Mini-UN

Our International Political Economy class discussions have really heated up over the past few weeks. The topics are intentionally provocative and Jean-Pierre does a good job of mixing class time between his expert knowledge and our inter-student debate. As we have 44 countries represented in our class, it’s like participating in a mini-UN. Before our eyes we see age-old conflicts unfold between individuals.

For example, between our one Israeli student and two Lebanese students we saw the Arab-Israeli conflict play out last week. Each student had “facts” supporting an assertion that the other side was to blame, each pointed out the death and destruction wrought by the other, and each refused to back down. It was exactly the same thing that happens between countries. Both sides know that the only way to resolve the conflict (the original source of which may be long forgotten) is to step back and offer peace/goodwill but instead they just escalate the rhetoric.

On the one hand, it is frustrating. We aren’t here to argue about who is right and who is wrong; we are here to learn a better way. On the other hand, though, it is instructive to witness the individual interactions and learn from them about the inter-country/inter-ethnic-group interactions and reactions.

It is also interesting to see the nationalism and defensiveness come out during these discussions. For example, I asked a question today about China’s investment policy in Africa. China (and Africa too) claims that it is a no-strings-attached policy. This is contrasted with the historical Western policy of lending money or making investments but requiring democratic, human rights, economic, and other reforms in return. According to our African students, Africans prefer China’s approach.

My question was about whether Chinese investments were really better for Africans or, given the presentation we had just heard about Africa’s history of corruption and leaders embezzling government funds, were they just bribes by a more palatable name. I.e. by not attaching any strings was China just giving corrupt leaders more leeway to take the money for themselves? It was an honest question asked to understand the situation better, not an attack on China. The first response I received, from the presentation group, was fair and rational. However, it was then followed by several responses defending China. At the root of most of these arguments was, “It’s no worse than what the West has done in the past.”

This is, of course, a classic “tu quoque” fallacy: “Something we are doing is OK because, hey, you’re doing it too.” The objective isn’t to point fingers; it is to find a better solution! I ran into a similar situation when conversing with a Chinese classmate about China’s massively increasing polution levels that are predicted to lead the world in just a few decades. The rebuttal was, “Yeah, but the US currently leads the world–why do you want to accuse us of wrong-doing?!” I wasn’t accusing anyone of anything; I was pointing out a trend that, now that it had been identified, we have an opportunity to reverse before it is too late. Can we please stop dwelling in the past and start finding ways to make the world a better place?!

Still, there is learning in these discussions. Perhaps the logical fallacies are not soley the fault of the arguers. Perhaps the way I present my questions is perceived as confrontational or accusatory. Perhaps I could find better ways to communicate across cultural boundaries, resulting in greater productivity in such discussions. I’m sure such learning could be applied not just to the individual interaction level but also to the group, company, and country interaction levels as well. I will collect feedback and work on it; I owe at least that much to my current and future colleagues.

Third-of-the-Way-There Update

When I left the US for Switzerland, many people asked to be updated by email every once in a while about how I am doing over here. I finally sent out my first update, one third of the way through the program. The content was as follows:

To those who expressed interest in receiving periodic updates from me, here is my first. As I near the end of my fourth month in Lausanne, I feel incredibly positive about my decision to come here. This program is exactly as advertised: intense, international, very personal, and 100% focused on leadership. On paper it was exactly what I was looking for; in reality is has turned out to be that and more.

Highlights so far have included (roughly chronologically):
· Outdoor leadership/group dynamics exercises in the snowy mountains
· Very personal, very deep analysis of myself, my subconscious, how I behave, how I react, what motivates me, etc. by psychologists, psychoanalysts, transactional analysts, Jungian analysts, professors, leadership coaches, career coaches, and amateur students—and amateur me!
· Very personal, sometimes painful, but incredibly useful feedback from peers, professors, and coaches regarding my leadership style and effectiveness
· Lunch every day at a campus restaurant that would give even the finest private restaurants a run for their money
· Learning so much from my classmates—89 successful business leaders from 44 different countries and a wealth of professional/educational backgrounds
· Contributing my own experience/perspective to their learning
· Running along the gorgeous lake with snow-capped mountains as a backdrop
· Excellent courses, cases, and projects from world-class faculty
· Developing personal relationships with said faculty
· Weekend-long, sleepless group exercise to test our performance under extreme stress (another one is scheduled for next weekend!)
· Visits from friends and loved ones—especially my birthday weekend in Lugano
· Helping the CEO of a fledgling startup software company analyze its market, choose an appropriate strategy, raise money, and implement the recommended strategy
· Helping the CEO of a huge, global chemicals company save hundreds of millions of euros by optimizing its supply chain and procurement organization

It’s not all sunshine and rainbows, however. Aside from the toll taken by the constant barrage of work, there are some additional downsides to being here:
· I miss my friends and loved ones. The people here are wonderful and I’m sure that many of the relationships I’m forging will last a lifetime. However, they are no substitute for the wonderful people already in my life.
· I miss my alma mater. Although I still serve on several Rice alumni organization boards remotely (via email and conference calls), it’s not the same as being involved in person. This year will be the first that I have missed Beer Bike, Commencement, and—probably—Homecoming. Missing baseball season is tough enough (The Owls are currently ranked #4, go Rice!) but football season will be even harder.
· There is not time to do everything I want to do while I’m here. I spend most of my time working at school or on school-related activities. As a consequence, my French isn’t improving much, I haven’t met too many locals, and I really haven’t traveled at all. For that matter, there are some courses on which I am not focusing as much as I would like, again due to time constraints. A great deal of this program seems to be about forced prioritization: you can’t do it all so you’d better figure out what really matters to you and do that really well.
· My wine consumption is down—WAY down. Certain informants keep me apprised of the menus of the wine dinners at the Petroleum Club of Houston so I can at least live vicariously through them. However, Lausanne is so beautiful that it’s a crime not to be spending each sunset on the lake with a picnic dinner and some great wine. Once I have a chance to come up for air I may have to make up for lost time!

One question I receive from a number of people back home is “What will you be doing after IMD?” December, after all, isn’t that far away. We spend a significant amount of time here working with coaches to think strategically about our careers. What careers, roles, industries, and geographies are the best fit for our personalities, ambitions, motivators, lifestyles, skills, and values?

My goal is to leverage my success in leadership and entrepreneurship to make a big, positive impact on the world. This could be by staying in technology but leading larger and more global organizations. Or I am also open to working in areas that match with my interests and experience: energy (especially alternative), nanotechnology, the arts, wine, football, and space exploration. A great fit, even in an established company, would be a role that entails some form of entrepreneurship and innovation–perhaps an American company with a new initiative to go international or vice versa to build on my international background.

Another path that interests me is venture capital. I could use my entrepreneurial experience and the constant influx of new projects would appeal to my desire for a dynamic work environment. It probably wouldn’t offer many leadership opportunities but there may some firms that take a more “hands-on” approach with their investments by providing a management team. I’m still investigating this option.

I believe that the US (Houston, Austin, San Diego, and Silicon Valley are most likely.) will be my ultimate destination but I am open to taking the “scenic” route and working in Europe (UK, Italy, France, or maybe even Switzerland) for a while first. This is all very much in flux so I offer no guarantees that it won’t have completely changed by my next update!

The Weather Is Here, Wish You Were Beautiful

Today marked a momentous turning point: I went to school with no coat! The weather was warm and the sky clear. At the risk of jinxing us, I think spring is here to stay after numerous false starts. The whole weekend is predicted to feature similarly gorgeous weather. Naturally this is probably the most work-laden weekend we have had so far. Still, we will all find ways to sneak out of the dungeons, I’m sure. For me, it will be beach volleyball again!

National Garlic Day

Happy belated National Garlic Day to all! Fortunately for my classmates, especially those who sit around me, I will wait until this evening to celebrate. Of course, I celebrate garlic pretty much every day, so today isn’t all that out of the ordinary!

I finished 1989 this morning and it was not a great year for American popular music. On the brighter side, Guns N’ Roses was coming on strong. However, this was more than offset by the arrival of New Kids On The Block, which marked the official start of the Boy Band era. It is with a heavy heart and serious anxiety about things to come that I continue the musical odyssey into the 90s.

International Consulting Project

The results are in! This evening we received our assignments for our International Consulting Projects (ICPs). The ICPs are projects wherein groups of four or five IMD students work on a major strategic project for companies around the world, reporting directly to CEOs or other top management. Each group works closely with an IMD faculty member with relevant expertise.

I was chosen for a supply chain strategy project at a global chemicals/materials company headquartered in Switzerland, near Zurich. My group will be great; there are just four of us, including a German (who is in my current study group), a Zambian, and a Colombian. They are all great guys who are both competent and experienced.

Our faculty member is Corey Billington, our POM professor and a former VP at HP. I’m really excited to work with him as he has a wealth of recent, real-world experience and he really likes to think big. Shall we tackle a project that will make billions of euros of difference to the client’s bottom line? BRING IT ON!

Although I was disappointed by the lack of wine-, football-, and space exploration-oriented projects, there were some other pretty cool possibilities, including:

  • luxury car market entry in France
  • international fundraising strategy for an African non-profit
  • product strategy for DuPont in Asia
  • market entry for an emissions-free scooter startup in Germany
  • growth strategy for a services firm in Quatar
  • geographic expansion strategy for Norelco/Nivea in the Netherlands
  • European marketing strategy for a UK chocolatier

There was even a project for a Danish company looking to open operations in Arkansas–wooooooooooooooooooo PIG SOOOOOIIIIIEEEEEEEEEEEEE!!!

As I find out more about the project I will keep you all updated!

More Rice at IMD

Today in Entrepreneurship we analyzed a case with a Belgian protagonist named Louis (silent “s”). When Benoit asked what management team Louis brought to the company he was acquiring, the answer was “Louis, Louis, Louis, Louis, and Louis.” Naturally this made me want to get up and dance to “Louie Louie” (#99 song of 1964 by The Kingsmen), Rice’s unofficial fight song. Go Rice!

Speaking of Rice, my best friends from there are dropping like flies. One of them recently became engaged (Tanti auguri!) and another now has a serious girlfriend for the first time since . . . well, since I’ve known him. What does it say when, as soon as I leave, they start pairing up? Was I holding them back while I was there?? Oh well, good for them–and for their girls who have found such great guys!

Presidential Visit

Yesterday I was honored to have an old classmate of mine swing into town for a brief visit. Robert Arthur Lundin (or, as many of you will remember him: “Blah blah blah blah blah, me me me me me, Robert Lundin”) was the president of Wiess back when I was president of Lovett and we shared some great times together. I was a terrible tour guide for him but we had a good time just poking around the city and catching up. We had lots of fun eating fondue on the lake, visiting the Museum of Historic Lausanne, and experiencing the Carnival de Lausanne. Thanks for coming, Robert; it was great to have someone in town who still knows me as Guido!

Beach Volleyball Is BACK

Last night I skipped what was sure to be a great party to stay in and get some work done. There were three reasons for this painful decision: 1. My scholastic and extracurricular work has piled up; I really needed a productive weekend to catch up. 2. Tomorrow I will have an old friend in town, which will kill what is traditionally my most productive day of the week. 3. Today I would be spending a significant amount of time playing beach volleyball.

This last reason is the focus of this post. Mario, a Brazilian classmate, and I will represent IMD in the beach volleyball tournament at the MBAT in three weeks. Unfortunately, before today, neither of us had played in a long time and we had never played together. One of the weekends before the MBAT is another Integrative Exercise so our time to practice together was running thin. My heartfelt gratitude goes out to Mario for making time today; he was able to squeeze in two games with me between a late project meeting and a train to Lucerne–that’s dedication!

The weather was GORGEOUS today so I would have been really disappointed if we hadn’t been able to play. As we started there was definitely a lot of cobwebs to dust off and we went down 6-1. Unforced errors and heavy breathing were abundant! As we came around individually and began gelling a little as a team we staged a comeback but still wound up losing 21-18. We turned it around and beat the same team soundly in the second game, 21-10. By the end we were both moving, reacting, passing, setting, hitting, and–most importantly–communicating better so I felt encouraged by our progress. If we can find a few more times to practice before the MBAT I think we’ll be a force to reckon with.

Mario had to race off and catch a train but some of the people there invited me to stick around and keep playing. I played for three hours before taking off myself and met a few local girls and guys. It sounds like many of them are there every weekend so I look forward to getting back into a Third Coast-like culture. As small as Lausanne feels I’ll probably bump into them on the street too–I bumped into another IMD student and his partner on my walk home from the courts.

The sand here is harder and more abrasive than I’m used to (It also doesn’t scald my feet!). Still, it felt great to dive in it for the first time in a long time. I came home, took a long, hot shower, tended my torn-up forearms, elbows, and knees (which reminds me of playing football at Rice on new artificial turf during the UPS strike that prevented our elbow and knee pads from arriving), and am now pleasantly exhausted from sun, exertion, and running/jumping in sand.

Beach volleyball is BACK in my life and that makes me happy.

Financial Aid

An anonymous reader posted a comment recently asking how IMD’s full-time MBAs afford the program, which isn’t cheap. Tuition and fees come to ~$75,000 (increasing to $80,000 for next year’s class). Living expenses are estimated at ~$30,000 on the year (Switzerland isn’t cheap either.) and then, of course, is the fact that most of us aren’t earning any income in the meantime. After discussions with students, discussions with financial aid office personnel, and some research on the Web, I am finally prepared to respond.

First, we have ~10 students who are sponsored by their previous employers. This means their tuition, fees, and–in many cases–expenses are paid for. Many of them are still participating in the career services activities and it will be interesting to see if they return to their sponsoring companies.

For the rest of us the first opportunity for financing is through scholarships. IMD offers many (although American males aren’t eligible for most of them) plus there are myriad others available from third parties. Another 20+ of our class is on scholarship.

I applied for IMD’s Global Future Leaders scholarship (the only one for which I was eligible), thinking that it would be a great fit. After all, my entire purpose in going to IMD was to learn to be a better global leader. When I failed to win it, I was at first crestfallen (Was I not the future global leader I thought I was?) but I gradually dealt with it. I was coming to IMD to learn and this validated that I still had plenty to learn in exactly my area of interest. Furthermore, it reinforced a lesson I thought I had learned before: that I can’t just slap something together and expect it to reflect my capabilities, passion, or even message. I wrote my application essay on the flight back from my interview, exhausted and uninspired but up against an immediate deadline. It was lackluster and it received the appraisal it deserved.

It wouldn’t be the last time I had to cope with performance disappointment at IMD but I am learning (slowly but surely) that it is OK to fail; some of the best learning comes from failure. IMD allows us to fail (and, in fact, ensures that it will happen) in a relatively consequence-free environment. This way we are not only more prepared to succeed in the “real” world, we are also more prepared to turn our future failures into constructive learning.

With sponsorship and scholarships out of the way, the final two methods of financing are through debt and savings. Due to the very high average work experience (7 years) and highish average salary of entrants ($75,000), many students have adequate savings to self finance. Due to the tax advantages of taking out student loans, however, some of us choose to take out debt anyway; I did.

Average salaries upon graduation are in excess of $130,000 (plus signing bonus) so I would strongly discourage anyone from letting price be a barrier to application. Even considering foregone salary, it doesn’t take long for the IMD MBA to pay for itself in absolute monetary terms. However, I would also discourage anyone from applying just to increase his/her earning potential. The real value of the IMD MBA is enhanced self awareness, teamwork, leadership, performance under pressure, and cultural understanding. While these happen to be highly valued in the market place, they can have a tremendous impact in your nonprofessional life as well. So don’t come to IMD to earn more money; come to improve yourself and augment your ability to make the world a better place. That is more than worth the price!

Olga, I hope this answered your question. Please let me know if you have any more questions and thanks for reading!

Good and Bad

Good:
The weather here has been beautiful the past couple of days. Yesterday after class I went for a run along the lake. Instead of running a specific distance for speed, sometimes I run a specific duration and try to cover the most ground possible while keeping my heart rate below a certain threshold. Yesterday was one of those days so, as I jogged along, I suddenly found myself in another commune–I was covering more ground than I was accustomed to at that heart rate. By the time my 45 minutes was up, I had crossed a significant barrier: 5 miles, the greatest distance I have ever run in one stretch! That probably seems insignificant to most of you but it’s kind of a big deal for me.

Bad:
1987 features the introduction of Kenny G to the American popular music scene.
And Bruce Willis–I’m assuming “Respect Yourself” (#89 of 1987) had something to do with Moonlighting.
Where Kenny G is, Michael Bolton can’t be too far behind. I see dark days ahead.