The Global Human Capital Journal

Real-time Case Study Holds Lessons for G7 Knowledge Economy Transition—"Courage" to the Rats—A New French Realism?

Illinois leaders were addressed by Her Excellency Christine Lagarde, Economy, Industry and Employment Minister, Republic of France at the special luncheon held in her honor by the Executives' Club of Chicago at the Westin on 23 May 2008. Attending were Chicago Mayor Richard M. and Maggie Daley, a French delegation that included the Ambassador of France to the U.S. Pierre Vimont, the Head of Cabinet Christian Dufour, David Appia, Minister Counselor for Economic and Commercial Affairs, and numerous executives of Chicago Fortune 500 firms.

If one were not listening attentively and willing to question stereotypes, it would have been too easy miss this intriguing story. However, as in all things "2.0," profound change manifests slowly at first, and I detected a glimmer of disruption in France's status quo. Having lived in West Berlin surrounded by the concrete reality of a wall that subsequently, unbelievably, came down, I ask myself, "What if France were to vanquish some of the sacred cows and become, gasp, pragmatic and entrepreneurial?" Lagarde's message was precisely that, and she delivered it with the aplomb that reflected extensive business and policy success at the boardroom table.

"Yes," Says Team of Healthcare Experts, Employer CEOs and Patient Representative at the Executives' Club of Chicago, "But You Must Change Your Ways"

Honestly Assessing Quality—Engaging Consumer Empowerment—Trading in the Ferrari for a Chevy

The Executives' Club of Chicago convened its healthcare reform summit at the Hilton Chicago on 20 February 2008, drawing on diverse expertise. Ian Morrison, Ph.D., healthcare futurist, gave the keynote and moderated two panels: first, the healthcare expertise panel with Dean Harrison, CEO Northwestern Memorial Healthcare; William Novelli, CEO AARP; Scott P. Serota, CEO BlueCross BlueShield Association; and second, the business executive panel with Andrew M. Appel, Chairman AON Consulting; John A. Edwardson, CEO, CDW; John B. Menzer, Vice Chairman and Administrative Officer, Wal-Mart Stores. Robert L. Parkinson, CEO, Baxter Healthcare gave an insightful point of view on recommended actions to close the event.

There was broad agreement that the U.S. healthcare system was broken, and speakers offered excellent insights and perspectives about how to fix the system. However, what they didn't say was as interesting as what they did, and I will address two key issues in Analysis and Conclusions: the pervasive lack of trust among all parties and the emerging consumer empowerment trend: what do Web 2.0-enabled consumers have to bring to the party?

New Global Economic Architecture Presages Economic Realignment—Thinking Beyond the Obvious to Tap Emerging Opportunities

Illinois leaders were addressed by His Excellency Shri Kamal Nath, Minister of Commerce and Industry, Republic of India. True to form, His Excellency struck chords of transformation, partnership, common interests and harmony at the lunch held in his honor at the University Club on 19 February 2008. Attending were Chicago Mayor Richard M. Daley, Mr. Rajinder Bedi, Managing Director of the Illinois Office of Trade and Investment, The Honorable Susan Schwab, U.S. Trade Representative, Craig S. Donohue, Chief Executive Officer, CME Group and John Estey, President & Chief Executive Officer, SC Electric Company.

Reading between the lines, the U.S. and India stand at a significant turning point: India's impressive economic growth is a significant element of the ongoing redistribution of global economic power—which holds excellent opportunities for U.S. businesses and workers that are looking for it.

But Cantankerous Subtext Hints at Possible Monkey Wrench—Democratic Race in Spotlight

The Executives' Club of Chicago fielded an expert panel to brief Midwest executives on Web 2.0's current and likely impact on one of the most watched U.S. elections in recent history. Marie Cocco, a renowned political columnist, Peter Greenburger, Director of Google's Elections & Issue Advocacy Team, and Alan Webber, Senior Analyst of Forrester Research brought to bear diverse perspectives on the question at the event, which took place at The University Club on January 31, 2008.

They produced a logical conclusion, namely that Web 2.0 was a force in the making but that it would probably not be a decisive factor this year. The session was graciously co-hosted by Communications Committee Co-Chairs David Prosperi, Vice President Global Public Relations, AON and David Blake, Publisher of Crain's Chicago Business.

As usual, I will share my notes of speakers' remarks before adding my between the lines analysis and conclusions. As an added bonus, I will also share select points of an influential source who, although not in the room, was virtually present through repeated reference.

U.S. Economy Due for Sideways Year—Special Effects by Presidential Election—Uncomfortable Long-term Questions Waiting in Wings

The Executives' Club of Chicago assembled an all-star panel to give Midwest business leaders their guidance for various aspects of the U.S. economy in 2008. Diane Swonk, Chief Economist of Mesirow Financial and Robert "Bob" Froehlich, Chairman of the Investment Strategy Committee, Deutsche Asset Management returned, and the mystery panelist was Jack Ablin, Chief Investment Officer, Harris Private Bank. They broke out their respective crystal balls for 2008, along with comedic effects. The session was brilliantly moderated by Terry Savage, Financial Columnist of the Chicago Sun-Times who didn't miss a beat and extracted specific predictions from panelists.

Panelists agreed that the U.S. economy would struggle in 2008, but it would move mostly sideways, probably eking out a 1-2% gain for the year after an unsatisfying first half. All panelists predicted that the Dow would touch 14,000 sometime during the year. Froehlich again emphasized the importance of looking beyond the U.S. for investments. Swonk and Ablin were less outspoken but had high non-U.S. allocations in their recommended investments for 2008.

After reportage on the panelists conversation, I will add my analysis and points to ponder, about the economy, opportunities and the election.

Three CIOs Share Vision and Techniques for Creating the Networked Enterprise—Facebook and Tagging Creep In

After James Owens' luncheon address, the Executives' Club of Chicago's 2007-08 Technology Conference series opened with the CIO of the Year Award and a sneak preview of the 2008 Chicago Technology Outlook Survey.

Then a diverse panel of executives took the stage to discuss the role of the CIO in the "networked economy 2.0." Bahman Koohestani, Senior Vice President & Chief Information Officer, Orbitz Worldwide, Paul Mankiewich, Chief Technology Officer, Alcatel-Lucent and Karenann Terrell, Chief Information Officer, Baxter International, shared their visions for the evolving role of the CIO and IT. John Gentry, Partner and Managing Director, CSC Consulting, moderated the panel discussion with aplomb. The Club's quarterly Technology Conference took place October 16 at the Chicago Hilton.

Although the panel represented such diverse businesses as pharmaceutical giant Baxter, global network equipment provider Alcatel-Lucent and travel sensation Orbitz, all were very focused on how CIOs needed to enable a new level of innovation by fostering a new level of trust and adopting a networked model—for everything. That means shared risk taking and trusting people.

Although their remarks had an appropriate enterprise focus, in Analysis and Conclusions, I will take the argument into the customer arena: only by extending their trust to customers will enterprises realize sustainable innovation in the long term.

U.S. at Turning Point with Global Economy in the Balance—A Lack of Courage?

James W. Owens, Chairman & Chief Executive Officer of Caterpillar Inc., beseeched U.S. business and government leaders to find the courage to save free trade. The speaker at the Executives' Club of Chicago's Global Leaders Series, Owens addressed a packed house at the Hilton Chicago on 16 October 2007. His speech was immediately followed by the Club's Technology Conference at which CIOs advised their peers on the emerging role of the CIO in the "networked economy 2.0."

A Ph.D. economist with extensive global management experience, Owens made a very convincing argument that the U.S. and the global economy are at a turning point. It is time for the U.S. to lead by example to assure the continuance of the free trade juggernaut that has produced so much wealth in the world. If it fails, the world stands before the prospect of sharply curtailed trade.

Following a summary of his remarks, I will offer conclusions and analysis of related market developments. Although he limited his remarks to business leadership, I will also argue that the U.S.'s lack of resolve and leadership is multidimensional, notably with respect to the environment. Moreover, economic and social forces are going to confront the definition of the sovereignty of the nation state due to the collective destiny of all nations due to trade and the environment. In other words, Owens' remarks may be far more applicable than he suggested.