Archive for the ‘Geopolitics’ Category

Brilliant Manoeuvre
Disable your opponent’s centre of gravity–his unique source of balance and strength–and do so quickly and with resolve when you have a window of opportunity.

Discussion
Whatever you make think of the overall political and strategic rationale, the US-led invasion of Iraq in early 2003 is a textbook case of attacking when the time is right even though you aren’t fully ‘ready.’ Coalition forces invaded Iraq with lightning speed and continually kept the Iraqi forces reeling. The offensive had so much momentum that there was barely time to assemble and process prisoners. American forces headed almost straight for Baghdad–the strategic objective–and didn’t waste time with sidefights and securing flanks. This is also exactly how the German invasion of France in 1940 played out. The Germans headed straight for the Channel coast in order to cut off the bulk of French mobile forces that had moved forward into Belgium where they expected the bulk of the German army to attack.

Tip
These historical military examples show that there are occasions when boldness and speed can more than make up for uncertainty, relative weakness, and lack of resources. They also demonstrate that you have to aim for the centre of gravity to disable it as quickly as possible. Whether you’re in sales, product development, procurement, etc., the best objective is to attack your opponent’s or your problem’s centre of gravity quickly and directly.

Richard Martin is a consultant, speaker, and executive coach. He brings his military and business leadership and management experience to bear for executives and organizations seeking to exploit change, maximize opportunity, and minimize risk.

© 2013 Richard Martin. Reproduction and quotes are permitted with proper attribution.

Brilliant Manoeuvre
No one can predict the future, much to the chagrin of many economists and financial theorists and their media acolytes, who prefer assumptions of perfect knowledge and decision-making in all circumstances.

Discussion
I’m breaking my deliberate policy of not commenting on political issues this week in order to comment on reactions to the Boston Marathon bombings last Monday. My personal opinion is that the response of government and law enforcement agencies at all levels has been brilliant in the circumstances. However, there are already Monday Morning Quarterbacks saying that the government overreacted by shuttingn down Boston on Friday and part of Saturday. The problem is that the ones responsible for making these decisions can only plan and act based on information available at the time and the factors they felt they needed to consider. Just throwing out there that they overreacted without knowing those things is pure speculation based on specious counterfactuals or a personal hobby horse. If there is something I learned from a 26-year military career and my study of military strategy and history, it is that decisions that can look sub-optimal in hindsight may have been the best at the time given the circumstances of friction, uncertainty, and the fog of war. In this particular case, only a full after-action review will permit the systemic learning to occur. Saying it was an overreaction is nothing but pure hindsight bias.

Tip
The more complex and risky the undertaking, the more likely that friction will wreak havoc. We must compensate by building robustness, resiliency and redundancy into our plans and systems.

From the Vault
A Superb Example of Crisis Leadership in Action

By the way…
My ideas were featured in the March 25th Globe and Mail: A military approach to business.

Richard Martin is a consultant, speaker, and executive coach. He brings his military and business leadership and management experience to bear for executives and organizations seeking to exploit change, maximize opportunity, and minimize risk.

© 2013 Richard Martin. Reproduction and quotes are permitted with proper attribution.

Brilliant Manoeuvre
Active, covert threats will continue to grow, and companies must be on the lookout for attacks not just from direct business competitors, but also from actual and potential opponent groups.

Example
At the end of 2011, the computer networks of Stratfor, a strategic forecasting consultancy, were hacked. Financial and other confidential client records were stolen. A group that was opposed to Stratfor’s activities was presumably at the origin of this breakin. Stratfor’s systems and operations were compromised for over a month, and the company had to invest considerable sums and effort to get back on track.

Tip
Most of the intelligence that can be generated about threats and opportunities is staring us in the face, if we are open to seeing it. We have to keep an open mind and be on the lookout for significant changes. We have to keep employees apprised of the situation and objectives so they can also be on the lookout for threats and opportunities, and communicate these to management.

Richard Martin is a consultant, speaker, and executive coach. He brings his military and business leadership and management experience to bear for executives and organizations seeking to exploit change, maximize opportunity, and minimize risk.

514-453-3993 (toll free 888-453-3993)

richard.martin@alcera.ca

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© 2012 Richard Martin. Reproduction and quotes are permitted with proper attribution.

by Laurent Duperval, Duperval Consulting Inc.

In the Western world, World War II is remembered as a victory of the Allied Forces against Germany, Japan, and Italy. That may well be but when reading John Toland’s analysis of the Japanese situation in The Rising Sun, a slightly different picture emerges: Japan was as much to blame (to laud?) for its downfall as were the Allies.

The leaders of the Japanese Army and Navy did not like each other. They fought repeatedly amongst themselves to appropriate precious and scarce resources: men, boats, planes, food. In order to win “The Decisive Battle” and reap the glory, some members of the Japanese high command were actively sabotaging efforts of the other faction, by taking resources which were not theirs and disregarding direct orders.

This infighting caused resources to be allocated incorrectly; it caused many men to die in battle for lack of resources or because battle plans were not followed correctly; it created enough problems within the Japanese military to allow the Allied Forces to eventually crush the Japanese.

Individuals within the military were so focused on their personal glory that they forgot about the real primary objective: To win the war.

Businesses who fall into this same behavioural pattern risk the same fate. When top level executives are openly at odds, it can create an atmosphere that affects employees, business decisions, and the bottom line. Executives must align with the overall objective of the company.

This does not mean, however, that they have to agree all the time. Disagreement is normal, and should be expected of top executives: They did not get to their current positions by being milquetoast. However, once a direction is chosen by the CEO or by the board, as long as individuals remain within the company, they should be helping to achieve that objective and not show dissension publicly, especially in front of employees.

In the case of the Japanese, the fighting was amongst the generals, but nobody-for example, the Japanese Emperor, considered as the Supreme Commander-stepped in to force them to align with the country’s objectives. In businesses, especially smaller ones, it can also be the owners who wreak havoc on the bottom line. One small tech company suffered such a fate.

The owners of the company, one acting as CEO the other as CTO, were at odds with each other. The CEO had lost his faith in his partner, the CTO. The CEO blamed the company’s woes on the poor quality of the product. The CTO blamed the company’s problems on the CEO’s poor management and poor decisions. This caused one to undermine the other, and their direct reports to be stuck in between. Eventually, the company folded.

When it isn’t the owners or the executives, it can be the employees themselves who cause a company to drift. A July 2012 Vanity Fair article chronicles the problems faced by Microsoft in the last decade. One of the problems which severely hampered innovation was something called “stack ranking.” In effect, during semi-annual reviews, no matter how employees performed, 20% would get a good score, 70% would get average scores, and 10% would get bad scores. Managers would meet before the reviews to “negotiate” employees’ scores.

Since reviews affected employees’ salaries, and occurred very frequently, it caused employees to focus on short-term results, and made them try to negatively impact the work of others. This toxic atmosphere has caused Microsoft to stagnate in the marketplace, while being surpassed by more nimble and effective companies such as Facebook, Google, and Apple.

Maintaining harmony isn’t about being nice all the time. Often, it has nothing to do about being nice. Maintaining harmony is about respect among individuals, alignment with the company mission, and focusing on what is best for the company and its employees.

Otherwise, the company might well be committing hara kiri.

© 2012 Laurent Duperval

Today is the 50th anniversary of the erection of the Berlin Wall. A little known fact is that the “wall” actually ran the entire length of the Inner German Border.

I saw the wall at a place called Hof in 1989, near the Inner German-Czech border. I was serving as an officer at 4th Canadian Mechanized Brigade Group in Germany at the time. We visited a unit of the 2nd Armoured Cavalry Regiment near there. They took us to a border point. It was sobering to see the “wall.” Two rows of chain link fences about six feet apart with barbed wire and electrified wires at the top. There was also a wire running down the middle with a very mean half-starved German Shepherd patrolling his particular length of fence. Nearby there was a concrete guard tower about 50 feet off the ground manned with border guards with AK47s and, no doubt, machine guns.
At the location they brought us, there was an East German textile factory just on the other side, with women looking at us from the windows, and waving. The American Staff Sergeant had warned us all prior to going that we were not to wave back at the girls because the East Germans would take pictures and then doctor them, say to show a NATO soldier flipping the bird instead of innocently waving at a pretty girl on the other side. Wouldn’t you know it, we weren’t there 30 seconds that some dolt couldn’t help himself and waved back. The American NCO immediately sent him back to the bus.
Our German translator stood there and had tears in his eyes. It was sobering and moving, and I will never forget the experience.

© 2011 Richard Martin. Reproduction and quotes permitted for non-commercial purposes with full and proper attribution.

I’m not against oil per se, or any other energy source for that matter. However, developments in recent years lead me to question how long Western economies will remain dependent on oil, particularly gasoline to propel automobiles. Gasoline consumption in the US appears to have peaked a few years ago, and continues on its downward trend. Substitution of lower consuming cars is just getting underway: hybrids, plug-in electric vehicles, continuing increases in efficiency of gasoline engines, more diesel engines, etc.

As electricity becomes progressively more important in vehicle propulsion, we can expect demand for electricity to continue rising. That means more centralized electricity production. These plants will continue to be fuelled by (hopefully cleaner) coal, natural gas, nuclear, hydro, and possibly wind and solar sources (though not in any great quantity for the latter).

On the other hand, with the massive growth in Asia, they will take up the slack in oil demand and eventually surpass Western based consumption. Countries such as China and India will continue investing massively in oil production and development of reserves in the Middle East, Africa, and Southeast Asia. Russia will probably also supply their needs. So, we will have a block of economic juggernauts getting their oil from underdeveloped countries with authoritarian regimes. Neither side cares much about human rights, political freedom, or the environment.

© 2011 Richard Martin. Reproduction and quotes permitted for non-commercial purposes with full and proper attribution.

It’s a fallacy to think that war can be prevented by having intertwined economies. If it were, there would be no civil wars such as what happened in Yugoslavia in the 1990s. If anything, it can create even more animosity between countries because it can provide an excuse to claim inequality and victimhood, both good excuses for going to war.

© 2010 Richard Martin. Reproduction and quotes authorized with proper attribution.

Michael Beschloss wrote a book about the immediate post-WWII period called The Conquerors. There was a struggle between the forces of vengeance and the forces of enlightened self interest. There was no lack of government officials in the Allied camp who were more interested in punishing the Axis countries than in reconciliation and setting the conditions for democracy and wealth. Churchill thought the Nazi leadership should be summarily executed. Hans Morgenthau wanted to return Germany and Japan to agrarianism. Roosevelt’s leadership, and then Truman’s, was key in ensuring hasty reconstruction and a return to normalcy (which was quick given the circumstances).

To contrast with the Marshall Plan, the Soviets set up socialist workers paradises in all of the countries they liberated, and then proceeded to loot them, East Germany being the worst case. Amongst other things, they moved hundreds of factories lock, stock and barrel to Russia. The US and the other Western allies disarmed quickly and only left token occupation forces in West Germany. The Soviets kept millions of troops in Eastern Europe. They did the same in Korea north of the 38th parallel.

Which has been more successful in the long run?

© 2010 Richard Martin. Reproduction and quotes authorized with proper attribution.

Every once in a while I feel like ranting. This is one of those times. The object of my censure? Global warming. You read that right. I’m one of those people who actually questions whether, a) the earth is getting warmer and, b) whether humans are the cause of the warming. Don’t worry, I’m not going to get into the science or try to convince you. On the other hand, I do wish to point out what I believe are some fundamental fallacies in the debate.

I think it is critical that leaders in business, government and science take a stand against simplistic explanations and policy prescriptions that could be massively disruptive to our quality of life, now and in the future. Labelling as a “denier” someone who questions the policy prescriptions (some of which are decidedly moral in scope), or even the science, only serves to stigmatize people whose doubt is genuine and moves the debate further away from rational discourse about possible causes and consequences.

We’re bombarded by claims that the earth is getting dangerously warm, and will continue to do so for the next decades. We’re also being told that this warming is caused by humans’ excessive use of fossil fuels, because this causes us to spew too much carbon dioxide into the atmosphere. Carbon dioxide is a greenhouse gas, which means it has some part to play in keeping the temperature of Earth liveable, along with other greenhouse gases such as water vapour, methane and the nitrogen that makes up about 80 % of the atmosphere. To put things in perspective, the surface temperature of the planet would be about minus 18 Celsius were it not for the greenhouse effect.

We are told that there is a “scientific consensus” about anthropogenic global warming. There may indeed be a majority of climate scientists who think that the earth is getting warmer and that this may be caused by greenhouse gas emissions. But does that mean that there really is a consensus? That would imply that there is agreement on what is happening to the earth’s temperature over long timescales and this phenomenon’s implications for the atmosphere, biosphere, ice cover, oceans, continents, and humanity. My research leads me to the conclusion that there is actually very little scientific consensus about these matters. In fact, there seems to be healthy scientific debate, which is exactly the way things should be. I would go even further and assert that the concept of scientific consensus is bogus, because debate and disagreement are fundamental to science. If you take away the debate, doubt, and disagreement you get ideology.

There is also a principle in science that states that the simplest explanation for a phenomenon is usually the best and most accurate one. The hypothesis of anthropogenic global warming is indeed simple, but the explanation that is proffered must be weighed against competing theories. Just ask yourself this: If humans are causing global warming now, then what caused the glaciers to melt? Could there not be other theories of climate change that could explain the many climate changes in Earth’s history? There are scientists (usually not climatologists and more often geologists and astrophysicists) who have been proposing alternative hypotheses and theories for global warming which don’t necessarily involve human activity as the principal driver of climate change. They don’t say the latter isn’t possible, but merely that it isn’t likely given all the other potential explanations.

A vocal minority has taken control of the debate and is telling us that we have to consume less energy (not a bad idea in and of itself), that we should be paying taxes to penalize excessive fossil fuel use, and that we should be changing our civilization to make it “greener.” The problem is that many of the solutions to replace fossil fuels are not as reliable or efficient, are more expensive by orders of magnitude, and would take decades, if not centuries, to implement. New taxes or policies may be appear salutary in the short term, but they always have unintended consequences. Even worse though, are all the do-gooders who want to ensure that the poor of the world don’t have access to the same quality of life and wealth as we do by restricting their ability to benefit from a high-energy lifestyle. It’s no surprise that developing countries have opposed treaties to regulate greenhouse gas emissions. They know that doing so could hamper their economic development, just as it’s taking off.

What does this have to do with management and leadership? In a nutshell, I think that leaders in all fields must take the initiative in denouncing ad hominem attacks, overly emotional arguments, and calls for conformity. Humans have done an excellent job over the centuries of improving quality of life through new energy sources and uses for the power they provide. It is economic necessity and logic that will bring about more efficiency in our energy use, not global treaties and arbitrary taxes that are imposed by do-gooders and others who have nothing better to do than control others’ lives.

In other words, we need a global cooling of rhetoric, and a rational approach to energy use. I believe a healthy scepticism about totalising explanations and prescriptions, combined with scientific curiosity and the practices of sound management are what will give us the best approach to our problems.

© 2010 Richard Martin. Reproduction and quotes permitted with proper attribution.

See this article in the April 13th Globe and Mail where I’m quoted on the topic of contingency and relief planning for unforeseen absence of a senior executive.

When the loss of leadership is sudden and devastating