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What
makes New York work?
New York works, turning
seeming confusion into
a fairly well run city
thanks to the enthusiasm
and the dedication
and conviction of so
many leaders here in
our city. They have
a common purpose--and
that's to keep New
York City a world capital.
You can see how this
plays out in the different
key New York industries--real
estate, banking and
finance, the arts,
and leisure. In each
sector, somebody rises
to the top and leads
the group toward excellence.
When they work together,
New York works. When
they haven't worked
together, New York
has run into crisis.
How
would you define influence
and power?
Influence and power
really rest on the ability
of an individual, or
a group, to make a difference,
to affect policy--and
to bring about change.
Would
you say that, on a
per-capita basis,
that New York has more "powerful
people of influence" than
any other city?
New York has one of
the most powerful groupings
of people internationally,
for several reasons.
First, it's an international
city. Secondly, it's
the media capital of
the world so that anybody
can magnify his or her--or
their organization's--position
to achieve a level of
intense media coverage
that you won't have access
to in a small city. We're
the financial capital
of the world. And on
account of that, all
of the financial news
flows out from here worldwide.
We're the cultural capital.
From that status too,
you generate enormous
coverage. So the advantage
that a person of power
or influence has in New
York certainly is the
advantage of massive
potential media exposure.
And the media exposure
is global now. It wasn't
always that way. Anything
here travels worldwide
instantaneously.
Is there a special New
York characteristic to
wielding the levers of
power?
New Yorkers are always
thought to be more aggressive
than individuals in many
other cities internationally
and here in the United
States. Very focused.
Very purposeful. Willing
to deal with people of
all cultures because
that's what we are here--from
all races, and creeds,
and cultures. So New
Yorkers might have a
broader vantage point
on the wielding of power,
a global view, and that
in itself is empowering.
After Sept. 11, is there
more of a consciousness
brought of the power
of the city and its vulnerability?
Certainly, for the first
time, I think, we realized
how vulnerable we are.
But something else surfaced.
Our strength. And our
dedication to the cause
of making New York come
back. People from all
walks of life, every
economic level, rose
to the challenge that
the terrorists gave us.
And together, really
together, we have been
working to resurrect
New York psychologically,
economically and spiritually.
The first day people
looked at the event as
a terrible calamity,
which it was and is.
The second day, and thereafter,
we rose with courage
to fight back. I think
America and the world
realized that. The outpouring
of affection for New
York, and support for
New York, was unmatched.
I've never seen that
before. And it's unfortunate
that such a massive tragedy
was the occasion to throw
the magnifying glass
on our strength, strength
that we always had.
When you look at your
own career, and your
own style, what has placed
you in that unique position
where you wield formidable
influence yourself and
yet are personally modest
about your accomplishments?
I
guess it started with
my parents. They always
lectured me to be modest-
and to never take apparent
success as something
that you should boast
about. So whatever measure
of success I've had,
I try not to project
it or boast about it.
I think boasting is improper.
People trust me, I guess,
after all these years.
I have a credo. And that
credo is that you have
to base everything you
do on integrity. You
have to ask yourself: "What's
the right thing to do?" Then
you have to have a basic
knowledge of the functioning
of government, the functioning
of our city and of our
economy. You must have
that.
But there has to be
something more than just
knowledge of the city
and its communities?
Yes--and that's a love
for the city. I love
the city. I've spent
all of my days here in
New York and so I'm dedicated
to it. And I think people
understand that after
many years of dealing
with me. I also believe
that you have to have
creativity. You can't
just accept everything
around you without adding
something new, or something
dynamic to the mix. And
I try to do that. You
have to be loyal. If
you are a will-o'-the-wisp
on loyalty, people will
not trust you. And I
draw the line. I will
remain loyal to a person
who is honorable--and
who has either worked
with me or helped me
in some way. I will return
that loyalty. Some people
don't. You also should
be collegial. I really
don't function on the
negative side of the
street. I don't attack
people. I don't smear
people. I'm not anxious
to hurt people and I
don't. I'll defend somebody
in a crisis, but I won't
hurt somebody during
that defense. I avoid
the negative aspects
of public relations.
What about when people
attack you?
I avoid personal vendettas,
or vindictiveness. If
somebody says something
concerning either my
clients or myself that
is personal in nature,
I'll first decide whether
it's something I want
to respond to. If I do
answer, I'll answer factually.
I will let my reputation
speak for itself. I've
found that that has proven
of value to me. I won't
resort to negative tactics
and retaliation because
someone else is negative.
I just won't do that.
And yet, success couldn't
only be obtained by just
being the nice guy in
a hard-knuckled city
like New York?
Sure this is a hard-knuckle
city--and when I need
it I have steel in my
spine. And I can stand
up, and do stand up,
for a client under attack.
But that doesn't mean
you have to be personally
vindictive. That means
you have to be aggressive
in telling a positive
story for your client.
I will take on any tough
challenge knowing that
if I tell the truth,
and if the client projects
the truth, we have a
really good chance of
winning. Yes, this is
a tough city and to make
it here you have to be
persistent, you have
to be strong-willed,
but you have to be honest.
If you are not honest
in New York, because
of the scrutiny afforded
or given by media, you
won't last a long time.
The person who treads
on the line of integrity--but
on the wrong side of
the line--sooner or later
is exposed. You can't
afford that. It's good
business to be honest.
What is New York?
New
York is a mosaic. It's
a mosaic that forms
a wonderful pattern if
you stand back and look
at the texture of it,
the color of it, the
motion of it. So what's
happened in recent years--after
Crown Heights, after
the riots in our streets
during the John Lindsay
administration, somehow
people of goodwill have
come together and said: "Let's
talk and let's try to
work it out and let's
try to avoid those conflicts." So
today you find that the
Asian community is seeking
to be integrated here
far more than they've
ever been. The African
American community, the
Hispanic community--there's
dozens of communities
that now, for the first
time--just in the last
10 years--have been seeking
out other communities
and saying, "We're
Americans and we're New
Yorkers and what can
we do together?" There
are dramatic changes
in attitude here and
it's working. It's a
far better town today
than it was in my early
days in business. Back
then people were suspicious
of each other. When minorities
would move into the community,
they'd say, "Oh
my God, they're going
to burn the place down.
They're going to lower
our property values." Quite
the contrary, the minorities
here have purchasing
power, they supply our
labor force, they're
brilliant students, and
they do everything to
generate an exciting
New York. And that's
the reason for our success:
We welcome diversity,
we don't challenge diversity.
That's what I love about
the city.
What is your recipe
for dealing with foreign
clients?
First,
you really have to
understand the nuances
of the foreign client's
problems. We're active
in the UK and in Russia.
And we've been very active
in South America and
China. Also, Germany--we've
had clients all over
the world. And since
globalization has started
to take hold, there's
a unifying thread of
communications that exist.
The most traditionally
isolated countries, like
China, are not isolated
any more. The first step
is to study the problem
that a client has, both
in their own country
and in the international
arena. You need to spend
time with the client.
I find that most of our
foreign clients are interested
in the US-based media.
They know that if they
can tell their story
here it will travel worldwide.
You have to be sensitive
to their needs but also
sensitive to the US media's
need for independence,
the devotion to freedom
of speech. A few years
ago the People's Republic
of China retained us
to do a cultural exhibit
promotion and help arrange
it at the Javits Center.
It was enormously successful
in their minds because
not only did Chinese-Americans
visit, but tens of thousands
of others came and "discovered" China.
Chinese officials were
willing to answer some
very difficult questions
at the news conferences
that we ran. And I found
that very refreshing.
Is there a New York
style that you bring
to international communications
that is getting to be
very clearly perceived
as such?
Some people don't think
my style is a New York
style. Some people think
the New York style is
brashness, aggressiveness,
loud-mouthed. But there
also is a New York style
of being conciliatory,
understanding, soft-spoken
with a strong will to
accomplish a goal without
sacrificing ethical standards.
That's my New York style.
But when you read stories
about New Yorkers pushing
people away from taxicabs
and jumping in, or jumping
lines and getting in
front of people, or screaming
at ball games or doing
things that might not
seem so gentle, that's
also New York. New York
is tough. And New York
is an aggressive place.
But I think to succeed
in New York you really
also should have a sensibility
about respecting other
people. If you don't
respect other people,
the fabric that makes
up New York society would
break apart. I bring
that sense of people
working together to the
table when I'm trying
to negotiate or deal
with conflicting personalities
and issues. There usually
is a common ground that
the worst of enemies
can seek out, probably
after they've damaged
themselves in some way.
That's what I try and
help them do--seek out
the middle ground.
What will it take for
New York to continue
to be the corporate capital
of the world?
I
think we have to project
a sense of safety for
New York's corporations
and international corporations
for them to want to settle
in New York and stay
here. Former Mayor Giuliani
did a remarkable job
in creating a safe environment.
It was pervasive. And
Mayor Bloomberg is doing
the same thing. Now,
he's already started
on quality-of-life issues.
I think that's essential.
Secondly, we have to
welcome talent here.
We have to let it be
known that New York encourages
talent from our universities
and from other places.
We have to look at the
available housing and
the available office
space and be able to
show that it's affordable.
If we price ourselves
out of the marketplace,
the corporations will
look to surrounding states--and
perhaps, with technology
the way it is, they might
not even come to the
Northeast. They can be
anywhere. We have to
minimize our taxation.
We have to look at taxation
and not try to solve
our economic problems
by raising taxes. I think
that will be essential.
I think the city has
to openly support businesses
here. Give them incentives
to come and stay. Mayor
Bloomberg must sustain
an environment that says, "Come
to New York, we'll help
you." They're already
saying, "We're open
for business," but
it has to go beyond that.
They have to say we're
going to improve--everything
from our public education
system to transportation
to housing. And we must
welcome new ideas, new
people, and continue
to encourage diversity.
What about New York
as the media capital
of the world?
We must make sure we
don't lose our media
base--it's really going
to be important that
we encourage major media
entities to stay here
and expand. Some of the
media companies have
moved some of their employees
out of New York. I think
we have to pay attention
to that. And I think
the city and state together
have to give incentives
to media to stay here.
We can't be discouraged.
We can't wring our hands
and beg for help from
the federal government
and other sources. We
have to present factual
arguments if we seek
financial help. Corporations
want our city to be run
as a business. And I
am quite convinced that
Mayor Bloomberg will
run it as a business
with a human heart, with
a human concern.
If Mayor Bloomberg asked
you to create an international
campaign to get international
cooperation in this time
of globalization, what
would be your advice?
I
think that the new
mayor needs to cope
with
our fiscal crisis. We're
heading into a massive
deficit--he's got to
explain that both locally
and internationally.
He's got to make clear
that here's a city that
can fight back and triumph.
Once that is in hand,
I would have the mayor
travel to the major media
centers of the world
over the course of his
four--perhaps eight-
years, taking with him
business leaders. Perhaps
taking the governor with
him. And I would do a
road show, like any business
that's going public might
do. And I would sell
the idea that New York
wants you and here's
what we offer. Sure,
they know we're here.
But we have to tell them
we're here and show them
why we could be of value
to them. I would schedule
such trips perhaps three
times a year and suggest
that Mayor Bloomberg
charter a large plane,
put 20 or 30 of the people
on it who have enormously
powerful names--the Rockefellers,
the Tishmans, the Tisches
and the Speyers and people
from Crain's and people
from Wall Street--and
do a global business
tour. In each place,
in each location, the
group would meet the
mayor, meet the governor,
and throw the welcome
mat out without being
threatening to them.
I would spend a great
deal of time going through
Western Europe. I would
go across the world seeking
to attract businesses
to do their business
here. The slogan can't
just be "I Love
New York." It might
be "I Need New York."
What's your advice to
corporations regarding
good corporate governance
and social consciousness?
Good corporate governance
and social consciousness
are not vague issues
or meaningless words
that a corporation can
hold up as a fig leaf.
My advice to corporations
is to make their sense
of responsibility real.
To make it part of their
environment. I think
it's important for a
corporation to dedicate
itself to excellence
in service and in the
quality of the products
they turn out. Too often
you'll see a company
try to shortcut. Maximize
products through minimizing
the service. I think
they ought to go in the
other direction now.
I think they ought to
try to hold down the
expense of their service
and try to provide the
best possible product.
I also think the corporations
ought to provide active
and proactive leadership
in supporting their community.
They should encourage
their executives and
workers to be active
in their own communities
at every level. Maybe
at the school board level.
Maybe on a citywide level.
Maybe through a big charity.
If they make that sense
of responsibility part
of the corporate culture,
that helps the corporation
as well as the community.
What about within the
corporation itself?
I
think they have to
send the message of
unyielding
ethics out to all the
people working for them.
Too often somebody down
the pecking order of
a corporation will think, "Well,
if I'm successful by
manipulating my financial
statements . "--you
see that with some major
corporations facing difficulty
now. They think that's
what top management desires.
Top management has to
send the message: We're
drawing a line in the
sand with unyielding
ethics--and don't you
cross that line. That
will help the corporation.
That doesn't hinder a
corporation. I think
corporations have to
show respect for their
employees at every level.
Too often they treat
the entry-level employees
or the secretarial and
mailroom people with
a lack of respect. I
think the same respect
you give to the boss
you ought to give to
every employee in your
organization.
What about communications?
I
think they have to
spend time on communicating
their ideas to the publics
they deal with, to the
employees, to all their
audiences. Don't bring
down the Venetian blinds
and say, "Nobody
should look in." I
think visibility, transparency,
is important now in today's
environment. Integrity--fiscal
integrity--is a very
great part of that. I
think they should motivate
their staff with their
vision. They should promote
their vision to the people
working for them and
analyzing them, saying, "Well,
here's the vision of
where we want to be five
years from now. Ten years
from now. Here's what
we want to be in our
community. Here's what
we want to be globally." Then
they have a goal. Not
just making money. Making
money shouldn't be the
only goal or the prime
goal.
Will such a strategy
enable corporations to
make more money?
What I've found with
corporations is, if they
follow some of these
things aggressively and
intelligently, they will
make money. If they see
the changes in the marketplace
and roll with those changes,
they will make money.
They just can't be rigid
in their approach to
those problems. They
have to demonstrate their
willingness to grow,
to change and anticipate
the future. If they don't
do that, I think many
of them will be outmoded
and you'll see they'll
be acquired and shut
down. Certainly in my
field you've seen that.
You really have to change.
In advertising you've
seen that. In the conglomeration
of media companies, you
see that all time. So,
you must ask what's the
right thing to do and
then you must do it.
Media, as you grow, will
watch what you do and
report on what you do,
good or bad. Largely
the bad. If you do something
that's inappropriate
and you're on the rise
and important in the
community, that activity
will be exposed.
How should corporations
be dealing with those
who feel that globalization
has simply left too many
people behind?
Corporations
have to recognize that
globalization,
to some extent, has left
some people behind. However,
it's a great opportunity
to raise the standards
of living all over the
world. It's a great opportunity
for a bigger marketplace
to be created. The free
flow of ideas and products
globally in the long
run, and in the short
run too, will bring jobs,
will bring money, will
bring education, will
bring enthusiasm, will
bring health. Putting
up barriers is really
a throwback to economic
isolationism, which can't
work. I don't think there's
a choice. I think people
who fight globalization
are fighting a losing
battle and they should,
instead, try to come
into the corporations
and say, "Well,
let's work together and
how can we make the impoverished
nations better off? Let's
do something about it." I
think what we've just
experienced in Afghanistan
and elsewhere highlights
that our country and
other countries will
focus on the poverty
that exists in those
nations--and you're going
to see a desire on the
part of Americans to
help. You're going to
find the desire to provide
jobs. You're going to
find the desire to stimulate
those economies so they'll
be self-sufficient, not
dependent on handouts.
So I'm all for continuing,
in a strong way, the
globalization effort.
How can corporations
use public relations
in a more meaningful
fashion?
Public relations is
more important today
than in any other time
in my years in the field.
And I think corporate
leaders recognize that.
In terms of projecting
the value of globalization,
the corporate leaders
themselves should incorporate
that idea in their speeches,
in their interviews,
in their television appearances,
in the op-ed-page pieces
that they write, in their
meetings with editorial
boards, in their internal
communications. They
should incorporate that
message into all of their
literature, their annual
reports, so that it becomes
a communications mantra
across the board. Our
country will benefit
from it. I think that
the public relations
companies that are global
in reach are playing
a significant role in
advising their corporations.
All of our public relations
companies ought to bring
that up and put it on
the agenda of how to
do it. And it'll work.
What I find is that the
corporate CEOs are listening
more and more to the
advice of public relations
advisers, not following
all of it certainly,
but following a lot of
it. And I'll bet that
if this kind of activity
goes on for a period
of time--and polling
is done with different
publics--you'll discover
a broad awareness of
the value of good public
relations and a desire
to nurture globalization.
What does Howard Rubenstein
believe in?
I believe that you should
not measure yourself
by other people's standards
of success. Set your
own standards. I believe
that you should treat
people with respect in
all of your dealings.
I believe in confidentiality.
I believe that you shouldn't
gossip. You shouldn't
hurt people. I believe
that you should try to
do what's right, based
on honesty. I believe
in a strong work ethic.
I don't think that anybody
can be successful by
accident. Briefly, maybe.
But if someone doesn't
have those ethics their
success won't last. I
believe you should find
work that you enjoy so
that you're not just
doing it for the economic
benefit. I don't think
that's enough of a motive
for most people. And
I believe that you should
value what you do for
a living. Don't be ashamed
of what you do. In the
early days of public
relations, when I started--the
field was relatively
new--I knew PR people
who were ashamed to say
what they did. They were
treated as flacks or
snake-oil salesmen. Public
relations is a wonderful
method of communicating
ideas. It's an excellent
way of changing things
for the better.
How hard is it up at
the top to believe what
you do?
Well,
I don't find it hard
now at all. But
what makes it hard--from
time to time over the
course of these years--is
that clients will sometimes
hold up so-called incentives
to do something that
might be inappropriate.
So if you're inexperienced,
just entering the field
of communications, you
might succumb to greed.
So yes, at the beginning
it's very hard. But after
a while ethics become
ingrained. And I don't
find it hard at all to
say "No" to
something that's inappropriate.
We have almost 200 people
working here--and I've
told every one of them: "If
you have to say no to
something that you deem
inappropriate, unethical,
say no and I'll back
you. Don't cross the
line." And I think
the very successful corporate
leaders that I know and
I work for, and I'm close
to, have the exact same
attitude. They might
be very tough negotiators,
but they're very tough
in hewing a line of integrity.
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