The new book by Steve Denning’s “A leader’s guide to radical management” is currently widely discussed in the US. Based on a more interdisciplinary approach than most management books, it reflects succes factors involving case studies and historical coherence rather on human communication than “organizing things”. The success of the purely rational and analytic way of thinking which was the main success setting for Western industrialization over almost two centuries, might become replaced by a more holistic approach that does not focus on the financial outcome in the first place but on “delighting the customer”. A related article by Denning was also recently published in the Forbes online magazine (http://blogs.forbes.com/stevedenning/2011/07/16/why-is-the-world-run-by-bean-counters/).
In case the Greek parliament approves today the EU and IWF cure for the debt misery in the country, relying on enforced austerity measures the inevitable consequence might not be so different in case the parliament rejects the plan, as almost all leading economists agree that Greece wont ever be able to pay back its debts.
The former Argentinean chief negotiator Guillermo Nielsen who had the responsibility of handling the state bankruptcy of the country in 2001 is now criticizing harshly the EU crisis management doubting that there is any alternative to an immediate debt restructuring. EU leaders might have to learn that bankruptcy, insolvency and failure happens almost never voluntarily. It is not a question of one’s decision but rather of the inevitable acknowledgement of one’s failure.
People on the streets of Athens are ridiculed for their protests in the international press. Greeks are publicly embarrassed by the waste of tax money as if nothing like that ever happened for example in Germany (that is still planning to rebuild a 19th century castle in the centre of Berlin). But maybe these protesters have very well understood that the current situation is not only the result of their government’s failure but also of the EURO ‘architects’, the EURO implementation authorities, the highly paid controllers in Brussels and therefore in the end the failure of EU politicians. Their anger will not cool down as long as they feel that those responsible for the quagmire are the same ones who now implement the measures to reduce their own daily living conditions.
The European elite, like anywhere else, has obviously not learned and will never learn to admit failures – and to handle their consequences. This is why they postpone the debt restructuring of Greece as long as they can and this is why they don’t have even an exit concept for EURO members. They didn’t want to allow themselves to fail – what a failure! “There is no plan B” is still the echo of this arrogance.
As a result, we will see social and political turmoil in Europe, an unbridgeable gap between people and politicians, between the nomenclatures in Brussels and politicians in local capitals while the media is pushing for the revival of national stereotypes and resentments among Europeans. To stop this disastrous pace Greece, the EURO, the Europeans and the world economy needs a haircut now.
They cant wait anymore for their elites to admit failure.
As it is widely known the risk of US state bankruptcy within the next few months is very real. Up to now markets and especially Treasury bond investors seemed to stay calm as the extension of the US debt limit until recently seemed to be almost sure. But nervousness is increasing because up to now there is no compromise between Republican and Democrats and time is running out. The 2nd of August is the deadline for a new agreement. A politically motivated delay of the process up to last minute is very likely with potential technical consequences on the currency markets. Anyhow, there are hardly doubts about the further extension of the US debt limit – with further inflation and political tensions in the emerging countries as a result. The move will be indriectly most critical for development countries that struggle with rising food and energy prices all based on the US Dollar.
The 59th Bilderberg conference has started at June 10th at the Swiss hotel “Suvretta House” near St. Moritz. The public and also the media are fully excluded from the event defined as an exclusive gathering of around 130 top decision makers in politics, banking, industry and media from Europe and the US. Almost all representatives and owners of leading institutions in this field usually join the meeting. Contents, decisions, recommendations, guidelines or suggestions made during the conference are not published.
This is why criticism and suspicion regarding this “meeting of the most powerful” are mounting. Beside the obvious lack of democratic legitimacy also the exclusion of competitors in business and finance, the absence of smaller and medium sized companies, the mingling of politics and finance as well as the risk of corruption and the illegal transference of insider information are listed as critical points of activist fighting the clandestine Bilderberg structure.