Boosting the Philippine Economy through Sustainable Tourism

By Fernando Martin Roxas, John Paolo Rivera, and Eylla Laire Gutierrez

Sustainability has become a concern in the travel and tourism industry. Stakeholders need to fully understand the issues, identify the root causes of the problem, and create interventions that will involve multiple sectors. However, understanding how sustainable tourism works is complex due to the compounded issues persisting. Hence, we use the systems thinking approach because of its ability to identify the underlying structures that influence sustainable tourism development.


Applying Systems Thinking to Sustainable Tourism

More than an industry, tourism is considered a system characterised by complex relationships among interacting actors, stakeholders, environments, as well as the actions done in the past and in the present, and future trends. This includes factors such as government policies, economic competition, and local community participation, among others. Thus, tourism is best understood using a Systems Thinking (ST) approach. By providing a systemic and holistic view of tourism, ST shows how the industry relates with other systems in relation to the whole. Through this approach, the nodes at which intervention is needed, the modes, and the actors to be involved in an intervention are properly identified.

Tourism has emerged as a critical sector generating economic growth and development across countries in the world. According to the World Travel and Tourism Council (WTTC), in 2017, tourism accounted for about 10.4% (USD 8 trillion) of global Gross Domestic Product (GDP), 5% (USD 1 trillion) of total investments, 7% (USD 1.5 trillion) of the world’s exports, and 1 in 10 jobs (313 million jobs) in the global economy. Also, in 2017, the United Nations World Tourism Organisation (UNWTO) World Tourism Barometer reported that international tourist arrivals increased by 7%, which is expected to continue in 2018 at a rate of 4% to 5%. To support this momentum, efforts and initiatives have been made to pursue sustainable tourism. Sustainable tourism here is understood as the triple bottom line framework (i.e., people, planet, profit) defined as the synergy between and among the social, environmental, and economic facets of tourism. This requires concerted and cooperative efforts among stakeholders in the industry.

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About the Author

Fernando Martin Roxas, D.B.A. is a Full Professor at the Asian Institute of Management (AIM). He teaches Operations Management, Quantitative Analysis, Systems Thinking, Project Management, and other basic modules in the Degree and Executive Learning Programs of the Institute. He is also the Executive Director of the Asian Institute of Management (AIM) – Dr. Andrew L. Tan Center for Tourism. He obtained his Doctor in Business Administration from De La Salle University, Manila, Philippines. Email: [email protected]

John Paolo Rivera, Ph.D. is the Associate Director of the Asian Institute of Management (AIM) – Dr. Andrew L. Tan Center for Tourism. Prior to joining AIM, he was Associate Professor at the School of Economics of De La Salle University, Manila, Philippines, where he also obtained his Doctor of Philosophy in Economics. Email: [email protected]

Eylla Laire Gutierrez is a Research Coordinator of the Asian Institute of Management (AIM) – Dr. Andrew L. Tan Center for Tourism. Prior to joining AIM, she served as intern at the Konrad Adenauer Stiftung (KAS) Philippines. She is currently completing her Master of Arts in Development Policy at De La Salle University, Manila, Philippines. Email: [email protected]


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The views expressed in this article are those of the authors and do not necessarily reflect the views or policies of The World Financial Review.