A Written Report on Jollibee’s Company Corporate Social Responsibility

Presented to
The Faculty of Business Administration
Major in Marketing Management
Kapalong College of Agriculture, Sciences and Technology
Maniki, Kapalong, Davao Del Norte

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In Partial Fulfilment of the Requirement

For the Course
BAC 106: Good Governance and Social Responsibility

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BALGUNA, DANSEL

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MAY 31, 2021

 CORPORATE SOCIAL RESPONSIBILITY OF JOLLIBEE

A. SHORT BACKGROUND OF THE COMPANY

Jollibee is the largest fast food chain in the Philippines, operating a

nationwide network of over 750 stores. A dominant market leader in the

Philippines, Jollibee enjoys the lion’s share of the local market that is more

than all the other multinational brands combined. The company has also

embarked on an aggressive international expansion plan in the USA,

Vietnam, Hong Kong, Saudi Arabia, Qatar and Brunei, firmly establishing itself

as a growing international QSR player.

Jollibee was founded by Tony Tan and his family with its humble

beginnings as an Ice Cream Parlor which later grew into an emerging global

brand. At the heart of its success is a family-oriented approach to personnel

management, making Jollibee one of the most admired employers in the

region with an Employer of the Year Award from the Personnel Management

Association of the Philippines, Best Employer in the Philippines Award from

Hewitt Associated and a Top 20 Employer in Asia citation from the Asian Wall

Street Journal.

The Jollibee Foods Corporation was incorporated on January 1978. It

opened its first store overseas in Taiwan which later closed. Jollibee

experienced rapid growth. It was able to withstand the entry of McDonald's in

the Philippines in 1981 by focusing on the specific tastes of the Filipino

market, which differed from the American fast food company. On July 13,

1993, JFC was listed at the Philippine Stock Exchange.

 In 2011, JFC opened 260 new stores, of which 167 were in the

Philippines led by Mang Inasal (86) and Jollibee (40). This brought the

company's total number of stores to 2,001 as of the end of December 2011.

The same year, Jollibee closed Manong Pepe foodchain in favor of Mang

Inasal, and sold Délifrance to CaféFrance. Overseas, Jollibee opened 93

stores, led by Yonghe King in China (70) and Jollibee Vietnam (11). In 2013,

Jollibee opened its first stores in Virginia Beach, Virginia, as well as in

Houston, Texas. Both locations were chosen for their strong

Filipino presence. A location in the Chicago suburb of

Skokie, Illinois opened up in July 2016. One year later, Jollibee opened its first

Florida restaurant on March 18, 2017, located in Jacksonville. Jollibee

expanded into Canada in November 2017 by opening two restaurants in the

Toronto area The company acquired 80% of Greenwich Pizza in 1994. From

a 50-branch operation, Greenwich gradually established a strong presence in

the food service industry. In early 2006, Jollibee Foods Corp. bought out the

remaining shares of its partners in Greenwich Pizza Corp., equivalent to a

20% stake, for P384 million in cash. In 2000, the company acquired

Chowking, a Chinese fast food restaurant, thus making Jollibee a part of the

Asian quick service restaurant segment. In 2005, Jollibee acquired Red

Ribbon, a bakeshop business in the Philippines.

On October 19, 2010, Jollibee acquired 70% share of Mang Inasal, a

Filipino food chain specializing in barbecued chicken, for P3 billion ($68.8

million).

JFC subsidiary Fresh N' Famous Foods, Inc. manages the Greenwich

and Chowking brands. The Red Ribbon brand is under Red Ribbon Bakeshop
 Inc. which in turn is managed by a holding company of the JFC, RRB

Holdings, Inc. The firm has also stakes on Burger King's outlets in the

Philippines through Perf Restaurants, Inc. which is 54 percent owned by JFC

as of 2012.

B. COMPANY’S CSR POLICIES AND STRATEGIES

Jollibee Foods Corporation (JFC) espouses the principle of shared

value in its corporate social responsibility (CSR) activities. As a company in

the food industry, JFC through its CSR arm, the Jollibee Foundation,

implements programs that address access to education, livelihood

development, leadership development and disaster response, issues that are

also of relevance to the company’s core business. Aside from education,

Jollibee Foundation also has initiatives in livelihood, leadership development

and provides assistance in times of calamities.

The company, through its CSR arm, the Jollibee Group Foundation,

envisions that every Filipino is able to access basic community services and

live a life defined by dignity, purpose and active participation in nation

building. It helps the community through improved access to education for the

youth, livelihood programs for smallholder farmers, leadership development

for local organizations, environment-friendly initiatives and disaster relief

rehabilitation for calamity-stricken regions.

Three principles guide the company’s work and are reflected in the

programs that the company undertake.

Think in System. To understand social issues, JGF looks beyond the

presenting problem and consider the patterns and structures underlying the
 issue. For instance, hunger encompasses not only food supply availability but

household incomes and effective coordination of programs and services.

Their approach fuels the creation of innovative solutions that deliver lasting

impact for communities. I the process, it influences systemic change.

Harness Core Strengths. Intrinsic in the programs that the company

implement are the values, systems, tools and expertise that are of benefit to

communities. JFc’s quality standards have been applied in the Busog, Lusog,

Talino School Feeding Kitchens. The Farmers Entrepreneurship Program

promotes inclusive business with the access it provides smallholder farmers

to become direct supplier of JFC.

Work Collaboratively. The company believes that there is an

opportunity for everyone to contribute in creating solutions to address

pressing social concerns. Engagement of key stakeholders is crucial to our

work. JFC invests in building partnerships with communities and institutions,

leading to programs that are relevant and effective.

C. COMPANY’S CSR PRACTICES/PROGRAMS/ACTIVITIES

1. The Jollibee Family Values Awards (JFVA) is an annual recognition

program of the country’s leading fast-food chain for exemplary Filipino

families. It seeks to give honor to deserving families who exemplify

positive Filipino family values such as generosity, compassion, love for the

community, love for the environment, among others, while also providing

selfless service to their communities.

The JFVA has demonstrated that the Philippines boasts of a

priceless class of heroes – entire families of socially responsible citizens

 who share the same values of making a difference in the lives of other

people and communities.

2. Filipino farmers work hard every day, producing food for the country while

trying to sell enough to make a living for their families. But there is always

the uncertainty of who will buy their produce and at what price. This is

where the Farmer Entrepreneurship Program (FEP) comes in. FEP

enables smallholder farmers to supply corporate buyers such as Jollibee

Foods Corporation (JFC). This means that the vegetables needed to

produce JFC’s delicious burgers, rice meals, pizzas and pastas now come

directly from farmers.

Since 2008, FEP has partnered with various organizations to

train smallholder farmer groups on agro-entrepreneurship, building their

capacities to supply vegetables in a manner that meets the standards and

requirements of corporate buyers while ensuring farmers make a profit.

Through FEP, farmers transform into well-equipped agro- entrepreneurs.

3. Hunger and malnutrition often lead to dropouts among public school

pupils. It may take a village to raise a child, but what will it take to nourish

them?

Jollibee Group Foundation (JGF) addresses this through the

Busog, Lusog, Talino (BLT) School Feeding Program. Established in 2007,

it provided daily lunch to children across the country to help them stay in

school. To support the Department of Education’s School-Based Feeding

Program, JGF started to build BLT School Feeding Kitchens in 2016,

which centralize the preparation of meals that are distributed to

 surrounding schools, feeding hundreds of pupils per kitchen with less time

and effort.

4. Most Filipinos believe that tertiary education is a golden ticket to a good

job and a brighter future. But for a lot of youth, especially those belonging

to low-income families, gaining employment could still be a distant dream.

The ACE Scholarship Program helps close this gap by putting a

premium on the youth’s employability. ACE stands for “Improving Access,

Curiculum, and Employability.” Since 2005, Jollibee Group Foundation has

partnered with different schools to provide technical vocation and college

scholarships to underprivileged but deserving youth. In addition to financial

support, scholars acquire the necessary skills that will prepare them for the

workplace through internships with the company’s service providers and

stores. Scholars also undergo life skills training to further sharpen their

abilities to match what employers seeks among graduates

5. Access to food and other necessities is threatened when roads and

infrastructure are damaged or destroyed during disasters.

Jollibee Group Food AID, the disaster response program of

Jollibee Foods Corporation (JFC) and Jollibee Group Foundation applies

practical solutions to address this. Congee mix packs, developed by the

JFC commissary, are stored and prepositioned in vulnerable areas to

ensure access to hot meals when disaster strikes. At the onset of relief

operations, distribution of rice and food packs follow in coordination with

local partners and local government units.

D. COMPANY’S STATUS IN RELATION TO BE SOCIALLY RESPONSIVE

Jollibee continues to hold various programs and activities that

maximize their resources and strength in giving back to the community in an

organized manner. For instance, food-related issues in the community is

addressed by school feeding programs that provides meals for

undernourished students and as a way also to encourage them to go to

school regularly.

Jollibee Foundation’s Busog, Lusog, Talino (BLT) brings together local

education stakeholders and JFC employee volunteers to mitigate hunger and

undernourishment, widely attributed causes of school attendance decline and

drop-out among lower grade pupils. Daily lunch is provided to below normal

weight-for-age Grades 1 & 2 pupils with food prepared by parent groups

following menus developed by Jollibee Foundation. The parents also attend

seminars on food safety, cooking, health and nutrition. For SY 2008- 2009,

BLT is being implemented in 54 public elementary schools benefiting 1,822

pupil beneficiaries. Pupils exhibit marked improvements in weight and

attendance while their parents show improved budgeting and menu

preparation skills as well as knowledge on nutrition.

The company also help farmers improve their production and income

by bridging not only their company. On its 11th year, since it was established

in 2008, the Farmer Entrepreneurship Program (FEP) continued to scale up

its efforts by adding 12 potential new sites to the current roster of 700

smallholder farmers from 15 cooperatives and associations that are JFC

suppliers. The Agro-enterprise Training (AgenT) for Change began training

the second batch of agro-enterprise (AE) facilitators who will provide technical
 support to FEP farmer groups. The AE facilitators are staff of partners from

local government units, microfinance institutions, and non-government

organizations.

The FEP Youth Challenge is an initiative that enable college and

university students to help smallholder farmers make their farming activities

more profitable through innovations in agro-entrepreneurship. Twenty student

teams participated in the program’s first edition, with top-three coming from

the University of Santo Tomas and University of San Carlos. Team Catalyst

from USC designed a low-cost greenhouse with an LED lighting system to

shorten harvest time for lettuce and improve its quality.

The BLT School Feeding Program which started in 2007 providing daily

lunch to help undernourished children remain in school. The program has

since taken a different approach to further strengthen JGF’s support to the

Department of Education’s School- Based Feeding Program (SBFB)

In collaboration with Dep-Ed, local government units and other

organizations. BLT-School Feeding kitchens were built to facilitate food

preparation for a cluster of schools. Aside from providing facilities and

equipment parent volunteers in the Kitchens were also trained on preparing

healthy and nutritious recipes and food safety aand quality standards, the

centralized process eases the implementation of SBFP and enables feeding

more children with a shorter preparation time.

Eleven new Kitchens were built in 2018, bringing the total number of

across the country to 33 and serving thousands of children daily.

E. COMMENTS/CONCLUSIONS
 Through the years, Jollibee’s dedication to give back to the community

manifests on the results of its implemented programs.

The establishment of these programs have positive impact on

stakeholders. It promotes a cooperative society, innovative leaders, and a

new breed of enthusiastic social workers. Its impact inspires and encourages

the government to create policies and programs parallel to the company’s

mission and strategies.