Executive coach Jeremy Kourdi shares insight on how Jack Ma of Alibaba’s management style can be replicated.

The New Economy: Jack Ma, of course, is the face of one of the only true-blue Chinese global brands that are out there today. Can you tell me, what is the single most important management trait that he possesses?
Jeremy Kourdi: He’s a man of great vision, I would say. I love the story of him getting 18 of his friends together in his apartment, talking with them for two hours about his vision. So many executive are told it’s got to be a one-pager, it’s got to be three bullet points. His vision was flowing out of him for two hours. In the end, he got the money he needed to start Alibaba, I think that’s a great story, that says a lot about his vision.

It also makes me think actually of his openness. He’s just a very open individual. I’m reading online that he never made a sale to a customer, he discovered his first computer when he was 33 years old.

[H]e has organised his company to deliver value for customers

The New Economy: That level of humility could also be used strategically, he could be doing that to convey a certain amount of authenticity that separates him from the rest. So what is it about Jack Ma that, in a room, he can pitch you a dream and people come around him?
Jeremy Kourdi: I think he focuses on the essentials of business success. So he has organised his company to deliver value for customers. That’s really really important. It’s important in every statement I read about him. It’s important if you speak to people in his company, so that value really really matters.

Being innovative, innovating and taking this business into an area that’s under-served or poorly served, and doing it in a way that connects with people. Delivering value, innovation, and then connecting with people, building relationships. I think he does that internally with his people, I think he does it externally with his, how many is it now, 79 million members that Alibaba have worldwide.

The New Economy: Diversification is key to any company’s long-term growth, you can go from maybe a million to endless millions, right? So how does another executive learn form Alibaba in how to create complimentary ventures? I’m sure you’ve had to coach some of your executives on this issue.
Jeremy Kourdi: We have, and it’s a risky area I would haver to say. The words of Tom Peters always come to mind, which are “stick to the knitting,” stick to what you do.

I think technology enables us to understand what we do, and to look at the core of the company, what are the capabilities that we have, what are the skills our people have, what other technology we have, what are the needs that our customers have, the market opportunities. And, crucially, ask what can we grow out of that?

So all of those resources, latent within our organisation, what else can we do to better serve our customers?

The New Economy: Let’s say that a company has diversified, and there is some sort of reputational fallout from a bad decision made by one person, a company error of some sort that brings about negative publicity. How would you suggest or advise a company, then, to be able to navigate its way out of those murky waters?
Jeremy Koudi: It’s a great question isn’t it. Rule zero though, is your company will at some point be in murky waters. It’s not a guess, I’m not suggesting there’s a probability there, I’m saying it’s 100 percent certain. Every company, in the course of the life of a successful company, probably every executive, will find themselves in murky waters at some time.

Rule zero is you build those connections before you get into trouble. That has to be the most important thing, it’s often overlooked. If you’re a chief exec and you’re not doing that now, when the sun is shining and times are good, then you’re making a mistake.

The New Economy: OK, Jeremy Kourdi, thank you so much for joining me today.
Jeremy Kourdi: Thank you.