MANILA -- The founder of the SM conglomerate, the biggest business group in the country, came to the Philippines from China expecting a better life. However, he found out that he had to sleep in their sari-sari store because his family was so poor, according to Teresita Sy-Coson, daughter of the late tycoon Henry Sy.

From China, Henry Sy traveled 'on the cheapest boat', and was picked up by his father in Manila, according to investment banker Stephen CuUnjieng  as he recalled earlier talks with Sy. On seeing the sari-sari store, Henry Sy cried, CuUnjieng said.

This was what motivated Henry Sy to succeed in business, said Sy-Coson, who is SM Investments Corp Vice Chairperson.

"He was a bit disappointed when he thought, coming from China to here, it would have been a better world. But his world was just a small sari-sari store. And so because of that, he thought that he should make the life better for himself and the whole family," Sy-Coson said during an interview with CuUnjieng  on ANC.

But Hans Sy also recalled how demanding his father was of his six children and the people he trusted. When SM was building its first mall, which was North Edsa, Hans Sy was entrusted to oversee the mall’s construction. Hans said his father would call him every day to ask about the progress of the project.

“He would call me on a daily basis, trying to understand what the timeline is, and as I would give him the assurance that everything is on schedule, everything on budget, and we will deliver. But he would always end the discussion with a note: Remember, interest rates or prime rate these days were 45 percent,” Hans Sy recalled.

Hans Sy is the Chairman of the Executive Committee of SM Prime and has been a Director of the company since 1994. SM Prime is the property arm of the SM Group.

Sy-Coson also narrated how her father out her in charge of SM Department Store, which was a flagship business, when she was still very young.

“I was 22, I remember that, because people ask me how old I was at that time,” Sy-Coson said.

“I don't know what he was thinking, but maybe it was to drive me out of his office. You know, because when I look back, I don't even know why I was there.”

Sy-Coson said it was tough, but it was her father’s way to “stretch to the limit, whatever you can do.”

“And I guess that's how we are, you know, me and my sibling know how to, I mean, grow the business. It's always stretch the limit.”

Hans Sy said their father always pushed them to excel.

"Very demanding, but that's what pushed us. He's very demanding, and he always tells us to go to a line if you can be the best. So we always, even if we go to the wrong line, we have to try to be the best," Hans Sy said.

"We don't have to be number one, but we should be the best," said Sy-Coson.

WHAT SEPARATES SM FROM OTHERS?

Growing the business also meant having a vision and believing in the country, Sy-Coson said. At a time when there were no malls of the size of SM North Edsa in the Philippines, and during the turbulent era of the mid 80s, Henry Sy pursued his vision.  

"He believes in the Philippine economy, and he thinks that whether bad times or good time, it's going to be the country that will grow," Sy-Coson said.

She said that while her father had loans, the company also had good cash flow.

"So he just went on. There were a lot of people against it, but he was very determined."

Hans Sy said this was because his father had a vision for the future.

"He would explain to you why it has to be done this way, because it's not something that it's only for this few years, but really into the future," Hans Sy said.

Fredrick DyBuncio, President and CEO of SMIC, said this was key to the company's success.

"I think one thing that really differentiates the SM group, and I tell this to people, is that the entrepreneurial spirit of the group is still very much there. And I really believe that's a competitive advantage of the group--We move very quickly. We spot opportunities, and pursue it," DyBuncio said. 

This is why SMIC has entered infrastructure and logistics.

"So we invested in logistics, because logistics is key to be able to deliver goods to the provinces. And I think it's been proven correct that the growth in the provincial areas is actually much faster than that of Metro Manila, right?" DyBuncio said.

This was also why the group invested in dormitories that catered to office workers.

"We invested also in the office dormitories, which we saw an idea that with all the BPOs coming in, that the workers were spending like two, three hours each week to go to the office, and they go in very late or tired, they're not as productive. So having the office dormitories within the general BPO areas in BGC actually helped us, right?" he added.

GIVING BACK TO THE UNDERPRIVILEGED

Sy also invested in people. Through the SM Foundation, he championed education, giving underprivileged youth a chance to succeed in life through the SM Foundation, according to Jose Sio, Chairman Emeritus of SMIC.

"In one of the conversations, he was talking about that the youth is the future of the Philippine economy, Philippine nation--especially those less fortunate in our society, and yet talented youth should be given opportunity," Sio said.

Today, SM Foundation has around 2,000 fully funded college  scholars, and almost 5,000 college graduates.

"And most of that, not all of them, are fully employed either in the Philippines or abroad," Sio said.

Henry Sy's difficulties growing up made him realize the importance of education, Sy-Coson said.

"Because of his background, it was education that lifted him out of the poverty. And so he thought that he should give some scholars and work on some school buildings in the SM Foundation. That was the start of the SM Foundation," Sy-Coson said.

"And if you only heard what my father was talking about the Philippines, we grew up with my dad always telling us that this is the country that can really grow. This is the country that is the country for the future," she added.

The full interview with the Sy siblings and other captains of the SM Group is available on ANC Prestige's Banker After Dark show on YouTube.