Management practices and tools that just “don’t work”

From the management’s perspective managers perform tasks, manage people and do business. Accordingly, there are numerous methodologies and tools helping to manage business and people:

Just In Time Production
(1) In Japan at Toyota Motor Company, Taichii Ohno and Shigeo Shingo incorporated Ford’s type of production and some other techniques into an approach named the Toyota Production System or Just In Time Production (JIT). The inventory strategy strives to improve a business return on investment by simultaneously reducing in-process inventory and associated costs.
(2) The core idea of a Lean organization is to maximize customer value while minimizing waste. Simply, lean means creating more value for customers with less resource.
(3) Iwao Kobayashi’s 20 keys is a longer list that can be used in manufacturing audits. It reads very much like a “who’s who” of manufacturing innovations and hence makes a very useful checklist.
(4) Six Sigma (6б) is a business management strategy originally developed by Motorola in 1981. It was initially aimed at quantifying the defects that occurred during manufacturing process first and then at reducing those defects to a very small level.
(5) Business Process Reengineering (BPR) is a top-down approach in which organizations become more efficient and modernized. Reengineering is a fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in cost, quality, speed and service.
(6) The Self Directed Work Team (SDWT) is perhaps the most powerful organizational concept that motivates, coordinates, solves problems and also makes better decision than an individual could. But this performance comes at a price: decisions are slow, work teams require extensive training and months to mature.
(7) Total Quality Management (TQM) is a set of management practices throughout the organization geared to continuously improve the business processes in order to ensure that the organization consistently meets or exceeds in satisfying a customer or a supplier.
(8) … others.

Wing Chun basics 4 Leadership

In the book Leadership by Virtue I refer to martial arts philosophies and Wing Chun principles with regard to a personal growth for those who strive to become an outstanding leader. Here I’d like to share some Wing Chun basics to illustrate this relationship:

Efficiency and effectiveness are both the hallmarks of Wing Chun. Out of these hallmarks spring three main principles: central line, economy of movement, simultaneous attack and defense. And these principles serve right only if you have cultured three roots: balance, structure and stance.

BambooA correct stance is like a bamboo, firm but flexible, rooted but yielding. It gives us power to either deflect external forces or redirect them. Balance is connected to a structure that is embedded within a stance. A correct structure is not important just for the defense, but also for the attack. Being effectively ‘rooted’ or aligned against the ground enables the force of the hit to be taken and absorbed by the ground. Why a good leader has to have a stable stance I have already explained in my Leadership and stability blog post.

Mission and vision

MissionIs the mission in a company a driving force for actions? Does a mission provide overall goal, a path, and is it a guide for decision-making?

And a vision? Is it an aspiration for a company? Does it focus on the potential essentials in the company's mid-term or long-term future, or what company intends to be?

Most of mission and vision statements are generic, therefore awfully deficient. A result of long-drawn meetings where in the end everyone is so tired and approves any nonsense just to bring it to the conclusion. They are full of phrases like ‘market-leader’, ‘best-in-region’,  ‘most successful’, ‘best customer/owner value’, ‘leading in this and that'. Fluffy words that mean nothing. They just repulse a reader and make skip the text!

Martial arts philosophy

Better sweat in practice than bleed in battle (Wǔ Shù wisdom)

Military clasicThe combats and strategies were a constant topic through the human history. In China only there are seven important military texts. First is from worldwide well-known Sun Zǐ, (The Art of War), the next are from general Wèi Liáozi (The Art of War), Wú Qǐ (The Art of War), Sīmǎ Fǎ (The Marshal's Art of War or The Methods of the Sīmǎ Fǎ), the legendary figure Jiāng Zǐyá (Six Secret Teachings), general Zhang Liang (The Three Strategies of Huáng Shígōng), and finally: Questions and Replies between emperor Táng Tàizōng and general Lǐ Wèi Gōng. The texts were practically canonized under the name “The Seven Military Classics” already in 11th century, and were later on included in most military encyclopedias. In military spheres it was as important as Confucius’s work is for the bureaucrats.

Better spend three years looking for a good master than ten years training with a bad one (Wǔ Shù wisdom)

In China a philosophy does not come only from the country’s rich culture but also from martial arts. The keystone in Chinese philosophy is a strong humanism that became a focus of numerous Chinese philosophers throughout the ages. This humanism does not imply exclusion or indifference to a supreme powers and the nature. Instead, the general conclusion goes towards the unity of human and ‘heaven.’ This spirit of synthesis has characterized the entire history of Chinese philosophy.

map Spring and AutumnA range of similarly motivated philosophical doctrines is covered by Daoism. Two great philosophical systems of China stand alongside: Daoism and Confucianism. Somehow less influential and less important to the development of Chinese culture are ‘the School of Mo’ and ‘the School of law’. The latter was a utilitarian political philosophy that did not address higher questions like the nature and the purpose of life. Both of them evolved at about the same time as Confucianism and Daoism during the ‘Spring and Autumn Period’ (770–476 before our era), and ‘Warring States Period.’

Organizational change

Organizational change is, or should be, just one of the processes within the strategy’s frame and company vision. Why then companies have to “struggle” when introducing changes? Why do they need to change? Ever changing environment, markets, products are just pushing the limits of a current stability of the companies and provoke never ending chain of changes.
Organizational change

In his blog Bernard Marr says “a good mission statement articulates the purpose of the company, basically why it exists, what it does and for whom. It should serve as an ongoing guide that spells out what the company is all about. The mission should focus on the here and now.” And where do we see a necessity for a change that a company should follow? In “a vision statement where the goals and aspirations for the future are outlined. It creates a mental picture of a specific medium-term target and should serve as a source of inspiration.”

focusBut are these definitions enough to smoothly drive a change? Company’s organizational culture, as described in the previous blog: “Organizational culture and martial arts,” is the sum of values and rituals defined by rules. It is also a part of a “bigger picture” that surrounds an organization and each of us, as I explained in my TedxTalk. And these substances present difficulties or even block a change. Employees of a company, as others, are perceiving stability as security therefore opposing changes. Consequently, a permanent conflict prevents a peaceful process of change.

Leadership catch: Adjustment and listening

Tree adjustmentImagine walking through the woods. You carefully move and step slowly on the uneven ground where even the exposed tree roots are all covered by leaves. We adapt to environment. Although trees might seem static and unmovable they are still flexible and adaptive. They adjust to the surrounding environment and therefore become even more stable. They do not consume extra energy to rise straight up. It is natural for them to adapt to the floor declination when they grow.

FlexibilityWe all have to adjust to our environment, or in martial arts to opponent, and to the mistakes you make during the fight. You can do this only by being flexible. In everyday life there is an abundance of events and issues that require our adaptation. But are we able to adapt quickly? How do we know what to do? When someone trips and is just about to fall, his brain starts to function at high speed. When we are very young or very drunk, we just let it go and fall down. Kids roll with it or just fall loosely, and because of this reaction, they are not severely injured most of the time. What about the rest of us? Our first reaction is violent; we start to gesticulate wildly with our hands. We start to contradict the obvious that happens all the same. Most of the time, instead of bending our knees, we stop our fall with our arms and quite a lot of times break our wrists. We forget how to fall and do not know how to adjust to this event that has happened to us many times before in our lives. We react in panic.

Steering and leadership

In live situations, and similarly in martial arts, we learn by repetition and mileage, repeating the task again and again. Try to recall how difficult the first attempt to ride a bicycle was. 

More than a decade ago I was introduced to Tai Chi. How difficult it was to understand the concepts that are so far away from our (Western) ones. On top of it my body coordination ability was proving difficult, remembering the sequences was even harder. Grasping the idea took some time, and so on. But, just like the process of learning to drive a car, where at the beginning simultaneously completing the tasks seems so difficult, patience is the key. The improvement is gradual and within time the steps are deeply ingrained in you. With no effort you drive a car, ride a bike or perform Tai Chi with calm and relaxed mind.

Tai Chi family
The beginner of one of five major styles of Tai Chi, the Yang style, was Yang Lu Chan (end of the 18th century - 1872). In his youth he had learned another Tai Chi style still in use today from the Chen family. At those times, the knowledge of the art was kept in the families not to be revealed to others and carefully transferred only within family. Yang was an outside apprentice, for which he was treated unfairly. But, being persistent he stayed and persevered in his practice. A story tells that one night, he was awakened by the sounds of hen and ha in the distance. He got up and traced the sound to an ancient house. Peeking through the broken wall, he saw his master Chen teaching the techniques of grasp, control, and emitting jīng to his sons in coordination with the sounds hen and ha. This knowledge gave young Yang a new perspective to control and to steer the opponent with great success.

Gong Fu (drinking) tea

Tea field
The traditional way or the Chinese method of tea making is called gōng fu chá or meaning “making a tea with great skill or great efforts.” It is as much about escaping the pressures of life for a few moments as it is about enjoying every drop of a tea.

Types of tea Tea and coffee bear some similarities. The energizing effect of the coffee bean plant is thought to have been discovered in Yemen in Arabia from where the Muslims spread coffee first to Italy, then the rest of Europe, and finally it was spread throughout the world. In English and other European languages, the word coffee derives from the Ottoman Turkish kahve.  As for tea, there are at least six varieties of tea: white, yellow, green, oolong, black and pǔ’ěr. Just to name some: jí pǐn lóng jǐng or Dragon Well, high-grade green tea that was granted the status of luán chá or imperial tea during the Qīng Dynasty and is nowadays frequently given to very important visitors of China; a tiě guān yīn tea – a wǔ yí wū lóng or oxidized oolong tea with a creamy taste; refreshing nutty taste and aroma tea lì zǐ xiāng that translates as “fragrance of chestnut” is a green tea from the Guangdong province; cultivation of pu’er, also known as Yunnan tuó chá, can be traced as far back as the Han Dynasty and has been used in traditional Chinese medicine for generations to build up internal energy and to invigorate the activity of the spleen and stomach. All teas are made from the same species of plant, but processed differently. And there are others which are not to be mistaken by a ‘herbal tea,’ or an infusion that is made from leaves, flowers, fruit, herbs, or other plant material that contains no Camellia sinensis as coffee and tea do.

Corporate governance in multicultural organization

Corporate governance refers to the issues associated with the way corporations are structured, managed and operated. The use of the term “corporate governance”, the evolution of the concept and what it entails has started in the early 1980’s.
Corporate governance

 Among the first was the Cadbury Committee. They defined the purpose of corporate governance in 1992 namely, as a set of processes, customs and policies that frame the business of the company and help manage the subsidiaries. This is then operationalized in a uniform method through administered or controlled directives.

StakeholdersThe most quoted and referred to document in this field is the OECD principles corporate governance. OECD defines it as a set of relationships between a company’s management, its board, its shareholders, and other stakeholders. Corporate governance also provides the structure through which the objectives of the company are set. The means of attaining those objectives and performance monitoring are determined. So, the main recommended principles are stated as rights and equitable treatment of shareholders, interests of other stakeholders, role and responsibilities of the board, integrity and ethical behavior, disclosure and transparency.

Intuition and martial arts

Intuition and/or instinct? One thing two names? Significant for all living beings or only human? The animals definitely have instinct. But do they have an intuition as well?

There is a big difference between intuition and instinct! The latter is embedded in genetic code and therefore an inborn complex pattern of behavior existing in every species. It should be distinguished from a reflex - a simple reaction to a specific impulse composed of learned lessons that are wired in brains and based on chemistry and electrical signals through synapses - connections that fire when an impulse comes. And it fires unconsciously.

instinctMind - heartIntuition fires the same way as instinct but supposedly only in human brain. If it is based on the previous knowledge how come everybody agrees that even a very small child has an intuition? Okay, you can have a different understanding of the intuition as I do, as there are at least two avenues of pursuit when dealing with intuition. One is psychological and the other is spiritual. The spiritual one starts with beliefs, and we are not going to discuss about those issues here. The other avenue is on the psychological level. And this one is, in my opinion, more productive. Research suggest that part of the intuition is that one quickly forms a context using one’s ‘base of experience’ to draw parallels and turn that nonverbal or tacit evidence knowledge into decision-making knowledge.

Knowledge - the main driving factor of productiveness

In modern economy, an insight, based on explicit and tacit knowledge and the wisdom are the main driving factors for value-added creation and sustainable growth. With appropriate understanding and the allocation of resources Violeta Bulc (innovator, entrepreneur and founder of Vibacom Ltd.) describes how the creation of added value in a company can be defined as a progression of different evolutionary stages in the business environment.

working classIn the book “Rhythms of business evolution, systems, tools and experience for brainstorming” Bulc bases her ideas on four phases. The first one begins with the most fundamental “working environment”. At this stage companies are mostly focused on production and activities. Machines (equipment) are very important; the labor force can be relatively easily replaced, so they should be obedient and diligent in maximizing the output at the lowest costs possible.

The second phase is a “learning environment”. The productivity becomes a factor of input. New resources and knowledge start to play a major role as quality is introduced. Knowledgeable workers become of core importance. Those who have knowledge - employees, leaders, managers - create the conditions for further growth and differentiation on the market.

Internet games and Leadership


Most people argue that games are just for fun and to kill time. How would you consider gaming experience in person’s curriculum vitae asking for a leadership position vacancy? An asset?

Nick Yee surveyed MMORPG players for the first time at the end of the previous millennium. Since then, he has surveyed over 35.000 MMORPG players of the most popular USA MMORPG games. Near 280 respondents wrote about their guild leadership experience. Yee’s findings about leadership can be described in the same terms as in the real world.
Internet kids

First, most novice guild leaders fall into the trap of trying to be everyone’s friend and making sure that everyone in the guild is happy. The most common lesson learned was that it’s simply impossible to please everyone. Second, in any situation where people have different needs and motivations, conflicts will arise. These conflicts tend to be particularly stressful because of the existing friendships and ties within the guild. Inevitably, the guild leader will be asked to become the mediator. Third, many respondents noted that laying down a firm hand was important and that sometimes you have to be tough and say no. Because many guilds start off as small, casual, and friendly guilds, guild leaders often feel conflicted when it comes to disciplining guild members. The next finding was the difficulty in picking the right people for the guild, as well as the difficulty in kicking people out of the guild. In the game and in the real life, the duality of being a leader is well perceived. It is not easy to be a friend and a leader at the same time. The guild leaders highlighted the importance of having ground rules, making people aware of them and being consistent with those rules, which is equal to real-life leadership.

Organizational culture and martial arts


BusinessOrganizations are made for employees to work there and not opposite: employee should fit the organization. As the organization grows larger and more complex, management at the top lead and decide less by firsthand experience, but rather more and more on heavily processed data. From their standpoint they rarely see business flowing in the same way as do people down in production or on the sales floor. To understand huge amounts of data and information that is streaming toward them, after a throughout long training, they finally achieve to see the reality through the distorting glasses they've had to put on. Decisions they make and the responsibility they shoulder relies on tangible data. But these glasses somehow filter out emotions, feelings, sentiments, moods, and almost all the nuances of human situations that are part of everyday organizational culture consequently filtering or better losing all the tacit knowledge that drives business processes.

management toolsOrganizational culture is the sum of values and rituals defined by rules. It is also a part of a “bigger picture” that surrounds an organization. This poses some problems if organization shock-wave through different cultures.

Four decades ago IBM tried to unify corporate culture in its subsidiaries all over the world. Geert Hofstede carried out a world-wide survey on employee values. The result was very informative and demonstrative. There were other researchers of the same topic too. A common conclusion of all those studies is that “we are definitely different”.

Leadership and stability


Old Chinese philosopher Zhuangzi quoted Confucius: ‘Men do not use running water as a mirror; they only use the still water.’ Only things that are still in themselves can still other things.”

StabilityWhy the power of stability is so important? The ground on which we stand can hold up tall buildings, high trees, and us as well. Gravity pulls us to the center of our planet. The ground pushes back with precisely the same force, effortlessly in the opposite direction of gravity, and is therefore called the ground reaction force. No wonder grounding is considered so important in martial arts. It resists power and accepts energies. A stability lies within what one knows and how one lives his live each day.

Stability is not equal to rigidity. It is fundamental to all fighting techniques. The ability to control your movements, to develop, and to receive power originates in stability. Losing stability means losing control. Without control you cannot win.  A good fighter knows that during the battle, the sun should be in the eyes of your opponent and not facing yours. Secondly, stability is being able to float safely on each wave of change. Lower a fighter’s position is and the lowest his center of gravity is, the better stability he has. But, while increasing stability lowering a center of gravity lessens mobility. There are always trade-offs but you should balance them into win-win situation.
ground reaction force

Control and Reward


“People work predominantly for a reward”. Many MBA students hear and then use in order to control workers’ performance.

Motivation is an enigmatic thing. In different types of organizations managers all around the world struggle to motivate employees to get the best out of them.  And this is a crucial activity on all levels of an organization.
Motivation
Being a boss does not necessarily mean being a good leader or motivator. There are countless examples reporting intolerable task masters, or ultimate micro-manager, or even horrid manager thus creating a horrible work environment... and the list goes on and on. This kind of a boss is definitely not favored by employees and no motivation comes from him/her. Instead, workers are deeply demotivated by injustices, emptiness of demands, inconsistencies, lack of transparency, self-importance, arrogance, superiority, miss-communication, or even management incompetence. They just try to survive. Still, some of these bosses climb the current Forbes 400 list.

Leadership and “happy” organization


Have you ever wondered what the ultimate goal of an organization is?

ceteris paribusToday’s management will conclusively respond that organization strives to achieve only one ultimate goal: to become a profit oriented “machine”. That is why the key device of modern management is in lowering costs: pushing on suppliers’ side, on employees, on product development and production, to name just some. But is this “ceteris paribus” solution, focusing only on one parameter and all other things being equal or held constant, sustainable in long term? Or it spirally aims down and not up? Cost reduction – instead of cost optimizing in an economic system causes the only possible outcome – less money in circulation. The customers are also reducing and optimizing their costs according to their income.

profitHow often have we heard that people are the biggest asset of a company? They, on the other hand, are costs. If they work, they produce cost, if they attain a training program it is again cost, if they visit a customer ... costs. How differently people are treated from tools that for us represent the investment. But the smallest football club in the league knows that buying a player is not a cost – it is an asset, an investment. And they treat him accordingly. Not so in many modern companies. By, among other things, ignoring this, leads us to risky situations far away from the business objectives. There is a Gallup-poll of a 1.5 million sampling, and the result is: 30% of employees are happy with their managers, 20% are not, and 50% have disengaged themselves in having any feelings at all.

“The Way” of Leadership


Dào – the Way and Confucianism
Dào / Dao – the Way

Although Dào literally means ‘a way’ or one of its synonyms, the meaning was extended to mean ‘the Way.’ And this term, variously used by many Chinese philosophers such as Confucius, Mencius, Mò Zǐ, and Han Fei Zǐ, has a special meaning within the context of Daoism, where it implies the essential, unnamable process of the universe.

Daoism is traditionally traced to the mythical philosopher Lǎo Zǐ , the ‘Old Master’ to whom the text Dào Dé Jīng has been attributed. Dào Dé Jīng is translated as ‘The Classic/Canon of the Way/Path and the Power/Virtue,’ the title was generally used from the Tang dynasty period (618–905).

And the Daoism philosophy owes more to Zhuāng Zǐ (4th century BE) the author of the core texts of the Chinese way of thinking known as ‘Daoism.’ Zhuāng Zǐ is traditionally credited as the author of at least part of the work, the one bearing his name, the Zhuāng Zǐ.
English: Analects, by Confucius. Östasiatiska ...
English: Analects, by Confucius. Östasiatiska Museet, Stockholm. (Photo credit: Wikipedia)

Confucianism principles are based on the written work The Confucian Analects (Lún Yǔ) ‘found’ by Confucius who lived two thousand and five hundred years ago.  The Chinese language does not use the word Confucianism, instead it is called Rú Jiāo meaning ‘scholar’ and ‘teach.’

External and internal control


“Please contact my secretary to find the time in my schedule, I’m over booked…”  Have you ever heard a similar from an important CEO or other top manager? He/she is obviously under the time pressure, a stress situation or … If this happens frequently it is normally understood that such people don’t have free time.

Zhuang ZiIn my post Cause and consequence / Urgent and important the pressure because of mainly dealing with urgent instead of important issues was already discussed. To further it, concentrate on the next problem, well described by Zhuāng Zǐ proverb: “If you cannot even govern your own self, how can you govern the world”.

How true and how often we do ignore it? When under the stress a basic martial arts skill is to control and not to fight emotions that are piling up. First try to ascertain what you sense or feel. Then do some concealed relaxation breathing to relax the tension.

Nonverbal – body language and Leadership


There are two types of people—those who come into a room and say, “Well, here I am!” and those who come in and say, “Ah, there you are.”(Frederick L. Collins)

Communications are verbal but, equally, if not more important, are those that are non-verbal. This accounts to between 50 to 70 percent of all communication – facial expression, eye gaze, gestures, and tone of voice. The way you listen, look, move and react lets other people know whether or not you pay attention, if you are being truthful, and how well you are listening.
non-verbal communication
Martial arts are based predominately on non-verbal communications. Once I asked my teacher: “Shifu, when two great martial arts masters meet how do they recognize who is better?”

Cause and consequence / Urgent and important


In psychology cause and consequence refers to the concept of causality. An action or event will produce a certain response to the action in the form of another event. People tend to have first reaction as a doubt. Doubt is defined as a safeguard, as the demarcation of truth and untruth, as well as the delimitation of the credible and incredible.

English: A doctor examines a female patient.
English: A doctor examines a female patient. (Photo credit: Wikipedia)
The basic “misunderstanding” of the concept of cause and consequence - two different parts of the same coin - is revealed time and again when visiting a medicine doctor in basically any country of the Western hemisphere. Based on your complaints a physician determines what is “wrong” with you and then prescribes a medicine. Normally, they don’t bother themselves with the cause of your problem. Why? Is it ignored due to insufficient and incomplete knowledge or are there other reasons? In ancient China there was a different practice when dealing with illness and medical doctor earnings. People gave payments to a doctor not when ill but when they were healthy. When sick they were invited by a doctor to live with him and a doctor had to treat them free of charge. And how do our “Western” physicians earn their living?

System thinking


Nature itself is a system with all parts entangled. Systems are like a human body: they are consisted of parts, and those same parts affect the performance of the whole. All the parts are interdependent. Just like a team of players during a game. But the team is not alone. They have the counter-party, there are judges, there are physical constraints engaged, and also spectators may be present. All of this forms a system. Times and circumstances may change, but systems tend to endure. If we don’t understanding this, wrong decisions, sometimes disastrous, can happen.

System thinking


Also an organization is a system – a “living” system that performs by its own “will”. Rather than focusing on organizational goals and values, the management practice, when complying with the bureaucratic processes, sets the latter as the ultimate objective. Systems take on a life of their own and seem immune to common sense. When members of an organization feel as though, by circumventing established rules and procedures, they must constantly fight the system, the result can lead to cynicism, poor ethical climate, or forces them to jump from one urgent matter to another instead of worrying about important ones.

To trust the Capital?


You will all remember the oil spill across the Gulf of Mexico back in April 2010?

The oil spills are a classical ‘low probability -- high-impact events’ as the one in Santa Barbara, California, in 1969, when more than eleven million gallons were dumped into coastal waters. From there on, we’ve seen more than our share of these kinds of accidents.
oil spill

If there are lessons to be learned from those catastrophes, among the first ones are that “pre-disaster assumptions tend to be dramatically off base” and that “the worst-case scenarios were downplayed or ignored”.

We could argue whether this attitude is driving us against all the basic principles of Nature. Uncontrollably destroying the natural environment and exploitation of resources beyond recovery are just some of the profit-oriented results. Is such a conduct responsible behaviour to future generations?

Virtue – Morality – Ethics and leadership



The three: virtue, morality and ethics are not new philosophical terms. To Aristotle the good for human beings must essentially involve the entire proper function of human life as a whole. And this must be an activity of the soul so that expresses genuine virtue or excellence.
De

Virtue, in short, is a desire for honourable things. Aristotle defined the virtue as habits of acting or dispositions to act in certain ways. In China the term Dé is probably the closest modern English equivalent that means ‘virtue’ in the sense of ‘personal character,’ ‘inner strength,’ ‘virtuosity,’ or ‘integrity.’ Chinese character Dé, written as , is composed of the radicalfollowed by the number ‘fourteen’ or shí sì (十四) over ‘one’ or yī () ‘heart / mind’ or xīn (). The simple meaning is that one has to have a big heart for fourteen people.

The Economy and a ‘cultural noise in the background of our minds’

The word economy can be traced back to the Greek word oikonomos meaning ‘one who manages a household.’ The first recorded todays’ meaning of  economy was traced in the work, although could not be proven but was very likely  composed in the year of  1440, referring to ‘the management of economic affairs,’ in this case, of a monastery.

cultural background noiseVery few would argue that a modern economy is customarily said to have begun with Adam Smith (1723–1790). Smith characterizes economy as three orders in society: those who live by the rent, by their labor, and by the profits. Therefore we could say that we have been caught under the Smith’s ‘invisible hand’, the economic paradigm, more than 250 hundred years ago. And it was modeled upon the prevailing ‘cultural background noise’ of that age. It was also very much ‘trapped’ by religion.

Joseph Schumpeter described economy also as three-folded namely, monetary, interests, and value theory within a natural-law perspective. And those two economists were not the only ones thinking it this way. It really looks like the economy is based on three main concepts. One does not need be an expert to deduct: a (free) market, which can by definition is something imaginary as a Holy Ghost; a (private) property, which equals to omnipotence - the God; and the third is labor, which can be linked to a sacrifice - Jesus Christ.

Leadership and Charisma


What makes a leader motivating others? The most common answer I have come across is "charisma." People want to hear what charismatic leaders have to say and do, what they advise. “Charismatic people always combine two messages,” says Fox Cabane. “They give the impression that they have a lot of power and also that they like you, or could like you, a lot. Humans are hard-wired to dislike uncertainty, so when they come across someone who shows none they tend very hard to resist.” Therefore, it is not surprising that in nowadays of crisis many organizations seek to hire those who exhibit charisma.

good leader
Today more than ever we are in need of inspiring employees to confront problems, the need of workers that focus on tasks, and voice their opinions. Here leaders and not managers are setting their organizations up for needed transformation. Leaders, which have virtue, vision and “internal” power to do it.

It is not about the definition of a bad or good leader, it is about how he or she should behave and what she or he should aim for to be a successful one.

Martial arts are a value-driven system


old Martial artsIn the past, the main objective of martial arts was effective and efficient combat that regularly resulted in mortality or caused some degree of injury, often very severe, while today, martial arts are being used in more than one way. The first would be in the direct usage of martial arts that serves the original purpose. It is only used in extreme situations by military, police, and such organizations.Nowadays, the term is usually associated with various unarmed Asian martial arts, such as Wing Chun, karate do, judo, taekwondo, aikido, and others, and martial arts using mostly cold weaponry, such as kendo, ninjutsu, battojutsu. In reality, it encompasses a whole plethora of martial arts from around the world, like boxing, savate, capoeira, jeet kune do, krav maga, fencing, and much more. But here we need to be aware of the differences in the ways of thinking coming from the environments influenced by Confucianism, Daoism, or Buddhism on one side, and the West on the other. This is all reflected in those martial arts. While the Chinese martial arts are predominantly rhythmic in movement, the Western tend to be more dynamic and tense.

Why this book (West vs. East) ...

There are hundreds of books addressing the yáng of outer leadership, complete with checklists, game plans, and first person accounts of how successful people exercised leadership. But I wanted to write a book about the yīn or an inner leadership.
Yin-Yang Tai Chi

Connected to those leadership issues, my other different views and thinking came from my martial arts practice and their philosophy toward life and fights.

I've learned that East wants to be in harmony with nature; the Western approach is to control nature also spurred by the Western way of life and religion. Martial arts in the East have a focus on the martial way and the mental culture united with body, while in the West their perspective is sportier and competitive, where winning becomes their main objective. We could say, using the concepts of Eastern is a ‘soft’ approach as in yīn, and Western is ‘hard’ as in yáng. Eastern mentality is like a bamboo tree which is quick to bend with wind, but in its absence becomes stronger. The West is like an oak tree unperturbed by the wind, only to be ‘unfortunately’ pulled out by a hurricane later on. There are other areas where similar contrasts can be made. The West talks about human rights, whereas the Far East understands collective rights or even more profound, rights for all living life-forms. The West is not economical with energy, whereas martial arts including Tai Chi, are good at preserving it and only call on it in an emergency.

Why yellow

A Chinese character for colour is 顏色 (yán sè). Before the Five Elements Theory was used and according to Daoists’ believe, there were only two colours: opposing, yet complementary principles, black and white, yīn () and yáng ().

According to Chinese calendar system, the Ten Celestial Stems (shí tiān gān 十天干) are connected with the Five Elements or Phases (wǔ xíng 五行) representing five states of forces of expansion or condensation (the plus energy, or , expansion; the minus energy, or , condensation) and their corresponding colours are:
Five elements