Synergize

Have you been following me over the last few week? I sure hope so. I have been running through each of Stephen Covey's 7 Habits of Highly Effective People. Today, we discuss the sixth habit. Which is the third, and final, of what Covey calls “Public Victories.”

This blog is about effectiveness and entrepreneurship. It is meant to link the two ideas together. For the most part, entrepreneurship requires the building of organizations. Drucker said we live in a society of organizations. And, synergy is all about organizations.

There are many important functions in a large and successful business. And, no one person can be good at all of them. So, we must hire, or partner with, people who can do the jobs we are not good at. Thus, as you can imagine, we need self-awareness and the ability to identify our strengths.

Drucker recommends we always ask ourselves the question, “What should my contribution be?” In order to answer that question we must identify the mission of the organization, the necessary tasks, and our particular strengths. Then, we can match strengths to tasks. This is harder than it first appears.

An example would be the entrepreneur who prides him/herself on being an “Idea person.” That person is basically saying they are not good at execution. In turn, an idea person needs to partner/synergize with an execution person. A good example would be the partnership between Charles Kettering and Alfred Sloan.

Even if you are good at both ideas and execution, the world is much too vast and complicated to know it all. Most people believe they are objective and see the world the way it is. The problem is that we tend to see the world, not as it is, but as we are. For this reason, it is wise to value differences of opinion.

Covey would say, “The essence of synergy is to value differences. Synergy means two heads are better than one. It is the idea that the whole is greater than the sum of the parts. One plus one equals three, or six, or sixty.”

If Sloan had to come up with the ideas, he might not have gone far. Conversely, had Kettering needed to be an executive he would have struggled. So, in some ways, we could say that synergy is similar to teamwork. The only problem is that synergy is much more than teamwork.

Teamwork can often involve an element of uniformity. I think we have all heard that funny quote of Henry Ford saying, “You can have whatever Model-T you want. As long as it is black.” Additionally, John Wooden was one of the best college basketball coaches of all time. And, one thing was for certain, on Wooden's team, you did it his way.

As I have mentioned, synergy is different. With synergy we value the differences. You could have uniformity, with the Model-T, because it was the only show in town. And, uniformity also applies to basketball because it is a pretty simple game.

The great game of business is different. Basketball has not changed much in one hundred, or so, years it has been around. But, business changes constantly. Remember MySpace?

To stay ahead, in business, requires great talent and diversity. Which is very difficult. Most of us seek out people who are similar. Differences often create friction. The great organization builder knew how to lubrication that friction so they were able to utilize the concept of synergy.

A great example of an organization builder would be Abraham Lincoln. Lincoln is, arguably, the greatest President in United States history. And, one thing Lincoln was, beyond a shadow of a doubt, was a great organization builder.

If you have never done so, I encourage you to read the great book Team of Rivals by Doris Kearns Goodwin. The book explains the political genius of Abe Lincoln. And how, one man cobbled together a team that saved, and reinvented, America.

Lincoln's success was the very essence of synergy. Difficult but worth it. As Covey wrote, “When properly understood, synergy is the highest activity in all life.”

Seek First to Understand, Then to be Understood

We are now on to Habit #5 of Stephen Covey's 7 Habits of Highly Effective People. I think this habit is extremely straightforward. At least it is on an intellectual level. However, when it comes to execution, when it comes to implementing this habit, it is one of the hardest. In fact, in this post (click here) I suggest that Habit #5 is the second most difficult of the habits.

I actually could not think of a lot to say about this habit. Seeking to understand before we try to be understood is a pretty simple idea. Simple in theory but difficult in practice. So, let me quote Covey. Central to the habit of “Seek first to understand, then to be understood,” is the idea of empathic listening.

Covey writes, “When I say empathic listening, I mean listening with intent to understand.” He continues, “Next to physical survival, the greatest need of a human being is psychological survival – to be understood, to be affirmed, to be validated, to be appreciated.”

Obviously, this habit is all about listening. And, as Peter Drucker would say, listening is not a skill. Listening is a discipline. To seek first to understand, requires that we listen, which requires discipline. And, that is a lot of what makes this habit so difficult.

So often we think that we do not have time to listen. We all have a lot on our plates and time is of the essence. Covey says, “There are people who protest that empathic listening takes too much time. It may take a little more time initially but it saves so much time downstream.”

Miscommunication is a very real problem in this day and age. We are all extremely busy. Or, at least we convince ourselves that we are. We are always in a hurry. And, being in such a rush causes us to be much more likely to fool up our communication. Often times this miscommunication causes more problems than it solves. As paradoxical as it may sound, being in a hurry can waste a lot of time. Sometimes we need to slow down to speed up.

As it applies to entrepreneurship, this habit is at the very heart of selling. When it comes to selling our goods we are well advised to behave like doctors. That is to say, we need to diagnose before we prescribe.

Entrepreneurs are problem solvers. In this way, entrepreneurs are a lot like doctors. The essence of economic value derives from the solving of real problems. As it turns out, there are any number of people out there trying to solve false problems. Meaning, they bring a product or service to the market that solves a problem people do not really care about.

So, a fundamental question is, “What do people really care about?” That is a diagnostic question. Again, we want to diagnose before we prescribe. And, diagnosing before we prescribe is simply another way of saying, understand before you solve. If you want to sell somebody your solution, you are well-advised to first understand their problem. As the name of the book suggests, this all about becoming more effective.

One word of caution, do not assume you know people's problems. I think we all know that cliche about what happens when we assume. Rather than assuming we need to ask questions and listen.

Think Win/Win

This post marks a turning point in our discussion about The 7 Habits of Highly Effective People. Today is about Habit #4 which means we are now transitioning from independence to interdependence. From private victories to public victories.

Independence must come before interdependence. Stephen Covey writes, “Interdependence is a choice only independent people can make.” One of the main problems is that independent people often look at the world from the perspective of Win/Lose.

In this blog I apply effectiveness to the realm of entrepreneurship. Obviously, entrepreneurship is conducted in a capitalist economy. And, the fact of the matter is, capitalism is based upon competition.

For most people, competition necessarily means a Win/Lose mindset. What's more, we are raised playing games that reinforce the Win/Lose mentality. Sports being the most prominent example. And, a lot of people get frustrated with the current trend towards giving trophies to all participants. So steeped are we in the tradition of winners and losers that we sometimes have a hard time thinking Win/Win.

Don't get me wrong, sports were created to have winners and losers. And, giving trophies to the teams that do not win is pretty silly. That said, some people approach every aspect of life from a competitive perspective. In order for a competitive person to win, someone else is expected to lose.

The problem is that life in general, and business in particular, are different in rather significant ways. I will not discussion life in general. Let us only talk about business. Business contains elements of both competition and cooperation.

As a matter of fact, several years ago a couple of business professors, Barry Nalebuff and Adam Brandenburger, teamed up to write a book about the paradoxical nature of business. The book was titled Co-opetition and it applied the mathematical model of game theory to the realities of business.

As the name of the book suggests, business is part competition and part cooperation. And, the two parts exist simultaneously. In turn, being overly competitive can backfire because it keeps us from being able to cooperate.

Of course, we want to compete against our "competitors." Ford battles with Chevy and Coke tried to destroy Pepsi. But, we need to be careful to not do battle when we should be cooperating.

The most obvious example is our customers. I think most people understand the importance of not fighting with your customers. We should be serving our customers, not battling them. Even as obvious as that should be, many people use war metaphors and almost view their relationship with their customers as a military campaign.

Those of us who are enlightened enough to think Win/Win with our customers often happily go to battle with our suppliers. Which is most unfortunate. After all, are we not our suppliers customers?

Covey says, “There are three character traits essential to the Win/Win paradigm: integrity, maturity, and abundance mentality.” I think the preceding statements is self-explanatory. The real key to implementing the Win/Win mindset is “No Deal.” Whenever we go into a negotiation, or agreement, we need the option of choosing no deal. If we do not believe we are being properly served, we can call the whole thing off.

This much might seem straightforward. If we think we are being mistreated, we always have the option of walking away. Much more difficult is pulling the plug when it seems our negotiating partner is getting a raw deal. Covey writes, “It's twice as tough as Win/Lose. To go for Win/Win, you not only have to be nice, you have to be courageous. You not only have to be empathic, you have to be confident.”

The old saying says that business is war. And, to a point, I agree. As stated, there exists a profound and permanent tension in the cola wars. Car companies would sooner shoot themselves in the foot than give up even one iota of market share. That said, most of business is actually about cooperation. As a general rule you want to cooperate with your employees, co-workers, suppliers, and customers.

Being competitive can be adaptive, it can be the source of much needed drive and energy. But, being competitive can also be destructive and backfire. It is your job to decide when to compete and when to cooperate. As a suggestion, most of the time, you want to be thinking Win/Win. It is the very essence of interdependence, and it makes both sides stronger.

First Things First

Today is Habit #3. A few weeks ago I turned the conversation towards effectiveness. Then, I started tackling Stephen Covey's 7 Habits of Highly Effective People, one at a time.

My discussion of the first habit was pretty good (Click here to read it.) The second habit was more difficult because it deals with fear and doubt (Click here.) Subjects that can take up entire books.

Speaking of taking up entire books, this third habit did! Covey once wrote a book titled First Things First. Obviously, the idea is rather important.

In order to understand first things first we need to consider two ideas: importance and urgency. We need to think about what is urgent. A fairly straightforward task. And, we think about what is important. A much more difficult task, which is the subject of the second habit.

His book, First Things First, is meant to be a time management book. Because this third habit is largely about time management. A lot of people think that the key to time management is getting more stuff done. And, while that is partially true, we must first consider what that “stuff” is. Covey wrote, “Daily planning often misses important things that can only be seen from a larger perspective.”

For example, Covey gives the analogy of efficiently stacking the chairs on the deck of the Titanic. If you are a efficient worker, you could stack a lot of chairs. But, of course, it is a complete waste of time. In fact, Peter Drucker once said, there is nothing so useless as efficiently doing the wrong things.

It should be clear that we need to identify what the right things are. To Covey's way of thinking we need to create mission statements. We need to begin with the end in mind.

Drucker might say it slightly different. He would ask, “What do you want to be remembered for?” A question he borrowed from Saint Augustine. Regardless of how you wish to conceptualize the idea, it is vitally important that we all identify what is important to us. Warning! This task is quite a bit harder than it sounds.

Covey wrote, “If we don't have a clear idea of what is important, of the results we desire in our lives, we are easily diverted into responding to the urgent.” And, he created a matrix, a quadrant, to help visualize his teachings. Here is Covey's quadrant:

All of Covey's Habits live in Quadrant II. The problem is that the Habits are not urgent activities. For example, I would say reading is very important. And, reading is most definitely a Quadrant II activity. Unless you are currently in school, reading can always be put off until tomorrow. And, it usually is.

Because we have a tendency to neglect Quadrant II, we need to make a concerted effort and focus on doing the things that are important but not urgent. Otherwise, we will constantly get distracted responding to things urgent.

We must identify what is important to us. You can do this utilizing what Saint Augustine said. Or, if you do not think it is too negative, you can write your own eulogy.

If you are reading this blog you are either an entrepreneur or you would like to be an entrepreneur. So, let me take a guess. If you want to be an entrepreneur, freedom is one of your main value. Freedom is very important to you.

So, let's talk entrepreneurship. As it applies to entrepreneurship, for the most part, the first thing is get attention. Good ideas are ten-a-penny. The real key is execution.

Have you ever watched the television show Shark Tank? Have you noticed how Mark Cuban loves entrepreneurs that are willing to go door-to-door to sell their products? What is Cuban saying?

While it is true that Cuban used to sell trash bags, door-to-door, he is not waxing nostalgic. What Mark understands is the vital importance of getting attention and selling things. Hence, the subtitle of this blog.

Because I am so loyal to Drucker, let me put it in his words. Peter Drucker said that a business exists for one reason. To create a customer. That is pretty powerful. He did not say businesses exist for three reasons. He said one reason.

When we translate Drucker into the parlance of Covey we arrive at this third habit. The “first thing” of a business is to create a customer. Creating a customer involves two deceptively simple steps. Have a valuable product or service, and sell it to people. It is extremely simple and very difficult.

To get to real freedom, you are probably going to need to build some sort of organization. That will take some time. Just remember what Drucker said. A business exists for one reason. If the customer is your focal point, sales and marketing come first. Keep first things first.

Begin With the End in Mind

I recently began a series of posts, about Stephen Covey's magnificent book, The 7 Habits of Highly Effective People. I think the discussion has proven to be somewhat timely in light of the current Republican, presidential, nominating process.

Donald Trump might be the world's greatest self-promoter. He recently claimed that his book, The Art of the Deal, is the best selling business book of all time. Click here to see the interview.

I do not mean to split hairs but that claim is false. Most people would put Covey's book in the category of business books. And, The 7 Habits has certainly sold much better than Trump's book. Covey's masterpiece has sold somewhere in the range of twenty million copies. But, I digress.

Last week I talked about the first of Covey's 7 Habits. The first habit is, “Be proactive.” If you have not read that post, click here. Today, let's talk about Covey's second habit. The second habit is, “Begin with the end in mind.”

While I have no empirical data to support this claim, I think habit number five is the second most difficult of the habits. The most difficult, if I were to guess, is this second habit. Which is quite perplexing because it sounds so simple to begin with the end in mind.

Think about it. If we were to go on a trip, we would start by deciding on our destination. We would begin with where we would end (up.) Do we want to go to Rome, or Paris, or the Bahamas? Maybe Japan or Australia. Where would we like to go? That would be the first question.

Once we know our destination it is pretty easy to find our way. It is only after we choose our destination that we consider, and plan, everything else. Things such as, what clothes to pack, will we fly or drive, and who will take care of the dog.

I guess our traveling is not that different from making a simple phone call. Have you ever just picked up the phone, and started dialing random numbers, to see where it takes you? I very seriously doubt it.

When we pick up the phone we know exactly where we are headed. Perhaps we intend to call our attorney to discuss a business or insurance matter. Knowing the end game allows us to cobble together the necessary documentation.

Back to the traveling analogy. I once heard it said that people spend more time planning a vacation than they do planning their life. At first glance, it sounded like something of a stretch. More and more I am coming to believe that it might be true.

Surely our lives are much more important than our vacations. How could it be that we spend more time planning our vacations? I think the answer to that question is one word: fear.

When we can do anything, the question of what to do can become overwhelming. What if we chose the wrong thing? This conundrum reminds me of The Omnivore's Dilemma. Have you ever read Michael Pollan's fabulous book?

The omnivore's dilemma is as follows: When we can eat just about anything, the choice of what to eat becomes very difficult. Have you ever had a hard time deciding where to go for dinner? Essentially, we are dealing with The Paradox of Choice. The more choices we have, the harder it becomes to make a choice.

The United States is the very embodiment of freedom. In America, we are free to do just about anything we want. Which sounds really great. And, it is. The problem is the opportunity costs. The problem is the paradox of choice.

When it comes to the end-game, the number of options available to us is virtually unlimited. But, again, the problem is, what if we make a mistake? What if we pursue the wrong path? What if we find out that we do not like the path we have chosen? Or, what if we discover we have little chance of success?

To cope with this existential anxiety many people avoid the question of where they hope to end up. What a lot of people do is stay extremely busy. And, they use that whirlwind of activity as a proxy for feelings of being valuable and important.

Covey said, "It's incredibly easy to get caught up in an activity trap, in the busy-ness of life, to work harder and harder at climbing the ladder of success only to discover it's leaning against the wrong wall." As intimidating as it may be, it is vitally important that we step back to properly place our ladders.

There is an interesting question that asks, "What would you do if you knew you could not fail?" Without explicitly saying it, that question is meant as a device to deal with fear. Right? When we plan a vacation, we do not waste time worrying about failure. However, when we plan our lives we do.

Covey recommends that we all write personal mission statements. What is your mission in life? What do you want to be remembered for? Pretty intimidating stuff, isn't it? All the more reason to start working on your answers today.

The great thing about entrepreneurship is that we get to have mulligans. We get do-overs. While, we only get to one life, we can build many businesses.

When deciding to start a business it is critically important to being with the end in mind. Where do you want to drive your ship? What is your vision? The good news is, at least in America, you can completely screw up, and you still get the chance to try again.  

If you wish to hit the bull's eye you must see the target. This is a huge part of what effectiveness is all about. As Peter Drucker said, efficiency is doing things right, it is the busy-ness part of the equation. Effectiveness, is doing the right things.

Please do not allow yourself to confuse activity/efficiency with effectiveness. Just because you are busy does not mean you are making progress towards your goals. You might be off-track. But, you will never know that until you are certain about your destination.

Begin with the end in mind. Start today. And, always remember what George Bernard Shaw said, “If you take too long in deciding what to do with your life, you'll find you've done it.”

Be Proactive

Last week I mentioned that I want to start talking about Stephen Covey and his 7 Habits of Highly Effective People.

Oddly enough, in a twist on the second habit, I will start with the last habit. The seventh, and final, habit is all-encompassing. Namely, sharpen the saw.

Covey took the phrase, “Sharpen the saw,” from the old anecdote reminding us that we should not become overly occupied with the job we are doing. Meaning, you should not continue, in the act of bringing down a tree, if your saw has become dull.

Without effort, we humans can become quite dull as well. We need to remember to take time for renewal. Renewal can take many forms, the most common might be learning. Effective people take the time to sharpen their saw.

Obviously, if you take the time to read a blog post, you are already on-board with the importance of staying sharp. I encourage you to remain committed to your saw.

The other six of Covey's habits are divided into two groups. The first three habits are what Covey calls “Private victories.” And, the second three are “Public victories.”

It is Covey's contention that we must win the private battles before we engage with the public. Covey's first habit is “Be Proactive.” Most people operate reactively. Meaning, we respond to event that have already happened.

Being reactive is sometimes necessary. However, you do not react to your goals and mission. In order to truly effective, you need to be proactive.

This is a concept that directly applies to entrepreneurship. As I constantly repeat, successful entrepreneurs are salespeople. And, a salesperson has three main jobs: prospect, present, and close.

Prospecting for gold requires a river and a pan. But, prospecting for new business means getting attention. And, getting attention is nothing if it is not proactive.

Getting attention, prospecting, whatever you want to call it, we are talking about self-promotion. Grant Cardone is a gentleman who doing a pretty good job of promoting self-promotion. Specifically, Cardone recommends cold-calling and I agree. Grant says that strangers have everything you want.

Cardone comes out of the car business which, I believe, has strongly influenced his approach. The car business is very tough, and you must work extremely hard, a message Grant promotes.

Cardone is also full of in-your-face bravado. If you are willing to cope with his machismo, Grant is spreading a good and important word. But, make no mistake about it, self-promotion is for every entrepreneur.

Donald Trump has dominated the news coverage, of the primary process, with his ability to get attention. One trick, used by Trump, was to give away Senator Lindsey Graham's cell phone number. In turn, Graham tried to leverage the spotlight by producing this video.

Forget politics, let's say you run a not-for-profit. One thing I promise is, if you wish to achieve your mission, you will need to self-promote. Spreading the good word, about your cause, is the essence of self-promotion.

Another example I like is AG Lafley. Lafley had a very successful tenure, as CEO of Procter & Gamble, that lasted about a decade. AG is one smart dude. And, he met another very smart dude, Peter Drucker, by cold-calling him.

What am I saying? I am saying that the cold-call, far from being obsolete, is for every astute businessperson and entrepreneur. I mean, let's keep it real, if you are reading this post, there is a good chance that I cold-called YOU. Let me give you one last example.

Though they have struggled in recent years, Xerox has been known for its world-class training program. Back in the late 1970s a guy by the name of Howard Schultz worked for Xerox.

Schultz would knock on fifty doors, per day, in midtown Manhattan. And, Howard once said, “Cold-calling was great training for business.” Of course, we all know Schultz as the man who brought us Starbucks coffee.

I really want to beat on the drum of this idea of being proactive. It is, of course, Covey's first habit. Beyond that, it is vitally important. In fact, I believe that it is impossible to be a successful entrepreneur without being proactive.

By definition the entrepreneurs are the change agents of society. As we all know, the only constant is change. Instead of apathy, instead of waiting, entrepreneurs go out and make change happen. Entrepreneurs are the very embodiment of proactivity. Because, just as Drucker has told us, the only way to predict the future is to create it.

The Power of Effectiveness

This blog is titled, “On Effectiveness and Entrepreneurship,” two long and important words. These are two words that I am constantly reflecting on. Effectiveness may not be the most sexy word in the world. But, its byproducts are super sexy.

We are a country that is obsessed with success. Which is not a terrible idea. However, I believe a focus on success misses the point.

The difference between success and effectiveness is very subtle. Indeed, drawing such a distinction may seem artificial. It may seem to make no difference. But, there is a difference.

Success is a subjective, value-laden idea. What you define as success may be very different from what the next person thinks. In turn, it is very hard to have a discussion when people do not even agree on definitions.

For all of is lack of sex appeal, the word effectiveness is something we can agree on. Merriam-Webster defines effectiveness as, “The power to produce a desired result.”

Effectiveness is value-neutral. Meaning, the result you desire is completely up to you. And, whatever that result is, I support you in achieving it.

To produce/achieve your desired result, effectiveness is how you will get there. I strongly believe effectiveness is a sexy and important word.

The other day I pulled out my copy of Stephen Covey's seminal book, The 7 Habits of Highly Effective People. I first read Covey's work about ten years ago and it had a profound effect on me.

Any reader of this blog must know that I am a huge fan of Peter Drucker. What you may, or may not, know is that Covey himself was a loyal disciple of Drucker. So, not surprisingly, The 7 Habits forever changed the way I look at things.

Going forward I want to spend some time discussing Covey's seven habits. For obvious reasons, I will connect effectiveness to entrepreneurship. As we hopefully agree, entrepreneurship is not the end-all-be-all. But, it does provide the opportunity to give useful examples.

In my next post, I will discuss Covey's first habit. To Covey's way of thinking we must first win private victories before we can win public victories. Stated differently, the first three habits are private/personal. And, the second three habits are public, meaning they involve other people. In case you are a stickler, the seventh habit is universal.

Stephen Covey's first habit is, “Be Proactive,” an idea that sounds so simple as to be mundane. However, the more I reflect on the idea of being proactive, the more I realize how far it is from the mundane.

I will get into it next time. For now, I would encourage you to contemplate what it means to be proactive.

Pursuing Perfection

Last week we asked the question of whether success is a journey or a destination. The best answer is that it is both.

In last week's post I mentioned a Stanford psychologist by the name of Carol Dweck. Dweck's work has been getting a lot of attention lately.

Allow me to take a minute and connect Dweck's work with the work of Edward Deci and Richard Ryan. I mentioned the work, of Deci and Ryan, in a post a few weeks ago. If you are unfamiliar, click here to read the post.

Extrinsic motivation seems to be the most common form of motivation. The extrinsic things that motivate include houses, cars, diamonds and parking spots. That said, intrinsic motivation is more powerful.

Deci and Ryan created Self-Determination Theory which speaks of three forms in intrinsic motivation. There are: autonomy, competence, and relatedness.

Now it is time to bring in Drucker. Drucker advised that we always strive for excellence. The main reason to strive for excellence is psychological.

Drucker knew that getting good at what we do delivered huge psyche rewards. We are not simply talking of competence. We are talking of competence on steroids. It is highly rewarding.

So, Drucker would say to strive for excellence. The Japanese would call it “Kaizen.” Deci and Ryan use the word competence. And, Dweck recommends we keep on growing. However you wish to conceptualize the idea, it is important that we be lifelong learners committed to continual improvement.

To drive home the importance, of always striving for excellence, Drucker would tell the story of Phidias, the ancient Greek sculptor. I will finish this post with the words of Drucker, taken from his book The Daily Drucker.

“The greatest sculptor of ancient Greece, Phidias, around 440 BC made the statues that to this day, 2,400 years later, still stand on the roof of the Parthenon in Athens. When Phidias submitted his bill, the city accountant of Athens refused to pay it. 'These statues stand on the roof of the temple, and on the highest hill in Athens. Nobody can see anything but their fronts. Yet, you have charged us for sculpting them in the round, that is, for doing their backsides, which nobody can see.' 'You are wrong.' Phidias retorted. 'The Gods can see them.'

“Whenever people ask me which of my books I consider the best, I smile and say, 'The next.' I do not, however, mean it as a joke. I mean it the way Verdi meant it when he talked of writing an opera at eighty in the pursuit of a perfection that had always eluded him. Though I am older now than Verdi was when he wrote Falstaff, I am still thinking and working on two additional books, each of which, I hope, will be better than any of my earlier ones, will be more important, and will come a little closer to excellence.

“Action Point: Pursue perfection in your work, however elusive.”

Journey or Destination?

How many times have we heard the journey versus destination question? A million times, right? Is success a journey or a destination?

To be blunt, this is something of a juvenile question. Success is both a journey and a destination. We need to embrace the genius of “and.”

It should come as a surprise to no one, but, over the last couple of weeks I have mentioned Peter Drucker. He really is the best. So, let us continue in the legacy of Drucker. But, we will add some more contemporary clarity.

Here is the issue, in life, growth is the imperative. The way Drucker puts it is that we want to always be striving for excellence.

A big part of the problem is that growth, and improvement, require that we make mistakes and have failures. You see, striving for excellence can cause a person it avoid taking any risks.

Some people will only do those things that they are good at. They avoid taking chances. This makes them feel better, in the moment, but it backfires as a long-term strategy.

How might we square this circle? Being successful makes us feel good today. But, it can set us up for failure tomorrow. Success today can create complacency tomorrow.

To combat complacency, Andy Grove recommends fear. Specifically, he uses the word paranoia. Grove's advice has merit, but it requires subtly and nuance.

You see, the famed organizational theorist, W Edwards Deming, would say that fear must be driven out of your business system. So, we have something of a conflict.

On the one hand, we need to drive out fear, so people feel safe and willing to experiment. On the other hand, we need to scare people out of complacency. It is something of a conundrum.

One simple solution is the work of Carol Dweck. Dweck is a professor, at Stanford, and her work has been making a lot of waves in recent years. Click here to read a report I wrote about her book Mindset.

As you can see, in that report, Professor Dweck talks about the growth mindset versus the fixed mindset. The fixed mindset says that our abilities are set in stone. And, the growth mindset believes a persons' abilities can be developed.

As it turns out, what you believe to be true becomes your reality. Self-fulfilling prophecies are very real. It is that thing people quote Henry Ford as saying, “Whether you think you can, or think you can't–you're right.” The idea is a little over-simplified, but, the point is well-taken.

Back to Drucker, to tie this whole thing together. Drucker would say that we enjoy two things about our jobs: improvement and results. Can you see how Drucker would agree with me on this post?

The journey is about improvement, and it can be very enjoyable. The results are the destination. And, I do not have to tell you how people yearn for good results.

Day-to-day we need to embrace the journey. We when need to stay focused on improvement. That is to say, we need to leverage the growth mindset and the progress principle. And then, once in while, we need to step back and admire our good work. We need to revel in the results. But, not for too long.

(Deliberate) Practice

Last week, as I often do, I mentioned Peter Drucker. Forever, there has been this war between science and art. That is to say, when it comes to things like business, people debate whether it is a science or an art.

I think the debate is silly. Business is not just a science and it is not just an art. Business can be both an art and a science. It all depends on the skills you choose to bring to bear.

Drucker would say that business is about practice. That might sound kind of weird coming from the man of invented the "science" of management. Actually, though Drucker codified the principles of management, he did not view management as a science.

Drucker said that business deals with people. As such, management (business) belongs in the humanities, which makes it a science. However, due to its wide-ranging nature, Drucker saw business as a liberal art. In all, to Peter's way of thinking, management is really a practice. Hence the name of his book.

Let me ask you this, have you ever known someone is all talk and no action? Do you know anybody with great potential but it does not translate into performance? Have you ever asked yourself why that is?

Drucker said the only thing that closes the gap between potential and performance, is practice. However, practice is something of a taboo subject.

Sure, children are supposed to practice. I mean, we all know the joke about practice being the way to Carnegie Hall. But, adults, adults have already learned skills. Adults do not need to practice. Do they?

Fortunately, these days there is a lot of talk about the subject of practice. Especially, now that we are in the age of information. Because the age of information has led to the need for knowledge workers (a phrase coined by Drucker himself.)

"Training" seems to be the more adult word that we use. However, when you think about it, training is a form of practicing. 

Having died in 2005, I do not know how well Drucker knew the work of Anders Ericsson. Professor Ericsson is down at Florida State University, and he is considered the world's leading expert on experts.

Ericsson has only written academic work. I do not know of a mass-produced book written by Anders. But, that is okay. As it turns out, one thing the world's expert performers all have in common is that they practice. A lot.

As mundane as it may sound, there is a direct correlation between amount of practice and level of performance. This should not come as a surprise to anyone. Indeed, as I have mentioned, Drucker put it in the title of his 1954 book.

The thing I want to mention, today, is that not all practice is created equal. Doing something, over and over, hoping to get better, is one form of practice. However, Professor Ericsson has identified another form of practice. Something he calls "Deliberate Practice."

Deliberate practice is about stretching yourself and your skills. For this reason, it is hard work. It is not comfortable. Because, like we have all heard, success lies outside your comfort zone.

In order that you might engineer more deliberate practice into your day, here are the six elements of deliberate practice:

1. It is designed to improve performance

2. It is repeated a lot

3. Feedback on results is continuously available

4. It is highly demanding mentally

5. It is hard

6. It requires (good) goals

One thing Peter Drucker was dogmatic about was that jobs/work must allow the worker to achieve. Drucker would counsel each of us to always strive for excellence. The main benefits of striving for excellence were psychological. And, Drucker knew it.

Excellence can be different from expertise. Whereas expertise is a comparative judgment, personal excellence is more about becoming all that you can be. It is competing with yourself. And, whether you want to be world-class, or simply the best You, practice is the way you get there.

Deeper and More Clear

As the name says, this blog is about effectiveness and entrepreneurship. To my way of thinking, the two things are inextricably woven together.

Effectiveness was Peter Drucker's word. People would wonder whether business is an art or a science. Drucker thought it was neither. He said business is a practice.

Drucker would say that business is something you keep doing and you get better over time. In this way, it is both a science and an art.

That is not to say Drucker only advocated only for trial-and-error. Quite the contrary, he was a strong advocate for learning from other people. Specifically, he said we must learn from what people do right, not what they do wrong.

One thing that people have done well is Self-Determination Theory, a theory of motivation. I am sure you would agree that no one can sustain effectiveness without motivation. But, motivation is tricky. It is virtually impossible to motivate another human being.

We might be able to motivate others for a short time. But, sustained motivation is an inside job. For this reason it is probably wise to point people to quality resources that will facilitate their ability to self-motivate and self-development.

Two weeks ago I discussed Self-Determination Theory. This most beautiful theory was was created by Edward Deci and Richard Ryan. If you read the post you can see that Self-Determination Theory contains an inherent paradox. So, last week, I offered a possible resolution.

This week I would like to add on another layer of delicious complexity. Self-Determination Theory is about two types of motivation: intrinsic and extrinsic. This is a very hot topic these days.

The question becomes, which is more powerful, intrinsic or extrinsic motivation? The short answer is that intrinsic motivation is more powerful. However, life is never so simple.

In resolving paradoxes we learn to embrace the genius of “and.” Applied to Self-Determination Theory, we learn that intrinsic and extrinsic motivation are not mutually exclusive. In fact, there exists a rather autonomous state of extrinsic motivation that Deci and Ryan called, “Integrated Regulation.”

As a matter of fact, integrated regulation is the state of external goals being melded into the self. That is kind of a weird thing to say, so let me give you an example.

The same goal can be conceived as intrinsically motivating or extrinsically motivating. Let us take the example of painting a picture.

A person could spend their whole life painting pictures so that one day the world would recognize them as a great artist. Such a goal is extrinsically motivating. Striving for wealth, fame, admiration, etc. is the essence of extrinsic motivation.

However, the goal of painting beautiful canvases can also be valued internally. Meaning, a person could decided that s/he wants to become capable of creating beautiful things. This is about the challenge, it is about self-development.

You may have heard the old rock-climbers saying. Something to the effect that they climb rocks, not to conquer the mountain, but to conquer themselves. That is intrinsic motivation.

But, few of us are rock climbers. Most people like an element of external reward for the things we do. This is where we can blend internal and external motivation.

If you are an entrepreneur, I have to imagine you would not mind being rich. However, one thing you know is that building a successful business is hard. The goal of wealth is so distant that it lacks true motivational power.

Day-to-day it is wise that we focus on internal motivation. An example being that we try to get a little better than we were yesterday. Meaning, we practice, just like Drucker said.

Together, we are simultaneously motivated on the inside and the outside. Undoubtedly you are familiar with the question of whether success is a journey or a destination. And, it is a silly question, because success is both a journey and a destination.

Day-to-day we are well advised to embrace the journey, the challenges, the self-improvement. But, there is certainly nothing wrong with taking a little time to daydream about the destination. What is it going to feel like once you have built a successful company?

Embracing the journey is the essence of intrinsic motivation. Thinking of the destination, the riches and freedoms of successful entrepreneurship, is extrinsic motivation. Together they are a powerful way to travel.

The Riddle of Connected Autonomy

Hello :) Hopefully you have read last week's post. If not, go here. More importantly, I hope you have taken the time to ponder my question.

Did you think about it? The question is, how can we be simultaneously independent and connected? When you really think about that question, it is deeper than you might have imagined.

In the post I promised that, this week, I would provide you with an answer. Of course, this is not the only answer. But, it is an answer.

Have you ever read The 7 Habits of Highly Effective People by Stephen Covey? If not, please, please, please read the book. It can be life changing.

In 7 Habits Covey talks about interdependence, and suggests that it is a desirable state. He warns that true interdependence is hard to achieve. I concur. And, that is one of the reasons we should strive for it.

At first, humans are dependent creatures. We know this to be true. Human babies are highly dependent on a caregiver. I have heard it said that humans depend on a caregiver longer than any other mammal. Not sure if that is strictly true but we do remain dependent for many years.

In the parlance of Self-Determination Theory, dependence corresponds with relatedness.

The next stage of development, according to Covey, is independence. This is the stereotypical teenager. I am not sure exactly how long it takes to achieve independence. In fact, I think it can take an entire lifetime. Meaning, some people cease developing once they become independent.

SDT would use the word “autonomy” but we both know the terms are synonymous.

The last stage, in Covey's model, is interdependence. I believe interdependence is an element of what Abraham Maslow would call self-actualization. And, this is where things can get dicey.

Maslow spoke of the internal desire that all human beings have to self-actualize. In simple terms, self-actualization is the process of reaching your full potential. It is about continual growth. According to Maslow, when we stop growing, we become susceptible to neurosis. A complicated but interesting idea.

Anyways, back to Covey's perspective. True interdependence is not easy to achieve. But, even if we never truly achieve interdependence, it is a state worth striving for.

Interdependence is a paradox. It is the state where we are simultaneously connected and autonomous. The buzz word, for interdependence, is synergy. As you probably know, in the synergistic state, 1 + 1 can equal 3 or more.

Let me give an example. One, two-by-four piece of wood might be able to carry twenty pounds of weight. However, when two two-by-four's are used together, they can carry fifty pounds. That is synergy.

Interdependence is desirable because it allows for synergy. It may not be easy but it is worth it. In order to synergize we must allow ourselves to be dependent on others. Of course, we are not obliged to snyergize. It is a choice we make.

Some people choose independence. What might be called “rugged individualism.” And that is perfectly fine. However, an independent soul might choose to evolve further and realize the benefits of interdependence.

In order to truly achieve interdependence, people must first be capable of independence. And, through being interdependent, we can hope to synergize. That is to say, we can hope to collaborate in a mutually beneficial relationship which grows the pie for all involved. Sadly, a dependent person cannot synergize. He or she weighs more than s/he carries.

Yes, I do believe in the value of resolving paradoxes. And, hopefully you choose to play along with me. If we ever hope to experience the benefits of synergy we must learn to become interdependent. And, to become interdependent requires that we learn to live in apparent contradiction. Meaning, we must learn to be both independent and dependent.

A Paradox of Motivation

Back in the 1970's two psychologists, Edward Deci and Richard Ryan, performed research that lead to the creation of Self-Determination Theory.

If you do not know, Self-Determination Theory is about intrinsic motivation. There exists, basically, two types of motivation: intrinsic and extrinsic.

Extrinsic motivation, as the name suggests, is about things external to us. This is the more common form of motivation. Extrinsic motivation is about money, material possessions, titles, prestige, etc.

Intrinsic motivation, again from the name, is about things within ourselves. It is more rare and more difficult to achieve. And, thus, it is more powerful.

Self-Determination Theory talks about the three pillars of intrinsic motivation. They are: Autonomy, Competence, and Relatedness.

Autonomy is about independence, something all people yearn for. Competence is about getting good at your job, whatever that job may be. And, relatedness is predicated on the fact that humans are gregarious. That is to say, we tend to enjoy ourselves more in the company of others.

Are you with me so far? Not too difficult, right? Well, let us add a layer of complexity to make things more interesting. Do you see the any contradictions in Self-Determination Theory? I can show you one. Actually, it is not so much a contradiction as it is a paradox.

Autonomy is at odds with relatedness, wouldn't you say? On the one hand, humans yearn for freedom. At the same time, we crave connection. Uh oh!

If you have followed me, for any length of time, you know that I am fascinated by paradoxes. First off, paradoxes are deliciously scintillating. Above and beyond that, paradoxes are EVERYWHERE.

Personally, I believe the paradox is woven into the fabric of the cosmos. Let me give you just one, nerdy example. In quantum physics there exists something called the double-slit experiment. I am not going to explain the experiment right now. If you are interested, please Google it.

What I will say, about the double-slit, is that it demonstrates what is known as “duality.” In simple terms, duality means that things can be both waves and particles. Things can have a dual nature. It is pretty trippy, but it is also true.

Okay, back to my point. What I am advocating, in this blog, and in life in general, is that we practice become good at resolving paradoxes. Today's paradox pertains to intrinsic motivation. Specifically, how can we be both independent and connected?

I am going to answer that question. But not today. I would rather you chew on it for a while. I believe it is a good exercise. Mental exercises help keep us flexible like Benjamin Franklin. They also give us practice embracing the genius of “and.”

Next week, I will post an answer to the question of how we can be both independent and connected. Until then, I do encourage you to think about it. Really think about it. At first glance the answer might seem obvious. But, I would encourage you to not be so dismissive.

Remember, the tenets of Self-Determination Theory are not silly abstractions. What Deci and Ryan have codified talks about deep, human yearnings. True desires. How can we yearn for independence and, simultaneously, yearn to be connected? Are we all just hopelessly two-faced? Is this a cause of mixed emotions and indecision?

I would encourage you to ask yourself how we can deeply desire things that are opposites. I believe that having that answer is worthwhile. And, next week, we will talk more about it.