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Interface Consultant:
a tool for success in Russia
 

BISNIS Bulletin, June 2002
by Julia Karpeisky

It is no longer news that in order to succeed in Russia, you have to be friends with your counterparts, which means tremendous amounts of travel, dinners, vodka, banya, conversation, etc. In Russia, relationships come before results, context is vitally important, professional mistakes are easily forgiven, but personal lapses are not. This makes doing business in Russia a very expensive undertaking both in terms of time and money, especially if the Russian project is just one of your many responsibilities. One way to cope is to work with an “interface person” or consultant who will build and manage your relationships with Russian partners or customers.

 
Although there is no substitute for face-to-face meetings, an interface person will minimize your personal involvement, while maximizing effectiveness of your communication with Russians. You will spend less time in crisis mode, as you will have significantly fewer misunderstandings and frustrations.

What Are the Functions of an Interface Person?

The main goal of such a consultant is to carry out your agenda by performing some or all of the following functions.

1. Team Member

He or she works as part of your team on such things as developing strategy, providing necessary contacts, and drafting and reviewing documents.

2. Relationship Manager

He establishes and maintains open lines of communication with key people in Russia. When talking to the Russians, he always makes it clear that he works for you and talks on your behalf. The consultant maintains contact with you and/or your team to stay fully informed. He also regularly talks with your Russian partners and the appropriate Russian government people. He creates an open, nonthreatening environment where the Russian side is comfortable asking questions. He explains your position and the context in which you have to operate; he knows what information you are likely to need and asks questions on your behalf. After each exchange with the Russian side he writes a report, alerting you to new opportunities, to a possible conflict or to an action that you need to take.

3. Communications Consultant

He prepares your correspondence to the Russian side and makes sure that it meets the requirements of your partners. If there is a need for a Russian letter to come to the United States, the consultant will help the Russians draft the letter so that it says what the U.S. side needs to see.

4. Negotiator

He often negotiates on your behalf. This may involve something as simple as the minutes of the board meeting, or as involved as a letter of intent, parts of a joint venture agreement, or pricing structure of your joint bid. You will rely on your interface person to conduct back channel negotiations.

5. Facilitator

He may facilitate your internal meetings to assist your company in arriving at a unified position on your Russian project. He also helps you take advantage of opportunities to enhance your network. When you travel to Russia, the interface consultant will make sure that you are comfortable, and that the trip is smooth and productive.

6. Project Manager

Small businesses often cannot afford to dedicate a manager to your Russian endeavor. The interface person then fills in. In my experience, this function often has to do with keeping people informed of what others are doing, and making sure that documents, such as a joint venture agreement, go through your internal review process in a timely manner.

7. Translation and Interpretation Manager

He will have all documents translated, and will hire interpreters for face-to-face meetings.

How to Hire a Good Interface Person

Below are qualities, skills, and background recommended for a good interface person.

  • Graduate degree preferred (negotiation or mediation training recommended)
  • Bilingual and bicultural
  • Ability to understand complex business issues
  • Initiative and creativity
  • Patience
  • Excellent writing skills in both languages
  • Excellent communication skills
  • Strong analytical ability
  • Ability to work well as part of the team
  • Ability and willingness to serve as interpreter and translator

The most important qualities to look for are integrity and judgment. Remember that you are hiring a person to promote your agenda for you, to speak for you, sometimes to think for you. When interviewing, consider, “Do I feel comfortable with this person? Can I trust them? Can I trust their judgment?”

How to Best Use an Interface Person

For a small to medium-sized business, the function of the interface person is best served by an outside consultant as you might find it difficult to keep your interface person busy full-time. Also, the interface person usually talks to people at all levels in your company—from a secretary to vice president, and sometimes CEO. In my experience, it is much easier to perform this function when working outside the company hierarchy.  You will find much more freedom in communicating with the interface person when he is not in your direct employ. At times you will want to find out your partner’s reaction before putting a proposal on the table. Besides, the back channel negotiation is much easier when the interface person is not an employee and therefore is not viewed as representing an official position of your company. Putting your interface person on retainer will help keep costs down and ensure that the person is available when you need him.

There are two key things you need to do to ensure that your interface person is effective. First, he has to be fully informed of what’s going on with and around your Russian endeavor. You need to share your thought processes, not just decisions and facts. He needs to know much more than what he will end up transferring to the Russians. Second, you should appropriately position this person with your Russian counterparts: The Russians need to understand that you fully trust your interface person, that you designate him to speak for you, and that if the Russians need to communicate something to you, they need to get in touch with your interface person.

Julia Karpeisky is a president of JMK Contact, Inc., a firm offering a full range of interface services to U.S. organizations doing business in Russia and other former Soviet republics. She can be contacted by email at jmk_inc00@yahoo.com.

This report is provided courtesy of the Business Information Service for the Newly Independent States (BISNIS)

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