the transport, petroleum, distribution, shipping, real estate, waste management services, and power industries.

The Group’s consolidated revenues reached more than P15 billion in 2010. For these achievements, Mr. Uy was recognized as a Finalist in the 10th Asia Business Leaders Award by CNBC Asia, 2011 in Singapore. “I don’t know if we would have accomplished what we have accomplished if I grew up somewhere else, but I do know that Davao and Dabawenyos have been an indispensable part of everything that we have achieved,” Uy said. Even as Phoenix has grown to be a national brand, its headquarters remain firmly in Davao City.

“Our city is simply a better place to live, work, and prosper,” Uy said. “We have enlightened, disciplined and competent leadership, talented people, growing infrastructure, and an ideal balance between work and life. Indeed, before President Aquino advocated for ‘daang matuwid,’ it has already been ‘daang matuwid’ here in Davao for the longest time,” he said.

Start-Up Business

Uy recalled that he started what became Phoenix Petroleum in challenging circumstances. Back then, the business was a single storage tank, 11 employees, and no revenue stream. Still, he gave it a try. “I remained confident that I was surrounded by a community, a government, and an ideal that would be indispensable to our success,” he said.

Uy recalled that after the Oil Deregulation Law was passed in 1998, he saw independent oil companies that were not of the major sprout in Manila. He said he sensed a good business opportunity to bring to Davao, although he admitted it was not an easy start. “The oil deregulation law paved the way for the birth of Phoenix. Without it we wouldn’t be here! The decision was very simple. The industry used to be dominated by three companies, and when you open up an industry where it was dominated by only three companies, there’s really a big chance for us to get market share. Uy said he had then difficulty raising capital and attracting clients. His big break came when Cebu Pacific committed to lease his tanks. This was the start of Phoenix becoming their exclusive logistics provider in all their Mindanao flights.

Uy said he decided to expand to retail, and in 2005, the first five Phoenix stations opened in southern Mindanao. “For us to start in the southern part of the Philippines was not by choice, it was by chance. It was just that I do my business there, I was born there. We started there, and luckily we were able to expand nationwide. It’s always a challenge, even until now, to gain brand acceptability…” Uy said in an online interview.

Expansion

To expand the company’s financial capability, Phoenix Petroleum listed at the Philippine Stock Exchanged in July 2007, becoming the first, and, so far, only oil company to launch its initial public offering after the Oil Deregulation Law was passed. Phoenix is also one of the few Mindanao companies to be traded at the PSE.

The very successful IPO gave Phoenix the capital it needed to expand, and since then the company has grown significantly.
Compound annual growth rates of revenue have risen by 65 percent, volume by 67 percent, market capitalization by 84 percent, and equity by 50 percent. Cumulative returns of the PNX stock in the five years from its IPO has been over 400 percent.
From its initial five stations, Phoenix has expanded to 300 nationwide by the end of 2012, making it the number one independent oil company.

For his leadership, Uy has received citations in the country and in the Asian region: as finalist in the Asia Business Leaders Award by CNBC Asia for 2011 and 2012; finalist in the Entrepreneur of the Year 2012 Philippines; and now the Datu Bago Award in Davao City. He is also the Honorary Consul of Kazakhstan to the Philippines, having been appointed in 2011.
Uy attributed the speed of Phoenix’s growth to “an entrepreneurial-based opportunity to build the future of the downstream petroleum industry, a nurturing and encouraging beginning in our hometown environment, and a commitment to and indispensable relationship with our community, our business partners, our shareholders, and above all, our customers.”
“It’s always our service and our people that are a distinct advantage,” Uy said.

Uy also plays an active role in various business organizations. He is a Member of the Young Presidents’ Organization, Management Association of the Philippines (MAP), American Chamber of Commerce- Davao City, and Davao City Chamber of Commerce and Industry.

He is married to Cherylyn C. Uy, and has two daughters: Chelsea Denise and Charlize Donatella.
Looking ahead, Uy says he hopes to sustain the growth of the company.

“The next five years should be a period of growth – maybe a bigger market share, more stations: going from 300 to at least 500. And of course, having a more established brand, and a stronger company, balance-sheet wise.“Other Asian countries have three or five times more stations per capita…there’s a lot of room for growth,” he said.