Category Archives: Customer Psychology

Personal Growth Companion by D.M. Silveira

Circa 2002, while visiting the IIM Bangalore library, I came across a book titled Personal Growth Companion (PGC) by DM Silveira. PGC addressed the  dilemmas faced by people and takes them through a simple process of self-assessment which paves the way for new awareness of capabilities and potential. Some of the chapter titles were: Have you met yourself recently, what is your paradigm? Do people feel good about you? It is not a typical self-help or a how-to book telling you about success or a millionaire mindset but more on introspection and reflection. It helps you through the limitations of psychological categories and transcends scientific classifications, a few sample questions to illustrate the point:

On Busyness: Am I caught in a hurry? What am I trying to tell myself and others through my tearing hurry? Is it tied with my ego? Do I lack an inner focus and am I hurrying as a compensation?

On creativity: Is my life over-organized and repetitive? Does the routine enslave me? How much of novelty and surprise is there in my life?

The elaborate questionnaire was more on reflection rather than pigeonholing you into a category like introvert, extrovert etc.  The book was written in a simple yet a profound manner.  I got literally hooked into it. I carried the book while on a trek in the Sandakphu-Phalut range of the eastern Himalayas (near Darjeeling) and the book truly lived upto its title. By the time I returned to Bangalore, I was so impressed by the book, I penned a book review. The Sunday Supplement editor of Deccan Herald replied that it could not be published as the paper had a policy of putting up the reviews of books published in the current year. PGC was published in 1996. I searched for PGC in a number of bookshops but could not succeed. In retrospect, I felt relieved the review was not published considering the unavailability of the book.

DM Silveira, the author was living in Vashi, New Mumbai. I called him over phone and asked him whether I can buy a copy of the book from him. He said, “I am happy to note you liked Companion but I have to express my apologies. I publish only one edition of my book. And the only copy is on my dining table.” That statement revealed DM’s (as he preferred to be addressed) paradigm about the triviality of success and ephemerality of phrases like ‘Million copies sold,‘ #1 on New York  Times Best Sellers List’ etc.  There were no celebrity endorsements on PGC either.

Curiosity had the better part of me. I decided to meet him at his home in Vashi. A fair, slim and bespectacled person around six feet tall with a cheerful disposition was indeed much different than my expectations.

I also came to know that DM had to his credit a book called Human Resource Development. It was acknowledged as a scholarly work and was appreciated by the practising HR professionals then. Once he narrated an interesting anecdote. Reserve Bank of India had placed an order for 200 copies. DM used to publish his books under his own company called Classic Publishers Pvt Ltd. which was based in Kandivali Mumbai. DM along with his son Nikhil had been to the RBI for delivering the consignment. As DM was carrying the boxes on his shoulder, Nikhil said,”Dad, you are the author of this book, you are not supposed to carry the boxes on your shoulders to the stores. Let me take it.”

DM started his career as a clerk in Goa Secretariat in late 60s. His boss coaxed him to go to Mumbai for completing his graduation and explore better career opportunities. Working part-time as a journalist he completed his graduation in literature. One day I asked him about his journey of authorship, he said he decided to write full-time and live in Pune for an year. He said,” Rajan it was  a tough call. Actually India Today had offered me the number 2 position, but then I insisted on #1 position. But then Aroon Purie ( founder of India Today) did not find the idea too interesting and so I am here.” For some time I thought he was pulling up a fast one on me or a case of sour grapes. The second possibility was difficult to digest for a person who earlier was the editor of magazines like Newsmag, Onlooker and later on for a newspaper called Free Press Journal.

DM was the one who coaxed me into writing a book while cautioning it to be a painful process.

Whether in person or on a mail his opening sentence used to be ‘Patrao kosso assa, chennagiddiraa? ( meaning bossy, how are you, all well, smattering of Konkani, Portuguese, and Kannada) He connected me with Union Bank of School of Management in Bangalore where I conducted a number of lectures for the executive MBA program. His recommendation to clients used to open doors with a number of corporate clients for me.

For few years while in Delhi, he used to publish a yearly book of facts called India Book. DM, writer of great books, editor of FPJ and other magazines, Gold Medallist in Masters in English Literature from Bombay University was truly a humble man.  He had no qualms interacting with a much younger and inexperienced person like me. He used to be in his elements while sharing interesting anecdotes about Piloo Modi, LK Advani  etc

On 31th March 2009 he passed away due to a massive heart attack, while brushing his teeth; just shy of two weeks of his 60th Birthday on 16th April. It is said little knowledge makes one arrogant, a little more makes one reasonable and the final knowledge makes one truly humble. DM, the maverick, belonged to that rare but a truly humble creed!

 

What’s in a Name?

“Can you give me one ticket for Sri Balagangadhar Natha Swamiji Station, please?” I asked the booking window clerk at Peenya metro in Bangalore. The guy looking quite puzzled said, “ Can you repeat the name, please?” After going through that exercise once again, he said, “why don’t you say Hosahalli then?” I said I would have loved to do the same, but the govt changed the name to the present one.

Other  station names  on Bangalore metro are no different. They may not be that long but are indeed tongue twisters. There is Krantiveer Sangoli Rayanna Station, Nadaprabhu Kempegowda station, Bayappanahalli, Yelachenahalli, Goraguntepalya etc. of which the last one was earlier called as Yeshwanthpur Industry. But then the nearby station being Yeshwanthpur; wiser counsel of Namma Metro authorities prevailed to rename it as Goraguntepalya.

Should a name be simple or difficult to pronounce? Bangalore apart from being the capital of Karnataka happens to be the IT capital of India. There are people from different states as well as from different nationalities too. Once I saw a Japanese commuter struggling to pronounce Yelachenahalli while buying a ticket!

There were huge protests when the train announcements were made in Hindi and later on it was decided to have the same only in English and Kannada. There was hardly any murmur when the project was delayed by more than 4 years or the project cost escalated from Rs. 6000 crores to Rs. 14,000 crores for the green and purple lines. This phenomenon of sweating out the small stuff is not unique to Bangalore but happens elsewhere too. C. Northcote Parkinson, a renowned management guru once said that for a Nuclear Power plant in England, the sanction of additional  5 million pounds for an alternate design was passed in five minutes whereas the committee deliberated for almost   a week about the location of the cycle stand in the power plant. The former topic needed considerable level of technical competency whereas in case of the latter, every committee member had an opinion on the subject.

New York times once said that the greatest sex change operation was conducted in Mumbai a few years back when Victoria Terminus (VT) station was renamed as Chhatrapati Shivaji Terminus (CST) It is  a marvellous structure  ( now declared as a UNESCO heritage site) the headquarters of Central Railway with 18 platforms and currently carrying millions of passengers every day. It took the architect William Stevens and his team, ten long years and the railway station which was completed  in 1888 was planned keeping the future traffic growth in mind. One wonders how could  the British team plan for such a mammoth station when the traffic might be just a miniscule then ( 150 years back) of what it is today? Is there any comparable station constructed in post-independence India? But then changing the name was far easier and more prestigious for the politicians. Some years down the line, the name was extended to Chhhatrapati Shivaji Maharaj Terminus ( CSTM). The day is not far off when it may be even called as Gobrahmin Pratipalak, Kshatriya Kulavatans  Chhatrapati Shivaji Maharaj Terminus ( GPKKCSMT) !!

Once a teacher was narrating a story to the class of 5th standard students on similar lines.  During a cricket match played on the school grounds, the  ball  fell into a nearby well. Ram, a fielder, while fetching the ball; fell in the well.  His friends shouted for help.  Luckily Ram was rescued. Next time, in a similar situation,  another student called Ardhanarinateshwara  Sivaramakrishan while fetching the ball meets the similar fate. His friends called for help but by the time his full name was pronounced, it was too late and unfortunately the boy gets  drowned.  Teacher asked Shyam the moral of the story. Shyam replied, “children with long names should never go near the well.”  Hope our politicians do not think on similar lines!

rajan.parulekar@yahoo.com

Winning a Jackpot: How do you decide?

Situation: Imagine you are participating in a game show and after going through qualifying and elimination rounds, you have reached the finals.  The game-show host presents you three options A, B & C and you have to select one of the options which are the respective doors. One of the doors leads to a jackpot (say a Mercedes) and the other doors to an insignificant prize, say a tennis ball through each door. Now let us say you have selected option A. You are curious and excited to see if you have hit the jackpot. The host asks you to be patient, opens the door C and what you see is a tennis ball. Now he asks you whether you would still stick with option A or switch to option B? What would you choose and why?

When this question was put on different platforms like linkedin, what’sapp it was observed that 95% of the respondents voted for A. Now read on:

Analysis: Generally people tend to stick to option A, the reason being they would not like to regret their decision. If A is selected leading to a jackpot, then he would be happy; however if otherwise, then he  blames  the circumstances or his fate. But at least he has the consolation that he was firm in his decision. However if he were to choose B, and were to lose; he would regret his decision and also for not being firm in his decision making process.

Let us see how this situation can be seen from a statistical probability basis. Generally people make decisions through their self-interest and do not look at a situation objectively. For example we tend to discount the impact of the environment on our decisions. When a person selects option A, the  probability of success is 1 in 3. However when door C has been opened with a tennis ball, the probability of B has increased to 50%. Assume instead of 3 options you were given 100 options. And now 98 doors are opened without any jackpot. Would you still bat for A? Now you will appreciate that at the beginning of the game the probability of winning A was 1% but after the events have unfolded B has risen to 50%. So in a single event even though A and B has equal chances, over the long term it makes sense to switch over considering the environmental factors.

What happens if the game of ABC is played 100 times. or 100 people play this game simultaneously? Now you will understand that the human mind is not programmed to think in a statistical manner. During most of programs our clients ask us to train their executives to think out-of the box. But sadly they  are hardwired to think otherwise.

Most people tend to overestimate fatalities and death in aeroplane crashes more than car accidents even though statistically air travel is much safer than car travel. One of the main reasons people tend to assign higher risk to air travel is due to wide publicity in media to such rare events.

A survey was carried out in the US after the 9/11 disaster. More people died in the three months  on  roads than those killed in the aircrafts during  the twin tower tragedy.  People tend to fear dread risk of low-occurrence and high consequence events such as the twin tower attack. ( Dread Risk : September 11 and fatal traffic accidents, by G. Gigerenzer) .There are two types of risks,  actual risk and dread risk, the latter is more out of anxiety quite often overestimated than the actual risk. This in part may answer why people would still go on playing option A.

Another reason for dread risk is an illusion of control. A person driving a car feels more in control of the situation than while flying in an aircraft driven by someone else. Most of our unconscious processes control our thoughts and behaviour, which in turn creates an illusion of self- I or the soul. It also makes us feel that I exist, I am in control and thus I can make my own decisions. But the truth is otherwise. Most of the events in life are beyond our control; there is no self.  And to create that illusion we tell stories, we fabricate them saying how intelligent we are.

The above problem is called as a Monty Hall problem ascribed to the presenter of the famous game show in USA,  Let’s Make a Deal. Monty Hall Problem states that there are two errors people make while taking decisions:

  1. They ignore the influence the external environment makes on their decision making and
  2. How their perceptions are shaped by the external environment. In fact we feel we are making decisions in a neutral environment and our decision making is rational. We feel we are safe when we are in control of our destiny. Rituals and routine give us more control of the situation. However truth is otherwise, Dan Ariely, author of Upside of Irrationality says we are poor in risk analysis and are irrational animals.

Rajan Parulekar|rajan@paradigm-info.com|98450 14098

Difference between Convincing & Con-Vincing

Soumyajeet Mohanty ran Edu Solutions,  an educational consultancy service in Bhubaneswar Odisha. Initially he started Sunrise Coaching Solutions providing tuition to engineering students. As the venture did not yield much returns, he ‘moved up the value chain’ by providing  ( fake) admissions to students wishing to get into medical colleges. Continue reading

Do Sales Incentives necessarily Improve the Margins?

One of our clients in Pune had invited me to diagnose the problem of their poor margins. When I asked the VP-Sales he said,” We are facing this problem for the last three years, so last year we have launched an attractive incentive scheme, but still it is not producing results.”

Most of the sales managers intuitively feel that incentives lead to higher margins.  However the research carried out by Edward Deci and Richard Ryan at the University of Rochester and Adam Grant at Wharton say that the effectiveness of motivation varies with the task.  There are two types of tasks:  Algorithmic and Heuristic tasks. Continue reading

Volition & Motivation: The Gap between Doing and Knowing

Most of us feel that attending a motivational program will help people achieve the individual and organizational goals. Kurt Lewin and Narziss Ach have made pioneering contribution in the field of motivation. Lewin was known for his field theory as well freezing and unfreezing  concepts in changing the human behaviour and believed that motivation and volition are the same. Narziss Ach  treated motivation and volition differently.

Volition happens at three levels: Continue reading

A Tale of Two Key-Note Addresses

“We are having our Annual Sales Conference and we would like you to deliver a Key Note address for our Pan-India Sales Team on Value Selling.” said Ramesh, the HR Manager of an IT company over phone.

“Thanks, but how did you know about me? “ I asked. “We make our own referral checks in the market before deciding on the speaker.” said Ramesh. Continue reading

Root Causes of Employee Disengagement

A number of surveys show that the majority of employees are disengaged from their work.  Factors that lead to the alienation of the modern executive  are: viewing life as  a means to an end ,  no respect for quality, abstractification and commodification. Continue reading

Importance of Weak Ties in Strengthening your Social Network

In your social network you have two types of ties:

  1. Strong Ties: These include your close friends whom you know well and with whom you interact frequently.
  2. Weak Ties: These are the acquaintances who know you superficially and your interactions with them are rare.

Between the two of them who should support you more in propagating your service? The intuitive answer is obviously the former,  that is the strong ties.  Let us look at a hypothetical scenario.  You (A) have strong ties with B & C with whom your total strength of the network is 28 connections whereas with X & Y you have weak ties and the total network among you is 25 connections. Which one should give you more mileage? (refer figure below)

strongweak-tie

Let us look at it mathematically.

You will observe that in strong ties there are lot of common connections which lead to a great deal of overlap. Whereas in case of weak ties, the overlap is less and the distributed network is high.

strongweak-tie_graph

You will observe that your message will spread to 7 new connections with strong ties whereas with 18 connections with weak ties.

Let us look with two examples:

  1. My book, Contextual Selling was published a few years back. I had conducted a few sales training programs for Rittal India, a leading manufacturer of IT enclosures. When Jacob Chandy, the Vice president Sales and Marketing went through the book, he immediately ordered for 80 copies. In the last 5 years I might have met him hardly 3-4 times.

I was delivering a Keynote address for Metrology Division of Carl Zeiss in 2014. After seeing the book, Mr. Wolfgang Schwarz, VP Sales based in Germany ordered for 30 copies. Our interactions over mail and linkedin are hardly 3-4 in the last two years.

I suggested Sunil my good old friend (strong tie) who was in sales about the book. He said, “I need a complimentary copy.”

  1. Last week I was conducting a program for Bruker Analytics in Mumbai. I had interacted with Dr. Shreeram Oak CEO, only once in 2012. After that meeting the second time I met him was while conducting the program.

In Mumbai I have two close friends, Amar and Ramesh (names changed) who are CEOs of companies in similar field and competing with Bruker. Both of them know me for the last 25 years. (We were working in the same company earlier ) Whenever we meet,  they regularly  complain about the poor quality of their salespeople and the need for a training program But training program to Rajan , no way!

Strong Ties:

  1. They know you too well. ( familiarity breeds contempt?)
  2. They move in almost similar circles
  3. There is a considerable overlap in their networks.

Weak Ties:

  1. They know you enough about your professional competence.
  2. More novel information about you can move into this network.
  3. There is a less overlap

The concept paper on Weak ties was developed by Mark Granovetter a Harvard Theoretician in 1972 as a part of his Ph. D. thesis. The Strength of Weak Ties is considered as a most influential sociological paper.

Quite often life is illogical and counterintuitive, do not ignore the weak ties,make the best use of them to improve the strength of your social network. Wish You a Very Happy and Prosperous New Year!

Rajan Parulekar|Paradigm Trainers Private Limited| #7, 7th Main, Binny Layout, Vijaynagar, Bangalore 560 040| T: 080 23207930, M: 98450 14098| rajan@paradigm-info.com

Importance of Tacit Knowledge for Organizational & Individual Growth – Part I

The two crucial challenges faced by today’s organizations in remaining competitive and thus  profitable are:

  1. Cut-throat Competition: I was talking to one of my clients who is in carbide tools, mould and die business. Twenty years back there were only 3 players. (two from Sweden and one from Israel) Today there are more than 20 players.(including  those from  Korea, Japan etc.) This has brought down the average margins by almost 50%
  2. Attracting and Retaining Talent: High competition leads to higher levels of attrition. It is assumed that a new executive starts contributing to the organization only after 7-8 months. Later he starts earning his salary and the real contribution starts only after 18-20 months. However in the present context, by the time the organization expects the employee contribution; the latter has already started looking out for greener pastures elsewhere.

Peter Drucker, the eminent management thinker predicted 40 years back that the future belongs to  knowledge workers and firms can have a competitive advantage only through effective knowledge management. There are three ways how firms can  remain  competitive:

  1. Generate new knowledge continuously.
  2. Disseminate the new knowledge across the organization in a systematic manner.
  3. Apply the new knowledge to develop new technologies , products and services.

There are two types of knowledge:

  1. Explicit Knowledge: Is the one which is available through systems, processes, technology, patents etc. This knowledge to a greater extent can be shared. Through technology transfer it can be acquired.
  2. Tacit Knowledge: This type of knowledge is with the individual and does not reside in SOPs. It is also context-specific. This is acquired through experience. The term was coined by Michael Polanyl in 1958 who said, “we can know more than we can tell.” It can be defined as skills, ideas and experiences possessed by an individual. Quite often they are not codified, written or verbalized and hence difficult to transfer from one person to the other. Examples of tacit knowledge are playing a musical instrument, preparing a signature dish, driving car etc.

Three decades back I was working with a renowned electrical consultant called P.H. Padhye in Mumbai  who was having a consultancy assignment  ( paralleling of existing Petbow and Skoda DG sets with the MSEB supply) with Ceat Tyres.  Once the plant had tripped off and the entire production had come to a grinding halt. The maintenance head and others were struggling to solve the problem but could not succeed even after 24 hours. When we went to the plant,  Mr. Padhye told the maintenance head, “ the setting of the speed governor of your alternators are wrong and that is why the tripping has occurred.” The problem was sorted out in half an hour. This is tacit knowledge.  Mr. Padhye was a very knowledgeable person. Once after a marathon session on electrical circuit design, I asked him,” how do you know so many things?” He replied, “after 32 years of experience in the industry, I know what I don’t know.”

Many of you must have heard the apocryphal story where the boiler of a steam turbine had malfunctioned. An expert mechanic  was called . He asked for a hammer hit it at the right spot and lo behold… the boiler started working.. When the mechanic submitted the bill of Rs. 10,000 /- The finance manager was quite perplexed. When asked for the breakup of the  bill for a task which did not take more than 5 minutes,  the mechanic replied as follows:

  1. 100/- for hitting the hammer
  2. 9900/- for knowing where to hit and thus solving the problem.

You will observe that the former is explicit knowledge whereas the latter is  tacit knowledge.

You will appreciate the importance of tacit knowledge through this example. recognising the face of a person in  a crowd is tacit knowledge;  whereas to  recollect the other details is explicit knowledge.  Only though experience this tacit knowledge is acquired. Every evening when the employees leave the office such tacit knowledge is leaving the organization and when a talented and experienced employee leaves the organization; such tacit knowledge is lost forever.

At a number of places I see that there are no jobs available for executives who are 45+.  This shows our irrational bias towards explicit knowledge (read technology) which youngsters seem to possess. But we fail to realize that  a fast-changing technology can even make a young executive redundant equally fast. What  is important is not so much as knowing a  specific technology but the ability to learn new things and the organization having such workforce (who are willing to learn continuously)  is called as a learning organization. A number of organizations feel cost to be  the only driver to retain a competitive advantage and replace older executives.

E.F. Schumacher in his book, Small is Beautiful has something relevant on this topic. Quote:

Education can help us only if it produced ‘whole man’. A truly educated man is not the one who knows a bit of everything, not a man who knows all the details of all the subjects (if such a thing is well possible). The whole man in fact may have little detailed knowledge of facts and theories (read explicit knowledge). He may treasure the Encyclopaedia Britannica because SHE KNOWS and HE NEED NOT, but he will be truly in touch with the centre.

He will not be in doubt about his  basic convictions, about his views on the meaning and purpose of his life. He may not be able to explain these matters in words; but the conduct of his life will show a certain sureness of touch which stems from his inner clarity. (read tacit knowledge)

Unquote (italics mine)

What are the different ways the tacit knowledge can be effectively harnessed shall be looked into my next blog…

Rajan Parulekar| rajan@paradigm-info.com|www.paradigm-info.com