Conscious-Business.org.uk

A home for the Conscious Business community in the UK


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Are you living your Purpose?

There’s a current resurgence of interest in the idea of Purpose, as it relates to business. Aaron Hurst with his book the Purpose Economy and company Imperative, and Jeremy Heimans over at purpose.com seem to be hammering social media with the idea that purpose is not just good for people, but that it is also good for organisations and the way we run our businesses.

I am pretty unlikely to disagree with that. I also think purpose is important, for both people and organisations

Of course, purpose itself isn’t a particularly new idea in business. It has existed in the form of ‘Mission’, ‘Vision’ and ‘Values’ for a long time, and while people like Umair Haque have brilliantly lampooned these more traditional forms (in his book Betterness, for example) it continues to be something that comes up regularly with clients. “Help us clarify and communicate our purpose” they ask.

But the more of this work I do the more I realise that the really critical thing with Mission or Purpose, or whatever you want to call it, is ‘living it’.

Again this isn’t a particularly new idea – people have called this ‘walking the talk’ for as long as I can remember.

But I am not sure that particular injunction – ‘telling’ people to live it, to be it – really helps that much. I may want to “walk my talk”, but I still find it hard.

So here are some simple things you might choose to do that I believe will help you live your purpose.

Have a Purpose

First of all, it’s is good to have one, obviously.

But there’s a dilemma in that. I am going to focus in this post less on finding or discovering a purpose because I think there may be nothing to find. I don’t think purpose is a thing, and therefore we cannot find it like a pot of gold at the end of the rainbow.

Stafford Beer, the great cyberneticist, talked, I believe, in terms of POSIWID. “The Purpose Of a System Is What It Does”. This suggests that purpose is more ’emergent’. Like a rainbow it isn’t really there. But under certain special circumstances in combination with the way our eyes and brain work we can surely see it.

For example, my purpose today based on an observation of what I am doing, is to get out of bed and write a blog post.

I seem also to be in the throes of trying to raise a family, build a business, be a good citizen etc. Later I’ll make breakfast, go to meetings etc.

Notice that my purpose depends on a number of things, including the time of day, my role as viewer, as participant and so on.

The purpose gurus I listed above will, I am sure, provide useful methods to ‘capture ‘ your purpose as if it is a thing to be captured. There are audio books and books galore (contradicting myself, I have to say I rather liked Richard Jacobs’ attempt), and generally consultants and coaches love to do this kind of work.

And if you really want to clarify your purpose then I can recommend nothing better than a week-long silent retreat in the mountains of Wales or some other beautiful and remote place.

Maybe it is just me, but I think the assumption behind many of these ‘processes’ is that purpose will emerge as something tangible, words that you can, for example, engrave on a tablet of stone. A ‘calling’ that you can take along with you for the rest of your life, to steer you, to drive you?

But maybe purpose as a thing is hard to ‘capture’? Maybe it is too temporary, too contingent on circumstances for that?

Simply Noticing

So instead of a long search, or following a complex process, I suggest simply noticing. Being aware. Not just of our thoughts, but also of our feelings and our instincts. Noticing what you do and how you do it. Noticing is a conscious business practice and one we can do at any time.  It is especially best done, while we are acting – we sometimes call this reflexivity.

If you spend a little time on that then you’ll probably quickly notice that purpose changes. It changes from day to day, hour to hour, minute to minute and even second to second.

If I am eating lunch with a friend my purpose is probably something to do with enjoying the food and conversation. Or maybe I am trying to get something across, or share something, or get some support.

At a business meeting an hour later, my purpose might be completely different. I may be trying to build a very different kind of relationship.

Yes, I may be able to see a pattern in my purpose. I seem to want to build a business day after day after day. My need to feed and clothe and educate my children does not go away.

Seeing purpose as changing makes me want to explore it all the more. I can learn more about my purpose by enquiring into it, enquiring into all these facets, discovering what it means, and what I am about.

Am I Living My Purpose?

But when I do that, and I guess it is the same for many people, I notice that there are also plenty of times when I don’t seem to be following my purpose. I find myself distracted. Or I find myself doing something completely at odds with what I think I want to achieve.

This happens most often in groups and teams. For example, my purpose, as I might name it when entering into a meeting is to be unconditionally constructive, collaborative, and help people, including me, find the best solutions to whatever issues they face.

But what happens? Sometimes, almost the opposite. I might notice myself behaving destructively. Perhaps causing as many problems as I solve.

Again noticing, I believe, is the key to unpicking this. By observing what I am doing, I can ascertain a new facet to my purpose, something I may have been previously unaware of.

Maybe I am more competitive than I thought and I am engaged in a bit of sibling rivalry. Maybe I have learned some habitual ways to get my need to feel outraged met, and I am exercising this by blaming other people and their failings.

Again, simply noticing will probably give me all the clues I need.

Beyond noticing – community and conflict

So noticing is great. But for me, noticing also isn’t enough. When I become more aware of what is going on it helps, but it doesn’t necessarily help me break out of the habits I have formed.

This is one reason why I like the Do Something Different system – because I believe it can help us break those habits – of mind and body – which keep us in our comfort zone.

And the other thing that I believe is completely necessary if I want to live my purpose is trust, and conflict. Echoing Patrick Lencioni, we have found again and again that a group of people won’t enter into conflict unless there are high levels of trust amongst the group.

A healthy form of conflict is necessary for someone to do me the huge favour of pointing out my failings. If you are going to point out to me that I am not living my purpose, and, believe me I do want you to do that, you risk me fighting back.

We risk conflict every time we point out to someone the difference between their espoused position (what they say they will do) and what we actually observe.

But being open to this feedback and being in a group of people brave enough and caring enough to give accurate feedback is, I think, really the answer to living my purpose. Few of us are saints – few of us have the awareness to always notice when we stop living our purpose. And even fewer, myself included, have the willpower to do much about it.

We need other people, we need a community around us that will give us that ultimate gift of clean, unencumbered feedback.

Being personally open to that feedback isn’t easy, of course, but the skills and conditions that allow trust and healthy conflict to arise in a group are fairly easy to learn and practise. There are better ways to converse than those we learned in the playground or in our first families.

As a group, we can learn to break collusion, and see reality.

I’d love to hear what you think? Does this make sense? Is your purpose more easily fixed than the way I describe it? Are my assumptions correct, or way off base?

What is your purpose?
And are you living it?

Pointers

Aaron Hurst – Purpose Economy book company Imperative

Jeremy Heimans purpose.com

Betterness by Umair Haque

Richard Jacobs – Find your Purpose

Patrick Lencioni

Do Something Different


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Putting People at the Heart of Business

The other day I read a great paper by Chris Rodgers. The paper was written for the Centre for Progressive Leadership and was then submitted to the All-Party Parliamentary Group Management Commission on the future of management and leadership.

What I liked most was how the paper makes clear the difference between the dominant discourse about leadership/management in our society and alternative views.

As someone who has been trying to stand up for a somewhat alternative view – conscious business – for some time, I found this greatly steadying.

Just to summarise quickly, Chris’s view is that we are part of the conversations that surround us: when we say something, another person responds, and we respond in turn. What we say – and what we hear – depend on the context, and this context is constantly emerging as we speak.

Chris also points out that it is easy to forget we are immersed in this ‘system’. If we mentally step outside of it and start to talk about it as something we can mend or improve we may be deluding ourselves.

I took the title of the paper – “Taking organisational complexity seriously” – to mean that we need to ‘believe’ in complexity and all that goes with it. One of the things that comes with complexity is a need to give up the idea that we can control outcomes. Complexity comes with unpredictability.

Now that is very hard for many managers and leaders to hear, as I pointed out recently. We’re asking them to give up control.

And that is perhaps why this remains the dominant discourse about leadership in our society. Nearly everything is built on the very male idea of ‘power-over’, and this includes the idea that we ought to be able to fix or change a system, be it a business, or a society.

If this still seems unclear, please take the time to read Chris’s well reasoned and well referenced piece.

But there are three practical take-aways I would like to leave with you.

The first is that there are serious implications of not adopting this more ‘immersive’ approach to leadership.

As Chris points out – using the example of the Francis report into the Mid Staffs NHS scandal and the Parliamentary Commission on Banking Standards (and I’d add another: Leveson) – we end up blaming individuals, or disempowering them by demanding improved systems and processes to guide and control their every move.

But there’s a danger we do this every time something scandalous happens: we scapegoat people, and we demand better processes and procedures. And yet these scandals – banking, health, media, education etc – keep coming.

So maybe, instead, as Chris suggests, we should focus on the ‘dedication and commitment’ of the people that work in organisations and businesses and encourage them to use their natural (systems?) intelligence.

This is what I think conscious business is really about – it’s about putting people at the heart of business and trusting and allowing them to be their most creative, most innovative selves.

Secondly, Chris gives a great list of some of the implications for leadership practice. These include:

  • helping managers ‘see’ better
  • focusing on enabling, rather than directing or delegating
  • acting – some would say stumbling – into the future, rather than planning

He suggests we need to move

  • from controlling to contributing
  • from certainty to curiosity
  • from diagnosis to dialogue
  • from colluding to confronting

and so on.

And mostly we need to recognise that leadership is not an activity for elites, nor should they get all the kudos or blame. It is something we all do, all the time. At least every time we enter a conversation consciously.

These are all things we believe in and are exploring in the conscious business community in the UK. I think we’re ‘positive deviants’, taking an alternative position outside the mainstream discourse, with the intent to improve things. So if, as Chris suggests, we can find ways to form coalitions with others who share similar views we may be able to make more progress, more quickly.

And finally, I’d just like to add something else that came to mind when I read Chris’ paper.

There’s a lot to do, and a probably a lot of resistance to come before these ideas are more widely adopted. In business we’re taught to find benefits, and build a case for things. So would it help to further explore some of the benefits of adopting this kind of approach?

That is tricky because benefits are usually promised, and then delivered in the future. They’re also usually defined by those who write the stories. For example, business people are heroes when their story is being written as a success. And they can be criminals when it is written as a failure.

So if we are to know we are making progress, we probably need to focus not on some distant ‘output’ but on something tangible, something that is here right here, right now.

I’d suggest the major benefit of the kind of approach that Chris proposes is being ‘in it’ – building the relationships, building the coalitions, being a member of a community of people who are trying to do something useful. Learning to get along, learning to stay in the conversation, and perhaps even having fun along the way.

Hopefully, that is also what it means to be involved in some way in conscious business – immersed in the process of ‘putting people at the heart of business’.


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Women and Conscious Leadership

Taken from the forthcoming spring ‘e-Organisations and People’ journal – For more information and to purchase a copy look here. This article asks whether the time is finally right for women to take on leadership roles without needing to give up their core values, needs and behaviours.  Evidence is put forward showing how essential it is to include women in leadership roles if we want to attain a sustainable future.  Lasy Lawless explores what might prevent that from happening.  She considers how much of this problem is self imposed and how much of it relates to gender politics in the workplace.  She asks each reader to do one thing to accelerate change.Keywords: Inequality, women in leadership, gender, prejudice, diversity and sustainability

My discovery of gender prejudice

I grew up on a farm in a large family in Ireland.  There was an equal number of boys and girls in my family.  This description probably conjures up a stereotypical image of simple country folk following strict catholic doctrines, women in the kitchen supporting men in the fields.  But that’s not what it was like.  My mother was the first female to study law at Cork University.  She experienced severe prejudice from male lecturers, who assumed she chose the subject to be the only female amongst men so that she could flirt with them.Despite being awarded a first class degree, she never got to work as a lawyer.  In those days the economic policy to address unemployment was that women gave up work when they got married.  Those women who did not go on to have children simply struggled to contribute and to live full lives. This background set the scene for my upbringing because in my home we never distinguished between male and female roles along traditional lines.  Boys cooked and girls worked on the farm – if that suited our strengths, rather than tasks that were assigned based on our gender. So natural was this to me that it wasn’t until I actually entered the workforce in 1980 that I discovered gender prejudice and I found it both shocking and stupefying.  It simply made no sense to me.

Slowly it dawned on me that although women were a core part of the workforce, they rarely ran companies, sat on boards or shared equally in rewards. Throughout my twenties I watched and learned just how agonisingly slowly systems of power change, irrespective of whether they are effective or satisfying.  I have oscillated between irritation with the system, rage at men and frustration with women themselves, each playing a contributory role in ensuring that change cannot be immediate. However, in the last ten years I think I can see the roots of a sea change.  I hope that when we look back at the noughties we will all be as shocked and stupefied as I was in the 1980s.

Conscious capitalism for gender equality?

And I believe that conscious capitalism is the movement that captures the attitudes and values that will make it possible for women to take their rightful place as equals in the business world.  I believe that gender equality requires three major shifts:  a new economic structure, the buy-in of men and women being more assertive. Conscious capitalism is that system.  I will try to address the other two conditions later in the article.Conscious Capitalism by Mackey, Sisodia and George (2013) identifies some key qualities of the conscious leader.’Conscious leaders abundantly display many of the qualities we most admire in exemplary human beings.  They usually find great joy and beauty in their work, and in the opportunity to serve, lead, and help shape a better future.  Since they are living their calling, they are authentic individuals who are eager to share their passion with others.  They are very dedicated to their work, which recharges and energises them instead of draining them.  Conscious leaders commonly have high analytical, emotional, spiritual and systems intelligence.  They also have an orientation toward servant leadership, high integrity and a great capacity for love and care. (Mackey, Sisodia & George 2013, p183). While so many of these qualities are gender neutral, others (love, care, emotional intelligence, sharing passion, servant leadership and helping shape a better future) are attributes frequently associated with women.  They might even be described as nurturing or maternal characteristics.

Because of the roles traditionally played by women – supporting partners, enabling children towards independence and reaching their potential, running households and finances, it could be said that women have been in training for leadership positions for thousands of years. ‘Conscious business’ is a way to describe organisations that operate within a conscious capitalist structure. Conscious businesses positively encourage women to embrace leadership roles outside of the home, but this is only the structure.  For real change to occur we need women to step into the roles and demonstrate our effectiveness in leading.

So what are the issues that women will have to address if they choose to step into leadership roles?  I think they fall into two main categories – things that women need to do for themselves, and things that men need to support us with.  Equality for women is happening slowly, but for change to happen quickly both genders need to collaborate.  The greatest hurdle is to raise general awareness of the challenges and of the amazing opportunity if we address the issues.  We need to take the conversations out from the feminists and futurists to every layperson. The major challenges we face are: women’s preference for collaboration over competition; scepticism about how their accomplishments will be reported by journalists/men; women’s fear of being humiliated by being judged on how they look rather on their accomplishments; young girls low aspirations based on their lack of belief that they will succeed; and ignorance by female graduates of the benefits of working in SMEs rather than in corporate cultures.

Collaboration vs competition

It would be easy to idealise women and to pretend that they completely avoid conflict or competition.  They don’t. But research shows that there are significant gender differences in frequency when entering into ‘winner-takes-all’ types of competition, and yet no significant gender gap in other types of competition.   Women are averse to entering competitive forums that result in a single winner walking away with the prize and the kudos, but women are equally competitive where the agenda results in rewards for the majority (Niederle, M., & Vesterlund, L. 2007). Conscious leaders believe that the most successful and sustainable results come from including the interests of all stakeholders – employees, investors, suppliers etc  rather than simply focusing on shareholders short term returns.  Conscious businesses need leaders who favour collaborative, empowering attitudes rather than ‘shareholders-take-all’ behaviours, and women compete as frequently and as successfully when these conditions exist.

Respect for the long-sightedness of how women compete needs to be applauded, rather than their aversion for winner-takes-all outcomes to be portrayed as a weakness.  After all, we have seen the outcome of pure capitalist attitudes – the majority lose while the minority continue on in a self-serving manner. I ran a workshop this week for “Women in Leadership” that included an hour of dialogue with three significant female leaders.  I was struck by their passion to share success and power, which was reflected in these three responses: “In the Green Party we spent a long time considering how to do leadership so that it was not something that we did to people, but something that we do with them.” Caroline Lucas (First Green MP). “When I got above the glass ceiling I threw the ladder down so that other women could climb it.” Polly Toynbee (Journalist for The Guardian). “I have never knowingly turned down any conversation with anyone who wanted to talk about their career development.” Penny Thompson CBE (CEO of Brighton & Hove Council). These responses were not constructed to gain PR advantage.  They were authentic responses embedded in answers to various questions on “Women In Leadership.” It demonstrates their natural preference for “power with” as opposed to “power over”.

Scepticism about the press

I am currently working with an amazing female MD running a successful international business. The company is a conscious business moving towards employee ownership.   A year ago I invited her to speak about the company’s culture at a business event but she found the idea horrifying.  Besides a fear of public speaking, which is a common fear for both genders, she just didn’t trust the media to get that the success of the company and its culture was down to her team and not to her alone. She was not going to risk her team feeling undervalued. Since then I have introduced her to books and articles on conscious capitalism and very, very gradually she is becoming hopeful that there is a growing appetite for change in how business is done.  We need to get more information about conscious business out to women so that they know there is a system that absolutely relies on the feminisation of business.  I believe that they will take the risks necessary to step out of the shadows if they have faith that something is changing.Caroline Lucas resigned as formal leader of the Green Party after four years because she “had benefited so much from the position and she wanted to pass on that opportunity to someone else in the party”.  She told us that the press could not accept this explanation and so instead they were creating stories about an affair or her mental health.  This is the type of personal assault and misinterpretation that women risk when we openly offer an alternative explanation for our motives than the winner-takes-all model.

Fear of humiliation regarding personal appearances

Women fear the limelight of greatness because they risk being judged on their appearances rather than on their accomplishments.   68% of girls across all groups agree with the statement “ability”. At the workshop that I mentioned earlier, Penny Thompson told us that when a picture of her appeared in the paper after her appointment and announcing her amazing prior achievements she had to tolerate comments on her appearance such as suggesting she “use her huge salary to do something with her hair”. The most atrocious recent example of what women have to endure is captured here by the Financial Times about the first female prime minister of Australia: “Few politicians in a western democracy have endured such personal abuse as Gillard, whose three-year term as prime minister ended in June amid a welter of recrimination about the nature of Australian society and its treatment of women in top jobs”. (Parker, 2013)

But the Welsh-born lawyer did not go down without a fight. Gillard reflected on her role as the country’s first female prime minister: “I’ve been a little bit bemused by those colleagues in the newspapers who have admitted that I have suffered more pressure as a result of my gender than other PMs in the past but then concluded it had zero effect on my political position or the political position of the Labor party.” With tears in her eyes, she talked about what her term as prime minister might mean for other female leaders: “What I am absolutely confident of is it will be easier for the next woman, and the woman after that, and the woman after that, and I’m proud of that”. While this type of attack didn’t stop Penny Thompson or Julia Gillard from embracing leadership roles, not all women are resilient or brave enough to survive it.  Just as it is not every man who is brave enough to be a Nelson Mandela or Ghandi.  It takes a huge amount of self belief and faith in the underlying higher values for a person to put themselves consciously in these positions.  What we really need is the support of men, the press and all powerful thinking individuals everywhere to make this kind of ignorant behaviour a thing to be ashamed of.

Young girls’ aspirations

Women lack self belief in their ability to succeed in business.  Girls across every level of affluence are almost 10% less likely to believe they could start their own business than boys of a similar level of wealth.  (Click for link to survey results.) For me, this is the most depressing piece of research available.  When I compare this perception to how I described my beautifully, naive beliefs in my teens it feels tragic.  We need more female role models in all walks of life.  Change of this type has to begin at home. So if you are reading this article, make one little change – point people towards Guardian Women, attend an event to support women in leadership (there are loads of them), vote for female leaders, challenge the status quo in companies.

Corporate careers vs SME offers

Women do better in SMEs, and SMEs do better because of women.  The number of women on FTSE 100 boards has risen from 15% in 2012, to 17.3% in 2013 (Dr Sealy, 2013 – Link). Career breaks, bias and having babies certainly account for some of the shortfall but it cannot account for all of it and gender prejudice must account for at least some of it.  In contrast, recent research also found that 80 percent of family owned businesses are more gender balanced, having at least one female director and that this diversity meant that the companies were less likely to fail than companies with less diversity (Myers, 2013 – Link). The study highlighted the fact that family-orientated goals such as preserving unity, wealth and providing employment for family members may also contribute to their survival.  The team analysed data of over 700,000 medium and large private family and non-family firms with an annual sales turnover of at least £6.5 million, a balance sheet total of at least £3.26 million and at least 50 employees. This information is available to corporate boards but because they are so entrenched in traditional thinking and averse to taking risks they often appoint women as a token gesture and to appeal to corporate social measures rather than in the full understanding that they need to do this for their own survival.  We need this kind of thinking and behaviour to change.

Some hope

I think it is significant that although conscious business culture is only recently emerging as a solution to addressing the pitfalls of capitalism, and that democratic management and empowerment are being touted as the way to run successful businesses, it was an exceptional female political scientist – Mary Parker Follet – who wrote about it almost a century ago.   Her work was largely ignored by business writers, all men, until recently. “Follet was profoundly interested in society and how one could attain personal fulfilment while striving at the same time to create the well-ordered and just society.  The answer, she concluded, lay in democratic governance, an abiding belief that was to inform all her activities and become the goal that inspired her for the rest of her life”.  (?Graham 2003, p: ?)  In ‘Prophet of Management’ (2003), Pauline Graham explores the reasons that she was so ignored by her peers – was it a sign of the times or simply because she was a woman?   Like my mother, Caroline Lucas, Polly Toynbee, Penny Thompson and the female MD mentioned earlier,

Mary Parker Follet continued to say what was true for her despite being ignored or misinterpreted by her male peers.  It is remarkable how ahead of her times she was, and it is testimony to her message that approaching 60, and without any experience in the business world, she became a management thinker eagerly sought after by the business communities of both the United States and England.   Those business leaders, mostly men, were also ahead of their time.

Summary

Conscious business is a successful, sustainable way of addressing the failure of pure capitalism.  Conscious leaders require additional qualities that have been traditionally described as feminine.  Companies that have at least one female director significantly reduce the risk of business failure and conscious business culture was originally captured in the writings of a woman over 100 years ago.  So all of this bodes well for women who are ready to aim for leadership roles.  And having a more balanced mix of the genders across business leadership roles would appear to  lead to more sustainable success for everyone. It would seem that the time is ripe for women to share more equally in leading the world towards a better way to do business.  It is now up to women to embrace the moment and aim for greatness, for the good of everyone, rather than fearing the comments of small minded individuals.  It is also up to men to support women in the journey because it has finally become clear and evidenced based that this is the only intelligent choice for us all.

References

About the author

Lasy Lawless is passionate about change and transformation. She likes to combine this with pragmatism, strategy and business focus. Her approach is person-centred – which means, she expects and supports others to take their own, full responsibility.As a trained accountant, Lasy worked for Big Finish – a conglomerate of TV and film post production companies – at a time when that world was being radically changed by digital technology. As Group FD, after 10 years sitting in over a dozen boardrooms devising strategy, she realised that the old ways of doing things were finished. Traditional power structures no longer delivered.That’s, at least in part, why she re-trained as a psychotherapist. Lasy believes that understanding what motivates people, and how to create strong challenging relationships at all levels, is the single most critical success factor for any business. Lasy is one of the founding partners, with Pete Burden and Jamie Pyper of Conscious Business People, a consultancy a business consultancy helping leaders build 21st century business cultures. She can be contacted  via  http://www.linkedin.com/in/lasylawless.


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Conscious Business parts 1 and 2

A little over a year ago Rob Warwick and I, with great encouragement from Bob MacKenzie at AMED (the Association for Management Education and Development), started the process of writing two special editions of the journal eO&P (Organisations and People) on Conscious Business.

The first edition was published in 2013. It includes six diverse pieces around the topic of awareness from Dick Davies, Jack Hubbard, Paul Levy, Alison Donaldson, J Kim Wright and Patrick Crawford. We explained our caution about the way that Conscious Business might be reduced to formulaic frameworks and schema that play down the attention that we give to everyday practices and how people relate to each other.

The second edition is out now. Building on the first edition, the second leads into a discussion of purpose, practice and community.  We focus on purpose, including the reasons why we should bother with Conscious Business. And, linked to this, we give a taster of some further elements of practice – the means by which we can bring this about.

The journal features pieces by Steve Hearsum, Sam Zubaidi, Lasy Lawless, Deb Oxley, Nate Whitestone, Natalie Wells and Giti Datt.

You can read the editorials for free. Or if you wish to support the work of AMED you can subscribe or, I believe, buy individual copies of the journal. Check out AMED.org.uk for details.

Happy reading.


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Conscious Capitalism – a case for optimism

Last night I had the good fortune to hear Raj Sisodia at the launch of the Conscious Capitalism UK Chapter. Raj is co-author of Conscious Capitalism: Liberating the Heroic Spirit of Business (with John P. Mackey, co-founder and co-CEO of Whole Foods Market). The book was published by Harvard Business Review Press in 2013, and rose to #2 on the Wall Street Journal Business Bestseller list.

What struck me most about Raj’s talk and his book is his optimism. Taking a long term view of GDP he argues that ultimately business is good, pulling people out of abject poverty:

What capitalism has enabled

He goes on to say that:

  • Business is good because it creates value
  • Business is fundamentally ethical because it is based on voluntary exchange
  • Business is noble because it elevates our existence (for example funding and creating time for artistic pursuits)
  • Business is heroic as it lifts people out of poverty (in a more sustainable way than fund dependant NGOs)

His call is to change the toxic narrative that pervades society – that of business being a force of bad, when in fact it has great power to be part of the solution to many of the world’s problems.

How can business to do this? One of the key challenges is the fact that the world has changed a huge amount in a very short period of time. And businesses have not adapted quickly enough and so are operating using obsolete structures – largely based on an out-of-date military model and language.

Raj points to 1989 as a key year for demonstrating change in the world. It was the year that:

  • The Berlin Wall came down marking the end of the Cold War.
  • The student led Tiananmen Square protests and massacre shocked TV sets across the world.
  • A fatwa was issued by Iran against Salman Rushdie for his book The Satanic Verses.
  • The median age in the USA reached 40, signifying a ‘midlife crisis’ in terms of the nations psychological centre of gravity, increasing questioning around meaning and purpose in the world.
  • Tim Berners-Lee invented the World Wide Web.

This last change has had wide spread implications: we are now better informed, better connected, better educated (women especially), and more intelligent (with underling IQ on the rise) allowing us to better deal with complexity. The rise of better educated women in turn means that there is increased emphasis on feminine values, with increased focus on collaboration and relationship.

Screen Shot 2014-03-29 at 07.42.47

Despite the impression that the media is creating, we are also more peaceful than ever before. We are also more conscious, with greater awareness about the impact of our decisions and lives, allowing us to make better decisions.

Sigmund Freud commented that “love and work are the corner stones of our humanness.” Can we build businesses on love rather than fear? We should at least try. And there are examples: Raj highlights Whole Foods Markets as a business “built on love and care rather than fear and stress.”

The question is not around whether profit is good or not – it creates sustainable organisations that can make a positive impact in the world. Rather it is around HOW you make money.

Business is not a game (there is too much at stake). Business is not a war (competitors are not enemies to be killed, or customers targets to be caught). Business is not a machine, or a maths problem designed to maximise one thing.

Business. Is. One. Of. The. Most. Human. Things. We. Can. Do.

As well as profit, measuring success needs to be based on widespread impact, acknowledging the many different types of wealth that a business can create and destroy: financial, intellectual, social, emotional, spiritual, physical and natural.

Ultimately we need to acknowledge that we are all in the same boat after all.

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The main source of hope comes from the fact that humans are not finite resources that expire after use like fossil fuels. By contrast we are an ongoing source. The challenge for business is how to create the right conditions to release that source and draw on the best of humanity.

So how do we actually do this? This was touched on in the Q&A session where Raj was also joined by Rajiv Joshi and Richard Barrett.

The start of the journey towards more conscious business can come in several forms. Perhaps with an awakened leader, a wake up call (the processed food CEO whose grown up children refused to eat the products the company made), or a journey into purpose. The underlying essence tends to be the same – an increased focus on service rather than pure self interest. It is notable that Adam Smith also spoke of the primal drive of caring, as well as self interest – and that it is the latter that up to this point has had the most attention.

Raj spoke of his commitment to to building awareness about the importance and value of conscious capitalism. Without this the value of introducing tools, such as an accreditation and logo, will be limited if people don’t know what it stands for. This means gathering evidence to show the benefits of the approach, and the evidence does it exist.

There are of course cultural changes that are also required in the longer term  – training future leaders in our business schools; creating and incentivising a long term goal mindset; changing the focus on fortune lists so that they also celebrate people by the impact they have on the lives of others; and changing consumer habits by helping them become more conscious about the impact of their decisions and giving them alternatives.

Other practical measures that we can take? Raj mentioned that on one of his courses, the first class introduces silence and mediation. The following classes then all start with 10 minutes of silence and meditation. What would happen if all businesses adopted this practice?

As Raj concluded: “the situation is serious, but not hopeless”….

Click to view a visual summary of Raj’s talk:

 Visual summary of Raj Sisodia's talk

Credit: Jaroslav Dokavail

 Bella Cranmore has a keen interest in Conscious Business having been a client of Conscious Business People in 2013-2014.


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Conscious Business: Senior Management Briefing

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This guest post is by Paul Levy of CATS3000

The Starting Point

The starting point is this: As a senior manager, you have no eternal right to exist. It is not a taken for granted assumption in a conscious business that you are always needed. Your starting point is one of being always humble, and ready to step aside and to allow in whatever is truly needed by the organisation.

The business does not exist to serve you, nor even to satisfy its shareholders. It exists to behave consciously in order to meet the needs of its customers, the users of its products and services. Shareholder satisfaction, in a conscious business, is a by-product, an outcome of conscious business practice, not an aim.

A conscious business is an organisation that is awake and aware, alert and responsive, internally and externally, in real time.

Sometimes, dear senior manager, your personality, your habits, your self-image, your subjectivity are all blocks, limiters of the consciousness of your business. Sometimes you behave in deliberate ways that diminish the consciousness of your business, thinking that you are being “smart”.

Political game-playing, power-mongering, fear-engendering, all ultimately shatter the innovation potential of your business by stifling and suppressing the energising qualities of people that exist when they feel more free and awake. Senior management, when it is a leading example of institutional, over-fixed behaviour, defensiveness and aggression, damages the very organisation it claims to serve. Even benevolent, but egoistic acts that achieve success are short term victories that still undermine conscious business.

A conscious business has a very different role in mind for senior managers. In the emerging fields of conscious capitalism and conscious business there are many stories and examples appearing in the public domain.

Overview and Inspiration

Senior management has the often fairly permanent role of acting as the overview, the “helicopter view”, the inspirer of vision, and the identifier of what needs to be done at the strategic, “overview” level.

In a conscious business, senior management is a leadership role – a role that is sacred, a privilege for all those who step into those roles.

In a conscious business, senior management identifies the essential in what needs to be done. Senior managers focus on naming things truly, based on real time flow of information, knowledge and experience. This “Pool of Knowing” crystallizes into an up-to-the-minute knowledge base that informs where and how, as a business, we step next.

Time to Drop the Personalities

It isn’t about personalities; it is about awareness, from personal to business self-awareness. The role of senior management is to remain objective. What does that mean? It means both inner and outer observation. In a conscious business, senior managers practice introspection, (they look at their own biases as if they were objects to be studied) and they subject their opinions and intuitions to third party “devil’s advocacy”. Senior managers seek out different points of view. Senior managers prioritise

  • Sensing and serving the needs of the organisation’s customers and key stakeholders
  • Enhancing business consciousness
  • Keeping the organisation awake, aware and alert, internally and externally, in real time.
  • Changing organisational structure to meet environmental changes, including the transient need for senior management itself. Hierarchies are temporary, emergent and flexible in a conscious business.

Welcoming the New and the Useful

Senior managers develop and practice emotional intelligence, active listening, and welcome and seek out useful and new ideas and suggestions from any helpful source. Status is not a cultural default in a conscious business; respect is earned not given by favouritism or clunky vertical structures. Measurement is authentic, and focused on identifying how the business can improve its consciousness.

Senior managers see their “higher viewpoint” – awareness of risk, taking of critical decisions, and ability to hold authority over others – as something sacred, something they steward rather than own. They do not see themselves as more important; they tend to view their role as part of the whole system. Both the chief executive and the cleaner are fundamental parts of the whole system. This isn’t a form of socialism of clunky equality; it is a form of systems thinking, where senior managers see themselves as parts of the integrity of the whole. Everything needs to fit together in whatever way it needs to in a conscious business.

Ten Features of Senior Management in a Conscious Business

  1. Senior managers are much more “present” in the processes of the business. Consciousness is high – meetings are more emergent, alongside more regular “rhythmic” processes such a monthly strategy reviews etc. Senior managers are both “overview” and “out there”.
  2. There’s an ability to quickly undo decisions, reshape key processes and structures, identify technological paths to innovation of products, services and processes, learn from mistakes and be humble with that learning.
  3. Roles morph and change, even pass away. Senior management is drawn from whoever and wherever, whenever and however it is needed.
  4. Reward is based on self-motivation, a wish to serve professionally, and there is no place for primitive “motivation by bonus” which warps commitment and consciousness.
  5. Information systems are seem, not as “below” senior managers, feeding upwards, but “above”, feeding down. Information is real-time, useful, accessible and accurate, truly informing overview reaction, proactivity and direction-finding.
  6. Senior managers are ethical, emotionally intelligent, able to listen, dialogue, inspire, and challenge. Truth is seen as vital to “clear-seeing”.
  7. Senior managers are self-aware, practice introspection, aware of their own biases, and open to devil’s advocacy and different points of view. Cronyism is banished. Freedom of thought, without fear, is a core value.
  8. There is a culture of seeking out the real needs of those who are served by the business. Shareholders are also aware of the business purpose and in tune with the business’ culture of practising conscious business.
  9. The business is led by managers who are an example – transparency, openness and honesty are core values, lived in practice.
  10. Promotion is based not on years worked, nor on any favouritism and delivery of narrow measures. Promotion marries business need with capability, motivation and “fit” with the integrity of the business.

 

And, Yes – It is still about Leadership

Senior managers are leaders. Leadership is a role and process in a conscious business that enables inspiration, motivation, strong decision-making (when needed) and strategy-making to happen. The role never fixes for too long or in one particular way. Leaders emerge, from different parts of the organisation. Permanent leadership roles are only created if needed (for example, if stability of a role is needed).

Leadership is largely associated with process rather than personality in a conscious business. Leadership can, and should happen anywhere in a conscious business, even in its realm of digital working. Leadership may arise out of digital processes as much as physical ones. Leadership involves direction-finding, true-naming, inspiring others, fitting parts together into a bigger picture, and unblocking conflict and difficulty.

Senior managers in a conscious business are “senior” for different reasons. Sometimes that seniority is bestowed because the senior person is wiser, and has experience and wisdom that helps guide the wider organisation. Sometimes it is born of the unique position of ownership of the business. Here leadership is only assumed if the owner has a unique contribution to make to the organisation and may also carry the inspiration and passion that will later be shared across the organisation. Sometimes the senior manager will be a temporary specialist, with temporarily needed skills and oversight. Sometimes the leader will emerge because a leader is needed, a hero helping the organisation on a “quest”. The leader’s role then coincides with the post of a senior manager.

In all cases, reflection is practised and permanence is never assumed. Rewards are never for the position in the hierarchy, but for the quality of the work done for the business.

Daring to be Different

Senior managers are often very different in a conscious business. Their career isn’t to climb up the organisation, but to serve it with a unique and important skill set and experience base.

Senior managers in conscious businesses are not  the same people as the senior managers at an earlier stage of that business’ development, when it was more traditionally structured and managed. They represent and reflect the organisation radically transformed.

Conscious businesses perform excellently, because senior management is a role that practices excellence. And excellence is born of consciousness. Senior managers have the vital role of occasionally acting as the eyes and ears of the enterprise, but not always. Often they interpret and articulate the essence of the organisation’s will. But they are one of the means to the business’ consciousness, not the sole cause of it.

In a conscious business, as a senior manager, you might just have to wave goodbye to yourself and become less attached to the word “senior”. Yet it also might be the hello to the authentic, genuinely useful and fulfilling next step you’ve been wishing for.

 

 


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Conscious Business Strategy

We love helping people to build and implement their business strategy more consciously. What does that mean?

Like Conscious Business itself, Conscious Business Strategy is not a thing. It is a process. It is a way of approaching the world.

It has three stages. We call them Awareness, Agreement and Action.

Awareness

Awareness is often the first stage. Awareness means opening ourselves up to the situation in front of us. This means seeing it, understanding it, absorbing it.

That means realising that the world is out there – external. And in there – internal.

In business, the outer world is made up of people in all sorts of relationships – customers, colleagues, suppliers, investors, and other stakeholders. The products and services you offer.  Your supply chain. Your prospects and your sales pipeline. The market you operate in. Revenue, your profitability, and so on. Over time – past, present and future. Whole systems, not just patterns and events.

All these things – and many more – are connected. Opening up to the outer world means looking at it in all its glory – with all its complexity.  It is not one thing, it is a complex array of interactions and relationships. Awareness means starting to see all of that – not just one aspect of it. Seeing the whole system.

Awareness also means looking at the inner world. We know that what we see externally is moderated by how we are internally. Our perceptions are incomplete and often wrong. Thoughts, emotions, attitudes and beliefs all colour the world we see. So do our dreams and aspirations, states and moods. Our memories change to suit us.

So Awareness is also about looking at ourselves – being aware of what is going on inside us and how it affects everything – inside and out. Awareness – and self-awareness – mean waking up to that.

Aware of Purpose too

Awareness also means becoming aware of our purpose. There are lots of people out there trying to help us put our “deeper Purpose” (usually with a capital “P”) into words. This is probably a good thing. But purpose is complex too. We have many different purposes – not just one. Sometimes these are in conflict, sometimes aligned.

One way to understand purpose is simply to look at what we are doing. I am writing this blog post. Why? To communicate something? To get something out? To engage others in interesting dialogue? To while away some time on a Sunday morning? There are always many purposes, and many may also be invisible to me.

So Awareness also means looking to see what my purpose is. Using my self-awareness to understand what I am doing, and maybe why.

Agreement

We call the second stage of Conscious Business strategy Agreement.

Strategy isn’t necessarily about the long-term, but it is definitely about something that endures. Strategy is about following one course of action, sometimes despite the response from the world. That is why so many approaches to strategy refer to Principles, Policies, Precepts, Pillars etc. (For some reason they always seem to be words that start with the letter “P”).

These are all ideas or beliefs that we can hang our hats on. They endure even as we implement the strategy. We check back against them and use them to determine whether what we are doing is following or diverging from the strategy. They guide us. Following them allows us to implement the strategy consistently in a way that gives us the benefits we are seeking.

But we call this stage Agreement because it is essential to agree these Principles, Policies, Precepts and Pillars either with yourself or with other people. Once agreed, once we have committed to them, then we can hold ourselves and others to account.

Agreement means dialogue, and it means being congruent – authentic, transparent, choiceful. It means letting these ideas emerge, and then settling on them, agreeing them with oneself, or with others. Making a definite choice.

Once we have made these agreements, then we can say things like “We agreed we would hire a fair balance of men and women, and yet we are actually hiring more men than women. We are diverging from our hiring strategy. Why? And what are we going to do about it?”

Action

Finally, a conscious business strategy is really about Action.

If we do all that looking and agreeing, and then do nothing, we aren’t really implementing the strategy. It is only through action that we get to learn more and discover more. It is only through action that we get the chance to iterate and update the strategy. Strategy lives in operation.

We are always doing something. We are always acting. So acting strategically is to be conscious of those Principles, Policies, Precepts and Pillars. Making choices in the present but with awareness of those things we agreed. Reflecting as we go. This awareness affects our decisions, which affects our actions, which affects the results we get.

If we agreed our strategy is to hire men and women equally, then that is what we need to do. Our strategy affects how we advertise, how we interview, how we assess, how we speak and what we do. We change our behaviour and we get different results.

When you pick up a stick you get both ends. Decisions have consequences. It is often difficult or impossible to predict the consequences. Strategy isn’t about somehow forseeing the the future. No one can do that. It is about acting consistently over time, despite the immediate response, and thus eventually getting something that is more aligned with what we wanted in the first place.

Sometimes this stage is where we make a plan. Strategy is definitely not planning. But planning – building lists of actions, to be completed in a particular order, and at a particular time – sometimes flows from strategy.

But of course, we need to iterate, to pivot, to be agile and lean. Maybe we need to abandon our plans. So all the time as we take action, we look to see what response we are getting. We stay aware. And we choose whether to continue, or whether to update our Principles, Policies, Precepts and Pillars. So really Conscious Business Strategy is a cycle, not a linear thing.

Awareness, Agreement, Action. That’s it.

(If you want to read more about Conscious Business as a way of doing business, take a look at this).