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We're our own worst enemy

Emerging countries such as the Brics - Brazil, Russia, India and China - are on the ascent, and the financial crisis has accelerated this rate of change. It is imperative South Africa grasps the opportunity and takes a leadership position among these nations.

We have the capacity and fundamental capabilities to do so. Our hosting of the World Cup illustrated this. Paradoxically, however, South Africans remain remarkably negative and sceptical. We are caught in a "will we/won't we survive?" paradigm, where we are constantly seeking affirmation of inevitable decline.

It is my view that South Africa's problems lie in these negative attitudes, not in its fundamentals. Importantly, these attitudes are not always rational - behavioural economics provides some substantiation for this.

When it comes to attitudes, classical economics is based on the tenet that people act rationally and errors in their decision-making are random. Behavioural economics posits the opposite; that past experiences, prejudices and other factors lead people to behave irrationally and that their errors, driven by bias, are therefore systematic. Behavioural economics demonstrates that people frequently see the world in the way it has been framed for them, even when evidence emerges to the contrary.

It is precisely these behavioural forces that drive an irrationally negative perception of South Africa. We are framed in the context of other poor, and often, failing, African states which inextricably links our prospects to theirs. It is almost impossible for our past performance, or the facts, to alter this negative view.

Discovery's analysis of a popular international journal's coverage of South Africa over the past three years showed that out of a total of 77 articles, 57 focused on negative issues like crime, political strife and HIV/Aids. Worse are the images, which typically depict dusty fields, dilapidated houses and decay - and almost devoid of any sign of sophistication. I do not believe this to be the result of malice; it is simply consistent with the way South Africa has always been framed.

The effect of this is devastating. It affects investment decisions, shortens horizons and promotes immigration - and sadly, the cycle is self-perpetuating. We see its effects in the healthcare sector, so critical to the future. Our public healthcare is critically under-resourced, yet it has produced more than enough doctors to meet its needs. The sad reality is that more than half the doctors who graduated since 1980 are now working abroad.

Yet our potential cannot be questioned - the World Cup is evidence of this. Contrasting the widely held opinions ahead of the tournament against its ultimate success reveals the irrationality of people's views. Research showed that 70%-90% of those who visited South Africa rated us as "excellent" or "very good" across measures from accommodation to safety at the games.

Our performance from an infrastructural perspective was even more remarkable. We needed to build six new stadiums, a new airport (and major upgrades on two others), the Gautrain, and other transport infrastructure. Yet we excelled, delivering more than we had committed to in the bid document. We built six stadiums simultaneously in around 30 months and at an average cost of $250-million. Compared to the Yankee Stadium, Wembley, the Allianz Arena and others, both the time scale and costs of South Africa's projects were significantly lower. The same holds true for the building of King Shaka International Airport and the Gautrain, versus similar projects internationally. Yet few people give South Africa credit for its ability to roll out large infrastructural projects quickly and efficiently.

The World Cup can teach us three important lessons in this regard: the need for vision, discipline, and to build "skyscrapers''. The first two were largely imposed on us by Fifa. We were told "do it, and do it by this date", simple, but powerful. The third lesson, building "skyscrapers", is more subtle: when you build bold stadiums or launch the Gautrain, you invoke in people feelings of hope, inspiration and pride.

The question is, can we perform at the same level going forward?

Generally, we are cynical in our response. South Africa's intractable problems like crime, unemployment, HIV/Aids, racial intolerance and inequality, and the extent of these challenges, makes the possibility of sustained excellence appear unrealistic to most of us. Yet any country has, from its perspective, intractable problems. Consider, for example, that:

Brazil has similar levels of crime to South Africa, and shocking levels of corruption;

India has serious infrastructural problems, and 45% of its massive population live on less than $1.25 a day.

It's clear that a country's prospects cannot be defined by its problems alone. One must consider its opportunities too and look at the country's entire "balance sheet". This balanced approach is what will yield the attitude and leadership required to unleash a nation's full potential.

If we start with what we have, including a progressive constitution, robust judiciary, strong private sector, a sound economic framework, and a beautiful country with incredible tourism potential, and build from there, much can be achieved.

Many of our perceived liabilities, like our multi-ethnicity, can be harnessed to our advantage.

The US has done so in the guise of the ''American way'', which requires its people to be American first, regardless of their race or ethnicity. The "American way" liberates a uniquely powerful energy, of which President Obama's rousing "yes we can" is the most recent manifestation.

We have the same potential in South Africa with the ''rainbow nation", which sets our difficult past of racial disunity against a future that celebrates our similarities. We need to harness these differences, because their power can be nuclear.

Similarly, when it comes to our other liabilities, such as crime, it is important to consider them in context.

Like many South Africans, I have been a victim of crime and do not deny its damaging impact. However, Discovery's analysis shows that the mortality and disability risks posed by crime are a fraction of those associated with everyday poor lifestyle choices like smoking, being physically inactive and overweight.

We have much to be optimistic about. Things are better than we perceive. Our studies show that in terms of standards of living over the past 15 years, it is far better to have been in South Africa than in any of the four Bric countries.

Therefore, our nation's pessimism has little to do with our past or present performance, our capabilities or our nett assets. It is more about our fears for where we may be heading, and that's why attitude and leadership matter so much right now. This is a role not just for government, but for business and civil society too:

1. We need a positive and bold vision for our country. It sets a course for success that is self-perpetuating;

2. We must build upon the "Rainbow Nation", wherein we celebrate our similarities and embrace our differences;

3. We need discipline, and not just in dealing with issues like crime, the symbolism of fixing potholes is important too;

4. Importantly, we need to build more ''skyscrapers''. We need to make it clear we are on the ascent, things are getting better, and anything is possible.

South Africa can and must excel.

Adrian Gore is CEO of Discovery. This is an edited version of a talk he delivered at the Discovery Invest Leadership Summit earlier this month

This article applies to: Middle, Rontree 1, Rontree 2, Glen, Bakoven, Village, Clifton, CPF