When we pursue happiness, it eludes you. However, when you recognise that happiness is the natural state of the soul, all you need is to eliminate all that comes between your happiness and you.
By
Hiren Shah Edward de Bono's gift to the world, lateral or nonlinear thinking can
help you conjure creative
solutions to emerge a winner in an increasingly complex world
There
is a story of a salesman in America who became a multimillionaire selling
life insurance. On being asked about the secret of his success, he answered
that he told his clients he was there to buy life insurance for them rather
than sell it. He did this to pre-empt the instinctual American skepticism
and abhorrence of salesmen. In Canada, Ron Barbaro, chief executive of
the Prudential Insurance Company, made one of the most innovative changes
in life insurance. He introduced a system where a person diagnosed with
a terminal disease could be paid off during his lifetime to enable him
to afford his treatment. This was the most revolutionary and successful
idea in life insurance in 120 years. Barbaro used the methods of Edward
de Bono, whose name has become synonymous with lateral thinking.
A
Ph.D. in psychology, de Bono has held high academic positions at Oxford,
Cambridge and Harvard universities. He has written over 40 books translated
into 25 languages and has also made two television series aired around
the world. He is the author of the famous "coRT" thinking program
used internationally to directly teach thinking in schools. Examples of
applications of lateral or nonlinear thinking abound in several fields.
In cricket, Kerry Packer introduced day/night matches and colorful balls
and clothing, a departure from tradition that became so successful, the
whole world of cricket adopted it. Australia recently experimented with
two different captains for the Test and one-day matches.
Lateral thinking is a step-by-step method of creative thinking
with prescribed techniques that can be used consciously. According to
de Bono, intelligence is a potential and thinking is a skill to use that
potential. He adds that thinking is no substitute for information but
information may be a substitute for thinking. While information is swamping
us, the need is for appropriate thinking techniques to avoid being weighed
down by excessive information. Just as the skill of the driver determines
how a car is used, thinking determines how intelligence is used. One may
be a good thinker without being an intellectual and vice-versa.
There is
a spiritual dimension to lateral thinking that has more to do with perception
than logic. Good conduct that arises from right thoughts and perceptions
is as important as meditation and spiritual practices. De Bono compares
cleverness to a sharp focus camera and wisdom to a wide-angled lens
and wisdom depends heavily upon perception. Nearly all systems of meditation
aim at purity of heart and mind to refine perceptions for sound judgment.
Philosophy, literally 'love for wisdom', is also a means of spirituality.
Wisdom to a large extent involves correction of perception by experience
when one considers the dictum, "knowledge comes but wisdom lingers".
Focusing directly on 'thinking' sharpens perceptions and lateral thinking
is one of the best means to achieve that objective. In the introduction
to his book Serious Creativity Using the Powers of Lateral Thinking,
de Bono states that human perception works as a self-organizing information
system.
A SKILL THAT CAN BE LEARNT
There is a misleading belief that creativity belongs to the world of
art and is a matter of talent and chance and nothing can be consciously
done about it. Lateral thinking is specifically concerned with changing
preconceived notions to bring out new ideas and can be acquired and
practiced as a skill. It is a special information handling process like
mathematics, logical analysis or computer simulation. Thinking techniques,
once mastered, can be used both individually and in a group, dispensing
with brainstorming. In all the examples of lateral thinking given in
this article, unconventionality clearly comes to the fore. According
to de Bono, one should be free of constraints, tradition and history
in order to be creative. But that freedom is more effectively obtained
by using certain deliberate techniques rather than by hoping to be free.
There is a prevailing belief that structures are restrictive for creative
thinking but this is not entirely true. A cup does not limit one's choice
of drink, so one can consciously avoid being limited by structures and
apply them to one's field.
De Bono has
developed several techniques of lateral thinking under the three broad
categories: Challenge, Alternatives and Provocation. The creative challenge
is a challenge to exclusivity, which does not accept status quo and is
particularly relevant in those areas where ideas have become obsolete
with time. Circumstances and situations often restrict the choice of alternatives
and, therefore, it is better to assume a dynamic state of affairs. Limits
and components are changed to enable new ways of doing things to emerge
successful. Provocation is more in the nature of hypothesis where a situation
is first conceived or imagined and then one proceeds to arrive at unique
plausible conclusions. According to De Bono, the words hy(po)thesis, sup(PO)se,
(PO)ssible and (PO)etry all indicate the forward or proactive use of a
statement, which implies that we make a statement first and see where
it takes us. This is against prose and description, in which we seek to
show something as it is, currently.
DE
BONO'S 6 THINKING HATS
The most popular technique presented by de Bono is the six thinking hats.
Acting on the presumption that doing different things at the same time
is difficult and confusing, we normally make use of one type of thinking
at a given time. The hats denote the following:
l. White Hat: facts & figures, (what information do we have and need
to get?)
2. Red Hat: emotions, intuition, feelings (how do we feel about the situation?)
3. Black Hat: judgment (does this fit the facts?)
4. Yellow Hat: advantages, benefits (how is it a good thing to do?)
5. Green Hat: explorations, alternatives, etc. (are there different ways?)
6. Blue Hat: thinking about thinking (control of the thinking process)
Hats are
often used to denote the role one is playing such as a baseball cap,
soldier's helmet, and can be easily taken off and worn again. When a
person puts on a hat he or she plays the role that belongs to that hat.
This makes it a game where individuals are encouraged to contribute
all kinds of ideas under diverse hats. The role-playing detaches the
ego from thinking, which leads to objectivity, one of the most difficult
things to achieve in a group discussion. The western tradition of argument
results in taking positions whereby discussions are reduced to verbal
wars of attrition with a clash of personalities
rather than of issues. With the six hats, instead of confrontation there
is supportive scrutiny of an issue, which is useful where there are
fierce arguments, bickering or obstinacy. It is easy to switch thinking
without causing offense. The six-hats method works as well everywhere
and can also be used in family situations. Its most fruitful advantage
is that it forces you to think more broadly.
De Bono
further states that generating creative ideas using his various techniques
is not enough. Ideas, by nature, are risky. Because the idea is new,
one is not sure that it will work or be practicable at the operational
level. There may be a need to invest time, money and energy before an
idea bears fruit. Most people are reluctant to make this effort so necessary
as complexities multiply at the turn of the 21st century. One person
who did and became a stupendous success is Dhirubhai Ambani.
Lateral thinking
can save your life, as illustrated in this story. Two men were on a jungle
safari in Africa. Suddenly, they came across a tiger that started roaring.
Both men were frightened and one of them started wearing his shoes. The
other one said: "How is this going to help? We can't outrun the tiger."
The first man replied: "I don't have to outrun the tiger, I only
have to outrun you."
Dhirubhai
Ambani evokes strong reactions from people but nobody can be indifferent
to his achievements. To the many happy shareholders of Reliance, he is
good enough to deserve the Bharat Ratna and at the other extreme he is
vehemently reviled for his business methods. On being criticized on his
modus operandi of openly using political influence for corporate gain,
Dhirubhai has repeatedly asserted: ''That is only a minor element of our
work. Why not focus on the major portion related to implementation, where
so many organizations goof up?'' He adds: ''I give least importance to
number one. I was nothing but a small merchant but I reached this level
here. I consider myself fortunate to be in this position, but I have no
pride. I am as I was.''
Reliance
is globally admired for its rapid and time-bound implementation methods
and those are where lateral thinking is employed to the maximum.
Reliance
executives are constantly encouraged to think out-of-the-box, rather than
traditionally or sequentially. The top bosses themselves have this tremendous
ability to think laterally and look at business as a series of processes
as illustrated by their quotes: ''The leadership of Reliance Industries
has always shunned incremental thinking,'' says Anil Ambani, MD of the
Reliance group. Older brother Mukesh Ambani says: ''We work in concentric
circles, rather than in straight ranks, but there's always a center of
accountability. We don't believe in core competence. We believe in building
competence around processes and people to create value.''
Dhirubhai
adds: ''The world is a series of orbits hierarchically stacked up with
peons and clerks at the bottom and leading industrialists and politicians
at the top. To be successful, you must break out of your orbit and enter
the one above. After a spin in that orbit, you must break into the next
one and so on till you reach the top.''
To
keep moving in an upward spiral, Dhirubhai has liberally used lateral
thinking, far more than any other industrialist, as revealed in Gita
Piramal's book, Business Maharajas, among other sources.
RELIANCE
FIRSTS
Dhirubhai was the first Indian industrialist to cater to the needs of
the small investor. This was more by default rather than design because
of his inability to fund his operations initially, yet it was a major
deviation from the established practice of raising money from financial
institutions. He introduced the equity cult in small towns in India. He
is also recognized as having single-handedly revitalized the Indian capital
market, by focusing on capital appreciation instead of dividend, which
was the norm. Apart from his macro strategy, his tactics also reveal lateral
disposition. When the bear syndicate connived to hammer down his share
prices, Reliance bought all of its own shares and demanded delivery by
creating a 'friends of Reliance' association to buy those shares that
the management technically could not. The consequent furor and shutdown
of the stock market brought him in the national limelight. He also pioneered
the conversion of convertible debenture into shares. This was so successful
that it was oversubscribed six times once and prompted him to use the
idea to convert non-convertible debentures.
Dhirubhai
was the first industrialist in India to build factories comparable to
the best in the world. Then, in a prime example of turning the situation
on its head, he created capacity ahead of actual demand. Working on the
premise that supply creates its own demand, he would sometimes plan a
plant with a capacity of almost five times the actual or projected demand
running into thousands of tons. Reliance is known to have accepted tenders
that were 250 per cent higher than the lowest bid because the contractor
delivered on time or flew somebody abroad to buy a critical component.
Against
conventional wisdom, Reliance started manufacturing synthetic fabrics
on a huge scale, realizing that the poor got more value for money as polyesters
implied an image boost. Facing opposition from traditional cloth merchants
whose loyalty lay with the older mills, he ignored the established wholesale
trade, created his own exclusive showrooms, explored markets and selected
agents from non-textile backgrounds. Finally, Reliance achieved the impossible
by building a cryogenic terminal to transport ethylene in deep seas when
conventional methods failed, the first time this was tried in India.
INNOVATIONS
GALORE
At a time when India's equity market was in the bear phase, Reliance was
the first group to tap the overseas debt market with long-term debt, including
the 100-year Yankee bond. It was also the first Indian corporation to
make a GDR issue and the first to get Moody's and S&P ratings. Reliance
was a zero tax company for several years because its continuous tax credits
helped it to offset its profits. When the finance minister imposed a compulsory
corporate tax of 30 per cent, Reliance capitalized their total debt for
the entire contracted term of debt. They argued that interest accrues
from the date of availing a loan until its repayment, and that all loans
would be repaid on their due dates. This enabled them to retain their
zero tax status.
The
Reliance website is replete with examples of lateral thinking even in
micro management. The company uses unconventional methods to get a job
done especially when customer satisfaction is involved. Employees have
disguised themselves to directly deliver an important consignment to a
customer. Reliance has reached out to their client's customers to create
broader loyalty bases. Anil and Mukesh Ambani directly approach their
lower level staff without going through the departmental heads. They have
tied up with a management institute to teach trainees in six months what
they learn in MBA courses in two years. The Ambanis look at initiative
and individual potential rather than paper qualifications.
Now
you know the secret behind the biggest success story, post-Independence,
in India's corporate
world.