My friend and colleague at the Medinge Group, Ava Hakim, passed on a few papers from her day job at IBM. The first is the latest edition of a biennial global CEO survey, while the second asks the next generation of leadersâGeneration Y. The aim: to find out what these groups think about the challenges and goals for CEOs.
Unsurprisingly, both studies (involving thousands of respondents) had commonalities, though Generation Y placed global awareness and sustainability more highly on their list. Creativity, however, is ranked as the most valuable leadership trait. What society doesnât need, they tell us, is the same-again thinking if we are to make progress in the 2010s. The old top values of âoperational excellenceâ or âengineering big dealsâ no longer come up top in this new decade.
Or, as I heard from one gentleman yesterday, we canât afford to have the sort of âexperienceâ certain people tout, for they do not have 25 yearsâ experienceâthey just have one yearâs experience, over and over again, 25 times.
You know Iâm going to say it, so I might as well: this sounds like the sort of âexperienceâ some of my political opponents have had, day in, day out. Groundhog Day comes to mind.
Indeed, the studies indicate that we have a far more complex world, and same-again thinking isnât going to cut it.
In the first study (emphasis in original):
Creativity is the most important leadership quality, according to CEOs. Standouts practice and encourage experimentation and innovation throughout their organizations. Creative leaders expect to make deeper business model changes to realize their strategies. To succeed, they take more calculated risks, find new ideas, and keep innovating in how they lead and communicate.
The most successful organizations co-create products and services with customers, and integrate customers into core processes. They are adopting new channels to engage and stay in tune with customers. By drawing more insight from the available data, successful CEOs make customer intimacy their number-one priority.
Later:
Facing a world becoming dramatically more complex, it is interesting that CEOs selected creativity as the most important leadership attribute. Creative leaders invite disruptive innovation, encourage others to drop outdated approaches and take balanced risks. They are open-minded and inventive in expanding their management and communication styles, particularly to engage with a new generation of employees, partners and customers.
And:
Creative leaders consider previously unheard-of ways to drastically change the enterprise for the better, setting the stage for innovation that helps them engage more effectively with todayâs customers, partners and employees.
The study also highlights an increase in globalization, especially in developing markets, leading to greater complexity. It also says the most successful leaders are prepared to change the business models under which they operate.
In fact, the world we now live in demands that our leaders are globally aware, and see the need to compete in a global market-place.
The implications for this city are that Wellington can no longer afford to see itself as merely the capital of New Zealand or the geographic centre. It is one of many cities that must compete for attention and resources at a global levelâwhich means creating world-class centres of excellence for our industries. Creating such clusters can even help them stay domestically owned.
The study indicates that the style of leadership is going to be, necessarily, internationalistâwhich means we canât afford to have leaders who are monocultural, and fake multiculturalism. This, like any aspect of a brand, must be embodied for real. It doesnât mean giving up what âbeing a New Zealanderâ is; it does, however, mean that we have to be able to communicate with other nations and cultures, seeking advantages for ourselves.
Innovation is a driver both in terms of internal processes and as a core competenceâso leaders had better be prepared to do this. And being closer and more transparent with customersâor in the case of a city, citizensâis something practised by the most successful leaders, says the study. It reminds me of the topics in the first book I contributed to, Beyond Brandingâwhere integrity and transparency were at the core.
When it comes to the Generation Y study, the results were similar. This table summarizes the two quite well, and notes how the two groups differ:
I donât want to be giving the impression that the second study is less important, but realize that some of you are sorely tempted to see me wrap up this post.
I will say, quickly, that the lessons are clear: the next generation expects leaders to be globally minded and sustainable.
Chinese respondents in the second study, in fact, valued global thinking ahead of creativity. This perhaps highlights where the Peopleâs Republic, above the other Chinese territories, is heading: looking outwardly first and delivering what customers in export markets want.
As creativity is naturally a trait among Wellington businesses, itâs nice to know that many are already prepared for the challenges of the 2010s. And some of our most successful names would not have got to where they are without global thinking, even if some have been acquired by overseas companies: 42 Below, Weta, and Silverstripe come to mind.
However, I canât see these traits being reflected in politicsâand thatâs something I hope we can change in the local body elections, for starters.
This weekend was spent in recovery mode after getting some weird stomach bug before Anzac Day. Without getting too gross, letâs say it took a lot out of me. Thatâs right: I was energetically drained.
But itâs not to say that the campaign has stopped or slowed. Things seem to be proceeding at a good paceâsometimes so well that I have to admit I have less time to blog.
I met with both a Mr Andrew Jackson and a Mr Calhoun in the last two weeks, which I am sure our American readers will be getting a chuckle over. While the Andrew Jackson I met is British-born and not related to the American president of the $20 banknote, Brian Calhoun of Silverstripeis directly descended from the seventh vice-president.
Both gentlemen shared the same visions as I did. Andrew, who was introduced to me via my fellow Medinge director Patrick Harris, looks at the Wellington region over the next 10â20 years in his job with the Ministry of Economic Development. While I stated that I did not believe in a super-city for Wellington in 2010âwe are governable, after allâI had to admit that there would come a time where the capital would have to compete for resources from central government as a region. And that region might look very different in the 2020s with a second international airport and a light rail service. If elected mayor, itâs not going to be something that will be built between 2010 and 2013, but Iâd sure need to be aware of long-term developments for the region. (It also highlights the need to grow jobs under the creative cluster plans, so we can begin talking options.)
On that note, it would be prudent to recommence the regional mayoral meetings in a slimmer form. Right now, mayors from all over the Wellington region come with entourages, ensuring nothing gets done. Letâs take that back to meeting with mayors and regional MPs without all the red tape and get some high-level agreements made after October 2010.
Meanwhile, Brian presides over one of the most successful software companies in the landâand I like Silverstripeâs current mantra, âBe more humanâ. It links to my own ideas that humans are in charge of technology and not vice versa. And Silverstripe, under his leadership, has done remarkably with annual growth rates of 63, 70 and 57 per cent.
His belief is that Wellington businesses can grow if they have the right advice and adopt a leadership posture to what they do. Itâs a good cultural argument: let the brand be well defined, and live the right attitude within the organization (these are not Brianâs words, but what I took from what he said). I remarked that that was largely how I got my own businesses to where they were.
But hereâs something significant: Brian, as I, believes that Wellington can be one of the worldâs leading cities. We can lead in terms of web, tech and software development, for starters, being the sort of place that attracts both talent and envy. Weâve both been around the world, weâre aware of what ingredients need to be in place to make this happen, and weâre certain on the steps we need to take to make some of Wellingtonâs businesses world-class champions.
Iâd rather have free wifi in the central city and a vibrant creative cluster than another sculpture (as much as I like the ones we have) or another stadium suffering from a NZ$20 million cost overrun. And I know we can build these businesses from the ground-up and keep them Kiwi-ownedârather than asset-strip and have foreigners snatch them up, which still seems to dominate the thinking of central government.
Speaking of which, I see that a bill amending the Local Government Act 2002 has been tabled. And that bill says that if a private corporation wants to control our water, it can do so for 35 years. That company set up to sell our water back to us no longer needs to be majority council-owned.
This is madness. Not only have we owned our water from day one, it is anathema to my thinking that some foreign corporation raking in US$50 billion per annum could control it. These corporations exist, and you can bet they are eyeing New Zealand up lustfully in the hope that the law is changed.
Better to have water stay in public hands and have all of us contribute to proper conservation programmes, I say. But, say the privateers, surely we can charge for water? âWhat? The poor canât afford it? Itâs not as though they need to wash every day, is it?â
The ghosts of Slater Walker and their ilk still walk the hallways at some political partiesâ HQs. And they still think they are in charge.
Incidentally, I seem to be getting decent (and by âdecentâ I mean âfair and balancedâ) air time on the radio airwaves. So far Iâve done Newstalk ZB a couple of times, as well as their competition over at Radio Live. Laura Daly at Access Radio did a wonderful interview with me earlier in April (I will be back on that station with my opponent Celia Wade-Brown in Espace Français on May 15 in my first political interview in French). Radio New Zealand National, meanwhile, interviewed me a few times during the whole Wellywood saga, but I am glad that I had a more personal one-on-one with Sonia Yee during her Asian Report last week. Hereâs the link to the programme for those who might want a slightly less political broadcast (the MP3 is here).
Mostly by focusing on growing creative clusters and taking a bigger slice of the cake. So it is not from technocratic ideas or the notion that we are liberating more of the economy, but by growing entrepreneurship. The city will take the most socially responsible, entrepreneurial start-ups and act as an agent to grow them (with an agreement that they remain in Wellington, of course) and create the capital flows to get them funded. I realize there is Grow Wellington already, but their ambit will be shifted.
So, itâs economic growth from the bottomâup.
Then (italics added for this post):
The clusters have naturally formed but they can get so much stronger. If the city is being them, then there is no reason Wellington cannot become internationally known for them. I think in this last week I have shown that borders mean very little to me, and anyone who wants to be mayor in the 2010s needs to have a similar mindset. We are not competing just for national resources, but global ones; and by being part of the global community, we might start bridging more communities and getting some greater global understanding. The nationâstate as it was understood in the 20th century is dying as a concept, and governments have only themselves to blame. Things are shifting to the individualâcommunity level, and you are right, real things happen when it is people acting at the coal face. Those who distance themselves will not be equipped for this century.
As of tonight, the Beyond Branding Blog, where I first cut my teeth blogging, is no more.
The posts are still there, but no further comments can be entered on to the site. The nearly four years of posts remain as an archive of some of our branding thought of that period.
The blog had a huge number of fans in its day, but as each one of us went to our own blogs, there seemed little need to keep it going. Chris Macrae and I were the last two holding the fort in late 2005. Since January 2006, no new posts have been entered on to the site. No new comments have come in a year.
Googleâs announcement that it would end FTP support for blogs in May spurred me into action, and I advised the Medinge Groupâs membership this morning that I would take it off the Blogger service.
I altered the opening message to reflect the latest change.
I was very proud of the blog, because it was the first one I was involved in. It was also the first I customized to match the look and feel of the rest of the Beyond Branding site, which I designed in 2003. While the design is one from the early 2000s, it has not dated as much as I had expected. Beyond Brandingâs core message of transparency and integrity remains valid, so while the blog is no longer updated, I think the book remains relevant to the 2010s.
International think-tank announces seventh annual Brands with a Conscience awards
The Medinge Group (www.medinge.org), an international think-tank on branding and business, today releases its seventh annual Brands with a Conscience list. In the Groupâs opinion, these diverse organizations show that it is possible for brands to succeed as they contribute to the betterment of society by sustainable, socially responsible and humanistic behaviour.
In announcing the winners, Stanley Moss, CEO of the Medinge Group said, âThis yearâs awards indicate that principles of compassionate branding are being applied globally, by businesses large and small, across categories from finance to retail to energy, in established and emerging economies, in new markets. Today, brands with conscience can work to build bridges of understanding between nations and societies.â
Ian Ryder, a founding director of the Medinge Group commented, âWinning a BWAC award is more than public recognitionâit is a clear statement of your organizationâs values, one of the most powerful competitive differentiators in existence!â
The international collective of brand practitioners meets annually in August at a secluded location outside Stockholm, Sweden, and collaborate on the list, judging nominees on principles of humanity and ethics, rather than financial worth. The Brands with a Conscience list is shaped around criteria including evidence of the human implications of the brand and considering whether the brand takes risks in line with its beliefs. Evaluations are made based on reputation, self-representation, history, direct experience, contacts with individuals within the organizations, media and analysts and an assessment of the expressed values of sustainability.
Three years ago the group added a unique category commendation, the Colin Morley Award, recognizing exceptional achievement by an individual or NGO. Mr Morley, a member of the Medinge Group, died in the London Underground bombings on July 7, 2005. The award commemorates his visionary work in humanistic branding.
For 2010, the group has singled out the following organizations as Brands with a Conscience:
Alibaba Group/China
Co-op Bank/UK
Marks & Spencer/UK
Merci/France
Pictet et Cie./Switzerland
SAP/Germany
Selco Solar Pvt. Ltd./India
The Colin Morley Award is given to:
Muna Abu Sulayman/Saudi Arabia
Detailed descriptions and web links follow:
Alibaba Group www.alibaba.com
A young Asian brand built on the idea that it must exist as an experience to elevate their own or other peopleâs level of happiness. Jack Ma founded Alibaba in his cramped apartment with 17 colleagues. A decade later, Alibaba Group is the largest ecommerce company in China, with 15,000 employees and more than 100 million users. It also has a B2B unit with a community of more than 42 million registered users from more than 240 countries and regions. This year Alibaba will unveil partnership plans for Grameen China, a project to significantly increase access to micro-credit for poverty alleviation in Sichuan and Inner Mongolia. (Medinge named Grameen Telecom a Brand with a Conscience in 2005, and its parent Grameen Bank was awarded a Nobel Prize in 2008.) Employing the Grameen Bank microcredit model, the group hopes to impact more than 72,000 lives in its first five years.
Ava Hakim, IBM exec and member of the Medinge Group, remarked that Alibaba is a business âbuilt on trust, one which respects intellectual property rights and will remove sites which infringe upon the rights of others.â She also was impressed by the six core values named, which they have successfully applied to their business.
Co-op Bank www.co-operativebank.co.uk/servlet/Satellite/1193206375355,CFSweb/Page/Bank
The Co-op, founded in 1872, from its origins has focused on serving local communities. Today the Co-op is the only UK clearing bank to publish an ethical statement. Medinge director Patrick Harris lauded the brand, noting that âsince 1992 Co-op has been building its ethical stance by asking its membership to vote on issues such as animal welfare, human rights and ecological impact.â It claims to have turned away over ÂŁ900 million in loans to businesses not in keeping with the Co-op Ethical Policy. The commitment to improve their food businessâ ethical and environmental performance is in line with expectations arrived at in consultation with 100,000 members. Co-Op was double-nominated this year, for both its banking and food businesses.
Marks & Spencer plana.marksandspencer.com
In her nomination, Medinge director Erika Uffindell emphasized the focused approach to climate change, waste and sustainability that Marks & Spencer have adopted. With their Plan A campaign, the company established 100 commitments to achieve in five years, clear targets for their business, actionable by people across the group. Uffindell finds the brand very accessible and involving: they have engaged 17,231 customers in making pledges to support climate change and a commitment to sustainability.
Merci www.merci-merci.com
Merci is a 1500 mÂČ shop for fashion and home furniture based in Paris, France. All sales profits are destined for women and children in Madagascar. The store sells new or artist-reworked donated goods and has had a huge impact. Some goods are sent directly to Madagascar. Merciâs website is especially minimal and modest, yet effectively states the storeâs mission. In his nomination, Medingeâs Philippe Mihailovich expressed the hope that Merciâs actions influence others to follow.
Pictet et Cie. www.pictet.com
This Swiss-based private bank started in 1805. Medinge director Nicholas Ind cited two significant aspects of the brand.
First, its focus on sustainable development and the redirection of funds in this direction by encouraging the maximum investment in sustainable areas for a given risk: the bankâs management of a water fund, launched in 2000, which has become the worldâs largest of its kind, with over âŹ4 billion in assets; and a Clean Energy fund. The second aspect is the Prix Pictetâthe worldâs first international prize dedicated to photography and sustainabilityâmandated to encourage the use and power of photography to communicate vital messages to a global audience. This yearâs theme is Earth.
SAP www.sap.com/about/SAP-sustainability
Today, many B2Bs are silently doing a fantastic job to adapt to our global challenges. Medingeâs chairman Thomas Gad nominated Germanyâs SAP, a software company whom he admires because âthey actually help other companies to create usable metrics in their CSR and sustainability.â Over the past 10 years, SAP has been recognized by the Dow Jones Sustainability Index for upholding ethical, environmental, social, and governance values in products and services.
Selco Solar Pvt. Ltd. www.selco-india.com/index.html
Medinge CEO Stanley Moss described Selco as an interesting small business, 14 years old, who supply solar power solutions, mostly in the Indian states of Tamil Nadu and Karnataka. They rely on microfinance loans, employ 140 people, and have done around 100,000 installations of small to large size. They are partially funded by Grameen. Moss was impressed by their cradle-to-grave attitude about product, longevity in the marketplace after a tough start-up, good work on the individual level, private ownership, and the understanding of need for innovation.
The 2010 Colin Morley Award to Muna Abu Sulayman helwa.maktoob.com/%D9%86%D8%B3%D8%A7%D8%A1_%D8%AA%D8%AD%D8%AA_%D8%A7%D9%84%D8%A3%D8%B6%D9%88%D8%A7%D8%A1-%D9%85%D9%82%D8%A7%D9%843966-%D9%85%D9%86%D9%89_%D8%A3%D8%A8%D9%88_%D8%B3%D9%84%D9%8A%D9%85%D8%A7%D9%86.htm
Simon Nicholls, a member of Medinge, nominated Muna Abu Sulayman, who receives 2010âs Colin Morley Award, for excellence by an individual or NGO, acknowledging their contribution to the betterment of society through sustainable, socially responsible and humanistic behaviour. In giving this award, the Medinge Group recognizes Munaâs outstanding work in educational development, poverty alleviation and strategic philanthropy; as Executive Director of the Alwaleed Bin Talal Foundation, developing and implementing operations for humanitarian assistance across the globe; her role as the first woman in Saudi Arabia to be appointed by the United Nations Development Programme as a Goodwill Ambassador; and for exceptional reporting as co-host on popular MBC-TV social programme Kalam Nawaem, in particular her advocacy of rights for women. As a public and media personality, she speaks about issues relating to Arab society, media, building bridges of understanding between east and west. Since 1997, Ms Abu Sulayman has served as lecturer on American literature at King Saud University in Saudi Arabia. She frequently appears as a panelist at the Davos World Economic Forum, Jewish Economic Forum, C-100 of the World Economic Forum, Brookings Institute Conferences and other venues.
Patrick Harris, a Medinge director, added, âIn the list of 2010 Brands with a Conscience winners, we can see a clear focus on commerce and finance. This is no accident. Instead, this is a sign of the worldâs markets responding to the need for responsible and inter-generational business activities.â
Regarding his nomination of Co-op Bank, Harris said, âThe UKâs Co-operative Bank is a prime example of a highly principled business within a traditional competitive landscape. The Co-op are being recognized by Medinge for their values-led business focus and for the impact that they bring to a beleaguered sector.â
Jack Yan, a director of Medinge said, âAgain, the Medinge Groupâs international influence has resulted in a global list of winners, all of which practise our ideals of humanistic branding. Iâm thrilled weâve recognized our first Chinese and Saudi Arabian winners this year.
âIn particular, Selco Solar of India shows a commitment to green energy that is very poignant in the 2010s. Just because fuel prices have dropped from their 2008 highs does not mean that the energy crisis is over, a fact the Medinge Group recognizes.â
Medinge Group member Ava Maria Hakim commented, âThe message to the worldâand Alibabaâs 100 million usersâis that Chinaâs Alibaba Group has set a global brand and business benchmark that goes beyond corporate social responsibility to building an integrity-based business driven by long-term vision. Alibaba Group is a Brand with a Conscience of the future.
Erika Uffindell, a director of Medinge, commented, âMarks & Spencer is a great example of an organization living by its beliefs. M&S has been recognized by Medinge for creating the innovative Plan Aâan initiative that involves customers and partners in their ambition to help combat climate change and reduce waste. Plan A focuses on five key areas: climate change, waste, sustainable raw materials, health and being a flair partner. Marks & Spencerâs ability to involve their stakeholders in such a simple and accessible way has been reflected in their significant achievements to date.â
Nicholas Ind, a founding director of Medinge stated, âThis year, the Medinge Groupâs Brands with a Conscience awards shows impressive diversity and reflects the commitment that brand owners are demonstrating around the globe to building organizations that meet the needs of all parts of society. The 2010 winners come from the UK, China, India, Switzerland, Germany, France and Saudi Arabia.â
Special thanks to Medingeâs 2010 BWAC nominating committee
Paulina Borsook
Thomas Gad
Ava Hakim
Patrick Harris
Pierre dâHuy
Nicholas Ind
Philippe Mihailovich
Sergei Mitrofanov
Stanley Moss, chairman
Simon Nicholls
Anette Rosencreutz
Erika Uffindell
Jack Yan