Author Archives: Rajan Parulekar

About Rajan Parulekar

I write on different topics like management, book reviews, human behaviour etc. The main objective is to provide a different viewpoint on the conventional topics.

Flow: The Psychology of Optimal Experience- I

While conducting a stress management program for Scope International, a BPO of Standard Chartered Bank, I asked the participants what their ideas of happiness were. The participants in the age group of 21-30 years shared that the ideas included chill-out in pubs/malls, watching a live cricket match or a movie at a multiplex or on TV. When asked how long one can watch TV on a long weekend or how would they feel after pub-hopping on a late Friday evening? The surprise for them was the subsequent days may be boring.

What is Flow:

Has it ever happened that you were drafting an article, playing an instrument, making a recipe or even completing an official assignment and you got so engrossed in your task that you were oblivious of how time flew and the few hours you spent felt like few minutes?

This phenomenon was termed as Flow by Prof. Mihaly Csikszentmihalyi who did pioneering work on the above subject for more than 25 years at the University of Chicago.

Viktor Frankl says in Man’s Search for Meaning: happiness like success cannot be chased; the more you pursue, the more it eludes. To be happy, one should be engaged in an activity which is conducted to the best of one’s abilities and which stretches your physical and/or mental capabilities.

If the task is routine, and below your skills level, then you may find it boring; if it is too complex, it will be frustrating. Only when the task complexity is marginally higher than one’s abilities then the likelihood of flow is possible. (Refer the Figure)

Pleasure and Fulfillment

It will be pertinent to note two concepts Pleasure and Fulfillment.

Pleasure: is the experience one gets when one’s goals are achieved which are either set by biological needs like sex, hunger, thirst etc. or social conditioning like money, fame, power or acquiring premium objects of luxury.

Fulfillment: is an experience you get when you stretch your physical and mental limits in achieving a task and while doing so you may achieve something unexpected with a sense of novelty. The activity may not be pleasurable when you were performing it but may look satisfying in retrospect.

When asked to recollect the moments of happiness (in the Standard Chartered example indicated above) one person recollected the arduous struggle he had to undergo for three years with financial difficulties to complete his CA studies. The other person who was an IT administrator said the server in his company was down and he worked for sixteen hours at a stretch and was able to rectify the problem after having worked throughout the night. The moment the server and the entire IT network started  working, he not only was relieved but also felt a sense of accomplishment. When the Sr. Management from US appreciated the wonderful job, he was indeed on cloud nine! That is fulfillment. Both these people were able to recollect these incidences vividly even after a gap of three years. On the contrary, they could not recollect the mall or the pub they had visited three weeks back.

People often misrepresent happiness for pleasure which is achieved by goals set by biological programming like homeostasis, a feeling of satiation after having a sumptuous lunch or alcohol. Social conditioning also leads to pleasure includes getting a job with a higher CTC, a senior designation, or a bigger car.

Achieving happiness by controlling Consciousness

Individual consciousness is the representation of the outside and the inner world as experienced by a person and the way she interprets the same, evaluates and takes an action. It is not the external reality per se; but the representation of the same in one’s mind.

The normal state of consciousness is chaos which is evident by the rapid and the random thoughts we have on a day-to-day basis. The normal state affects our attention and leads to distraction e.g., the tendency to look at WhatsApp every few minutes. In case of a flow experience the chaotic contents of the consciousness are rearranged in a systematic way. For example, if you are writing an important document, but every few minutes you are distracted by the notifications, WA messages, mobile calls, your mind is in a chaotic state. However, if you keep your mobile in a silent mode and keep it at a distance and concentrate fully on that document with full attention; you may get into a flow state wherein your mind may be able to appreciate the finer nuances and the complexities of the project.

Bringing Order to Chaos

Flow can be considered as bringing order to consciousness. It is relatively easy to experience flow when the external circumstances are favourable. However there are rare situations where people like Veer Savarkar or Albert Schweitzer were able to get into flow in spite of hostile circumstances.

Veer Savarkar was incarcerated in cellular Jail in Andaman Islands from 1911 to 1920. He was subjected to extreme hardship involving leg iron chains, crossbar fetters, flogging, extracting oil from coconuts, and neck-ring shackles. The tiny solitary cell of 10’x10’ was aimed at making a nervous wreck out of him. Despite such trying circumstances, with no access to paper and pen/pencil, Veer Savarkar was able to produce an exceptional quality of Marathi poetry and prose on his room walls by writing using nails and safety pins.

Dr. Albert Schweitzer was an Alsatian polymath. He was a theologian, organist, musicologist, writer, humanitarian, philosopher and a physician. He was known for setting up his medical hospitals in Lambarene, Africa. He was born in Alsace which was on the border of Germany and France. Due to some technical issue on his citizenship, he was incarcerated in a German jail. He also had a passion for Western Classical music and later obtained his Ph.D. for interpretation of Bach. To continue his music practice in jail, he used a wooden plank, in the absence of a conventional church organ.

Limits of Consciousness

It is said that at any moment, the human mind can process 7 bits of information. The shortest time to record the data in mind is 1/18th of a second. That means each second the mind can process 18 X 7 bits of information, which is 126 bits per second. It translates to 7560 bits per minute, 0.5 million bits per hour and around 185 billion bits of information can be stored in the mind for an average of 70  years. To understand a person, it requires around 40 bits/second. Now the 185 billion bits of information is stored in terms of thoughts, feelings, words and action.(1)

How do we use this information? Do we use it wisely or otherwise? 15% of our waking time is spent on daily chores, washing, eating, ablutions etc. The free time that we get we spend watching TV, reading WA, newspapers, gossip etc. Such activities do not stretch the mind. It does not allow the mind to process added information by making efforts or make the consciousness complex. (2) Can we perform the day-to-day activities with awareness? Can you focus your attention and delete the unwanted information that hits you every now and then? If you can do that by bringing order into your consciousness you are getting into flow.

When flow happens

Flow happens when there is a balance between the skills the person possesses and the challenges he faces through the external environment. If the challenges are much higher than the available skills then anxiety sets in. Whereas if the task is too simple then boredom happens. Thus, flow is a golden mean between anxiety and boredom.

The body is an excellent medium to achieve flow. Jogging, Yoga, martial arts, sports, tai-chi, meditation can help the body to achieve flow. Involving different sense organs for appreciating music, photography, painting, relishing food can help achieve flow.

It can be achieved by using intellect and includes writing or appreciation of poetry, philosophy, mathematics, physics, literature etc. An attitude of life-long learning is extremely important.

Flow can also happen by cultivating hobbies. However, a person has the maximum scope of getting flow experiences at his workplace. Most of us work to pay our bills, earn a living and the provision of security. We feel that we enjoy life more during our free time. Given a choice we prefer to have more leisure and less work. But the converse is true. People can get more flow experiences at the workplace ( provided they enjoy their work) than at leisure and as Thomas Carlyle said, ‘blessed is he who has found his work; let him ask no other blessedness.’

What you do during your work hours will determine what you have. What you do during your leisure will decide who you are. – George Eastman

Reference:

  1. Limits of Consciousness: Miller (1956), Orme ( 1959) on the basis of Uexkull’s ( 1957) calculations on 1/18th Second as the threshold of discrimination.
  2. Free Time: ESM Studies by Csikszentmihalyi , Larson and Prescott (1977)

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Adversity and Personal Growth

In one of the LinkedIn posts, a lady CEO had shared  that her son who is in 9th standard could not trace his Physics book, just prior to the exams. His mother was in office whom the son was desperately trying to get in touch with.  The lady who was busy in some urgent meeting did not notice his call due to some urgent preoccupation. The mother was quite worried about the pain her son went through for the three hours and had a great sense of guilt for not supporting her son during such trying circumstances.

What’s better for a child? Providing everything on the platter by eliminating all the uncertainties or learning by trial-and-error and figuring it out in life? The former may be good in the short-term but is it so in the long-term too?

Seema, a lady in her late 30s, once called me over phone (at her father’s behest) for career guidance. She has done her B.Com, MBA in HR as well as a few courses in computer  programming. She has worked in top-notch software companies as a programmer and then in HR. She wanted advice about a career in corporate training. The only child of her parents, and from a well-to-do family background, having travelled widely across the globe, she was exploring options for her professional career growth.  

Her father, BK is an eminent Marathi author of around 20 books and is an editor of a prestigious Marathi magazine which he ran for 25 odd years. He spent his childhood in a 450 sq feet house, with six family members and from a lower middle class background in Mumbai.  

BK’s father was a dedicated worker for the Communist Party in 1950-70s with no regular fixed income. BK’s mother, a teacher in a municipal school, managed the household with her meagre salary. Once BK shared with me that his father hardly knew which class the children studied while the mother rarely interfered in the children’s studies.  

BK went through challenging circumstances in his childhood as well as in his professional life. At 40, after achieving relative financial stability, he decided that he would not work henceforth only to earn a livelihood. Having detected a sense of purpose, BK decided that he would devote his life for the propagation of quality Marathi Literature. Some of his books include biographies of unknown but highly accomplished personalities. Seema having lived a comfortable childhood and adult life vis-à-vis her father, still is not able to detect a purpose of life at a corresponding age.

BK was once saying, “Quite often, I come across youngsters from well-to-do families who insist that they need to have their personal space and a me-time. What do they really want? I never had such issues in my younger days; even at our 450 sq ft tenement, six people living together.”

As poet Dylan Thomas once said, ‘There is one thing that is worse than having an unhappy childhood and that is having too-happy a childhood.’

Does it mean that children from well-educated and cultured background do not succeed? Of course, they do, in terms of good qualifications, a decent job, high CTC etc. In short they ‘settle down in life’ as per the conventional standards of society.

Some of the factors for success or achievement depends on genetics/heredity, stable family background and also getting the right opportunity, aka luck.

Such children may join the best of the schools, the premium upmarket classes to get into the premium professional colleges. Does the best of the schooling make someone a genius? Lewis Terman from Stanford University and Leta Hollingworth from Columbia university refined the Binet scale to develop the IQ scale. They began identifying children who scored exceptionally well on this IQ tests and those who scored above 130 were identified as genius. Around 1500 students were mapped for their career growth. Most of them were from privileged backgrounds and achieved career and financial success. Dean Keith Simonton in his book Creative Genius terms such students as ‘gifted children.’

Out of these 1500 children there was one person in the group who did not qualify the high IQ types whose talent was overlooked who was William Shockley, the cocreator of transistor and the winner of Nobel in physics. (1)

Francis Galton in his 1869 classic Hereditary Genius defines genius in terms of ‘enduring reputation’. By this Galton meant the opinion of contemporaries revised by posterity. People who have changed the existing paradigms of knowledge, new concepts of social order or credited with pathbreaking inventions like Newton, Darwin, Einstein, Galileo, Marx, Freud, Mahatma Gandhi can be termed as genius by the above criterion. Incidentally none of them were  exceptionally brilliant applying Terman’s yardstick.

Gifted children’s parents are well educated with at least one of them being professional like a doctor, lawyer, engineer, CA etc. They have intellectually stimulating environments like book collection, visiting museums, attending music concerts etc.

Social scientists have, however, found that very few gifted children could become geniuses. There are a number of factors beyond stable home,  infrastructure and genetics which distinguish a creative genius from a conventionally brilliant person. One such factor is whether the person has faced any adversity.

Handicaps like physical or sensory disabilities helped them to reinvent themselves. Somerset Maugham, a renowned British writer used to stammer; Edison  became almost deaf by 12. Aldous Huxley, the eminent writer of Brave New World, suffered from an eye infection which made him nearly blind. (2)

In case of adversities, the correlation of creativity with parents’ bereavement has attracted considerable attention of social scientists. In an ambitious study of 699 eminent persons, it was found that 45% of lost either or both the parents before 21 which include Boyle, Newton, Pascal, Priestly, Descartes, Russel, Sartre etc. (3) For creative writers, 55% of them had lost their parent before 15 and for the British Prime Ministers it was 63% (4)

Social scientists have postulated three hypothesis why adversities maketh a man:

  1. Bereavement Hypothesis:  states the child gets into  an act of achievement to overcome emotional trauma.
  2. Development of Robust Personality:  states the child develops an inner strength to overcome obstacles. Satish Gujral was an eminent painter, sculptor, muralist and writer who was honoured with Padmavibhushan. As a child, while crossing a rickety bridge he slipped and fell into the rapids which resulted in impaired hearing for a major portion of his life. Once an interviewer asked him about the fountain of his creativity, he said, “ maybe that I need to prove my existence on a daily basis.”
  3. Divergence Development Hypothesis: Is the tendency to give up the well-trodden path and opt for the road less travelled. A person with a settled and a comfortable background has parents, close relative or a teacher for guidance. A person going through adversity or not-so-stable a home has to  create a wider circle of influence which may include meeting strangers in trains/buses, a newspaper article, gatecrashing in a company looking out for a job etc. The urge to make new friends and acquaintances in an unknown city also rises with adversity. Apart from making one street-smart,  it also helps in enhancing conventional and tacit knowledge.

Pandit Bhimsen Joshi when he was 10, left his home in search of a guru from his native place Gadag  to different places. With monetary help from co-passengers in train, first he moved to Pune and for the next three years moved around in Gwalior, Lucknow, Delhi, Calcutta. After three years of struggle, Sawai Gandharwa took him as disciple in Dharwad. Similar stories are true for Naushad, Sudhir Phadke etc.

By providing a sanitized environment to our children not only in the physical sense but also on emotional and spiritual perspective; are we enabling for their growth or otherwise?

As Seneca said, ‘I judge you unfortunate because you have never lived through misfortune. You have passed through life without any opponent. No one can ever know what you were capable of, not even you.’

References:

1. Eyesenck H.J. (1995), The Natural History of Creativity

2. Goertzel M.G. et al (1978), Three Hundred Eminent Personalities  

3. Dean Keith Simonton, Origins of Genius, Darwinian Perspectives on Creativity, p116 ( includes around 115 examples)

4. Berrington H, ( 1974) The fiery Chariot, Prime Ministers and the Search for Love, British Journal of Political Science 4, 345-69

5. Wikipedia

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Enhancing Training Effectiveness thro’ the Law of Diffusion of Innovation

Any form of training is ultimately a change management program where the organization expects its executives to approach a problem with a different behaviour, attitude, or a skill. In a highly competitive market where customers are spoilt for choice, the main challenge for salespeople is to effectively demonstrate the value of their products and services to handle the discount issue. There are two approaches in scheduling a training program: a conventional Giving-on-a-Platter (platter) approach and a rarely practised  Earning-One’s-Stripes ( Stripes) approach. The following example will compare and contrast both the approaches.

Aristo India is a leading manufacturer of  sliding wardrobes and kitchen cabinets with HO at Bangalore.  Mr. Kuruvilla Kurian, the Sales Director had a different approach to having a Value-Selling training for his pan-India team which include:

  1. Voluntary Participation: Only those salespeople who are interested can apply for the program. In a Conventional Platter approach, attendance is compulsory as decided by the  senior management and HR.
  2. Efforts prior to Participation: Application for a training program does not guarantee enrolment. Each  applicant needs to write a 500-words essay to articulate one’s raison d’ etre. The essay was carefully evaluated by Ms. Sudipta Shetty, Head-CRM to understand the applicant’s sincerity and the originality of thought.                                  – In a platter approach, there are no efforts. Participants either click on a link to register or fill up a form for enrolment.  
  3. Post-Training Implementation: Based on their essays, a 2-day program titled Value-Selling of Premium Wardrobe Solutions was designed. During the program commencement, the participants stated the challenges which were predominantly  external factors like customers do not listen, they are price sensitive, they are interested only in discounts etc. During the training program, the participants underwent role plays simulating the  real-life situations. By the program conclusion it was shown that some of the problems had an internal locus of control for the sales team like inappropriate body language of the seller, miscommunication, lack of probing, listening etc. The videographed role plays were replayed with exhaustive debriefing.

Post training, Kuru and Sudipta decided that conducting similar role plays for each region internally  could be a better way of enhancing the learning effectiveness. Sudipta took the initiative in arranging  the same. A review session with the trainer on a virtual platform was subsequently arranged for implementation of the action plan.

  • In the platter approach, normally the program gets concluded with a standard feedback form.  

THE DIFFUSION OF INNOVATION theory describes the pattern and speed at which innovative ideas, practices, or products spread through a population which can be correlated in the present article to bringing a cultural change (in beliefs, attitude, values etc.) through training. The main players in a group are classified as innovators, early adopters, early majority, late majority, and laggards. The new ideas are adopted sequentially first by the innovators and lastly by the laggards.

  1. Innovators ( 2.5%) : They are willing to risk and accept any new ideas.
  2. Early Adopters( 13.5%) : Are already aware of the need to change and are comfortable adopting new ideas.
  3. Early Majority (34%) : They need the evidence that the innovation works before willing to adopt it.
  4. Late Majority ( 34%): They are sceptical of change and will only adopt if it has been tried by the early majority.
  5. Laggards ( 16%): Are bound by tradition and are conservative.

The characteristics of the Platter approach are:

  1. It targets the entire population irrespective of their intent and the degree of willingness to change.
  2. Being mandatory it may degenerate into an ‘event’ in  terms of food, ambience, entertainment thro fun/videos and freebies for the majority (early and late) and the laggards.
  3. A CHRO from a renowned construction company shared that their managers are interested only in branded programs from IIMs where the main motive is certification.
  4. Quite often the line managers are reluctant to nominate their reportees for the program  complaining that it affects the completion of their immediate tasks. I am not sure whether they too belong to the majority and the laggards.

How does the stripes approach differ from the platter approach? The former targets only the early adopters rather than the entire group.  It also does not link training program to certification, promotion, or increments but only to the interest and the initiative of the participant. The diffusion of training to other segments like majority and laggards is ultimately decided by the program quality and the way the early adopters spread the message.

The platter approach makes training mandatory treating all the subgroups like early adopters, late majority, laggards in the same bracket whereas the stripes approach creates a demand for training. The first batch of Value Selling program for Aristo India was targetted for the early adopters. This in turn has created so much buzz that others are willing to enrol for the second batch but only after going through the rigour of an essay and a selection process. Remember, anything that is given on a platter is never valued. The difference between the two approaches is summarized in the table below.

PLATTER VS STRIPES APPROACH

 PlatterStripes
Management ParadigmTraining is mandatoryTraining is optional
Target SegmentRandom, no specific targetEarly Adopters
EnrolmentBy DefaultSelection thro’ an  Essay
Participant MindsetReactiveProactive
Locus of ControlExternal  like certificationInternal – Job Enrichment
Efforts by HRNormalExtensive
Buy-in from the non-attendeesNot ApplicableCreates demand depending on  the program quality and the buzz.

The Ikea Effect – Customer as a Co-Creator of Value

Recently the Swedish Furniture giant IKEA opened its Bangalore store spread over 12 acres at Nagasandra in Bangalore. There was such an overwhelming response that people had to wait for three hours to get an entry. IKEA, a Swedish MNC is a $47Bn company with 458 stores in 50 countries with  225,000 staff. 

The business model of IKEA is  to make affordable and contemporary furniture on a global scale. The pain points in the existing furniture market were:

  1. Traditionally packed furniture was prone to damage during transit.
  2. The cost of transportation was high.

IKEA developed  a flat packaging mechanism. The flat boxes reduced storage space and thus the transport cost. Its target segment were the price sensitive customers.

With DIY ( do-it-yourself)  kits, IKEA helped the customers to assemble their own furniture, eliminated the intermediaries like wholesalers, retailer and thus involved the end customer directly in the value chain. It also decided to manufacture standardized products keeping in the cultural context.

The company takes care in understanding the customer needs.  E.g. ‘Kurs’ was a small bedside table with a drawer. The product did not succeed in the US even though it had a major success in the European market. The market intelligence revealed that shallow drawers with plastic slides was one of the major deterrents. IKEA reworked the design with deep drawers and  non-plastic slides. After 4 years it was a top selling product in the US.

Along with the  furniture kits, the customers are provided with  tape measures, shopping list, pencil and a writing pad. Pick up vans and mini trucks are also arranged for the last mile connectivity. 

What does Ikea do to attract customers?

  1. The company has  built  large stores where you can leave your kids for play activities.
  2. The stores are lit through electricity 24/7 without access to sunlight, a trick borrowed from Casinos; the clocks are either fake or do not tell the right time. – you lose your sense of time  and unknowingly buy more.
  3. The stores are designed in such a way that you only follow one direction you walk from one end to the other.
  4. It puts arrows on the floor to complement the maze layout of the stores. – you need not think where to go next – just follow the arrows.
  5. Impulse Buying: Placing bedsheets next to the beds, pillows next to the sofa persuades the customer in impulse buying. The customer says, “let me buy it now else I have to come once again. “
  6. 30% shoppers go there to eat. In 2017 IKEA made $2.24 Bn on selling food.
  7. Most of the stores are  located outside the city limits. Apart from getting large parcels of land at economical prices for constructing large stores, the customers also tend to think that they need to make their trip worth it. The commitment to buy make them justify the time and petrol spent. This is a cognitive bias called as sunk cost fallacy.
  8. After waiting in a long queue, a customer buys a table, goes home, assembles it;  puts it on facebook showing the efforts he has taken thus giving free publicity to Ikea. Incidentally Michael Norton of Harvard Business School, Daniel Mochon of Yale and Dan Ariely of Duke University have identified a cognitive bias called as Ikea effect where consumers place a disproportionately high value on the product they have partially created. In an experiment conducted in 2011, a group of participants were asked to assemble the Ikea furniture whereas others were shown the pre-built version of the same furniture. The subjects from group 1 ( assembled by self)  rated the price 63% higher than the group2 ( readymade)

Some of the reasons people who do self-assembly are:

  • They feel competent
  • Display the evidence that they are competent.
  • A perception of saving money and thus being a smart shopper.

            As a seller,  you can learn how Ikea has changed the paradigm of customers from recipients of value to co-creators of value. As a buyer, beware of the traps!

Blindspot and Bias

The opening slides in my Value-Selling program read as follows:
The main objective of the program is to help you improve the Top-Line and Bottom-Line performance. When the training program commenced the conversation between the trainer and the participants used to be on the following lines:
T: Is the objective clear?
P: Yes.
T: Do you need any clarification?
P: No.
T: Can I go to the next slide?
P: Yes please.
As I was getting similar responses from different batches, a few programs later, I decided to check my assumptions and asked the group:
“By the way, what do the two terms mean to you?” and most of the responses ( barring a few correct ones) were as follows:
Top-Line : meeting the top boss, closing the order, profits etc.
Bottom-Line: making a cold call, meeting a purchase executive, handling objections, achieving the targets etc.
With a simple profit-and-loss statement, the discrepancy between their response and the right answer was shown. When asked about the learning from the exercise, the response was that the top-line and bottom-line correspond to revenue and profitability respectively.

Welcome to the world of human biases, which are distinctive patterns of errors people make which are systematic in nature, wherein people may be confident even when they are wrong. The above example shows that people were not only blind to a specific concept ( top/bottom line) but were blind to their blindness too. (None of them said, I do not know)

A Chennai based petrochemicals company had set an objective to achieve a top-line of Rs. 500 crores within the next five years from the existing revenue of Rs. 62 crores in 2008.
When asked, the promoters replied that they have a basket of great products, competitive pricing, good location and a rising demand. What they did not factor were poor leadership quality (lack of trust and transparency, frequent squabbles between the CEO and MD,) high attrition rate, lack of proper systems and processes etc. External factors like the market dynamics, petroleum pricing, competition strategy etc were assumed to remain constant or were not considered while setting such a target. The company which had clocked Rs. 62 crores in 2008 managed to reach around Rs 115 crores by 2015 . As Nassim Nicholas Taleb says in Black Swan, ‘what you do not know is more significant than what you know.’

Till the 70s, it was assumed that human beings are rational animals who become irrational only under the influence of emotions like anger, fear. The subsequent research in neuroscience and psychology has proved otherwise. Irrationality is an integral part of human nature and is due to the inherent design of the human cognitive processes.

Another bias which affects decision making is the Illusion of Understanding; a variation of which is Illusion of Explanatory Depth–IOED which was coined by Leonid Rosenblatt and Frank Keil.
The illusion of explanatory depth (IOED) is the belief that we know more about the world than we do. When we are asked to explain the concept, then we become aware of our limited understanding.
Fact or process knowledge has a discrete end and can thus be described. Explanatory knowledge which is about opinions and beliefs does not have a discrete end and is difficult to explain. The interesting part is even if your explanation is not sound or comprehensive you feel you understand. You convert a target question ( difficult) to a heuristic ( easy ) question.
During one of our training programs, Pradip, a die-hard Modi Bhakt made a statement: Modi is a great leader. When asked to explain the concept he said, “ because he has many followers.”
T: Are you aware of the numbers?
P: It must be at least in crores; it is difficult to state.
T: A celebrity like a cricketer or a Bollywood hero also has followers in crores. Does it make them great leaders?
P:Forget that. He has performed well in short term and long -term.
T: What is your definition of short-term and term?
P: It can be one year and five years.
T: Did Modi get that time?
P: Yes
T: What are the indicators of performance, and do they indicate a good growth of economy?
P: Frankly speaking, I do not know.
The above is not only relevant for die-hard followers but also for bashers. Taking the converse of a statement, Modi is not a good leader, the basher may also be short of arguments after similar probing. The hatred and the polarization that is happening in the society can be reduced if we can get stumped by the level of our ignorance.

Generally, it is felt that passionate people are more knowledgeable, but the converse may be also true. Passionate people who take a vehement stand on issues like CAA/NRC, Rights of Minorities, LGBTQ, Religious Freedom, abortion etc. tend to focus on only one side of the coin which is essentially to prove a point rather than explore the truth. IOED states that knowledge of a subject might be inversely proportional to your passion and the stand you take. It is easy to state a fact or a process than explaining something in depth.

There is a thin line of demarcation between confidence and hubris. In the world of VUCA ( Volatility, Uncertainty, Ambiguity and Complexity) humility is more important than hubris.
I recollect my interaction with Narayanan, an eminent trainer from Chennai. I enquired about one of his public programs. “By the way, how did it go?” He said, “the program had to be cancelled due to poor response.” What might be the reason? He said, “frankly speaking I do not know. If someone were to ask me a question for a similar situation 20 years back; I would have confidently said the problem has to do with the timing, location, pricing etc. But today being in this field for so long; I do not know why some events succeed and some do not. However, such setbacks do not deter me, it is all a question of randomness which one must factor in life.”

Socrates made a clear distinction between knowledge and wisdom. A knowledgeable person maybe knowing things; however, he may act foolish as he may be too confident in what he knows. A wise person, on the contrary, cannot act foolish as he knows his limitations. He knows what he does not know.
Socrates said, “the one thing I know is that I know nothing.” This was not out of humility, but it was an expression of reality.

Snatching Defeat from the Jaws of Victory

Abraham Lincoln had no choice but to sack one of his army generals for losing a battle during the Civil war for his sheer stupidity when victory seemed almost certain. In his witty style Lincoln said, “He has managed to wring a spectacular defeat from the jaws of victory.”

Congress was the ruling party in Punjab with 77 out of 117 seats under the CM Amarinder Singh. The alliance of BJP and Shiromani Akali Dal (SAD) had 21 seats.

The alliance partner SAD parted ways with the BJP for the latter’s high-handed approach in dealing with its allies. Moreover, discontent was brewing  for long in Punjab due to the farmers’ protests, the bulldozing of the farm-laws in the parliament by the government, the  sudden lockdown during the pandemic which forced untold miseries  on the migrant workers.

Considering the weak opposition, victory was on the platter for the congress. No doubt, Captain Singh had his follies, he was not accessible there was discontent brewing in the party. But it could have been resolved amicably. But Rahul Gandhi thought otherwise. Navjot Singh Sidhu was thrust upon the state leadership. Captain Singh was replaced by a Charan Singh Channi who did not have much following in the state politics. And AAP created history taking its tally from 18 seats to a record of 92 seats. Is this an isolated instance of stupidity on part of Rahul Gandhi? (1)

In 2004, Manmohan Singh took over as the PM leading the UPA-1.Having completed his first term as the PM, the nation was ready for the Lok Sabha elections in 2009. What were his achievements?

From 2004-2009 the economy logged a growth of 9%, the highest rate for any plan period since independence. He stood up to the manipulations of the Left and the opposition in signing the Nuclear Deal between India and the US.

Despite these splendid achievements, the party high command had doubts of winning the election. Manmohan Singh’s photo was printed on the Election manifesto as well as on the election posters. If the party were to lose, it was the PM’s defeat. Incidentally, a Senior political journalist while speaking to Ahmed Patel confided that Rahul Gandhi was ready to be the leader of the opposition and be the agent of Change and differentiate from Dr. Manmohan Singh (2)

Lo Behold! After 1962,  Dr. Manmohan Singh had become the first PM to have been re-elected with an improved margin. Congress improved the tally of LS seats from 145 to 206. ( 9 more than what Rajiv Gandhi had achieved in 1989)

But then how was this Star Performer treated by the ‘family’? Was he given a free hand to choose his team members? For example, for the finance portfolio, Dr. Singh wanted to  induct C. Rangarajan, the former RBI governor with whom he had battled the BoP ( Balance of Payment) Crisis during the Narasimha Rao regime. Sonia Gandhi offered the portfolio to Pranab Mukherjee without consulting him. Incidentally, Pranab Mukherjee was the ‘architect’ of the retrospective tax regime ( the Vodafone case of Rs. 22,100 crores on Capital Gains and Withholding Tax which the GOI lost in the International Court at the Hague)  which was one of the factors of slowing down of India’s economy  growth rate. It also impacted India’s credibility in the international business (3)

By the time the Lok Sabha elections for 1996 were announced, the P.V. Narasimha Rao-led Government  formed by Congress had delivered one of the most  spectacular performances in a 5-year period then. India was able to overcome the BoP ( Balance of Payments)  crises. ( The foreign exchange reserves rose 12 times from 1991 to 1996) License Raj was abolished, the New Industrial Policy was launched, the insurance and the banking sector was opened to the private sector and the new telecom policy was to usher in the mobile revolution. In fact,1991 is termed as a watershed year, also called as India’s 2nd Independence.

But did the Star Performer who was responsible for delivering such an outstanding performance suitably rewarded? Forget being rewarded or being acknowledged, P.V. Narasimha Rao was humiliated not only when he was alive but even after his death. But did the Congress party or Rahul Gandhi win? Congress lost power despite the best performance delivered by the Rao Government. ( A forgotten Hero or a Ungrateful Nation?)

The three incidents discussed above prove the adage that insanity is doing the same thing repeatedly and expecting different results!

There are different approaches in helping the non-performing executives in improve  their deliverables which include coaching, mentoring, reprimanding or if nothing works, the dismissal. But then how do you deal with  star performers who are already doing well and need no interference? The cost involved when such a Star is demotivated increases exponentially when one is heading a department, an organization, or the nation. In the last instance, the damage is humongous. The article is not about Rahul Gandhi and his personality per se. but more about the orientation of a toxic leader. I come across a common refrain in my mentoring sessions that people do not change the organization but their bosses.

Do  toxic leaders like star performers? The question is not about liking and needs reframing. Can toxic leaders manage the star performers? I doubt as they are afraid of being surpassed by their subordinates which might be due to a deep insecurity and a trust deficit which increases in direct proportion to the subordinate’s achievement.

A concept called Wu-Wei can be helpful for effective leaders particularly in managing the star performers. Wu-Wei is loosely translated as ‘letting-go’ as followed in Tao-Te-Ching which denotes :

  1. An attitude of genuine NON-ACTION motivated by a lack of desire to participate in human affairs.
  2. A technique by which the practitioner may get a subtle control in pushing the envelope.

Some of you might have collaborated with good bosses  who practised wu-wei can consider yourself to be lucky. And those, the less fortunate (?)  in getting the toxic bosses- were you able to realize your potential by moving elsewhere or venturing on your own?

References:

  1. The art of snatching defeat from the jaws of victory – Capt. G.R. Gopinath ( Retd.) , Deccan Herald, 16th March 2022
  2. The Accidental Prime Minister- Sanjay Baru
  3. The Lost Decade ( 2008-2018), How India’s Growth Story devolved into Growth without a Story – Pooja Mehra

Why market pulse is more critical than a superior product design?

In the early 90s, Airbus and Boeing,  the two major players in commercial aircrafts decided to come together to manufacture Very Large Commercial Transport ( VLCT). Later on both the competitors parted ways as their business strategy could not synergize. Ultimately in 1994 Airbus decided to go solo on this venture and the project was codenamed A3XX. And thus the first flight of A380, the largest commercial aircraft happened in 2007 which is a double-deck, wide body 4-engine aircraft with 6000 square feet of usable space, 40% more space than its nearest rival product Boeing B747-8. A380 could accommodate 500 seats in 3-class capacity (Economy, Business and First Class) or 850 in an all-economy class.

With several delays the project cost escalated from the initial 9 billion to 13 billion Euros.

Product Pricing and Positioning: The A380 had a seating capacity which was 5 times the Airbus A320 Neo but the price point was 4X . The List price of A 380 was $430 Million whereas A320 was $107 Million.  The product was received well after its launch. However in the last few years the customers, the airline companies are either cancelling the orders or postponing the delivery dates. The peak production which was at 30 aircrafts per year has dwindled to 12 per annum.

In spite of excellent product features, good quality (50% quieter than competition product) and the right price, why did Airbus started losing on the business for A380?  The anticipated exponential growth in passenger traffic from hub-to–hub was the cornerstone on which Airbus decided to make A380. Hub-to-hub traffic for Air India is like New Delhi–London, for Singapore Airlines it can be from Singapore to Dubai or Frankfurt etc. One aspect that was overlooked was that of the point-to-point traffic. When the traffic between two points crosses a minimum threshold, airlines can afford to have small or midsized aircrafts which is more economical than transferring through the hub.

Even though the air traffic grew considerably; instead of it growing from hub-to-hub it started increasing from point-to-point. For example 10 years back, Air India used to  have seven flights from Delhi to London and passengers were picked up from Hyderabad, Bangalore etc. Now all this airport being choc-a –block, it makes better business sense for airline companies to transport passengers directly from Bangalore to Cardiff/Manchester rather than routing through them hubs like Delhi and London. What is the learning for Sr. management from these?

  1. A technically superior product with better specifications even though necessary is not sufficient for long-term success.
  2. Appropriate price positioning even though crucial need not be a game changer.
  3. Factor X: Identify the factor x which is insignificant today but can become significant in future (that is generally overlooked) which can seriously affect your business strategy. ( In this case it was the point-to-point traffic) In case of Nano car, legend says that Shri Ratan Tata while doodling decided to launch a cheap car while seeing a family of four on a scooter. One factor which was overlooked was for majority of the Indians having a  car was more of an aspiration and a status symbol ( emotional decision) than a cheap car as a mode of safe and convenient transport.(logical decision)  Doodling can sometimes be an expensive proposition!

And last but not the least, there is nothing called as a right or wrong decision. All decisions are evaluated in posterity. Time is the best judge!

Nassim Nicholas Taleb author of books like Black Swan, Fooled by Randomness or Anti _Fragile says for most of us absence of evidence is interpreted as evidence of absence (Please read the book review: Anti –Fragile: How to Live in a world we don’t Understand) http://www.paradigm-info.com/recommended-books) Be Humble!

(Source:  Bigger is not Always Better, Business Line November 30, 2016 by K. Giriprakash)

 

Should You address your customer as Sir/Madam?

“Sir, do you have any requirement of centrifuges?” Said Biswas during  one of the role-plays in our Value-Selling Programs. My partner, Ramiah Daniels and I have been  questioning this habit of sales and service people addressing customers as Sir/Madam (rather than by the latter’s name) for quite a while. The common justifications provided by the participants are:

  1. Customer feels respected.
  2. Easy to build rapport during client interaction.
  3. Customer has to be treated like God.

Can we question  the veracity of the above statements?

As indicated in the figure, the behaviour displayed that is visible is like the tip of the iceberg. What might be the attitude, belief or paradigm underneath ( and thus invisible) such words?

  1. Legacy of the colonial mindset: On similar lines, It was customary to address the judge as My Lord by the lawyers, the practise which has been slowly dispensed with.
  2. Shift in Power structure: As a salesperson when you address the other person as Sir/Madam, you are handing the control to the other person by putting him/her on a pedestal.
  3. NLP Perspective: The basic premise of Neuro-Linguistic Programming, NLP is your body physiology ( neural system -N  which include your posture, breathing rate and the way – shallow, normal, or deep, eye contact, the skin resistance etc.) is determined by thoughts/belief system and by  the words ( Linguistic – L ) you use. The NEURAL affects the LINGUISTIC and vice versa. Both simultaneously run a specific behaviour pattern which becomes your dominant behaviour which is the programming (P). The eye contact is evasive; the voice tone being less confident, displays the obsequious and the servile approach of the salesperson. Is it fair enough to assume that by  addressing someone as Sir/Madam by default, the salesperson has already lost half the battle?
  4. Less Effort: When you address someone as Sir/madam; the salesperson  does not have to take any effort in asking as well as remembering the full name of the customer.
  5. Low Self Esteem: The salesperson feels he/she is the prime beneficiary in a business  transaction by collecting the order, which in turn helps him in reaching the sales targets leading to a low self-esteem.

If the customer were to be  God, does he behave the same way while negotiating hard on the price and the payment terms?

Is there a better way of addressing the customer  by his name? The conventional norm is either prefix Mister with the Surname, or address by the first name. For example, while meeting a prospect say, Ramiah Daniels, you may say, “would you prefer to be addressed as Mr. Daniels, or Ramiah?” I doubt  the customer says, ”you better address me as Sir.”

There are several advantages when you address the customer by name:

  1. Confident Behaviour: Your body language, eye contact evokes confidence. Your handshake is firm.
  2. Respect from the Customer: The customer reciprocates with  similar respect to the salesperson.
  3. Improved Customer Engagement: You may be able to connect with the customer when you listen to his full name carefully. Almost a decade back, I was having a meeting with one Mr. Reginald Borges who was the GM at APW president then.  When enquired about his relationship with Dr. Ernest Borges he said, “ Happens to  be my distant uncle.” Incidentally Dr. Ernest Borges was a renowned  cancer surgeon at the Tata Memorial Hospital in whose memory a road ( at the beginning of a 2-km stretch in Parel) has been named.
  4. Higher Self-Esteem: Remember, in any business transaction, the customer also enjoys the benefits of the products over a long duration which can help a salesperson raise his  self-esteem.

Is there  anything wrong in addressing someone as Sir? Not at all- if you are meeting someone reverential, exceptionally talented or to whom you have great admiration and respect, please follow your natural instincts.

Barring the above exceptions, is it possible to inculcate  the Ritz Carlton philosophy while interacting with regular customers:  ‘Ladies and Gentlemen serving ladies and gentlemen?’

P.S.To explore more such learning insights visit: Value-Selling for Premium Products and Solutions commencing on 11th January 2022

The Metaphor of Bicycle Thieves

Cycle, a Marathi film, is a story that unfolds in Bhugaon, a village in Konkan, Maharashtra, circa 1948. The protagonist is Keshav who is an astrologer whom people consulted mostly in times of distress. Keshav provided guidance about his client’s future by studying his horoscope. Quite often if the client were to be in financial distress, Keshav not only used to offer his services pro-bono but also partake of a meal with them. Being a kind and noble soul, Keshav had earned respect and goodwill in his community.

His grandfather, Gopalkrishna was an Ayurvedic doctor who was equally respected for medication and treatment of his patients. A British army officer, one such beneficiary of the doctor’s treatment; gifted Gopalkrishna his cycle while leaving India. Gopalkrishna during his final days bequeathed the cycle, distinct in its bright yellow colour, to his grandson Keshav, the protagonist of the story. 

The imported cycle was a rarity in Bhugaon, and Keshav was proud and possessive of it. Once when Keshav and his family go to watch a Marathi play, his cycle is stolen by two petty thieves, Vitthal and Tukaram. The next day, while riding in the adjoining village, the cycle develops a flat tyre. They go to the puncture shop for repairs, the shop owner recognizes the cycle and its original owner. To avoid any confusion, the thieves claim they are Keshav’s cousins and Keshav has lent the bicycle to them for a few days. Believing them, the shop owner refuses to take any fees for the repairs. On the contrary, he hands over ₹6 to the ‘cousins’ which he owed Keshav. Wherever these two thieves go, they were treated with exceptional hospitality, whether with meals, tea/coffee, or even with an overnight stay. At a school, they were invited as the chief guests, to deliver a motivational address to the students. With each passing day and with such touching incidents their conscience starts pricking. Initially, it was the fear of getting caught; but now it was the affection and love triggering guilt and shame.

In the meanwhile, Keshav was stricken with grief. The only thought which haunted him was why did he lose the cycle and how he can recover it. His wife entreats him to consult an astrologer who says, “Keshav, do you really feel I can tell you the whereabouts of your stolen cycle? People do not expect to hear the truth, but need consolation and encouragement about a brighter tomorrow when they seek counsel from an astrologer.”

While returning home, Keshav realized his approach as a soothsayer with his clients was no different. More than an astrologer, he was a psychologist, a counsellor telling people with encouraging advice like: this time is not right for youthis too shall pass, don’t get emotionally involved with things, do your best and leave the rest, handover your burden to the Almighty, he will take care of you, etc. 

Lost in his thoughts he came across a ramshackle house, walls cracked, valuables scattered all over and the rooftop blown over by a cyclone. To his surprise, he found the house owner quite composed. When Keshav enquires about the tragedy, the house owner says, “Last year when I was going through difficult times; I came to you for guidance, I still remember what you said then, don’t get stuck with things.” It was a moment of revelation for Keshav and his attachment towards his cycle. As a Zen master says ‘when my hut got burnt, I had a clear picture of the moon.’

Bicycle Thief by Vittorio Di Sica was released in 1948. Italy had gone through severe hardship post World War II and was plagued by recession, inflation, and a high rate of unemployment. The protagonist of the film is Antonio Ritchie, an unemployed youth for the last two years. After considerable struggle, he manages to get a job to paste cinema posters on poles and walls. Having a bicycle was a prime requisite for the job. Antonio manages to convince his quarrelsome but loving wife Maria to sell the bedsheets she received as a gift during their marriage, in order to purchase the bicycle. Now Antonio is all set to start his job with a bang. Within a short time, on the very first day itself, his bicycle gets stolen. Antonio is frustrated, runs from pillar to post, at last manages to trace his bicycle and nab the thief. However, nobody believes him, neither the people around, nor the police. And, for lack of evidence, Antonio is not able to regain his bicycle.

As he was walking along with Bruno, his 8-year-old son, he sees a bicycle parked alongside a wall. Antonio’s instincts get the better of him, and he attempts to steal it. To his misfortune, he gets caught and is given a sound thrashing. Bruno intervenes and saves his father from the matter getting worse. More than the thrashing, Antonio is hurt that he has cut a sorry figure before his son. On that fateful day, having lost his job, his bicycle, and his self-esteem before his son, Antonio was in total despair while returning home. Bruno while following his dad, picks up his father’s crumpled hat lying on the road; cleans and straightens it, and with a smile puts it on his father. 

Even though Bicycle Thieves by Sica was made in 1948, and Prakash Kunte’s Cycle in 2017, both films depict life in the late 40s. Italy went through the ravages of World War II, whereas India did not. The thief who stole Antonio’s cycle may have had his own compulsion, like Antonio who tried following suit.

The act of stealing a bicycle is shown from a different perspective, of how attachment to worldly things creates pain, of the pricking of their conscience, that makes Vitthal and Tukaram return the bicycle back in the village, even though not required. Keshav realizes his faith in the Almighty. He returns home with his retrieved bicycle, and he now keeps it afar. In his courtyard, he sees another bicycle. His family members and friends congratulate him for recovering the cycle. While touching the mudguard, he sees the yellow paint is wet. Everyone wants Keshav to be happy. The bicycle was just an excuse to make him happy.

One film discusses the inherent goodness, while the other is about the helplessness of people, which may be an outcome of their prevailing circumstances. Can we be judgemental about what is right and what is wrong? In a way, it is a story for all of us, where someone steals our idea or improves upon our original idea and does not give us credit for the original. In between black and white, there are multiple shades of grey. If you steal from one source, it is theft; if you steal from multiple sources, it is plagiarism or research. ‘Bicycle’ is just a metaphor!

Note:

  1. Bicycle Thieves: Is a 1948 Italian neorealist film directed by Vittoria De Sica. Considered as one of the Top 10 All-Time great films; it had  a major influence on Satyajit Ray, Shyam Benegal, Bimal Roy and Hrishikesh Mukherjee.
  2. Cycle: Is a 2018 Marathi film directed by Prakash Kunte written by Aditi Moghe and produced by Sangram Surve and Amar Pandit and was screened at Cannes Film Festival

Image Source: https://i.pinimg.com/originals/c5/6e/be/c56ebed6c368d900b30bded63548280e.gif

Socratic Method of Inquiry: The Difference between Knowledge and Wisdom

Socrates was a Greek philosopher (470BC-399BC) in Athens. He did not author any texts, but his disciple, Plato captured his thoughts in the Dialogue

The Socratic method of inquiry was a method of deep questioning which he used to have with his students on topics like beauty, justice, virtue, etc. He never gave direct answers to his questions but expected his students to figure out their own answers. 

Socrates was accused of corrupting the youth of Athens, worshipping false gods, and not worshipping the state religion. A 100-member jury was arranged to pass a verdict on his crimes. After a day-long trial, he was convicted and sentenced to death by administering hemlock, a poison. Socrates was told that he could be pardoned, provided he expressed an apology for his deeds. However, he refused to beg for his life on the following grounds:

– This is my life.

– If I had to stop doing what I am doing, I might as well stop living.

– Who knows? Death may not be so bad, as I have no idea of death.

– I am 71 and may not live much longer.

The Oracle of Delphi has delivered hundred-odd injunctions, inscribed on the temple walls, which include: ‘nothing in excess’ and ‘know thyself.’ One of the famous quotes ascribed to Socrates is: ‘An unexamined life is not worth living.’

How is this relevant to us? Most of the decisions; be it the type of education, the place to settle, the choice of spouse or career, are often not taken consciously but are either dictated by parents, society, or the circumstances. When we review the decisions, it inspires us to reconsider our most firmly held beliefs. It may also help us to appreciate other’s viewpoints. 

Circa 1975, a British Manager from GKW (Guest Keen Williams) was visiting a premier Engineering and Research Institute in Bombay (now Mumbai) to interview and select Graduate Engineer Trainees (GETs). Seven candidates from the metallurgy dept were shortlisted. For the group discussion (GD), the topic was the future of cricket in India. The GD was quite animated, the students striking off each other’s arguments with ease. After the GD was over, the interviews commenced. The manager asked the first candidate, “how much phosphorous is there in phosphor-bronze?” The student thought for a few seconds and replied it was 25%. “That is the correct answer. Thank you very much. Can you send the next candidate please?” requested the manager. After coming out, his friends asked him about the interview. The candidate replied that not only was the question a simple one, but by fluke, the answer of 25%, had turned out correct. 

The second candidate was called in and was asked the same question. Lo and behold, the student answered with the same aplomb. After leaving the interview room, the students ridiculed the interviewer for his inadequacy in not asking tough questions, vis-à-vis the IQ level of the students and the brand of their institute.

The story continued in a similar fashion for all of the seven candidates. After the interviews were over, the manager called all the candidates inside and said, “young men, during the group discussion, you were vehemently proposing your viewpoint without either considering or listening to the others’ viewpoint. Our company believes in teamwork. You belong to one of India’s premium engineering colleges. However, even after living with the same group for five years, you do not have any concern for other’s viewpoints. How will you perform in our company with such an attitude? To each of you, I asked a question on phosphor-bronze. You may be knowing a lot of things in life even otherwise. 

However, no person can know and need to know everything. I thought at least one of you would say ‘I do not know.’ Yet, all of you gave me the standard answer of 25%. By the way, phosphor-bronze is a member of the family of copper alloys. It is composed of copper that is alloyed with 0.5-11% of tin and has phosphorous in the range of 0.01-0.35%.I was not expecting a perfect answer, and a closer approximation to the actual value would have sufficed. Even if one amongst you were to express his ignorance, I would have recruited him. I am afraid I am not able to select any of you.”

Socrates made a clear distinction between knowledge and wisdom. A knowledgeable person maybe knowing things; however, he may act foolish as he may be too confident in what he knows. A wise person, on the contrary, cannot act foolish as he knows his limitations. He knows what he does not know. 

Due to his unconventional ways of self-exploration, Socrates was considered a wise man. An elderly gentleman in Athens once said, “no one is wiser than Socrates.” Rather than getting carried away by such flattery, Socrates’ analysis of the above statement was: Either all are as dumb or as knowledgeable as Socrates.

Conventional education aims at stuffing the students’ minds with information; whereas Socrates’ method of deep questioning helps develop critical thinking to question our belief system and assumptions; and so, it helps us understand the statement: ‘An unexamined life is not worth living’ leading towards the wisdom: ‘to know what one does not know.’ 

The profound statement Socrates made was, “the one thing I know is that I know nothing.” This was not out of humility, but it was an expression of reality.