Sunday, April 29, 2012

We Cultcha or Our Culture?


As we approach another Crop Over season and the culture warriors take to the streets, the print media and the airwaves, it is perhaps time that we paused and reassessed what is meant by Barbadian culture and analyzing the trends of cultural development in this increasingly multicultural world. In so doing, we must take a wide view of the Bajan culture and all of its aspects that define our core values and who we are. 

The Bajan culture is continuously evolving and changes as a result of interaction with a complex range of factors such as external influences, expanded travel and improved economic circumstances. But there are some fundamental characteristics that we should cherish even as we adapt to living with an increased velocity of change in an ever more competitive world. Barbadians from all walks of life have been traditionally tolerant and respectful of their fellow citizens and visitors to our shores, Their culture of hospitality is deeply ingrained and has stood us in good stead. I sense however, an erosion of these values and a change in our cultural norms that endanger our quality of life and our ability to improve our standard of living.

As Crop Over approaches, we focus on music and dance and the party till you drop phenomena seemingly believing that this is all there is to culture. Along with the bacchanal of the carnival spirit of Crop Over there is a growing disregard for good manners and respect for others that seems to pervade our every day life the year round. A certain vulgarity has crept into both dance and music to the point that what would be best done in the bedroom is now on public display on the street or the open stage. Explicit vulgarity has replaced the subtle innuendo and double entendre that graced the folk music of yesteryear in a lyrical dumbing down to the lowest and basest common denominator.

It seems that the decline of use of the English language, limited vocabulary and the growing use of garbled utterances that pass for conversation today have impacted on the modern lyricist and limits their capacity for expression.

This growing indiscipline and blatant lack of consideration for others is now spilling over into everyday life where freedom is defined as being able to do anything at anytime without any regard for anyone else in the society. An example of this, is flying noise making kites with loud droning bulls in high density residential areas and tethering them so that they fly all day and all night. It is an unacceptable form of noise pollution that was recently defended on a call in program as being part of our culture. Kite flying is part and parcel of being a child in Barbados, creating loud incessant noise that disturbs hundreds of people is not.

Barbadian culture is much more complex and enduring than that. It speaks of Cricket and the old values of the game that promoted fair play, integrity and true sportsmanship; It speaks of our love for the rule of law and a sense of fairness in dealing with others. We appreciate good manners and respect the rights of others as we jealously guard our own. Ours is largely a civil society where charity is a way of life and we have all been our brother's keeper in one sense or another. 

That is the culture that we need to foster and nurture by resisting the rude, the vulgar and the selfishness that would destroy much that is good about Bajans.

Lessons from the RMS Titanic


It has been a hundred years since the RMS Titanic struck an iceberg and sank with the loss of 1,514 souls while on its maiden voyage crossing the Atlantic Ocean. The tragedy was one of the deadliest peacetime maritime disasters in history. Over the years inquiries have been held, books written and movies made about the sinking of the Titanic. To this day new evidence continues to emerge that sheds new light on the cascading series of events that contributed to design flaws, errors of judgment and failure of the British regulatory system.

In revisiting the sinking of the Titanic it is understandable that we get caught up in the human drama and suffering that resulted but of greater importance is the analysis of what went wrong that is crucial to placing corrective measures in place to avoid a repeat of such a catastrophe.

Beginning with the design of the ship and its imperfect watertight compartments to its inadequate provision for lifeboats and its speed there was more than enough blame to go around. The magnitude of the human drama coupled with sensationalism and fictionalized accounts as well as deliberate attempts to withhold key evidence has created an imperfect perspective of what went wrong with various observers apportioning blame in a way that would justify their own personal agendas.

Only now in the centenary year of the Titanic’s sinking are fresh details and new perspectives coming to light about the many factors that led to its plunge to the bottom of the ocean. Details that might well have contributed to an earlier improvement in planning, maritime safety and management systems. One striking example is the fact that though the lifeboat capacity was woefully inadequate for the passengers and crew of the 40,000 ton vessel, the ship was in compliance with the Board of Trade’s regulations for lifeboats on ships that were over 10,000 tons. The regulations were issued 20 years before the Titanic was built and had not been reviewed in the light of advances in shipbuilding technology.

We could learn a thing or two from the sinking of the Titanic in Barbados where the collapse of Clico is still shrouded in fog and the regulatory response has moved like molasses. Similarly there is a curious lack of investigation into the causes for the collapse of the Four Seasons venture and now the implosion of Almond Beach Resort.

Instead we are being served up with a serried of human interest stories that speak to the loss of jobs and a reduction of our capacity to serve the hospitality industry. It is time that we review these several events to determine if there were fundamental design flaws and problems with the business process implementation. We should query if the and the human resources employed to achieve the business goals were adequate as well as analyze the many factors that add cost to doing business in Barbados; and they are legion.

Unless we do this it is impossible to develop significant corrective action to improve the effectiveness of the business community in meeting demand and generating meaningful employment. Corporate welfare is not the answer and ignoring the economic icebergs may well imperil the ship of state.

The Almond Beach Train Wreck


For months we have watched as the Almond Beach group imploded while its principle investors cut their losses and moved to divest themselves of the St. Lucia properties and the Casuarina Hotel while writing off millions of dollars in the process. Now the remaining flagship property of Almond Beach in St. Peter is facing closure at the end of this month as a result of staggering losses and a hotel plant that is long in the tooth and fit only for demolition instead of refurbishment.

Practically all of the commentary so far has been focused on keeping the hotel open and protecting the jobs of hundreds of Barbadians who work there as well as the loss of foreign exchange earnings that will result. It seems that all the commentary is designed to raise more capital to keep the business open and to pressure the government to act as the investor of last resort.

There has been little direct analysis of what caused the decline of the Almond Beach Group and the role that the fundamental business model played as well as the initial physical design of the hotel complex. Finally the management team is ultimately responsible for the cascading losses and the degradation of the physical plant.

To invest new capital without such an analysis would be rash in the extreme. To ask the workers to invest their savings and part of their income in a bid to keep the facility open is unrealistic beyond belief. Given the magnitude of the sums involved such suggestions speak to the fantasy land that some live in. They suspend the laws of economics and ignore the harsh reality of having to make a profit to stay in business.

The truth is that investors and business owners get into business to make a profit. Employees benefit from business activities through the wages that they earn and the benefits provided by the company. In turn the company pays taxes, reduces bank loans and sets aside a portion of profit earned to maintain the physical plant or to expand if the business climate is favourable. A lesser portion of the after tax profit is then paid out as dividends to the owners of the business.

If things get out of kilter in this complex equation the business suffers and without corrective action or a change in the business plan, failure is inevitable.

The hotel business is tremendously complex one and requires a well disciplined multi-skilled management team to succeed. There is some evidence to indicate that Almond’s management team lacked the fiscal discipline and attention to detail necessary to rise above the challenges of today’s difficult economic environment. A cost overrun on the refurbishment of the Casuarina property that exceeded the budget by nearly one hundred percent and ran a year late is a clear indication of the problem.

It is time that we realized that businesses are not welfare programmes that have an automatic call on the public purse when they fail. In the natural course of things some companies will succeed and others fail. Asking government to change that by just throwing tax payer money at the problem is not a solution but an exercise in folly.

Of Ships and Shuttles


Six hundred years ago China was unrivaled on the global stage, a dominant economic power with technological skills that were unmatched by India, the Ottoman Empire or any of the European powers. It was a medieval superpower who’s Yongle Emperor, Zhu Di determined to reinforce the preeminence of the Chinese Han after centuries of domination by the Mongols.

He launched a series of wars against Mongolia to consolidate his northern borders; Established Beijing as the capital of China; dredged and restored the Grand Canal from Beijing to Hangzhou; Commissioned the Yongle Cannon the largest encyclopedia of its time and ordered Admiral Zheng He to carry out a series of voyages of exploration with the Chinese Imperial Fleet.

Admiral Zheng He commanded an impressive armada of 317 ships carrying 27,000 men to establish diplomatic contacts and develop trade with nations in South East Asia, India, the Arabian Peninsula and Africa. Over 27 years in a series of seven voyages the Chinese Imperial Fleet reigned supreme over large areas of the South China Sea, the Indian Ocean and the Pacific. Some researchers believe that they entered the Atlantic Ocean and may have visited the Caribbean nearly a century before Columbus.

Abruptly, the maritime expeditions of Admiral Zheng He were brought to an end because of the cost of maintain the fleet. An imperial decree made it unlawful to construct ships with more than one mast and China began a period of introspection and inward focus resulting in a long period of decline. The age of exploration was over for China and the nations of Europe would command the oceans of the world in the centuries ahead. The Age of European exploration would lead to European dominance in economic and military matters.

A short 50 years ago President Kennedy challenged his nation to embark on another voyage of exploration, this time into space and the objective to put a man on the moon. Implied was an exploration of the solar system and beyond. In a few short years Americans walked on the surface of the moon and developed a constellation of satellites that circle the globe, providing a vast array of services.

Communications, global positioning and weather satellites are but a few that we all benefit from. They led in the construction of the International Space Station and developed the remarkable shuttle program that resupplied it and rotated the crews that manned the facility. America’s technological and human feats in the exploration of space have been unparalleled but now with the end of the shuttle program and with no clear replacement it seems that another imperial edict has abandoned the leadership in space exploration as America retreats from its unchallenged position. It seems as though it has turned away from taking man to the frontiers of space with an absence of vision for the future.

It is but another example of a lack of leadership that would maintain America’s role in the forefront of space exploration and technological innovation. It is a retreat from lofty goals of space exploration that benefit all mankind. Instead it is one more expression of Obama’s vision that America is not extraordinary or exceptional but is willing to pay the Russians double the price for delivering its astronauts to the International Space Station now that they have a de facto monopoly on the service.

Indeed it is ironic that it is the descendants of the Yongle Emperor have articulated a goal of establishing a colony on the moon during the third decade of this century.

Sunday, April 1, 2012

The Digital Revolution is Has Arrived


More Barbadians are beginning to recognize the benefits of information and communications technology in business, medicine, sports and the arts as they explore new ways to do things and new things to do. Unfortunately the use of new technology tools has been hampered by a reluctance to make fundamental structural changes that would require planned obsolescence of inefficient traditional business models.

This may all be about to change as consumers are buffeted with inflationary pressures, rising taxes and increased energy cost. The challenge to find non traditional methods of distribution that creates real saving for their customers will force existing businesses to reinvent themselves or face the prospect of crushing competition from new and agile business models that eliminate many of the intermediate steps in the supply chain that forms the links between producer and consumer.

We are now in that turbulent period of an era shift where technology is revolutionizing the way we do business, learn, socialize, play and govern ourselves. Productivity increases will be staggering as the cost of goods and services drop and their quality improves. In some ways we are already experiencing the benefits. Digital x-ray and MRI scans can be instantly available to physicians and dentists for more accurate and timely diagnosis or to be shared for consultation anywhere on the globe. New 3 dimensional technologies allow for greater accuracy in medical diagnosis and through earlier diagnosis, enhanced survivability from disease.

Soon 3 dimensional printing will provide instant access to automobile parts without the dealer having to invest in high levels of inventory. Tools can be ordered and supplied in a matter of days and a whole host of products will be downloaded and manufactured with 3D printers without having to pass through the port and attract the attention of customs. The many savings are obvious not the least of which will be the elimination of paperwork and needless delay.

At the same time there is a growing class of knowledge based entrepreneurs who are designing services and products for a global market. They are only limited by their imagination as time and distance have been almost eliminated from the distribution equation, while scalability can meet a rapid increase in demand.

Everything is not positive in this new world however, and technology does not change human nature nor eliminate criminality or hostile intent. The threat of cyber attack and denial of service is becoming ever more sophisticated. Not only do we have to contend with cyber criminals and identity theft, but increasingly there are many state sponsored players that bring massive resources to bear in the economic assault on business and government entities stealing business secrets, intellectual property and a wide range of other sensitive information.

Barbados has much to gain by embracing the digital world of trade and commerce and it should be in the vanguard of those nations that would condemn digital theft and piracy while working with allies, who respect the rule of law, to develop defenses for our national networks.

We should do everything that we can to foster a competitive environment that would encourage development of robust, secure ultra-wide bandwidth networks connected to homes and businesses. As we develop more and more content there will be an increasing need for symmetrical services where the upload and download bandwidth is equal.

While it’s getting cheaper, Technology is not cheap. It also requires the right blend of disciplines in many IT areas to deliver integrated business process solutions. Our small businesses and even small Government Departments in the Caribbean do not lend themselves well to certain types of deployments. Even our larger companies are small in the global context and struggle to make certain types of IT investment. Innovation in Cloud technology and opportunities for specialized consulting firms may help bridge this. 

Finally it is the willingness to reengineer business processes from the ground up and it is this human element that will determine success or failure.

Sunday, March 25, 2012

Mark Time!


Mark time! For more than four years it seems as though this is the command that has guided the actions of government as we march while standing in place, going nowhere and having nothing to show for our efforts but a sadly diminished fatted calf. With 80% of the term of office gone, there is little to show for it except a huge fiscal deficit, a few highway round a bouts, and a bloated government structure hanging like a millstone around the necks of the taxpayers.

The drift that has become the most identifiable feature of this administration is now underscored by a series of studies to be launched at the 11th hour and promises to enact legislation to address crop theft.

The most recent initiative is the establishment of an action team to focus on the economy, business and labour with 5 members each from government, business and the labour unions. Precisely what this team is supposed to achieve is not quite clear as they are tasked to address economic problems, business facilitation and the social safety net. Styled an action committee it is not clear what action they might take and the structural authority that the committee might have to take any action at all.

There is a deep suspicion that this exercise is more of a public relations effort aimed at quieting the growing disenchantment with rising prices, increased taxation and rising unemployment. Certainly there is nothing in the estimates that would indicate that the government has any intention of putting its fiscal house in order or stimulating the productive sectors of our economy.

The malaise affecting the telecommunications businesses and the slow deployment of broadband connectivity is a glaring example of the hiatus in policy initiatives for the past 4 years. Barbados was a leading destination in the Caribbean for robust broadband networks and an increasingly competitive communications environment. Local loop bundling and number portability were to be implemented. Nothing has happened.


Technology does not stand still and there is a increasing awareness that there is a growing need for wider bandwidth to attract the investment needed for the businesses of tomorrow. Barbados is eminently suited for the deployment of an ultra wide bandwidth network with fiber deployed to businesses and the home. It will take time to achieve this but if the goal is not stated we will never achieve it.

The benefits of such a network deployment are many. They range from more efficient business models that improve service and cut cost, to the delivery of learning programs that would enhance lifelong education and improve the quality and range of teaching tools.
 It would also open the world to employment opportunities for many Barbadians, and allow the best and the brightest of the Barbadian Diaspora to interact with their native land and contribute in a meaningful way to the economic and social development of Barbados.



Imagine the impact on our island if 20% of workers could work from home. Some jobs could be full time remote jobs while others may include a blend of in office and remote. But in total, consider a net 20% remote work on our fuel import bill from the reduction in transport, easing of congestion and an enhanced quality of life. The ability to work remotely will transform the nature of the labour pool. Barbadians will be able to access employment opportunities overseas and earn valuable foreign exchange.

The action committee should focus on the core national needs. World class communications is a critical foundation for our 21st century global economy. By setting clear targets for high speed network deployment and ensuring a fair competitive framework for investors we may once again lead in this field. In so doing, Barbadians will be positioned to accrue the benefits of a connected globe.

phillip.goddard@braggadax.com

Sunday, March 18, 2012

Public Policy and Expediency


The need for predictability and for protecting reliance on settled rules is vital to promoting a vibrant investment climate, stimulating economic growth, and creation of a vibrant opportunity for employment. At the same time we must not become so rigid that we find ourselves so unreasonably shackled by precedent that we cannot respond effectively to crisis or new threats as they emerge.

The response to the existential threat of HIV/AIDS at the end of the last century is a case in point. With the growing awareness, that left unchecked, the HIV virus would wreak havoc on our society it was evident that a new multifaceted approach was necessary to combat this deadly disease. It was not just a health issue but an economic one as well, that challenged the structure of our society and had grave national security implications.  We had to devise new responses to check the spread of infection and decrease the mortality rate caused by this unparalleled assault on the immunity systems of those that were infected with the HIV virus.

New systems of free diagnosis, confidentiality and free treatment were implemented for all and a public information programme was launched to sensitize the public about sexually transmitted diseases with an emphasis on the HIV virus. The programme has evolved and continues to do so with some levels of success that is in large part due to dedicated medical staff who are involved in the diagnostic, counseling and treatment services to the Barbadian community.

Another seminal event in our recent history was the financial shock following the attack on the United States on September 11, 2001. Once again, the government of the day responded swiftly and decisively. Immediately taking the whole nation into its confidence, a national consultation was swiftly held to outline government’s immediate plans and to facilitate inputs from a broad cross section of the community to generate a response that would protect our key economic interests and prevent a collapse of the economy. It acted with dispatch and transparency to analyze the situation and develop solutions. 

Alas, these past few years, as we have endured the deepest global economic crisis in nearly a century, the government’s response has been to largely ignore the severe recession and to engage in series of bewildering responses to significant business failures that largely consisted of corporate cronyism and significant dollops of corporate welfare. The long delay in addressing the Clico affair with the collapse of CL Financial and the gaps in supervision of the company in subsequent months as well as the abnormally long delay in appointing a judicial manager are inexplicable. It speaks of gross incompetence or worse.

The failure of the Four Seasons venture has been another national nightmare with a slow bleeding of the public purse to sustain a questionable business model at massive expense. Now there are calls for government intervention in Almond Beach after years of mismanagement and neglect.

The public good would have been best be served by a quick response to protect the Clico customers and to allow failing companies to go bankrupt.
There is a growing unpredictability in policy formulation, and more importantly, its administration. It is increasingly driven by ad hoc political expediency and political patronage rather than by a consistent application of corporate law. This creates an environment that extends the business community’s envelope of risk to unsustainable levels and endangers our economic future.