Category Archives: Uncategorized

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)

Image source: assets.com/images/S/compressed.photo.goodreads.com/hostedimages/1550649362i/27091258._SX540_.png

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

Image: https://www.google.com/url?sa=i&url=https%3A%2F%2Fwww.michaelrydelnik.org%2Fdealing-with-adversity-just-hang-on%2F&psig=AOvVaw37Nblx2XncrVUpe-gB-sdC&ust=1677308544701000&source=images&cd=vfe&ved=0CA0QjRxqFwoTCJDiibLLrf0CFQAAAAAdAAAAABAH

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)

 

Ethically Speaking

“Wishing you many happy returns on your sixtieth birthday,” so saying, I called my friend, Mahesh. He replied, “Rajan thanks for the greetings, but to be frank, my birthday is on 5th December and not today, on 2nd April. For the purpose of saving one academic year, this date of 02nd April was indicated by my father on my school admission form.” The above is not an isolated event, it happened frequently.

During the Chemistry lab period in the PUC days, there were experiments on identifying an element defined by sequence; by performing the dry test, wet test, and then the confirmatory tests. The demonstrator used to tell us ‘during exams, don’t waste time on the first two tests; go straight to the confirmatory test, and if you get time, do the previous ones. Bypassing the system with false birth certificates or taking short cuts was the name of the game.

Engineering Drawing was one of the time-consuming subjects in college. Unlike the CAD/ CAM environment today, where designs are made on computers, we had to make elaborate engineering drawings. Each assignment made on an A2/A3 drawing sheet needed an elaborate setup of a drawing board, mini drafter, T-square, compass, divider, set square, etc. It used to take around 2-3 hours to complete an assignment. The practise of GT (Glass Tracing) among hostelites was quite common. The GT procedure was simple. An assignment completed by a sincere student was glass traced by other students. A table lamp was kept in a bucket covered with a glass sheet; the blank sheet was aligned over the completed sheet. The lit lamp helped the student trace the original and the assignment could be completed in no time. The general consensus among the student fraternity was that the guy who took all the effort to complete the drawing in the 1st angle, 3rd angle, and a sectional view, was an idiot, while the people who copied it in one-fifth the time were intelligent and smart.

In one humorous instance, one guy was so ‘meticulous’ that apart from tracing the drawing, he copied the name and the roll number of the original student! The scene is no different today, for several agencies offer ready-made projects for engineering students for a fee.

A certain lecturer used to share with his colleagues, his life-long ambition of becoming a Vice-Chancellor (VC) of a university. Over a while, he moved up the hierarchy of senior lecturer, reader, and finally became a professor. A post for a VC was advertised in the papers. He applied but came to know that, more than merit, caste and money played an important role in the recruitment for this position. He managed to raise around Rs 3 crores for this, yet he was shocked to see the post eventually going to the highest bidder.

Much later, an advertisement appeared for another VCs post. This time, he knew the crucial role of politicians and middlemen. He developed contacts, moved heaven and earth to raise around Rs. 5 crores; despite being questioned by his friends, from an ethics and ROI perspective. The attempt for this second time to the post also eluded him. He committed suicide later.

I used to believe that such respectable positions need not be advertised but were filled by selecting eminent people with exceptional credentials. As Nirad Chowdhury wrote in the Autobiography of an Unknown Indian, an Indian’s faith in a bribe is infinite and unshakable. It is an infallible remedy for all workday inconveniences.

Academicians have used the terms ethics and morality interchangeably. Some people think that morality is personal and normative whereas ethics indicates the standards of good and bad as decided by community settings. It can be also looked at from a perspective of means and the ends. People have their own yardsticks in justifying their actions. As Robert Pirsig writes in the Zen and The Art of Motorcycle Maintenance, and what is good, Phaedrus, and what is not good – need we ask anyone to tell us these things? The three examples to illustrate the point are:

  1. Ratan Tata used to say, “Why should I spend time with bureaucrats in Delhi? They are supposed to do their work and I am supposed to do mine.” On the other hand, (the late) Dhirubhai Ambani had a different take. “You offer naivedya to God while visiting a temple. Why not deal with bureaucrats on a similar line?”
  2. The Karnataka Vidhana Soudha has an inscription on its façade: ‘Government’s work is God’s Work.’  I overheard a babu saying, “Anyway it is God’s work. Why should I?”
  3. A departmental store was run by two partners for 30 years. The 2nd generation was to take over the business. The first partner’s son who had passed out from an elite management institute asked his father, “We have learned all the aspects of running a business, the one topic I am not clear is about ethics. Can you elaborate on the same? The father explained, “it is quite elementary. Imagine a lady buys a dress for Rs. 1000 and while paying at the billing counter she inadvertently pays Rs, 2000. Now my son, the question of ethics comes, should we tell our partner or not.”

My niece Rupali Patil teaches in an upmarket public school in Whitefield, Bengaluru. She narrated some interesting anecdotes while conducting on-line examinations. The students are asked to keep the laptop at a specific angle to ensure they do not look at any material on their lap while writing answers. Parents are requested not to walk around or prompt the students while answering the question papers. Some parents have written papers themselves. One audacious father dared to sit underneath the table and prompt the answers. When asked how it was detected, I gleaned that the student used to normally score 10 out of 50, but scored 40 in that exam; he subsequently boasted to his friends how his father had helped him.

While websites like exam.net are used to ensure that students do not lose their focus on the screen, or use the second browser to get answers, by looking down; ingenious means are used to work around the system.

The school being in Whitefield, Bengaluru the following conjectures were thought of:

  1. Considering the location and the school fees, is it safe to assume that a majority of student’s families belong to the upper middle class, well-educated with Graduate/Post Graduate degrees?
  2. Is it safe to assume that the parents are working in renowned MNCs (Indian or International) with well-established guidelines on Vision, Mission, Values, and Ethics policies?  If so, should there be a divergence in behaviour between the professional life of a manager vis-à-vis that of a parent?

Education can be perceived as an end to realize one’s potential, or it can be simply a means to get a job in earning a livelihood. The former makes us look holistically at life, whereas the latter makes it transactional. Philosopher Immanuel Kant says that a rational human being is an end in himself and not a means to achieve something. When our attitude and behaviour are oriented towards means, quality becomes the main casualty.

Abraham Lincoln in his letter to his son’s headmaster wrote:

“Teach him if you can that a dollar earned is of far more value than five found.In school teach him it is far more honourable to fail than to cheat.Teach him to have faith in his own ideas, even if everyone tells him they are wrong!”

On a personal note, now when I call my friends, with trepidation I first ask “Before wishing you birthday greetings, is today your actual or official birthday?”

We set our own standards: “Jahaan hum khade rahtey hain; wahin se kataar shuru hoti hai!” – Wherever I (honorific) stand, the queue starts from there!.

Jai ho ‘Atmanirbhar’ Bharat!

References:

  1. Welcome to a world-class university education : M. Gautam Machiah, Deccan Herald, November 15, 2020
  2. Some midterm answer scripts leave teachers stumped: The Hindu, November 26, 2020
  3.  Image: https://www.123rf.com/photo_54708808_stock-vector-compass-rose-isolated-on-white.html

Know Thyself – An Inquiry into the Significance of Living

Perspective: At some point in our lives, some of us are faced with this eternal question of what is the true meaning of life? Followed by other questions like Why are we born? Where do we go when we die? Does the suffering end after death? What is the purpose of this life? Some of us then go deeper into religion & scriptures or move towards spirituality or just find a mission in life to carry on. There are very few who realise that the answer does not or cannot lie outside of us and they take up a journey inwards. This is the toughest journey that one gets on as most of the things that we assumed and believed in all our life, start to fall apart here. This journey is the one of solitude, not literally in terms of companionship but in terms of our true being. No one else can walk this path with us, we must take it alone. That makes this unknown path even more scary. To walk on this path one needs devotion and clarity or else we could easily be hoodwinked by the sidetracks that could make us believe that we are on the right track.

That is precisely why this forum was formed, to clear any doubts or questions that one confronts while on this path. To take this journey with an unfaltering devotion to truth, one needs a constant exposure to profound truths so that we don’t distract ourselves with spiritual materialism. If you resonate with this and would like to be part of this bi-monthly discussion between seekers, with no limits and bounds of religion, caste, nationality or even spiritual Gurus, you are welcome to join us.

When: Every 1st and 3rd Sunday at 1000 HRS India Time/Saturday 2130 HRS California Time – Zoom Session, Duration: 90 minutes

For Whom: the forum is for seekers who wish to delve deep into the existential dilemmas of living.

Session Facilitator: Rajan Parulekar

The forum is FREE and is not aimed at as an introductory session towards any paid programs.

Minimum age:  21 years.

What to expect or not to expect from the forum

1. The program is not of a prescriptive mode with quick-fix tips and techniques.

2. Irrespective of the number of sessions, no certificate shall be issued to the participants.

3. A Caveat for the trainers, counsellors and the coach fraternity; It is not a forum to propagate your offerings.

4. It is not a conventional training program with Power Point Presentations, You Tube Videos etc. It is based on the Socratic Method of deep questioning and exchange of experiential knowledge/wisdom. Participants would be expected to prepare 1-2 sincere questions for discussion prior to confirmation.

5. Conventional technique-based programs on Stress Management and Work-Life Balance, Conquest of Happiness etc. are covered in a separate forum. Participant Feedback

5. The forum is religion and belief agnostic. It can be joined irrespective of your personal philosophy, guru or a master.

6. The forum aims to enable the participants in finding answers to the existential dilemma of life by introspecting the values, beliefs, attitude and aspirations.

Registration: Please send an email stating your reason to join this forum, along with 1-2 questions to rajan@paradigm-info.com. Please share your preferred email id and WhatsApp number to facilitate communication only pertaining to this Forum. 

The blog articles below shall provide a snapshot of the philosophy of the forum meetings:

 Four Noble Truths in an age of uncertainty and anxiety

A different way of Curing Addictions – A Buddhist Perspective

Who is responsible for our actions?

Cutting through Spiritual Materialism

Relevance of Ambiguous Thinking in Challenging Times

Virtues of Boredom

For articles on other topics,  please visit: Blog Articles by Rajan Parulekar

Rajan Parulekar

His programs and coaching sessions have a rich blend of Western Management Techniques like EST, Who Am I, Transactional Analysis (TA), Rational Emotive Behaviour Therapy (REBT), Neuro-Linguistic Programming (NLP), Gestalt Therapy, Emotional & Spiritual Intelligence & Eastern practices like Zen, Tao, Vipassana, Patanjali Yoga Sutra etc. He has conducted around 75 programs on Stress Management, Work-Life Balance. Flow, Conquest of Happiness etc.

He is a regular practitioner of Vipassana since 1986 and has attended around 10 courses including the Satipatthana Sutta till date. He was initiated into ZEN practice from Zen Master AMA Samy from Bodhi Zendo Kodaikanal.

He also provides Coaching, Mentoring & Counselling in areas like Emotional Conflict, Stress Management, Finding a Purpose etc.

Corporate Programs:

LInkedIN Profile:

Have you found your niche?

“Charles, you care for nothing but shooting dogs and rats; you will be a disgrace to not only yourself but to your family too.” This was a father’s prophecy about his son. The father wanted his son to be a doctor like him. Charles entered Edinburgh University for medicine at his father’s behest, found it unattractive, later joined Cambridge, and earned an undistinguished bachelor’s degree in theology. He had no firm idea what to do. Charles was an aimless youth at 22. He wanted to do something different. He loved flora and fauna but did not know whether that love could be transformed into a livelihood.

Captain Fitzroy on his ship HMS Beagle was looking out for a naturalist. Charles asked for his father’s permission. His father refused but with a caveat, “If you can find any man of common sense who advises you to go on the discovery, I shall give my consent.” Neither the father, nor the captain were ready to grant permission to Charles.

There are two approaches of developing one’s career, the conventional approach and the niche-based approach.

  1. The conventional way of selecting a profession for self or for others is primarily decided by the demand for that profession, coupled with tangibles like salary and perks. No wonder Medicine, Engineering and MBAs among others make the cut.
  2. A niche-driven approach on the other hand is decided by differentiating oneself from the crowd by focussing on a niche . It is defined as a comfortable or a suitable position in life or employment. Alternatively, it also means a shallow recess especially in a wall to display something of value – a statue or other ornament. (please refer the image). Let us see what happened to Charles, the aimless youth discussed earlier?

When Charles approached Captain Fitzroy, the physiognomist in Captain Fitzroy said, “I doubt anyone having a nose like yours can possess sufficient energy and determination for the long voyage.”

His uncle drove thirty miles to convince Charles’ father to grant him permission to undertake the assignment on HMS Beagle as a naturalist.

The Beagle Voyage which included the circumnavigation of globe would be the making of the 22 year-old Darwin. Five years of physical hardship of mental rigour imprisoned within the ship’s walls, offset by the wide-open opportunities in the Brazilian jungles and the Andes Mountains, were to Darwin an eye opener in finding his muse. It took him 22 years to publish his theory of Evolution by Natural Selection in The Origin of Species.

Is it necessary to be a school or a college topper or those in the top percentile rankings to find one’s niche? Quite often the converse is true as ‘brilliant’ students have the best choices in selecting the conventional options in career and institution.

What can happen when one selects a career in a conventional way but is at the bottom of a pyramid in a specific career stream? Getting a job may look easy but one may be competing with a very large number of aspirants. For example: Rakesh had scored 100/100 in Sanskrit in SSLC. Having felt he had a flair for Sanskrit he decided to pursue his college education in that direction. He completed his BA in Sanskrit from Ruia College in Mumbai.

At this juncture he had two choices in further studies – to continue his studies in Sanskrit or look out for a qualification which is marketable in the job market. He decided to pursue a MBA in Finance instead. After spending around Rs. 8 lakhs in fees itself what can be the likely scenario when he passes out two years later?

For a person who wishes to do a M. Tech in Structural Engineering, a minimum qualification of B.E Civil is necessary. Likewise for a M.S. in surgery, a basic qualification of MBBS is mandatory. So, when a person pursues a MBA in Finance with Sanskrit as graduation the basic competency level expected of the student is that of Class 12th, as a MBA is agnostic to one’s field of graduation.

Conventional wisdom says that one has a wide range of job opportunities after doing a MBA. The opportunities are large but so is the competition. Annually about 360,000 students graduate from 4000 B-Schools of which 61% are unemployable due to skill gaps and low work experience.

Keeping those depressing numbers aside, can Rakesh compete with students from Premier Institutes or those with Engineering and Commerce backgrounds? It is not impossible, but it is a Herculean task.

What would happen if he were to pursue Sanskrit for his PG? In the absence of clear data let us assume that the number of students opting for Sanskrit may be 1% of MBA students that is around 3600. For Rakesh it would have been much easier to be in the 95th percentile after his MA and in the 99th percentile with a Ph.D. A lot of research happens in Sanskrit in US and German universities. By differentiating himself and finding a niche, Rakesh could have had a sense of purpose too.

From a financial perspective too, the cost of pursuing a MA in Sanskrit would have been at less than 10% the cost of a MBA. In case of a Ph.D. he could have explored UGC fellowships or opportunities in US or German universities where considerable research in Sanskrit is possible.

An example of a niche-based career is of my friend, Christopher Jayakaran who passed PUC, third class in 1962. With hardly any worthwhile career options, his father’s friend suggested him to take up a course in Geology. He completed his M.Sc in Geology at Presidency College in Madras by topping in the University. He worked for an NGO called ‘Action for Food Production’ for 7 years and for more than 25 years in different countries in Africa which include Uganda, Kenya, Tanzania, Sierra Leone etc. He is an eminent Hydrogeologist and a Paleontologist. His Tamil book In Search of Ancestors which is on evolution of man based on fossil evidence has run into six editions.

Why are people in general wary of pursuing niche fields?

  1. Obsession for Security: Education is normally pursued in order to get a job. The market demand is thought of. In the post-covid world there is no security either in a job or in one’s qualifications per se.
  2. Managerial Aspirations: Indians in general prefer to have a managerial title early in their career sacrificing expertise in a specific domain.

How to find your niche?

Around 30 years back, I came across an excellent concept in finding ones niche, based on cybernetic principles which was on identifying one’s core competency and focusing on a specific niche where the strength can be leveraged to maximum extent.

Werner Brandes was a German MBA Graduate who was working in a consulting firm but did not have career growth in spite of working hard in that organization for more than 10 years. He was unable to get good offers elsewhere. He was a mediocre student throughout his academic life and passed out from a tier-3 B-school.

The conventional wisdom of competing with others was not giving any results (like the example of Rakesh discussed above). His work profile was mapped for 15 different competencies. Werner was below average in all save one, which was on Industry Setup in rural areas. When Werner was pointed out that this was his niche. He asked, “How can I get a job with such a small niche?” He was advised to start his own consulting in this field and as he was in the top 5% of this ultra-specialized area of business consulting, slowly he was perceived as an expert in this field. Business started growing. Being a sunrise sector wherever the data was not available, his customers helped him in providing the necessary details.

Fascinated by this counterintuitive concept, I launched a program called Strategy for Quantum Growth. After 4-5 programs I had to withdraw as most of the participants did not want a long-term strategy but a new job which paid them 3-5K more.

One crucial difference between the conventional and the niche-based strategy is the type of growth. In case of the former it is logarithmic growth – where it is easier to get a good well-paying job immediately after graduation but after a few years the growth may taper off. In case of niche areas there is a considerable struggle initially but after a few years when the market perceives you as specialist, the growth becomes truly phenomenal and is termed as exponential growth. ( Please refer the graphs below) You are considered as a pioneer and get a first-mover advantage.

Log_Growthexponential-growth

Conventional Approach                                                         Niche-Based Approach

Whether in business, profession or a job; there are some who go on competing  against  a vast majority in a commoditized market as if running on a treadmill and getting exhausted. On the contrary, the likes of  Christopher, Werner Brandes or Charles Darwin though not brilliant in their school days in the conventional sense were able to find their niche. Have you found yours?

Two roads diverged in a wood and I…and  I took the one less travelled by and that has made all the difference. – Robert Frost.