Globalization of Leaders

Why you should go global

The best opportunity for faster growth is often not located at home. For that you may need to move and, wherever you are located, be at home. You may know your business well, but you will also need a fresh perspective. You will need to unlearn and re-learn.

AT THE beginning of the year, The Economist had observed: “Going into 2019, the world looks wobbly”. Even past the half-way mark, the world is not any steadier. There are growls of war. Tit-for-tat tariff tiffs continue. Mass agitations are shaking up governments.

After the election in May 2019, India appear to be in a relative state of stability. The equity index is not very enthusiastic, but local business leaders appear to be optimistic- not in the short term but mid to long term.

With India safe and optimistic and the rest of the world in a churn, does it make sense for you to go global?

The world awaits

Technology has brought the world closer. Borders cannot really protect your business any longer. As competition increases, your margins are being squeezed.

Out there, so your research tells you, is another country, another market, which can give your business a new lease of life, a fresh spurt of growth. So, you go global. As a leader of your business, you take the initiative. Your career takes wings.

Gone are the days when low wages were the primary magnet to attract global giants. What matters more are factors like availability of skill, good infrastructure and proximity to your customers, who no longer care to wait for your ship to dock to lay their hands on your goods.

Goods are increasingly transforming into services as the subscription-based goods-as-services model is extending to more and more businesses.

Organisations are breaking up their tasks and assigning each portion to the country that has the best relevant expertise at optimum cost. This also helps to keep work going round-the-clock across time zones. Being present in multiple locations makes it easier to build redundancies to minimize risk.

The formula is simple: customer-facing tasks must be local; the backend can be wherever it is most efficient and profitable. This yields what is now commonly known as the T-shaped global organization.

Shed conventional thinking

Once you have decided to go global to explore new opportunities, the first step is to look beyond the obvious. Do you want to offer the same goods and services you offer in India? Or do you want to venture into new areas where your core competence can uniquely complement a local partner? Or is the answer in developing an altogether new product that perhaps did not make sense in home conditions?  The challenge is to unlearn as much as you relearn.

In the global setting, your skill and experience matter more than where you were born or where you are stationed. You need to be there where you can best serve the organization’s interests. Distance is a no longer an issue.

There was a time when going abroad was an occasional privilege enjoyed by the CEO. Now, as a senior manager, your function is your responsibility. How well you perform decides the course and pace of your career. The trend is towards spotting young, talented managers to take an organization global. If taking the global route is the best way forward, chances are your organization will entrust you with the responsibility.

Midnight meeting

Several years ago, I found myself in Yemen in the month of Ramadan. Nothing much happened during the day. The distributor there took me around after 11 p.m. So, I found myself in meetings at midnight, at times with top government officials. I was used to matching wits with some of the sharpest minds, but not at that hour. Perhaps, it was a deliberate strategy on their part? Nevertheless, off work, I found them very eager to make friends. And I did make several because I willingly adjusted to their ways and, when invited, happily participated in their family functions and social gatherings.

You may not need to attend midnight meetings. However, you will need to be mindful of the regulatory winds as you set sail in the new ocean. Rules may change direction unexpectedly depending on the political winds.

Focus on what you can control and use that to reduce the impact of the unknown. Mentors and focus groups can help you understand the unknown better and help you cope better with uncertainty.

I believe that Indians make wonderful leaders anywhere in the world. It is no accident that more and more business leaders of global giants are persons of Indian origin. Maybe now it is your turn.

Your turn

If you have ever turned down an offer to go global, what was the most important professional reason for doing so?