reverse engineering of local & international surveys on corruption in the philippines

REVERSE ENGINEERING OF LOCAL & INTERNATIONAL SURVEYS ON CORRUPTION

IN THE PHILIPPINES

A Project funded under the Transparent Accountable Governance

(TAG) Project of The Asia Foundation with support from the United States

Agency for International Development

April to June, 2006

Background

Several studies and surveys showing the Philippines as one of the most corrupt countries have been many times over quoted in media.

These reports have painted the image of a graft-ridden country and a government seemingly powerless over corruption

The most prominent of these agencies which regularly conducts studies on corruption in the Philippines are: Social Weather Stations, Inc. Pulse Asia, Inc. Ibon Foundation, Inc. Makati Business Club Political Economic Risk Consultancy (PERC) Ltd. Transparency International (TI)

Rationale

There is a need to review current studies and surveys being conducted measuring corruption in the Philippines.

It would be important to know what their methodologies are, who their key respondents are, how they gather the data and how they analyze their data sets.

It would be pertinent to mine the data generated by these studies and surveys.

The information culled will aid both government and non-government agencies in zeroing in its efforts to address corruption on segments of the population most sensitive to this issue.

It will give better directions as to where concentrated efforts to curb corruption are vital.

It will pro-actively identify factors affecting perceptions of corruption and facets of corruption in the country and serve as a beacon to anti-corruption efforts.

Methods Used

Gathering of materials, reports, raw data (both soft and hard copies if made accessible) from these respective institutions: Social Weather Stations (SWS) Pulse Asia Inc. IBON Foundation, Inc. Makati Business Club (MBC) Political Economic Risk Consultancy (PERC) Transparency International (TI)

Methods Used (continued)

Data gathering on what’s available on the internet. The following websites were sources of many materials: www.sws.org.ph/

www.pulseasia.com.ph/

www.ibon.org/

www.mbc.com.ph/

www.asiarisk.com/

ww1.transparency.org/

www.transparency.ph/


In-depth interviews with the following key informants: Mr. Robert Broadfoot, PERC Managing Director

Judge Dolores Espanol, Transparency Intl RP Chapter

Mr. Antonio Tujan Jr., Ibon Foundation, Inc.

Ms. Rosario Bella Guzman, Ibon Foundation, Inc. Executive Director

Mr. Edward Gacusana, MBC Sr. Research Associate & CAC Proj. Coordinator

Mr. Michael Mundo, MBC Sr. Research Associate & Chief Economist

Ms. Linda Luz Guerrero, SWS VP & Chief Operating Officer

Mr. Jay Sandoval, SWS Director of Sampling, Processing & Data Archiving Group

Ms. Germie Caron, SWS Field Specialist

Mr. Jojo Carlom, Pulse Asia Statistics Supervisor

Ms. Zon Langrio, TNS-Trends Field Director

Mr. Angel Almojuela, Asia Research Organization (ARO) President


Review of written reports SWS Survey of Enterprises

Pulse Asia Ulat ng Bayan visuals

PERC reports

Transparency International reports

Further statistical analysis of raw data made available by: SWS and Pulse Asia

Caveat In the course of talking with key informants from these

various research institutions, some have expressed plans to further modify and make improvements in their methodologies

Since the review of the surveys included in the study was from April to June 2006, any changes and improvements made by the various research institutions in their methods of data gathering data processing and data analysis after this period cannot be reflected here

The study does not intend to conclude which survey is more superior than others; rather it intends to give illumination on how these surveys are done and how the survey data can help in further advancing means of curbing corruption

SURVEYS ON CORRUPTION IN THE PHILIPPINES WITH

VOTING-AGE ADULTS AS RESPONDENTS

Surveys on Corruption conducted among Voting-Age Adults

InstitutionName of Surveys

SponsorSurvey schedul

e

Level of Analysis

Social Weather Stations (SWS)

Social Weather Surveys

SWS-sponsored for regular items; TAG Project for some Rider items

Quarterly

Total Philippines & Major areas: NCR, Balance Luzon; Visayas; Mindanao

Pulse Asia (Pulse)

Ulat ng BayanPulse-sponsored for regular items

Quarterly

Total Philippines & Major areas: NCR, Balance Luzon; Visayas; Mindanao

Ibon Foundation, Inc. (IBON)

People’s Political & Economic Perception

All are Ibon-sponsored items

Quarterly

Total Philippines only

Transparency Intl (TI) [implemented in the Phils. by Asia Research Organization – ARO, a Gallup Intl affiliate]

Global Corruption Barometer [Survey rider in ARO Voice of the People Surveys]

All are TI-sponsored items through Gallup International

Every last quarter of the year

Total Philippines only

Surveys on Corruption conducted among Voting-Age Adults: Methods

Institution

Sampling Method

Sample Sizes / MOE Selection of Provinces

SWSMulti-stage probability sampling

1,200 RP [300 NCR; 300 Bal. Luzon; 300 Visayas, 300 Mindanao] / +/-3 RP; +/-6 in major areas

10 in Luzon, 5 in Visayas, 6 in Mindanao; with Regional allocations per major area & non-quotas for Luz & Vis= selected with probability proportional to size (PPS)

PULSEMulti-stage probability sampling

1200 RP [300 NCR; 300 Bal. Luzon; 300 Visayas, 300 Mindanao] / +/-3 RP; +/-6 in major areas

No pre-selection of provinces [Can have 10-12 in Luzon; 10 in Visayas; 10-15 in Mindanao]

IBONMulti-stage sampling

1,200 to 1,400 RP [Allocated per Reg based on % of COMELEC Registered Voters per Reg] / No MOEs

12 in Luzon, 6 in Visayas, 12 in Mindanao = selected randomly

TI - AROMulti-stage probability sampling

1,000 RP [Allocated based on % of Household Population per major geographic Regs: NCR, North Luz, South Luz, Vis, Min] / No MOEs

3 in North Luzon, 2 in South Luzon, 2 in Visayas, 2 in Mindanao = selected with probability proportional to size (PPS)

Institution

Selection of Cities/Municipalities

Selection of Barangays

SWS

17 in NCR; 15 in Balance Luz; 15 in Visayas; 15 in Mindanao = Selected w/ probability proportional to size [RP=62]

60 barangays each in NCR; Balance Luzon, Visayas and Mindanao = Selected w/ probability proportional to size [RP=240] [starting 2nd quarter 2004, barangays instead of precincts are selected in NCR]

PULSE

17 in NCR; 15 in Balance Luz; 15 in Visayas; 15 in Mindanao = Selected w/ probability proportional to size [RP=62]

60 precincts in NCR; 60 spots (precincts for urban or barangays for rural) each in Balance Luzon, Visayas and Mindanao = Selected randomly [RP=240] (Note precinct maps used are 1990 COMELEC precinct maps and number of precincts are updated every national election cycle)

IBON13 in NCR; 52 in Balance Luz, 33 in Visayas 34 in Mindanao = Selected randomly [RP=132]

13 barangays in NCR; 52 in Balance Luzon, 33 in Visayas, 34 in Mindanao = Selected randomly [RP=132]

TI - ARO

17 in NCR; 8 in Balance Luzon; 4 in Visayas; 4 in Mindanao = Selected w/ probability proportional to size [RP=33]

17 barangays in NCR; 35 in Balance Luzon, 16 in Visayas 20 in Mindanao = Selected randomly [RP=88]

Surveys on Corruption conducted among Voting-Age Adults: Methods (continued)

Institution

Selection of Households (HH) Selection of Respondents

SWS

5 HHs per barangay are chosen from a starting point (mun/brgy hall, school, brgy capt. house, church) & a random start [1-6]; right coverage using interval of 6 in urban areas and 2 in rural area [starting 2nd quarter 2004]

Probability selection key among adults in a HH; One per HH

PULSE

5 HHs per barangay are chosen from random corner [in urban areas] / from a starting point --brgy hall, school, brgy capt. house, church -- [in rural areas] & a random start [1-6]; right coverage using interval of 7 in urban areas and 2 in rural areas


IBON

8-12 HHs per barangay; Discretion of interviewer where to start in a barangay (can be a church, mun/brgy hall, police station, etc) using an interval of 2 in both urban & rural areas

Looks for HH head; Interviews the first available adult HH member [often Housewives]

TI - ARO

8-12 HHs per barangay are chosen from a starting point (elem school, health center, brgy hall, chapel) & a random start [1-5]; left coverage using interval of 4 in NCR, 3 in urban areas outside NCR, 2 in rural areas outside NCR



Institution Substitution Rules Quality controls

SWS

No substitution rules starting 2nd quarter of 2004; Replacements are taken by continually applying the interval

2 valid call backs; At least 10% of total interviews of each interview are observed by Field Anchors; 30% spot-checking of each interviewer’s output; 100% field editing by Field Anchors

PULSE

Substitutes should have the same eco class, age group, gender, & work status as original respondent

2 valid call backs; 10% Field observation by supervisors; Spot-checking done in stages & is at least 20% of unsupervised interviews; Field editing by group supervisors

IBON

No substitution rules; Replacements are taken by continually applying the interval until quota is reached

No spot-checking; Limited field observations; Validity of answers are checked by looking into the sociological contexts; No field editing

TI - ARO

Substitutes should have the same eco class, age group, gender, & work status as original respondent

3 valid call backs; 30% field observation or spot-checking of every interviewer’s output; Field editing by supervisors


Institution

QuestionnairesTraining of personnel

Field Personnel

SWSDrafted in Tagalog; Translated in English, Ilocano, Bicolano Cebuano, Ilonggo; pre-tested

Done in 10 central locations

1 Field Manager; 14 Field Anchors; 65-70 Field Interviewers (Anchors also act as Auditors)

PULSEDrafted in Tagalog; Translated in English, Ilocano, Bicolano Cebuano, Ilonggo; pre-tested

Done in four central locations

1 Field Manager; 2 Asst. Field Managers; 4 Field Coordinators, 40-50 Field Interviewers; 8 Spot checkers [subcontracted to TNS-Trends]

IBON

Drafted in Tagalog but thought out in English; Translated in English, Cebuano, Ilocano; Interviewers have discretion to translate verbally in other local languages; no pre-tests

No formal interviewers’ training

No regular pool of field interviewers and supervisors; mostly volunteers and activists

TI - ARODrafted in Tagalog; Translated in English, Ilocano, Bicolano Cebuano, Ilonggo; pre-tested

Done in 3 central locations

1 Field Manager; About 8 Field Supervisors; About 30 Field Interviewers


Institution

Data Processing Weighting scheme

SWS

Office editors conduct consistency checks; Encoding & Data table generation using SPSS; Done in-house starting 2nd quarter of 2005

Weights are computed and applied for each major area to come up with projected adults for 2005 based on the 1995 NSO census

PULSE

Office editors conduct consistency checks; Encoding & Data table generation using Surveycraft & SPSS; Done by TNS-Trends

Weights are computed and applied for each major area by locale to come up with projected adults for 2005 based on the NSCB projected adult population by locale

IBONNo office editors; Encoding & Data table generation using SPSS; Done in-house

No weighting schemes used

TI - ARO

Office editors conduct consistency checks; Encoding & Data table generation using SPSS or Excel or ASCII; Done in-house

No weighting schemes used


Surveys on Corruption conducted among Voting-Age Adults: Data Gathered

Institution

Items on corruption monitored

SWS

• Satisfaction with performance of natl govt on eradicating corruption (regular item)• Agencies perceived to be corrupt; perceived to be doing something to

curb corruption• Opinion on extent of corruption in the country• Awareness of private sector anti-corruption groups• Perceived extent of corruption in specific institutions; govt units;

sectors• Comparing extent of corruption among different administrations• Degree of effectiveness of government anti-corruption efforts and

policies• Degree of effectiveness of specific steps to curb corruption• Accuracy of media coverage on corruption• Personal experience on corruption•Who should be blamed for corruption: govt officials vs. businessmen

Surveys on Corruption conducted among Voting-Age Adults: Data Gathered (continued)

Institution


PULSE

• Most urgent national concerns (where corruption always ranks in the top 5) (regular item)• Improvement/deterioration of the issue on graft and corruption in

government• Approval rating of the national admin in fighting graft and corruption

(regular item)• Performance and trust rating of specific personalities & agencies (like

the Ombudsman)• Priority development Assistance Funds (PDAF) or Pork Barrel funds• 2004 Elections: Issues the next President should focus on • Corruption probes in the military; Describing graft and corruption in

government•Whether personally experienced or witnessed any instance of

corruption• Government agencies perceived to be with the most and the least

incidence of corruption

Surveys on Corruption conducted among Voting-Age Adults: Data Gathered (continued)

Institution


IBON

• Grading PGMA on combating corruption (from a low grade of 65% to a high of 95%; with 75% as he passing mark) [regular item]• Opinion on how severe corruption is in the Arroyo administration• Truthfulness in accusations that GMA engaged in corruption & cheating

in the elections

TI - ARO

• Effect of graft and corruption on one’s family life, business environment and political life• Change in level of corruption in the past 3 years• Expected change in the level of corruption in the next 3 years• Extent by which specific sectors are affected by corruption• Experience on paying bribes in the past 12 months• Approximate amount of money paid in bribes in the past 12 months• Situations which apply to the bribe paid for in the past 12 months

Surveys on Corruption conducted among Voting-Age Adults: Statistical Tools Used

Institution Statistical tools used to analyze data on corruption

SWS

• Frequencies, Mean, Median • Data can be tabulated by location, locale, age group, gender, and

other socio-demographic variables

PULSE

• Frequencies, Mean, Median • Data can be tabulated by location, locale, age group, gender, and

other socio-demographic variables • Upon request can do factor analysis, reliability tests and

regression runs

IBON• Simple average of grades given by respondents [from a low 65% to

a high 95%]

TI - ARO• Frequencies, Mean, Median [ARO directly submits to Gallup

International whose data is used as source by Transparency International]

Surveys on Corruption conducted among Voting-Age Adults: Highlights of Findings

Institution

Highlights of Findings

SWS

• National government performance on eradicating corruption usually ranks low • BIR, DPWH, BoC, LTO = perceived to be corrupt; Few can mention agencies which are reputable• Most opine that corruption in the country is widespread• Low awareness of private sector anti-corruption groups and even for Coalition Against Corruption (CAC)• Most perceive corruption in the national govt and the AFP to be significant• Current administration perceived to be have higher incidence of corruption than previous one and there are fears incidence is increasing (previous data had reversed results)• Government anti-corruption efforts and policies are perceived to be not as effective• Most suggested steps to curb corruption are perceived to be effective (some more than others)• Media coverage on corruption is perceived to be quite accurate• Few mention personal experience on corruption• Government officials and businessmen are equally to be blamed for corruption

Surveys on Corruption conducted among Voting-Age Adults: Highlights of Findings (continued)

Institution


PULSE

• Corruption always ranks in the top 5 most urgent national concerns • Corruption in government is perceived to be deteriorating rather than improving• Approval rating of the national admin in fighting corruption is low • The Office of the Ombudsman & the Sandiganbayan get fairly positive approval ratings • Personalities who have served as Ombudsman get negative to low positive trust ratings• High awareness for Pork Barrel funds; Majority perceive most of the funds go to corruption • In the 2004 elections, corruption is one of the top issues the next Pres. should focus on• About 1 in 8 had a personal experience in corruption; mostly in NCR and urban Visayas • High awareness and credibility of news on corruption in the military as well as perceived incidence • Corruption in any form is viewed by majority as never justifiable• DPWH, BoC, BIR, PNP, DepED = most corrupt; Majority can’t mention agencies which are not so corrupt


Institution


IBON

• Average grade of PGMA on combating corruption is 70%• Those saying corruption in the Arroyo administration is severe was 66% in Jan 2005, 82% in Oct 2005, and 77% in Jan 2006• 67% says there is truth to the accusations that PGMA is corrupt and cheated in the last elections


Institution Highlights of Findings

TI - ARO

• The most corrupt sectors mentioned in Asian countries are: political parties, parliament/legislature, police and tax revenue agencies • The Philippines is one of the lower-middle-income countries where

political parties is identified as the sector most affected by corruption• Among Asian countries, there is a significant level of concern regarding

corruption among taxation authorities and taxation institutions• The Philippines is one of the countries where the political life to a large

extent is affected by corruption • More than 50% of Filipino citizens felt business had been adversely

affected by corrupt practices• Most Filipinos perceive that corruption has affected their personal lives

to a significant extent• Filipinos are particularly discouraged by the recent prevalence of

corruption • Filipinos expressed strong concerns about future levels of corruption;

stating corruption has increased recently and expect things to continue worsening• Conversely, only 9% Filipinos have actually experienced incidences of

bribery• Given the relatively low incidence of actual experience in bribery, the

Philippine data did not yield meaningful results on amounts paid for bribery and situations where bribery usually happens

Surveys on Corruption conducted among Voting-Age Adults: Public DisseminationInstitutio

nPress releases Databank and Publications

SWSItems measuring corruption are not regularly included in press releases

Tables, charts, raw data on graft and corruption, for so long as no longer embargoed, can be accessed by the public for a fee; A few publications have corruption as the focus

PULSEItems measuring corruption are not regularly included in press releases

Tables and charts on graft and corruption can be accessed for a fee; Can make statistical runs for a fee but raw data cannot be accessed; No specific publication on corruption alone

IBON

Since 2004, grading the national administration on anti-corruption efforts is regularly included in releases

Tables and charts on graft and corruption can be accessed for free; raw data cannot be accessed; A few publications have corruption as the focus but not necessarily from surveys

TI - ARO

No releases are made by ARO; only TI makes releases as part of their Global Corruption Barometer

Results of surveys, tables and charts can be accessed in the TI website; Raw data not easily accessible

Surveys on Corruption conducted among Voting-Age Adults: Comments on SWS Methods

• Allocation for non-quota provinces in Balance Luzon & Visayas should be reconsidered because this can slightly skew the sample since sampling done is not at the regional level

•Urban area coverage using landmarks as starting points should be reviewed because it may tend to concentrate samples in urban centers

Luzon Visayas Mindanao

Reg 1 1 Reg 6 2 Reg 9 1

CAR/Reg2 1 Reg 7 1 Reg 10 1

Reg 3 2 Reg 8 1 Caraga 1

Reg 4 3 Non-quota 1 Reg 11 1

Reg 5 1 Reg 12 1

Non-quota 2 ARMM 1

PROVINCES 10 5 6

SWS Urban coverage:

Starting points are the ff: • Municipal or brgy hall• Public elem. school• Brgy. Capt.’s house• Catholic church or chapel

• A separate group of Spot checkers (and not the Field Anchors) should be assigned to do quality control checks

Surveys on Corruption conducted among Voting-Age Adults: Comments on Pulse Asia Methods

•It may help to try and acquire the latest precinct maps of urban areas since 1990 COMELEC maps are still being used

•Reconsider random selection of barangays since populations may now greatly vary among barangays in a municipality

•Monitoring of substitution rates may be necessary

Surveys on Corruption conducted among Voting-Age Adults: Comments on IBON Survey Methods• There is a great need to be cautious of results from surveys IBON conducts because of the following:

Province selection does not consider population size

No uniform instructions on how to select sample households

Lack of a systematic means to select respondents in a household

Little quality control mechanisms

Having volunteers as interviewers may be disadvantageous to quality accomplishment of questionnaires

Individual personal translations in the vernacular languages by interviewers can lead to biases

No substitution or replacement rules

Tendency to be a haphazard survey of housewives (not adults)

Surveys on Corruption conducted among Voting-Age Adults: Comments on TI Surveys conducted by ARO

• Sample dispersion tends to be limited because of:

restricted number of provinces, cities/municipalities, barangays covered

shorter intervals applied between households when selecting them

greater number of households are included in a specific sample area

• Sample bias is for urban areas given that population sizes here are bigger and thus have a greater probability of being included.

Generalizations on the validity of the surveys

SWS, Pulse Asia and ARO surveys can be considered scientific, valid measures of corruption with the following caveats:

SWS results in urban areas would tend to be affected given their area coverage method here Pulse Asia results can be affected by high substitution rates ARO results should only be interpreted at the national level and its results may tend to reflect urban sentiments

IBON surveys cannot be claimed to represent opinions of Filipino adults

Insights from Data Results Statistical runs from available raw data indicate the ff:

Trust in institutions is critical to managing public perceptions on anti-corruption efforts

Media reports on corruption and media access have significant impacts on perceptions

Younger adults are more susceptible to negative perceptions on corruption

The upper and middle class tend to be most affected and most pessimistic about ability to resolve corruption

Surveys by and large do not have an exhaustive framework for critically looking into all possible predictors of opinions on government anti-corruption efforts

Survey items usually included are dependent on client’s or sponsor’s (or even the institution’s) priority needs for monitoring and are often restricted because of limited funding sources

SURVEYS ON CORRUPTION IN THE PHILIPPINES WITH

BUSINESS LEADERS AS RESPONDENTS

Surveys on Corruption conducted among Businessmen or Expatriates

Institution Name of Surveys Type of Respondents

Social Weather Stations (SWS)

Survey of Enterprises (SE)

Filipino managers in NCR; Cebu; Davao; Cavite/Laguna/Batangas; CDO/Iligan

Makati Business Club (MBC)Executive Outlook Surveys (EOS)

MBC members (mostly businessmen in NCR)

Political Economic Risk Consultancy (PERC)

Corruption in Asia ReportRegional Managers (Mostly from Hong Kong and Singapore)

Trends in corruption in the Philippines

Philippine Expatriates from list of foreign chambers in the Phils.

Risk Analysis ReportsNone (Assessments done by risk analysis experts)

Transparency International [CPI=independent institutions conduct their surveys][BPI=implemented in the Phils. by Asia Research Organization – ARO, a Gallup Intl affiliate]

Corruption Perception Index (CPI)

RP data = 12 surveys of business people and assessments by country analysts from 8 independent institutions (see next pages)

Bribe Payers Index 2002 (BPI)

Senior executives of domestic and foreign companies in 15 emerging market economies

Surveys on Corruption conducted among Businessmen or ExpatriatesIndependent Institutes: TI CPI Sources for RP data

Surveys on Corruption conducted among Businessmen or ExpatriatesIndependent Institutes: TI CPI Sources for RP data (continued)

Surveys on Corruption conducted among Businessmen or Expatriates: Methods

Institution

Sponsors Survey ScheduleLevel of Analysis

SWS-SETransparent Accountable

Governance (TAG) project

Usually 1st few months of the year (Jan to April) = from 2000 to 2006

NCR, Cebu, Davao, Cavite/Laguna/Batangas; CDO/Iligan

MBC-EOS Makati Business ClubSemestral (Jan and Oct of every year)

MBC members

PERC Corruption in Asia Government institutions;

Foundations; Funding Agencies; Business

Groups

First time ever – November 2005

Refers to Philippines as a country

PERC Trends in corruptio

n

Usually January to February


TI – CPIGovt Dev Orgs;

Institutes; Foundations; Public Institutions;

Global Corporations; Private sector and

Individual Donations

Varies by independent institutions


TI – BPI-ARO

First quarter 2002 NCR

Surveys on Corruption conducted among Businessmen or Expatriates: Methods (continued)

Institution

Methodology Sample Sizes/MOESelection of respondents

SWS-SEPanel survey (face-to-face interviews)

300 to 500 = NCR; 100 = Cebu; 100 = Davao; 75 = CDO/Iligan; 75 = Cavite, Laguna Batangas (CALABA)

Simple Random Sampling for first survey; Panel design for succeeding surveys

MBC-EOSMail survey (self-administered surveys)

About 100 / No MOEs applied

All MBC members are sent qres & response rates are about 9% to 13%


Institution

Methodology Sample Sizes/MOESelection of respondents

PERC Corruption in Asia

Face-to-face interviews for some; mail survey for others


Random selection from a secured list of regional managers of top 500 companies (Mostly from HK & Singapore)

PERC Trends in corruption

Mail survey (self-administered surveys)


All those in a secured list of Phil expats are sent qres & response rate is about 10%

TI – CPI

Independent agencies have their own methods (usually mail or telephone surveys)

May vary across independent institutions

May vary across independent institutions

TI – BPI-ARO

Face-to-face interviews

About 100 (for NCR data)

Simple random sampling for each major sector


InstitutionSubstitution

rulesQuality controls Questionnaires

SWS-SEReplacements in cases of refusals

10% Field observations; 20% Spot-checking of unsupervised interviews

Face-to-face interviews; FGDs conducted to finalize survey agenda; Translated in Tagalog & Cebuano

MBC-EOSNo sub rules; Dependent on response rates

Minimal follow-upsSelf-administered by respondents and mailed or sent via fax to MBC

Surveys on Corruption among Businessmen or Expatriates: Methods (continued)

InstitutionSubstitution

rulesQuality controls Questionnaires


Replacements in cases of refusals

Minimal spot-checking

Face-to-face interviews; Some mailed responses; Only answers questions on the Phils. if they have business interests here


No sub rules; Dependent on response rates

Minimal follow-upsSelf-administered and mailed back to PERC

TI – CPIMay vary among different agencies

May vary among different agencies

May vary among different agencies

TI – BPI-AROReplacements in cases of refusals

Minimal follow-upsFace-to-face interviews; Taglish may sometimes be used


Institution Data processingWeighting

schemeFuture plans

SWS-SE SPSS; Done-in-house

In every study area 1/3 large companies & 2/3 SMEs; None when data across areas are aggregated

MBC-EOSExcel; Manual counting for some items; Not all responses are encoded

None


Institution Data processingWeighting

schemeFuture plans


SPSS; Done in-house None

To expand the base & samples by major industry; Add more demographics including media access; Will wait for more feedback from clients re: suggestions


SPSS; Done in-house NoneTo include more demographics

TI – CPI

Independent research agencies do their own data processing and submit reports to TI-Berlin

Usually none

TI – BPI-ARO

SPSS; Done in-house None

Surveys on Corruption among Businessmen or Expatriates: Data Gathered (continued)

Institution


SWS-SE

Extent of corruption in the public and private sector In ones line of business, how many give bribes to win public & private contracts Transactions where company was asked for a bribe by government Reporting of incidences of bribery Perceived sincerity of govt agencies in fighting corruption Government agencies & businesses with good reputations for not being corrupt; bad reputations for being corrupt Incidence of always demanding for receipts, always issuing receipts, keeping one set of books only, paying taxes honestly Willingness to fund an anti-corruption fund Interest in supporting activities of anti-corruption groups Awareness of Coalition Against Corruption (CAC) Government projects companies are interested to monitor; Bids & awards committees companies are interested to join

MBC-EOS Important issues the President should address in the next 6 months (where corruption is included)


Institution Items on corruption monitored


• Likelihood of high government officials demanding special payments directly or through their family/friends

• Likelihood of civil servants and lower-level government officials demanding special payments or favors for such services as issuing business licenses, tax assessments, various permits and inspection certificates

• Effectiveness of judicial system in prosecuting, punishing individuals for uncovered corruption abuses

• Seriousness of govt to fight corruption• Average citizens’ tolerance for corruption• Extent of corruption in the private sector• Perceived trends in corruption• Extent of corruption being a deterrent to willingness to invest or expand business

• Extent by which corruption detracts from the attractiveness of the overall business environment


Institution Items on corruption monitored


• Seriousness of problem of corruption in the public & private sector• Effectiveness of judicial system in prosecuting, punishing individuals for uncovered corruption abuses

• Seriousness of govt to fight corruption• Average citizens’ tolerance for corruption• Perceived trends in corruption• Extent of corruption being a deterrent to willingness to invest or expand business

Surveys on Corruption conducted among Businessmen or Expatriates: Data Gathered (continued)

Institution


TI – CPI• Question items vary across independent institutions but often includes extent of corruption in the country

TI – BPI-ARO

• Likelihood companies from the specific countries are to pay or offer bribes in order to stay or retain business in this country

• Likelihood that senior officials would demand or accept bribes for public tenders, regulations, licensing in specific business sectors

• Two sectors where the biggest bribes are likely to be paid• Best description for the OECD Convention on combating bribery of foreign public officials in international business transactions (Anti-Bribery Convention)

• Manner by which organization is responding to the OECD Convention

• First solution to corruption if one had a magic wand• Sources of respondent’s information• Change in the level of corruption in this country in the past 5 years• Factors which affected changes in level of corruption in the past 5 years

• Means by which government gains unfair advantage• Top three governments associated with using other means to gain unfair advantage

Surveys on Corruption conducted among Businessmen or Expatriates: Statistical Tools Used

Institution Statistical tools used to analyze data on corruption

SWS-SE

Frequencies, Mean, Median Data can be tabulated by study area, gender, industry, employment size and other socio-demographic variables

MBC-EOS Frequencies, Mean, Median


Simple average


Simple average

TI – CPI Simple average

TI – BPI-ARO Frequencies, Mean, Median [ARO directly submits to Gallup

International whose data is used as source by Transparency International]

Surveys on Corruption conducted among Businessmen or Expatriates: Highlights of FindingsInstituti

onHighlights of Findings

SWS-SE

• Public sector corruption remains very high• Ratings of most agencies’ sincerity in fighting corruption are lower in 2005

• Exceptional bright spots are decreasing bribe-solicitation re (a) local govt. permits/licenses and (b) income tax payments

• Private sector corruption and failure to follow honest business practices continue

• Private sector willingness to fund an anti-corruption program has risen steadily

• Managers are enthusiastic about participating, even personally, in monitoring government projects and in government Bids and Awards Committees

• Conditions look favorable for ultimate success of the Coalition on Corruption

MBC-EOS• Corruption ranks first among the important challenges or issues the President should address in the next 6 months in most recent survey; Corruption always included in past surveys

Surveys on Corruption conducted among Businessmen or Expatriates: Highlights of FindingsInstituti

onHighlights of Findings


• Two main problems of the Phils with corruption are: 1) every level of govt & private sector is affected by corruption and 2) public relations dimension (rampant rumour-mongering & political mudslinging)

• Public’s extreme tolerance for corruption and widespread feeling of helplessness

• Perceptions of worsening levels of corruption makes companies say they approach the Phils with caution

• Problem may not be as bad as it looks but touches many parts of the system that it will be extremely difficult to root out


• Country is doing well despite political problems (May 2006 release) and it helps that the Philippines has stayed out of the news

• Foreign exchange remittances from OFWs greatly helping the economy

• Systemic risks (which includes the ff. variables: corruption, nationalism & cultural risks, institutional weakness) always garners the lowest in rating; this pulls the risk index higher

Surveys on Corruption conducted among Businessmen or Expatriates: Highlights of FindingsInstitutio

nHighlights of Findings

TI – CPI

• In the 2004 survey round, the Philippines ranks as the fifth most corrupt (together with Papua New Guinea and Vietnam) in the Asia Pacific. This has deteriorated compared to 2003 results.

• For the 2005 survey round, the Philippines ranks 117th in the world [lowest is ranked 158th]

TI – BPI-ARO (No specific report on RP only)

• Public works & construction, followed by armed and defence perceived to be most corrupt sectors

• Low level of awareness on OECD Anti-Corruption Convention• Courts perceived to be the best means to solve corruption (given a magic wand)

• Top sources of information are from colleagues, friends, clients; from press, media reports; from personal experience

• Level of corruption in past 5 years remained about the same• Public tolerance affected increases in incidence of corruption and greater press freedom affected decreases in levels of corruption

• US, France, UK: Top 3 governments said to be using other means to gain unfair advantage

Surveys on Corruption conducted among Businessmen or Expatriates: Public DisseminationInstitutio

nPress releases Databank & Publications

SWS-SEMedia writes reports on it after the public briefing is conducted

Data, for so long as no longer embargoed, can be accessed by the public for a fee

MBC-EOSWrite-ups regularly posted in website and is distributed to media

No archiving of data; Raw data not for public access; Executive Outlook Survey results published in website


One-page press release given to clients and not to media

Raw data not for public access; Consolidated report is for clients only (like TI) called Corruption in Asia Report


Associated France Press (AFP) buys the report and local media gets a copy from wire service reports (and are often misreported)

Raw data not for public access; Asian Intelligence Report; Philippine Risk Rating Update

TI – CPI

TI posts results in its website; Usually press gets a one-page summary of rankings in the world & the Asia Pacific

Results of surveys, tables and charts can be accessed in the TI website; Raw data not accessible

TI – BPI-ARO

ARO Releases are for selected clients and not for media; TI posts results in its website

Results of surveys, tables and charts can be accessed in the TI website; Raw data not accessible

Surveys on Corruption conducted among Businessmen or Expatriates: Comments on SWS Methods

• Simple random sampling instead of a panel survey every round should be considered

• Should consider the use of weights when aggregating responses of the different study areas

• May want to pursue the use of the sealed-envelope technique in interviewing especially for sensitive issues on corruption

Surveys on Corruption conducted among Businessmen or Expatriates: Comments on MBC Methods

• May want to improve method of collecting data; there is a need to ensure that those who answer the forms are the MBC members and are not accomplished by secretaries or assistants

• Although response rates are decent, there is a need to ensure that profile of sample reflects actual demographics of MBC members; Those who did not respond may be significantly different from those who responded

• Should consider a more advanced method of tabulating responses to improve quality control

• Should consider archiving their data

• Can possibly make generalizations about MBC members’ opinions but not necessarily all businessmen

Surveys on Corruption conducted among Businessmen or Expatriates: Comments on PERC Methods

• Demographics like nationality, sector, industry, media access and sources of information or basis for opinions should also be monitored. Items like incidences of actual bribery experience or first-hand stories can also be included.

• Reports should be qualified as opinions of regional managers who are mostly based in HK and Singapore and/or Philippine expatriates

• Although response rates are decent, there is a need to ensure that profile of sample reflects actual demographics of regional managers and Philippine expatriates

• Reports tend to mix analyst’s expert opinion with data culled from surveys

Surveys on Corruption conducted among Businessmen or Expatriates: Comments on TI-Phil. Methods

• Since independent institutions are the sources of the data, the differences in methods & target respondents may have its effects

• But these effects seem to be negligible when scores were standardized, averaged and subjected to beta transformations as well as correlations to create a more reliable index, thus validating the reliability of the results

• It would be great if they could include predictors of perceptions or variables measuring impact of media attention and sources of information in their analysis of the results

• Varying cultural contexts across countries may have its effects on how incidences of corruption are reported

Generalizations on the validity of the surveys

Not all the surveys follow strict probability methods for respondent selection

Caution should be exercised for results of surveys whose response rates may be decent but are not validated with demographics of population under study

Results should be qualified (or understood) as responses of a particular segment or type of businessmen and this differs for every institution conducting the surveys

The consistency of patterns in responses across institutions (even if they have different types of respondents & methods) somehow gives validity to the perceptions on corruption levels in the country

Insights from Data Results

Media reports have a big impact on perceptions

Word of mouth by colleagues and friends also affect perceptions

When looking at the 2005 TI-CPI RP data, the high-low range of scores is 2.3 to 2.8, indicating variability in responses and RP ranking may actually be between 97 to 130 (117) – but scores are still relatively low

Status of high profile corruption cases easily gets the attention of analysts, businessmen, and expatriates

Systems and efforts that will help sustain decreasing incidences of bribery in public transactions should be maintained

THE NATIONAL INTEGRITY SYSTEM (NIS)

A study by Transparency International- Philippines

2006

Background

• The concept of the National Integrity System (NIS) has been developed and promoted by TI as part of its holistic approach to countering corruption.

• The NIS consists of the key institutions, laws and practices that contribute to integrity, transparency and accountability in a society. When it functions properly, the NIS combats corruption as part of the larger struggle against abuse of power, malfeasance, and misappropriation in all its forms.

• The NIS approach provides a framework with which to analyze both the extent and causes of corruption in a given national context, as well as the adequacy and effectiveness of national anti-corruption efforts.

• By diagnosing the strengths and weaknesses of a particular integrity system, an evaluation based on the NIS can help inform anti-corruption advocacy and reform efforts.

Background (continued)

• Executive• Legislature• Political Parties• Electoral Commissions • Supreme Audit Institution • Judiciary • Public Sector • Police and Prosecutors

• Ombudsman• Anti-corruption agencies• Media• Civil Society• Private Sector• Regional and Local Government• International Institutions• Public Procurement

• The main ‘pillars’ of the NIS are considered to be the following:

What is the National Integrity System

• TI’s National Integrity System (NIS) country studies are qualitative reports that provide a detailed and nuanced assessment of anti-corruption systems at country level.

• Via these studies, TI aims to provide an overview of the National Integrity Systems in countries from all regions of the world.

• The studies provide both benchmarks for measuring further developments in these countries, and a basis for comparison among countries.

• TI believes it is necessary to understand the provision for and capacity of National Integrity Systems to be able to diagnose corruption risks.

TI-Philippines: Goals of the NIS Project

• The Philippine Chapter of TI is the one spearheading the study

• Their goals are to…

• Undertake a survey regarding the basic state pillars and bring recommendations on how to reduce corruption in this institutions

• Publish the survey in National Integrity System Study in English language

• Promote results of National Integrity System Study trough mass media

• Stimulate broader public discussion on anti-corruption issues

• Strength the rule of the law

• Improve accountability and transparency of the public sector

TI-Philippines: Project Activities

• Investigation of the corruption phenomenon on the ground i.e. in 11 basic state pillars (Government, Parliament, Judiciary, Prosecutors, Police,)

• Printing of the National Integrity System Study

• Media presentation

• Distribution of the Study

TI-Philippines: Methods Used

• Dr. Gabriella Quimson (of the Griffith University) is the consultant of TI Philippines on this project. She had accepted a 6-month project with AUSAID.

• In a recent interview via phone (to Australia) she says she would not yet be in a position to disclose details on methodology and results until the project is completely finished and TI gives the go signal

• A focus group discussion was held in late June 2006 to present the initial results to various stakeholders but this did not prove to be productive enough for concrete validation of results

• According to a 2-page summary of the initial results, the study utilized institutional research and news reports to gather data for the study and interviews were no longer conducted

• The report has not been finalized and a summary of findings is the only available release on the study

• A second draft of the report is being prepared and more FGDs for validation of results will be conducted among stakeholders in the coming months

Comments on the TI-Philippines’ Method for the NIS Study

• The failure of Dr. Quimson to be there during the presentation of initial results has been a great factor in the inability to explain in great detail the methods used and conclusions reached by TI-Phils for the study

• The initial plan to conduct in-depth interviews would have been a good parallel method together with institutional research and gathering of data from news reports (the latter was cited as the method used based on the 2-page summary released)

• It would be essential to get hold of a copy of the full report before any comprehensive assessments of the methods and the findings of TI Phils for the NIS study can be made

•A second draft of the report is being prepared and FGDs will again be held to present the results to various stakeholders before the report is finalized -- which can shed better light on methods used

SUGGESTIONS

Suggestions TO GOVERNMENT

Govt agencies have to have a clear, comprehensive and inter-linked plan for combating corruption and disseminate to the public in simple layman’s terms Govt institutions should aggressively & unceasingly trumpet gains in anti-corruption efforts in the tri-media A regular TV, radio, newspaper blitz or peryodikit in barangays on anti-corruption programs & updates should be sustained Hotlines for reporting cases of corruption should be propagated and popularized School curricula should incorporate values which would foster a society intolerable to corruption Linkages and joint efforts of religious and civic organizations with govt should be popularly disseminated Strong grassroots (barangay level) support to create a continuing momentum for anti-corruption efforts Broadcast or publish names of people with cases of graft and resolution (updates) reached on these cases

Suggestions TO GOVERNMENT

Actively encourage business to participate in anti-corruption activities (sit in bidding and awards committees, contribute to anti-graft funds, etc.) and acknowledge their anti-corruption efforts

Have a database of members of the business community, regional managers (especially in HK and Singapore), expatriates & their respective networks and create a regular means of updating them of government’s anti-corruption efforts through an email system or newsletter distribution

Follow through the corruption fund they are willing to put up in order to strengthen anti-corruption efforts and plan with them who, how and where it should be disbursed

Set-up a regular schedule of meeting with business or be included in their forums where govt can inform them of recent actions, solicit their assistance and suggestions

Know where businessmen are susceptible to corruption and focus anti-corruption efforts there [Mine the survey data]

Transactions to watch out for: local & national govt permits and licensing, income payments, import/export regulations, receivables from govt [simplifying processes and transactions will greatly help]

Sectors to watch out for: construction, defence, import/export, logging & lumber

Agencies to focus on: BIR, BoC, DPWH, AFP, PNP, DENR, LTO

Make business groups & networks realize the importance of promoting strong private sector (business) ethics to help prevent corruption

Suggestions to the PRIVATE/BUSINESS SECTOR

Continue to be active in anti-corruption efforts especially in sectors

vulnerable to corruption (construction, defence, import/export, logging &

lumber) and in crucial agencies (BIR, BoC, DPWH, AFP, PNP, DENR)

Take steps to make the plans for an anti-corruption fund realizable

Undertake mechanisms for policing own ranks against corruption by

practicing strong business ethics and corporate governance within their

spheres of influence

Be more diligent in demanding for receipts, always issuing receipts,

keeping one set of books only, and paying taxes honestly

Suggestions to SURVEY RESEARCH COMPANIES Be more transparent and comprehensive in reporting research methods used for

studies made public

Consider archiving data results so that they may be validated and/ or mined by

other interested parties

Continually assess, evaluate and improve methods of research (from sampling to

questionnaire design to data processing and analysis) so that credibility and integrity

will be protected

Be meticulous in applying error margins and confidence intervals when interpreting

survey data results [Note: Standard error margins and confidence intervals used are

applicable only to methods using simple random sampling (SRS) and therefore

allowances should be made for multi-stage methods]

Exercise caution in reporting survey findings and making generalizations and

conclusions when non-probability methods are used

Suggestions to MEDIA

Take pains to report properly survey methods used and survey results; being wary of sound bites which may be misleading

Exercise more responsibility in doing further research on studies on corruption rather than taking everything at face value as reported by the survey firms

Consider good news (positive actions, improved efforts, encouraging updates) in the battle against corruption equally as important to report and publish as the negative news on corruption

Give as much space and airtime to positive developments and news in the fight against corruption as a means to encourage integrity champions and honest officials & employees in government

Focus reports not only on corrupt national officials but also against corrupt local executives, corrupt businessmen and corrupt private individuals

Suggestions to CIVIL SOCIETY

Continue efforts to help the public sector in its difficult task of fighting corruption by:

• Assisting in info-dissemination on ways to prevent corruption

• Propagating gains in anti-corruption efforts

• Being critical of government lapses but proactive in its efforts and suggestions to help curb corruption

• Being active in joint efforts with government like participation in Biddings and Awards Committees (BACs)

• Explore other creative means of participation in boosting anti-corruption efforts especially those that will encourage integrity champions and honest government officials and employees

• Aid in gathering evidences not only against corrupt national officials but also against corrupt local executives, corrupt businessmen and corrupt private individuals

END OF PRESENTATION

Maraming Salamat po!

reverse engineering of local & international surveys on corruption in the philippines

Documents

asia foundation

ibon foundation

perceptions of corruption

facets of corruption

measuring corruption

anticorruption efforts

data sets

international development