…issue which ended in defeat last night in The House of Lords: First, a business purpose which risks the alienation of 3 million stakeholders is flawed, unless your risk management systems mitigate that risk. Even if you agree with his purpose – high wages, low welfare – you cannot ignore Mr. Cameron’s failure to mitigate that risk. Second, a business strategy which uses stringent cost cuts with promises of jam tomorrow is a flawed strategy because it ignores normal human behaviour: none believe in jam tomorrow, even if the jam is cunningly and catchily branded as National Living Wage by 2020. Third, a CEO must create an environment in which their team members thrive, especially the CFO. Mr. Osborne, to put it mildly, will not be thriving after last night nor will the business of Government.
Of course I did warn Mr. Cameron in a previous blog that if he used the PSB approach to his leadership – resilient Purpose, Strategy and Behaviours – he would avoid much trouble. I even offered him a pro bono programme to the annoyance of some of my clients. Perhaps he didn’t read my blog. I dunno. I’m merely doing my civic duty being as I am a member of the “swarm” and a “marauding migrant” (admittedly via Aer Lingus 1989 and not Calais 2015) keen to demonstrate rather than assert how a richly diverse England can be good for its future. In that you may rightly gather that it’s not just welfare beneficiaries that Mr. Cameron (and Ms. May) has alienated. He has four years left. I hope he learns from his mistakes as those of us in business should if, on reflection, our own PSBs – Purpose, Strategy and Behaviours are flawed.