SM Foundation brings Tatang’s vision to life

For three decades, the  SM Foundation Inc. (SMFI) scholarship program has carried one vision first articulated by Henry Sy Sr.: “A college graduate in every Filipino family.”

Now, as applications continue to surge and the realities facing Filipino students evolve, the foundation is shifting beyond the traditional four-year scholarship model — opening pathways for young Filipinos who need work as urgently as they need education.

During the recent episode of Straight Talk, Joy Guevara, SMFI manager for partnerships, and Anne Racoma, SMFI external programs manager for the SM Foundation Scholarship Program, outlined how the organization is reshaping its programs to prioritize flexibility, employability, and industry demand.

At present, the foundation supports 2,500 scholars nationwide and is set to add 1,000 more this coming school year, according to Guevara. 

Since the scholarship program began 30 years ago, around 5,000 scholars have already graduated.

But while the foundation’s college scholarship program remains highly competitive — receiving 35,000 applications this year for only 1,000 slots — officials acknowledged that many Filipino students are unable to commit to a traditional college track.

“Not everyone is ready or equipped or interested even in a college degree,” Racoma said during the interview. 

“Some students, they’re just trying to figure out what they want in life, what they need in life.”

That reality pushed the foundation to redesign its technical-vocational scholarship program into what it now calls a “skills-to-work” model, set to relaunch in July.

Many called, few chosen

Unlike conventional scholarship programs that prioritize classroom instruction first, the new system begins with labor demand.

“So we work with the industry first and look for the needs,” Guevara said. 

“Partnering with schools to develop the content or a training and then we look for the scholars.”

The revamped program will initially focus on construction and food manufacturing — sectors linked directly to available jobs within SM companies and partner industries.

Under the setup, scholars may enter training with the promise of employment even before securing formal credentials.

“So it’s like the technical vocation, the difference there is this is really targeted towards students or aspiring students who want immediate jobs or who need immediate jobs,” Racoma explained.

The approach also reflects what foundation officials described as the changing landscape of education, where short-term certifications and “micro-credentials” are beginning to complement — and sometimes bridge toward — traditional degrees.

Through National University and Asia Pacific College, SM-linked institutions now offer short courses ranging from 16 to 54 hours, focusing on practical skills such as IT, AI, nursing assistance and childcare.

“The point of the micro-credential is really focusing first on the skills needed to do the job,” Racoma said.

The foundation’s scholarship program still prioritizes students from low-income households, particularly graduates of public schools or students in private schools supported through the government voucher system. Applicants also undergo examinations and interviews before selection.

Guevara said household income must not exceed P250,000 annually, although applicants are evaluated on a case-by-case basis depending on family circumstances.

Despite the program’s growing scale, the foundation maintains a policy of accepting only one scholar per family — a principle rooted in the aim of spreading opportunities to more Filipino households.

“One of our metrics for success in scholarship is we want to see them also contributing to the upliftment of their families,” Guevara said, adding that many alumni eventually help send their siblings to school.

The foundation also does not require graduates to work for SM after completing their studies, although alums are given priority in hiring and recruitment opportunities inside the company.

According to Racoma, some former scholars have gone on to become engineers, teachers, certified public accountants, lawyers and military officers.

For Guevara, however, the next challenge lies in expanding the program through partnerships with corporations and organizations willing to support more scholars.

“We are interviewing 4,000, but those who passed the interview are over 1,000,” she said.

 “So we have those students who deserve but cannot be accommodated because of our budget.”

As demand for scholarships continues to climb, foundation officials said the goal is no longer to fund education, but to create multiple entry points for Filipino youth navigating an uncertain future — whether through college degrees, technical training, or stackable skills that can eventually lead back to higher education.