It's okay to challenge your clients

My final postcard from Dubai for this particular trip; I hope you have enjoyed these memoirs.

The owner of a large shipping and logistics company in Iran flew to Dubai to have two days alone, one-on-one seeking my counsel about leadership, management, people, strategy and alike. A member of my mentor program who lives in Dubai and is the CEO of a $100 million company shared a full-day with me the day after, discussing similar matters.

I am frequently asked why owners and CEOs of such significant organizations seek my advice, join my mentor program, and occasionally have lunch with me when they are obviously, already very successful. And, there are probably many answers to this question. However, I personally believe that one of the major reasons is that these fine people all, know that I will challenge them. And, that's exactly what they are searching for ... to be challenged.

These people are surrounded by 'Yes-Men' on the payroll who would never dare challenge, contradict or question their boss. That is however, what they need. They are smart enough to understand that success is a process not an event, and they must continually keep reaching out towards stretch goals. I demonstrate what they are missing without fear. I am not here to support them but to provoke their thinking and have them questioning conventional assumptions (there's no wisdom in unchallenged or untested assumptions). I am not here to rub their tummies and pat their heads, giving false platitudes.

As consultants and advisers to our clients (and most of you reading would fall into this category being accountants, lawyers, recruiters, financial planners, etc) we provide great value in using four basic patterns of thinking.

1. What are we doing? Gain clarity and take an objective look at what it is we (or our clients) are actually doing. Is it appropriate? Is this what really should be happening right now?
2. Why is the business like it is? Is the business reacting to the environment or taking advantage of the environment?
3. Determine what options you have available to you. Leverage upon what you already do well.
4. What should we do next? What is the future? Are we making the future or are we being swept along for the ride? Test the assumptions, arguments, philosophies and strategies. Critically assess if they are valid or if they are contradictory to the facts and forecasts. Identify any future problems, design specific and appropriate responses to those problems and measure the progress.

Pilots set a flight plan, receive weather forecasts, and get air traffic clearance before taking off from any airport. Business leaders also must set a plan, gather the necessary data, and seek sound counsel before implementing. Surround yourself with people who wish to help you grow.

In a movie I watched last night in my hotel room, one of the characters articulately stated: "Commiseration is insidious; competition is invigorating." He could have easily been speaking of business, and of what we must do as professionals advising our clients.

© Ric Willmot 2008 All rights reserved.

Comments

[James Addison]

1.

Thanks for the wisdom. Most blogs are boring. I have been following this blog for a couple of months and I really enjoy it. Each time I read a new post, I write down one or two ideas that I can take away and use in my business. There is nothing much that is startling, and in fact I have noticed you obviously read a lot of Drucker, Ackoff and Schein - but I don't care - you write in a way that is easy for the reader to make their own interpretations. The postcards have been very enjoyable. Looking forward to your next trip and the posts that come from it.

[Ian Stevenson]

2.

Good series of posts. Can I suggest a new category for you, and that is to give summaries of your interpretations of other business gurus like Drucker, Bennis, Peters Kotter and Block. Would be great to get your "Readers Digest" version of their ideas.

[Scott Reynolds]

3.

Thanks for sharing your trip. It would be very interesting to get some idea from you as to what is different in the business approaches of those in the Middle East to those of us here in Australia or the rest of the world for that matter. Is it only the oil which makes them wealthier? Are they any more successful in real terms? Are they smarter? How can Australian business people benefit from the Middle East?

[Paul Griffiths]

4.

Besides the oil Dubai is making inroads with construction, tourism, precious metals, finance, sport and many other industries. But the only reason they can do this is the enormous wealth generated from the oil that the ruler can then invest at a loss to start other ventures. He can afford to take a hit in the millions to see a new business take hold. Nowhere else is this as possible, as easily, as frequently. Oil made the city and continues to support everything about it.

[Henry Prescott]

5.

Dubai has also attracted a lot of investment because of the nil tax policy. This allows for foreign investors to generate wealth and not pay tax.

[Jeremy Bickle]

6.

I have really enjoyed the postcards from Dubai. A unique way of getting us to read your thoughts. I remember you telling me that the way to succeed in completing a jigsaw puzzle was one piece at a time. So I keep thinking about taking one key thing from each post and working out how to apply it in my business.
Jeremy Bickle

[CJRead]

7.

I can’t agree with Paul’s comments on Dubai. Yes, oil generated the enormous wealth of the city, indeed the U.A.E. and the rest of the entire region, and still underpins most of the region. However, oil now accounts for less than 5% of Dubai’s GDP, and it (% of GDP from oil) has been falling steadily for over a decade. In fact, Dubai accounts for 28% of UAE’s GDP and nearly half of its non-oil GDP. These facts should give some indication as to the answers to Scott’s very pertinent questions as to who, how, and why in Dubai.
I do not believe Dubai did become the multi-billion dollar trade, tourism, transport and finance hub of the Middle East by accident. Yes, they (the UAE) had a leg-up – oil – but they also had leaders with vision who developed a plan. They sent people around the globe, particularly to developed western nations to see how those countries developed their infrastructure and industries. They enticed foreign companies to set up in “Free Zones” with infrastructure to cater for them, and started an inflow of FDI and know-how. They created a free education system, and sent their kids to round out their education at universities in the UK, US, Europe and elsewhere and bring home new ideas and methods.
So the leadership there made a conscious decision to diversify the economy, which they have done with remarkable success. There have been many other nations equally as well endowed with natural resources that have squandered the advantages they had by corrupt leaders, internal conflict or been pillaged by some foreign power – look at Iraq, Iran, Argentina, Brazil. Most of the counties in Africa had tremendous natural wealth, but 95% of the continent lives in abject poverty. China shut out the world for better than 50 years. In 1980 more than 95% of Chinese were classed as living in extreme poverty (less than $1 US / day). China opened its borders to trade and foreign investment and 30 years later that figure had fallen to less than 60%. That’s nearly half a billion people taken out of poverty. Japan, Taiwan, Hong Kong, and Singapore have no natural resources to speak of, yet they are all major trading centres with huge economies.
It may not have been as easy for other counties, I don't think it was easy for Dubai, but the difference wasn’t the oil, it was the vision and determination of the leaders there.

[Anita Maclour]

8.

Thanks for sharing your Dubai trip Ric.
I look forward to seeing you again in Darwin this June. I have already booked my registration for your sessions!

[Peter Ellis]

9.

CJRead - you are spot on! Excellent information. This is why I enjoy reading this blog. Not only for the articles but the good comments that are made by other readers.