EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading

EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
EXECUTIVE TALENT    Volume Fifteen

         Nature, Nurture and
          the Environment of
               Moving from future shock
                       to future leading

             Executive Research

         A Futurist's Perspective
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
Welcome to Volume 15
                                           from Karen Greenbaum, AESC President & CEO

                               ith this issue of Executive Talent, we are kicking off the year-long celebration of our
                               60th anniversary. In preparation, I have reviewed AESC Board meeting minutes all
                               the way back to 1959 when AESC was founded. I was so proud to see the names of
                   so many well-known leaders of our profession. These leaders understood quality, integrity and
                   trust as cornerstones of our profession and saw the establishment of a professional association as
                   key to our long-term success. Today, our association has evolved to reflect the expanded role our
                   members play in strengthening leadership worldwide.

                                  • Recent AESC research identified HR, relative to other functional
                                    departments, as one of the least prepared for digital transformation.
                                    We explore how AI sourcing, assessment technologies and new
                                    sources of data are radically changing the face of talent acquisition.

                                  • How does a person develop the thinking skills and the breadth of
                                    knowledge necessary for leadership? Erica Orange, futurist, shares
                                    with us current trends and how they are shaping the future of work
                                    and society.

                                  • Like all disciplines, executive research is not immune to disruption.
                                    To meet the demands of an evolving role, executive researchers
                                    are developing new skills and adapting to new challenges. Experts
                                    in the profession share with us the shift from research to research

                                  • The authors of Go Long share powerful anecdotes from industry
                                    leaders, looking at the pitfalls of short-term thinking against the
                                    wisdom of a long-term vision.

                                  • The digital information age continues to give rise to new economies
                                    and tech sub-sectors. AESC Partner, Cluen, explores the question—
                                    trusted advisor or trusted algorithm?

                                  • Companies are actively looking to improve equality in their
                                    recruiting practices. AESC Partner, Invenias, shares new findings
                                    from their global survey with MIX Diversity Developers on diversity
                                    and inclusion.

                     Thank you to the many individuals and firms who participated in the interviews and contributed
                   to the research for this issue of Executive Talent. As always, I welcome your feedback on all matters
                   relating to global executive talent.

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EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
The Global Magazine from AESC
Volume Fifteen
                                                                   4     A Proud History: The Executive
Board of Directors
Paul Benson, Chair of the Board                                          Search Profession and AESC
Senior Client Partner, Global Head of Infrastructure,                    AESC celebrates 60 years in 2019. To mark the occasion, we
Construction & Services, Korn Ferry - London                             explore the roots of the profession and the Association, and
Morten Nielsen, Vice Chair of the Board                                  map how far we have come.
Senior Partner, Life Sciences Practice, Witt/Kieffer - Cleveland

Ineke Arts, Secretary Treasurer                                    12    Fertile Ground: Nature, Nurture
Partner, Hoffman & Associates / IIC Partners - Brussels
                                                                         and the Environment of Innovation
Sonal Agrawal, Board Member                                              Trusted advisors share how early stage businesses make their
Managing Partner, Accord | India / AltoPartners - Mumbai                 way on the road to scale and success.
Emanuela Aureli, Board Member
Consultant, Technology, Media & Telecommunications Practice
and Data & Analytics Practice, Spencer Stuart - London
                                                                   20    Talent Technologies
                                                                         Digital transformation is impacting every industry, geography
Richard Boggis-Rolfe, Board Member                                       and business function. Now it’s HR’s turn to experience the
Chair, Odgers Berndtson - London
                                                                         impact of some disruptive trends.
Kate Bullis, Board Member
Co-Founder & Managing Partner, SEBA International -
San Francisco                                                      26    Trend-Spotting:
Dorota Czarnota, Board Member
                                                                         A Futurist’s Perspective
Country Manager, Russell Reynolds Associates - Warsaw                    Erica Orange is Executive Vice President & Chief Operating
                                                                         Officer at The Future Hunters, one of the world’s leading
Rodrigo Foz Forte, Board Member
                                                                         futurist consulting firms. She shares with us current trends
Managing Partner,
EXEC – Executive Performance | Panorama - São Paulo                      and how they are shaping our future.

Karen Greenbaum, Board Member
President and Chief Executive Officer, AESC - New York             32    Executive Research Intelligence:
Julian Ha, Board Member                                                  From Behind the Scenes to the
Partner, Heidrick & Struggles - Washington, DC                           Front Lines
Alicia Hasell, Board Member                                              Executive researchers are developing new skills and
Managing Partner, Boyden - Houston                                       adapting to new challenges. In the process, they are building
                                                                         rewarding careers and proving their value.
Nobi Kaneko, Board Member
President, Kaneko & Associates - Tokyo

Cathy Logue, Board Member                                          38    Go Long: Why Long-Term Thinking
Managing Director, Global Leader CFO and Financial Executives
Practice Group Managing Director, Stanton Chase - Toronto
                                                                         is Your Best Short-Term Strategy
                                                                         With powerful anecdotes from industry leaders, we look at
Martin Schubert, Board Member                                            the pitfalls of short-term thinking against the wisdom of a
Partner, Eric Salmon & Partners - Frankfurt                              long-term vision.
Stefan Spang, Board Member
Senior Partner, McKinsey & Company - Düsseldorf
                                                                   42    Disruptive Tech’s Impact on
Roxanne Taylor, Board Member                                             Executive Search
Strategic Advisor and Brand Strategist;
Former CMO at Accenture (2007 - 2018) - New York                         As the digital information age continues to give rise to new
                                                                         economies and tech sub-sectors, is executive search the next
                                                                         industry to be enveloped by technology?
Dedicated to Strengthening Leadership Worldwide
Editorial Team
President & CEO                        Writer & Editor
                                                                   46    Diversity and Inclusion and the
Karen Greenbaum                        Martha Clement                    Role of Executive Search
                                                                         Diversity and inclusion is firmly on the board room agenda
Chief Marketing Officer                Senior Designer                   and companies are actively looking to improve equality in
Joe Chappell                           Don Hailer                        their recruiting practices. So what role can executive search
                                                                         firms play?
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
 The Executive
 and AESC
 AESC celebrates 60 years in
 2019. To mark the occasion,
 we will explore the roots
 of the profession and our
 organization, and map how
 far we have come.

 Thorndike Deland Sr., founder        A SIGN OF THE TIMES                              management problem is the right person.”

 of Thorndike Deland Associates,            specially in the United States               Even before World War II and through
 is widely understood to have               and Europe, businesses changed             the 1940s, a handful of firms were in the
 started the first executive search         dramatically during the second             business of recruiting executives. Executive
 firm. According to Mr. Deland’s      industrial revolution. In the period from        Manpower, run by William Hertan, and
 obituary published in The New        1870-1914 innovations like the internal          eponymous firms established by McKinsey
 York Times, “After World War         combustion engine, electric light, and the       & Company veterans Jack Handy and
 I, A. Lincoln Filene, the Boston     production of steel contributed to a period of   Ward Howell, and by Booz, Allen &
 merchant, then president of          accelerating industrialization: the expansion    Hamilton alumnus Sid Boyden, all recruited
 the Retail Research Association,     of rail and telegraph lines improved access      executives for client companies. In fact,
 called on Mr. Deland to direct       to markets and lowered costs for the             Thorndike Deland arguably formulated
 an executive search activity         movement of parts and finished goods;            the concept of executive search back in
 for member department                new, efficient methods of production made        1926, when he founded the first retained
 stores.” In 1926 Deland went         the process of turning raw material into a       executive recruiting firm.
 on to establish the Thorndike        finished product faster and more efficient.        The end of WWII led to a wave of economic
 Deland firm, “devoted to             This same period saw the introduction            expansion and globalization that reached
 recruiting executives, many          of management consultants who helped             across North America, Western Europe,
 for the nation's major retailing     company leaders adapt to the demands of          Japan, Australia and the newly industrialized
 companies.”                          scale and the changing business landscape.       economies of Asia: South Korea, Taiwan,
                                         Executive search evolved from the             Singapore and Hong Kong, fueled largely
                                      recurring need of management consulting          by the growth of international trade.
                                      firms like McKinsey & Company and                According to the World Trade Organization
                                      Booz, Allen & Hamilton to recruit the            “International trade after WWII entered a
                                      right executives who could implement a           long period of record expansion with world
                                      recommended strategy and solve a client’s        merchandise exports rising by more than
                                      problem. Indeed, back in 1914 Edwin G.           eight per cent per annum in real terms over
                                      Booz said, “Often the best solution to a         the 1950-73 period.”

4 - Executive Talent
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
association in which only competent
                                                                                          and ethical executive recruiting firms
                                                                                          could qualify for membership.”
                                                                                             The    Association    of     Executive
                                                                                          Recruiting Consultants (AERC) was
                                                                                          incorporated on December 18, 1959.
                                                                                          AERC was established for the dual
                                                                                          purposes of creating a professional
                                                                                          association for the most competent and
                                                                                          reputable search firms, and for providing
                                                                                          clients and prospective clients a means
                                                                                          by which to differentiate qualified and

                                                                                                AESC CHAIRS OF THE
                                                                                               BOARD OF DIRECTORS

                                                                                             1959      Francis Canny
                                                                                             1960s     William Clark
                                                                                             1960s     Hardy Jones
                                                                                                       Donald Wright
                                                                                                       Gardner W. Heidrick
                                                                                                       Ward Howell
                                                                                             1960s     Rawle Deland
                                                                                             1970s     Donald DeVoto
                                                                                             1970s     Franklin Beardsley
                                                                                             1970s     Gerard R. Roche
                                                                                             1970s     George Craighead
                                                                                             1970s     Robert Martin
                                                                                             1970s     Max M. Ulrich
   Businesses jumped on the opportunity        An often-cited quote from Sid Boyden
                                                                                             1980s     Clarence E. McFeely
to expand their reach, and in a departure   explains: “Most resources are available
                                                                                             1980s     John Richmond
from the tradition of developing and        to all companies. The great variable is the
                                                                                             1980s     Leon A. Farley
promoting mangers from within, business     quality of leadership—it determines why
                                                                                             1980s     William E. Gould
leaders more frequently sought skilled,     some companies fail and others succeed."                   Alden S. Blodget
experienced executives from outside their      Economies were heating up, business           1980s
                                                                                                       Robert Montgomery
organizations.                              was booming and as demand for                    1980s
                                                                                                       Robert L. Smith
                                            talent grew, retained executive search           1990s     John H. Callen, Jr.
    “Moving from a single-product,          became a familiar and valued part of the         1990s     Thomas H. Hall, III
 owner-run enterprise into a complex        business advisory landscape. But with            1990s     Paul R. Ray, Jr.
 and large-scale national one is a          increasing numbers of people entering            1990s     John Lloyd
 difficult task. First, you have to build   the profession, some of the leading              1990s     Eric Vautour
 production facilities massive enough       firms understood they would need to set          2000s     Roger Stoy
 to achieve the desired economies of        themselves apart from the burgeoning
                                                                                             2000s     Judith von Seldeneck
 scale. Second, you have to invest in a     field, and establish a standard for those
                                                                                             2000s     Jean Van den Eynde
 national marketing and distribution        firms and consultants who would aspire
                                                                                             2000s     Charles Wardell, III
 effort to ensure that sales have a         to join the elite ranks of best-in-class
                                                                                             2000s     Vincent Swift
 chance of matching that scaled-            retained executive search firms.
                                                                                             2000s     Anders H. Borg
 up production. And third, you have
                                                                                                       W. Carl Lovas
 to hire, train, and trust people to                                                         2010s
                                                                                                       Harry O’Neill
 administer your business. Those            THE FOUNDING OF AESC                             2010s
                                                                                                       James Hertlein
 people are called managers, and               In the fall of 1958, several leaders of       2010s     Jason Johnson
 in the first half of the American          the most prestigious executive search            2010s     Aidan Kennedy
 Century, they were in very short           firms gathered to “take steps to raise           2010s     Thomas Daniels
 supply.”                                   standards of the emerging professional           2010s     Krista Walochik
                 From The Firm by Duff      field of executive recruitment by                2019      Paul Benson
         McDonald. Copyright © 2013         establishing a non-profit membership

                                                                                                                Executive Talent - 5
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
The founding members include:

  I   n terms of quality standards, in our business it's all about trust. That's
      what really matters.
                             - Russell S. Reynolds, Jr., Chairman, RSR Partners
                                                                                                • Ashton Dunn Associates
                                                                                                • Elmer H. Davis & Associates
                                                                                                • Antell & Wright
                       Joined AESC Board in 1968, representing William H. Clark Associates      • Hoff, Canny, Bowen & Associates
                                                                                                • Richardson, Bellows, Henry & Co
                                                                                                • Ward Howell Associates (Later Signium)
                                           ethical practitioners. The association would
                                                                                                • William H. Clark Associates
                                           become a hallmark of quality and integrity.
                                                                                                • Wright Porter Inc.
                                             According to the December 1959 AERC By-
                                           Laws, the Objective of the Association Will Be:
                                                                                                  The Association’s founding firms were
                                                                                               among the most respected names in the
                                              1. To develop, maintain and enforce high
                                                                                               business and were quickly joined by young
                                                 standards of ethical professional practice
                                                                                               firms that have grown to be industry
                                                 and rigorous membership requirements,
                                                                                               leaders today. AESC’s President and CEO
                                                 which will make membership in the
                                                                                               Karen Greenbaum explains, “The leaders
                                                 Association a recognized mark of
                                                                                               on AERC’s early boards were pillars of
                                                 experience, stability, competence, and
                                                                                               the profession: Spence Stuart, Gardner
                                                                                               Heidrick and Russ Reynolds were all on the
                                              2. To develop and improve the practice of        Board. Russ Reynolds was on the board
                                                 executive recruiting.                         representing William H. Clark Associates,
                                                                                               and again after he formed his own firm. By
                                              3. To provide a fuller and wider understanding
                                                                                               1974, members included Boyden, Heidrick
                                                 of the function of executive recruiting in
                                                                                               & Struggles, Russell Reynolds, Korn Ferry,
                                                 our economy.
                                                                                               Ward Howell and many other leading
                                              4. To gather and maintain factual information    firms.
                                                 about executive recruiting firms.                The standards, ethics and values
                                              5. To establish and enforce a code of conduct    embraced by these firms became the
                                                 and practice which will further the           foundation of the association. William
                                                 objectives of the Association.                H. Clark’s company subscribed to a code

                                               THE EARLIEST LEADERS IN EXECUTIVE SEARCH WERE ALSO MEMBERS OF AESC
                                               • Thorndike Deland is recognized as a           • Gardner Heidrick and John Struggles,
                                                 pioneer, founding the first executive           both Booz Allen & Hamilton alumni,
                                                 search firm in 1926.                            formed Heidrick and Struggles in 1953.
                                               • Edmund F. Wright set up McKinsey &            • William H. Clark left Morgan Guarantee
                                                 Company’s executive selection function          Trust & Company to form William H.
                                                 in 1936, joined Handy Associates in 1952        Clark Associates.
                                                 and left to form Wright Porter in 1956.
                                                                                               • Spencer Stuart was a partner at Heidrick
                                               • Several early consultants worked in             and Struggles before forming his own
                                                 executive recruitment at McKinsey &             firm in 1956.
                                                 Company before starting their own
                                                                                               • Russell Reynolds worked with William H.
                                                 firms, including John Hardy in 1944,
                                                                                                 Clark until forming his own firm in 1969.
                                                 Ward Howell in 1951, and Canny Bowen
                                                 in 1954.                                      • Lester Korn and Richard Ferry worked in
                                                                                                 the executive recruitment department
                                               • Sidney Boyden left his role at Booz
                                                                                                 of the Peat Marwick Mitchell accounting
                                                 Allen & Hamilton to establish Boyden
                                                                                                 firm and left to form Korn Ferry in 1969.
                                                 Associates in 1946.

6 - Executive Talent
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
of ethics that precluded competing                In a 1974 general statement to the board
assignments, approaching an employee of        of directors, AERC executive director
a client firm, and making false statements     John F. Schluter expressed frustration at
for “research” purposes. In that same          the inward focus of the Association and
vein, Russell Reynolds Associates stressed     reiterated the urgency that the expanding
a highly collaborative “one firm” culture      profession have an “elite group” that is
based on shared values. Each founding          “immediately recognized as representing
director committed to “the highest             the best qualified and most professional
standards of competence, objectivity, and      firms in the business,” as well as the need
integrity” which informed the rigorous         to “establish for once and for all a clear
selection criteria and the principles agreed   mark of distinction that membership in
to by members.                                 AERC hold for the industry.” At the same
  One of the very first actions of the new     time, the Association became active in
board was to ratify a Code of Ethics that      thwarting potential legislation to lump
the founders had developed in advance of       the growing profession with employment
the Association’s incorporation. The AESC      agencies, which misunderstood the
Code of Professional Practice has evolved      service provided by search firms, and
over time, and since the inception of the      would impose unnecessary restrictions.
Association has served to elevate the             In the years ahead, AERC concentrated
professional practice of executive search      its efforts on maintaining and publicizing
as well as enhance the public perception       the Association’s high standards and
of retained executive search and the           developing its legislative influence to
Association.                                   protect the profession from unnecessary
                                               regulatory interference. Indeed, the
                                               importance of clients, candidates,
GROWING INFLUENCE                              regulators and the general public being
   “In 1967, William Clark asked me            able to discern retained executive search
 to serve on the long-range planning           from other employment-related services
 committee of the AERC with Spence             has remained vitally important.
 Stuart, Ward Howell, and Gardner                 Fueled in part by that urgency, in 1982
 Heidrick. I then realized what an             AERC changed its name. “Under the
 outstanding group of people had               auspices of President John Richmond, in
 started the search business.”                 1982 the organization voted to change its
                 - Russell S. Reynolds, Jr.    name from the Association of Executive
                                               Recruiting Consultants to the Association
   In the 1960s and for much of the 1970s,     of Executive Search Consultants. The
the AERC met the need for a networking         new name would more accurately reflect
forum and peer group and helped                the work undertaken by the search
members to define the profession.              consultant, as distinct from the recruiting
Roger Kenny, 2001 recipient of the AESC        undertaken by employment agencies.”
Lifetime Achievement Award, recalled,
“One night we invited Marvin Bower,

                                                              e know that leadership matters in every organization,
head of McKinsey, to speak to us, and he
                                                              and that our work impacts lives every single day.
got up and said, ‘Stop calling yourselves
consultants      because     you’re    not                    For an executive search professional to be successful, they
consultants. There’s enough confusion            have to have the total trust of everyone they come into contact with
about consulting as it is!’ Well, Ward           during a client engagement. Knowing that there are ethical norms, quality
Howell, a big bear of a man, got up and          standards, and a true sense of professionalism in the industry helps ensure
said, ‘Marvin, I beg to differ. We are not       that trust exists.
only consultants, but we are consultants                               - Clarke Murphy, CEO, Russell Reynolds Associates
who have to live with the results of our                                                             AESC Member since 1972
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
attitudes amongst search professionals

            here is now a more widespread recognition of our role in                      were echoed by an increasingly powerful
            worldwide business, and how important leadership truly is. I think            client commitment towards diversity
            there has been a sea change in attitude about the search industry,            hiring and management. Many client
    and a validation that it is critical, if you want your business or organization       firms stressed that a pro-active stance
    to thrive, that you get leadership right—and that a great executive search            towards diversity was essential to their
    team can be the difference between mediocrity and exceptionalism.                     remaining competitive in today’s changing
             - Judith M. von Seldeneck, Founder & Chair, Diversified Search               marketplace.”
                                                          Joined AESC Board in 1989          The Task Force concluded that executive
                                                                                          search leadership on the diversity issue
                                                                                          may represent a major competitive
                                            The early 1980s were an important             advantage during the next decade and
                                         time in executive search and for AESC.           beyond. As Sheila Avrin McLean, then-
                                         Several high-profile CEO engagements             Executive Director of the AESC stated, “The
                                         by Heidrick & Struggles’ and 1995 AESC           study represents important benchmarking
                                         Lifetime Achievement Award recipient             for our member firms. There is a strong
                                         Gerard Roche, including placing John Scully      commitment to diversity within the
                                         at Apple, and Stanley Gault at Goodyear,         executive search profession.”
                                         raised the visibility of the profession, and
                                         the period saw a dramatic expansion in
                                         executive search.                                GOING GLOBAL
                                            According to a New York Times article            The next decades saw continued expansion
                                         about Gerard Roche, “CEOs Are His Nectar”        in executive recruiting, especially cross-border
                                         published in 1987, the demand for executive      activity, which led AESC to establish the AESC
                                         search services was “fed by the turmoil in       European Council in 1996 and the Asia Pacific
                                         executive ranks occasioned by the spate          Council in 2004.
                                         of corporate mergers and acquisitions.              In a 2004 AESC statement Peter Felix, then-
                                         According to James H. Kennedy, publisher         president of AESC, said: “AESC acts as the official
                                         of Executive Recruiter News, the nation's        representative of the industry to legislative
                                         executive search companies now number            bodies, including the US Government and the
                                         1,500, up from 1,000 in 1980, and earn fees      European Commission. AESC will, in the same
                                         of $2 billion a year, double the 1980 figure.”   vein, represent executive search in countries of
                                            In 1994 AESC’s Board of Directors             the Asia Pacific region and, in particular, seek
                                         convened a Special Task Force on Diversity       to promote best practices in countries where
                                         to identify ways by which member firms           the profession is still relatively new.”
                                         could further increase the diversity of their         "The launch of the Asia Pacific Council
                                         professional staffs. Finding that women and      is the AESC’s next big step in creating a truly
                                         minorities were under-represented at the         global professional association, representing
                                         partnership level in AESC firms, the report      retained executive search consulting in all
                                         suggested a growing awareness of and             major markets around the world. This initiative
                                         commitment to diversity throughout the           builds upon the rebounding economic strength
                                         search industry.                                 of the Asia Pacific region and recognizes the
                                            According to the Task Force’s 1994            crucial role that the search for senior executive
                                         Diversity Study press release, “Changing         talent will play in the region's future growth. It

                                                    echnology’s continued evolution and the impact of social media have
                                                    transformed our industry in ways that Sidney Boyden and the other founding
                                                    members could not have envisioned 60 years ago. I am proud of the role we
                                           play in impacting the success of organizations through effective leadership.
                                                                                   - Trina Gordon, President and CEO, Boyden
                                                                                                               AESC Member since 1973

8 - Executive Talent
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
            ver the past 50-plus years, our profession has witnessed a dramatic increase in the pace and complexity of business —
            and the importance of leadership. I’m immensely proud to be part of a profession that has such a deep and direct impact
            on organizations and the lives of individual leaders. Given the stakes of our work, AESC provides a great forum for
  reinforcing our shared interest in maintaining the highest professional standards in delivering the impact that our clients need.
                                                                                              - Ben Williams, CEO, Spencer Stuart
                                                                                                           AESC Member since 1961

also confirms the growing reach of AESC as the   knowledge and experience to lead bet-the-
worldwide voice for executive search and the     company digital transformation.
promoter of best practices."
   At the same time that AESC was establishing
the Asia Pacific Council, businesses worldwide   OUR PROFESSION THEN AND NOW
were experiencing digital transformation.          Edmund Wright, an original board
                                                 member of AESC, testified before the
  • The World Wide Web became publicly           Securities and Exchange Commission
    accessible in 1991 and by 1999 almost        in 1961, during which he described for
    every country had a connection.              the committee the purpose of retained
                                                 executive search:
  • According to the World Bank, in 2000,
    6.743% of the world’s population used
                                                   “The purpose of our business is to assist
    the Internet. That figure rose to 45.794%
                                                   management in building the executive
    in 2016.
                                                   pyramid soundly, striving for what I
  • According to GSMA, the trade group             call “capacity in depth.” We work with
    representing mobile operators worldwide,       management in developing its executive
    there were five billion unique mobile          program, often being called upon to
    subscribers in 2017, representing two          evaluate the capacity for management
    thirds of the world’s population.              of the firm’s existing executive staff,
                                                   then indicating to management where
   In recognition of the expanding role of         weaknesses have been found, and
member firms AESC embraced leadership              cooperating with management in
consulting in its identity, and in 2014            bringing in executives with the capacities
changed the name of the organization to the        to fill those weak spots; in short, to bring
Association of Executive Search and Leadership     strength to all executive levels.”
   By 2017, global executive search and            “We act exclusively as consultants
leadership consulting revenues would grow          to corporate management and are
to $14 billion. New industries, new functional     responsible to the corporation. We
roles, a new generation of digital natives         are always paid by our clients and not
entering the workplace and the digital             by the executives we place.”
reshaping of traditional positions upended                              Edmund F. Wright,
business as we know it, and AESC members          Chairman of the Board, Wright-Porter Inc.
were charged with helping clients meet a               Testimony before the Securities and
growing demand for executives with the                 Exchange Commission, July 28, 1961

          he relentless focus on quality and professional development that AESC drives is something that is more relevant now
          than it ever has been. In the developed markets in North America, Europe and Australasia, AESC quality standards
          are an essential factor in client discussions. In the developing markets of Latin America, Africa and Asia, the mark of
  quality that being an AESC member firm brings, helps to elevate the whole profession.
                                                                       - Alastair Paton, Chair, Signium (originally Ward Howell)
                                                                                                           AESC Member since 1959

                                                                                                                  Executive Talent - 9
EXECUTIVE TALENT Nature, Nurture and the Environment of Innovation - Moving from future shock to future leading
The core purpose of the executive            terms of cultural assessment, candidate
                        search and leadership advisory profession       assessment, assessment of leadership
                        is centered on helping corporate leaders        capabilities and fit.”
                        assess, advise, and build their executive          “Also, the roles themselves have
                        leadership capabilities.                        become       much      more    complex,”
                           When search was in its infancy,              Greenbaum adds. “Digital transformation
                        corporate leaders faced a period                is driving a lot of change in terms of
                        of great change: developments in                leadership roles and business strategies.
                        transportation were expanding markets,          Additionally, the businesses our clients
                        advances in science and engineering             are in has changed over time.”
                        were dramatically altering products                Greenbaum explains, “There are a lot
                        and processes, and top executives with          of new businesses, whole industries that
                        the skills and experience to build on           never existed before. Even the definition
                        the opportunities of the moment were            of the positions—a client might think
                        scarce and hard to find.                        they want to hire a CMO, but what kind of
                           Today, organizational leaders face           CMO? That’s a much more complicated
                        similar challenges: disruption, rapidly         issue as well—how is the role defined
                        evolving technology, shifting economic          and how has it been redefined based on
                        forces, and fierce competition for the          changes in strategy and technology?”
                        best talent in a world of accelerating             For example, 20 years ago a client may
                        change. Much like the early years of the        have needed an executive with functional
                        organization, today AESC member firms           experience in the financial services
                        partner with their clients to address their     sector. Today, that client may need an
                        most urgent business needs with future-         executive with those qualifications
                        ready skills rooted in a commitment to          as well as experience successfully
                        ethics and client service.                      establishing a mobile payment system.
                           Greenbaum says, “What has changed               Today, clients are looking to search
                        is that our clients are more complicated,       firms for counsel on a broader basis,
                        and we’ve become much more                      including assessing leadership teams,
                        sophisticated in terms of assessment: in        advising boards on their effectiveness,

                             ’m proud to be in an industry that truly changes people’s lives. Millions of profes-
                             sionals and countless companies have benefited from the impact and talents of this
                             profession. It’s also gratifying to see the evolution of our industry. It is no longer
                          enough to simply find companies their next executive. It’s all about finding out who
                          they are and how they fit into an organization and how that organization is able to
                          synchronize their strategy with their talent.
                                                                                - Gary Burnison, CEO, Korn Ferry
                                                                                           AESC Member since 1972

10 - Executive Talent
           aintaining the highest standard of quality and integrity across our executive search and consulting
           businesses is at the core of everything we do. More than ever, our clients are facing high-stakes challenges
           in an uncertain world, and they trust us to advise them and develop their talent and leadership, in addition
  to planning for future succession. As an industry, we must continue enhancing the standard of quality of our
  profession and cultivate long-term relationships with business leaders.
                                                      - Krishnan Rajagopalan, President and CEO, Heidrick & Struggles
                                                                                                                AESC Member since 1961

succession planning and culture shaping.              began,” Greenbaum says. “We came from
The profession, just as the industries it             management consulting and our clients
serves, now requires much more agility.               recognize the value we can provide in
In a fast-paced, ever-shifting business               not just finding the best talent, which
climate accelerated by technology,                    is critically important, but in a broader
we have to be at the forefront to best                range of business issues related to top
serve our clients with expert advice and              talent and the critical role it plays in
insights.                                             driving business growth and success.”
   “When we add this kind of leadership                  “We’ve expanded our business to
advising, it takes us back to where we                reflect that client need,” she says. n

     TRIBUTE TO GERARD ROCHE, 1931 - 2018

                                                                       or more than 50 years, Gerard Roche
                                                                       brought his integrity and passion,
                                                                       candor and wit to the service of
                                                                  executive search. An icon among search
                                                                  consultants, he led Heidrick & Struggles
                                                                  both as a member of firm leadership and as
                                                                  a mentor and role model. In “CEOs Are His
                                                                  Nectar,” Nov 29, 1987, The New York Times
                                                                  referred to Roche as “the Old Master, the
                                                                  High Priest, the Grand Acquisitor, the King
                                                                  of the Executive Headhunters.”
                                                                     While publicly known for some of the
   “The number one sin in the world is unfulfilled potential.     most high-profile executive placements in
   If you’ve got the ability to write a book, damn it write       the decades of his career, we knew him as
   a book. If you don’t have that fundamental potential           an honest and hororable advisor, trusted
   then you go and become a dentist or something. But             and respected by clients and candidates
   if you know you can write a book, or sing as well as           alike. Roche was fascinated by people and
   somebody else, or run a company as well as somebody            loved to see them succeed. He will be best
   else, let me help you by putting you in a situation that       remembered by AESC for his commitment
   will allow your background and your talent and nature          to integrity and his principled leadership
   and everything about it blossom and build and grow             in executive search and everything he
   and flower and take off. There’s no ending to what you         touched. He will be missed.
   can do.”                                                                           n

                                                                                                                     Executive Talent - 11

          e know that great innovations       no badge of disgrace for your company          What made the Chinese so innovative?
          can be born in garages and          failing, there is a wealthy outflow of         “There’s always been a culture of
          dorm rooms, and in corporate        capital, you have access to lots of other      academic       orientation,     intellectual
 R&D programs, universities, labs and         creative people who can inspire you. All       pursuit and development. Confucianism
 innovation hubs. And they emerge             those things create this wonderful blend       emphasized that.”
 from cities famed for their creativity as    that makes it possible to innovate here           Dimitri Tsamados, a consultant with
 well as places whose largest resource        more frequently than maybe happens             Eric Salmon & Partners in Singapore
 is ingenuity fueled by need. Turning         elsewhere.”                                    explains, “The first civil service in
 ideas, wherever they come from, into            Linda Shore, Managing Partner for           China implemented a system of exams,
 new products, services, processes,           Mexico at Odgers Berndtson says, “In           following the Confucian tradition,
 enterprises and even new industries          Mexico we have a younger generation            about 2,000 years ago. Education has
 requires innovative leadership, strong       not averse to risk, the education is getting   been extremely important for a long
 teams, and both technical and financial      better, most of our good universities are      time and all the administrators in
 support.                                     promoting entrepreneurship, we’ve got          China were people who had studied,
   We look at a handful of those factors      government opportunities motivating            and so everybody knows it’s important
 from the perspective of advisors who         them, and we also have companies,              to receive a good education because
 help early stage businesses make their       traditional corporations and VCs willing       that’s your way to succeed in life. When
 way on the road to scale and success.        to take a risk and invest in these startups.   it’s been drilled in you for 2,000 years,
                                              2018 saw several exits and valuations          people take that seriously.”
                                              in the hundreds of millions of dollars.           Shore highlights the innovative
 THE CULTURAL ENVIRONMENT                     That’s a first for Mexico. Entrepreneurs       influence of necessity. “Emerging
    The cultural environment can have a       are now becoming angel investors and           economies tend to have high creativity,
 significant impact on whether a fledgling    VCs. International investors, particularly     and are less burdened with legacy and
 endeavor takes off, and some places          from China, are now looking to Mexico.         infrastructure, which normally are a
 seem to be especially hospitable to          That’s the environment here.”                  deterrent to innovation. So, people
 innovation and entrepreneurship. What           A culture that values learning has a        must solve complex problems with
 are the some of the qualities that foster    distinct advantage, according to Richard       whatever tools they have available. I’ve
 creativity? What attitudes and support       Lin, Office Managing Director of Korn          seen people in Mexico who cannot pay
 systems can allow business to launch?        Ferry’s Taiwan/Cross Straits Practice.         for advanced software and have solved
    Deborah Op den Kamp is a consultant       “The Chinese are known, especially             problems by creating highly complex
 with Spencer Stuart in Silicon Valley.       in antiquity and classical times, for          spreadsheets that work better and are
 “There are some wonderful things about       invention, whether it’s the crossbow           more adaptable.”
 Silicon Valley that make it uniquely able    or the wheelbarrow or the classic                 As an example of the innovative power
 to create the level of innovation: there’s   four point compass or paper,” he says.         of necessity, the finalists for the African

12 - Executive Talent
Innovation Prize for 2018 won with           and go to locations with low-level taxes.   necessary to scale up, and local, national,
projects that address pressing issues        They are going to Ireland, to India, to     and global events can impact the
including agriculture, the environment,      China.” He says, “It’s not only large       availability of resources and access to
health, sanitation, and connectivity.        conglomerates. A mid-cap company,           markets. As reported in The Economist,
   For example, according to the African     even a small company can put their R&D      young, high growth companies are
Innovation Foundation press release,         wherever they want.”                        emerging across the US in part because
“The Shiriki Hub is a Smart Solar Kiosk,       By many accounts, the U.S.                of the wider distribution of support.
powered by strong solar panels and           Government’s investments in West            “Access to risk capital for startups,
equipped with large capacity batteries,      Coast research laboratories during          including through crowdfunding, is no
Internet of things (IoT) sensors, and        WWII, and subsequent programs that          longer limited to the two coasts. Local
a custom designed router, offering           encouraged venture capital investment,      governments are increasingly supporting
device charging, virtual top-ups, and        aided in the success of Silicon Valley as   training schemes, accelerators and other
low-cost connectivity. Designed as a         an innovation hub.                          bits of soft infrastructure that greatly
business-in-a-box and distributed on           In Europe, according to The State of      boost startups’ chances of success.”
a micro-franchise basis, this is an ideal    European Tech Survey: 2017, “Europe         (Gazelles in the heartland: American
solution for digital connectivity to rural   as a whole demonstrates bullishness         entrepreneurship is flourishing, if you
populations and temporal settlements         about the future of its tech ecosystem.”    know where to look. The Economist,
such as refugee camps.”                      However the continent is still facing a     Sept. 30 2017)
   As reported by Financial Times            challenging period for innovation.             In emerging markets, sometimes
entrepreneurs in South Africa created          “The     Science,     Research     and    you’re on your own.
a remote pharmacy that works like            Innovation Performance of the EU 2018”         Tsamados explains, “An immature
an ATM, to help relieve some of the          report indicates that while Europe is       startup scene, you can’t turn to the
pressure on over-burdened health             a leader in science and a “research         previous generation and ask them ‘how
clinics and provide much-needed access       powerhouse,” the region does poorly         do you scale,’ because the previous
to lifesaving medicine. Patients have        in realizing its innovation potential,      generation of entrepreneurs did
access to pharmacists via a Skype-           with low levels of venture capital, and     products, they did industrial goods,
like interface, and the kiosk dispenses      public R&D expenditures as a share          they did banking, but technology-driven
medicine for several chronic conditions.     of GDP remaining below 2010 levels.         startups, ecommerce startups and the
   Governments have an impact on             In May 2018 the EU rolled out a plan        like really only emerged in the last 20
a region’s ability to innovate, too.         for regulation and financing to foster      years, so we don’t have that sort of
According to Pierre Fouques du Parc,         innovation in the region.                   experience and you’re not supported
Managing Partner for France at Boyden,         The investor climate certainly            the way you would be in the US.”
“If a country isn’t attractive tax-wise, a   contributes to whether a new business          “Even your investors, most of them
company is going to pull their engineers     gets the resources and guidance             are recent VCs so they haven’t seen

                                                                                                              Executive Talent - 13
a full cycle, very few of them have                   James Quincy, President and CEO of                    “What I think is the ongoing challenge
 taken companies public, and they are              The Coca-Cola Company said, “If we’re not              for Silicon Valley is that this place is isolated
 discovering, together with you, what it           making mistakes, we’re not trying hard                 from the rest of the world in that we often
 means to go from one market to multiple           enough.”                                               think that the rest of the world, or even the
 markets, to go from one product to                    Company cultures that embrace risk,                country, is just like it is here. That is simply
 multiple product lines,” he says.                 failure, and experimentation innovate                  not the case,” Op den Kamp says.
                                                   more and get new products to market                       “One of the companies that is thinking
                                                   faster. Charlie Ang, founding President of             very actively about what I call the middle
 THE INSIDE STORY                                  The Innovators Institute says, “In the past,           of the country is Pandora, the music
    A vibrant internal culture often               failure meant that basically you had a big             streaming service. Their biggest competitor
 distinguishes the successful from the             idea, it didn’t work, we wasted millions of            is actually terrestrial radio, people listening
 unsuccessful organization, so much so             dollars and years. That was the old way                to the actual radio. And so at Pandora they
 that legacy companies invest heavily in           of innovation.” He says, “The new way of               focus very deeply on how do we reach
 recreating startup culture in their own           innovation is something very lean, with                Americans who don’t live on a coast, how
 businesses, and fostering qualities of agility,   very little investment, and it means you               we think about their musical tastes and
 resilience, and experimentation.                  are touching the customer at every stage.              habits and how we understand who they
    “The scaleup and startup businesses            Basically, any failure in an innovations space         are,” she says. “They spend a lot of time
 which have been successful—they are               actually means a negative experiment.                  thinking about music for everyone.”
 extremely agile and they are extremely            A customer wants this or a customer                       Lin has a similar client experience. “When
 fast,” Pierre Fouques du Parc says. “Agile        does not want this. It is just a negative              WeWork came into China, they insisted ‘we
 because usually they have to change               experiment. We are not overly invested in              want to create a WeWork that is China,
 their business model. The startups who            it, it’s just testing; this time it’s positive, this   that is for China.’ They asked us all these
 succeed usually take ten years, and in ten        time it’s negative. What happens is that               questions about Chinese people, Chinese
 years’ time, they basically have to reinvent      you want to really increase your rate of               culture and work habits, Chinese values
 themselves a couple of times: reinvent the        experimentation.”                                      etc., and constantly asked us ‘if we did this,
 offering and reengineer the product and               Op den Kamp says, “Sometimes you                   how would the Chinese view it, how would
 the business model. They are fast because         hear that referred to as ‘minimum                      people perceive this, what’s next?’
 time is their main constraint and their           viable product;’ let’s get something                      Tsamados describes how some
 main obstacle. Usually the startup and the        quickly out the door as long as it mostly              international players failed to understand
 scaleup are always fighting against time,         works so that we can get feedback on it                emerging markets before trying to break
 which is their worst enemy.”                      and improve it, rather than invent in a                into them. “It took time for big international
    Lin recognizes the importance of an            vacuum. Those concepts are great, but                  players who were coming to emerging
 internal culture comfortable with constant        you can imagine not every executive in                 markets to really get the pay-on-delivery
 reinvention, and the risk that entails.           the world is wired that way. So our job                culture. This is a feature that you see in
 “Startups cannot pay lip service, they            is to figure out people who are wired                  Russia, China, India, Iran, and Indonesia.
 have to innovate, or they die. The startup        for embracing a level of ambiguity and                 These are often low-trust environments,
 companies we work with, they just tend to         change and are not only comfortable                    so the idea that you’re going to give money
 be much more adventurous. They are risk-          with that, but embrace it.                             when you buy something before you
 embracing, not afraid to make mistakes,               Companies also need a culture of                   receive it, sometimes as long as a week
 and they tend to be more calm in the face of      openness and curiosity. They need to be                before you receive the good, is not natural.”
 setbacks; they see setbacks not as disasters      able to step outside of their cultural comfort            Companies that do step outside of
 or anything catastrophic, but learning            zone and both consider and understand                  themselves can achieve great success.
 opportunities—they reflect upon it.”              broader markets.                                       Tsamados explains, “In the 90s and early

14 - Executive Talent
2000s, Unilever and Johnson & Johnson            communicate to external stakeholders,           ideas) and they cannot allow hierarchy to
started coming up with single dose               to investors, to future clients, to future      dominate. Brainstorming should not be
products for emerging markets. That’s            prospects.” And for an entrepreneur, it isn’t   used to validate the boss’s ideas, but to
what has driven growth, because people           simple. Sometimes, he says, “They need          explore the best ideas.”
in those markets couldn’t really afford          to communicate on something that does               She says, “Many great ideas come from
to buy a whole tube of toothpaste or a           not yet exist, so they communicate on the       people who are working on the day to day
whole bottle of shampoo. With single-use,        concept, they communicate on the future,        and understand the problems that come
customers could buy the product for cents        so they need to have very, very strong          with it. Collaboration and teamwork are the
instead of dollars, and that was the only        communication skills, especially if they        key. It is very important not to ridicule ideas
way that you could actually start entering       want to convince investors.”                    during any type of brainstorming sessions.”
the households of people who had never              “They need to communicate a lot              She says, “Good leaders are not only good
bought your product.”                            internally,” as well. Pierre Fouques du Parc    listeners, but also good at extracting ideas
                                                 says, “A leader of a startup basically goes     from less extroverted people.”
                                                 to bed every night and doesn’t know if              Shore may be describing one quality of
INNOVATIVE LEADERSHIP                            he’s going to be able to pay the salaries       a servant-leader. Lin says, “They tend to be
   Building an innovation-friendly culture is    next month. But he wakes up and he will         more reflective, they tend to talk a little bit
often the result of good leadership.             tell all his employees that they are going      more about their failures rather than their
   Lin sees great leaders “as having a vision,   to be the number one in the world in one        constant successes. I think those that talk
setting an agenda, creating a mission,” and      or two years’ time. So, these leaders need      about their failures and how they’re come
adds “it’s all about loving what you do,         to be extremely resilient, and they need to     out of it are perhaps stronger, faster, better.
creating that passion and energy. Those are      communicate a really strong ambition to         Or at least more learned. You tend to think
things that are intangible but can drive an      their employees.”                               this person survives more business cycles,
organization to new heights.”                       Leaders who listen can inspire and           more challenges.”
   There is also a practical side to good        capture fresh thinking from all over their          Projecting empathy and humility
leadership. Pierre Fouques du Parc               organizations. Shore warns, “When               is a relatively recent development in
explains that effective leaders are also         companies use brainstorming techniques          organizational leadership. Ang describes
good communicators. “They need to                they cannot shut ideas down (even bad           leaders moving from what he calls

Thank you to 2019 Global Conference supporter, Boyden

                                       • Connecting Great Companies with Great Leaders
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                                       Organisations need leadership and talent solutions                 Visit www.boyden.com to learn
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                                       Performance is driven by the right leadership, and
                                       Boyden discovers leaders that deliver.
leadership 3.0 to leadership 4.0. He says,      that are future facing tend to have an              to find answers. If they are trying to make
 “3.0 leaders are basically managers, but this   attitude toward reinvention that enables            decisions based on the new possibility,
 is no longer enough. The 4.0 leaders, they      them to imagine different scenarios.                that means they are future ready. When
 are innovators, they are futurists, they are    For example, maybe I’ve always been a               the future comes they will benefit from
 technologists and they are transformers;        hardware company and software was                   it, because they are riding on the right
 they take their companies to the next level.”   an afterthought, but now I’m going to               curve. But there are some companies who
    He explains, “What was good in the           be a software company that licenses my              are the fourth level—this this the highest
 past is no longer good enough. Imagine          software onto other people’s hardware               level—that I call future leading. So, it’s a
 a Steve Jobs or an Elon Musk. The Global        because that’s the only way to continue to          bit like Elon Musk; electric mobility will
 500 companies, their top leaders need to        survive. And I’m not going to cry over not          happen with or without Tesla, he’s trying
 have that caliber now—a kind of new set         being a hardware company anymore, I’m               to accelerate this future and be the one to
 of capabilities now which are what typically    going to embrace the change.”                       make it happen.”
 inventors do, what innovators do. No longer        Anticipating and embracing change is                Perhaps an under-celebrated quality of
 the the kind of leader who can just run a big   essential to future-facing leadership. Lin          a successful leader is the ability to build a
 corporation and do it better. But someone       explains, “Companies just have to continue          good team.
 who can reinvent a whole industry.”             to look for what’s next. What’s going to be            “There is an important quality in
    Op den Kamp says, “I think some of the       the next thing that consumers really want?          successful entrepreneurs—that they are
 best founders out there are students of the     What do they really need? What are they             very good at recruiting,” Pierre Fouques
 universe, constantly reading and talking        using their devices, their products, their          du Parc says. “Hiring still remains the big
 with other CEOs, understanding challenges       services for?”                                      success factor for a leader. Whether it is a
 they faced in the past and really opening          He says, “I see companies increasing the         small company or a large company, hiring is
 themselves up to new ideas and new ways         rate of innovation all the time, it’s incredible.   a key factor. Successful startups were very
 of thinking. It’s a level of openness that I    Software is popping up questions all the            good at recruiting the right people, very
 think creates real opportunity to pursue        time: ‘do you have to send this or do you           early. And that is a skill, that ability—when
 new ideas that keep them from stagnating.”      want to share this,’ anticipating your              you are a good recruiter, when you recruit
    And being open includes being                needs before you even think of them. And            the right people it’s a skill you can use in
 completely open to imagining something          a lot of it really is Big Data, collecting that     any type of company, from any size.”
 completely new. “Use the analogy of             intelligence on a continuous basis.”
 Uber,” Ang says. “If someone in the                Are leaders and organizations prepared
 transportation industry—before Uber             for the future? Ang describes four levels of        IT’S ALL ABOUT PEOPLE
 came about—was thinking 'how can the            future readiness. “The lowest level is called          As Fouques du Parc suggests, an
 cloud or how can mobile phones impact           future-shock. Most organizations and                innovative leader cannot capitalize on a
 what I’m doing?' they would never have          most leaders are at that level. And future          good idea without the right people. Who
 thought of Uber, because Uber is not one        shock means that when this disruption               are they, where are they, and how do
 single technology. Uber is everyone having      happens—it will be a shock—it’s too late            startup and early-stage companies attract
 a mobile phone, having access to GPS,           to respond. Once they are aware of the              and retain them?
 having micropayments. Many technologies         disruption threats to their business, or               Shore talks about placing several
 are combined together to allow Uber to          their career, then they are one level up;           innovative people into entrepreneurial
 happen.”                                        they are future anxious. And when they              roles. “They came from very traditional
    The combinational innovation Ang             are future anxious that’s where there is the        companies. They were paid good salaries,
 describes represents what future-facing         knowledge gap. 'Hey, something is going to          but what moved them was the ability to
 leaders can do.                                 hit me but I don’t know how to respond.'"           work in that free environment, to think, to
    For Op den Kamp, “The companies                 “That anxiety is also a motivator for them       create, where there are no barriers, there

16 - Executive Talent
were barely any hierarchies. They work as         interesting, we see a number of Indonesian       I preserve the culture that I’ve created, I
a group. They get a lot of money in stock         startups or a number of Singaporean              don’t want it to be diluted or changed in
grants. It’s like combining the best of the       startups that will recruit their chief product   any way.’ So how do you keep control of the
traditional world once they are a little more     officer from Germany, they recruit the           values and culture and how it permeates
corporate, without limiting their creative        CMO from the US, they recruit their CTO          the company? We think of culture as the
side.”                                            very often from the US also because we           unwritten rules of how an organization
   Tsamados describes the need in some            have too few of them in Asia Pacific.”           operates, that’s what creates the kind of
countries to import talent. For example, he          Because talent is critical, hiring            fabric of a place."
says, “In Iran, a country of 80 million people,   organizations may have to choose between            You certainly can see instances where a
80% of online transactions happen on the          compromising or leaving a position vacant.       company culture does not hold together,
Digikala platform. There’s no point of hiring     Pierre Fouques du Parc describes such a          and it stands in the way of a company being
anybody locally because if they’re not            situation. “For one search we are looking        successful. Focusing on culture and the
working at Digikala, they’ve never worked         for a CTO. We had been looking for months.       values that your company is going to live by
on that scale of ecommerce. So companies          The client was a company owned by a              is also critical to success.”
like Digikala need to look outside of Iran        venture capital firm, and the CEO was still         Shore describes an early stage company
to people who have seen what will be              not convinced by our candidates. We found        funded by a Mexican VC firm, dealing with
the future for these companies. We rarely         a couple of candidates but they refused. So,     the competitive market for talent. “They
saw non-locals being hired by large local         we kept searching, on and on because the         were already at the stage where they
companies until only a few years ago. They        client is so demanding and he’s not going to     needed a chief technology officer, and the
know they need to pay to get top notch            hire a candidate who does not match 100%.        people they kept looking at didn’t have the
talent, and they will pay what is required,       He preferred to have a vacancy rather than       profile or experience. We found a candidate
because otherwise of course they can’t            hiring a candidate who is not perfect.”          in Guadalajara who was truly amazing, but
recruit.”                                            Stakes are always high. Op den                the company’s budget was very, very low,
   “What we’ve seen over the past five            Kamp says, “Often when CEO founders,             so we helped set up the deal in such a way
years is a significant injection of foreigners    particularly, talk about the challenges they     that they could make up for the low salary
into local startups because we don’t have         face in scaling their company, one thing         with an LTI; stock grants equivalent to 4-5
the expertise in the region and that’s quite      they’re trying to think about is ‘how do         years’ salary.”

Thank you to 2019 Global Conference supporter, Odgers Berndtson

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