When I joined ICTSI two and a half years ago as their first GC, we recruited additional in-house counsel around the globe. One of the biggest challenges remains the different time zones. When we open for business in Manila on a Tuesday morning, our colleagues in Latin America are getting ready for dinner on their Monday evening, but with planning, continuous communication and frequent meetings, this can be managed.
The Philippines is prone to natural disasters, particularly volcanic eruptions, earthquakes (it lies on the Pacific ‘Ring of Fire’), floods and typhoons. A few weeks after I moved to Manila, super typhoon Haiyan devastated parts of the country. The World Bank ranks the Philippines in 103rd place for ease of doing business. In a way, the experience of operating in the Philippines enables us to operate in other challenging markets.
We operate in some difficult regions. In addition to dealing with geopolitical risk management, this means the risk of corruption, expropriation, as well as, for example, security risks to our staff. In order to manage these risks and enhance compliance, my team works closely with the business to develop procedures. For example we implemented a global code of business conduct and an anti-bribery policy accessible in English, Spanish, French, Polish, Mandarin, Portuguese and Tagalog. We have also been fostering awareness through training and act as the ‘moral compass keeper’ of the company.
To work in regions like these you need to focus on what truly matters. You will never be able to eliminate all risks, and the emphasis should thus be on key issues in negotiations and in identifying key risks so that they can be priced accordingly.
In order to avoid the gridlock traffic in Metro Manila (locally referred to as ‘Carmageddon’), I start very early. During the day, I may have a meeting with my Manila-based team, followed by an internal meeting on SEC reporting and disclosure, a ‘despedida’ (farewell party) for an employee transferring to the Middle East, a conference call with outside counsel on an arbitration in Singapore, provide advice on a concession agreement in Africa and a call with a general manager in the Americas to discuss strategy regarding a threatened strike.
First and foremost, the GC needs to be proactive. The GC needs to anticipate and assess risks, including geopolitical, safety, reputational, regulatory and financial risks to the business. By offering creative, proactive solutions to eliminate or mitigate risks, and by anticipating how scenarios may play out, a GC can be an effective contributor to the business.
Good leaders lead by example. By walking your talk, you become a GC others want to follow. Rather than micro-managing, delegate effectively and have the team, including paralegals, assume ownership and responsibility for their work. I dedicate a lot of time to training, mentoring and talent-grooming.
Learn the fundamentals of financial management and accounting early on in your career. In-house lawyers need to understand concepts such as ROI and CapEx in order to contribute to strategic decision-making. In order to manage the in-house legal function in a cost-effective manner, you also need to understand budgeting and what levers for internal and external costs.