Feedback - Letter to the Editor

Chief Executive, The, May, 2003

What Backlash?

Regarding "Beware of Global Backlash" (Editor's Note, March 2003), I don't doubt there may be some slowing of globalization in the near future, but I don't think the prognosis is particularly bad. When it comes down to it, money talks louder than politics. Mr. Holiday of DuPont probably has a lot more clout with Malaysian government officials--due to his company's plant there--than they do with him. I don't expect any backlash against DuPont from Malaysian officials, because they know which side of the bread their butter is on.

Canada, Germany and South Korea may be uncomfortable with U.S. policies, but I'm pretty sure the Canadians aren't ready to scrap NAFTA, or the Germans to start shutting down Ford plants in their country. I also don't believe the seizure of the Coca-Cola plant in Venezuela should send chills down anyone's spine. That country has been in chaos for quite a while.

Globalization has a bigger hold than we may think. I suspect many of the antiwar protests in Europe and the skittish behavior of some of our longtime allies toward our aggression against Iraq have more to do with economics than anything else. No one wants his or her piece of the global economic pie disrupted by a war. I see nationalism Lighting a losing battle against the forces of the global market.

Mike Gardner

CME-Mitsuba Corp.

Mt. Pleasant, Mich.

The Train is Safe

In "Beware of Global Backlash," you ask, "Are American CEOs going to be just hapless victims of a train wreck?" My strong opinion is No.

Two reasons are apparent to me: (1) The train we're on has lots of passenger cars filled with CEOs from other parts of the world, and they definitely don't want to be part of a wreck, and (2), the engine pulling this train is still very much an American economic engine. The majority of countries want to keep that "on the rails."

No question we American CEOs are in for a bumpy ride this year. The origins of this turbulence are a mixture of political, social and economic conditions. But as we move through this difficult period, I believe the majority of the world, excluding terrorists, still supports avoiding an "American Train Wreck."

Richard M. Clarke

CEO

nash_elmo Industries

Trumbull, Conn.

the Trap

Your April cover story, "The CEO Trap," was right on the money. In the roaring 90's too many CEOs believed their own press clippings and became legends in their own minds. They ignored the signals around them and failed to ask for feedback or valid data about what was really going on in their companies. Some suffered public ignominy or worse, while others were fired or quietly slipped away.

Most CEOs, of course, would rather be recognized for successfully guiding their companies through turbulent times--adding real value for customers, shareholders and employees alike. But the performance bar just got raised again. The need for CEOs to develop valid sources of information has become even more imperative in the aftermath of the terrorist attacks of September 11, 2001. And there's an additional twist: Employees expect their CEOs to be visible and accessible during stressful times, and to tell them the unvarnished truth.

So it's not just a matter of being informed about what's going on. CEOs must share what they know with employees in a manner that's authentic and truthful, but also in a way that makes sense of uncertainty and that realistically points a way out. This shift in emphasis was confirmed in a survey of senior executives who participated in a program held by the Center for Creative Leadership. In the survey, conducted in November 2001, executives ranked behaviors such as "compassion and sensitivity" and "putting people at ease" higher than they had before 9/11.

Your article highlights a number of commendable steps that CEOs can take to get in closer touch, from dining regularly in the employee cafeteria to meeting with customers. I would add to that list the systematic use of 360-degree feedback, in which one's boss, peers and subordinates are asked to rate an individual anonymously on a variety of scales. The comparison of this data with the CEO's self-portrait can be eye-opening. Another technique is for the executive to ask up to 10 individuals two levels below him or her to fill out an organizational climate survey, The contrast of the executive's assessment with those of subordinates can be bracing, like a cold shower. The truth sometimes hurts.

John Alexander

President & CEO

Center for Creative Leadership

Greensboro, N.C.

You must need a technical consultant, as evidenced by the two mistakes in "Flying on the Edge" (CEO Extreme, March 2003).

Flight Technicalities

First, you say the plane was "roaring 6,000 miles an hour over Moscow." Not bloody likely. The MiG 25 (NATO designation Foxbat) is capable-- clean and unloaded--of a maximum speed of approximately Mach 3.2, or 2,110 mph. The MiG 23 (Flogger) is rated at a max speed of approximately Mach 2.3.

Also, you say, "The G-force is probably seven to eight at that speed." Get real. I suspect somewhere in the three to four range ... and only momentarily.