First off, what a great title for a solid day of insightful discussion. When was the last time you thought about ways to think in better ways? This whole day was about updating your sharpening tools, rather than sharpening your axe. That’s pretty unique, and valuable as it improves not only the one new thing you might do, but potentially everything you do next.
So, a brief recap on the day:
Part 1: Jane Fulton Suri from IDEO. A brilliant and photo-rich monologue about “informed intuition” - the process by which we make small micro-decisions every day, and the ways in which we improve our surroundings by micro-tweaks that suit our individual needs. And the important punchline: these subtle behaviors are windows into what we actually care about, even if we’re not aware of them consciously to point them out in the next focus group.
She had an extremely compelling section on role-playing, once showing a photo of a hospital ward ceiling, pointing out that *this* is what a patient looks at all day, and not the blinky machines that look so very hospitaly. Can we get some reassurance on the ceiling please? Additionally on the topic of role-playing: if you can reenact a customer scenario, what would a neutral non-involved observer say if they watched it unfold?
And her conclusion, which I love: “Stay curious, and reconsider the things you know well.”
Part 2: Gerald Zaltman from Harvard Business School. This guy kinda blew my mind a bit. At the heart of his discussion was the idea of ‘Deep Metaphor’, related to his assertion that ’surface thinking’ is not the same as insight or deep understanding (can I get a high five & a ‘hell yeah’ for that? Couldn’t agree more). More lucidly: observation only tells you *what* happens, insight is knowing why it happens, and deep insight is knowing why it happens when the subject actually being observed couldn’t tell you why it’s happening.
The killer punch for me though was when he said “A tennis ball is round. A plate is also round. So why, when a child tells you that he knows the earth is round, do you assume you know which one he means?”. Just when I thought I had this whole “research as a means to understanding” thing worked out, the one-two punch of context and the english language come back to haunt me with a litany of uncertainties. And I probably don’t even see them. As Zaltman said in his closing remarks: “All methods of market research are compromises with reality.” As a marketing guy, that troubles me. It’s true, of course, but it troubles me.
Part 3: Roger Martin and Malcolm Gladwell. This fireside chat between the Dean of my B-School and the venerable king of pop-marketing theory was a wildly entertaining and sometimes inside-joke riddled affair, full of cleverness and wisdom both. A discussion with Gladwell doesn’t seem to center on much of anything, instead attacking a topic as a fog might. But in the midst of the hazy focus, they battled against the epithet of “reliability” and championed the cause of “validity”.
In short: we businessy-types love things that are reliable, such as linear regression that we can repeat over and over to the same result, despite the fact that they’re not necessarily a valid measure of anything. In contrast, we loathe the murky waters of validity, because no matter how correct it is, we can’t always measure it or repeat it, and so validity-driven efforts don’t typically suit the best interests of our compensation schemes (ie: people do what you pay them to do, which is often to focus on reliable things, not valid things).
Some favorite quotes:
Gladwell on the lack of validity in business: “This is a cultural bias towards an intolerance for ambiguity.”
Martin on why we like reliability: “Business likes measurement.”
Gladwell on MBA’s: “As people get ’smarter’ we expect more reliability. This can be called an unfortunate outcome of a generally positive trend, and might be an indication of why MBA education is where it is today.” (Laughter)
Gladwell on IQ: “Any IQ above 120 isn’t useful. Other things matter at that point.”
They then discussed further on the ‘BMW-ization’ of the auto industry, and how the auto industry is trending towards a measurable norm (how close to BMW are you?), which is reliable but probably not valid. Robert Parker’s wine ratings are similar: wine makers are making wines to suit the tastes of a select few esteemed reviewers, in the hopes of a good ranking that will allow them to charge more. Reliable, not valid (especially if you like soft, round red wine!). So I wonder, in areas like these: are niche markets examples of validity showing through the reliable bedrock of an industry or industry segment?
Part 4: Anita McGahan, a new professor at Rotman. With the aid of a few charts, Anita postulated that we’ve got ‘about 46 to 91 years of oil left’. And then asked the interesting question: “which 19th century industries will be revived when we run out of oil?” It’s kind of a joke, but not really.
She offered a litany of questions about how we’ll actually deal with the end of oil, and a great many stats about oil consumption (there are 1500 litres of oil used each year to manufacture the food that each of us eats. That’s roughly a gallon per day of oil, per person, just to produce the food we consume.). But inside this, and the pictures of landfills full of plastic bags, plastic bottles, and discarded cell phones, she pointed out that bicycle commuter traffic in London England has increased 70% in recent years, since the congestion charge was implemented in the downtown core. After the talk, I asked her in the hallway what bike companies like Specialized and others could do to help move this needle. Her answer? “Make more cheaper bikes. A $50 bike would be good.” Alleviate the fear of theft, and make the bikes more accessible to everyone. The only trouble here I see is that this seems to end up in dumpsters full of discarded $50 bicycles, cheaper to throw away as trash than they are to repair. Kinda like cell phones.
Part 5: Dan Ariely. This guy is my new favorite superhero. Speaking with excerpts from his book “Predictably Irrational”, Ariely stunned the audience with anecdote after anecdote about how humans are basically terrible at making decisions, and there are several very counter-intuitive ways to increase the chances that people will make a clearly irrational choice.
Examples:
1. Doctors recommending hip replacement are asked to reconsider their diagnosis: hip replacement, or ibuprofen. A majority choose ibuprofen, which in some cases works. Second: some docs in similar situation asked to reconsider between hip replacement, ibuprofen, or another fancy sounding drug. Most overlook both drugs and go straight to hip replacement. The complexity of choosing between two drugs makes the default choice more likely.
2. Free trip: rome or paris. people polled are mostly split even between the two. Then add a third option: Rome, Paris, or Rome without coffee. Now the vast majority chose Rome, because it is clearly better than one of the other choices (Rome > Rome without Coffee).
Of all the speakers, Ariely’s book is the one I’m most looking forward to reading.
June 4th, 2008
Categories: General Musings . Author: chris . Comments: 1 Comment