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Showing posts with label strategy. Show all posts
Showing posts with label strategy. Show all posts

Sunday 17 September 2023

It’s a tragedy of modern plutocratic Britain: if you want to rise, follow the Piers Morgan playbook

George Monbiot in The Guardian

It was one of the abiding mysteries of public life. How did Piers Morgan rise so far? I see him as a buffoon, a bully, a windbag. Yet, despite scandals that would have killed most people’s careers, he rose like a methane bubble in a slurry lagoon, occupying some of the most prestigious and lucrative positions in the media. This week, reflecting on the life and abuses of the plutocrat Mohamed Al Fayed, Private Eye magazine produced an explanation. It came from Morgan himself, writing about Fayed in 1999. “I’ve always made it a strict rule in life to ingratiate myself with three categories of people: newspaper owners, potential newspaper owners and billionaires. And since Mohamed Al Fayed is a billionaire and would love to own a newspaper, sucking up to him seems an extremely sensible move.”

The strategy is not unusual. But voicing it is. Morgan expressed the unspoken rule of public life out loud. If you want to get ahead, grovel to billionaires, especially those who own the media. The obvious coda to the rule is: “because they are the people with real power”.

Plenty of rules are broken without consequence. You can appear on the BBC while hiding your financial interests, breaking its editorial guidelines, as long as you are channelling the demands of the very rich. You can breach parliamentary rules without punishment – by lying, or by failing to update your register of interests, or by taking a second job without clearance when your ministerial career ends – as long as you remain a loyal servant of big money. But Morgan’s Rule is the one that must not be broken. If you are a political party and you want a sniff at power, if you are a commentator who wants to appear on the BBC, you must observe it. Otherwise you will be vilified or excluded.


‘Since Mohamed Al Fayed is a billionaire and would love to own a newspaper, sucking up to him seems an extremely sensible move,’ wrote Piers Morgan in 1999. Photograph: Reuters

Morgan and journalists like him are members of the concierge class, which provides a wide range of services to economic power. Some of them, such as editors of the billionaire media and the junktanks of Tufton Street, specialise in translating the outrageous demands of oligarchs and corporations into what looks like political common sense, or in attacking plutocrats’ critics or transferring blame for their impacts on to immigrants, the Labour party and other customary scapegoats.

Some of them, such as lobbyists, specialise in reputation-laundering: brokering deals between grim plutocrats and cultural institutions – universities, museums, opera houses, charities – which, in return for lavish donations, will name faculties, professorships, galleries, funds and prizes after their sponsors, transforming violent kleptocrats into pillars of society.

Others, including lawyers, accountants, bankers and wealth managers, specialise in hiding and washing their money, buying them special visas, or suing and hounding their critics. This is why organised crime loves London. It takes advantage of both England’s ultra-permissive financial laws and its ultra-repressive libel laws.


The government is always ready to help. In 2021, while Rishi Sunak was chancellor of the exchequer, lawyers acting for Yevgeny Prigozhin, the late brutal chief of Russia’s Wagner mercenary group, applied to the Treasury for permission to override the sanctions against him, so that he could sue the investigative journalist Eliot Higgins. Sunak’s Treasury granted the special licences they requested and even approved sanctions-busting flights to St Petersburg so they could plan their legal attack.

In this way a few dozen people, assisted by thousands of concierges, can dominate our lives. The system we call democracy is a mere patina, sticky and dimpled, on the surface of oligarchic power.

There are many ways in which economic power translates into political power, and none of them are good for us. The most obvious is campaign finance: the sponsorship not only of political parties but of entire systems of political thought and action. These transactions muscle the interests of society out of politicians’ minds. Some of them are enormous. Last year, the US website the Lever exposed a $1.3bn (£1bn) transfer of money from a little-known billionaire, Barre Seid, to a new political advocacy group run by an ultraconservative. How can mere citizens compete?

‘Rishi Sunak’s administration, run by an oligarch for oligarchs, produces assurances that it will close economic crime loopholes, then subtly tweaks the legislation to keep them open.’ Photograph: Dan Kitwood/PA

Financial power also ensures that the rules supposed to stop economic crime and the laundering of its proceeds contain loopholes wide enough for a superyacht to sail through. For the past few months, members of the House of Lords have been battling to remove the obvious get-out clauses from the economic crime bill passing through parliament. The government has thwarted it at every turn. In the debate on Monday, the Conservative peer Lord Agnew – the very opposite of a radical firebrand – complained that “the government continue to say one thing and then do something different”. Sunak’s administration, run by an oligarch for oligarchs, produces heart-thumping assurances that it will close the loopholes, then subtly tweaks the legislation to keep them open.

Money’s might ensures that its environmental impacts are unrestrained. Recently, I was told about a multimillionaire who had intended to fly in his private jet to a luxury resort, only to change his mind at the last minute and decide to go to a different place, with a shorter landing strip. The plane was too heavy to land there, so it sat on the tarmac and burnt off $15,000 of fuel before setting out. Sunak treats the UK as a flyover state, travelling by helicopter and private jet to places he could easily reach by train. Kylie Jenner and Floyd Mayweather zip about on private flights of less than 20 minutes. Each of them negates the efforts of thousands of ordinary mortals to live within the limits of a habitable planet.

But these specific impacts fail to capture the aggregate effect: the remarkable way in which society comes to reflect the demands of the ultra-rich. Almost everyone in public life accepts the same set of preposterous beliefs. That economic growth can continue indefinitely on a finite planet; that the unhindered acquisition of enormous fortunes by a few is acceptable, even commendable; that they should be allowed to own as much natural wealth as their money permits; that there’s nothing objectionable about a few offshore billionaires owning the media and setting the political agenda; that anyone who disputes such notions has no place in civil society. We are free to speak, up to but not beyond this point: the point on which everything hangs.

Morgan’s maxim is not just the unspoken rule. It is also the unspeakable truth. Everyone knows it, hardly any will mention it. It underpins our august institutions, our legal codes, our manners and mores. It is the great silence we need to break.

Sunday 5 February 2023

The Dead Cat Strategy - A Good Way to Overcome Poor Performance

Nadeem F Paracha in The Dawn

On January 27, 2022, former prime minister Imran Khan alleged that the co-chairperson of the Pakistan Peoples Party (PPP), Asif Ali Zardari, had hired assassins to kill him.

Outside Khan’s hardcore group of followers, very few treated the allegation with any seriousness, even though, understandably, the PPP was not amused. Ever since his ouster in April last year, Khan has been churning out one bizarre claim after another in his daily addresses and press talks.

Of course, being a classic populist in the mould of Donald Trump and Brazil’s Jair Bolsonaro, Khan hardly ever provides any compelling evidence to back his allegations. Like his populist contemporaries, he too is more interested in remaining in the news and in Twitter trends. The other reason is to deflect the media’s attention away from the plethora of scandals involving his immediate family, his party personnel and himself.

These scandals have begun to engulf him, now that he doesn’t have the kind of protection that he once enjoyed from the military establishment and the judiciary when he was PM. The scandals have dented his self-styled image of being ‘incorruptible’.

By delivering speeches almost on a daily basis that are studded with sensationalist claims and allegations, Khan is using what has come to be known as the ‘dead cat strategy’ or ‘deadcatting’. Both these terms were first floated in 2013. They are derived from a theory of a political strategist who has a history of working for right-wing parties. This is also the reason why deadcatting is often seen as a strategy that has mostly been applied by right-wing politicians and contemporary populists.
 
Both the terms are associated with the Australian political strategist Lynton Crosby. Crosby strategised the British populist Boris Johnson’s campaign for the 2008 London mayoral election that Johnson won. Crosby was first appointed by Johnson’s Conservative Party (CP) during the 2005 parliamentary elections, which the party lost.

But after working successfully with Johnson during the 2008 mayoral election, Crosby became the CP’s central strategist. In a 2013 article for the Daily Telegraph, Johnson excitedly explained Crosby’s strategy. He wrote that one of Crosby’s tactics included, (figuratively speaking) throwing a dead cat on a dining table on which people sat talking about an issue that was detrimental to the interests of a politician. So, once they see the dead cat, their attention is drawn away from the issue and towards the dead cat. Now the dead cat becomes the issue.

‘Dead cat issues’ are thus sensationalist, formed to draw the people’s and the media’s attention away from the issues that have become increasingly problematic for a politician. Johnson continued to apply this strategy when he was appointed PM in 2019. As PM, he went on deploying dead cat issues to divert the media’s attention away from the many holes that he kept digging and falling into.

But deadcatting has its limits. There are but so many dead cats one can throw on the dining table. In 2022, becoming increasingly controversial, Johnson was forced to step down as PM by his own party. The media had stopped talking about dead cats.


In 2019, the populist president of Mexico Andrés Manuel López held a press conference to announce that he had written letters to the Pope and the Spanish government, demanding that they should apologise for invading Mexico… 500 years ago. This out-of-the-blue declaration surprised many. Why was a president who had vowed to resolve Mexico’s many problems, now suddenly talking about a 500-year-old invasion?

According to the British political journalist and author Andrew Scott, López had made a sizeable number of promises, which included introducing widespread land reforms, poverty alleviation and the elimination of Mexico’s deadly drug mafias. Failing to deliver on any of the promises, López deployed the dead cat strategy. The ploy was absurd, but it did catch the media’s attention.

However, not everyone was impressed by the president’s ‘bold’ initiative to get the Pope and the Spanish government to deliver an apology for a centuries-old invasion of Mexico, whose main victims were the country’s indigenous Indian communities. The famous Peruvian novelist Mario Vargas Llosa suggested that the letters should have been delivered to López himself, because he had done absolutely nothing to better the conditions of the impoverished Indian communities, except churn out populist slogans and display meaningless stunts.

In the early 1980s, when India’s Bhartiya Janta Party (BJP) was largely a fringe far-right Hindu nationalist outfit that had no mentionable economic programme, it started to encourage groups who had begun to plan building a temple on the site of a 16th century mosque in Ayodhya. The BJP turned the mosque into a ‘national issue’.

This was BJP’s dead cat that provided it mainstream traction. And so are the claims by the current BJP government, which uses these to keep the media’s attention focused on the so-called existentialist ‘threat’ to India from Pakistan and by India’s Muslims.

Imran Khan has been deadcatting ever since his government started to unravel from 2020 onwards. Some of the favourite dead cats of Pakistani politicians are ‘issues’ of morality and faith. As a PM who was struggling to deliver the grandiose promises that he had made, and facing increasing criticism, Khan decided to declare himself as the leading crusader against Islamophobia.

He started to write letters to the United Nations and other leaders of the ‘Muslim ummah’, urging them to facilitate his idea of formulating a blasphemy law which could be applied internationally. His ministers jumped in, claiming that he was fighting an international ‘jihad’ against Islamophobes and should be hailed for this.

When this dead cat could not distract the media enough, Khan threw in a bigger dead feline, by claiming that the US was conspiring to oust him from power. After being shown the door by a no-confidence-motion in the parliament, he’s been tossing dead cats with increasing frequency.

Recently, one also saw the current finance minister, Ishaq Dar, deploy the dead cat strategy after being castigated by the media for failing to stabilise the economy. He had been brought in as a miracle worker, but his performance has been rather dismal.

Being a Pakistani, he of course began to tweet verses from Islam’s holy scriptures, indirectly suggesting that the failing economy was due to the mysterious ways of cosmic forces. Ironically, rather than diverting attention, this dead cat ended up magnifying his failings.

Tuesday 22 November 2022

Management lessons from the next World Cup winners






On December 18th the winners of the football World Cup in Qatar will lift the famous golden trophy. Several rituals will then unfold. The final entry will be made on fans’ wall charts. Pundits will share their lists of players of the tournament. In the victors’ home country, cars will clog the streets and drivers will lean on their horns. And in the days that follow, leadership coaches will post drivel about the secrets to be learned from the successful manager. 

But why wait till the end of the World Cup to find out how Hansi Flick of Germany, Didier Deschamps of France or whoever actually wins did it? Why even hang around for the start of the tournament on November 20th? Before a whistle has been blown and a ball has been kicked, here is your cut-out-and-keep guide to what bosses everywhere can learn from the winning manager (wm). All you have to do is delete anything that doesn’t quite fit the narrative.

Team spirit. The wm instilled a tight bond among the team by showing them unwavering support/creating an atmosphere of fear. He was known for putting his arms around the shoulders/hands around the necks of underperforming players. His oxytocin-releasing bearhugs/scarlet-faced rages ensured that a group of elite performers relaxed/did not relax. “He showed us love/utter contempt and we all responded to that,” said a man in shorts from the winning team. The power of empathy/barely suppressed terror will surely not be lost on managers in the workplace.

Data. The wm obsessively immerses himself in data/does not know how to turn on a computer. In the build-up to each game he took each player through a detailed analysis of his opposite number/encouraged everyone to play table tennis. After the matches were over he watched videos of each game/Netflix. “He planned everything in minute detail/told us to just go out there and have fun,” said another happy man in shorts. In the office, as on the pitch, rigorous analysis/gut instinct is often the difference between success and failure.

Purpose. The choice of Qatar as a venue for the World Cup was mired in controversy from the start; questions have swirled about corruption, human rights and worker safety. The wm turned these concerns to his advantage/seemed totally unaware of them. He made it clear that the team were ambassadors for the sport/only there to win. His decision to always wear a rainbow-coloured wristband/refuse to answer any questions about the host country was incredibly astute. “He gave us a much-needed sense of purpose,” recalled one of his players. “Only an absolute cretin would have wondered what we were in Qatar to do,” said another.

Stars. The wm built his whole team around/eschewed the very idea of a star player. “A superstar like Neymar/Harry Maguire/someone else has to be given freedom to express himself/realise that the team comes first,” he said afterwards. Every organisation will have its own outstanding performers. The clear message from this World Cup is that they should sometimes/never be given special treatment.

There is an alternative way of thinking about the lessons for corporate managers from an event like the World Cup: there are none. First, the jobs are wholly different. Football managers don’t need to change strategy because the market is shifting (“we will use our excellence in the field of spherical objects to diversify into basketball”). Corporate bosses do not tend to get customer feedback from people making hand gestures in a crowd. Nor do their career prospects usually rely on the split-second decision-making of a bunch of talented 20-somethings.

Second, all leadership writing depends on the dubious premise that an entity was successful because a person was in charge, rather than while they were in charge. The “halo effect” is the name given to the tendency for a positive impression in one area to lead to a positive impression in another. But just as a high-flying firm does not necessarily signal a world-beating ceo, so a World Cup winners’ medal does not mean the manager was a genius.

Just one, Vittorio Pozzo of Italy, has ever successfully defended the World Cup title; only eight countries have ever lifted the trophy in the history of the tournament. Whoever ends up celebrating on December 18th, the pool of people available for selection, the role of luck and the quality of the competition will have mattered at least as much as the person at the top. That is one management lesson worth learning.

Never mind that the tournament hasn’t started yet writes Bartleby in The Economist


Friday 4 March 2022

Putin’s actions make no sense. That is his strength

 Tim Harford in The FT


Is Vladimir Putin mad? Russia’s president has launched a costly and unprovoked war, shocked his own citizens, galvanised Nato, triggered damaging but predictable economic reprisals and threatened a nuclear war that could end civilisation. One has to doubt his grasp on reason. 

Doubt is part of the point. In The Strategy of Conflict, written in 1960, the economist Thomas Schelling noted: “It is not a universal advantage in situations of conflict to be inalienably and manifestly rational in decisions and motivation.” 

A madman — or a toddler — can get away with certain actions because he cannot be deterred by threats or because his own threats seem more plausible. But Schelling’s point is more subtle than that: you don’t need to be mad to secure these advantages. You just need to persuade your adversaries that you might be. 

The idea is vividly illustrated in The Maltese Falcon, Dashiell Hammett’s 1930 novel and John Huston’s 1941 film. Our hero, Sam Spade, knows the whereabouts of the falcon, a priceless artefact. When the villainous Kasper Gutman tries to intimidate him into revealing the secret, Spade is not intimidated. If Gutman kills him then the precious falcon will be lost forever. 

“If I know you can’t afford to kill me, how are you gonna scare me into giving it to you?” Spade challenges Gutman. 

“That’s an attitude, sir, that calls for the most delicate judgement on both sides,” Gutman says. “Because, as you know, sir, in the heat of action men are likely to forget where their best interests lie and let their emotions carry them away.” 

Spade doesn’t seem too worried by this, perhaps because Gutman appears calm. Gutman might have had more success if he seemed unhinged. Then again, Gutman’s henchmen are pointing pistols at Spade and twitching with rage, so even if Gutman keeps his cool, the threat that someone might get carried away seems plausible. 

Schelling was a wonderful writer and thinker, but it gives me little pleasure to be dusting off his books. When I first encountered his ideas on nuclear deterrence, it was the mid-1990s. The cold war was over, the threat of a nuclear exchange seemed largely past and Schelling’s ideas could be enjoyed in much the same way as Hammett’s: as witty, surprising and reassuringly unreal. When Schelling shared the Nobel memorial prize in economics in 2005, it was with a sense that his clear-eyed ideas about nuclear deterrence had helped human civilisation dodge a bullet. 

That nuclear bullet is now back in the gun and Putin is waving it around unnervingly. He wouldn’t . . . would he? I don’t know, which is just the way Putin likes it. 

There was always something surreal about maintaining nuclear weapons as a deterrent. Surely such weapons could never be used, because the consequences were too horrible? And if the weapons could never be used, what sort of deterrent did they provide? 

Yet the deterrent is real enough because even a small risk of escalation is a risk worth taking seriously. That risk can come from a number of sources. There’s malfunctioning equipment: in September 1983, Soviet officer Stanislav Petrov’s early warning radar told him that the US had just launched ballistic missiles at the Soviet Union. He realised that was unlikely and ignored the warning. Petrov’s heroic inaction was made all the more remarkable because it came at a time of escalated tensions between the superpowers. 

Another risk is that a senior decision maker is insane, rather than merely feigning insanity. 

Then there is the risk of things getting out of control somewhere down the chain of command. During the Cuban missile crisis in 1962, the US decided to stop and search ships sailing to Cuba — a potential flashpoint if the result was the sinking of a Soviet ship. President Kennedy and defence secretary Robert McNamara asked the US Navy to soften this “quarantine” in a couple of ways. 

In fact, as the classic book Thinking Strategically explains, the US Navy told McNamara to mind his own business, and the blockade was riskier than Kennedy had intended. Unthinkable threats become thinkable in such circumstances. 

Putin holds a weak hand, except for the one card that no rational person would ever choose to play. But the essence of brinkmanship is to introduce a risk that nobody can entirely control. If the risk becomes intolerable, you may win concessions. I am 99 per cent sure that Putin is bluffing, but a 1 per cent chance of the end of the world is and should be more than enough to worry about. 

Faced with Gutman’s warning that someone may get carried away, Spade coolly responds, “then the trick from my angle is to make my play strong enough to tie you up, but not make you mad enough to bump me off against your better judgement”. That is the trick the western world is now attempting to perform. By Putin’s design, it is not going to be easy.

Wednesday 25 July 2018

Thinking in Bets – Making smarter decisions when you don’t have all the facts – by Annie Duke

Some Excerpts


CHESS V POKER

- Chess, for all its strategic complexity, isn’t a great model for decision making in life, where most of our decisions involve hidden information and a much greater influence of luck.



- Poker, in contrast, is a game of incomplete information. It is a game of decision making under conditions of uncertainty over time. Valuable information remains hidden. There is always an element of luck in any outcome. You could make the best possible decision at every point and still lose the hand; because you don’t know what new cards will be dealt and revealed. Once the game is finished and you try to learn from the results, separating the quality of your decisions from the influence of luck is difficult.



- Incomplete information poses a challenge not just for split second decision making, but also for learning from past decisions. Imagine my difficulty in trying to figure out if I played my hand correctly when my opponents cards were never revealed for e.g. if the hand concluded after I made a bet and my opponents folded. All I know is that I won the chips. Did I play poorly and get lucky? Or did I play well?



- Life resembles poker, where all the uncertainty gives us the room to deceive ourselves and misinterpret the data.

- Poker gives us the leeway to make mistakes that we never spot because we win the hand anyway and so don’t go looking for them or

- The leeway to do everything right, still lose and treat the losing result as proof that we made a mistake. 



REDEFINING Wrong

- When we think in advance about the chances of alternative outcomes and make a decision based on those chances, it doesn’t automatically make us wrong when things don’t work out. It just means that one event in a set of possible futures occurred.



BACKCASTING AND PRE MORTEM



- Backcasting means working backwards from a positive future.

- When it comes to thinking about the future – stand at the end (the outcome) and look backwards. This is more effective than looking forwards from the beginning.

- i.e. by working backwards from the goal, we plan our decision tree in more depth.

- We imagine we’ve already achieved a positive outcome, holding up a newspaper headline “We’ve Achieved our Goal” Then we think about how we got there.

- Identify the reasons they got there, what events occurred, what decisions were made, what went their way to get to the goal.

- It makes it possible to identify low probability events that must occur to reach the goal You then develop strategies to increase the chances of such events occurring or recognizing the goal is too ambitious.

- You can also develop responses to developments that interfere with reaching the goal and identify inflection points for re-evaluating the plan as the future unfolds.



- Pre mortem means working backwards from a negative future.



- Pre mortem is an investigation into something awful but before it happens.



- Imagine a headline “We failed to reach our Goals” challenges us to think about ways in which things could go wrong.



- People who imagine obstacles in the way of reaching their goals are more likely to achieve success (Research p223)



- A pre mortem helps us to anticipate potential obstacles.



- Come up with ways things can go wrong so that you can plan for them



- The exercise forces everyone to identify potential points of failure without fear of being viewed as a naysayer.





- Imagining both positive and negative futures helps us to build a realistic plan to achieve our goals.

Saturday 7 July 2018

China’s tech funding boom: is Europe asleep on the job?

Evgeny Morozov in The Guardian

In matters of industrial strategy and international competition, there’s no contrast starker than that between the hapless resignation of Europe and the steely determination of China. Unsurprisingly, it has been China – not Europe – that has proposed, with little success, forming a common front against Donald Trump’s trade tantrums. Even Washington’s bullying cannot awaken European policymakers from their slumber – or, as seems more likely, their moderately lubricated afternoon nap.

Hardly a week passes without a new alarming announcement that Beijing has managed to outmanoeuvre Brussels in yet another domain. Last week brought three such developments.

First, China Merchants Group, a state-owned company, joined forces with SPF Group and Centricus – asset managers based in Beijing and London respectively – to form a $15bn fund to compete with SoftBank’s $100bn Vision Fund, launched to invest in the most promising technology firms worldwide. This comes weeks after Sequoia Capital, America’s finest venture capital firm, closed the first round of fundraising on its $8bn Vision Fund alternative.






Second, Contemporary Amperex Technology, one of the largest manufacturers of lithium-ion batteries in China and a major beneficiary of its government’s efforts to steer this industry towards world leadership, signed a €1bn deal with BMW, with the intention of building its own factory in Europe to satisfy soaring demand for its batteries.

Daimler, another crown jewel of the German car industry, is now reportedly considering placing a similar order.

Third, Bolloré Group, one of France’s most important conglomerates, with activities spanning paper, energy and logistics businesses, entered a deal with Chinese technology giant Alibaba. Bolloré is hoping to use Alibaba’s sprawling cloud-computing empire across its operations, including in its battery-making division.

There is a neutral, even positive, interpretation of these developments. European capital – British in the first case, German in the second, French in the third – is taking advantage of lucrative opportunities. China just happens to offer more of them at the moment. 

And yet, each of the three developments reveals major gaps in Europe’s industrial strategy. It’s one thing for European capital to be passively invested into most promising robotics or AI projects worldwide: Daimler, for example, is one of the few European backers of the Vision Fund. It’s quite another thing to be doing it with the goal of creating Europe’s own champions in these fields.

The European Commission’s strategy on artificial intelligence, published in April 2018, rests on the untested assumption that Brussels will succeed in mobilising nearly €18bn of private capital to complement a couple of billions that will be found in existing European programs. This, however, will require convincing the likes of Daimler – whose biggest shareholder today is China’s Geely – that their investments should go to some European tech fund, rather than to SoftBank or China Merchants Group.

It’s a challenge similar to Europe’s efforts, unsuccessful so far, to push European industry towards creating a European manufacturer of batteries for electric cars, if only to minimise its reliance on China and South Korea (the European Battery Alliance, an industry-wide initiative championed by the European commission, was launched last year, but has not borne much fruit yet).

European leaders seem to recognise the battery challenge – and so do Germany’s powerful trade unions – but it’s hard to see how it will be solved when the likes of BMW and Daimler keep placing billion dollar-orders with Chinese battery manufacturers.




The story on cloud computing, increasingly bundled with artificial intelligence services, is not much different: even if the European industry wanted to turn away from Amazon or Microsoft and use a European provider, it just does not have much choice. It is essentially hemmed in by American and Chinese giants.

This dependence was easier to justify when global trade was running smoothly and all industries looked alike (looked equally unimportant from the perspective of national or regional interests). Now that the European car industry finds itself under heavy fire from Trump, Brussels is severely constrained in its response.




Artificial intelligence: €20bn investment call from EU commission

When Trump threatens Europe’s most important industry, the logical thing to do would be to threaten retaliation against America’s own most important industry, which, whatever Trump himself believes, is actually based in Silicon Valley and Seattle, not Detroit.

This, however, is not an option: no one is going to believe that Europe, which has inserted services from Alphabet, IBM, Microsoft and Amazon deep into the infrastructure of its hospitals, energy grids, transportation systems, and universities is going to shut them off.

The best it can hope for, at this point, is to diversify its reliance on the US giants by doing some business with the Chinese ones.

None of this bodes well for Europe’s ability to remain at the centre of the global economy. Its industrial giants will not fade away but they will be increasingly dominated by foreign owners and foreign technology. While, in the rosier days of globalisation, this might even have been hailed as laudable, under today’s new normal this strategy borders on the suicidal. Those afternoon naps of European policymakers increasingly look like a coma.

Sunday 1 April 2018

Columbus shows Trump how to thrive in the new world order



Rana Foroohar in The Financial Times


A day or two after Donald Trump announced tariffs on a spate of Chinese goods, the world was gripped by fears of a trade war. More than a week later, there is a storyline building that perhaps the US president had the right idea. China is negotiating with the US; the US and South Korea will probably cut a new trade deal. While the administration is right to call China out over unfair trade practices, however, there is also a risk of taking away the wrong message, which is that tariffs are the best way to protect the US Rust Belt. 

China may not play fair, but it plays the long game. This is the crucial point. While Mr Trump rails mostly against the trade deficit, China has an industrial policy designed to win the jobs of the future in strategic high-tech industries. This is the better strategy, as evidenced not only by what is happening in the Middle Kingdom, but also in the US. 

Consider the success of Columbus, Ohio, a city whose fortunes I have followed closely for many years because it is an economic and political bellwether for the country. Politicos come here to take the pre-election temperature of the nation and companies to test drive new products. Columbus is in the heart of the Rust Belt territory that helped elect the president. Mr Trump has visited Ohio in recent days, offering modest federal incentives with the aim of creating a boom in local infrastructure spending (unlikely, given the dismal fiscal picture in many US states and cities). 

Columbus is the third-biggest national market for employment in the manufacture of motor vehicles. Yet the city fathers are not too bothered either way about what the president does or does not do around tariffs. 

“Some industries will win, some will lose,” says Kenny McDonald, the head of Columbus 2020, the regional economic development strategy. “But there’s plenty of people at JPMorgan, Honda and Nationwide [all large local employers] that are right now working on algorithms that may replace their jobs.” 

This statement reflects important truths. During the past four decades, technology has created just as much job disruption, if not more, in the Rust Belt as has trade. After the global financial crisis, Columbus was one of the US cities that suffered most. While it didn’t fall quite as far as the rest of the state thanks to a diversified economy (Columbus is the state capital and also has a strong education sector), it was faced with chopping $100m in municipal spending — more than 15 per cent of its total operating budget — in 2009. 

The city did all the usual back-end trimming of public services. But then, rather than become Detroit, which for a period of time literally couldn’t keep the lights or water on, Columbus also did something else: it thought ahead. 

The Democratic mayor went to the Republican city fathers and persuaded them to support a tax rise, the first in nearly four decades. They agreed, on condition that a chunk of that money would go into a public-private economic development partnership that focused on how to cultivate human capital for an era in which all value will reside in intellectual property, data and ideas. 

They connected community colleges with local companies, domestic and global (L Brands, JPMorgan, Worthington Industries, Honda) to train up a digitally savvy technical workforce. They renovated the crumbling downtown and created new housing stock to appeal to the millennials who had been leaving for greener pastures after their studies. 

Columbus is now one of the top 10 areas that young workers are pouring into (it ranks number three as a city of choice for fashion designers, after Los Angeles and New York). In an effort to move from making bumpers and hubcaps to being part of the internet of things, Columbus bid for, and won, a $40m Department of Transportation grant to become a “smart city” focused on electric vehicles. About $500m of additional investment has followed. 

“This isn’t a five-year plan for economic development, it’s a 100-year plan,” says Alex Fischer, head of the chief executives group the Columbus Partnership. 

The city is part of Elon Musk’s “hyper-loop” plan to create a train that can connect Chicago, Columbus and Pittsburgh in minutes. Ohio State and Columbus State Community College have started some of the first degree programmes in data analytics. Tesla, AWS and Apple have moved into town. Accenture now has an innovation lab on what used to be the site of a large buggy manufacturer. 

It is hard to imagine a greater symbol of change. The Columbus region has, since 2010, created roughly half of all the new jobs in Ohio. Harvard Business School recently wrote a case study about the city’s accomplishments. 

The city’s success is a great example of what American industrial policy can yield. Many countries — not just China, but also a number of European nations — create multiyear plans for economic development. The US does not, of course. Industrial policy have always been dirty words here. 

Mr Trump, and many others, rail against Chinese state-run capitalism. But by demonising the outsider, rather than creating a real national economic development strategy at home, the US is missing the point. Columbus is, in a way, showing how to do Chinese economic development with American characteristics. It’s a strategy worth copying.

Monday 25 September 2017

Dead Cats - Fatal attraction of fake facts sours political debate

Tim Harford in The Financial Times


He did it again: Boris Johnson, UK foreign secretary, exhumed the old referendum-campaign lie that leaving the EU would free up £350m a week for the National Health Service. I think we can skip the well-worn details, because while the claim is misleading, its main purpose is not to mislead but to distract. The growing popularity of this tactic should alarm anyone who thinks that the truth still matters. 

You don’t need to take my word for it that distraction is the goal. A few years ago, a cynical commentator described the “dead cat” strategy, to be deployed when losing an argument at a dinner party: throw a dead cat on the table. The awkward argument will instantly cease, and everyone will start losing their minds about the cat. The cynic’s name was Boris Johnson. 

The tactic worked perfectly in the Brexit referendum campaign. Instead of a discussion of the merits and disadvantages of EU membership, we had a frenzied dead-cat debate over the true scale of EU membership fees. Without the steady repetition of a demonstrably false claim, the debate would have run out of oxygen and we might have enjoyed a discussion of the issues instead. 

My point is not to refight the referendum campaign. (Mr Johnson would like to, which itself is telling.) There’s more at stake here than Brexit: bold lies have become the dead cat of modern politics on both sides of the Atlantic. Too many politicians have discovered the attractions of the flamboyant falsehood — and why not? The most prominent of them sits in the White House. Dramatic lies do not always persuade, but they do tend to change the subject — and that is often enough. 

It is hard to overstate how corrosive this development is. Reasoned conversation becomes impossible; the debaters hardly have time to clear their throats before a fly-blown moggie hits the table with a rancid thud. 

Nor is it easy to neutralise a big, politicised lie. Trustworthy nerds can refute it, of course: the fact-checkers, the independent think-tanks, or statutory bodies such as the UK Statistics Authority. But a politician who is unafraid to lie is also unafraid to smear these organisations with claims of bias or corruption — and then one problem has become two. The Statistics Authority and other watchdogs need to guard jealously their reputation for truthfulness; the politicians they contradict often have no such reputation to worry about. 

Researchers have been studying the problem for years, after noting how easily charlatans could debase the discussion of smoking, vaccination and climate change. A good starting point is The Debunking Handbook by John Cook and Stephan Lewandowsky, which summarises a dispiriting set of discoveries. 

One problem that fact-checkers face is the “familiarity effect”: the endless arguments over the £350m-a-week lie (or Barack Obama’s birthplace, or the number of New Jersey residents who celebrated the destruction of the World Trade Center) is that the very process of rebutting the falsehood ensures that it is repeated over and over again. Even someone who accepts that the lie is a lie would find it much easier to remember than the truth. 

A second obstacle is the “backfire effect”. My son is due to get a flu vaccine this week, and some parents at his school are concerned that the flu vaccine may cause flu. It doesn’t. But in explaining that I risk triggering other concerns: who can trust Big Pharma these days? Shouldn’t kids be a bit older before being exposed to these strange chemicals? Some (not all) studies suggest that the process of refuting the narrow concern can actually harden the broader worldview behind it. 

Dan Kahan, professor of law and psychology at Yale, points out that issues such as vaccination or climate change — or for that matter, the independence of the UK Statistics Authority — do not become politicised by accident. They are dragged into the realm of polarised politics because it suits some political entrepreneur to do so. For a fleeting partisan advantage, Donald Trump has falsely claimed that vaccines cause autism. Children will die as a result. And once the intellectual environment has become polluted and polarised in this way, it’s extraordinarily difficult to draw the poison out again. 

This is a damaging game indeed. All of us tend to think tribally about politics: we absorb the opinions of those around us. But tribal thinking pushes us to be not only a Republican but also a Republican and a vaccine sceptic. One cannot be just for Brexit; one must be for Brexit and against the UK Statistics Authority. Of course it is possible to resist such all-encompassing polarisation, and many people do. But the pull of tribal thinking on all of us is strong. 

There are defences against the dead cat strategy. With skill, a fact-check may debunk a false claim without accidentally reinforcing it. But the strongest defence is an electorate that cares, that has more curiosity about the way the world really works than about cartoonish populists. If we let politicians drag facts into their swamp, we are letting them tug at democracy’s foundations.

Tuesday 27 December 2016

What is Strategic Thinking

Ron Carucci in Harvard Business Review


It’s a common complaint among top executives: “I’m spending all my time managing trivial and tactical problems, and I don’t have time to get to the big-picture stuff.” And yet when I ask my executive clients, “If I cleared your calendar for an entire day to free you up to be ‘more strategic,’ what would you actually do?” most have no idea. I often get a shrug and a blank stare in response. Some people assume that thinking strategically is a function of thinking up “big thoughts” or reading scholarly research on business trends. Others assume that watching TED talks or lectures by futurists will help them think more strategically.

How can we implement strategic thinking if we’re not even sure what it looks like?

In our 10-year longitudinal study of over 2,700 newly appointed executives, 67% of them said they struggled with letting go of work from previous roles. More than half (58%) said they were expected to know details about work and projects they believed were beneath their level, and more than half also felt they were involved in decisions that those below them should be making. This suggests that the problem of too little strategic leadership may be as much a function of doing as of thinking.

Rich Horwath, CEO of the Strategic Thinking Institute, found in his research that 44% of managers spent most of their time firefighting in cultures that rewarded reactivity and discouraged thoughtfulness. Nearly all leaders (96%) claimed they lacked time for strategic thinking, again, because they were too busy putting out fires. Both issues appear to be symptoms masking a fundamental issue. In my experience helping executives succeed at the top of companies, the best content for great strategic thinking comes right from one’s own job.

Here are three practical ways I’ve helped executives shift their roles to assume the appropriate strategic focus required by their jobs.

Identify the strategic requirements of your job. One chief operating officer I worked with was appointed to her newly created role with the expressed purpose of integrating two supply chain organizations resulting from an acquisition. Having risen through the supply chain ranks, she spent most of her time reacting to operational missteps and customer complaints. Her adept problem-solving skill had trained the organization to look to her for quick decisions to resolve issues. I asked her, “What’s the most important thing your CEO and board want you to accomplish in this role?” She answered readily, “To take out duplicate costs from redundant work and to get the organization on one technology platform to manage our supply chain.” Her succinct clarity surprised even her, though she quickly realized how little she was engaged in activities that would reach that outcome. We broke the mandate into four focus areas for her organization, realigned her team to include leaders from both organizations, and ensured all meetings and decisions she was involved in directly connected to her mandate.
 



Unfortunately, for many executives, the connection between their role and the strategic contribution they should make is not so obvious. As quoted in Horwath’s study, Harvard Business School professor David Collis says, “It’s a dirty little secret: Most executives cannot articulate the objective, scope, and advantage of their business in a simple statement. If they can’t, neither can anyone else.” He also cites Roger Martin’s research, which found that 43% of managers cannot state their own strategy. Executives with less clarity must work harder to etch out the line of sight between their role and its impact on the organization’s direction. In some cases, shedding the collection of bad habits that have consumed how they embody their role will be their greatest challenge to embodying strategic thinking.

Uncover patterns to focus resource investments. Once a clear line of sight is drawn to a leader’s strategic contribution, resources must be aligned to focus on that contribution. For many new executives, the large pile of resources they now get to direct has far greater consequence than anything they’ve allocated before. Aligning budgets and bodies around a unified direction is much harder when there’s more of them, especially when reactionary decision making has become the norm. Too often, immediate crises cause executives to whiplash people and money.

This is a common symptom of missing insights. Without a sound fact and insight base on which to prioritize resources, squeaky wheels get all the grease. Great strategic executives know how to use data to generate new insights about how they and their industries make money. Examining patterns of performance over time — financial, operational, customer, and competitive data — will reveal critical foresight about future opportunities and risks.

For some, the word insight may conjure up notions of breakthrough ideas or “aha moments.” But studying basic patterns within available data gives simple insights that pinpoint what truly sets a company apart. In the case of the supply chain executive above, rather than a blanket cost reduction, she uncovered patterns within her data that identified and protected the most competitive work of her organization: getting products to customers on time and accurately. She isolated those activities from work that added little value or was redundant, which is where she focused her cost-cutting efforts. She was able to dramatically reduce costs while improving the customer’s experience.

Such focus helps leaders allocate money and people with confidence. They know they are working on the right things without reacting to impulsive ideas or distracting minutia.


Invite dissent to build others’ commitment. Strategic insight is as much a social capability as it is an intellectual one. No executive’s strategic brilliance will ever be acted upon alone. An executive needs those she leads to translate strategic insights into choices that drive results. For people to commit to carrying out an executive’s strategic thinking, they have to both understand and believe in it.

That’s far more difficult than it sounds. One study found that only 14% of people understood their company’s strategy and only 24% felt the strategy was linked to their individual accountabilities. Most executives mistakenly assume that repeated explanations through dense PowerPoint presentations are what increases understanding and ownership of strategy.

To the contrary, people’s depth of commitment increases when they, not their leader, are talking. One executive I work with habitually takes his strategic insights to his team and intentionally asks for dueling fact bases to both support and refute his thinking. As the debate unfolds, flawed assumptions are surfaced and replaced with shared understanding, ideas are refined, and ownership for success spreads.

Sound strategic thinking doesn’t have to remain an abstract mystery only a few are able to realize. Despite the common complaint, it’s not the result of making time for it. Executives must extract themselves from day-to-day problems and do the work that aligns their job with the company’s strategy. They need to be armed with insights that predict where best to focus resources. And they need to build a coalition of support by inviting those who must execute to disagree with and improve their strategic thinking. Taking these three practical steps will raise the altitude of executives to the appropriate strategic work of the future, freeing those they lead to direct the operational activities of today.

Tuesday 3 May 2016

Mindfulness Can Improve Strategy


Justin Talbot-Zorn and Frieda Edgette in Harvard Business Review


Over the course of a couple of decades, meditation has migrated from Himalayan hilltops and Japanese Zendos to corporate boardrooms and corridors of power, including Google, Apple, Aetna, the Pentagon, and the U.S. House of Representatives.

On a personal level, leaders are taking note of empirical research documenting meditation’s potential for reducing stress, lowering blood pressure, and improving emotional regulation. Mindfulness meditation — the practice of cultivating deliberate focused attention on the present moment – has caught on as a way to bring focus, authenticity, and intention to the practice of leadership. Harvard Business Review contributors Daniel Goleman and Bill George have described mindfulness as a means to listen more deeply and guide actions through clear intention rather than emotional whims or reactive patterns.

In an age in which corporations and public organizations are increasingly under attack for short-term thinking, a dearth of vision, and perfunctory reactions to quick stimuli, it’s worth posing the question: Can mindfulness help organizations — not just individual leaders — behave more intentionally? Practically speaking, can organizational leaders integrate mindfulness practices into strategic planning processes?

Seventy years ago, Viktor Frankl, an Austrian psychiatrist who had just emerged from years as a prisoner at Auschwitz, shed some light on the question with a now-classic teaching. “Between stimulus and response, there is a space,” he wrote in 1946. “In that space is our power to choose our response. In our response lies our growth and our freedom.”

Mindfulness — the practice of watching one’s breath and noticing thoughts and sensations — is, at its core, a practice of cultivating this kind of space. It’s about becoming aware of how the diverse internal and external stimuli we face can provoke automatic, immediate, unthinking responses in our thoughts, emotions, and actions. As the University of Virginia’s Timothy Wilson has argued, our brains are not equipped to handle the 11-plus million bits of information arriving at any given moment. For the sake of efficiency, we tend to make new decisions based upon old frames, memories, or associations. Through mindfulness practice, a person is able to notice how the mind reacts to thoughts, sensations, and information, seeing past the old storylines and habitual patterns that unconsciously guide behavior. This creates space to deliberately choose how to speak and act.

Organizations, like individuals, need this kind of space.

As UCLA’s Richard Rumelt, a leading expert on strategic planning, writes in his book Good Strategy, Bad Strategy, one of the quintessential components of good strategy is the ability to take a step out of the internal storyline and shift viewpoints. “An insightful reframing of a competitive situation” he writes, “can create whole new patterns of advantage and weakness. The most powerful strategies arise from such game-changing insights.”

To craft strategy on the basis of what Harvard’s Richard Chait and other scholars have called generative thinking, it’s not only necessary to identify a coherent set of policies or actions in response to a problem or opportunity, it’s also necessary to elucidate the full range of values, assumptions, and external factors at play in a decision-making situation. It’s essential to step back and ask not only whether the team has identified the right plans or solutions but whether they have identified the right questions and problems in the first place. All this requires space between stimulus and response.
So how can organizations bring more space to strategic planning? Is the answer to simply recruit leaders and board members who engage in contemplative practices?

It can’t hurt. Steve Jobs, a regular meditator, made use of mindfulness practice to challenge operating assumptions at Apple and to enhance creative insight in planning. Ray Dalio of Bridgewater Capital has likewise used mindfulness not only as a tool for increasing productivity but also enhancing situational awareness as a strategist.

But it’s also possible to build mindfulness directly into planning exercises.

One of us recently had the opportunity to test the concept of mindful strategy with a group of middle managers and senior executives from the legal, advertising, finance, and non-profit sectors in the Bay Area. The experience gave us a clearer practical understanding of what works when it comes to integrating mindfulness practice into strategy retreats.

Take mindful moments:
One simple approach is to integrate straightforward mindfulness activities into meetings and retreats. By punctuating planning exercises with deliberate time for those present to simply connect with their breath and recognize unnecessary distractions, organizers can create the conditions for intuition to arise. As Rasmus Hougaard and Jacqueline Carter wrote in HBR in March, it’s possible to integrate simple practices of focus and awareness throughout a workday. Google’s Chade-Meng Tan, has developed dozens of such workplace meditation modules that could fit neatly into planning retreats.

Explore alternative scenarios: It’s also possible to inject an element of mindfulness without meditating at all. Scenario planning exercises, for example, open decision-makers to numerous, plausible alternative “stories of the future” that inherently challenge assumptions and mindsets. Corporations including Shell and governments including Singapore have used such practices — first and foremost for their heuristic value — with considerable success for decades. Much like meditation, the practice of nonjudgmentally assessing different plausible futures is a practical way of shining light on old unexamined thought patterns and making room for new ideas.

Visualize positive outcomes: As Daniel Goleman argues, positivity is part and parcel of focused attention. “Pessimism narrows our focus,” he writes, “whereas positive emotions widen our attention and our receptiveness to the new and unexpected.” Organizational leaders can benefit from imagining organizational “end-states” during strategy sessions. This can be as simple as posing a variant of the question Goleman suggests— “if everything works out perfectly for our organization, what would we be doing in ten years?”—and taking time to contemplate.

Mindfulness practices like these can help leaders — and their organizations — identify which ideas and aspirations are important and which assumptions limit their growth. They’re useful not only for attaining enlightenment but also for making sense of a changing world.

Thursday 21 April 2016

'If you don't have the right culture, it's hard to be a high-performance team'


Former South Africa rugby captain Francois Pienaar talks about his role on Cricket South Africa's review panel. INTERVIEW BY FIRDOSE MOONDA in Cricinfo



"I have been really privileged to get involved in high-performance teams that have won" © Getty Images



Despite consistently boasting some of the best players in the world, South Africa remain the only top-eight team that has never reached a World Cup final or World T20 final. After a year in which both the men's and women's teams crashed out of a major tournament in the first round, while the Under-19 team failed to defend their title, Cricket South Africa are determined to discover why and have appointed a four-person panel to investigate.

The highest-profile person on that panel is Francois Pienaar, the Springbok (rugby) World Cup-winning captain in 1995. He and coach Kitch Christie hold an enviable 100% winning record, while Pienaar also enjoyed great success at domestic level. It is hoped some of his knowledge will rub off on the cricketers.

Pienaar spoke at the launch of the Cape Town Marathon, for which he is an ambassador, about his involvement with Cricket South Africa's review panel, what it means to be a high-performance team, and how to create a winning culture.


Why did you agree to be involved in the CSA review? 

Passion. I love this country and I have been involved in cricket - I've played cricket at school, I played Nuffield Cricket, I was involved in the IPL marketing when it came here in 2009. As a panel, we all know things about high-performance and closing out games. I have been involved in a number of initiatives where we've put structures in place and they have borne fruit. This is just a privilege, to be honest.

How will you and your fellow panelists approach the review?

What we will try and learn is what the trends over the last ten years are. We will look at trends, selection, stats and come up with recommendations.

What do you, specifically, hope to bring to the review? 

A different thinking from not being in the sport, coming from outside the sport. I have been really privileged to get involved in high-performance teams that have won.

Can you talk about some of the teams you were involved with and how they achieved what you call high-performance status? In 1993, the Lions won 100% of their games. 

In 1994, we won 90%. As captain and coach of the Springbok rugby team, Kitch Christie and myself, we never lost. There was a certain culture of that side and a way of doing things. Our management team fulfilled high-performing roles in getting us to get a shot at the title. Even then, there are no guarantees. When you get to the final, it's a 50-50 call and it's the smart guys who work out the margins. It's all about the margins.

Then I went over to England and rugby was really amateur. I was a player-coach at Saracens, I needed to put those processes in place and, luckily, took the team to win their first ever cup. Those sort of things I am really proud of.




A brand to admire: the All Blacks have won the last two World Cups © Getty Images


Have you seen anything similar to that in cricket?
I had a magnificent session with the Aussies before the Ashes in the early 2000s. They asked me to do a session on margins and big games and how to close out games. I was sort of embarrassed. The best cricket team in the world by a long shot was asking me, but I found it so interesting. My payment there was that I got an insight into how they run their team. Steve Waugh as a captain and a leader - wow! I got so much from that.

What makes a high-performance team?

Culture trumps strategy for breakfast. If you don't have the right culture in any organisation, it's very hard to be a high-performance team. The brand must be stronger than anything else. CEOs and coaches and captains come and go but you have to understand the culture and the core of why teams are high-performance teams, and you can't tinker with that. As soon as you start tinkering with that, then you stand the risk of not remaining a high-performance team.

Look at the All Blacks brand [New Zealand rugby], and how they nurture and love and embrace that brand. One of the nicest things for me was at the last World Cup when Graham Henry, who coached them when they won the World Cup in 2011, was coaching Argentina and New Zealand were playing against Argentina in the opening match at Wembley. I was there. My question would be what would happen in South Africa if a team of ours - cricket, rugby, soccer - if the coach who had won the World Cup in the previous outing is now coaching the opposition in the opening match. Would we invite him to lunch with the team the day before the game? I think not. They did that. The All Blacks invited Henry because he loves the guys, he is part of that brand, part of that passion, so why should they not invite him? They knew, if we are not smarter than him, if we don't train hard, then we don't deserve to win. It's about the culture.

Then afterwards, Sonny Bill Williams gave away his medal. Was it him or part of the culture? I would think it's part of the culture. Same with Richie McCaw. Why did he not retire in the World Cup? Because if he did, it would have been about him and not about the team, and he knew it needed to be about the team. That's my take.

How do you create a winning culture? 

Let's go back to rugby. Every World Cup that has been won since 1987, the core of that winning national team came from the club side that dominated. So that side knew how to win. Like in 1995, the core of our team was from the Lions. If you infuse that culture with incredible players, they will enhance the way you do things.




"We will look at trends, selection, stats and come up with recommendations" © IDI/Getty Images


Are there other elements that go into creating a winning team?

Form is very important and so are combinations - they have to work very well - and then there is leadership. How do the leaders close a game down, how do they make decisions, and how do you work with other leaders in the team to do that?

Rugby is a fairly simple game: it's about how easy you release pressure, your exit strategy, and how you stay unpredictable on attack. For that to happen, there are certain elements that need to fall into place. But the overarching thing is, do you have the right culture, have the right guys in form, have the right combinations and the leaders? Can they execute? And by leaders it's not only the captain, it's the coaches, the management staff. If you can do that right, you will be competitive a lot of the time, and if you can bottle that so that when the next guy comes, you pass the baton - you can't change that. Bottle it, understand it, love it. You'll be on the right track.

Is one of South Africa's problems that they have not found a way of gaining or transferring that knowledge? 

The transfer of knowledge is something I am quite interested in discussing. Do we do that, and what are the reasons for us not doing it? In rugby, we've never had that culture. We don't have ex-coaches, for example, involved. We have got universities, schools - how can we bottle that, how can we work together? The transfer of knowledge and the sharing of ideas, we need to rekindle that.

Will transformation form part of the review? 

Everything is open for discussion and it should be. If you want to do a proper job, you should have the opportunity to ask questions about all elements that enhance high-performance.

Thursday 14 August 2014

Arming people and bombing them at the same time: that’s some strategy

By Mark Steel in The Independent

At last the West has developed a coherent strategy for Iraq. It goes, “No, hang on, maybe if we arm THESE blokes on the backs of trucks, make up THESE stories and bomb everyone on THIS side of the mountain, maybe THAT will work.”
There can’t be many people in the Middle East who haven’t been bombed by America for using the weapons given to them by America. Millions of people out there must be psychological wrecks, not because of shell shock but because when a Western army arrives, they don’t know if they’re going to be tortured with garden shears or given a palace and told they’re the new king.
The poor sods who ruled Iran must all need counselling, telling a therapist, “America kept saying it wanted to bomb me, now it says that when it told me I was a rabid, lying, filthy piece of squalid medieval vermin building nuclear weapons so I could destroy the universe and make flowers wear burkas, it was only being ironic. And if we really haven’t got any nuclear weapons they’ll lend us a couple, as long as we use them against the Islamic State people. I’m so confused I’ve started barking like a dog.”
We support anti-Assad forces in Syria, but some of them support Isis, who now call themselves Islamic State, so now we want to arm them and bomb them at the same time. If we can supply them with rocket launchers that they fire against Assad in the morning, then in the afternoon use them to blow themselves up, maybe that will keep everyone content. 
With similar skill we armed Osama bin Laden, and Saddam Hussein, and Colonel Gadaffi, and there must have been times when we’ve swapped sides during an air strike, between a bomb being launched and when it landed, so we’ve had to try and get all the armies on the ground to move round as we’re now on the side of the militia we were about to wipe out.
Former US presidential candidate John McCain is a master at this art. Since losing the election McCain has called for so many wars he’s been like those people who try to visit every football ground in the league,  aiming to call for every single country in the world to be bombed, ticking each one off as he goes. Eventually he’ll call for air strikes on Liechtenstein and the occupation of Barbados and he’ll be finished. 
In May of this year McCain went to Syria to pose for photographs with Syrian rebels who he insisted we supply with weapons. But the rebels he befriended are now part of Isis. This is a slightly unexpected turn for the right wing of the Republican Party – that it now supports holy jihad and the destruction of the West – but it’s a shrewd politician who knows how to move with the times.
It makes you realise if they hadn’t hanged Saddam and shot Bin Laden, they’d probably both be back on our side by now, and occasionally reviewing the papers on the BBC News Channel. There certainly seems to be nostalgia for Bin Laden, as politicians and commentators have insisted the current enemy is “far worse than al-Qa’ida. Because say what you will about the fundamentalist rascals, at least they were gentlemen, and the basements they made their videos in were always impeccably tidy, not like this lot you get these days”.
So a more efficient method of arranging our Middle Eastern wars might be to line everyone up when we get there, and pick sides, like with football teams at school. A general and a jihadist can take turns to select soldiers until there are only the useless ones left, then each side can wear yellow bibs so everyone knows who to fire at and who to call despicable savages that have to be stopped as we can’t stand by and do nothing.
To be fair there are some areas in which we’ve tried a more stable approach. For example, Saudi Arabia is always seen as a friend, and we’ve just agreed to sell them another £1.6bn worth of arms. But that can’t do any harm because at least they’re a modern nation with decent liberal values, like a little bit of Brighton in the desert. 
And Israel is always a close ally, with £3bn of arms a year from America, which goes to show if a country keeps its nose clean and doesn’t behave unpleasantly in any way it will be rewarded now and then with little treats.
That’s why one of the most confusing aspects of all is those people most keen to start another military campaign in Iraq, seem to dismiss the idea that the current mess has anything to do with the last military campaign in Iraq. And they may be right, because although we invaded the place on the insistence that there were weapons that didn’t exist, killing so many people we somehow made things even worse than they’d been under Saddam, we left there 18 months ago so I don’t suppose anyone still remembers that now.
So politicians will explain that we have to send our armies again, because these people are “pure distilled evil, the most appalling creatures, far worse than Satan”, before it’s pointed out to them that six months ago they invited them all to the White House for a barbecue and as a present gave them a flamethrower and a tank.

Saturday 28 June 2014

The difference between Gordon Brown and Tony Blair

Gordon Brown is back, and may be the man to save the union

He was reviled after he lost the 2010 election, but the former PM is now reframing the Scottish independence debate
Gordon Brown smiling
‘Gordon Brown retains a standing in Scotland which he never really had in England. He is seen as a national heavyweight.' Photograph: David Moir/Reuters
Tony Blair was on the front page of the Financial Times this week, as the paper brought word of the former prime minister's plan to open an office in "the increasingly assertive oil-rich emirate" of Abu Dhabi. The FT explained that Blair is expanding his portfolio of business and other interests in the Middle East, which already includes a contract to advise Mubadala, one of Abu Dhabi's mighty sovereign wealth funds.
A few hours later, Blair's successor, Gordon Brown, came to London to advance some business of his own. Brown was in the capital to attend a series of unpaid meetings in cramped rooms, pressing the case for Scotland to remain part of the UK. He was rewarded with a cup of canteen coffee.
The contrast between Britain's last two prime ministers could hardly be sharper. They were always unalike, but now they inhabit different worlds. Blair has morphed into Adam Lang, the permatanned, globetrotting ex-statesman-for-hire at the centre of Robert Harris's novel The Ghost. Brown refuses the pension owed to him as a former prime minister. The jacket of his latest book, My Scotland, Our Britain, discloses that any profits will be given to charity. When he wrote recently for the Guardian, he declined the (admittedly modest) fee. As far as anyone can tell, he lives with his family at home in North Queensferry on his MP's salary. By his actions, he declares himself the unBlair – a man determined not to profit from his public position.
So while Blair has the sleek glow of the expensively dressed elite, Brown pitches up in a suit whose years of heavy-duty service are visible: there's a tiny hole in his sleeve. But the difference goes deeper. While Blair is unembarrassed, eager to sound off about the future of the Middle East – when others might have held back, given how things turned out in Iraq – Brown has proved more reticent. After his defeat in 2010, he allowed the coalition and its allies to trash his reputation, to pretend it was Brown's profligacy, rather than a global financial crash, that had ballooned the deficit. Privately, he told friends there was no point trying to defend himself, as people were in no mood to listen. Defeated leaders like him have to "go through a period when they're reviled, that's just the way it is".
He still holds to that vow of silence, more or less, on UK-wide politics, letting Labour's new generation have the battlefield to themselves. But in recent months he has broken his own golden rule and stormed back into the public square, to play his part in a contest he says differs from normal politics because its outcome could be irreversible. His fellow Scots are about to vote on independence, and he wants them to say no.
He is campaigning vigorously, speaking in Aberdeen today on the contested question of North Sea oil, packing out halls and addressing rallies day after day. "He's now a key part of the conversation," reports the Guardian's Scotland correspondent Severin Carrell. So omnipresent has Brown become that observers describe him as the most prominent, commanding Labour figure in the campaign, stirring the faithful in a way that Alistair Darling – who leads the cross-party Better Together group – cannot.
Much of this is down to the well-worn observation that Brown retains a standing in Scotland he never really had in England. North of the border he is seen as a national heavyweight, the last of a leadership class that included the late Donald Dewar, John Smith and Robin Cook, and is therefore automatically granted a hearing. But there's more to it than that.
Whatever Brown's flaws – and even his closest friends cannot pretend he was temperamentally suited to the top job – few doubt his analytical gifts. The reason he remained in command of Labour strategy for so long was his knack for understanding and framing a political argument. With the Chinese military strategist Sun Tzu, he understands that every battle is won before it's fought. It's won by choosing the ground on which it will be fought. And this is the key contribution Brown is making to the no campaign.
He diagnosed a key error in the way the argument had been framed. It had become Scotland v Britain, with Alex Salmond and the Scottish National party arguing for Scotland and everyone else championing Britain. That, says Brown, might be fine if the entire UK electorate had a vote on 18 September. But they don't. Only Scots vote in this referendum, which means this has to be framed as a choice for Scots: which Scotland will flourish, one that retains its political ties to the other three nations of these islands or one that severs those links?
It's such a simple point, it seems extraordinary anyone had to make it. But Brown is right. When David Cameron delivered his big speech on the topic in February, not only did he do it in London, he rested his case on why the union had been good for Britain. That answered the wrong question. Given the electorate involved, the only question that matters is: is the union good for Scotland? Framed like this, every issue looks different. Take the vexed business of currency. Brown reckons George Osborne walked straight into a nationalist trap when he declared that an independent Scotland would not be allowed to keep the pound: it was London at war with Edinburgh, Britain bullying Scotland.
The right way to argue it, says Brown, is to ask what's best for Scotland: to use the currency of a country you've just left and whose rules you no longer have any say over or to retain your seat at the table, with some control over your own money. The former would be a "semi-colonial relationship", says Brown, Scotland using a currency shaped by officials in faraway London. Framed like that, it's suddenly Brown who's putting Scottish interests first and, oddly, Salmond who's left defending a supine relationship to London.
The way Brown describes it, the union is no longer an imperial hangover that represses Scotland but a neat set-up for distinct and proud nations to club together, sharing resources and pooling risks. That arrangement has served Scotland rather well: why on earth would you throw it all away?
The nationalists have an answer, of course they do. But Brown's version makes it a much harder question. Now other no campaigners are following his lead, adopting the frame he constructed. On the ground, among Labour's core vote, it seems to be working; some detect a stalling in momentum for Yes. They all laughed when Brown accidentally claimed to have saved the world. But, who knows, he might just save the union.