Governance and Ethics

INTEGRITY PLEDGE for Certified Public Accountants (CPAs)



Integrity Initiative  Memorandum of Agreement




Integrity Pledge Integrity Pledge1 Integrity Pledge2

The new CPAs took their Integrity Pledge during their oath taking in PICC on November 22, 2015. The Integrity Pledge is an expression of commitment by the CPAs to abide by ethical business practices and to support a national campaign against corruption.

BoA member, Hon. Concordio Quisaot led the new CPAs in reciting the Integrity Pledge. Mr. Ramon del Rosario, the chairman of the Integrity Initiative, Inc. (III), briefed the audience on the background and directions of the III.

Previously, the BoA, PICPA, and ACPAPP signed a memorandum of agreement with III) to support the III initiatives. III is a private sector-led institution spearheading a campaign dedicated to strengthen ethical standards of society by operating on the principles of inclusion and collective action. This is led by the Makati Business Club, the European Chamber of Commerce of the Philippines, and other organizations



As part of the new directions on the accreditation of the professional organization (APO), the Board of Accountancy will annually be reviewing the performance of the APO or PICPA and determining if PICPA has faithfully pursued its mandate. This review will then be the basis for effecting improvements in the system.

“We have scheduled a meeting on September 12 to discuss with the officers and directors of PICPA their attainment of the expectations and requirements of their members and the BoA. We have asked PICPA to submit pertinent documents as part of our review on activities in terms of governance, prudent financial management, addressing the needs of members, and compliance and attainment of its mandate,” BoA Chairman Joel Tan-Torres said.

“Relative to this, we urge all members of PICPA to give us feedback on matters which they would want to be addressed in this review. Is PICPA or your chapter able to address your concerns? Is there any area of improvement that can be implemented in the PICPA operations? Let your voice be heard in this exercise,” Chairman Tan-Torres said.

Comments can be submitted or emailed to or communicated to any member of BoA before September 10, 2015.




The PGS Committee, headed by Chair Noemi Villaruz, met with the Institute for Solidarity in Asia (ISA), headed by Executive Director Chris Zaens, to discuss the Institutionalization Evaluation Report prepared by ISA. This was held in PICPA Shaw on October 6, 2015, with more tha 20 accountancy leaders attending, including BoA Chairman Joel Tan-Torres, Hon. Gerard Sanvictores, SEC Commissioner Antonette Ibe, and AFA President Estelita Aguirre.

The ISA presented the evaluationthe efforts of the accountancy profession towards institutionalization of the PGS. These included observations on the Basic Governance Documents, Cascading to Strategic Units, Universalizing Cascading, Unit Governance Practices, Governance Culture Program, Office for Strategy Management (OSM), Multi-sector Governance Council (MSGC) , Technical Working Group, Governance Culture Program, Governance Sharing Initiative. The ISA noted the improvements that are needed for the OSM and MSGC.

“We pointed out to ISA of the unique situation of the accountancy profession and why the observations on the OSM and MSGC structure may not be appropriate for the profession. We emphasized that the present leadership and stakeholders structure and focus in the profession have been addressing the requirements on strategy management and stakeholders involvement that is required under the PGS framework,” said Chairman Tan-Torres. The other members of the PGS Committee, including Commissioner Ibe and Dr. Cesar Mansibag also provided their insights.

It was agreed that the issues raised by ISA will be addressed and documented by the PGS Committee. The original “revalida” date of October 20 and 21, 2015 for the Institutionalization will not be feasible anymore and instead a November 2015 schedule has been proposed.

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The review of the performance of the PICPA in its application for renewal of its accreditation as the Accredited Professional Organization (APO) was compleded with the Board of Accountancy conducting a four hour discussion with the officers and directors of the PICPA on September 12, 2015 in PICPA Shaw. The BoA was represented by Chairman Joel Tan-Torres, Vice Chair Gloria Baysa, Hon. Samuel Padilla and Concordio Quisaot. PICPA was led by President Dominador Barrion.

PICPA had earlier filed its application for renewal of the accreditation with PRC and BoA when this lapsed last October 2014.

“Henceforth, the BoA is implementing a policy that the APO will undergo an annual evaluation by the Board of its performance and accomplishment in pursuing its mandate as a pre-condition for the APO to retain its accreditation. Through this process, the BoA would ensure that the APO is implementing good governance and management practices in faithfully discharging its mandate as the recognized APO of the profession,” said Chairman Joel Tan-Torres.

For the evaluation, PICPA submitted documents required by BoA as indicated in its letter dated July 23, 2015, including a financial report, report on compliance with BoA initiatives, listing of governance activities put into place and others.

At the end of the revalida, the BoA required the submission of papers on the Accountancy Law provision on the PICPA membership of CPAs, the need for a PICPA Academy, the process on the approval of position on national issues, the justification for the National Board composition, and others.

The BoA will then decide if the renewal of accreditation of PICPA will be approved.


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The seminar entitled “Make Integrity Work for You” was held on September 26, 2015 in PICPA Shaw with over 90 attendees. The seminar was organized Dean Elenita Cabrera, the Chair of the IIA Committee of PICPA.

BoA Chairman Joel Tan-Torres, Mr. Jose Solomon Cortez. the Executive Director of the Integrity Initiative Inc. (II Inc.), and Dr. Franciso Roman, the Executive Director of the Starr Center for Corporate Governance, were some of the speakers in the seminar.

“This seminar comes after the signing of the Memorandum of Understanding (MOU) of BoA with II Inc., PICPA and ACPAPP on September 14. The MOU provides that the public accountancy sector committing to work together to uplift ethical business and governance practices in the profession,” said Chairman Tan-Torres.

“The BoA will soon be issuing rules requiring CPAs in public practice to sign the Integrity Pledge and pursue the Integrity Compliance Framework as a condition for renewing or getting their accreditation with PRC and BoA,” said Chairman Tan-Torres.

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The accountancy profession concluded a momentous event when the heads of three accountancy organizations joined with Integrity Initiative Inc.  to sign a Memorandum of Understanding (MOU) that will enhance the commitment to transparency and ethical business practices in the profession.

BoA Chairman Joel Tan-Torres, PICPA President Dominador Barrion, ACPAPP President Cherrylin Javier, Integrity Initiative Inc. Gregorio Navarro signed the MOU in the presence of more than 50 CPAs who attended the Integrity Forum in the Hotel Intercontinental last September 14, 2015.

“This is a precedent setting event since for the first time, a professional sector is commiting to work together to uplift ethical business and governance practices. Whereas before the signing of this agreement, those joining this integrity initiative are single organizations, now the entire accountancy profession is now accepting this important challenge,” said Chairman Joel Tan-Torres.

The integrity initiative is a multisectoral campaign that seeks to institutionalize integrity standards among various secotrs of society. Led by the private sector, those involved in the initiative go to a process that will uplift their governance practices beginning with the signing of the Integrity Phase.

“The Board will thereafter require all applicants for accreditation, specially those CPAs in public practice, to sign up for the Integrity Pledge and undertake the subsequent inegriity initiative processes,” Chairman Tan-Torres said.

Vice Chair Gloria Baysa, Hon. Samuel Padilla and Concordio Quisaot were there to witness the event.

Further details on the integrity initiative can be obtained at

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The Institute for Solidarity Asia(ISA) will be holding the Performance Governance System Revalida Presentations for several institutions during the Performance Governance Summit from October 20 to 21, 2015 in the Philippine International Convention Center.

Chairman Joel Tan-Torres was interviewed by ISA representatives Ryan Patrick Evangelista and Jonas Trinidad last September 2, 2015 to discuss the progress of the accountancy profession to date in achieving its Performance Governance System(PGS) targets. This interview and a Focus Group Discussion conducted with several PGS committee member are part of the preparation for the Revalida.

“The final phase of the PGS process is the institutionalization elevation of our profession which we hope to achieve after the revalida process in the Summit. This wil be a crowning achievement for the accountancy professions which will be the first profession to attain this,,” said Chairman Tan-Torres.

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What is the PGS?

The Performance Governance System (PGS) is a performance management framework that builds on the potentials of organizations, allowing them to implement strategic projects to achieve and sustain their goals.

Through a credible assessment and audit process, ISA recognizes the level and extent by which an organization systematizes and integrates good governance in its processes and objectives, and recognizing them from Initiated, to Compliant, to Proficient, up to Institutionalized levels.

In 2009, our profession was awarded the Proficient level. We are now in active pursuit of achieving a milestone, the INSTITUTIONALIZED LEVEL, which no profession has yet attained.

May we therefore count on you to join and be a part in pursuing this worthy goal?

How to Participate

Take the time to read and assimilate the attached powerpoint presentation “Accountancy Roadmap.”

Be aware of our Vision, Mission, Core Values, Strategic Outcomes, Core and Support Processes which comprise our Strategy. The slide below tells of our Strategy Story:

What to Expect

You may be selected to answer survey forms and be interviewed by ISA auditors in the coming weeks, as to your understanding and adherence to the vision, mission, core values and strategy of the Profession.

It will not be an examination.  The ISA auditors would like to assess whether you know, believe and contribute to the achievement of our vision, the exercise of our mission, and the participation in core and support processes to achieve our strategic outcomes.

A Final Note

Achieving the INSTITUTIONALIZED level will bode well in our profession’s preparation for the ASEAN Economic Integration in 2015, and foster unity among the CPAs by collectively striving to attain the strategic objectives.  Further, this will serve as a constant reminder and inspiration to the Filipino CPAs in all parts of the country and abroad that good governance is worth our efforts, and alive and well in our hearts and minds.

This is not a project of PICPA only but of the Professional Regulatory Board of Accountancyand the other sectoral organizations:  ACPACI, ACPAPP, GACPA and nACPAE.

The institutionalization of the PGS in the Accountancy Profession is through the collective efforts and cooperation among its various sectors, as follows:

The PGS Committee/Technical Working Group

Ms. Noemi L. Villaruz, Chair

Ms. Rosario Q. Yu, Co-Chair

Dean Estelita C. Aguirre, Head of TWG

Ms. Connie O. Cadelina

Mr. Aphat C. Martinez

Mr. Leonardo D. Cuaresma

Dean Ester F. Ledesma

Dean Elenita B. Cabrera

Ms. Ruby R. Seballe

Dr. Cesar Mansibang

Mr. Eugene V. Villaceran, Head of Office of Strategy Management

Ms. Sonia M. Golez, Liaison Director, PICPA

Sectoral Organization Presidents

Mr. Omar G. Ampongan,

National Association of CPAs in Education

Mr. Edward L. Roguel,

Association of CPAs in Commerce and Industry

Ms. Cherrilyn M. Javier,

Association of CPAs in Public Practice

Mr. Willy Agito,

Government Association of CPAs

MultiSectoral Governance Council

Hon. Lourdes Castillo, Commission on Audit, Chair

Hon, Antonieta F. Ibe, Securitites and Exchange Commission

Atty. Cherry Bernaldo, Management Association of the Philippines

Hon. Christy Barroga, Bureau of Internal Revenue

Dr. Benjamin Macatangay, Commission on Higher Education

Hon. Pamela Pitas, Insurance Commission

Hon. Helen Garcia, Insurance Commission

Ms. Gema Cheng, Financial Executives of the Philippines

Mr. Rushnell de Vera, National Federation of JPIA


Hon, Antonieta F. Ibe, Securitites and Exchange Commission

Atty. Eugene T. Mateo, Former Chair, Board of Accountancy

Mr. Dominador A. Barrion,National President, PICPA

Ms. Tita A. Caluya, Past National President, PICPA

Ms. Josefina G. Chua, Past National President, PICPA

Atty. Josefe Sorrera-Ty, Past National President, PICPA

Mr. Pio L. Baconga, Past National President, PICPA

Ms. Violeta J. Josef, Past National President, PICPA

and PICPA Foundation President

Professional Regulatory Board of Accountancy

Hon. Joel L. Tan-Torres

Hon. Gloria T. Baysa, Vice-Chair

Hon. Gerard B. Sanvictores, Member

Hon. Samuel B. Padilla, Member

Hon. Concordio S. Quisaoat, Member

Hon. Eliseo A. Aurellado, Member



The PGS of the Accountancy profession is a flagship program of the BoA, PICPA and other accountancy stakeholders in coordination with the Institute for Solidarity in Asia. The aim of the PGS is raising the standards of performance governance in the accountancy profession through organizational reforms and shared responsibility as its contribution to national development . Through this PGS, certain  break through  results, stratregic outcomes, corecore process strategies and suppor processes have been established and quantified which will be used  to evaluate the results of these efforts of the profession.

“Though all of us in the profession should be focused on attaining the numbers specified in the strategic outcomes, we should always be conscious that the important outcome expected from our PGS efforts is to upgrade the status and the level of performance of the accountants in our profession that will correspondingly result in these accountants being able to better address the requirements of all their stakeholders.  This “true” objective and thrust of the institutionalization of the profession should be communicated to the various PICPA chapters and sectoral organizations.  If we are able to do this, there will be “ture” reform and improvements in particular, in our organization, and in general, in our accountancy profession,” Chairman Joel Tan-Torres said.

The Accountancy profession is preparing for the final stage – the INSTITUTIONALIZATION Level in the PGS, with the conferment expected by October of 2015. The PGS Committee in PICPA, headed by Noemi Villaruzuz, is spearheading the efforts for this initiative

For more information about the PGS, visit the Facebook of 2015 PGS Roadmap of the Accountancy Profession


Hon. Concordio Quisaot, PRC Board of Accountancy Member for the Performance Governance System 2015



In preparation for the upcoming Institute for Solidarity in Asia Audit of the accountancy profession on Octber 2015, we continue with this Series of Short Bits of Information on the status of the Performance Governance System (PGS) in our Profession, as of this date.

We have a working Office of the Strategy Management that oversees the implementation of the PGS endeavour and strategic management of initiatives, in cooperation with the PGS Committee and the Technical Working Group composed of cross-sectional teams of different disciplines of the profession:

Our OSM Team for FY 2015-16
Eugene V. Villaceran, Head of OSM

Marifi Maring, Executive Director, ACPAPP
Fritz Klein Ortiz, Secretariat, ACPACI
GACPA, Director Willy Agito of COA, President
nACPAE, Omar Erasmo Ampongan, President

Our OSM provides useful information analysis to our leadership team when it reviews our strategy every quarter, and provide key learnings and issues from the previous year’s performance, as inputs to the next year’s plans and targets.

The Accountancy Profession has an explicit provision for expenses related to the implementation of the strategy/initiatives and scorecard.

We have achieved fuller alignment by cascading to all our small units that are significantly less strategic and they have articulated their performance targets. Our OSM aims to secure greater alignment initiatives and programs throughout the profession by bringing performance monitoring down to the respective organizations’ rOur OSM is in the process of automating our performance monitoring system for better tracking and assessment of subsidiary scorecards. Our OSM regularly tracks the profession’s strategic initiatives and correlates these with our strategic performance.

Our OSM uses different channels to communicate and celebrate quick wins as we implement our strategy. Our profession has initiated an active and creative internal communication program. – through face to face presentations, print media, email blasts, and social network.






PGS POSTER 2015 (2)


PGS Progression Assessment Tool



 In preparation for the attainment of the institutionalization phase of the Performance Governance System (PGS) of the Accountancy Profession, the PICPA PGS Committee headed by Noemi Villaluz conducted a Focus Group Discussion with Institute of Solidarity (ISA) Lourdes Yalung and Jonas Trinidad at the PICPA Board Room.on September 2, 2015.

In the afternoon, ISA representatives met with a number of accountancy leaders, including Chaiman Joel Tan-Torres to interview them on the PGS developments.

“We updated ISA in the remarkable progress of the accountancy profession in putting in place governance and quality measures. Some of these include the forthcoming reactivation of the Quality Assurance Review, the ASEAN Mutual Recognition Arrangement, revisions in our accountancy program curriculum and licensure exam syllabus, oversight measures on the Accredited Professional Organization and the CPAs in public practice and education, our forthcoming Integrity Initiative project, our release of several “knowledge” projects including our News Ledger magazine, Highest Standards Technical Journal and Tax Research Journal, Debit Credit accountancy column, and FB and website, Internship Program, and Sectoral and Tracker surveys, our “unifying initiatives” of the accountancy profession stakeholders, to include the sectoral organizations, accountancy profession stakeholders and leaders, and the affiliated accountancy certification organizations,” Chairman Tan-Torres said.