BEE Partner, South Africa Economy Watch

Let’s take a look at them and interpret each in terms of an emerging country like South Africa, which aims to become a competitive nation in the world rankings.

According to Sun Tzu, in a nation-state that is seeking to compete in the global arena, the development of a proper strategy is vital to the future welfare of the people of that country. Leaving a country’s economic future in the hands of a political manifesto may well satisfy the aspirations of a political few; however, the development of a non-aligned strategy has a better chance of serving a greater percentage of the population and taking the country forward in its economic growth.

If the country’s leader is strong and focused on improving the country’s economic and social standing, the country is more likely to improve its economic and social positions. If the head of a corporation has a vision for th_eorganisation, the company stands a better chance of being highly competitive and successful in its markets. The political leade_{r o}f a nation who focuses on his or her international image to the detriment of domestic concerns is a weak leader, and is therefore not a good example to his or her people. The risk is that a weak country will emerge, or, at the very least, a country that will not reach its true potential.

`The good fighters of old first put themselves beyond the possibility of defeat, and then waited for an opportunity of defeating the enemy.’”

This teaching means that the government should take the necessary steps to put the country in a position in which it would be difficult for a competing country to outmanoeuvre it. Indeed, Lee Hsien Loong, prime minister of Singapore, a country noted for its global competitiveness, is on record for saying that ‘Countries which prepare their peoples for the changes, and move early to anticipate the strategic shifts, will have the advantage.”‘

Sadly, government has not prepared the people of South Africa for the changes brought about by globalisation. Nor has the South African government placed itself in a position beyond the ‘possibility of defeat‘. One only has to look at the loss of South African talent to other countries and the ‘wait-and-see’ policy of many investors to perceive how other nations are ‘defeating’ South Africa.

This teaching means that the government needs to create the `right’ kind of society so that the country will not lose out to other nations in terms of human or investor capital. The same has to hold true for a business corporation. The CEO must have the strength of character to create the conditions that will help his or her people to be successful. More often than not that means bringing the key stakeholders into the process in a participative and consultative manner.

The consummate leader cultivates the Moral Law, and strictly adheres to method and discipline; thus it is in his power to control succeds.’

With this teaching, Sun Tzu reminds us that the leaders of countries _must ensure that as many people as possible support them and are prepared to follow them, and that discipline exists in their country. Along with their government, leaders have the responsibility of ensuring that their people’s performance, productivity and prosperity are healthy when compared with other nations, and that the production capability of their nation is globally competitive.

To secure ourselves against defeat lies in our own hands, but the opportunity of defeating the enemy is provided by the enemy himself.”

`Without harmony in the State, no military expedition can be under¬taken; without harmony in the army, no battle array can be formed.’

A country that is plagued by crime, violence and corruption is holding itself back from economic growth. Likewise, a company that does not experience internal harmony cannot grow in the marketplace, and leaves itself open to defeat at the hands of competitors who pay attention to ensuring that their company’s infrastructure welcomes both human and investor capital.

Sun Tzu also warns leaders that ‘There are six ways of courting defeat: (1) Neglect to estimate the enemy’s strength; (2) Want of authority; (3) Defective training; (4) Unjustifiable anger; (5) Nonobservance of discipline; (6) Failure to use picked men.’ Let’s look at each of these in turn.

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