Globalisation is not progressing in a straight line, says Paul A Laudicina
Paul A. Laudicina, Managing Officer and Chairman of the Board at A.T.
Kearney, talks about how globalisation, instead of progressing in a
linear fashion, is moving sporadicall.
Paul A. Laudicina
Paul A. Laudicina, Managing Officer and Chairman of the Board at A.T. Kearney, talks about how globalisation, instead of progressing in a linear fashion, is moving sporadically, what that means for businesses and how government policies are important for the long-term growth and sustainability of businesses in an interview with Sunny Sen. Edited excerpts:
On globalisation: Globalisation is not progressing in a straight line; rather it is moving in a lumpy manner. What we will see is a lot of fits-and-starts progress: some countries having spurts of growth and then falling back; others doing incrementally better over a long period with no breakthrough, and still others getting things wrong. Country performance will be less important than regional performance.
On planning: There is asymmetry of time and space in planning. Companies and governments should be thinking and acting long term. Yet, the constraints of the business cycle and elections force them to think in shorter time horizons and act in ways that are actually jeopardising the future. The asymmetry of space is that companies should be thinking cross-border.
A border-less world: Companies wanting to be successful have to be global. The forces that will drive economic growth know no boundaries. In an era of continuous communication and data flow, we are essentially a border-less world. However, I don't underestimate governments making decisions which are not in their best interests.
Terms of trade: I think the terms of trade are working according to comparative advantages. We don't have the government mechanism to deal with the dislocation. The issues are not national issues; they are either regional or global. It requires a new level of regional and global governance and cooperation.
On globalisation: Globalisation is not progressing in a straight line; rather it is moving in a lumpy manner. What we will see is a lot of fits-and-starts progress: some countries having spurts of growth and then falling back; others doing incrementally better over a long period with no breakthrough, and still others getting things wrong. Country performance will be less important than regional performance.
On planning: There is asymmetry of time and space in planning. Companies and governments should be thinking and acting long term. Yet, the constraints of the business cycle and elections force them to think in shorter time horizons and act in ways that are actually jeopardising the future. The asymmetry of space is that companies should be thinking cross-border.
A border-less world: Companies wanting to be successful have to be global. The forces that will drive economic growth know no boundaries. In an era of continuous communication and data flow, we are essentially a border-less world. However, I don't underestimate governments making decisions which are not in their best interests.
Terms of trade: I think the terms of trade are working according to comparative advantages. We don't have the government mechanism to deal with the dislocation. The issues are not national issues; they are either regional or global. It requires a new level of regional and global governance and cooperation.
