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A Business Model That Really Succeeds at Warfare

Mercenary soldiers have been used by nationof an undisciplined, but brutal force
states since Biblical times. The Romans usedestimated between 50,000 and 60,000
Goth mercenaries to fight Hannibal and hisrebels.The mercenary's depended on speed,
Carthaginian army. The English used Celticsurprise, coordinated tactics and logistics.
warriors to defend them against the Vikings.The rebels depended on superior numbers and
The British used Hessians during thefirepower. The contest was, well, no contest.
Revolutionary War here in the United States.In a matter of days the rebels had been
Mercenaries have enjoyed a very mixedremoved from the capital, flushed into the
reputation as long as government entitiesjungle and slaughtered by concealed fire
have utilized this soldier-for-hireteams and snipers.The United States had
service.The most successful use of asuffered an embarrassing defeat in a similar
mercenary army almost certainly must be thesituation in Somalia a year before the events
late 20th century prowess displayed by ain Sierra Leone. The unbelievable success of
company named Executive Outcomes. In strifeExecutive Outcomes was an eye opener to
torn countries all over Africa governmentsmilitary planners, governments and
and multi-national corporations hired thehumanitarian groups all over the world. It
firm to protect assets such as oil fields andwas an embarrassment for them. As the
diamond mines while slaughter raged aroundmercenary army secured Sierra Leone, the
them. Ethiopia, Uganda, Zambia, Sierra Leone,violence ebbed and food and medical care
Namibia, Botswana and Angola are only some ofre-entered the country. The unpopular truth
the countries that deployed Executivewas that Executive Outcomes, 300 strong army,
Outcomes. Chevron, DeBeers, Rio Tinto/Zinchad performed a feat that no government
and Texaco are just the tip of the companiescould, or would undertake.Here is where the
that hired the company to protect valuablestory takes a sad, almost perverted turn.
producing assets.The name Executive OutcomesWithin 18 months of stabilizing the country
would seem to indicate that this mercenaryof Sierra Leone, the government, under severe
army provided more than just bullets andinternational pressure asked the Executive
soldiers for contract hire, and they did. TheOutcomes forces to leave. They did, and
firm acted as advisors to governments,within a few weeks the rebels regrouped and
provided deep background checks oninfiltrated the cities anew.In addition, at
prospective employees, wrote software,this time the genocide in Rwanda was
provided training at their company ownedbeginning to receive international news
schools and controlled over 30 legitimatecoverage. Executive Outcomes presented the
businesses. However, it was as mercenariesCIA, United Nations and the French government
that Executive Outcomes dazzled.The companya business plan offering to enter Rwanda and
consisted principally of former South Africanstop the slaughter. Amazingly, all said no
Special Forces, sprinkled with a few British,and the issue was kept Top Secret. No
Scot, Irish and Americans soldiers ofgovernment took action as over 800,000
fortune.The speed and lethality of theRwandan's were butchered in a televised
Executive Outcomes operations becameethnic cleansing.In 1999 the government of
legendary, striking fear into their opponentsSouth Africa outlawed mercenary activities,
and admiration from such interested partieseffectively putting Executive Outcomes out of
as the CIA, Hamas, the Israeli Mossad andaction. The embarrassment that the company
Russian  KGB.had laid at the doorstep of weak, vacillating
governments was too much for them to bear.
Executive Outcomes offered a turnkey serviceRather than utilize and manage Executive
customized to each geopolitical and corporateOutcomes as a tool to minimize and snuff out
need. If a refinery needed protection fromrogues everywhere, the United Nations
revolutionaries it was done, and corporatepreferred to serve up sanctimonious blather
assets contracted for protection to thewhile a country was raped, pillaged and
company were never lost. If a town or citymurdered.I wish we lived in a perfect world,
needed liberation, this would be accomplishedor a sane one. We don't. I wish there were no
with unbridled speed, tactics andneed for a mercenary army to exist anywhere.
firepower.The company's most famous, andExecutive Outcomes proved, however, that such
public, success was in Sierra Leone. A brutala force, when utilized by the good guys would
civil war had turned the country into anbe a force for good.Executive Outcomes is the
otherworldly zone of death, inhumanemilitary equivalent of an organization like
slaughter, rape, torture and hate. Young boysthe consulting firm McKinsey & Co. The
were armed to the teeth and took immenseExecutive Outcomes disruptive innovation was
pleasure in killing children, the disabled,to negotiate contracts with governments and
puppies and each other.Sierra Leone has oneinternational organizations, provide swift,
of the world's largest deposits of diamondsclear decisive outcomes, minimize loss of
and the rebels were constantly attacking thelife, stabilizing territory and providing an
mines. The Sierra Leone government and theopportunity for peace. The company should
United Nations, feared that if the rebelshave been lauded, not derided by cowardly,
seized control of the diamond mines theyinsipid bureaucrats and politicians. The
would be able to use conflict diamonds tocompany was a classic example of an
further fund their madness. The rules ofentrepreneurial success, solving problems and
engagement and the fees paid to Executiveproviding needed benefits.Geoff Ficke has
Outcomes were never publicly revealed. It wasbeen a serial entrepreneur for almost 50
also never announced, but widely believedyears. As a small boy, earning his spending
that the company was hired and paid by themoney doing odd jobs in the neighborhood, he
United Nations.The United Nations had placedlearned the value of selling himself,
four thousand peacekeeping troops in Sierraoffering service and value for money.After
Leone. They had suffered a number ofputting himself through the University of
embarrassing losses, and predictably wereKentucky (B.A. Broadcast Journalism, 1969)
unable to stop, or even slightly slow theand serving in the United States Marine Corp,
rebels. The decision to engage ExecutiveMr. Ficke commenced a career in the cosmetic
Outcomes was a painful one for theindustry. After rising to National Sales
international community. Diplomacy wouldManager for Vidal Sassoon Hair Care at age
never work. Starvation was rampant. The28, he then launched a number of ventures,
potential for the fighting to spread toincluding Rubigo Cosmetics, Parfums Pierre
Nigeria and other countries was imminent. TheWulff Paris, Le Bain Couture and Fashion
thought that a private-company could settleFragrance.Mr. Ficke and his consulting firm,
the situation, and quickly, was a bitter pillDuquesa Marketing, Inc. ( has assisted
for the diplomatic community.Executivebusinesses large and small, domestic and
Outcomes assembled a team of 300 professionalinternational, entrepreneurs, inventors and
mercenaries. If they were a baseball team,students in new product development, capital
the equivalent would have been a team of 300formation, licensing, marketing, sales and
Albert Pujols or Mickey Mantles. These guysbusiness plans and successful implementation
were good, the best fighters in the world.of his customized strategies. He is a Senior
Each had extensive experience in multipleFellow at the Page Center for Entrepreneurial
nasty wars, from Angola to East Timor, andStudies, Business School, Miami University,
many more. They faced a rebel army consistingOxford, Ohio.



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