Under the heading ‘What does CPR have to do with geopolitics and strategic thinking?’, we welcomed Joachim Bitterlich as a guest on the CPR Talk at Lunchtime on the 30 October 2024.
Bitterlich can look back on an outstanding career in the diplomatic service. In the 1980s, he worked in the ministerial office of Foreign Minister Hans-Dietrich Genscher. During the period of reunification, he acted as an advisor on European, foreign and security policy to Chancellor Helmut Kohl. He later represented Germany as NATO ambassador in Brussels and in Spain. Nowadays, Bitterlich is an honorary professor at the ESCP business school in Paris and publishes articles on European and international developments.
Right to begin, Bitterlich made the following pointed diagnosis: ‘There is no foreign policy in Germany. This also applies mutatis mutandis to the economy.’ Companies should become more actively involved in the political arena. After all, they operate within a framework that is set by politicians. It is in their own interest to help shape this framework.
Bitterlich cited the relationship with the USA as an example: German companies should clearly articulate to politicians how they envisage future transatlantic relations. A strong business voice could help to set concrete cornerstones for bilateral cooperation.
Or the example of China: instead of unrealistic public commitments to democracy, German companies could embody democratic values internally, for example through greater employee participation in the company’s governance.
Bitterlich explains the concept of CPR to his students as ‘international risk management’; he sees companies as ‘political stakeholders’. By assuming responsibility and helping to shape political processes, companies can contribute to stability and prosperity. For the younger generation in particular, this understanding of companies as political actors seems very plausible.
For Bitterlich, the international surroundings of a company should be a top priority for every board of directors. The central task of the management bodies must be to strategically embed the company in the global markets. The German economy and politics are facing fundamental challenges that require ‘concerted action’: What is going wrong and what needs to change, especially in regard to European integration and cooperation?
Another critical point for Bitterlich is the lack of a culture of dialogue between politics and businesses. The relationship has deteriorated in recent years and needs to be revitalised.
In conclusion, Bitterlich emphasised how important a functioning culture of debate is for the success of the economy. Openness to different perspectives creates the ability to innovate and the willingness to change – two characteristics that need to be strengthened in Germany.
Joachim Bitterlich’s talk is a wake-up call to the German economy and politics alike: Without a stronger commitment from the economy to political issues and a clear strategic direction, Germany will not be able to successfully master the challenges of the globalised world. It is time for companies to take responsibility as political players and work together with politicians on the future of Germany and Europe.
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