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# The Global Intelligence Files

On Monday February 27th, 2012, WikiLeaks began publishing The Global Intelligence Files, over five million e-mails from the Texas headquartered "global intelligence" company Stratfor. The e-mails date between July 2004 and late December 2011. They reveal the inner workings of a company that fronts as an intelligence publisher, but provides confidential intelligence services to large corporations, such as Bhopal's Dow Chemical Co., Lockheed Martin, Northrop Grumman, Raytheon and government agencies, including the US Department of Homeland Security, the US Marines and the US Defence Intelligence Agency. The emails show Stratfor's web of informers, pay-off structure, payment laundering techniques and psychological methods.

## Re: Thoughts on Kaplan and Succession Plans

Released on 2012-08-23 12:00 GMT

Email-ID | 401958
Date | 2011-11-13 04:20:20
From | mfriedman@stratfor.com
To | gfriedman@stratfor.com, Don.kuykendall@stratfor.com, shea.morenz@stratfor.com

I have to say I agree with everything George has laid out here. With all
the training of our analysts and as brilliant as many are, they still need
an overarching mentor. Robert Kaplan's knowledge of the world from a
geopolitical point of view can mentor them when George is traveling and
busy with Stratcap and Stratcon etc. I expect George to actually outlast
Kaplan and Judson (his medical tests show he'll likely live to 110!!) but
they will give confidence to our investors and subscribers because we
won't be seen as a one man shop any more. And they'll both make us
wealthier in the long run.
David Judson will be here the week of November 28 (right after
Thanksgiving) by the way so please make sure you have some time that week
to spend with him. We'll be putting together an agenda for his visit.
On 11/12/11 8:15 PM, George Friedman wrote:
Since we four are the principles of this lash-up (when all the bullshit
is put aside), I'd like to explain to you what I am doing, in the wake
of Shea raising reasonable questions on Kaplan. It's important that we
be on the same page. These are not shots from the hip, but an unfolding
attempt at a realistic succession plan that I was asked to create.
Kaplan, and other things I am doing, is my plan for the Strats surving
my death and helping me run the organization while I am bausy outside
the company serving as its public face.
Stratfor has always lived on a shoe string, particularly an intellectual
shoe string. It's been me, Meredith, and a small group of brilliant
young people, recruited, indoctrinated and motivated by me, that
produced the content that was the value of Stratfor. We took many
detours on the way here, from MBD to SRM to Merry. All of these
strained our resources tremendously, and Meredith and/or I bridged the
gap with personal efforts.
There are two problems we are facing. With StratCap and the StratCon
deals, our efforts alone can no longer bridge the gap. Second, even
without StratCap or StratCon, we have been on a perilous tightrope in
terms of personnel. Third, with StratCap, but even with Stratfor
itself, there was a reasonable sense that Stratfor was a one-man show.
That endangers potential partners in StratCap, but it also undermined
the value of Stratfor. Any exit strategy there always bought up my
indispensability to what we are doing. During the negotiations with
Shea, the question of my health, my commitment and so on constantly
arose.
One thing I pledged was to create a succession plan. When I pledge to
do something, I set about doing it. Don knows, and Shea is learning,
that the fact that I am not discussing it doesn't mean it isn't
happening. From my point of view, from all my experience, I have
learned that once intent is established, it's all about execution. We
had established a clear intent: to make the Strats viable even in the
face of my death or kidnapping. Ever since August I have been in the
process of doing this alongside the other tasks I have. I have tried to
align all the things I am doing with this end.
The construction of a succession plan requires the material foundations
for succession, particularly staff. Far more than the two of you, I
have been long aware of the thinness of our staff. Compared to other
publications of our standing, and certainly compared to what we want to
become, our staffing has been laughable, and our organization
simplistic. Therefore I have been involved in three things:
1: The reorganization of how we produce the product. The appointment
of Jenna and the alignment of various departments under her was the
critical first step.
2: The second step was increasing our staff in all production
departments. Without that everything in step 1 would be meaningless.
The goal was to be two deep in every specialty-including two deep in the
event of resignations, illness, travel and so on. As it was previously,
it was impossible for anyone to fall ill. We'd lose that area. By
personally taking control of the ADP program and managing a good deal of
training, we have pulled off a pretty amazing feat. We have achieved
the near doubling of analytic staff, as well as increased sources and
filled out the cadre for Jenna. Yep, this cost a lot of money but we
had agreed that this is where we are spending our money at the
beginning.
3: As Shea once pointed out to me, the company was still not able to
function without me, nor would it be perceived as functional without
me. The reality and the perception had to be dealt with. The reality
was that with all the demands on my time-demands that were now going to
expand dramatically as StratCap came on line, and was already
substantial with StratCon projects, my ability to train and lead was
limited. I needed help that included an extremely experienced person who
shared Stratfor's core values. There was only one person who could do
this: Bob Kaplan. In addition to being able to fill in for me, he had a
powerful following in his own right, which properly marketed, would more
than pay his salary. He was well known in the financial and the
intelligence/defense communities. He would provide the perception of an
alternative leader.
I do not see Bob as actually being able to replace me. Intellectually he
could. As a public persona he could. But Bob is not someone who can
handle the nuts and bolts of the game. Jenna has tremendous promise
much of it fulfilled but she needs mentoring I can't give, and backup
when the sun goes down. I intend to bring in David Judson. David was
the editor of Hurriet Today, with strong networks available to him in
Eurasia (supplementing Meredith), knowledge of building networks, and a
deep knowledge of publishing outside the United States.
Meredith and I know both Bob and David and both of us are comfortable
with their backgrounds in both geopolitics and intelligence. Both are
significant public figures but while Bob towers in this, David is weaker
there but far stronger in the nuts and bolts. Where Bob will mentor the
analysts, David can help Jenna.
Most important, when the question comes up what happens if I die, we can
point to Bob Kaplan and David Judson. Together with Meredith, they can
run the shop, and they will be seen as being able to run the shop. The
new members Bob brings in when we market his new book out in September
and what David can do in foreign sales will make up their salaries and
more-I guarantee it.
So the task for creating a succession was put to me. I am solving it by
organizing us for the long haul, bringing in a larger and bright staff,
and supplementing my leadership with two men in their fifties each of
whom has a track record as an intellectual or managerial success of the
first order. And both are friends I would trust with my legacy. I don't
make judgments like that lightly.
This leaves open questions like expanding in to U.S. publishing or
hiring economists. I have views on both but the two issues do not
intersect. This is not an either or question. On the contrary, if we go
into U.S. or strengthen economics we still need to solve the succession
problem.
So far as I'm concerned the steps that I am taking here solve them.
Kaplan is really my call. He is the intellectual engine to replace and
supplement me, and to be honest, only I can judge what he can do in that
sense. Judson is also essential operationally as he enables a 24 hour
production process that is essential for international sales, as well as
a non-U.S. perspective while being fully an American. I'll want you
both to meet him when he comes here.
Having faced the question of what happens if I croak, I promised to
solve the problem. I have. With the steps I've taken, Stratfor will,
in six months, be able to operate without me. As well as with me here?
I hope not. But it can operate so well that our readers and clients
won't notice. That's good enough for government work.
That leaves the towering issues of sales and marketing of Stratfor and
of raising funds and organizing StratCap as well as guiding the
inevitable complexities of StratCom. But I fell I have tackled the
issue of succession to the ground. I know these guys can both bring the
gravitas and expertise to bear. One couldn't do it. The two together
can.
--
George Friedman
Founder and CEO
STRATFOR
221 West 6th Street
Suite 400
Austin, Texas 78701
Phone: 512-744-4319
Fax: 512-744-4334
--
Meredith Friedman
VP,Communications
STRATFOR
www.stratfor.com
221 W. Sixth Street,
Suite 400
Austin, TX 78701
512 744 4301 - office
512 426 5107 - cell