Showing posts with label Good Books and The Best Authors. Show all posts
Showing posts with label Good Books and The Best Authors. Show all posts

Monday, May 2, 2011

The Big Idea: Creating Shared Value by Michael E. Porter and Mark R. Kramer

Michael E. Porter is the Bishop William Lawrence University Professor at Harvard University. He is a frequent contributor to Harvard Business Review and a six-time McKinsey Award winner.

Mark R. Kramer co-founded FSG, a global social impact consulting firm, with Professor Porter and is its managing director. He is also a senior fellow of the CSR initiative at Harvard’s Kennedy School of Government.

The capitalist system is under siege. In recent years business increasingly has been viewed as a major cause of social, environmental, and economic problems. Companies are widely perceived to be prospering at the expense of the broader community.

Even worse, the more business has begun to embrace corporate responsibility, the more it has been blamed for society’s failures. The legitimacy of business has fallen to levels not seen in recent history. This diminished trust in business leads political leaders to set policies that undermine competitiveness and sap economic growth. Business is caught in a vicious circle.

A big part of the problem lies with companies themselves, which remain trapped in an outdated approach to value creation that has emerged over the past few decades. They continue to view value creation narrowly, optimizing short-term financial performance in a bubble while missing the most important customer needs and ignoring the broader influences that determine their longer-term success. How else could companies overlook the well-being of their customers, the depletion of natural resources vital to their businesses, the viability of key suppliers, or the economic distress of the communities in which they produce and sell? How else could companies think that simply shifting activities to locations with ever lower wages was a sustainable “solution” to competitive challenges? Government and civil society have often exacerbated the problem by attempting to address social weaknesses at the expense of business. The presumed trade-offs between economic efficiency and social progress have been institutionalized in decades of policy choices.

Companies must take the lead in bringing business and society back together. The recognition is there among sophisticated business and thought leaders, and promising elements of a new model are emerging. Yet we still lack an overall framework for guiding these efforts, and most companies remain stuck in a “social responsibility” mind-set in which societal issues are at the periphery, not the core.

The solution lies in the principle of shared value, which involves creating economic value in a way that also creates value for society by addressing its needs and challenges. Businesses must reconnect company success with social progress. Shared value is not social responsibility, philanthropy, or even sustainability, but a new way to achieve economic success. It is not on the margin of what companies do but at the center. We believe that it can give rise to the next major transformation of business thinking.

A growing number of companies known for their hard-nosed approach to business—such as GE, Google, IBM, Intel, Johnson & Johnson, NestlĂ©, Unilever, and Wal-Mart—have already embarked on important efforts to create shared value by reconceiving the intersection between society and corporate performance. Yet our recognition of the transformative power of shared value is still in its genesis. Realizing it will require leaders and managers to develop new skills and knowledge—such as a far deeper appreciation of societal needs, a greater understanding of the true bases of company productivity, and the ability to collaborate across profit/nonprofit boundaries. And government must learn how to regulate in ways that enable shared value rather than work against it.

Capitalism is an unparalleled vehicle for meeting human needs, improving efficiency, creating jobs, and building wealth. But a narrow conception of capitalism has prevented business from harnessing its full potential to meet society’s broader challenges. The opportunities have been there all along but have been overlooked. Businesses acting as businesses, not as charitable donors, are the most powerful force for addressing the pressing issues we face. The moment for a new conception of capitalism is now; society’s needs are large and growing, while customers, employees, and a new generation of young people are asking business to step up.

The purpose of the corporation must be redefined as creating shared value, not just profit per se. This will drive the next wave of innovation and productivity growth in the global economy. It will also reshape capitalism and its relationship to society. Perhaps most important of all, learning how to create shared value is our best chance to legitimize business again.

 

Moving Beyond Trade-Offs


Business and society have been pitted against each other for too long. That is in part because economists have legitimized the idea that to provide societal benefits, companies must temper their economic success. In neoclassical thinking, a requirement for social improvement—such as safety or hiring the disabled—imposes a constraint on the corporation. Adding a constraint to a firm that is already maximizing profits, says the theory, will inevitably raise costs and reduce those profits.

A related concept, with the same conclusion, is the notion of externalities. Externalities arise when firms create social costs that they do not have to bear, such as pollution. Thus, society must impose taxes, regulations, and penalties so that firms “internalize” these externalities—a belief influencing many government policy decisions.

This perspective has also shaped the strategies of firms themselves, which have largely excluded social and environmental considerations from their economic thinking. Firms have taken the broader context in which they do business as a given and resisted regulatory standards as invariably contrary to their interests. Solving social problems has been ceded to governments and to NGOs. Corporate responsibility programs—a reaction to external pressure—have emerged largely to improve firms’ reputations and are treated as a necessary expense. Anything more is seen by many as an irresponsible use of shareholders’ money. Governments, for their part, have often regulated in a way that makes shared value more difficult to achieve. Implicitly, each side has assumed that the other is an obstacle to pursuing its goals and acted accordingly.

The concept of shared value, in contrast, recognizes that societal needs, not just conventional economic needs, define markets. It also recognizes that social harms or weaknesses frequently create internal costs for firms—such as wasted energy or raw materials, costly accidents, and the need for remedial training to compensate for inadequacies in education. And addressing societal harms and constraints does not necessarily raise costs for firms, because they can innovate through using new technologies, operating methods, and management approaches—and as a result, increase their productivity and expand their markets.

The Five Competitive Forces That Shape Strategy by Michael E. Porter

In 1979, Harvard Business Review published “How Competitive Forces Shape Strategy” by a young economist and associate professor, Michael E. Porter. It was his first HBR article, and it started a revolution in the strategy field. In subsequent decades, Porter has brought his signature economic rigor to the study of competitive strategy for corporations, regions, nations, and, more recently, health care and philanthropy. “Porter’s five forces” have shaped a generation of academic research and business practice. With prodding and assistance from Harvard Business School Professor Jan Rivkin and longtime colleague Joan Magretta, Porter here reaffirms, updates, and extends the classic work. He also addresses common misunderstandings, provides practical guidance for users of the framework, and offers a deeper view of its implications for strategy today.

In essence, the job of the strategist is to understand and cope with competition. Often, however, managers define competition too narrowly, as if it occurred only among today’s direct competitors. Yet competition for profits goes beyond established industry rivals to include four other competitive forces as well: customers, suppliers, potential entrants, and substitute products. The extended rivalry that results from all five forces defines an industry’s structure and shapes the nature of competitive interaction within an industry.

As different from one another as industries might appear on the surface, the underlying drivers of profitability are the same. The global auto industry, for instance, appears to have nothing in common with the worldwide market for art masterpieces or the heavily regulated health-care delivery industry in Europe. But to understand industry competition and profitability in each of those three cases, one must analyze the industry’s underlying structure in terms of the five forces. 

If the forces are intense, as they are in such industries as airlines, textiles, and hotels, almost no company earns attractive returns on investment. If the forces are benign, as they are in industries such as software, soft drinks, and toiletries, many companies are profitable. Industry structure drives competition and profitability, not whether an industry produces a product or service, is emerging or mature, high tech or low tech, regulated or unregulated. While a myriad of factors can affect industry profitability in the short run—including the weather and the business cycle—industry structure, manifested in the competitive forces, sets industry profitability in the medium and long run. 

Understanding the competitive forces, and their underlying causes, reveals the roots of an industry’s current profitability while providing a framework for anticipating and influencing competition (and profitability) over time. A healthy industry structure should be as much a competitive concern to strategists as their company’s own position. Understanding industry structure is also essential to effective strategic positioning. As we will see, defending against the competitive forces and shaping them in a company’s favor are crucial to strategy.

 

Forces That Shape Competition


The configuration of the five forces differs by industry. In the market for commercial aircraft, fierce rivalry between dominant producers Airbus and Boeing and the bargaining power of the airlines that place huge orders for aircraft are strong, while the threat of entry, the threat of substitutes, and the power of suppliers are more benign. In the movie theater industry, the proliferation of substitute forms of entertainment and the power of the movie producers and distributors who supply movies, the critical input, are important.

The strongest competitive force or forces determine the profitability of an industry and become the most important to strategy formulation. The most salient force, however, is not always obvious.

For example, even though rivalry is often fierce in commodity industries, it may not be the factor limiting profitability. Low returns in the photographic film industry, for instance, are the result of a superior substitute product—as Kodak and Fuji, the world’s leading producers of photographic film, learned with the advent of digital photography. In such a situation, coping with the substitute product becomes the number one strategic priority.

Industry structure grows out of a set of economic and technical characteristics that determine the strength of each competitive force. We will examine these drivers in the pages that follow, taking the perspective of an incumbent, or a company already present in the industry. The analysis can be readily extended to understand the challenges facing a potential entrant.

The Other Side of Innovation: Solving the Execution Challenge by Vijay Govindarajan, Chris Trimble

Companies can't survive without innovating. But most put far more emphasis on generating Big Ideas than on executing them--turning ideas into actual breakthrough products, services, and process improvements. That's because "ideating" is energizing and glamorous. By contrast, execution seems like humdrum, behind-the-scenes dirty work. But without execution, Big Ideas go nowhere. In The Other Side of Innovation, Vijay Govindarajan and Chris Trimble reveal how to execute an innovation initiative--whether a simple project or a grand, gutsy gamble. Drawing on examples from innovators as diverse as Allstate, BMW, Timberland, and Nucor, the authors explain how to: Build the Right Team: Determine who'll be on the team, where they'll come from, how they'll be organized, how much time they'll devote to the project, and how they'll navigate the delicate and conflict-rich partnership between innovation and ongoing operations. Manage a Disciplined Experiment: Decide how team members can quickly test their assumptions , translate results into new knowledge, and measure progress. Give innovation leaders a tough but fair performance evaluation. Practical and provocative, this new book takes you step-by-step through the innovation execution process--so your Big Ideas deliver their full promise.

Saturday, July 31, 2010

"I'm mercenary: I wrote Day Of The Jackal for money

For four decades now, British author Frederick Forsyth has kept adrenaline levels of millions of his readers pumped up with his pulsating spy thrillers and breathless, best-selling narratives of political assassinations.

His first novel, The Day of the Jackal, which he says he wrote “for the money” when he was down and out in London, became a cult classic and, later, a film under Fred Zinneman’s direction, with Edward Fox starring as the hitman hired to assassinate French statesman Charles de Gaulle. Since then, Forsyth, banging away on his typewriter, has churned out 11 novels — besides short story collections and works of non-fiction. DNA recently caught up with the 71-year-old storyteller at the Hong Kong Book Fair, where he’d come to promote his latest thriller, The Cobra, about international cocaine cartels.

How was The Jackal born?

As a young man, I hadn’t the slightest intention of becoming a novelist. When I was a kid, I had only one overweening ambition, and it derived from the fact that when I was a two-year-old, I remember staring up at what seemed like silver fish whirling and twirling in the sky, leaving contrails of white vapour. I was watching the Battle of Britain and in my tiny little baby way, I wanted to be a pilot.

Growing up, I remained consumed by the ambition to fly. I rebuffed all attempts to send me to university and joined the RAF. Still later, I had a second ambition: to see the world, and so I became a foreign correspondent for a newspaper and then Reuters, and travelled the world, until finally, 40 years ago, I found myself back in London from an African war, broke, without a job. That’s when I wrote The Day of the Jackal.

What drives you to write?

I’m slightly mercenary: I write for the money. I feel no compulsion to write. If somebody said ‘You’re not going to write another word of fiction as long as you live’, it wouldn’t matter a damn. But today, I’d say that if you want to make money, you shouldn’t write a novel.

Why’s that?

For a person trying to make himself reasonably wealthy, writing a novel is probably the most unlikely, hazardous and slow method. Forty years ago, I didn’t know that. Everybody I knew said I was out of my mind, that the chances of my getting published were 1 in 1,000, and even if I were published, I’d probably sell 50 copies. I was just too dim to take their advice.

In every publishing house, eyes glaze over at the arrival of an unsolicited manuscript from a no-name author. They’re all bundled up and sent back, almost all of them unread. If you want to make money, you’re better off being, say, a bond trader — not a writer of novels.

Do you need a quiet place to think and write in?

In the early stage of thinking up a plot, I can be anywhere: on a fishing boat in the tropics or walking the dogs — and thinking, When my son was a toddler, he once asked me what I was doing, and I said Iwas working. And he said, “You were not working, you were staring at the wall.” And I said, sternly: “That is work!”

The only time I need quiet is when I am physically writing. I’ve a farm, and I’ve converted the upper floor of the barn into a writing room. There I sit and type: 10 pages a day for 50 days. But there’s been at least a year or more of meticulous preparation before I hit the first keys.

You do it the old-fashioned way, on a typewriter?

I don’t have a computer, never wanted one. I’m constantly asked why I don’t use a word processor. But there are two charming young ladies at the publisher’s, who take my miserable offering and turn out an impeccable manuscript. Why should I deprive them of their job?

Until last month, when we heard of a Russian spy ring in the US, espionage seemed to be going out of fashion. Is it?

There was a belief that around 1991, when the Soviet Union was dismembered, that the KGB had also been abolished. But it wasn’t: it was simply broken up into its various divisions, and renamed. The first chief directorate of the foreign espionage division was renamed the SVR. It still conducts espionage operations outside Russia against all of us. In that sense, it wasn’t a surprise that some Russian spy sleepers had been discovered in America. The surprise was in how ineffective they were: they’d just about penetrated the golf club! But the rest of it goes on: we do it, they do it. There’s been a slight reorientation towards combating Islamic fundamentalism, which is perceived to be a major threat. But the amount of espionage we carry out against Russia is probably not much less than it used to be — and vice-versa.

How big is China on the espionage scale? May we expect a Forsyth thriller set in China?

My first visit to Hong Kong was in 1978. My host was the British head of station, and he took me to a Chinese restaurant, run by a father and two sons, all 6 feet 2 inches tall. In the end, when I offered my compliments on a wonderful meal, I was told, “See, that’s the Peking intelligence service!” I said, “I thought they were our enemies.” My host said: “Good god, no! They’re our friends. The Russians are our enemies!”So, we never really had an awful lot of antagonism towards Beijing, and where it suited us to cooperate, we did. I don’t think it’s changed much. We’ve common threats, and in the same way that my enemy’s enemy is my friend, we cooperate on, for instance, Islamic fundamentalism.

How involved were you with the screenplay of the films based on your novels?

I learnt early on that the least desired person anywhere near a film set is the book’s author. Directors have their own ideas, and they don’t want to be told by an author: “I didn’t say that.” You have to make up your mind if someone comes up to you and says “Here’s a cheque, take it or leave it, but if you take it, don’t interfere in the making of the film.” You might go in on the film’s opening night, curious about what you’ll see. It will probably be a disappointment, but never mind. One must go back to Liberace’s aphorism: when he was rebuked for the levity of his music, he said, “I know, which is why I cry all the way to the bank!”.

Did you ever feel under pressure to ‘sex up’ your thrillers?

When I wrote Jackal, I thought — because I knew nothing about writing — I was supposed to put sex scenes in. And I did; it was awful because it was unlikely and not very stimulating. My publisher said, “Well, keep them in, but don’t do it again.” I haven’t put sex into any of my other novels, and it doesn’t seem to have done any harm to the sales whatsoever.

Monday, July 26, 2010

The Gratitude Rock by Lee Brower

Who is Lee Brower?

Lee Brower is a multigenerational wealth expert and founder of The Quadrant Living Experience, LLC, an internationally recognized educational and philanthropic organization teaching a radically successful system called The Brower Quadrant. A noted authority on helping prestigious families create enduring legacies that flourish generation after generation, he is also an accomplished teacher and mentor for entrepreneurs and CEOs. His breakthrough ideas and concepts on preserving wealth are changing the landscape of leadership in a variety of places, from private homes and small businesses to public corporations and large educational institutions. Most recently, he was featured in the blockbuster book and film The Secret, where he shares invaluable insights about gratitude and other tools to success.

With more than 30 years experience, Lee utilizes his transformational Brower Quadrant System to guide people on successfully protecting, empowering, and honoring their “true wealth”—which isn’t just about money and property. Put simply, he helps people recognize and tap into all of their assets, including those one doesn’t typically think about, such as wisdom, experience, reputation, networks, health, skills, talents, values, and habits. Through this system, he offers realistic roadmaps for achieving a lasting legacy that can stand the test of time.

The Gratitude Rock

"Gratitude is the heart’s memory." A French Proverb

“Just 4 Today”… every day… I choose to be in an attitude of gratitude. I get to choose how each day begins and receive the positive energy that accompanies my awareness and gratitude for all the many blessings in my life. Does life seem to move at such a fast pace that you unconsciously ignore all of the wonderful experiences, relationships and blessings in life? That was exactly what was happening to me. I was in a fog… over-focusing on the future, ignoring the learning experiences of the past and flying through the present like an F-16 after the Star Spangled Banner at the Super Bowl.

I have some amazing daughters. I am so proud of all of them. It took the struggles of one of my daughters, however, to awaken me from this self centered sleep. A few years ago, after struggling with an addiction of substance abuse for many years, she hit a major breaking point and really needed help. Together, we researched and selected a program that we/she felt would make a positive impact on her life going forward.

At the door of this facility, we hugged and said our good-byes. With great emotion, my daughter hung her head and through smothered sobs uttered words of regret. She apologized for being a burden and a disgrace to our family. My heart ached.

I put my hands on her shoulders and looked into her beautiful tears-filled green eyes.

“Sweetheart, by going through this experience will you come out the other end better off or worse off?”Her jaw tightened up and she proclaimed that she would be much better.

“And, if you allow me and the rest of our family to go through this experience with you, and we learn from this, then, are we going to be better off or worse off for having gone through this experience?”

“Better,” she said with humility.

“So let’s get going! I am ready if you are.” Before we parted, I left her with one last thought. Since she was twelve years old, she has had the nickname of “Mariposa” which is Spanish for butterfly. I reminded her that she has known the struggle of the caterpillar; the loneliness of the cocoon; and now she was about to experience the flight and elegance of the butterfly.

That very day, I took a solo trip to a California coastal resort to get away for a few days for some introspection and to work on my writings. The next morning I was walking on the beach contemplating life’s challenges and opportunities. As I slowly strolled along the edge of the foam, breathing in the fresh morning breeze tumbling off the waves, my gaze was drawn to a dark colored rock. It actually seemed to be glowing and I couldn’t resist picking it up. As I examined this gray rock, I turned it over and there in black was the image of a butterfly in flight!

My heart stopped.
My throat tightened.
Was this a message to me to focus on the beauty of the flight?
I knew it belonged to my daughter.
I pocketed it and sent it to her.

When she received this little rock in the mail sent priority FedEx, she was anxious to call me and find out what this was all about. I told her to keep it close to her and every time she touched it, to think of something that she was grateful for. I told her I was going to hunt for my own rock and I would do the same.

Every morning when I get dressed and reach for my wallet, there is my rock. It immediately reminds me to drop to my knees and express gratitude for the many incredible relationships, experiences and blessings in my life. I actually visualize those things I am grateful for. I conclude by visualizing the day and the outcomes I desire for the day. During the day, each time I touch the rock, I am again reminded of my vision and gratitude. Then, at the conclusion of the day, as I take the rock out and place it on its special place on my bed stand, I capture the experiences and once again take time to express my appreciation.

Where ever I go, I now collect “gratitude” rocks and I will continue to give them to anyone who is looking for a system to keep them in an attitude of gratitude. Sincere gratitude is the lubricant that allows the law of attraction to work for us.

"Gratitude may not be the greatest of virtues, but it is the parent of all the others."

Sunday, July 25, 2010

Who Is Christian D. Larson

Christian D. Larson was an outstanding and highly influential early New Thought leader and teacher as well as a prolific writer of New Thought books. He believed that people have tremendous latent powers, which could be harnessed for success with the proper attitude.

He is of Norwegian origin and was born in Iowa in 1874. He attended Iowa State College and a theological school. In his early twenties he became interested in the Mental Science teachings of Helen Wilmans, Henry Wood, Charles Brodie Patterson, etc. Little is known about his personal life and what originally led him to take up his intensive study of Mental Science, but its logical teachings clearly suited young Larson's analytical mind and provided a point to him where theology and science could meet and combine to provide a practical and systematic philosophy of life.

He was located in Cincinnati, Ohio in 1898. In January, 1901, he organized the New Thought Temple, at his residence. In September he began to publish Eternal Progress, for several years one of the leading New Thought periodicals, carrying it to a circulation of over a quarter of a million.

While acting as editor of Eternal Progress, he began his prolific book writing career. Forty of his books have been published. Among the best known are: Poise and Power, The Great Within, The Hidden Secret, Mastery of Self, Mastery of Fate, The Ideal Made Real, Thinking for Results, Your Forces and How to Use Them, How to Stay Well, and The Pathway of Roses.

A onetime honorary president of the International New Thought Alliance, along with such stalwarts as W.W. Atkinson, Horatio Dresser, Charles Brodie Patterson, and Annie Rix Militz, he was one who exercised considerable influence over Religious Science founder, Ernest Holmes, in his early career. Holmes had been studying the Christian Science textbook, Science & Health, but was particularly impressed with the New Thought writings of Larson. According to Fenwicke he abandoned the Christian Science textbook for Larson's works. Ernest and his brother Fenwicke took a correspondence course with Larson, and in his biography of his brother, Ernest Holmes: His Life and Times, Fenwicke Holmes elaborates on the influence of Larson's thought on that of his brother. Here he ranks Ralph Waldo Trine's In Tune with the Infinite with Larson's The Ideal Made Real as influential on Holmes:

"As early as 1928, the name of Christian D. Larson began to appear in Science of Mind magazine and to be a part of the major teaching courses. It was the very same Christian D. Larson whose book The Ideal Made Real, nineteen years earlier, had introduced Ernest to the New Philosophy, inspired him to go forward in learning and practising the art of mental treatment and encouraged him to expand beyond physical healing to the "control of conditions." Now Christian D. Larson was on the permanent staff of the Institute of Religious Science in Los Angeles of which Ernest was the founder."

The Optimist Creed was authored in 1912 by Chistian D. Larson, appearing in his book Your Forces and How to Use Them. It was adopted as Optimist International's creed in 1922. Many have found inspiration in The Optimist Creed. In hospitals, the creed has been used to help patients recover from illness. In locker rooms, coaches have used it to motivate their players.

The following version, without the title "The Optimist Creed," is quoted from Science of Mind 71 (June 1998):

Promise Yourself

To be so strong that nothing can disturb your peace of mind.

To talk health, happiness, and prosperity to every person you meet.

To make all your friends feel that there is something worthwhile in them.

To look at the sunny side of everything and make your optimism come true.

To think only of the best, to work only for the best and to expect only the best.

To be just as enthusiastic about the success of others as you are about your own.

To forget the mistakes of the past and press on to the greater achievements of the future.

To wear a cheerful expression at all times and give a smile to every living creature you meet.

To give so much time to improving yourself that you have no time to criticize others.

To be too large for worry, too noble for anger, too strong for fear, and too happy to permit the presence of trouble.

To think well of yourself and to proclaim this fact to the world, not in loud words, but in great deeds.

To live in the faith that the whole world is on your side, so long as you are true to the best that is in you.

A somewhat different and shortened version of this is the one adopted by Optimist International, which publishes it on the Webs.

When Ernest Holmes' two-year-old magazine changed its name to Science of Mind in 1929, Ned L. Chapin became editor, and Christian D. Larson was associate editor and a frequent contributor.

In short, Christian D. Larson was an important New Thought leader in his own right and in influencing the founder of one of the major branches of New Thought, Religious Science, which also is known as Science of Mind. New Thought has influenced many, such as Norman Vincent Peale and numerous other inspirational, self-help writers far beyond the bounds of New Thought in its organizational forms.

"Follow the light of the spirit in all things and depend upon God in all things, choose the living Christ as the pattern in all things and depend upon God in all things Do not seek the truth; seek the spirit of truth The spirit leads into all truth. To know the truth is to know the way. To be guided by the spirit into all truth is to walk in the light of the spirit all the way and the way of light leads into the kingdom of eternal life. Follow the words of the Christ until the spirit is found; then follow the spirit into the greater life of the Christ. Keep the eye single upon that light that is revealed through the spiritual vision of the soul. Where that light is shining there is the gate; beyond is the way that leads unto life, and all who are in the spirit shall find it even now" -- Christian D. Larson, The Pathway Of Roses

The following books have been written by Christian D. Larson.

What is Truth?
The Pathway of Roses
The Hidden Secret
Healing Yourself
How to Stay Well
Perfect Health
Mastery of Fate
Poise and Power
How To Stay Young
The Ideal Made Real
Thinking For Results
How the Mind Works
In the Light of The Spirit
Nothing Succeeds Like Success
Brains and How to Get Them
Your Forces and How to Use Them
How Great Men & Women Succeed
The Scientific Training of Children
The Mind Cure: How to Overcome Nervousness and Fear
The Great Within: Your Unlimited Subconscious Mind
Leave It To God, Just Be Glad, On The Heights (3 Books in 1)

Solitude and Leadership by William Deresiewicz

William Deresiewicz (born 1964), formerly an associate professor of English at Yale University until 2008, is a widely published literary critic. His criticism directed at a popular audience appears in The Nation, The American Scholar, the London Review of Books, and The New York Times. More often than not controversial, his negative reviews of Terry Eagleton, Zadie Smith and Richard Powers drew heated reactions within the literary community. In 2008 he was nominated for a National Magazine Award for reviews and criticism.

His academic work Jane Austen and the Romantic Poets was published by Columbia University Press in 2004.

He writes essays and reviews for a variety of publications. He taught at Yale University from 1998 to 2008.

The lecture below was delivered to the plebe class at the United States Military Academy at West Point in October of last year.
 
My title must seem like a contradiction. What can solitude have to do with leadership? Solitude means being alone, and leadership necessitates the presence of others—the people you’re leading. When we think about leadership in American history we are likely to think of Washington, at the head of an army, or Lincoln, at the head of a nation, or King, at the head of a movement—people with multitudes behind them, looking to them for direction. And when we think of solitude, we are apt to think of Thoreau, a man alone in the woods, keeping a journal and communing with nature in silence.

Leadership is what you are here to learn—the qualities of character and mind that will make you fit to command a platoon, and beyond that, perhaps, a company, a battalion, or, if you leave the military, a corporation, a foundation, a department of government. Solitude is what you have the least of here, especially as plebes. You don’t even have privacy, the opportunity simply to be physically alone, never mind solitude, the ability to be alone with your thoughts. And yet I submit to you that solitude is one of the most important necessities of true leadership. This lecture will be an attempt to explain why.

We need to begin by talking about what leadership really means. I just spent 10 years teaching at another institution that, like West Point, liked to talk a lot about leadership, Yale University. A school that some of you might have gone to had you not come here, that some of your friends might be going to. And if not Yale, then Harvard, Stanford, MIT, and so forth. These institutions, like West Point, also see their role as the training of leaders, constantly encourage their students, like West Point, to regard themselves as leaders among their peers and future leaders of society. Indeed, when we look around at the American elite, the people in charge of government, business, academia, and all our other major institutions—senators, judges, CEOs, college presidents, and so forth—we find that they come overwhelmingly either from the Ivy League and its peer institutions or from the service academies, especially West Point.

So I began to wonder, as I taught at Yale, what leadership really consists of. My students, like you, were energetic, accomplished, smart, and often ferociously ambitious, but was that enough to make them leaders? Most of them, as much as I liked and even admired them, certainly didn’t seem to me like leaders. Does being a leader, I wondered, just mean being accomplished, being successful? Does getting straight As make you a leader? I didn’t think so. Great heart surgeons or great novelists or great shortstops may be terrific at what they do, but that doesn’t mean they’re leaders. Leadership and aptitude, leadership and achievement, leadership and even ex­cellence have to be different things, otherwise the concept of leadership has no meaning. And it seemed to me that that had to be especially true of the kind of excellence I saw in the students around me.

See, things have changed since I went to college in the ’80s. Everything has gotten much more intense. You have to do much more now to get into a top school like Yale or West Point, and you have to start a lot earlier. We didn’t begin thinking about college until we were juniors, and maybe we each did a couple of extracurriculars. But I know what it’s like for you guys now. It’s an endless series of hoops that you have to jump through, starting from way back, maybe as early as junior high school. Classes, standardized tests, extracurriculars in school, extracurriculars outside of school. Test prep courses, admissions coaches, private tutors. I sat on the Yale College admissions committee a couple of years ago. The first thing the admissions officer would do when presenting a case to the rest of the committee was read what they call the “brag” in admissions lingo, the list of the student’s extracurriculars. Well, it turned out that a student who had six or seven extracurriculars was already in trouble. Because the students who got in—in addition to perfect grades and top scores—usually had 10 or 12.

So what I saw around me were great kids who had been trained to be world-class hoop jumpers. Any goal you set them, they could achieve. Any test you gave them, they could pass with flying colors. They were, as one of them put it herself, “excellent sheep.” I had no doubt that they would continue to jump through hoops and ace tests and go on to Harvard Business School, or Michigan Law School, or Johns Hopkins Medical School, or Goldman Sachs, or McKinsey consulting, or whatever. And this approach would indeed take them far in life. They would come back for their 25th reunion as a partner at White & Case, or an attending physician at Mass General, or an assistant secretary in the Department of State.

That is exactly what places like Yale mean when they talk about training leaders. Educating people who make a big name for themselves in the world, people with impressive titles, people the university can brag about. People who make it to the top. People who can climb the greasy pole of whatever hierarchy they decide to attach themselves to.

But I think there’s something desperately wrong, and even dangerous, about that idea. To explain why, I want to spend a few minutes talking about a novel that many of you may have read, Heart of Darkness. If you haven’t read it, you’ve probably seen Apocalypse Now, which is based on it. Marlow in the novel becomes Captain Willard, played by Martin Sheen. Kurtz in the novel becomes Colonel Kurtz, played by Marlon Brando. But the novel isn’t about Vietnam; it’s about colonialism in the Belgian Congo three generations before Vietnam. Marlow, not a military officer but a merchant marine, a civilian ship’s captain, is sent by the company that’s running the country under charter from the Belgian crown to sail deep upriver, up the Congo River, to retrieve a manager who’s ensconced himself in the jungle and gone rogue, just like Colonel Kurtz does in the movie.

Now everyone knows that the novel is about imperialism and colonialism and race relations and the darkness that lies in the human heart, but it became clear to me at a certain point, as I taught the novel, that it is also about bureaucracy—what I called, a minute ago, hierarchy. The Company, after all, is just that: a company, with rules and procedures and ranks and people in power and people scrambling for power, just like any other bureaucracy. Just like a big law firm or a governmental department or, for that matter, a university. Just like—and here’s why I’m telling you all this—just like the bureaucracy you are about to join. The word bureaucracy tends to have negative connotations, but I say this in no way as a criticism, merely a description, that the U.S. Army is a bureaucracy and one of the largest and most famously bureaucratic bureaucracies in the world. After all, it was the Army that gave us, among other things, the indispensable bureaucratic acronym “snafu”: “situation normal: all fucked up”—or “all fouled up” in the cleaned-up version. That comes from the U.S. Army in World War II.

You need to know that when you get your commission, you’ll be joining a bureaucracy, and however long you stay in the Army, you’ll be operating within a bureaucracy. As different as the armed forces are in so many ways from every other institution in society, in that respect they are the same. And so you need to know how bureaucracies operate, what kind of behavior—what kind of character—they reward, and what kind they punish.

So, back to the novel. Marlow proceeds upriver by stages, just like Captain Willard does in the movie. First he gets to the Outer Station. Kurtz is at the Inner Station. In between is the Central Station, where Marlow spends the most time, and where we get our best look at bureaucracy in action and the kind of people who succeed in it. This is Marlow’s description of the manager of the Central Station, the big boss:

He was commonplace in complexion, in features, in manners, and in voice. He was of middle size and of ordinary build. His eyes, of the usual blue, were perhaps remarkably cold. . . . Otherwise there was only an indefinable, faint expression of his lips, something stealthy—a smile—not a smile—I remember it, but I can’t explain. . . . He was a common trader, from his youth up employed in these parts—nothing more. He was obeyed, yet he inspired neither love nor fear, nor even respect. He inspired uneasiness. That was it! Uneasiness. Not a definite mistrust—just uneasiness—nothing more. You have no idea how effective such a . . . a . . . faculty can be. He had no genius for organizing, for initiative, or for order even. . . . He had no learning, and no intelligence. His position had come to him—why? . . . He originated nothing, he could keep the routine going—that’s all. But he was great. He was great by this little thing that it was impossible to tell what could control such a man. He never gave that secret away. Perhaps there was nothing within him. Such a suspicion made one pause.

Note the adjectives: commonplace, ordinary, usual, common. There is nothing distinguished about this person. About the 10th time I read that passage, I realized it was a perfect description of the kind of person who tends to prosper in the bureaucratic environment. And the only reason I did is because it suddenly struck me that it was a perfect description of the head of the bureaucracy that I was part of, the chairman of my academic department—who had that exact same smile, like a shark, and that exact same ability to make you uneasy, like you were doing something wrong, only she wasn’t ever going to tell you what. Like the manager—and I’m sorry to say this, but like so many people you will meet as you negotiate the bureaucracy of the Army or for that matter of whatever institution you end up giving your talents to after the Army, whether it’s Microsoft or the World Bank or whatever—the head of my department had no genius for organizing or initiative or even order, no particular learning or intelligence, no distinguishing characteristics at all. Just the ability to keep the routine going, and beyond that, as Marlow says, her position had come to her—why?

That’s really the great mystery about bureaucracies. Why is it so often that the best people are stuck in the middle and the people who are running things—the leaders—are the mediocrities? Because excellence isn’t usually what gets you up the greasy pole. What gets you up is a talent for maneuvering. Kissing up to the people above you, kicking down to the people below you. Pleasing your teachers, pleasing your superiors, picking a powerful mentor and riding his coattails until it’s time to stab him in the back. Jumping through hoops. Getting along by going along. Being whatever other people want you to be, so that it finally comes to seem that, like the manager of the Central Station, you have nothing inside you at all. Not taking stupid risks like trying to change how things are done or question why they’re done. Just keeping the routine going.

I tell you this to forewarn you, because I promise you that you will meet these people and you will find yourself in environments where what is rewarded above all is conformity. I tell you so you can decide to be a different kind of leader. And I tell you for one other reason. As I thought about these things and put all these pieces together—the kind of students I had, the kind of leadership they were being trained for, the kind of leaders I saw in my own institution—I realized that this is a national problem. We have a crisis of leadership in this country, in every institution. Not just in government. Look at what happened to American corporations in recent decades, as all the old dinosaurs like General Motors or TWA or U.S. Steel fell apart. Look at what happened to Wall Street in just the last couple of years.

Finally—and I know I’m on sensitive ground here—look at what happened during the first four years of the Iraq War. We were stuck. It wasn’t the fault of the enlisted ranks or the noncoms or the junior officers. It was the fault of the senior leadership, whether military or civilian or both. We weren’t just not winning, we weren’t even changing direction.

We have a crisis of leadership in America because our overwhelming power and wealth, earned under earlier generations of leaders, made us complacent, and for too long we have been training leaders who only know how to keep the routine going. Who can answer questions, but don’t know how to ask them. Who can fulfill goals, but don’t know how to set them. Who think about how to get things done, but not whether they’re worth doing in the first place. What we have now are the greatest technocrats the world has ever seen, people who have been trained to be incredibly good at one specific thing, but who have no interest in anything beyond their area of exper­tise. What we don’t have are leaders.

What we don’t have, in other words, are thinkers. People who can think for themselves. People who can formulate a new direction: for the country, for a corporation or a college, for the Army—a new way of doing things, a new way of looking at things. People, in other words, with vision.

Now some people would say, great. Tell this to the kids at Yale, but why bother telling it to the ones at West Point? Most people, when they think of this institution, assume that it’s the last place anyone would want to talk about thinking creatively or cultivating independence of mind. It’s the Army, after all. It’s no accident that the word regiment is the root of the word regimentation. Surely you who have come here must be the ultimate conformists. Must be people who have bought in to the way things are and have no interest in changing it. Are not the kind of young people who think about the world, who ponder the big issues, who question authority. If you were, you would have gone to Amherst or Pomona. You’re at West Point to be told what to do and how to think.

But you know that’s not true. I know it, too; otherwise I would never have been invited to talk to you, and I’m even more convinced of it now that I’ve spent a few days on campus. To quote Colonel Scott Krawczyk, your course director, in a lecture he gave last year to English 102:

From the very earliest days of this country, the model for our officers, which was built on the model of the citizenry and reflective of democratic ideals, was to be different. They were to be possessed of a democratic spirit marked by independent judgment, the freedom to measure action and to express disagreement, and the crucial responsibility never to tolerate tyranny.

All the more so now. Anyone who’s been paying attention for the last few years understands that the changing nature of warfare means that officers, including junior officers, are required more than ever to be able to think independently, creatively, flexibly. To deploy a whole range of skills in a fluid and complex situation. Lieutenant colonels who are essentially functioning as provincial governors in Iraq, or captains who find themselves in charge of a remote town somewhere in Afghanistan. People who know how to do more than follow orders and execute routines.

Look at the most successful, most acclaimed, and perhaps the finest soldier of his generation, General David Petraeus. He’s one of those rare people who rises through a bureaucracy for the right reasons. He is a thinker. He is an intellectual. In fact, Prospect magazine named him Public Intellectual of the Year in 2008—that’s in the world. He has a Ph.D. from Princeton, but what makes him a thinker is not that he has a Ph.D. or that he went to Princeton or even that he taught at West Point. I can assure you from personal experience that there are a lot of highly educated people who don’t know how to think at all.

No, what makes him a thinker—and a leader—is precisely that he is able to think things through for himself. And because he can, he has the confidence, the courage, to argue for his ideas even when they aren’t popular. Even when they don’t please his superiors. Courage: there is physical courage, which you all possess in abundance, and then there is another kind of courage, moral courage, the courage to stand up for what you believe.

It wasn’t always easy for him. His path to where he is now was not a straight one. When he was running Mosul in 2003 as commander of the 101st Airborne and developing the strategy he would later formulate in the Counterinsurgency Field Manual and then ultimately apply throughout Iraq, he pissed a lot of people off. He was way ahead of the leadership in Baghdad and Washington, and bureaucracies don’t like that sort of thing. Here he was, just another two-star, and he was saying, implicitly but loudly, that the leadership was wrong about the way it was running the war. Indeed, he was not rewarded at first. He was put in charge of training the Iraqi army, which was considered a blow to his career, a dead-end job. But he stuck to his guns, and ultimately he was vindicated. Ironically, one of the central elements of his counterinsurgency strategy is precisely the idea that officers need to think flexibly, creatively, and independently.

That’s the first half of the lecture: the idea that true leadership means being able to think for yourself and act on your convictions. But how do you learn to do that? How do you learn to think? Let’s start with how you don’t learn to think. A study by a team of researchers at Stanford came out a couple of months ago. The investigators wanted to figure out how today’s college students were able to multitask so much more effectively than adults. How do they manage to do it, the researchers asked? The answer, they discovered—and this is by no means what they expected—is that they don’t. The enhanced cognitive abilities the investigators expected to find, the mental faculties that enable people to multitask effectively, were simply not there. In other words, people do not multitask effectively. And here’s the really surprising finding: the more people multitask, the worse they are, not just at other mental abilities, but at multitasking itself.

One thing that made the study different from others is that the researchers didn’t test people’s cognitive functions while they were multitasking. They separated the subject group into high multitaskers and low multitaskers and used a different set of tests to measure the kinds of cognitive abilities involved in multitasking. They found that in every case the high multitaskers scored worse. They were worse at distinguishing between relevant and irrelevant information and ignoring the latter. In other words, they were more distractible. They were worse at what you might call “mental filing”: keeping information in the right conceptual boxes and being able to retrieve it quickly. In other words, their minds were more disorganized. And they were even worse at the very thing that defines multitasking itself: switching between tasks.

Multitasking, in short, is not only not thinking, it impairs your ability to think. Thinking means concentrating on one thing long enough to develop an idea about it. Not learning other people’s ideas, or memorizing a body of information, however much those may sometimes be useful. Developing your own ideas. In short, thinking for yourself. You simply cannot do that in bursts of 20 seconds at a time, constantly interrupted by Facebook messages or Twitter tweets, or fiddling with your iPod, or watching something on YouTube.

I find for myself that my first thought is never my best thought. My first thought is always someone else’s; it’s always what I’ve already heard about the subject, always the conventional wisdom. It’s only by concentrating, sticking to the question, being patient, letting all the parts of my mind come into play, that I arrive at an original idea. By giving my brain a chance to make associations, draw connections, take me by surprise. And often even that idea doesn’t turn out to be very good. I need time to think about it, too, to make mistakes and recognize them, to make false starts and correct them, to outlast my impulses, to defeat my desire to declare the job done and move on to the next thing.

I used to have students who bragged to me about how fast they wrote their papers. I would tell them that the great German novelist Thomas Mann said that a writer is someone for whom writing is more difficult than it is for other people. The best writers write much more slowly than everyone else, and the better they are, the slower they write. James Joyce wrote Ulysses, the greatest novel of the 20th century, at the rate of about a hundred words a day—half the length of the selection I read you earlier from Heart of Darkness—for seven years. T. S. Eliot, one of the greatest poets our country has ever produced, wrote about 150 pages of poetry over the course of his entire 25-year career. That’s half a page a month. So it is with any other form of thought. You do your best thinking by slowing down and concentrating.

Now that’s the third time I’ve used that word, concentrating. Concentrating, focusing. You can just as easily consider this lecture to be about concentration as about solitude. Think about what the word means. It means gathering yourself together into a single point rather than letting yourself be dispersed everywhere into a cloud of electronic and social input. It seems to me that Facebook and Twitter and YouTube—and just so you don’t think this is a generational thing, TV and radio and magazines and even newspapers, too—are all ultimately just an elaborate excuse to run away from yourself. To avoid the difficult and troubling questions that being human throws in your way. Am I doing the right thing with my life? Do I believe the things I was taught as a child? What do the words I live by—words like duty, honor, and country—really mean? Am I happy?

You and the members of the other service academies are in a unique position among college students, especially today. Not only do you know that you’re going to have a job when you graduate, you even know who your employer is going to be. But what happens after you fulfill your commitment to the Army? Unless you know who you are, how will you figure out what you want to do with the rest of your life? Unless you’re able to listen to yourself, to that quiet voice inside that tells you what you really care about, what you really believe in—indeed, how those things might be evolving under the pressure of your experiences. Students everywhere else agonize over these questions, and while you may not be doing so now, you are only postponing them for a few years.

Maybe some of you are agonizing over them now. Not everyone who starts here decides to finish here. It’s no wonder and no cause for shame. You are being put through the most demanding training anyone can ask of people your age, and you are committing yourself to work of awesome responsibility and mortal danger. The very rigor and regimentation to which you are quite properly subject here naturally has a tendency to make you lose touch with the passion that brought you here in the first place. I saw exactly the same kind of thing at Yale. It’s not that my students were robots. Quite the reverse. They were in­tensely idealistic, but the overwhelming weight of their practical responsibilities, all of those hoops they had to jump through, often made them lose sight of what those ideals were. Why they were doing it all in the first place.

So it’s perfectly natural to have doubts, or questions, or even just difficulties. The question is, what do you do with them? Do you suppress them, do you distract yourself from them, do you pretend they don’t exist? Or do you confront them directly, honestly, courageously? If you decide to do so, you will find that the answers to these dilemmas are not to be found on Twitter or Comedy Central or even in The New York Times. They can only be found within—without distractions, without peer pressure, in solitude.

But let me be clear that solitude doesn’t always have to mean introspection. Let’s go back to Heart of Darkness. It’s the solitude of concentration that saves Marlow amidst the madness of the Central Station. When he gets there he finds out that the steamboat he’s supposed to sail upriver has a giant hole in it, and no one is going to help him fix it. “I let him run on,” he says, “this papier-mâchĂ© Mephistopheles”—he’s talking not about the manager but his assistant, who’s even worse, since he’s still trying to kiss his way up the hierarchy, and who’s been raving away at him. You can think of him as the Internet, the ever-present social buzz, chattering away at you 24/7:

I let him run on, this papier-mâché Mephistopheles and it seemed to me that if I tried I could poke my forefinger through him, and would find nothing inside but a little loose dirt. . . .

It was a great comfort to turn from that chap to . . . the battered, twisted, ruined, tin-pot steamboat. . . . I had expended enough hard work on her to make me love her. No influential friend would have served me better. She had given me a chance to come out a bit—to find out what I could do. No, I don’t like work. I had rather laze about and think of all the fine things that can be done. I don’t like work—no man does—but I like what is in the work,—the chance to find yourself. Your own reality—for yourself, not for others—what no other man can ever know.

“The chance to find yourself.” Now that phrase, “finding yourself,” has acquired a bad reputation. It suggests an aimless liberal-arts college graduate—an English major, no doubt, someone who went to a place like Amherst or Pomona—who’s too spoiled to get a job and spends his time staring off into space. But here’s Marlow, a mariner, a ship’s captain. A more practical, hardheaded person you could not find. And I should say that Marlow’s creator, Conrad, spent 19 years as a merchant marine, eight of them as a ship’s captain, before he became a writer, so this wasn’t just some artist’s idea of a sailor. Marlow believes in the need to find yourself just as much as anyone does, and the way to do it, he says, is work, solitary work. Concentration. Climbing on that steamboat and spending a few uninterrupted hours hammering it into shape. Or building a house, or cooking a meal, or even writing a college paper, if you really put yourself into it.

“Your own reality—for yourself, not for others.” Thinking for yourself means finding yourself, finding your own reality. Here’s the other problem with Facebook and Twitter and even The New York Times. When you expose yourself to those things, especially in the constant way that people do now—older people as well as younger people—you are continuously bombarding yourself with a stream of other people’s thoughts. You are marinating yourself in the conventional wisdom. In other people’s reality: for others, not for yourself. You are creating a cacophony in which it is impossible to hear your own voice, whether it’s yourself you’re thinking about or anything else. That’s what Emerson meant when he said that “he who should inspire and lead his race must be defended from travelling with the souls of other men, from living, breathing, reading, and writing in the daily, time-worn yoke of their opinions.” Notice that he uses the word lead. Leadership means finding a new direction, not simply putting yourself at the front of the herd that’s heading toward the cliff.

So why is reading books any better than reading tweets or wall posts? Well, sometimes it isn’t. Sometimes, you need to put down your book, if only to think about what you’re reading, what you think about what you’re reading. But a book has two advantages over a tweet. First, the person who wrote it thought about it a lot more carefully. The book is the result of his solitude, his attempt to think for himself.

Second, most books are old. This is not a disadvantage: this is precisely what makes them valuable. They stand against the conventional wisdom of today simply because they’re not from today. Even if they merely reflect the conventional wisdom of their own day, they say something different from what you hear all the time. But the great books, the ones you find on a syllabus, the ones people have continued to read, don’t reflect the conventional wisdom of their day. They say things that have the permanent power to disrupt our habits of thought. They were revolutionary in their own time, and they are still revolutionary today. And when I say “revolutionary,” I am deliberately evoking the American Revolution, because it was a result of precisely this kind of independent thinking. Without solitude—the solitude of Adams and Jefferson and Hamilton and Madison and Thomas Paine—there would be no America.

So solitude can mean introspection, it can mean the concentration of focused work, and it can mean sustained reading. All of these help you to know yourself better. But there’s one more thing I’m going to include as a form of solitude, and it will seem counterintuitive: friendship. Of course friendship is the opposite of solitude; it means being with other people. But I’m talking about one kind of friendship in particular, the deep friendship of intimate conversation. Long, uninterrupted talk with one other person. Not Skyping with three people and texting with two others at the same time while you hang out in a friend’s room listening to music and studying. That’s what Emerson meant when he said that “the soul environs itself with friends, that it may enter into a grander self-acquaintance or solitude.”

Introspection means talking to yourself, and one of the best ways of talking to yourself is by talking to another person. One other person you can trust, one other person to whom you can unfold your soul. One other person you feel safe enough with to allow you to acknowledge things—to acknowledge things to yourself—that you otherwise can’t. Doubts you aren’t supposed to have, questions you aren’t supposed to ask. Feelings or opinions that would get you laughed at by the group or reprimanded by the authorities.

This is what we call thinking out loud, discovering what you believe in the course of articulating it. But it takes just as much time and just as much patience as solitude in the strict sense. And our new electronic world has disrupted it just as violently. Instead of having one or two true friends that we can sit and talk to for three hours at a time, we have 968 “friends” that we never actually talk to; instead we just bounce one-line messages off them a hundred times a day. This is not friendship, this is distraction.

I know that none of this is easy for you. Even if you threw away your cell phones and unplugged your computers, the rigors of your training here keep you too busy to make solitude, in any of these forms, anything less than very difficult to find. But the highest reason you need to try is precisely because of what the job you are training for will demand of you.

You’ve probably heard about the hazing scandal at the U.S. naval base in Bahrain that was all over the news recently. Terrible, abusive stuff that involved an entire unit and was orchestrated, allegedly, by the head of the unit, a senior noncommissioned officer. What are you going to do if you’re confronted with a situation like that going on in your unit? Will you have the courage to do what’s right? Will you even know what the right thing is? It’s easy to read a code of conduct, not so easy to put it into practice, especially if you risk losing the loyalty of the people serving under you, or the trust of your peer officers, or the approval of your superiors. What if you’re not the commanding officer, but you see your superiors condoning something you think is wrong?

How will you find the strength and wisdom to challenge an unwise order or question a wrongheaded policy? What will you do the first time you have to write a letter to the mother of a slain soldier? How will you find words of comfort that are more than just empty formulas?

These are truly formidable dilemmas, more so than most other people will ever have to face in their lives, let alone when they’re 23. The time to start preparing yourself for them is now. And the way to do it is by thinking through these issues for yourself—morality, mortality, honor—so you will have the strength to deal with them when they arise. Waiting until you have to confront them in practice would be like waiting for your first firefight to learn how to shoot your weapon. Once the situation is upon you, it’s too late. You have to be prepared in advance. You need to know, already, who you are and what you believe: not what the Army believes, not what your peers believe (that may be exactly the problem), but what you believe.

How can you know that unless you’ve taken counsel with yourself in solitude? I started by noting that solitude and leadership would seem to be contradictory things. But it seems to me that solitude is the very essence of leadership. The position of the leader is ultimately an intensely solitary, even intensely lonely one. However many people you may consult, you are the one who has to make the hard decisions. And at such moments, all you really have is yourself.

Tuesday, July 6, 2010

Employees First, Customers Second : A Book Review by Mark McDonald

Vineet Nayar is the Chief Executive Officer of HCL Technologies Ltd., a leading global IT Services Company.

Vineet Nayar’s Employees First, Customers Second (EFCS) is a first person CEO’s account of the transformation of their enterprise. The book is a refreshing and frank look at the challenges facing leaders looking to transform their company, culture and employees. Nayar discusses his experience leading HCLT and its transformation from a $700 million dollar company that was losing market share to a $2 billion dollar company at the front of their market.

Nayar provides a clear, well-written and frank discussion of the issues he faced and his personal thought process and learning journey during the transformation. It is rare that a sitting CEO provides such a frank and honest discussion of the company and personal journey. At 185 pages in a small format, the book is an excellent size and length for executives to read, reflect on and consider how it fits into their strategies and plans.

Recommended reading for executives who are frustrated with the current structure and culture of the modern organization.

CEO and BU executives will gain an understanding of new views on leveraging the talent, knowledge and passion of their people both internally and more importantly with customers.

HR and Staff Executives will be exposed to a different view of their role. This is not a direct focus of the book, but reading it will help you think differently about what you do and how it creates/connects to value.

Individuals will see an example of the actions and evolution involved in realizing a new way of working. Just about everyone wants to work this way and this book provides an example that can help crystallize your thoughts and how you communicate with your peers and management.

It is particularly recommended to read now or at a minimum have read during the summer months so these ideas can influence their strategic planning and initiatives for 2011.

This book will provide fresh views and a new configuration of approaches to create a new style of organization. A list of strengths and challenges are at the end of this review.

The book covers a number of ‘tools’ and ideas that are particularly helpful for understanding what you can do to change your enterprise. Many of these ideas are based on existing thoughts, but Nayar presents them in a fresh view integrated around the idea of putting employees first. Some of the tools included in the book include:

Value Zone – the place in the organization where the company creates value with the customer. This zone is at the bottom of the enterprise not the top and that reality shapes much of the thinking in the book. You may recognize this in other words as the ‘moment of value’

Mirror/Mirror – a process where the company and individuals confront the truth of their situation, strengths and weaknesses, and what they need to do about it. This is a direct descendent of confronting reality in the TQM movement.

Transparent House – the role and change created by making traditional management information, plans, evaluations etc available to all.

Zero Tickets – the notion that enabling functions not only work to resolve issues but need to be dedicated to eliminating them. This again builds on TQM principles.

True 360 evaluation and feedback, which can be easily thought of as old hat but which Nayar gives a fresh perspective and experience.

Overall this is a good book and one that will help every executive think about how their company works and what it does to create value. It is important to note that while Nayar’s company is based in India, his business is global and these techniques are working in multiple geographies, cultures and workforces. This means that his experience is readily transferable to other organizations and situations.

Strengths:

Clear and comprehensive in terms of describing the business situation and the actions they took to address the issues. There is no consultant-ese or academic mumbo jumbo, just clear thinking clearly explained.

Solution specific in terms of defining specific initiatives, tools, things that the company did to create results and address issues.

Comprehensive discussing multiple aspects of the transformation from the way they worked with customers, to enabling functions, evaluations, transparency and the changing role of the CEO and their office.

Insightful as Nayar reflects on what has happened at the most basic and fundamental level. For example his discussion of the evolved nature of 360-degree feedback (p. 116 – 126) gives this tool a new power and rational.

Focused and humble as Nayar accomplishes all of this in just 185 pages without aggrandizing himself, his company or its track record. This gives the book a clear and honest tone that puts conviction behind the words.

Realistic as Nayar recognized and values the people who say ‘yes, but’ he then goes on to share the insights and changes in the solution generated by people who have legitimate and value issues with the stated direction. This is a balanced and mature approach to change that is refreshingly different than branding people as the enemy.

Challenges:

Nayar’s discussion of the business issues and situations are often at a high level. While I understand the business and publishing rational behind this, it does weaken the context and may lead some people to think that this does not apply to them – it does.

Nayar presents a fairly straightforward time progression; we did this, then that, then that. This is a strength in making the book clear and focused, but it has caused Nayar to omit what I am sure are some of the

The book is somewhat impersonal, not from the CEO’s perspective, but from the perspective of the people a HCLIT who we hear little about and even less from. It is paradoxical in that the book is about putting employees first, but we really never hear from the employees. A brief first person story of the transformations that an individual manager or front line person when through would have made this a five star book.

Overall the challenges do not rob the value of the ideas, experience and insight presented in this book. Read it and think about its applicability to your company, industry and situation. There is much here to think about and even better a deep example of what one company did.

Mark McDonald, Ph.D., is a group vice president and head of research in Gartner Executive Programs. He is responsible for the research agenda focused exclusively on CIOs and the business of information technology. Mr. McDonald is the lead author of research in the areas of CIO credibility, the business use of advanced technologies, enterprise architecture and business process transformation. He is the co-author with Peter Keen of "The eProcess Edge" and the author of "Architecting Enterprises - Achieving Performance and Flexibility."

Monday, July 5, 2010

How Coca-Cola Turned Santa Claus Red


Have you ever noticed that the colour of Santa Claus’ suit is the exact same red as the label for Coke? “That’s not a coincidence; the Coca-Cola Company holds a patent on the colour. The consequence of being exposed to messages associating Coke with things like Christmas is that when we see the logo on a Coca-Cola can, we feel good, and these positive emotions augment the taste of the soda,” says Sheena Iyengar, a professor at the Columbia Business School, with a joint appointment in the Department of Psychology. She is a leading expert on choice and has most recently written the best-selling The Art of Choosing — the decisions we make everyday — what they say about us and how we can improve them. All this, without the ability to see — Sheena is visually challenged. In this interview she speaks on various aspects of choice to DNA.

You write that animals in captivity live much lesser than those in natural habitats. Why is that? How is that linked to choice?

Yes, it’s true that captivity can have a number of deleterious effects for zoo animals, including decreased lifespan. In part, this is because zoo life comes into conflict with the animals’ natural survival instincts. For instance, there’s no possibility of migrating or of hoarding food for the winter, and the animals have no way of knowing whether the food that has magically appeared each day thus far will appear again tomorrow. This lack of control triggers a stress response, in which the animals are constantly in what we might call “crisis mode.” Remaining in a constant state of heightened alert can induce a weakened immune system, ulcers, and even heart problems. Humans can also suffer, both physically and mentally, from the inability to exercise control; these negative effects can surface not just when we experience profound restrictions on our freedom, but even when we perceive a lack of ability to choose in more everyday situations, like the workplace.

What happens at the workplace?

At the workplace it seems people at the upper helms, even though they have greater pressure at work, are the ones who are less likely to die of a heart disease.

Why is that?

It turns out that despite having greater responsibility people in the upper echelons of the career field generally have greater control over their day-to-day activities than those in the lower tiers. So for example, although a CEO’s shouldering of accountability for his company’s profit is certainly stressful, it turns out that his assistant’s responsibility for, say, collating an endless number of memos is even more stressful.The Whitehall studies (a decade long research project conducted by Professor Michael Marmot) found that the less control people had over their work, the higher their blood pressure during work hours, and the more likely they are to experience other physical and mental health difficulties. The most important message from these studies, though, is that it’s really the perception of control that matters: a well-compensated executive who feels helpless will suffer the same type of negative physiological response as a low-paid mailroom clerk. On the other hand, this suggests that viewing our lives in terms of choice and control could have a beneficial effect on our mental and physical state.

More choice is always not good, is a point you make. But it has largely been perceived to be otherwise. Why do you say more choice is not good?

When making a choice, first and foremost, we have to be able to identify what it is that we want. That means that you have to know what you’re looking for.

Then, you need to know what the options are before you, how they differ from one another, and which one is closest to what you want. This process is hard enough for all of us to do when we’re choosing from just a couple of options, and it only gets harder and harder for us as the number of options proliferate. We can only handle so much choice, cognitively and emotionally, before we get confused and frustrated.

Can you give us an example?

This effect was first demonstrated by my “jam study” with Mark Lepper, which we conducted at the Draeger’s grocery store in Menlo Park, California, to determine whether the store’s abundant variety of options actually translated into higher sales. We set up a tasting booth near the entrance of the store at which we put out either 6 flavours of jam or 24.We looked at two things.First, in which case were people more likely to stop at the tasting booth?In which scenario were people more attracted to jam?In fact, 60% of the shoppers walking by stopped when 24 jams were displayed. When only 6 jams were displayed, only 40% stopped.The second thing we looked at was in which case people were more likely to buy a jar of jam.Now we see the reverse.Of the people who stopped when there were 24 jams on display, only 3% actually bought a jar of jam.In contrast, when there were 6 jars of jam on display 30% of the people who stopped ended up buying a jar of jam.If you do the math, when there were 6 jams on display people were over six times more likely to buy a jar of jam than when there were 24 jams on display.

And why is that?

It turns out that due to our cognitive limitations, making a choice becomes increasingly difficult as the options increase, and so we might decide to skip the choice altogether. My colleagues and I have studied decision contexts ranging from buying chocolate to applying for jobs to making healthcare decisions and we have consistently found that large assortments can have three negative effects: people are less committed to making a choice, they make more errors and are less consistent in their choices, and even if they make objectively good choices they can be less satisfied with the choosing process or with their outcomes.

One of the most interesting things you talk about in your book is about the fall of the Berlin Wall. After the fall, people of the erstwhile East Germany for the first time had access to a lot of choice when it came to buying goods and services. But they were not happy about it. What happened there?

A lot of it comes down to people having different conceptions of “freedom” and “choice,” depending upon their background and upbringing. The idealized capitalist system first and foremost emphasizes “freedom from” external restrictions on one’s ability to rise in society’s ranks. The idealised communist/socialist system, by contrast, aims for equality of outcomes rather than of opportunities, guaranteeing all its members the “freedom to” obtain an adequate standard of living. Those who live in formerly communist countries have been handed the challenging task of transitioning from a society on one end of the spectrum to a democratic and capitalist society that lies much closer to the opposite end. As I spoke with a variety of people in Berlin, it became clear that one hurdle in this transition has been that people’s long-held assumptions about fairness can’t simply be swapped for another set of beliefs. For instance, Klaus lamented, “In the old days, the only place I could vacation was Hungary, but at least I knew I had a vacation. Now I could go anywhere, but I can afford to go nowhere.” Klaus and many of the other East Berliners I spoke with, in particular the older people, focused on “freedom to,” even though communism was now only a memory for them.

You write “the way we frame information can make a big difference in how we see and respond to choice”. Why is that?

Every time we encounter new information or reexamine old information, we’re influenced by its presentation. This can have a positive impact on our decisions, such as when Coca-Cola CEO Robert Goizueta got executives to think outside the box by reframing the company’s position, urging them to think of it not in terms of the percentage of the soft drink market they held, but rather, the percentage of the entire liquid market they had. This led to a dramatic shift in the company’s mission, the results of which were awe-inspiring: in 1981, the total value of Coca-Cola stock was $4.3 billion; by the time of Goizueta’s death in 1997, it had burgeoned to over $152 billion.

Talking about Coca Cola, can you tell us why is the colour of Santa Claus’ suit same as the colour of Coca Cola bottle? How does that influence choice?

The image of Santa Claus as we know it today, a jolly fat man wearing a bright red suit and cap, black boots and belt, and a generous smile on his rosy face, was created by Swedish illustrator Haddon Sundblom, who was commissioned by the Coca-Cola Company to draw advertisements of St. Nick delivering Cokes to the thirsty children of the world. Ever notice that Santa’s suit is the exact same red as the label for Coke? That’s not a coincidence: the Coca-Cola Company holds a patent on the colour. The consequence of being exposed to messages associating Coke with things like Christmas is that when we see the logo on a Coca-Cola can, we feel good, and these positive emotions augment the taste of the soda.

Do we make fashion or does fashion make us?

Are we being influenced by outside forces when we choose? Yes, all the time. We’re being manipulated, if we will, by marketers, our friends, our family, our co-workers, and so on. This is particularly true when it comes to fashion; indeed, an entire industry has sprung up around predicting what will be the hottest colors and styles in coming seasons, and these “predictions” are edging ever closer to becoming their own causes. If designers believe that white will be the new black and so only make white dresses, or if the stores only order the white ones, then that’s what consumers will buy. Even if you’re trying to go against the grain or simply don’t care about clothes, your choices will still be shaped by the trends of the moment.

What can we do about these sorts of influences on our choices?

It would be impossible to avoid each and every influence we encounter - and if we tried, we’d go crazy. The important thing to keep in mind is that the presence of these manipulating factors does not necessarily undermine our free will. What we can all do is identify the kinds of choices that are most important to us, and for those domains, consciously make the decision to guard our choosing process and say “no” to environmental influences. In my view, that’s our free will: the ability to say “no” to what’s going on outside of ourselves when it really matters, as opposed to the ability to decide what influences you will encounter.

Packaging is a very important part of a product. How does it influence our buying decisions and hence choice?

In an episode of their cable television show, American magicians/entertainers Penn and Teller crafted a clever ruse showing the importance of packaging. They hired an actor to play a “water steward” at a fancy restaurant, whose job it was to present unsuspecting diners with a leather-bound menu of bottled waters with names like Mount Fuji and L’eau du Robinet, which cost up to $7 a bottle. He described the benefits of the various brands—for example, that one was “a natural diuretic and antitoxin”—and made recommendations. If diners decided to buy any of the water, he poured it into their glasses, then set the remainder of the bottle in an ice-filled wine bucket next to their table. He also solicited their opinions about the taste, and the diners agreed that their waters had been clearly superior to tap water, describing them as “crisper” and “smoother.” Of course, all water is “a natural diuretic and antitoxin,” and L’eau du Robinet is just French for “tap water.” But in fact, all the water served to the diners actually came from a common source: an outdoor faucet behind the restaurant. It turns out that everything from the colour of a product’s logo—or of the product itself—to the shape of its packaging can change people’s preferences. Why is this? Not only do we rely on labels to provide information to guide our choices, but our choices are based as much on the identities they express as on their possible outcomes, and what a particular product says about “who we are.”

Why aren’t water companies advertising the fact that water is healthier than soft drinks and are instead of coming up with all kinds of selling points?

Often, different brands are actually owned by the same megacorporation. For example, the two best-selling brands of bottled water in the US are owned by Pepsi (Aquafina) and Coke (Dasani), which is why you’re unlikely to see them aggressively advertising their health benefits relative to soft drinks, one of the few claims they could legitimately make.

How do views on choice vary by culture?

There are different narratives for how to choose; for example, the American narrative of individualism, and the Asian narrative of collectivism. Those raised in more individualist societies are taught to focus primarily on the “I” when choosing, giving priority to their personal preferences and goals. Members of collectivist societies are taught to privilege the “we” in choosing, to view themselves primarily in terms of the groups to which they belong, such as family, coworkers, or village, and to give priority to the goals and preferences of these in-groups. These are both ways in which people conceive of their lives that fall along a spectrum; whereas both extreme ends of the spectrum are problematic, different places along the continuum have their own particular benefits, and I believe there’s something to be learned from both narratives.

How does this play out in a real world sense?

In 1998, I persuaded John Reed, the inventor of the automated teller machines and the CEO of Citicorp that time, to allow me to examine how people from different cultural backgrounds perceive work environment, and how this in turn related to their performance and satisfaction with their jobs. In the Citicorp study, we found that there were cultural differences with regard to the amount of choice employees believed they had in their jobs, even if they were working under the same manager.

Employees in Asia, along with the Asian Americans, were less likely than Anglo American, Hispanic American, or African American employees to think of their day-to-day activities at work in terms of choice, and Latin Americans’ perceptions of choice fell in between these two groups. This in turn had important implications for how these employees were motivated. For all the American employees except Asian Americans, the more choice they thought they had, the higher they scored on all measures of motivation, satisfaction, and performance. In contrast, Asian participants, whether from Asia or the United States, scored higher when they thought their day-to-day tasks were determined primarily by their managers, and Latin American employees once again fell somewhere in the middle. What’s interesting about these results is not only that people, based on cultural background, differ in the ideas that have about what constitutes “choice” and how they perceive and are motivated by choice in the workplace.

What is the essential message that you are trying to give through the book?

The Art of Choosing looks at three questions: 1. Why do we choose - where does choice get its power from? 2. How do we make choices - what are the various factors that influence how and what we choose? 3. Given all this, how can we choose better? In writing the book, my goal was to offer useful insights about choice that any reader would be able to apply to his or her life. One of the most important messages I’d like to convey is that we can all benefit from being choosy about choosing. Ask yourself: “How much choice do I really need? Is it really worth it to me to make this choice, or is it a distraction from my more important goals?”

What amazed me the most is the fact that you cannot see and still you have managed to be so successful in life. How do you manage?

All of us must contend with circumstances that we did not choose; for me, blindness is one of these circumstances. Being blind took many options off the table, among them my childhood dream of becoming a pilot. But this bodily condition that I did not choose led me to make the most of what I could choose. It reminds me every day that I must focus on the choices that matter.