Does corporate leadership equate to political leadership?

Can a country be run in a similar way to running a business?  Does corporate leadership equate to political leadership?  It would be possible to find examples in support of both these questions and as much evidence to counter them but the contextual difference is important to note when considering leadership in general.

A crucial difference in the two sectors is that the corporate executive or CEO must operate to the satisfaction of the shareholders, regardless of the humanistic and social veneer applied.  A politician or a Prime Minister must serve for the benefit of the people, regardless of the political views held as this social obligation originates with the public office.  Politicians have wriggle room not afforded to CEOs because not all the citizens subscribe to the same values.  In the corporate world there is a clearly visible commitment to capitalism, a clarity not possible in the political world.

At the moment in England, it seems that the newly elected coalition government is starting to prepare for a social capitalism – capitalism with a human edge.  The path to economic restabilisation will be difficult and, according to the newspapers on 8 June 2010, the government is set to call on the services of the former CEO of BP, Lord John Browne.

Browne has graced the pages of the SafetyAtWorkBlog twice previously and not in flattering terms.  One writer said Browne:

“…. was admired by his peers but not as much as he was by himself….” [who] “…As CEO … surrounded himself with sycophants and yes-men enshrouded in a cloud of corporate hubris.”

Continue reading “Does corporate leadership equate to political leadership?”

The “Triffid defence” applied to asbestos

At the end of The Day of The Triffids, John Wyndham, had mankind living on the Isle of Wight, making sure that Triffids did not infest the island.  Tasmania has a similar mindset as can be seen by its diligence on keeping the land free of foxes but that is keeping out a hazard.  The greater challenge is renewing the land and removing a hazard that was allowed to grow and establish itself like triffids or, more realistically, asbestos.

SafetyAtWorkBlog has written elsewhere about the Australian Workers Union push to make Tasmania free of asbestos by 2020.  The signs are increasingly positive as the Tasmanian government issued a media release on 6 June 2010 that provides substantial impetus and legitimacy to the campaign.

The Minister for Workplace Relations, David O’Byrne, said today that the government will work with industry to develop legislative frameworks that provide a pathway for the prioritised removal of asbestos from Tasmania. Continue reading “The “Triffid defence” applied to asbestos”

Inaccurate claims made of BP spill inquiry membership

On 1 June 2010, the Safety Institute of Australia (SIA) informed its 3,000 members that Professor Andrew Hopkins has been

“nominated for a spot on the US commission’s inquiry into the disaster’s causes”.

Andrew Hopkins has advised SafetyAtWorkBlog that the nomination is not true and that the article is inaccurate.  His name was included in ill-informed speculation on membership of the United States’ commission of inquiry into the Gulf of Mexico oil spill but was never formally nominated. Continue reading “Inaccurate claims made of BP spill inquiry membership”

What can OHS professionals learn from government program failures?

Marcus Priest of the Australia Financial Review wrote a good article on 2 June 2010 (only available through subscription or hard copy) that illustrates the managerial deficiencies of the Australian Government by looking at the lessons from two governmental investigation reports concerning a large-scale construction program for existing schools and the home insulation scheme.  Priest identifies several issues that should be noted by those who are designing large projects and who need to deal with the government directly

Priest’s opening paragraph is:

“The decisions by the Rudd government to try pull (sic) the country out of a recession by spending billions on schools and free home roofing insulation have come to be regarded as worthy ideas that morphed into a disaster of public administration.”

Marcus says that these reports show an overworked public service, unreasonable government expectations, a disconnection between policy and its real-world application and poor assumptions. Continue reading “What can OHS professionals learn from government program failures?”

What is the OHS “public interest”?

On 7 May 2010 Judge Lacava of the County Court of Victoria increased the $A25,000 fine applied to A Bending Company to $A75,000.

WorkSafe’s Acting Director for Health and Safety, Stan Krpan, said in a media release:

“The fact that the Director of Public Prosecutions [DPP] found the original penalty inadequate, and the increase in the fine on appeal, demonstrates the courts’ attitude towards health and safety offences.”

The DPP made the appeal to the County Court after a request for review of the original fine was made by WorkSafe Victoria.  According to the judge’s decision (not yet available online):

“The appeal by the Director is made pursuant to section 84 of the Magistrates’ Court Act 1989. The section gives the Director the power to appeal to this Court “if satisfied that an appeal should be brought in the public interest“.” [emphasis added]

So how was the public interest served by increasing the fine by $A50,000? Continue reading “What is the OHS “public interest”?”

The politics of the insulation debacle become clearer

The debacle of the Australian Government’s insulation job creation scheme faded when the scheme was cancelled suddenly by the Government earlier in 2010.  Attention was always going to return at various stages as investigations into the deaths of young insulation installers begin but Parliament resumed earlier and the Opposition attacked.  The attack has led to the release of correspondence between the Minister responsible for the debacle, Peter Garrett, and the Prime Minister, Kevin Rudd. (A good example of the role of an effective Opposition in ensuring open government)

The newspapers on 28 May 2010 have focused on the fact that the Prime Minister was aware of the serious occupational health and safety deficiencies of the system months before serious action was taken on the scheme.  However, the correspondence also indicates that Garrett was not inactive on the safety risks in 2009 as many critics allege. Continue reading “The politics of the insulation debacle become clearer”

“We will trust but we will verify” – upcoming lessons from the Gulf of Mexico

The mass media is full of reports on legal action being taken on behalf of shareholders in BP over the continuing oil spill from the former Deepwater oil rig in the Gulf of Mexico.

An Australian video report was broadcast on 25 May 2010 and a composite article has appeared in The Australian on 26 May 2010 as well as elsewhere. Many outlets are mentioning the law suit (Southeastern Pennsylvania Transportation Authority and Robert Freedman v Anthony B Hayward et al, Court of Chancery for the state of Delaware, No. 5511) but no details of the suit are publicly available at the moment.

Although safety is mentioned as one of the bases for the suit, it is likely that environmental impact will get prominence over occupational safety and that impact on stock value will be of the most concern.   The shareholder outrage mentioned in some of the articles seems to focus mostly on the financial impact on BP share value rather than any moral outrage on environmental impact or dead and injured workers.

BP CEO Anthony Hayward has acknowledged the substantial  “reputational risk” but his comments are almost always reported surrounded by financial bad news.   Continue reading ““We will trust but we will verify” – upcoming lessons from the Gulf of Mexico”

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