COORDINATION OF INNOVATION

COORDINATION OF INNOVATION

Innovation and invention are words often tossed around interchangeably, yet they are far from being one and the same. This confusion mirrors another common mistake: thinking that an entrepreneur and a businessman are also identical creatures of commerce. These terms represent distinct roles that, while sometimes overlapping, are fundamentally different.

True, all innovators could be inventors, but not all inventors are innovators. In the same way, all entrepreneurs could be businessmen, but not all businessmen are entrepreneurs. An innovator refines or reimagines an existing idea, while an inventor creates something entirely new. Consider the smartphone: it wasn’t an invention, but an innovation building upon the earlier mobile phone. Similarly, entrepreneurs take the bold steps to build something new—often paired with innovation—while businessmen manage enterprises, sometimes without a shred of innovation, simply following well-trodden paths to profitability.

With that distinction made clear, we turn to the question at hand: Which government agency should coordinate innovation in the Philippines?

According to Republic Act 11293, it is the National Innovation Council (NIC) that is tasked with “steering” government coordination and collaboration on innovation. But what does “steering” really mean here? To steer implies not just guiding, but actively leading and coordinating the efforts across a vast government machinery—no easy task when innovation must touch all areas of society.

The NIC operates under the newly created Department of Economy, Planning, and Development (DEPDEV), established through Republic Act No. 12145 in 2025. DEPDEV, which evolved from the old National Economic and Development Authority (NEDA), is now a full-fledged executive department, no longer chaired by the President, as NEDA was. Interestingly though, the NIC remains chaired by the President of the Philippines, and technically, still sits under DEPDEV.

This setup begs several important questions: What will happen to the NIC now? Should it remain under DEPDEV? Should the President continue to chair it?

In my humble opinion, the NIC should now be chaired by another cabinet official—and  it should  no longer be placed under DEPDEV. That is in line with my advocacy that the President should no longer chair any agency or council, but have the chairmen of these agencies or councils report to him instead.

Innovation, by its very nature, cuts across all sectors and departments. It is not a "line function" like finance or agriculture, but rather a "staff function" that supports and enhances all government activities. In the private sector, the differentiation between line and staff functions is widely practiced; sadly, the same cannot be said for the public sector.

All government departments must innovate—thus, innovation should not be locked within any single department’s turf. If DEPDEV oversees innovation, it risks narrowing innovation to economic planning and development alone, when in truth, it should permeate health, education, infrastructure, defense, and every other area of governance.

Therefore, I propose that the NIC should be placed directly under the Executive Secretary. In many ways, the Executive Secretary acts like a Prime Minister—coordinating Cabinet activities and ensuring the smooth flow of government operations. Having the NIC directly under the Executive Secretary would guarantee that innovation remains a top agenda item across all departments, visible at the highest levels of government decision-making.

This change would ensure that innovation is not only preserved but is elevated to the importance it deserves—strategically coordinated, properly prioritized, and deeply integrated into every fiber of government service.

The Philippine Innovation Act already lays out a strong foundation, encouraging an ecosystem that supports micro, small, and medium enterprises (MSMEs), investing in education and research, and fostering a knowledge-based economy. Agencies like the Commission on Higher Education (CHED) have their vital roles too, particularly in boosting research and development in universities, ensuring that the next generations are not just educated but innovative.

But coordination is key—and for innovation to truly thrive across our nation, it must have a central, empowered, and visionary home.

In closing, innovation is not just about creating new gadgets or apps; it is about making our systems, institutions, and lives better. It is too critical to be left fragmented or siloed within a single department. Let us give it the leadership, the visibility, and the coordination it truly needs.

Ramon Ike V. Seneres, www.facebook.com/ike.seneres

iseneres@yahoo.com, 09088877282, senseneres.blogspot.com

06-07-2025