Leading Strategic Initiatives

The European Commission must put European prosperity at the center, driven by a competitive industry. Europe is falling behind and we can still avoid being an industrial museum. This morning the European Commission President, Ursula von der Leyen, and the commissioners who comprise the European Commission received a joint open letter from me and several CEOs in Europe stressing the need for urgent action to implement competitive digitalization measures. The message in the letter is clear and simple. Europe is already far behind in the development of the digital economy and related innovation, successfully being driven in other regions by high-end connectivity. Either we act or we lose. This position was reflected and endorsed in stark warnings from former Italian Prime Minister and former President of the European Central Bank, Mario Draghi, in his report on the future of EU competitiveness, published yesterday. Draghi highlighted the need of the EU to invest in and support digital technology, including connectivity, and the need to facilitate consolidation in the European telecoms sector – as key factors to trigger digital innovation and competitiveness in Europe. The European Commission is in a prime position to immediately tackle many of the root causes of this reality. As the Commission begins its new term following recent elections, it must act quickly and decisively if Europe’s proud industrial landscape is not destined to become a desert. The range of co-signatory companies to today’s letter also shows that this is not just a telecoms industry issue. The need for high-end connectivity to be at the heart of national digital infrastructures in Europe is recognized by industries and enterprises of all sizes across the continent. My co-signatories of today’s letter are the CEO’s of of Capgemini, CaixaBank SA, Einride, Enel, Eni S.p.A, E.ON SE, Ericsson, Deutsche Bahn AG, Deutsche Bank, Iberdrola, Industria de Diseño Textil S.A, Nokia Corporation, Renault Group, RWE AG., SAP SE, Schneider Electric, Siemens AG, Sonae, and VERBUND . You can read the full text of today’s open letter here: https://lnkd.in/d2pVhwF9

I spent 18 months tracking something that should terrify every African policymaker. In July 2024, the African Union adopted the most ambitious AI strategy on the planet, promising $1.5 trillion in economic value for 1.3 billion people. Today? We're building governance for a house without a foundation. The brutal paradox: While the AU mandates AI ethics boards and algorithmic transparency, 590 million Africans don't have electricity. We debate algorithmic bias while 86% of African women lack basic AI proficiency. We craft data sovereignty, while only 2.8% of facial recognition data includes African faces. The math is devastating: $100 million raised. $500 billion needed. That's 0.02%. 83% of AI funding goes to just 4 countries. Kenya, Nigeria, South Africa, and Egypt. The other 51? Not in the game. My research shows countries that rushed to build sophisticated AI governance before basic infrastructure. Ethics boards are never operationalized. Transparency requirements hit 90-96% non-compliance. Sandboxes approved 3 of 40 applications because reviewers couldn't understand the tech. Meanwhile, countries that prioritized foundations, electricity, connectivity, and training 250,000+ people are deploying AI serving millions of farmers, improving TB diagnosis, and personalizing education. The uncomfortable truth: Every dollar on premature regulation is a dollar NOT connecting rural communities to the internet. NOT training African AI developers. NOT building data centers, keeping our data on our continent. Rwanda gets it. Kenya's learning. Too many copy European playbooks designed for $17 trillion economies with centuries of institutional development. We don't have centuries. We don't even have decades. While we debate governance, Chinese firms sign 15-year infrastructure deals. While we craft principles, American tech giants extract our data. While we establish councils that never meet, our brightest researchers board Silicon Valley flights. 70,000 skilled Africans leave annually. We train them. Others profit. I propose "adaptive implementation pathways", three phases: Foundation first (electricity, connectivity). Capability second (universities, startups). Sophisticated governance, third (when you can actually implement it). Not sexy. Won't photograph well at summits. Might actually work. The stakes? Either Africa becomes an active contributor to AI technologies that reflect our values and solve our problems, or we become the world's largest data mine. Extracting value. Receiving dependency. We're choosing the wrong path. Full research paper in comments with 18 months of data across 55 countries. The question isn't whether Africa can build sophisticated AI governance. It's whether we can build foundations that make governance meaningful. Right now? No. But it doesn't have to stay that way. Link to publication: http://bit.ly/4pUtC1N #AfricanAI #TechnologyPolicy #DataSovereignty

Economic competitiveness or technological sovereignty? That is the question the European Commission is facing. And it is high time to acknowledge that there are important trade-offs to be considered. The erratic behavior of the second Trump administration is giving a new impulse to the EU's strategic autonomy agenda, even though its main advocate within the bloc, France, has been weakened by domestic political instability, and its main cheerleader in Brussels, Thierry Breton, has left the scene. Meanwhile, the EU's new digital chief, Henna Virkkunen, has 'tech sovereignty' in her job title but comes from a political culture that is light years away from the French dirigiste approach. How will this Commission interpret the key concept of technological sovereignty then? A first testbed for that might come from the EU executive's approach to the cloud sector. Learning from past mistakes (i.e. EUCS), the Commission seems to be moving toward a more pragmatic approach targeted to strategic sectors via public procurement. Still, plenty of questions remain. What is 'strategic'? The reply changes depending on whom you ask. Will the public procurement rules only affect public bodies, or also the companies working with the public sector? And what about their subcontractors? Where do you draw the line? In a world where decades-long certainties seem to be vanishing in a matter of days, the most obvious starting point for the EU's renovated push to phase out from US dependencies seems to be the defense sector. Many technological innovations like the Internet were first developed in the military domain, so pouring money into European defense companies might also have important spill-over effects in terms of civilian applications. Still, will subsidizing European companies with lucrative defense contracts prove enough for the EU to catch up in a tech race that sees an increasing decoupling of value chains? Or will more and more 'strategic' sectors be asked to use more costly and less performative European providers in the hope that they will improve over time? To a greater or lesser extent, the EU's bid toward technological sovereignty will harm its ambition to regain economic competitiveness. But in a world where tectonic plates are shifting, the only certainty seems to be that tough choices lie ahead. Or even impossible ones. My full analysis for MLex. https://lnkd.in/e5qhYaSH

The European Commission is laying down an important stepping stone in our path to climate neutrality by 2050. After careful thought and consideration, we are recommending that by 2040, the EU reduces its emissions by 90%, compared to 1990 levels. With our recommendation, we are staying the course of the green transition as agreed by EU leaders, as it will be increasingly important for our global competitiveness. And it comes at a crucial moment. The essence of the debate across many countries is how to decarbonise our economy to achieve climate neutrality, while keeping our businesses globally competitive and creating stable, future-proof, highly-paid jobs in Europe. The risk of deindustrialisation and social tension is very real. For us, Europe's industrial leadership and socially just, inclusive green transition are not only two sides of the same coin, but are imperatives. Therefore, our recommendation for a 90% target is both, in line with the scientific advice, and based on a thorough impact assessment. Importantly, it also reflects that we do not operate in a vacuum. Global competition around low emission technologies is – and will remain – intense, underpinned by assertive, sometimes unfair policies. This requires close collaboration with industry. So, we want what we call an “industry decarbonisation deal” to help create a large domestic market and a strong industrial basis for clean tech. Defining a 2040 climate target should provide certainty and predictability for investment decisions. Because we want to see Europe as a prime destination for investment and a prime source of jobs at all skill levels. We have identified enabling conditions to deliver just that. It starts with the full implementation of the 2030 climate and energy framework. But it also includes more efficient use of public financing to help create a business case for all emerging clean tech, the development of raw materials supply chains, ensuring affordable energy prices, and the development and deployment of the necessary infrastructure. At the same time, we must shore up public trust in the green transition. We do recognise the legitimate concerns of citizens and industry over the costs of the transition, and we will continue supporting them through our policy and regulatory measures as well as funding instruments. We are holding a series of clean transition dialogues with key industrial sectors, a strategic dialogue with farmers, and are seeking to expand and intensify outreach to citizens. Following the two dialogues with hydrogen and energy intensive industries, we will soon hold additional ones on critical raw materials, clean tech, mobility, infrastructure, and forestry. This outreach – and received input – will help the next Commission prepare legislative proposals for the policy framework beyond 2030 and deliver on the 2040 target, once agreed by the Member States and the new European Parliament in a fair and cost-efficient manner. #EUGreenDeal

One year after the Draghi Report, we took stock with President Ursula von der Leyen, Mario Draghi, and key stakeholders. My message is simple: Draghi’s priorities remain Europe’s priorities. And in today’s more competitive and uncertain world, they are more urgent than ever. We have started to deliver. But Europe must move faster, with greater ambition and impact. The Commission will play its role—and I will push forward on tech sovereignty, security, and defence. That means accelerating our leadership in AI, quantum technologies, semiconductors, and cybersecurity. But this cannot be done by Brussels alone. We need Member States, political forces, and business to act together. And we must break taboos: mobilise equity, invest boldly in European tech and strategic projects, and give Europe the tools to win.

Yesterday President Ursula von der Leyen unveiled her new team of Commissioners to help Europe navigate through the next five years of global challenges. It is now clear that the new Commission setup reflects a strong emphasis on prioritizing the EU's industrial competitiveness in the upcoming mandate. A shared responsibility on the #CleanIndustrialDeal among some of the new Commissioners is also an indicator of the need to strengthen our co-ordination for common European objectives and drive green growth to the next level. The mission letter addressed to the proposed Commissioner for #Energy and Housing, Dan Jorgensen, is firmly centered around #grids and #electrification to power Europe’s industrial transition. And alongside this, I think in climate action Wopke Hoekstra could successfully keep bringing his pragmatic approach to the decarbonisation issues. I’m also pleased that there will be a new responsibility dedicated to implementation and to the reduction of administrative and reporting burden with the aim of “making Europe simpler and faster.” I hope this is the right time! Finally, the portfolio for Financial Services and Savings and Investments Union will be key to unlocking the financing needed for the green and digital transitions and build up a real Capital Markets Union. This is a time to #deliver. Instead of kick-starting lengthy discussions and reopening legislative files, the EU should concentrate its efforts on a few issues that are crucial for its own future. Let's seize the opportunity to leverage Europe’s spirit of innovation, as part of a comprehensive growth strategy for our economy. Let’s get on with it!     

Six strategic challenges the EU must overcome for a sovereign, credible and climate-resilient Europe: 1. Strategic industrial power Europe must take responsibility for building its clean future. Only a shared Clean Industrial Deal can secure the technologies and capacity we need to compete and decarbonize. ➡️ "What European Security Requires" - Project Syndicate: https://lnkd.in/dBAuRHXE 2. Autonomous climate diplomacy Europe must lessen its dependence on transatlantic alignment. We need a green diplomacy, rooted in climate justice and the green economy to protect our interests in a fragmented world. ➡️ "Europe Needs a Green Foreign Policy" - Project Syndicate: https://lnkd.in/dTsHDy_R 3. Resilient energy systems True energy security lies in renewables — not gas imports from belligerent neighbours or  hurricane-prone regions. We’re on the right path. Let’s not derail it. ➡️ My post: https://lnkd.in/dZCwMtqC 4. Credible global leadership Europe must lead — with or without the United States. As we approach COP30, backtracking would cost us a credibility we cannot afford to lose. ➡️ "COP29: Europe must step up" - Le Monde: https://lnkd.in/dy7rH6KK 5. Renewed multilateralism With Luiz Awazu Pereira da Silva, we wrote that today’s geopolitical fractures are a chance to rebuild multilateralism — starting with climate cooperation, not fossil geopolitics. ➡️"A new multilateralism?" - Le Monde : https://lnkd.in/dx_sXqNA 6. Political clarity on competitiveness With Jean Pisani-Ferry and Simone Tagliapietra, we made it clear: weakening the Green Deal undermines Europe’s long-term strength. ➡️ "EU must propel global climate momentum" (POLITICO Europe) : https://lnkd.in/d2rppniB These six points form a roadmap for a future where the EU embraces the transition with justice, realism and resolve. Let’s follow through. — Over the summer, I’m sharing a few pieces I’ve written in recent months — reflections on climate politics and how we keep moving forward, even in difficult times. Feel free to contribute and share. Thank you to all who stay engaged during the summer. Let’s reconnect in September.

The European Commission has set the right direction by putting competitiveness at the heart of its agenda — affordable energy is a key element of it. With the unveiling of the Clean Industrial Deal (CID) yesterday, we are beginning to see promises being transformed into actionable steps. Now, we need to see more bold steps. Central to the CID is the ‘Affordable Energy Action Plan’, which aims to reduce energy prices by accelerating investments in renewable energy, expanding grid infrastructure in a cost-effective manner, and enhancing both supply and demand-side flexibility. It rightly addresses the systemic challenges in the energy system and seeks to strengthen the EU internal energy market. However, the Commission could have taken more substantial steps to strengthen a truly integrated EU internal energy market to foster long-term security and affordability. But positively, the Action Plan does not rush to abandon the proven and working elements of the system, such as the electricity market's price formation and financial market regulations for derivatives. Hasty interventions would not have neither addressed the root causes of the energy crisis nor the underlying drivers of energy costs. Now is the time for the Commission, the European Parliament, and the Council of the EU to act decisively on these announcements, ensuring that regulations bolster Europe's competitiveness rather than diminish it. The EU Emissions Trading System (EU ETS) should serve as a benchmark for all initiatives: it is targeted, cost-efficient, and market oriented. Where the EU ETS is applicable, there is no need for intricate regulations such as the overly prescriptive criteria defining green hydrogen or the upcoming definition of green batteries, which unnecessarily increase costs without reducing any additional tonnes of CO2. The Commission should also assertively speed up its decisions concerning capacity renumeration mechanisms and decarbonisation measures, ensuring that Member States' proposals receive approval within six months after the start of the discussion. This is essential for the success of the energy transition. And finally, we must make progress reducing overregulation and bureaucracy. The reduction of Corporate Sustainability Reporting Directive and Supply Chain Act obligations is a positive first step. But the reductions must go further and apply to all companies, not just the small ones. The prosperity of the EU, along with its competitiveness and attractiveness compared to other global markets, will depend on prioritising cost efficiency and pragmatism. I am optimistic that we can turn things around if bold action follows.

Strategy used to be about the long game. We’d step back, zoom out, and ask: What does impact look like in 3-5 years? But the world changed—and fast. Now, many leaders are facing the “right now” world. Agility isn’t a luxury; it’s survival. ☑ Post-COVID business model pivots ☑ Global unrest, inflation, and political instability ☑ Tech clients demanding speed and adaptability So how do strategy and measurement professionals stay relevant? Here’s what we’re seeing work: ☑ Culturally: treat strategy as a skill, not a schedule. ↳ Strategy isn’t an annual retreat—it’s daily thinking. ↳ Align short-term sprints with long-term outcomes. ☑ Structurally: empower teams, not just execs, with measurement. ↳ Teach every manager how to track and adapt. ↳ Reporting shouldn’t be locked in a quarterly PowerPoint. ☑ Process-wise: iterate, review, adapt. ↳ The Balanced Scorecard Institute MPRA model (Measure-Perform-Review-Adapt) was built for this. ↳ Don’t set KPI targets and forget them. Review. Learn. Reforecast. Key mindset shifts: ↳Strategy ≠ static plan. It’s a continuous practice. ↳Measurement ≠ report card. It’s a steering wheel. ↳Adaptation ≠ failure. It’s proof your system is working. The best organisations are learning faster than their environment is changing. That’s the real edge. Is your team still measuring like it’s 2015? P.S. If you like content like this, please follow me.

Europe in search of autonomy Could we imagine, in Europe, that it would be easier to send an employee to work in another EU country than to send them to the United States or Taiwan? This is not the case today, but this is the challenge posed to Stéphane Séjourné, Vice-President of the European Commission. Multiple examples of hidden costs penalize the EU. Such constraints limit the ability to venture into new European markets, curb market opportunities, reduce innovation potential, penalize competition, and ultimately limit growth. This situation is not effective, and the objective of the recent report "Single Market Strategy" published by the Commission on May 21 is to propose measures to remedy it. The observation on the barriers between European countries is not recent. Robert J. Gordon spoke of the political tensions that, in the 19th century, encouraged production to be exported to the rest of the world rather than fueling organic growth in Europe. More recently, the IMF indicated that non-tariff barriers acted like customs duties to the tune of 45% in the manufacturing sector and 110% in services. The observation of these hidden costs is old, but the Letta report, published in April 2024, brought it to the forefront. Europe needs to find ways to achieve greater autonomy in a world that is now more heterogeneous. On Thursday, June 26, the 27 EU leaders will meet in Brussels to validate an autonomy strategy, including the emphasis placed on deepening the internal market. The European Union has four building blocks to address the changing balance of the world. The first is the one mentioned here concerning the ability to develop a more integrated European market, comparable in size to that of the United States. Such a situation would allow considerable economies of scale and therefore the ability to have the means to invest and innovate. The second building block is the need to innovate in order to regain reassuring technological autonomy and mitigate dependence on the United States and China. The Draghi report addresses this issue and the need for massive investment. The idea of the report is also to invest in renewable energy to gain energy autonomy, a weak point in Europe. The third building block is the military dimension that the Union must take on over the coming years. To gain autonomy, Europe must also be capable of defending itself. The fourth building block is the Capital Markets Union, now called the Savings and Investment Union. Greater homogeneity in European financial markets, driven by European, rather than national, assets, should help maintain the excess savings it has in Europe. The four building blocks are complementary and essential to Europe's success. Let's start with the integration of the internal market.