The rise of private power: Why we need to enlist an army of corporate diplomats

March 12, 2012
Posted on Periscope Post

By: Cari E. Guittard

Corporate diplomacy involves a unique combination of critical skillsets that are essential for effective leadership in global business.

Bill Gates, Co-chair of the Bill and Melinda Gates Foundation, attends the opening session of the Millennium Development Goals Advocacy Group Meeting. 22 September 2010. Photo credit: United Nations, New York.

I was struck this week by a pair of featured articles in this month’s Foreign Policy magazine, Inside Power, Inc and Supercitizens & Semistates by David Rothkopf, which detailed how top companies on the Forbes Global 2000 list stack up against many countries around the globe.

The massive reach, resources, and influence of the private sector – including companies and NGOs – “dwarf all but the largest governments and even wealthy governments are struggling with overwhelmed bureaucracies, budget crises, and plummeting confidence in government,” noted Rothkopf, who used statistics to help frame the imbalance of public versus private power. Some were pretty astounding. Sales revenues of Wal-Mart, the world’s largest companyare higher than the GDPs of all but 25 countries; at 2.1 million, its employees outnumber the populations of nearly 100 nations. BlackRock, the world’s largest investment manager manages $3.5 trillion in assets – greater than the national reserves of any country on the planet. In 2010, The Gates Foundation, the $33.5 billion-endowed private philanthropic organisation, distributed more money to worldwide causes than the World Health Organization had in its annual budget.

Most large, multi-national companies have their own internal foreign policies and strategies, crafted in large part to help them address geopolitical challenges, respond to crises, and navigate the web of governments, NGOs and local influencers they come into contact on a daily basis. To be successful and competitive in the long run, the private sector must manage global issues with numerous geographic and geopolitical challenges with creativity and dexterity, re-defining traditional notions of global engagement and public diplomacy along the way. A hybrid form of Smart Power on steroids.

Few companies share these internal strategies and even fewer distill out and share lessons learned publicly. Most corporate diplomats who lead much of this work do so on an ad hoc basis, under the radar, with little or no resources, training, and development. Few business schools and executive education programs offer courses in corporate diplomacy even though the nature of global business is increasingly dependent upon working effectively across sectors. Corporate diplomacy involves a unique combination of critical skillsets that are essential for effective leadership in global business. If we are ever to achieve a balance between public and private power, as Rothkopf urges, we will need private sector leadership to collectively and openly come together, recognise the critical role of corporate diplomacy and tri-sector engagement, and begin enlisting and training an army of current and future corporate diplomats. Starting Now.

Book Review: I’d Rather be in Charge: A Legendary Business Leader’s Roadmap for Achieving Pride, Power, and Joy at Work by Charlotte Beers

Posted: February 27, 2012 in Periscope Post
By: Cari Guittard



Charlotte Beers’s new book, I’d Rather Be in Charge, offers up some important lessons for women in business.

One of the most profound, defining moments of my career was when I worked as a Special Assistant to Charlotte Beers during her tenure as Under Secretary of State for Public Diplomacy & Public Affairs during the Bush Administration.

If you’ve seen the film The Devil Wears Prada, you’ve got an idea a sense of what working for her was like – she the driven, sharp, take-no-prisoners Diva, and I the lowly, unstylish staffer who had no idea what I was up against. Over time, though, I grew to appreciate and relish her toughness and tenacity. She seemed hardest on those who were closest to her, in an effort not to admonish, but to make you better. She was always about pushing people to excel and find their own potential even if it meant long days and nights, some of which ended in tears from exasperation and exhaustion.

So much of what Beers tried to accomplish at State post 9/11 has been misunderstood, distorted, and often inaccurately reported. Her distinguished advertising career – where she shattered one glass ceiling after the other – is often minimized and diminished by the media, and male journalists in particular, as seller of Uncle Ben’s Rice and Head & Shoulders. Really. Is that the best they can do when encapsulating a lifetime of leadership, taking risks, and performance in the corporate world over decades in traditionally male dominated industries?

I always wondered why she never fought back openly against her critics – but then she had bigger fish to fry, as we say in Texas. Which was why I was eager to read her recently published book, I’d Rather be in Charge. The book takes the reader into her world, the world of Mad Men and Women, and shares story after story of her growing up in the advertising industry. Throughout the stories, she weaves in lessons learned and practical insights for women mapping their careers and navigating leadership roles in business. She shares some exceptional, useful communications advice on how to be persuasive, engaging and learn to leverage influence – these tips alone are worth the price of the book.

Beers also spends considerable amounts of time on showing how to build a road-map for self-knowledge, which far too many of us spend too little time on. The book is geared towards mid-career women who are transitioning into or aspiring to leadership roles. The benefits however are much broader and I would recommend this to women at every career stage – even my graduate students who are just beginning their careers – as there are several critical insights we can all take to heart and utilize.

If there is one word to describe Beers – at least from my time working with her – it is “fearless”. A term I wish more women embodied and would wear proudly. I remember one example of this distinctly when I worked for her at the State Department: The White House called prior to a press conference with Beers, asking me to kindly ask the Under Secretary not to say certain things and then not to wear her trademark short leather mini-skirt and form-fitting sweaters.

Beers was never shy about speaking her mind – which more often than not threw many of the straight-laced career foreign service officers and political appointees off kilter. She was also never shy about being feminine and wearing exactly what she wanted to at State – a land where there is very little color, form-fitting attire, and creativity. I remember not even taking a pause and saying, “The Under Secretary will not be scripted, she will speak her mind and share her opinions. If the White House has a problem with this they can take it up with her directly. And on the point of the mini-skirt, if I had the Under Secretary’s legs I’d be wearing one myself.”

There are endless lessons I learned from my time working for Beers which have made all the difference in my career. I am thankful she has now put some of these lessons down for others to benefit from her wisdom, experience, and candor.

Cari E. Guittard, MPA is Adjunct Faculty for the Hult International Business School Dubai and the University of Southern California. Guittard specializes and teaches graduate courses in Corporate Diplomacy, Global Engagement, Negotiation, and Managing Geopolitical Risk. Guittard resides in San Francisco, CA.

Hidden Power: Women who aspire to lead globally – the view from Dubai

Posted in Periscope Post
February 24, 2012


Hidden Power: Women who aspire to lead globally – the view from Dubai

By: Cari E. Guittard
February 24, 2012

Women in the Middle East are just beginning to realise their business potential.

Last December, I travelled to Dubai where I taught at the Hult Pocket MBA for Women Who Aspire to Lead seminar. The Hult Pocket MBA for Women was a 2-day intensive which brought 60 mid-career women from throughout the region to Hult International Business School’s Dubai campus for an extraordinary learning experiment.

The setting was an intimate, transformative and engaging platform, unlike any I’ve ever experienced. Demand for this seminar was overwhelming — nearly 300 were placed on a waiting list for the free seminar and others asked if we would reprise the course in Cairo, Tunis, Manama, Doha and Riyadh. Given the turmoil and upheaval over the past year in the region, it is gratifying to see the Middle East is hungry for programs that empower and advance women in business and women as leaders.

You Can’t Be What You Can’t See


The global faculty and presenters assembled to teach in the pocket MBA ranged from social and behavioral psychologists, to global management, communications, finance, and HR. Dr. Amanda Nimon-Peters, Managing Director and Founder of Sara Black International, led the course with an opening discussion of influences contributing to self-belief and self-doubt, factors that subconsciously affect performance in women. She guided us through experimental social psychology research which included a candid discussion of stereotypes, the negative effects they have on women in the workforce, and how they contribute to self-sabotage on a subconscious level.

She further underscored the importance of role models for women and noted that they increase a woman’s belief in her ability to succeed particularly when women have overcome relevant difficulties on their paths to success. Unfortunately, there are too few women in senior leadership identified and showcased for more junior women to emulate. When it comes to leadership role models, men dominate the headlines.

In my session on Global Skillsets, Global Mindsets, I shared research from Stanford’s Graduate School of Business and the Thunderbird School of Global Management’s Global Mindset Institute. The research resonated with the class, as many women shared their difficulties in balancing what they felt were expected “masculine” traits with their innate “feminine” traits in the workplace. Finding balance and adapting while navigating a global career is the Holy Grail of success. Additionally, these are skillsets women, and in particular mothers, are incredibly adept at, though we are never taught to promote those traits and in many cases taught to diminish them early on. As women, we need to seek out more opportunities like the Hult Pocket MBA to better understand, develop and leverage these skillsets as well as nurture a network that supports our continued learning in this space.

The Hidden Power of Women in Business & The Men Who Get It

We ended the Pocket MBA with a powerful panel on Men Who Contribute to Boosting Women’s Careers, or what I like to call The Men Who Get It. Here were three educated, successful men married to equally sharp, successful women. They shared frank views on the balance of power in their relationships and the positive benefits they derived from having a working and succeeding spouse. One shared how he had sacrificed his career for his wife to pursue an expansive global corporate role and the fulfillment he obtained by looking after their children full-time. The panel’s sensitivity to work-life balance and deep appreciation for women’s contribution to and strengths in business was evident and applauded. It is also important to recognize that we were having such a discussion in the UAE which is leading the region when it comes to women’s rights and the empowerment of women.

There was nothing pocket-sized about the energy in the room during our Pocket MBA. When women get together like this, transformation occurs. We acknowledged that we spend so much of our lives focused on what we think we’re supposed to do, that we rarely discover what we’re meant to do. Many of the participants in the Pocket MBA shared that this two-day intensive sparked in them the confidence to seek out a new direction, an exploration into finding their true passions and to develop their unique talents and abilities.

Whether they know it or not, women yield a tremendous amount of power and influence in business globally. Unfortunately, more and more women in the mid to senior career levels – just when they are beginning to take the leadership reigns — are opting out. Much of this power is hidden, underestimated, and undervalued many times by women themselves.
It is important to reflect on the impact women have in business and to find a way to capture and hold up stories of relevant female role models, abolish stereotypes, and find new creative ways to support and empower them. Even the smallest of efforts can make an extraordinary impact.

I flew a very long way to inspire and leave an impact on a group of women who are just beginning to realize their own power in the global workforce. What I didn’t anticipate was how much I would learn from them and how I would be the one leaving inspired, optimistic and energized for the future.

FOUR KEY GLOBAL CORPORATE DIPLOMACY TRENDS FOR 2012

Water, Women, Entrepreneurs, Emerging Markets - Four Key Global Corporate Diplomacy Trends for 2012

Last summer I had the opportunity to lead a session on Corporate Diplomacy for the USC Center on Public Diplomacy’s Summer Institute. It is always a pleasure and humbling experience to engage with global public diplomacy practitioners and this summer’s group was no different. Participants hailed from every corner of the globe and I learned so much from my brief interactions with them. In preparation for my class, I compiled Key Corporate Diplomacy Trends that will lead corporate diplomacy efforts through the end of 2011 and well into 2012. This list is by no means exhaustive as there are dozens of efforts in the corporate diplomacy space within any given sector. The trends I selected reflect activity across sectors and regions and provide ample opportunity for public diplomacy practitioners and corporate diplomats alike to partner and have impact in the months and years to come. The Key Corporate Diplomacy Trends (in equal order of importance):


•Water


•Women


•Entrepreneurs


•Emerging Markets & Economic Development

Several of these, principally Women and Entrepreneurs, I’ve discussed in past blogs and both will continue to grow in prominence in the corporate diplomacy space, principally as areas for development and partnership in emerging and developed economies. I have also underscored the shift from CSR related efforts to an increased focus on economic development efforts by companies. In my next post I will delve deeper into emerging markets with a list of key countries to watch on the corporate diplomacy front. The one new trend that is gaining prominence and which I’ll focus this post on is the issue of water globally.


Water Diplomacy – A Thirsty World
I recently read The Big Thirst by Charles Fishman. For anyone seeking to understand water today this book is an essential. Fishman is best known for his previous work The Wal-Mart Effect which won him critical acclaim for his in-depth review of Wal-Mart’s business practices and impact on economies and our daily lives. The Big Thirst, in similar fashion, goes deep into understanding the origins of our relationship with water and calls for a better understanding, appreciation and respect for this precious natural resource. As Fishman writes, “Many civilizations have been crippled or destroyed by an inability to understand water or manage it. We have a huge advantage over the generations of people who have come before us, because we can understand water and we can use it smartly.” Some key insights Fishman draws out:

For Americans at home, flushing the toilet is the main way we use water, typical American flushes five times per day at home and uses 18.5 gallons; every day Americans flush 5.7 billion gallons of clean drinking water down the toilet.

The largest single consumer of water in the United States, 201 billion gallons each day…hydroelectric plants – coal, gas, and nuclear power plants for cooling and steam.

40 percent of the world’s 6.9 billion people don’t have easy access to water. By 2050 there will be 2.4 billion more people on the planet.


And according to Water.org, a non-profit dedicated to providing safe drinking water and sanitation to people in developing countries, lack of access to clean water is at a crisis point for over 1 billion people. With demand compounding and shrinking supplies, global water is big business. Many economists argue that water is not a public good, rather a rapidly developing commodity and growth market with some predicting it will eventually outpace the oil market. Citigroup is now recommending that investors purchase water companies given current global trends. And as noted in a recent WSJ article, China is investing heavily in water with 251 dam projects in 57 countries. The construction of dams remains a hotly debated and intensely scrutinized issue for the local communities it displaces as well as the potential environment damage that will result. Finding a balance between energy needs and conservation going forward will be key. The issue of water may be one of the most challenging public diplomacy efforts of our time. Governments, companies, NGOs and individuals will have to work together to address the compounding challenges surrounding global water.

Conquerors of the Useless

End of summer for me is always a time of reflection and renewal, taking time out for a mind and body detox from all the clutter and chaos in our daily lives. And yes, drink a ton of water. Just thinking about water now makes me thirsty. Flush the body, clear the mind. My focus on researching global water trends was punctuated recently by a film a family friend shared which left an indelible impression and homes in on many emerging corporate diplomacy themes in addition to water, 180◦ South.


180◦ South tracks one man’s trek to Patagonia re-tracing the journey from 40 years earlier of Yvon Chouinard, founder of Patagonia and his friend Doug Tomkins, founder of North Face . The film’s tagline Conquerors of the Useless, actually threads in pressing issues of our time – depletion of natural resources, urbanization, consumerism, growing energy demands, cultural preservation and economic development.

The film at its core is all about seeking and finding balance. Balance with nature, balance within governments, companies and communities, balance within oneself. Finding balance has historically been incredibly difficult to achieve. To find balance however, one must first seek balance. Today I see too few examples of companies, governments, and individuals actively seeking balance. So much of modern life is lived in extremes and we’re paying the price.

There is a great line which became a running theme of the film where Chouinard, begins to address the concept of balance and progress, “If you approach the edge of a cliff, do you step forward? Or turn 180 degrees and then take a step? And which is considered progress?”

When it comes to water we are at the cliff’s edge. Where we go from there will have consequences for generations to come.


**Reposted from original post on Aug 5, 2011

Interview w/ The National, Dubai

Mothers lead the way

by Gillian Duncan

Dec 28, 2011


It took her more than two decades working within the company to reach the position of Pepsi-Cola president and chief executive for North America.

But Brenda Barnes, now 56, spent just one year in the role before stepping down.

Ms Barnes, who left to spend more time with her children, returned to the workplace seven years later in 2004 and joined Sara Lee as president and chief operating officer before later moving up to chief executive and chairwoman. She stepped down last year after suffering a stroke.

She may be one of the most high-profile examples of women who opt out at the top, but she is by no means alone.

"Most of them are mothers and they are trying to balance so many things. The workplace isn't exactly very adaptable to supporting their schedules and everything they have to do," says Cari Guittard, an adjunct faculty member of Hult International Business School, which has a campus in Dubai.

But companies could be missing out because women, and particularly mothers, can make good leaders.

Ms Guittard recently spoke at an event in Dubai about women in leadership organised by Stanton Chase, an executive search firm. She says a chief executive admitted to her that in a perfect world he would have women running his companies. "He said mothers in particular are able to deal with crises and chaos very quickly and they are also able to focus and get multiple things done," Ms Guittard recounts.

"He shared with me that women are fantastic multi-taskers and they think in a very circuitous fashion. He said in that sense in a leadership role they are fantastic."



Research by the Thunderbird School of Global Management that Ms Guittard has been involved in suggests women are also strong in three areas linked to successful global careers: intellectual, psychological and social capitals.

"Intellectual is when you study something, go to school or seminars; psychological is what you learn when you work with people cross culturally, it's more of an emotional intelligence area; and social capital is really building up an ability to listen, network and develop customer relationships," she adds.

But other research by Stanford University suggests that women who possess masculine qualities such as aggression received more promotions and had greater long-term success in their careers.

Ms Guittard, who is also senior associate at Global Strategic Partners and an adjunct faculty member at USC Annenberg School for Communication says there is a growing awareness that companies with female board members tend to be more successful. But the realisation is not yet translating into more women board members.



To make the most of their talents, workplaces should showcase women's talents alongside men's.

Governments also have a role to play in increasing women leaders in the workplace and many, including the UAE, are making significant effort in this regard, says Panos Manolopoulos, a vice chairman at Stanton Chase International. "But it is women themselves that will make the difference," he adds, saying women should put themselves at the forefront and allow themselves to shine.

Providing resources which allow women to maintain a work-life balance will also help. Companies in the West like Google and HP have that down to an art, but it seems that organisations in the Emirates have some catching up to do.

"In the UAE what we heard from almost every woman who was a mother, and many of them work for huge multinationals, they felt that there was an expectation that they had to be at the office 12 or 15 hour days," says Ms Guittard.

She says women who recently took part in a pocket MBA course in Dubai organised by Hult reported receiving no recognition for the fact that they are mothers who balance work with family life - despite the fact that some may be more efficient in work because of it.

"I think rewarding efficiency and providing flexibility is huge, but it is something that's not being recognised right now and it's forcing a lot of women to make a choice: do I continue or do I opt out?" she adds.

gduncan@thenational.ae

Welcome your comments and feedback on my latest blog post for Reuters, An African Spring...

http://blogs.reuters.com/trnewsmaker/2011/05/19/an-african-spring/

Recent CPD Blog Post -- The View from Abu Dhabi

I had the great fortune to be in Abu Dhabi two weeks ago leading a group of MBA students from USF as part of their Global Immersions study abroad program. Most of the students are executives pursuing their MBA part-time and this was for many their first visit to the region. At the beginning of our trip, I cautioned them as I do any group of Western executives new to the region about what I call the Three R’s for conducting business in the GCC:



•Respect – Your mindset should be I am a guest in their country, and at all times should be respectful of their customs, traditions, and modes of behavior


•Reaction – Be mindful of how you react to circumstances that are different from those at home; exercise patience and restraint in surfacing negative reactions and responses


•Relationships – The most important lesson to remember when conducting business in the GCC revolves around relationships. Relationships are everything. Exhaustive amounts of time and care should be devoted to fostering and nurturing relationships.



I also spent a good deal of time explaining the rich symbolism we witnessed at every turn even in the most urban settings. I asked the students to be consciously aware of these symbols during our trip as so much of our attention, naturally, was often pulled to the latest innovations and dazzling architectural achievements on display. We spent the first half of the week in Dubai meeting with business leaders from every sector. Dubai for me is as it has always been these past few years, vibrant, optimistic, and progressive. Even in the darkest days of the recession Dubai has exhibited these qualities and now they are back with a vengeance as more and more investment and development pushes ahead. We also had the distinct privilege of being in Dubai when Secretary Clinton was visiting, which always provides a unique window into a country’s and region’s view of US foreign policy and leadership. From all accounts the Secretary was well received, even embraced, by much of the UAE and Pan-Arab press. This in a week where Sudan and Tunisia dominated coverage, and the shootings in Tucson raised concerns about the levels of violence in the US. Geopolitically, we could not have picked a better week to be in Dubai.

Abu Dhabi, though, had the most lasting imprint on our delegation. In its quiet, elegant, thoughtful way it left an indelible impression even on those of us who had been before. Abu Dhabi is a unique case study in corporate and public diplomacy and one of myriad contradictions. The quote I captured from a display at Emirates Palace from His Highness Sheikh Zayed, former President of the UAE, sums up Abu Dhabi perfectly: “A country is not measured by the size of its area on a map. A country is truly measured by its heritage and culture.” The emphasis on and investment in heritage and culture was everywhere throughout the city juxtaposed to advertisements for the World Future Energy Summit this past week, and FerrariWorld. Abu Dhabi has historically been known primarily as an international financial powerhouse and source of immense oil and natural gas reserves. These elements of Abu Dhabi have only multiplied and matured over the years and those investment firms which were also historically very private and closed off from the world are now seeking to engage with the world.

One example of this shift to greater transparency and a distinctly corporate diplomacy point of view was our meeting with leadership at the Abu Dhabi Investment Authority (ADIA). ADIA was incredibly candid and open about their various investment approaches and what struck me was their focus on and commitment to building understanding with the broader international community. This from a firm who only recently added a website presence and began issuing press releases on their efforts. They see their move towards openness and engagement as something others will likely emulate in years to come.


Perhaps the most indelible impressions however came from our host the Abu Dhabi Tourism Authority (ADTA). Dear friends at ADTA planned most of our day and personally guided our visits in Abu Dhabi answering questions, sharing insights, and helping us understand the broader approach Abu Dhabi was taking towards its own development. ADTA’s hospitality was, in short, extraordinary. I am always inspired and humbled by Arab hospitality in general, and this was above and beyond any of our expectations. When we toured the Emirates Palace we were struck by the Saadiyat Island exhibition on planned cultural development. The emphasis on the arts and cultural projects coupled with unique living environments geared towards families was awe-inspiring and world-class. Unlike The Palm developments in Dubai which cater to the very wealthy and extensions of the hospitality sector, Abu Dhabi is focusing more on the families who live and work there. Throughout our day the presence of H.H. Sheikh Zayed was palpable. Whether through the many portraits displayed along the corniche or in his quotes placed strategically throughout the city, you could feel his presence guiding us. If you visit His Highness’ website you will feel some of what we felt on the ground.

We ended our day at the Grand Mosque with a private tour, guided by an Islamic scholar who exerted tremendous patience, answering every question we had over the course of more than two hours. It was fitting, after beginning the day with a business focus, to end the day in reflection. I reminded the students of the meaning of the term January. It derives from the Latin term Janus, the two-headed Roman god who could at once see both the past and the future. Here in Abu Dhabi, where we could vividly see the past and future, we left eager to return.

Link to Full Post: http://uscpublicdiplomacy.org/index.php/newswire/cpdblog_detail/corporate_diplomacy_perspectives_--_the_view_from_abu_dhabi/