The practice of intelligent leaders is the maker of new value propositions and collective practices. Practical wisdom was first proposed by Aristotle. He believes that practical wisdom should be a prudent, practical, and ethical wisdom that can best judge the common interests in a specific context. According to Aristotle’s view, in today’s business environment, I believe that practical wisdom is a business-oriented, action-oriented, practical and rational, pragmatic and flexible, relying on the wisdom of the upper and lower industry chains. .
To understand how practical wisdom is produced, it is necessary to first understand that wisdom is created by knowledge. Knowledge creation is a process from information to knowledge and then from knowledge to wisdom. My early research focused on how to move from information to knowledge, that is, how to process information. What is the difference between information and knowledge?
The key difference is that information with data as the main form of expression is only an objective representation of facts or observations, and knowledge is a deeper process or method of finding meaning. Meaning is basically a subjective thing. For example, each of us will have our own experience. Each person carries different meanings, so meaning is a research field of philosophy. Philosophical research on meaning is more concerned with the relationship between subjectivity and experience. Everyone’s experience is different, and everyone has experienced different things. Therefore, the same information has different meanings for different people. In addition, the same information has different values for different people. Value or value depends to a large extent on the subjectivity of the individual. People are observing objectivity from their own subjectivity.
Therefore, different people will see different meanings when they look at the same painting. Wisdom is a person of physical and mental unity In the Western scientific community of the past, people believed that the body and mind were separate. But the Italian neuroscientist Rizzolatti’s research found that people’s body and mind are inextricably linked. The mirror neurons in our cerebral cortex allow us to replace ourselves with others to interpret the behavior of others and to empathize with others. This kind of physical and mental contact is a kind of contact that experiences the soul and is the key to promoting effective communication. Recent research has also shown that those who are successful, no matter where they are, are those who can achieve physical and mental unity. In the past, we believed that the foundation of success depends on people’s IQ, that is, whether the mind is smart.
But a recent study shows that the most important element of success is courage and determination. In other words, you have the courage to do something. “Courage” is a current bestseller, which describes the most critical element of success is courage. At the same time, self-control, enthusiasm, social skills, gratitude, optimism and curiosity are all important qualities of success. From the success of Satya Nadella leading Microsoft out of the trough and re-emergence, we can also see the importance of physical and mental unity. Nadella said in a recent book that Microsoft has made a lot of efforts for the development of artificial intelligence (AI). In their AI development, one of the questions that Microsoft has always run through is: “What is human happiness?” So, Microsoft wants to design “AI-centric” AI solutions and products that help human happiness.
In other words, the goal of Microsoft’s artificial intelligence is to help people expand their capabilities and help people do more. Therefore, Microsoft hopes to find the factors that constitute human happiness and happiness by perceiving reality, and use their artificial intelligence to help people improve their happiness. In other words, Microsoft wants their AI to achieve a balance between people’s body and mind. To do this, empathy is very important. Empathy is the ability to empathize with others, to be able to put yourself in the ground, let yourself understand other people’s ideas, and understand others’ emotions. If a leader sits in front of a computer in the office and looks at the computer screen all day, it is impossible to become an empathetic person.
An empathetic leader needs to go outside the world and walk to his clients to see how the technology they create affects their daily lives. A caring leader needs to go to his subordinates to understand their life and work. Microsoft CEO Nadella is such a leader who can perceive reality and be empathetic. When he was in charge of Microsoft, Microsoft was on the decline, so Nadella’s first priority was to rebuild Microsoft. The core idea of Nadella’s rebuilding of Microsoft is from the perspective of balance between body and mind – from the perspective of employee balance, from the perspective of AI technology and human body and mind balance. He is an Indian and an engineer. He likes Buddhism and philosophy very much. He hopes to balance the ideas of science and philosophy.
This is the most important content of his rebuilding Microsoft. In addition, Nadella created a very different project team. He selects professional leaders from different functional departments, and he brings these leaders in their respective research fields together to form a project team. When the team discussed the project, they did not use PPT and did not present some data. They want to make it clear to everyone that why are you at this company? What do you want to do in this company? Everyone tells everyone present about their own history, what they mean in the company, how their innovation will contribute to the company, and how the company contributes to society and makes society better. It can be foreseen that this ability to balance body and mind will become more and more important in the future development of enterprises, and it will become more and more a trend and a trend. Invisible knowledge, the basis of knowledge creation Information itself has no meaning, and it is necessary to add scientific elements to turn it into knowledge.
In other words, information is just a raw material, and we give it meaning by discovering it. The meaning and meaning of information arises from our experience. In the process of knowledge creation, people will put their own experiences and add their own goals, thus creating meaningful models and realizing the transition from pure subjective to objective. This process is the process of tacit knowledge generation. . Tacit knowledge includes beliefs, metaphors, intuitions, modes of thinking, and so-called “skulls” that you may not be able to tell, but what our bodies and souls know.
It should be said that all human knowledge is rooted in tacit knowledge. To create and develop knowledge, we must abandon some prejudice. Many people are often only interested in knowledge of a subject or objectivity. Their knowledge is exclusive and single. But real knowledge should strike a balance between subjectivity and objectivity, balance between beliefs and facts, and balance art and science. All inventions began with a subjective intuition. For example, I have an idea now, I think this thing should be done. Many times, our original idea was driven by people’s tacit knowledge. When you first started doing this, people may not have any meaning about it, but if there is an innovation in the process of invention and creation, and benefit the society and benefit the whole world, people It will be found that the inspiration of the individual alone is far from enough, and it needs to be combined with the wisdom of the group. At this time, people need to create a theory and framework for knowledge management.
The reason why our society has developed so fast is also the result. Honda Shoichiro is the founder of Honda. On the Detroit Car Hall of Fame wall, I found two pictures about his story. One is a picture of Honda’s sirloin looking at the car on the ground. His hands are on the ground and he can feel the dynamics of the engine; his nose is smelling, he can feel the burning of the fuel by smelling the smell of gasoline; he looks at the condition of the car with his eyes; listens to the sound of the engine with his ears. . Honda Shoichiro used his whole body and facial features to create empathy with the car, combining his perceptions with his ideas and his own practice, making a hypothesis about future car improvements. This assumption can make the car run smoother. The speed is increased faster. Honda Shoic turned his perception of the scene into a language, turned into a car design, and became a new concept. In another picture, he communicates with the engineers on the spot to share the subjective ideas of each person. Each engineer will present his own concepts and ideas from his own wisdom, academic knowledge, technical skills, etc.
In the process of communication, everyone has their own subjective ideas, and there may be a kind of competition and debate between them. It is not an easy task to develop a new concept in this communication process, but after this discussion, everyone finally grasped the key to the problem: how to make the car run faster. They decided to develop a new sample, which is called a meaningful discussion, an innovative discussion. This process will resonate and will change from one’s subjective thoughts to everyone’s thoughts. This is a process from subjective to objective change. In this process, it is not who is condescending to look at each other, or look up at each other, but everyone equally explains each other’s subjective opinions and resonates, making it an objective idea. I think this is why Honda chose these two seemingly simple pictures to commemorate Mr. Honda. These two pictures actually reflect Honda’s process of knowledge creation, in which the interaction of tacit knowledge and explicit knowledge is constantly being carried out.
Three elements of invisible knowledge The concept of tacit knowledge and the process of creating knowledge are discussed above. In the following, a more detailed explanation of how to obtain invisible knowledge will be given. In general, the acquisition of tacit knowledge needs to include the following three aspects: First, look at the art. How much you can get from fancy is related to whether we have a pair of keen eyes that are good at observation. Take doctors as an example. When diagnosing a disease, doctors must silently record all aspects of the patient, including his blood status and biochemical indicators, and then combine his own intuition and integrate all the information of the patient. To find meaning, you can know what kind of condition this patient is. In other words, the doctor is a person with a sharp eye. Second, the art of doing.
Take a musician playing a beautiful piece of music as an example. First of all, the ability of a musician to play the piano means that he has a lot of hidden knowledge. For example, he knows which key should be pressed first when playing a certain song, and which key is pressed. He has become a one of his. Skills, but this is a skill of the past. He also needs to know what it means to play a piece of music, what the background of the song is, and so on. The real musician must have been very good at understanding the skills and the composition of the music. When playing the music, the seemingly separate parts are connected and given new meaning. This is the true musician who knows the art.
Third, the art of thinking. The most typical example of this is the big detective Sherlock Holmes. The most remarkable ability of Holmes is that he can always make a hypothesis. He can find clues to the case through the details that are not noticed in the case, and infer the process of the event. The details are critical, and the basic reasons for the event can be found in this detail. Many people may not perceive this very small event, but he can get the exact hypothesis from these perceptions and then reason and solve the case based on this assumption. This is the basic ability of Holmes, which is called the ability to acquire knowledge. Get some assumptions from this detail, and then determine this hypothesis, which is a key ability to create new ideas from scratch.
Take the Hawaiian travel experience as an example. When you first arrive in Hawaii, you can see beautiful hibiscus flowers, pineapple gardens with blue sky and white clouds, and people with a smile on the market. The girls in the hotel are dancing hula dancing, the blue water of Waikiki Beach… …each of these parts together form the experience of Hawaii. After experiencing these experiences, you will be able to identify an image for Hawaii in your mind: Hawaii is a paradise. The next day you arrived at the US Naval Base in Hawaii. You went to the Pearl Harbor Memorial Hall and you communicated with the military officials. They will tell you about Hawaii’s military strategic position. After this experience, you will know that Hawaii is not only a paradise for vacations, but more importantly, it is also an important national defense base for the US Marine Corps.
Through these two days of travel experience in Hawaii, we can form a tacit knowledge about Hawaii, and at the same time bring us some new concepts about Hawaii. This is an innovative process through which we gain knowledge about Hawaii. SECI four-step method of knowledge creation Knowledge creation is achieved in a four-step approach: First step socialization Socialization is the process of building tacit knowledge by sharing personal experiences.
In this process, interaction and empathy are critical and an important source of innovation. Because each individual has different experiences, experiences, and ideas, they interact with each other, hoping to find their commonalities and find meaning. This kind of commonality and meaning comes from the interaction of different people. The process of people’s empathy and socialization is the source of true meaning. The second step conceptualization Conceptualization is the process of clearly expressing conscious knowledge with explicit concepts and language.
For example, in the MBA program, most of the students are from different companies, with different concepts, ideas, experiences and experiences. Participants will share and interact with their tacit knowledge in peacetime or in the classroom through dialogue. This process of sharing and interaction is a conceptual process. In the process of sharing and interaction, we can create new meanings and establish new concepts. The third step of combination Combinatorial refers to the process of combining and systemizing various explicit concepts through language or digital symbols generated by various media.
In this process, we combine different concepts into a larger concept, or a model, or a story. For example, re-aggregate and process relevant explicit knowledge into a company’s plan or report for further specific steps. The fourth step is implicit The process of combining new and explicit knowledge to be absorbed, digested, and sublimated into their own tacit knowledge by internal employees is called practice. In these four-step method, socialization is to experience reality through direct experience. Conceptualization is an essential summary of direct experience and realistic experience. Combination is to connect systematic concepts with reality, and implicitization organizes these knowledge in organization.
The technology, products, services, experience and other aspects are reflected. We can create new knowledge and reconnect to the community of interests by implementing the four steps of the above SECI in the organization, market, and business environment. SECI’s continuous spiraling and accelerated rotation process is a dynamic way of integrating creativity and efficiency in an organization. Practical wisdom leadership Practical wisdom is socially friendly and very practical, and even in a specific context, the best judgment of the interests of the community of interests can be made.
Practical wisdom increases the organization’s human capital through the accelerated spiraling of SECI in the organization by continuously supporting and cultivating the ability of socialization, conceptualization, composition, and practical processes in the organization. Because this ability is a very important process of tacit knowledge and explicit knowledge transformation, it is the knowledge that is continuously created in practice, so it will get closer and closer to wisdom, which we call practical wisdom. It is very difficult to promote the process of practical wisdom. Leaders must have more experience, accurate judgment, basic morality and values.
To promote the development of practical wisdom processes, leaders also need to do the following (as shown in Figure 1): Establish and determine a good goal; Be able to accept, understand and understand reality and experience reality directly; Create a team; Explain the essence, identify a strategy or a model, and develop a corresponding business model; Exercise political power to achieve narrative and business models. In an organization, good politics and bad politics can be very different. To achieve the business model that was previously formulated, political power must be used; Train others and give them the same practical wisdom. Figure 1 constitutes a closed loop of the practice of a smart leader, which is what Aristotle calls “practical wisdom.” To become a practically savvy leader, you need to have the following three qualities: First, we should pursue the good interests and vision of the community of interests.
This is the first. One question that everyone is discussing today is, who is the company for? For what purpose? The idea that has always dominated this issue is that the existence of a company is to enable shareholders to get a return. This is the so-called agent theory model. The theory holds that companies are created by shareholders, so companies must make profits for shareholders and maximize shareholder value as much as possible. Under this theoretical framework, companies have no responsibility for society. The company’s managers are only agents of the company, and the management mainly serves the shareholders. This is a mainstream management philosophy. There is also a business-centric philosophy about this issue.
This kind of philosophy holds that enterprises should assume social responsibilities. The purpose of the company is not only to obey the shareholders, but also to the so-called people or the whole society. To this end, enterprises must fulfill their missions and become a good enterprise. They must conform to the rules of moral ethics. Of course, shareholders provide capital and they have their own rights and obligations. For corporate executives, they are not only responsible for shareholders, they are also responsible for the company. They are the leaders of the company, which is a business-centric concept. The differences between the two theories are shown in Table 1. Which of these two theories prevailed? I think that the existence of a company should be a higher value. Therefore, I agree with the enterprise-centered concept.
Because the enterprise is a component of society after all, the existence of the enterprise is not only to do analysis, make decisions, operate in compliance, and earn profits. Take Mr. Honda Shoichiro as an example. Honda Shoichiro said that I believe that our company’s vision is to achieve three joys: the joy of production, the joy of sales and the joy of buying. Kyocera’s Inamori Kazuo’s motto for the company is Jingtian’s love. Kyocera’s management philosophy is to provide opportunities for the material and intellectual development of all employees and contribute to the advancement of society and humanity through our joint efforts.
The founder of Uniqlo, Liu Jingzheng, is committed to creating truly great costumes with novel and unique values, enabling people around the world to experience the joy, happiness and satisfaction of wearing such good clothes; enriching people through unique corporate activities. Live and seek common development with society. The above Japanese companies are all examples of practical and intelligent leadership. Second, the practice of intelligent leaders needs to be intersubjective. Intersubjectivity refers to the speculation and judgment of a person’s intentions. Each of us is a subjective person, but everyone is a social person and needs to realize common interests.
Therefore, we can’t just look at our one-acre three-point land. In order to connect with another subject, in the process of connecting with other subjects, it is necessary to have intersubjectivity, that is, empathy. However, each of us is a different individual after all, and is born to be selfish. But at the same time, each of us can find something in common with others, able to understand, understand and care for others. That is to say, human beings can gradually transition from pure selfishness to altruism because human beings have intersubjectivity. There are three stages in the development of intersubjective consciousness: 1. Sensory synthesis stage: I like this relationship. This stage refers to a sense of mutual relationship, such as mother-child relationship, produced through physical contact. All of us grew up in the mother’s arms at the beginning, and could not do without the mother’s love.
In the mother-child relationship, the baby thinks that he and the mother do not exist who is the subject, who is the object, the baby will think that I am a whole with the mother. 2. The comprehensive stage of intelligence: creating meaning. Still take the mother-child relationship as an example. As the baby grows up, they can talk, begin to understand meaning, and even create meaning, and the baby can separate herself from her mother.
At this stage, the development of language is very important. Through language, the baby gradually understands that I am different from my mother. I am my mother, my mother is a mother, and I have a third party. This conceptual separation is very important, proving that babies begin to have a synthetic ability, that is, intelligence, and begin to have analytical skills. 3. The comprehensive stage of sensory and intelligence: encounter another overall “I” in the higher dimension of “I-your relationship.” At this stage, a person’s feelings are open to both themselves and the other party. They completely touch each other physically and mentally, no longer self-centered, and enter a selfless state.
For the leader, this higher level perspective means that he begins to think about achieving my common development goals and strategies. This is a big challenge, and I firmly believe that it can be achieved. In the case of innovation, innovation can be formed in an organized and structured way. In the process of innovation, everyone is a subjective individual, and each has its own unique experience.
But everyone also believes that if you want to make a real innovation, turning your own ideas about innovation into reality, you need to achieve it in an organized way. In other words, I need to have other people interacting. No matter how smart the “I” person is, it is impossible to have the vision and consciousness of a third person. In other words, you can’t just stare at yourself, you have to stare at the second person and the third person. If you can’t use intersubjectivity to establish relationships with second parties and third parties, you can’t achieve self-sublimation. This is even true in entrepreneurship.
China is a hot spot for entrepreneurship, but you won’t find a single person to start a business. At least two or three partners have just started business, why? Because you need to get a second-person, third-person perspective, just like Mr. Honda’s son. Mr. Honda’s Sangichiro often has different opinions from the people around him, and often it is the birth of innovation in this contradiction. Subjectiveness means that you are willing to open to the second and third people and are willing to accept the second and third people. The process of acceptance is usually “do not know each other”.
At the beginning, it is the process of fighting. After some wisdom and intellectual fighting, we finally accept each other. as shown in picture 2. At Kyocera, they have a concept of “Compa” management, which is to hold employee talks after five o’clock every afternoon. Everyone is sitting on a tatami, drinking and eating. They don’t have the difference between them. They can shoulder their shoulders.
Pour each other and communicate openly. But in fact, they will also communicate with each other on a specific issue, gaining innovation and new knowledge through this “Compa” experience. In this process, everyone is closer, but must also develop altruism. For example, you can’t pour the wine into your own cup, you can only pour the wine into someone else’s cup. Between tatami, everyone is prone to resonance and reach a consensus.
In addition, the team leader who held the “Compa” team must sum up what they did the next morning, which is a very flexible way of making decisions. In this way of decision-making, intersubjectivity plays a full role. Third, practicing smart leaders requires the ability to build a fractal organization.
This is the ability to cultivate practical wisdom among others, that is, to impart and distribute the individual’s practical wisdom-related abilities to others through practice, to cultivate their practical wisdom and to establish practical and intelligent organizations. to sum up The practice of intelligent leaders is the maker of new value propositions and collective practices. On the one hand, they need to have deep thinking, on the other hand, they need to have very practical practices, to be able to continuously integrate the body and mind, and to consistently achieve a win-win situation of wisdom and practice.