Friday, 10 June 2011

E. coli, cucumbers and counting costs


Quote
“To feel keenly the poetry of a morning's roses, one has to have just escaped from the claws of this vulture which we call sickness.”  Henri Frederic Amiel

News
The death toll from the outbreak of a rare strain of e coli in Germany has now passed 30, and it continues to cause heavy economic losses right across Europe.  The combination of the deadly effects of this particular bacteria, the slow response from the German authorities and the difficulty in isolating its source has heightened the anxiety felt by consumers all across the continent. 

Today the Robert Koch Institute, responsible for disease control, announced their conclusion that the contamination has indeed come from a farm producing bean sprouts in Lower Saxony.  Over the last two weeks the suspected culprit has moved from Spanish cucumbers to salad vegetables in general, before focusing on the locally grown bean sprouts. 

Given the severity of the health scare, the consequence has been the near collapse of the market for tomatoes, lettuce, cucumbers and peppers in many European countries.  Spanish farmers estimate their losses at over €175 million so far, and say it could take months for sales to recover.

This crisis illustrates how, in a closely interconnected EU, the decisions made in one part of the continent can have a devastating impact on third parties 2,000 miles away.  The German health officials, anxious to contain the disease outbreak in Hamburg, indicated that Spanish cucumbers might be to blame, although the evidence was not conclusive.  This ended up wrecking the relationship between Spanish (and other) farmers and their customers right across the continent.

In any relationship, there is a risk of injustice whenever consequences of actions cannot be matched by accountability.  Relational leadership involves learning to factor in the wider consequences of decisions to third parties, particularly when those parties have no means of holding the leaders accountable. 

Read on...
Harvard risk consultant David Ropeik has written an insightful article on the difference between the low statistical risk of being affected by this E. coli outbreak and people’s higher perception of that risk, which has led to major economic losses to farmers.   Read the article here.

Walk the talk
We all make hasty judgments from time to time; is there someone who has ended up hurt as a result of one of your judgments, based perhaps on inaccurate information, to whom you need to apologise or make amends?

The last word
From the Bible, James chapter 1 verse 19: “Take note of this: Everyone should be quick to listen, slow to speak and slow to become angry...”

Friday, 3 June 2011

Fair play and foul: two extremes of international football


Quote
“Academe, n.: An ancient school where morality and philosophy were taught.
Academy, n.: A modern school where football is taught.”  Ambrose Bierce

News
Last Saturday, Barcelona Football Club won the UEFA Champions league title for the third time in six years, defeating Manchester United 3-1.  Barcelona’s characteristic style involves keeping possession of the ball, quick passing, and waiting for gaps to open up in the opposing side.  How do they do it so well? 

In searching for the secret of Barcelona’s success, two things stand out.  One is the fact that the club is owned by 150,000 of its fans rather than foreign tycoons or big name shareholders. The other is La Masia, the club’s youth academy, which recruits boys from around the world and provides a unique blend of soccer training, academic study and character development. 

“We want to make them better players and better people by teaching them about respect, teamwork, humility, sacrifice, applying themselves and commitment,” explains academy director Carles Folguera.

Most of Barcelona’s squad is home grown, and the fruit of La Masia’s relational values is seen in the way trust and consistent teamwork are as much in evidence as the talent of the players.  Even the world’s number one player, Lionel Messi, who scored the crucial second goal for Barcelona, never hogged the ball or tried to outshine his colleagues. 

If only the same could be said for FIFA.  Wednesday’s re-election of 75-year-old Sepp Blatter after the withdrawal of his challenger amid various allegations of corruption has brought the sport’s governing body into disrepute.  This week’s Economist explains how FIFA uses the World Cup “to sustain a global network of patronage”, and details how much of its vast revenues it spends on itself.

One thing which makes football the ‘beautiful game’ is the way which everyone has to play by the same rules, which ensure that if you don’t play fair, you don’t play at all.  Human nature always tends towards bending or breaking the rules to gain some advantage; this is kept in check on the football pitch by an impartial referee.  In the marbled halls of FIFA, however, there is an urgent need for a different kind of whistleblower.

Read on...
An article on Pierre de Coubertin, the values which he sought to build the modern Olympic movement on and their final expression in “excellence, friendship and respect” can be read here: http://www.sportingpulse.com/assoc_page.cgi?c=1-3653-0-0-0&sID=138368

Walk the talk
How much do we rely on ‘star players’ for the success of our organisations?  Winning teams may not need them, if they encourage each member to play to the strengths of their colleagues, and cover for their weaknesses.  Is there a lesson you might learn from Barcelona’s example?

The last word
From the Bible, Ephesians 4, verses 2-3: “Be completely humble and gentle; be patient, bearing with one another in love.  Make every effort to keep the unity of the Spirit through the bond of peace.”

Friday, 27 May 2011

Obama, burgers and essential relationships


Quote
Our American values are not luxuries but necessities, not the salt in our bread, but the bread itself. Our common vision of a free and just society is our greatest source of cohesion at home and strength abroad, greater than the bounty of our material blessings.”  Jimmy Carter, former US President.

News
President Obama’s state visit to Britain this week has been hailed as a resounding success.  Winston Churchill coined the phrase ‘special relationship’ to describe the mutual regard between Britain and the United States following the second world war.  This week the rather jaded expression was recast as an ‘essential relationship’ – more practical, less sentimental, but still vitally important for both countries.

The heart of the relationship, according to President Obama, is the “values and beliefs that have united our people through the ages,” especially democratic freedom and human dignity.  Out of this flows the present joint commitment to cooperating on Afghanistan, the war on Al Qaeda and supporting the Arab spring uprisings.

It was fitting, then, that the president and the prime minister, together with their wives, personally served the grilled meat and salad to the British and American servicemen and women who were the guests at Wednesday’s barbeque in Downing Street.  In an age of spin and political insincerity, the gesture was genuinely well-received.

These two leaders sign the orders which commit their military personnel into combat around the world, sending them to injury perhaps, or death; yet the gesture of serving some of these ordinary servicemen and women a meal demonstrates the very values which President Obama was citing earlier. 

The head of state is not superior in worth to the soldier who defends its liberty, despite the power and privilege which comes with political leadership.  The human dignity of all is best ensured in a society by reducing the relational distance between prime ministers and privates from time to time.  Eating together, talking face to face and serving each other as happened on Wednesday celebrates another ‘essential relationship’ – our equality and brotherhood as men and women before God.

Read on...
Robert Greenleaf has promoted the concept of servant leadership widely in the business world for 40 years, although it is far older than that (see the Last Word).  For a 3 page article summarising seven practices of servant leaders, click here.

Walk the talk
How easily do we allow power and its associated trappings to increase the relational distance between us and the most junior members of an organisation or institution we are part of?  Do you need to do something to redress the balance, such as making an opportunity to serve authentically, or taking time for conversation outside your normal roles?

The last word
From the Bible, Mark chapter 10, verses 42-44: “Jesus called them together and said, ‘You know that those who are regarded as rulers of the Gentiles lord it over them, and their high officials exercise authority over them. Not so with you. Instead, whoever wants to become great among you must be your servant, and whoever wants to be first must be slave of all.’ ”

Friday, 20 May 2011

Money, sex and power: a lesson from Mr. Strauss-Kahn

Quote
The consequences arising from the continual accumulation of public debts in other countries ought to admonish us to be careful to prevent their growth in our own.”  John Adams, second US President, 1797.


News
A week ago, Dominique Strauss-Kahn (DSK) was the charismatic head of the IMF, taking a leading role in solving the Eurozone crisis and setting his sights on winning France’s Presidential election in 2012.  Today he is without a job, on bail for $1 million, and facing grave charges of sexual assault.  Yet according to the Financial Times, the alleged incident with a hotel chambermaid may not be DSK’s greatest error of judgment – instead it is his handling of the Eurozone debt crisis. 

As head of the IMF, he chose to treat the financial woes of Greece, Ireland and Portugal as problems of liquidity, not of solvency, bailing them out with huge loans on condition of draconian measures to reduce government borrowing.  He eschewed the options of debt restructuring or possible withdrawal from the euro, which would allow these countries to devalue their currency and increase exports, to offset weaker domestic demand resulting from spending cuts. As it is, the current measures are pushing Greece further into recession, tax revenues are falling and borrowing requirements remain stubbornly high.

What do these two decisions associated with Dominique Strauss-Kahn have in common?  Both are relationship problems, both illustrate how something valuable can turn into something destructive when removed from its relational boundaries.  Sex is good but only in the safe limits of a consensual, committed, socially-sanctioned relationship (which once was called marriage).  When a person’s appetite for sex is stronger than the commitment to express it within these limits, it can wreak havoc.

Similarly with debt.  While the ideal is to avoid debt, it can be useful if kept within secure boundaries governing the relationship between borrower and lender, summed up as follows.  The person who makes the loan should share the risk involved in its recovery; the lender should only burden the borrower with an amount that can be reasonably repaid; the borrower must view the loan as a binding commitment to repay the lender; and finally, the lender must be prepared to cancel debt should the borrower become genuinely unable to repay.  The problem is that financial institutions have moved away from lending within relational boundaries, and treat debt more like a commodity; this is a major root of the financial crisis.

Power can deceive people into thinking that the normal rules of relationship (usually enshrined in law) somehow don’t apply to them.  DSK’s alleged incident with the chambermaid may well have cost him his career and reputation, even before his trial.  It remains to be seen what price will finally have to be paid (and by whom) for the way in which banks and global financial institutions have torn up the relational rule book regarding debt.

Read on...
The economist Paul Mills has written about the current financial crisis from the perspective of the relational principles on debt found in the Bible.  You can read his Cambridge Paper here.

Walk the talk
How seriously do we consider the impact of debt on relationships?  Would it be helpful to review your own lending or borrowing in the light of the relational principles above?

The last word
From the Bible, Psalm 37, verse 21: “The wicked borrow and do not repay, but the righteous give generously;” and Proverbs 22, verse 7: “The rich rule over the poor and the borrower is slave to the lender.”

Thursday, 12 May 2011

Osama bin Laden and the question of justice

Quote
“Extremism in the defense of liberty is no vice; moderation in the pursuit of justice is no virtue.”  Cicero.

 

News
The killing of Osama bin Laden has led to a heated debate about the necessity and legality of the action by the US military last week.  There are two underlying questions: first, what was the extent of bin Laden’s responsibility for the indiscriminate killing of thousands of unarmed civilians?  Was he effectively the commander of a military force still at war with America?  If that was indeed the case, then killing him (whether he was armed or not) was justified according to the rules of war – a view widely held in America and supported by the Attorney General.

If there is any uncertainty about the first question, then a second one is this: was it justified to shoot bin Laden in his own home, when he had been indicted for trial?  Could this amount to an extrajudicial killing under civil law, which would undermine the rule of law and right to a fair trial, two of the democratic values which America is promoting in countries like Afghanistan and Pakistan?  

From a relational perspective, which was the lesser evil: killing bin Laden unarmed and in front of family members, or capturing him and bringing him to public trial?  Initially one might think the latter – but this would have promoted the terrorist’s cause, inflamed extremist opposition to the West and probably led to Al Qaeda networks taking Americans hostage somewhere round the world and demanding their leader’s release.  Although there is high risk of reprisals by Al Qaeda now, the time for them will pass.  But a lengthy trial would have brought a more insidious risk for a much longer period to a greater number of unarmed people.     

Thinking relationally helps to shed light on the wider dilemma.  Human rights – including the right to a fair trial – should be understood in their relational context.  Rights can only be granted and upheld by means of relationships with other people, acting individually or as representatives of an institution. 

Consequently, a narrow, individualistic concept of human rights, uprooted from its wider relational context, can produce nonsensical outcomes such as society being obliged to uphold the right of an individual to destroy the very society which granted him that right.

Killing as opposed to capturing Osama bin Laden on May 2nd may end up saving thousands of civilian lives and averting relational tragedy for countless networks of families and friends.  On other hand, when an American president authorizes the killing of a man without trial and outside the rule of law, this may legitimize autocratic regimes in disposing of dissidents without recourse to judicial process. 

Such choices are hard, and we would do well to weigh the rights and wrongs of this incident carefully – and relationally.

Read on...
Li-ann Thio, Professor of Law at the National University of Singapore, has reflected on the tension between the rights of an individual and the interests of society in a paper “Constitutionalism in Singapore: through a Relational Lens”.  You can read an extract from the paper here. 

Walk the talk
It can be easy to pass judgment on others whom we scarcely know, on the basis of hearsay and rumour.  
Is there anyone in that category over whom you might suspend your judgment for a while, with a view to getting to know them better first so that your judgment is a more considered one?  

The last word
From the Bible, Proverbs 18:17 “The first to present his case seems right, till another comes forward and questions him.”

Friday, 22 April 2011

(Good) Friday Five

We take a break from our usual format to present the following parable, which has been told a few times before, but perhaps you haven’t seen it.  May you have a very happy Easter!

A wealthy industrialist and his son loved to collect great works of art.  They would often sit together to discuss and appreciate the paintings in their collection, which ranged from Raphael to Rembrandt, and from Monet to Matisse.
But when war broke out, the son went off to fight in a distant land.  He was very courageous but died tragically in battle while rescuing a wounded comrade.  The father was notified and grieved deeply for his only son.
A few months later, just before Easter, the doorbell rang.  A young man stood in the entrance with a large package in his hands. He said, "Sir, you don't know me, but I am the soldier for whom your son gave his life. He saved many lives that day, and he was carrying me to safety when he was hit by that fateful shot.  He would often talk about you, and your love for art.”
The young man held out his package. "I know this isn't much. I'm not really an artist, but I think your son would have wanted you to have this."  The father opened the package. It was a portrait of his son, painted by the young man. He was deeply moved by the soldier’s visit, and by the way he had captured his son’s personality in the painting.   Tears welled up in the father’s eyes as he thanked the young man and offered to pay him for the picture.
"Oh, no sir, I could never repay what your son did for me.  It's a gift."   
The father hung the portrait in a prime position in his house.  Every time visitors came to his home he showed them the portrait of his son before taking them to see any of the other great works he had collected.
A few years later the old man died.  There was to be a great auction of his art collection. On the day, many wealthy and influential people gathered at the house, excited by the opportunity to purchase one of the masterpieces for their collections.  But the first lot on the platform was the soldier’s painting of the son.
The auctioneer called for silence. "We will begin the auction with this painting of the collector’s son. Who will start the bidding?"
There was silence.  No one was interested.  A voice near the back of the room called out, "We have come for the great masters; just skip this one." But the auctioneer persisted. "What am I bid for this painting?  Who will start?  Will anyone give me $200?"  
People rolled their eyes and others scowled in frustration as no one made a bid.  The buyers became restless and another voice called out angrily, "We didn't come to see this painting; we came for the Renoirs and Turners.  Let’s move on to the real bids!"
But the auctioneer persisted, "I want a bid on the painting of the son!  Who will start the bidding?  Who wants the son?"  Finally, a voice came from the very back of the room to break the tension.  "I'll offer $50 for it, as I knew the young man since he was a child."  It was the gardener who used to work for the old man.
"Thank you.  We have $50; will anyone bid $70?"  Someone called out, "Come on, give it to him for $50.  Let's see the great masters."
"$50 is the bid, am I offered more?"  The auctioneer looked round the room before pounding the gavel.  "Going once, going twice.... sold for $50!"
The assembled art collectors sighed with relief as this seemingly pointless detour finally came to an end.  A woman sitting on the second row said, "Now let's get on with the real auction!"  
The auctioneer then laid down his gavel and closed the catalogue. "Ladies and gentlemen, the auction is now over."
Gasps of dismay were heard all round the packed room.  Someone cried out incredulously, “What about the masterpieces?"  
"I am very sorry, but when I was invited to conduct this auction, I was told of a certain stipulation in the will. That stipulation could only be revealed at this moment.  Only the painting of the son would in fact be auctioned.  Whoever took the son would also be given the entire estate, including all the other paintings.  They now belong to the gentleman at the back. Good day.” 

Friday, 1 April 2011

Justice for all? Relationships and the “no win, no fee” system


Quote
“I believe that every right implies a responsibility; every opportunity, an obligation; every possession, a duty.” John D. Rockefeller

News
This week the UK Justice Secretary unveiled plans to limit the costs of legal fees for compensation cases, and make the winner pay their own costs from damages awarded. 

The current “no win, no fee” system enables people who feel they have suffered loss due to negligence to enlist a lawyer no matter how poor they are.  However, in recent years the legal costs in such cases have escalated; for example, in 2008-09 the NHS paid out almost 50% more to lawyers than compensation to patients who suffered due to negligence (£456 million in fees, as opposed to £312 million in compensation). 

At one level the new plans are an attempt to restore a sense of proportion and balance between the competing interests of individual claimants, large organisations, insurance companies and law firms.  However, beneath this lies a warning that relationships are breaking down, as people who feel wronged tend to resort increasingly to the courts to get what they want, rather than seek a fair outcome through mediation. 

The slide towards a litigation culture is the consequence of other relational factors.  Firstly the scale of many organisations makes it hard for individuals to feel their grievances are being heard. Secondly, the emphasis on rights tends to polarise the individual and the community, with the former claiming entitlement to their rights from the latter – rather than trying to identify and deal with the particular strained relationship. 

Furthermore, there are ripple effects from compensation claims, because every pound paid in compensation and legal fees means a pound less for medical care or other public services, plus higher insurance premiums for everyone.

Two realities remain in tension: the need to hold people responsible for their actions, and the need to be gracious when people make mistakes, as we all do.  The more attention we pay to the underlying relational issues in a dispute, the more likely we are to appreciate that many cases a sincere apology may be more valuable compensation than cash.

Read on...
The Cambridge Paper by Julian Rivers called “Beyond Rights: the morality of rights-language” offers a Christian perspective on the pros and cons of seeing justice in terms of rights.  You can read the paper here.

Walk the talk
It is easy to get entrenched in a dispute, and it takes courage to seek a compromised settlement.  Is there a situation in which you could make the first move?  You may lose what you feel entitled to, but you would gain the peace of mind that comes through reconciliation.
 
The last word
From the Bible, Matthew 5, verse 25-26: "Settle matters quickly with your adversary who is taking you to court. Do it while you are still with him on the way, or he may hand you over to the judge, and the judge to the officer, and you may be thrown into prison.  I tell you the truth, you will not get out until you have paid the last penny.”