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“The Right Way to Be Wrong”

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Richard G. Lazar, PhD, PrimeLife Magazine, November 2005

Only if we live long enough can we see how wrong we were back then.

It takes gaining years of life to learn whether our beliefs about the future actually did happen - good or bad, right or wrong, or for better or worse. Then it's never too late to correct course and to point the way for the next generations. How?

The Wrong Way

The enemy is blind belief ... outworn theory and repeated rhetoric ... without looking at the evidence. So if we don't reach out, seeking contrary ideas that we never listen to, we limit our own capacities. Then we rely on opinion alone without benefit of relevant information. We can argue, fight or never listen to someone whose views “we already know” so that we don't ever have to listen to him or her. This is not the right way to be wrong.

In a light-hearted way, I have asked many women, “If a tree falls in the forest and no one is around, is a man still wrong?” The answer from women comes back: “Of course.” So is there any hope for men? I ask you. Let us find some hope together.

The Right Way

First, be comfortable being wrong. Some years ago I consciously decided that I like being wrong and told it to friends, family, students and clients. The point is that I am often wrong. If I believe that I am always right or that others are always wrong, I have learned nothing. So I always seek feedback on my impact and expect that those who care will be honest with me and about me. One day I asked Linda, a friend, “How does this cap look on me?” She said, “Fine, Doc.” I said, “Truth please.” She said, “It's not you, Doc.” I said, “Thank you, Linda. I always want your version of the truth ... good, bad or ugly.” I always get it now.

I prefer to do many things. I enjoy many of them greatly. I seek people who can teach me new things including how wrong I am. I do not have a problem admitting when I am wrong, nor apologizing personally and publicly for my error, I show that I care far more about learning and improving than about being right.

Progress and mutual trust and confidence comes from the philosophy, “If man did it wrong man can learn from his mistakes and can then do it right.” Man can right his wrong and make the world around him better, only if he wants to do so.

To be happy being wrong is to open our minds to uncomfortable beliefs, test them out, see if they fit, discard some and adopt others. I learned to be fiscally conservative from benefit/cost research and analysis in business and from Bob Grant — a radio celeb in the 1970s.

For example, it is good for business to spend money on things and people you can count on to last. Policies and practices that treat people well, cost money, AND in a competitive world, they attract, retain and motivate the best people who outperform others. So probably I am a socially progressive conservative. Must we commit to one or the other belief or philosophy? No, because it is no fun. As I recall from Bob Grant, a best practice is “to respect all who respect all.”

Also it is important to fix things that are broken. Companies like SAS in Cary, North Carolina and Nucor Steel in South Carolina are the best-in-class ... profitable and great to their people. I have known Nucor Steel back 22 years ago when it was the smallest in its field in the USA. Nucor Pioneer Ken Iverson, respected people's abilities to perform better when they were paid strictly on their output. Nucor Steel is now the largest steel company in the USA. Even after Mr. Iverson's death, their management principles prevail. SAS CEO/Founder Jim Goodnight's philosophy is about treating people in ways that defy traditional belief. This is what makes them superb. I expect that they are continuously able to continue to grow in these tough times and to be American role models.

An Example from Literature

Lewis Carroll said, “Sometimes I believe as many as six impossible things before breakfast.” Even though he knew that the many things he believed every day before breakfast were impossible, it didn't stop him from thinking them anyway. He did believe that they might be possible. Good for him ... and for us as was proven in his Alice in Wonderland and Through the Looking Glass.

Next Stop ... a Story

The president of a Swiss bank, back in 1985, told me that he was about to fire five executives because $8 million in gold just “vanished” from the vaults. The senior vice president in charge told the CEO it was a result of human error. He offered no plan to correct this error. That was unacceptable to the CEO. I asked him if he would grant me one weekend with them and that if they would not come back with an acceptable plan to correct, he could go ahead and fire them. He said, “Go” in his terse way.

I called Carl, the senior vice president, and said that Kurt, the CEO, asked me to work with him and his team of four senior officers to correct the problem. He said, “B.S.” in more colorful terms, contending that this error could happen to anyone. I said, “Not in a Swiss bank. No errors are acceptable. So if you want to keep your jobs, I'll show you how not to be wrong again and to avoid never getting another job in banking in America. So call Kurt to check what I said, reserve hotel space in a great hotel for us for Friday, Saturday and Sunday. Bring in a case of your favorite scotch and then call me back to tell me where we go. We start at 8 a.m. tomorrow and no one goes home until we have a good plan of action. OK?” He huffed and hung up. He called back in 15 minutes with the hotel information, and called me a bad name. He still did not know the right way to be wrong yet. I believed that he and his people could save themselves with a bit of help.

Friday was filled with bad-mouthing of Kurt, name-calling and blaming him for not believing their feeble excuses like, “Things happen when criminals want to steal.” They sheepishly said, “The bank was insured.” At day’s end I said, “Let's determine the costs of permanently fixing this process so it never happens again and to implement it immediately and to have the best quality solution in banking.” They said it was too expensive and they never knew a bank that was foolproof. This was an inside job with three people who worked there for years. I said, “So, it's a grand opportunity. Let's accept the first variable. Kurt did not and will not put a price on the solution. You will do it. Imagine what he needs. He needs to believe that you all can and will solve this problem in a way that it definitely won't happen ever again. And he needs to be able to convince his bosses in Switzerland that you have come up with solutions that can be introduced to other banks elsewhere in the world. And he is giving you this chance to work with me to fix the wrong. We both know you can do it if you want to. Do you?” Answer: “Absolutely, yes, if we can.” I said, “Yes we can and we will.”

On day two, Saturday, I pitched ownership. “You people had the responsibility, authority and accountability for the theft ... and you and only you must develop a plan to correct the problem or else. Should you do it well, there will be material rewards and you will avoid punishment, and you may just get to be proud of yourselves.” I added, “Never, ever again use insurance as a cop-out.” The short version of this is that gradually the excuses faded out and ownership was all over the room. They were on their way to right the wrong that they did. They started to own it.

By midnight Saturday we had a plan that had excellent processes, employed advanced technological techniques, checks and triple checks, excellent orientations, coaching and training, selection techniques to hire the best people in security and banking. It was also very expensive. The specifics need to remain confidential to be effective. So, no more revelations here.

Then when everyone breathed sighs of belief that they did it, I applauded them and gave them each a bottle of their own favorite wine.

After the plan to never lose gold was implemented, this team set goals to fix their other wrongs - the highest error rate and the lowest volume of bank transactions of any bank on Wall Street.

Results on this were that within one year they got to achieve their goals of being the lowest error rate and the highest volume bank on Wall Street. The bank earned far more money and all five were financially rewarded. They were then sought by the parent bank to teach others around the world. Bankers love travel, good food and wine. They got that too. There has not been a case of “gold vanishing” since.

If men can do it wrong they can also do it right. These men did it right and better than anyone else.

Lazar Achievement Psychology

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