FLASH
Shkruar nga Anders Fogh Rasmussen
Faced with the renewed threat of a militarized autocracy, we must replicate Knudsen's achievements and put our economies on a war footing. This will require action from politicians, industry and trade unions, but also leaders who must reduce endless discussions, red tape and long order delivery times.
Two years after the start of the invasion by Russia, Ukrainian forces are clearly at a disadvantage against the enemy. Russia has a 6 to 1 ammunition advantage along the current front line. If this situation continues, then Vladimir Putin's ambitions will come true.
The imbalance in arms supplies is a major failing of Ukraine's allies in the West. North Korea sent as much artillery ammunition to Russia in one month as the European Union was able to send to Ukraine in a year.
Russia produces 3 million shells a year, while the US and Europe combined are only able to produce 1.2 million shells for Kiev. Despite the great economic power of the democratic world, we are outmatched by an arsenal of autocracies in Russia, Iran and North Korea.
If the Western allies do not immediately increase the supply of arms and ammunition to Ukraine, then the future will be bleak. If Putin does not stop in Ukraine, it will mean decades of instability and conflict in Europe. We need to wake up and be aware of this danger and put our economies on a war footing.
And changing the situation on the battlefield in Ukraine requires making strong political decisions. Thus, the US Congress must approve the currently blocked $60 billion in aid to Ukraine as soon as possible. But on the other hand, such a change of approach also requires strong leadership from the industry.
If we really want to protect freedom and democracy, the CEOs of big companies must rise to today's challenge, just as their predecessors did during World War II. In the late 1930s, Western democracies were woefully unprepared for the threats posed by the autocracies of Germany and Japan, which quickly armed themselves.
This complacency was brutally exposed in May 1940. Nazi forces invaded the Netherlands, Belgium and France, leaving Britain alone in the vital struggle to save democracy in Europe.
In the White House, President Franklin D. Roosevelt recognized that the US urgently needed to increase military production and put the country's economy on a war footing. To do that, he knew he would have to call the office: William S. Knudsen.
Knudsen was the CEO of the giant General Motors, a man with a lot of experience in the car industry and one of the highest paid business executives in the US. Roosevelt charged him with transforming America's industrial production, turning it into what went down in history as the arsenal of democracy. For his efforts, Knudsen would receive the symbolic sum of $1 per year.
Knudsen immediately started work. He drew up lists of weapons and ammunition needed: 50,000 aircraft, 13,000 mortar shells, 33 million artillery shells, 300,000 machine guns with ammunition, 1.3 million rifles with ammunition, and 380 warships. He then traveled around the country to meet with industry leaders, visit factories and sign order contracts. Knudsen realized that speed was crucial. In meetings with company and union leaders, he exerted maximum pressure to increase production.
His message was clear: “ We're here to help you, and all we ask in return is that you work much faster. We need every car running at full speed. We must defeat Hitler ."
Within 5 months, Knudsen managed to sign 920 contracts with about 500 companies. All of American society was mobilized to fight back, and within a year the economy was completely on a war footing. Of course Knudsen's methods were controversial, and his direct communication style often led to clashes with politicians and unions.
But thanks to his network of connections, his understanding of factory conditions and his ability to organize workers and machines, he managed to succeed in that gigantic enterprise. He was crucial in turning the tide against Germany and Japan. And if we could do it once, we can do it again today.
Faced with the renewed threat of a militarized autocracy, we must replicate Knudsen's achievements and put our economies on a war footing. This will require action from politicians, industry and trade unions, but also leaders who must reduce endless discussions, red tape and long order delivery times.
Here are the 5 steps to go in this direction:
First, governments should enter into long-term contracts with the arms industry to ensure that companies have the capital needed to rapidly expand their production capacity.
Secondly , the contracting process should be simplified and shortened. A signed letter of intent should be enough to get the new process up and running quickly, filling in the legal details of the agreements along the way.
Third, we must temporarily relax the rules for tendering defense contracts so that production begins with direct orders to companies that are able to produce and immediately deliver weapons or ammunition.
Fourth, the defense industry should be allowed to invest in new production facilities faster than usual.
Fifth, sovereign wealth funds, as well as private pension and investment funds, should create separate groups for investments in the defense industry. This will attract the private capital needed for the rapid expansion of our defense industries.
We must embrace a new mindset. We need politicians who dare to tell the truth, including the fact that investments in defense and military equipment are an essential element in protecting freedom and peace.
Likewise, we need business and labor leaders prepared to take on responsibilities beyond the interests of their individual companies. So we need a new William S. Knudsen. / Adapted "Pamphlet", taken from "Wall Street Journal".
Note: Anders Fogh Rasmussen was Secretary General of NATO in 2009-2014, and Prime Minister of Denmark in 2001-2009.
Lini një Përgjigje