Business leaders must think global even if they act local

The ability to anticipate and assess global forces of change is a must in today's volatile world

- PRASANNA KARTHIK

In an acclaimed article, noted leadership consultant Justin Menkes categorized the mastery that business leaders require into three skill areas: (a) accomplishing tasks; (b) working with and through other people; and (c) self-evaluation and behavioral adjustment. A recent Harvard Business Review article on critical C-suite skills suggests that in today's business environment, companies need leaders who are not only adept at managing finances and possess technical expertise, but also excel in people management.

While these skills remain indispensable, the current global context demands that business leaders acquire another critical competency: geo-strategic competency, which comprises geopolitical and geo-economic acumen.

After the collapse of the Soviet Union, the world embarked on a path of economic integration driven by globalization, near-seamless market access, supply-chain integration and outsourcing. China's "hide your strength, bide your time" philosophy prior to Xi suggested that this trajectory would intensify, fostering greater interconnectedness.

On the economic front, stability replaced the volatility and high inflation of the 1970s, boosting valuations of equities and assets. These developments created a favorable business environment, shaping the outlook of today's business leaders.