Face to face in Moscow: Facebook’s founder meets Prime Minister Dmitry Medvedev

October 2, 2012

Facebook’s founder Mark Zuckerberg met Russian Prime Minister Dmitry Medvedev in Moscow to discuss intellectual property issues.

Zuckerberg was beginning his quest for new global markets, as the leader of the newly floated Facebook organization [May 2012]

The Voice of Russia reported:

On Monday [1st October 2012] Dmitry Medvedev and Facebook founder Mark Zuckerberg had an informal meeting at the Prime Minister`s residence outside Moscow.

Since Mr Medvedev has his personal video blog, not to mention accounts on Facebook, Twitter and LiveJournal, his meeting with Zuckerberg, whose social networking site already has over 995 million users, has become a hot topic for the media.

Mr Medvedev was reported as saying

“The social networking sites have become extremely popular worldwide. And Facebook`s contribution to this is obvious. If I am not mistaken, some 10 million Russians are on Facebook. Of course, it is not that much compared to the US, where there are about 30 million Facebook users. Still, these figures are impressive. We also have our national social networking sites such as Odnoklassniki (Classmates) and VKontakte (Staying in touch). Besides, everybody is using Twitter. This is a kind of a different reality. And you personally have contributed to this”

Mr. Medvedev and Mr Zuckerberg discussed copyright protection on the web.

“As a lawyer myself I am very interested in this issue. I used to do research on it in the past. I believe that if an object of intellectual property is not listed on the web as requiring special protection it could be used freely” Mr. Medvedev said.

Friends or not?

When the meeting was over, Mark Zuckerberg presented Dmitry Medvedev with a T-shirt printed with the address of Medvedev`s Facebook page. The Voice of Russia report did not say whether Dmitry and Mark had friended each other, and if so, when.

The IP challenge

The conversation ever-so-politely introduced the challenges of intellectual property rights facing Facebook and other Western organizations as they seek to work globally.

The bonds that tie

It occurred to me that for all the differences in culture, America and Russia have been parts of the world which have seen the rise of self-made entrepreneurs cum billionaires. In that sense Zuckerman has a head start over the more traditional Fortune 100 CEOs in doing business there.

Acknowledgement

Image from biz Russia. IP rights as indicated by Mr. Medvedev


The Search for a New leader: Now its BA and Willie Walsh

May 15, 2008

Update: The post below [May 15th, 2008] was updated [December 16th, 2009] as British Airways faced a highly damaging strike of Cabin Crew over the Christmas holiday period. Original post follows:

When a company starts looking for a new leader, rumours about the incumbent are bound to arise. The most recent case is that of British Airways and its CEO Willie Walsh. Students of leadership succession should keep a close eye on unfolding events.

The duty of a corporate board is to safeguard a company’s future viability, and that must include monitoring of its leadership. While secrecy is desirable, it may suit pressure groups to bring matters to public attention. For example, shareholder activists seek advantage for their narrower interests, which would include getting the best short-term deals on investments, but might also include the possibility of becoming king-makers for a change of leadership.

The Independent reports that

[British Airways] has appointed the recruitment consultants Whitehead Mann to find a new chief operating officer and possible successor for its embattled chief executive Willie Walsh.

The successful candidate will fill a newly created role, devised after the recent Heathrow Terminal 5 fiasco. Both BA’s director of operations, Gareth Kirkwood, and head of customer service, David Noyes, parted company with the group last month [April 2008] . The two roles will now be combined to create the position of chief operating officer.

The airline, which will publish its full-year results on Monday, is believed to have instructed Whitehead Mann to find a senior level candidate who could be considered for a position on the board within two years, and could also be a potential replacement for Mr Walsh within five years.

Opening Sacrifices?

For ‘parted company’ read sacked. Gareth makes an opening sacrifice in BA’s attempts to allay criticisms for a wave of customer service reactions. David will do for the time-being for operational failings, as Terminal 5 lumbers into action.

Later, [May 13th 2008] BAA, Heathrow’s operating organization announced the departure of Mike Bullock, its Managing Director at Heathrow, another victim of the Terminal 5 opening (or non-opening, if you prefer). At least the BBC announced it, beating the BAA web-site to the news.

The departures at British Airways seem more in the nature of opening gambits, if we want to puruse the theme of chess as a metaphor for corporate strategy.

The Times has reported that public sentiment strongly in favour of BA finding a replacement for Willie Walsh.

However, Richard Northedge argues that

Walsh ..is directly culpable too [for the recent Terminal 5 opening fiasco]. Unfortunately, BA cannot afford to lose him. It has other problems that require solutions – from its pension deficit to its industrial relations – and Walsh is the best man it has. But stakeholders require some recognition that Walsh’s acceptance of responsibility is not just hollow words: it would be appropriate if, when the remuneration committee considers bonuses, it acknowledged the need to punish Walsh.

The Walsh Legend

Mr Walsh arrived at British Airways in 2005 already as something of a celebrity. His reputation had been secured as a former pilot who aspired to leadership. He had risen through the ranks at Aer Lingus to be acknowledged as a transformational figures for the fortunes of that company.

Stories accumulated about his hands-on style, and were used to sketch his operating methods.

He was known for negotiating toughness. Successfully reinventing Aer Lingus as a profitable no-frills airline, while other established European flag carriers went to the wall, he slashed costs by 30% and shed more than a third of staff. [saying]”we make no apologies for focusing on profit” … [and that] “a reasonable man gets nowhere in negotiations”.
He is renowned for not driving an expensive car and choosing not to take on a secretary, instead writing all his own letters and answering his own phone.

Mr Walsh’s obvious toughness and eye for increased profitability no doubt caught the attention of BA’s board. After the UK airline’s long history of staff disputes, most recently the wildcat walkouts in August 2005 in support of sacked workers at the airline’s main caterer, he must have seemed ideal.

Be careful of what you want…

‘Be careful of what you want. You might get it’ runs an office-wall summary, capturing the myth of the Faustian pact. Maybe that is another version of getting the leaders we deserve. The appeal of a tough leader for BA was obviously appealing, not just to the Board, but to its major shareholders.

Students of leadership succession should keep an eye on events at British Airlines. We will continue to watch Willie, at Leaders We Deserve.

To go more deeply into succession planning

We touched on British Airways in the context of Mandrill Management .

Travolution is a useful site for wider issues of the industry

The Post Office/Royal Mail leadership succession activities were noted including attempts to have a fall-back plan if Allen Leighton were to leave.

Times Warner’s appointment of Jeff Bewkes also makes an interesting succession story.

EADS strategic issues under Louis Gallois
and also its leadership challenges have been covered.

There have stories of the rise and fall of varous sporting leaders. When Liverpool owners approached Jurgen Klinsmann, the story blew-up as a scheme to get rid of the popular Rafa Benitez.

England’s Rugby Football Union eventually appointed Martin Johnson and relegated Bryan Ashton to the bench.

Numerous posts covered the stories the longest leadership succession saga of modern times.

The transition from President Vladimir Putin to Dmitry Medvedev is offering further insights into succession issues in internationally important arenas.

Overall, the events covered in these posts indicate recurring themes within recent leadership succession stories. A thorough examination might produce a valuable contribution to understanding of the dynamics of leadership succession. They may also hint at the likely outome to the story of Willie Walsh at British Airways.


Understanding Russia: Let’s not assume Medvedev is Putin’s Puppet

February 29, 2008

dmitry-medvedev.jpgRussia no longer makes headlines in the West. There are other evil empires to defeat. But this weekend we should be interested in Russia’s Presidential elections, and the intertwined fates of Vladimir Putin and Dmitry Medvedev

President Putin is set to become Prime Minister Putin. (Yawn). He steps down as President at the end of his second term. The overwhelming favourite to replace him is Dmitry Medvedev, a Business leader (Chairman of Gazprom), who in the West has been dismissed as some sort of Putin puppet.

In the West, we are much more interested in whether America will go for that nice Mr Obama, or pick their first woman for President, or maybe seek another good old-fashioned warrior in Senator John MacCain.

A Ritual of Pretend Democracy?

Are the Russian leadership elections a sham? Russia Today is overtly state-sponsored, and directed outwards. Its blogger, Peter Lavelle, or to give him his official title, Political Commentator, takes the issue head-on.

Many in the media have dismissed Russia’s presidential election as a charade and a ritual of pretend democracy. This is a mistake. The presidential election is clearly not exciting and there is a predictable outcome. But this does not mean the voters don’t have a choice. They do have a choice and I fully expect the electorate to act out the following logic: “If is not broken, why fix it?”

Russians will go to the polls on Sunday to vote on their future. There are four candidates on the ballot. One is well known and supported by the very popular President Vladimir Putin. Two are old hands in politics and the fourth is a relative unknown. For the “commentariat” in the West and some in Russia this all means a non-election. However, I submit this election is not about voting for someone, but about what kind of Country Russia can, and needs to, become.

Lavelle goes on to argue that Democracy is emerging in Russia, and that Putin has earned his popularity through his political leadership over his two terms of Office.

What does the West have to say?

Not a lot, as I indicated. The Guardian reflects the libertarian position in the UK. Luke Harding from Moscow reports the Civil Rights issues highlighted by Amnesty International.

President Vladimir Putin has presided over a major “roll-back” of civil rights in Russia, which has seen freedom of expression, assembly and association seriously curtailed, Amnesty International warned yesterday. In a report ahead of Russia’s presidential elections this Sunday the human rights group said the Kremlin was using new laws to persecute non-governmental organisations, forcibly break up opposition demonstrations and wipe out dissent.

The Kremlin claims it is committed to human rights and democracy. It accuses western governments of using rights as a political weapon to try to thwart Russia’s resurgence on the international stage.

The BBC at home and abroad

The BBC has been disappointing in its reporting for a home audience, while retaining some of its traditional excellent coverage internationally. On the eve of the elections, on Friday 29th February 2008, the BBC’s home news page on its website had as lead story Price Harry who has been serving in Afghanistan for the last ten weeks. No mention of the Russian elections.

In contrast, The BBC World News page did have the elections as a lead story. The focus was taken from an interview with Vladimir Churov, the head of the electoral commission.

Mr Chirov had ‘admitted media coverage was unequal’, but was further quoted as saying the Campaign was “fair but not equal”.

“That’s a problem not only for our country but I can agree that not all candidates have an equal number of news items,” However, the election chief argued it was legitimate for news programmes to focus on the activities of Mr Medvedev in his current capacity as first deputy prime minister, [adding] that he had no regrets that the Organisation for Security and Co-operation in Europe (OSCE). Europe’s main election monitoring body, had decided not to send an observer mission, and that the world would form its own opinion on the legitimacy of Sunday’s election.

More of the Same, Please

More interesting was a series of interviews with Russian citizens on their views of the elections.

The interviews suggested one view on the current situation in Russia. Unlike the United States, there is no momentum building up for yet more change. However contrived the elections appear to be in Western eyes, the Russians interviewed seemed to be welcoming the prospects of continuity.

I have no way of knowing how selective are the comments, or whether it would have been impossible to obtain stronger oppositional views expressed. I am more confident that the BBC had been unable to secure any such views, which would have made a rather more interesting story. No change wanted is not the headline of choice.