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Thought Leader

Wednesday, 12 November 2008, 08:59 ICT


A view from the coalface

 

Liam Benham says public affairs in Asia is complex and time consuming: but he is certain that the discipline is becoming more prevalent and transparent

 

Liam Benham: Public affairs emerging in Asia

Alongside other venerable occupations, lobbying may be one of the World's oldest professions. Since mankind began, people have been seeking to influence the decisions of those in positions of authority or power.

Yet, one could argue that only relatively recently has public affairs in Asia come out of the shadows and stood in a semi-respectable light.

Asia is probably the most interesting, dynamic and highly challenging place in the world to be plying the public affairs trade. The convergence of rapid economic growth, emerging political structures and institutions and fascinating cultures create a heady mix for unfortunate addicts like me who can't get enough of politics.

My own journey to Asia began in 2002 and almost seven years down the road, the memory has to be jogged to recall just how strange the move was.

From handling Ford Motor Company's lobbying with the relatively predictable EU Institutions in Brussels, an 11 hour flight would bring me to Bangkok, Thailand to handle government relations in Asia, with little understanding or much time to prepare for what lay ahead.

Steep learning curve

The learning curve has been steep and the pitfalls numerous. One of my first lessons was that the word "lobbying" has different connotations in many parts of Asia than back home in London or Brussels.

To say you "lobby" on behalf of an economic interest in New Delhi is not necessarily regarded as being respectable or above board. In Asia, you sometimes have to describe what you do in a slightly different way that fits with the local culture.

As head of government relations for a US corporation in Asia, issues of transparency and integrity have often been the "800 pound gorilla sitting in the corner of the room".

I don't mention this in any pious sense of "my culture is better than yours" – read a little about Jack Abramoff or the shenanigans on Wall Street or in the City of London and you will understand why it would not be wise to form that view. It is not only in Asia that personal business interests and politics can interact a little too closely for comfort.

Integrity

In a sense, issues of integrity have been easy to handle – Ford fully meets all provisions of the US Foreign Corrupt Practices Act and, on top of that, we fully abide by internal Ford integrity policies which are stricter still. Everyone we deal with knows this is the case and that tends to make relationships easy.

Yet, we sense what is going on around us, even involving some of our direct competitors. We can't prove it or know in a mechanistic way how it all works, but there are enough signs and anecdotes to suggest that not all companies behave in the same way we do.

Undoubtedly, we are disadvantaged in the near-term by not, as some term it, "playing the game" in Asia. Some decisions that are taken defy rational explanation and that can be hard to take (particularly when they impact my year-end performance review!).

It is my firm belief, however, that longer-term this strict adherence to integrity principles will be good for the reputation and success of US companies in emerging markets, once those markets emerge.

Response mechanism

There are other smaller nuances of handling government relations in Asia that are not explained in the guide book. One example is getting any kind of written response to a letter your company writes to a government.

Back in Brussels or London, a letter to the government from Ford on a particular issue would be met – probably one or two months later – by a very formal response from the Commissioner or Minister, with a statement of the government's position.

Whether the response was good or bad, it provided some clarity. In many Asian countries, such a letter will receive no response. It is as though it fell into a black hole and who knows whether it was ever read by the senior official or Minister at all.

Just as you learn not to waste time writing letters, you begin to understand that relationships count for a lot in Asia. For time immemorial and everywhere, it is true to say that government relations have depended upon good personal relationships.

The personal touch and taking time to meet with people, understand their perspectives, learn what motivates them and to openly show respect and build trust is just probably more important within Asian cultures.

It takes time, but slowly the relationships you form with officials seem to become more deeply rooted and important, than elsewhere.

Closer to policy

Many government departments are clearly under-resourced around Asia. While this can be a drawback in terms of undertaking robust analysis to underpin development of policy positions, it also creates opportunities for third parties who can assist with the analysis workload.

My experience is that you often feel closer to emerging government policy positions in Asia, because you are asked for advice or some information you may have on how other governments around-the-World have approached the issue.

This link to improved policy making is perhaps one of the factors that is legitimizing the role of public affairs in Asia. Private sector entities seeking to influence governments in Asia have in the past, perhaps, been regarded as too pushy or even sleazy, but I think that is changing.

If public affairs or lobbying provides inputs to policy making in a fair and transparent way, that leads to better outcomes that benefit the country overall, then governments will see the benefit of reaching out to the private sector. As I mentioned at the outset, public affairs in Asia is coming out of the shadows.

My time working in Asia (and Africa) has been the most fulfilling of my professional life to date.

Never a dull moment, a fair share of bewilderment and exasperation, yes, but overall I look back with a reasonable degree of satisfaction that I have ably represented the company which pays my salary, while at the same time making a contribution to the quality of automotive policy-making in the Asian countries I have come to love.

Liam Benham is vice president of governmental affairs with the Ford Motor Company in Asia Pacific and Africa

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