Performance Governance System



From a 25-bed hospital in 1933, the Bicol Medical Center has grown to be a Department of Health-retained tertiary hospital based in Naga City. In 2013, the hospital became a recipient of Modernization projects under DOH’s Health Facilities Enhancement Program (HFEP).

Amid the growth, the hospital experienced immense challenges in providing quality healthcare services for Bicolanos. These include an increase in the number of patients, resulting in overwhelming congestion. Based on BMC data, the hospital's patient census increased from 33,000 in 2015 to 44,549 in 2019. Furthermore, in 2019 alone, the bed occupancy rate of the hospital reached up to 194.82%. With the ever-increasing number of patients, limits in fund allocations, facilities, medicines, supplies, equipment, and personnel resulted in client dissatisfaction.

The presence of these obstacles drove BMC management to pursue both reformation and transformation. These led to two courses of action. First, the hospital registered and submitted to the International Organization for Standardization (ISO), an international standard-setting body that accredits institutions in services worldwide. In 2014, BMC became certified by ISO for its quality management system.

Second, BMC started its strategic transformation under the Performance Governance System (PGS), a framework for governance reform adopted by the Department of Health.

PGS was created by ISA (Institute for Solidarity in Asia), a non-profit organization that coordinates with national agencies and local governments towards the goal of a Dream Philippines. PGS culls global best practices in management and strategy to meet the rising needs of Philippine public sector institutions.

The framework is now used by over 50 government agencies, 14 of which have been independently verified by global experts as Islands of Good Governance (IGG), and 5 have been awarded membership in the Palladium Balanced Scorecard Hall of Fame for Executing Strategy.

In 2009, the PGS was adopted by the Department of Health, and in 2018, the Bicol Medical Center began its reform.


BMC's PGS Journey

In 2018, BMC was one of the DOH-retained hospitals that immediately started the Performance Governance System (PGS) journey. Together with ISA, BMC management formulated a strategic, holistic, and collaborative framework called the BMC Strategy Map. The Strategy Map includes the hospital's Vision and Mission aligned to the present national government administration's thrust to bring Universal Health Care (UHC) to all Filipinos and the Department of Health’s FOURmula One Plus for Health.

The Bicol Medical Center then established the new Office of Strategy Management, whose main task is to ensure that the Strategy Map is executed.


The BMC-OSM uses Scorecard Management, Organizational Alignment, and Strategy Review to see to the continuous improvement of systems and processes, that they would achieve performance breakthroughs.



In line with the Department of Health's Order No. 2021-0001, BMC's strategic positioning includes the setting up of 14 different specialty centers that will grow and develop from a Basic Comprehensive level to an Advance Comprehensive level in the following years.

With the adoption of the PGS, BMC not only passed the Initiation Stage in 2019, it also received the Gold Trailblazer Award, which is the highest honor in Stage I of the Performance Governance System. The recognition serves as a motivation and validation for the hospital to continue its transformation story for the community it serves.

As BMC moves towards the second stage of the Performance Governance System (Compliance Stage), the hospital strongly needs support, guidance, and partners; thus, the BMC - Multi-Sectoral Governance Council (BMC-MSGC) is established.

The BMC-MSGC will proactively assist the hospital in realizing its strategic direction and monitor its deliverables. The Council will also help in strengthening existing linkages and forging new partnerships with other stakeholders to realize BMC’s governance reforms.