Cold chain models people-centric culture: ‘Sanctify oneself, co-workers, work’


At a glance

  • On Oct. 18, 2023, the Philippines’ first-ever carbon dioxide cold storage facility was inaugurated in Pueblo de Panay, Lawaan, Roxas City, Capiz.


ENDEAVOR

Sonny Coloma

On Oct. 18, 2023, the Philippines’ first-ever carbon dioxide cold storage facility was inaugurated in Pueblo de Panay, Lawaan, Roxas City, Capiz.

Arturo Jose “Archie” Yan, Glacier Megafridge president and CEO, said that the event manifested the fulfillment of their vision – launched nearly three decades ago with Japanese partners – for an environment friendly, sustainable and scalable cold storage facility. Their expansion and growth strategy was anchored upon this differentiation strategy. This was affirmed by Jan Dusek, head of the Global Partnership Cold Chain Innovation Hub, who travelled to witness the inauguration. He cited the funding support provided by the United Nations Development Organization (UNIDO) and the cooperation of the Department of Environment and Natural Resources (DENR).

Four months earlier, Glacier teamed up with AC Logistics of the Ayala Group in launching a new plant in Barangay Tablon, Cagayan de Oro City. As reported in the Manila Bulletin, “The facility can store up to 5,348 industrial pallets and is expected to service the increasing cold storage demand of various industries in Northern Mindanao, help ensure food preservation for the community, and be a key player in the region’s economic development.” Last March, GMAC Logitech Refrigeration Corporation (GMAC), announced that it was tripling its cold storage capacity with the construction of an 11,798-pallet facility in Panabo City, Davao del Norte. 

Presently, Glacier has 11 plants nationwide: in Food Terminal, Inc., Taguig City; Panay; Samar; Pulilan and Balagtas, Bulacan; Quezon City; Albay; and three plants in Parañaque City.

Glacier has been in business since 2005, taking pride in the “fusion of Japanese technological advancement and Filipino talent and ingenuity” that “builds, owns and operates high performance cold chain industrial facilities for perishable meat, poultry, aquamarine and dairy products” to ensure product freshness and integrity.

Environmental protection and sustainability are writ large in Glacier’s manufacturing facilities that feature energy-efficient decentralized refrigeration systems, as well as LED illumination systems with motion sensor compliant sensitivity; parallel 400-kilowatt tie grid photovoltaic power stations; and Euro-5 compliant Japan-branded refrigeration trucks.

Dr. Ramon Segismundo, a visiting professor at Singapore Management University, has been tracking Glacier’s rapid progress, especially in terms of its human resource development aspect.

He cites an Asia Society study in 2017 that while 47.5 percent of land in the Philippines is considered agricultural, 54 percent of the population live in urban barangays that are centers of food demand. Due to inefficiencies, 30 to 40 percent of farm and fisheries produce goes to waste while in transit. “To ensure food security, affordability and quality,” he states, “the cold chain industry is a vital bridge in the agricultural ecosystem.” Hence, “by preserving the produce and delivering it fresh, we raise the Filipinos’ lifestyle by keeping quality farm harvests affordable.”

When asked what makes Glacier different from its competitors, CEO Archie Yan said: “It is all about (raising the quality of) customer experience (while) targeting our key segments of meat traders, hotels and restaurants, fast moving consumer goods (companies), pharmaceuticals and others. We have the most number of clients in the Philippines in terms of institutional players; and micro- small- and medium-scale enterprises (MSMEs).”

Archie Yan believes that Glacier’s key differentiator is its people: “Our people make it happen. We strive hard to build and develop a culture founded on sanctifying oneself, sanctifying others, and sanctifying the work. This allows us, as Glacier’s leaders, to provide that personal touch to each of our employees...an environment that supports and cares for every member of the Glacier family. As a result, excellence in education becomes our key to success.”

Dr. Segismundo observes: “The personal touch is exhibited in two significant ways: attention and dignity. From CEO Archie down the line, one-on-one dialogues and conversations are a must. But the real magic is when Glacier’s leaders provide every team member (a sense of) dignity of work – ensuring that they have the tools to make them succeed, measuring their success, and rewarding them for it. As a result, every team member has a great sense of ownership about their work; each of them has the “I am Glacier” mindset.”

Archie Yan derives the greatest satisfaction from seeing his people demonstrate their sense of empowerment on the shop floor when they raise problems and work out solutions in real time. They show their sense of ownership, too, by reporting pilferages, shortages and overages, and acts of misrepresentation in the workplace. Everyone has a voice; listening is deemed as important as speaking out. Quarterly town halls are held; merienda time is devoted to reaching out and for bonding. Everyday, there are toolbox meetings where work for the next two days is planned, with everyone encouraged to pitch in suggestions.

Performance management builds trust among employees between employees and their managers, and between employees and CEO Archie himself. Glacier uses performance metrics that are both leading or predictive, as well as lagging or output indicators. When met or exceeded, corresponding financial rewards are promptly given.

Dr. Segismundo observes that Glacier’s management practices extend the application of Abraham Maslow’s classic motivation theory based on the hierarchy of human needs. He cites Scott Barry Kaufman’s theory of transcendence in which the highest level of human potential is achieved with the integration of the self with others – and this includes the fusion of self with the natural world of God’s creation.

Archie Yan’s philosophy as a leader is anchored upon sanctification of self, others and work. All members of the Glacier team look at themselves, their work team, their company, and the work that they do as being there for a purpose: the greater glory of God. Hence their work is infused with spirit (diwa in Filipino); their sense of solidarity with each other and their company reflects the Filipino concept of kapwa (or pakikipag-kapwa).

In sum, Dr. Segismundo characterizes Archie Yan’s leadership ethos at Glacier as Diwa-Kapwa Para Sa Tagumpay – or, more broadly, Spirit-Led Organization for Enterprise Success and Prosperity.