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My view on Globalization in the Digital Age
Together those 4 services and the many presentation I conduct for companies or at conferences, constitute the back-bone in my services in the field of Globalization.
In September 1996 the European Commission asked me if it was possible to acquire the concept I had developed over the past years for global business - GO INTERNATIONAL© – both the strategic issues and the working methodology on how to prepare for effective PartnerSearches, but also to train the 270 international consultants across Europe in the EU’s Business Cooperation Network – the BC-Net. The project was a success and even today the principle for the strategic approach is recognized widely among the companies that still offers PartnerSearches. (click here to read the press information) Based on the success with the Strategic PartnerShip idea, the EU Commission asked me to join the TABD Group. TransAtlantic Business Dialogue is a group of 100 CEO's with 50 from Europe and 50 from USA. The goal with the group is to give recommendations to the governments on both sides of the Atlantic and foster trade in the North Atlantic business arena. Shortly after I took the leadership of TASBI - the TransAtlantic Small Business Initiative - representing the European SME industry - a chairmanship I still hold. (click here to read more about TASBI and TABD) The Lisbon Agenda also set a new agenda for Europe and the global initiatives.
Article from the Baltic IT&T Magazine Globalization is a Team Effort in the Baltic States government, trade associations and the BUSINESS COMMUNITY must join forces to be competitive by Jørn W.Phigalt, CEO of ITM Europe and Chairman of TASBI – the TransAtlantic Small Business Initiative
Arriving in Riga’s beautiful and well-functioning Airport after a flight was not all that exciting. In the nearly empty airplane from BalticAir I had been looking with great eagerness for all the other business executives from the progressing international ICT community. I was here – but where were all the others…? The 3 Baltic States only rank as number 29 in a recent study regarding penetration plans for large and medium sized companies in the western ICT sector, in spite the fact that there is a huge talented group of ICT professionals in well-organized and fully qualified companies, who could make a difference in the global ICT business community. The Baltic IT&T Conference organized by LITTA – the dynamic Latvian trade association for the ICT industry – provided an excellent forum for international guests to meet and discuss business opportunities with more than 400 Baltic representatives. But very few had actually found their way to Riga here in April – and this was a shame.
Underestimating the Branding aspects It can always be discussed who didn’t took the initiatives and decision to search for new opportunities in the Baltic Region, but in Estonia, Latvia and Lithuania’s case, the lack of branding of their region, their industry and the individual companies, has to be considered as the major and dominant factor. In the Digital world and new knowledge-based economy, the modern trade policy includes a huge quantity of awareness building initiatives, better understanding for international business lifestyle and decision patterns, globalization and PartnerShips. When more than 15 countries and regions have the same qualities, the same skilled workforce, the same drive in creating a better infrastructure, and sharing the same history – government, trade associations and entrepreneurial companies need to differentiate from the rest. The chance to diversify from the global competitors is right now the branding exercise that is the most important topic to shape selected sectors in the IT industry. As one executive said during the interviews prior to the Baltic IT&T event was “Why should I go to Latvia – I don’t know anything about the region, their competences and their business moral and values”. Many Baltic IT companies are shut out from participating in the dialogue – even before the pre-evaluation is made for potential partners and outsourcing companies, just because the mature business communities don’t know better. This leaves a frustrating gap for everyone who wants to increase their business and trade. If you are not even a part of a dialogue, it is impossible to blame each other for missing chances and realistic options – the good opportunities are just not there. Most progressive ICT companies in the western economies do have International Business Plan’s that high-lights there strategy for globalization, penetration, product development, the rich use of digitalization and an immense focus on creating business through long-lasting PartnerShips with many foreign companies in cultures - where localization is a must. But very few IT companies are taking chances in the transition economies and the accession countries to the European Union – simply because they are not informed enough of the IT sectors specialties and focus areas. Understanding that it is not the aggressive and pro-active IT companies in the mature western economies, who are investing in the huge research job to locate, evaluate and find suitable business opportunities in Estonia, Latvia and Lithuania is one element that the Baltic ICT sector is lacking. Another is that the sector needs to focus on few, but competitive fields of expertise and direction. Here the trade associations should play a major role in shaping the industry through a focused work on 3-4 selected niche area’s, supported by a visionary government and perspective educational institutions.
The Branding gap
Bridging the gap is a task that the Baltic’s need to close through increased focus on the important tasks of profiling their industries before a success can be secured for the region. And branding is a team effort, which carried out in a proper way not only will give a better profile of the regions possibilities, but also will increase the spirit and ingenuity in the sectors, increase the structure between universities and the business community, avoid brain-dead for the region, and increase profitability in the sector.
The Baltic States and the new Europe We all hope that the Baltic States will be able to start the real process of becoming full members of the European Union later this year in Copenhagen. The international IT business community will look very positive on this strategic move from the Baltic’s and great expectations in Europe to include the companies in the EU’s Research & Development programs are there. However, it is up to the Baltic companies to take advantage of this through PartnerShip’s with European companies in large scale. Being Europe’s outsourcing factory is not enough – you need to be deeply included in extensive sharing of information, research results, joint development, marketing and sales – combined with the Baltic’s superb location in the Nordic region.
Can the Baltic’s do this? Yes, they can – all the issues needed for this exercise is present in the 3 countries and an enormous and enthusiastic business industry is behind the various initiatives. Now it is up to the government and the trade associations to launch the work and to make a joint effort to support this business-creating process…
This article is made as a reflection of the enormous potential that Baltic ICT community showed at the recently held Baltic IT&T2002 Conference and exhibition in Riga, Latvia
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20
years ago, I reviewed the progress across the growing ICT industry and was
surprised to find that very few companies were talking about the global market.
No one had set guidelines for these vital future development areas and very few
were troubled with the impact of the overwhelming work ahead. At that time I
recognized the need to strengthen a sense among the ICT community across Europe
of the importance of the work with global issues and its relevance to their
daily lives. The European Union and the European Council had to play a major
role in my mind as I am a true European citizen, and an access to United Nations
initiatives for the new democracies in the world, would add value to the service
portfolio I would present to the market. I concentrated my effort in relation to
the globalization in 5 areas. 
The
Software sector in the emergent Baltic’s Information Technology Industry is
facing tremendous competitive challenges and the understanding of international
business approach and branding of the sector, the region and the individual
enterprises is the key to bring success and opportunities to the 3 countries in
the region.
In the branding map not only enterprises and trade associations are the active
players, but the government’s foreign commercial service, a national IT advisory
body, quality and certification institutions, combined with technical schools,
universities, technological Research & Development Parks and a solid
infrastructure are vital players. 
ITM