Multinational Leadership Lessons - Gartner Executive Forums

Last week was the launch of the 2019 program for the Gartner International Executive Forums with 2 events, one in Melbourne and one in Sydney. We hosted executive members from the CEO, CFO and HRD Forums at a half day event with insights from three unique sessions which all had similar thematic currents on what makes exceptional leaders.

The briefing kicked off with the co-founders of The Leadership Circle, Chairman Robert (Bob) J. Anderson and CEO William A. (Bill) Adams from the US. The Leadership Circle is a global leadership assessment and development company at the forefront of their field, with a focus on the development of people from the inside out. Their goal is to help people grow and develop emotionally, psychologically, and spiritually. They endeavor to change the global mindset of leadership and are focused on elevating the conscious practice of leadership.

"An organisation cannot perform at a level higher than the CONSCIOUSNESS of the leadership"

One of the key findings of their research found that female leaders outscore male leaders by 15-20%.

Key takeaways:

• Turn yourself into your own project
• The difference between creative leadership and reactive leadership is how you amplify others capabilities.
• Don’t be the smartest person in the room.

After the morning networking break we hosted our version of Geoffrey Robertson's Hypothetical which was moderated by Claire Wivell Plater

Claire led the panel using the format made popular by the ABC and Geoffrey Robertson QC. The “fictional” scenario, raised topical, relevant and pressing business issues for multinationals of all types, and Claire engaged and challenged our selected panel of International Forum Members, drawing out their unique insights and drilling down into deep perspectives from the MNC experience.

In Melbourne our panellists were:

• Richard Ye, Managing Director, Armstrong Flooring
• Sophie Williams, CFO, BASF
• Sally Bateman, CFO, Miele
• Andrea Hayden, HRD, Karcher
• Tracey McPherson, HRD, Kuehne & Nagel

In Sydney our panellists were:

• Georgette Nicholas, CEO Genworth
• Elizabeth Watson, VP Customer Excellence, Apttus
• Puvanan Thuraisamy, CFO, Publicis Communications ANZ
• Anthony Braden, Regional CFO APAC, Berkley Insurance
• Jo Barkl, HRD, South Pacific, Colgate-Palmolive Company
• Nicole Issaakidis, HRD, CBRE Australia

Melbourne scenario:

The commercial medical technologies and pharmaceuticals sector employs more than 21,000 skilled people and generates more than A$12.7 billion in revenue.

BeWelle Inc. is a global pharmaceutical and health products business. It aims to improve the standard of care across a number of areas including oncology, immunology, rare diseases, cardiovascular and respiratory diseases. It embraces advanced technology and partnerships to advance and develop new therapies and diagnostic tests.

In October 2018, BeWelle opened a new manufacturing site and R&D centre in China.

BeWelle’s Australian subsidiary has been underperforming in the past 3 years compared to its global peers and it appears to be poorly prepared to meet these headwinds. To some extent its underperformance has been masked by the fact that it is grouped with Asia which has experienced rapid growth. for global reporting, but everyone knows that the key growth is coming from China, and although Australia has traditionally been seen as a launch pad for Asia, some are questioning whether this is appropriate in the 21st century.

Panellists were asked to consider what might be going through head office’s mind – issues included:

• The SWOT of Australian regional offices in areas such as opportunity cost
• Asia hubs
• The USA/China trade war
• Regulatory environments
• Access to innovation and talent, resource sustainability
• Outsourcing v offshoring v automation. 

Sydney scenario:

Hathaway Flloyd. is a global insurance business. Its Australian subsidiary is the Asia Pacific headquarters for the company.

But in recent years, the Australian market here has become more competitive and businesses are facing major regulatory reform, changes in product demand and downwards pressure on price. The problems are exacerbated by the growing strength of traditional insurance distribution channels whose demand for higher commissions are eroding margins. 

In the past 3 years Hathaway Flloyd’s Australian subsidiary has been underperforming compared to its global peers and appears to be poorly prepared to meet these headwinds.

Panellists were asked to discuss from their own experiences, the sorts of SWOT issues that are likely to be facing Hathaway Flloyd – issues included:

• Opportunity cost
• Asia hubs
• The USA/China trade war
• Regulatory environments
• Ease of doing business
• Access to innovation and talent

Our panellists shared insights from their personal experience with the common theme being "focus on people" and "make sure you have a thorough communications plan".

The final session was presented by Kroll, the leading global provider of risk solutions who have been helping clients make confident risk management decisions for more than 45 years. They specialise in identifying, remediating and monitoring risk across enterprise.

In Melbourne the presenter was Richard Dally, Managing Director,  Business Intelligence and Investigations practice of Kroll, a division of Duff & Phelps, based in the Singapore office. Richard has over 12 years of experience conducting highly discreet, sensitive and complex business intelligence assignments in Europe and Asia for clients in diverse sectors. These have included aviation, chemicals, construction, financial, pharmaceuticals, resources and telecoms.

In Sydney the presenter was David Twine, Kroll Special Counsel. David is an international executive with deep leadership experience across the private sector, government and diplomatic service, operating a portfolio of specialised business interests.

Formerly a global mining and energy MNC Executive and MD with deep experience across APAC and ME, especially India and ASEAN.

Working within the highest levels of MNCs and Government has been pivotal to maintaining, building and creating new relationships with trading partners. Equally, access to highest levels of governments across APAC has assisted with substantial two-way business growth for Australia and Australian companies as well as APAC companies investing in and/or partnering with Australian companies. Strategic initiatives at the intersection of International Development and Trade & Investment promotion. 

This session covered the impact of rising tensions between the US and China highlight a trend that has been taking place since the GFC: the multinational business operating model faces new structural challenges as trade relations shift amid China’s rise and national interests replace multilateral interests in policies from tariffs to taxation to immigration and talent. Add to the mix the ongoing the threat from terrorism and criminality, an unstable North Korea, and sweeping political changes in many ASEAN countries. For multinationals in Australia and New Zealand, competing in this environment comes with increasing risks from issues like unethical supply chains, access to needed talent and rising costs.

Richard stated "A new kind of inclusive globalisation needs to be found that is seen to be democratic and enjoys widespread support. Only then can the world find solutions to the numerous problems it is facing. It is in this context of growing interconnections between people and states that organisations should promote the removal of barriers, which increase social inclusion.”

For more information on the executive forums and to find out how you can be a part of the program contact Dani Matthews. See you at an event soon!