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February 2012 Edition   

Founder's Monthly Message



The last month's article titled Four Types of Businesses sparked numerous discussions and e-mail exchanges with some of the veteran and passionate readers of my articles since 2003.

Interestingly enough, every comment, which I received, hinted a curiosity regarding the significance of element of People in a business compare to other important matters such as finance and sale.

Although intangible, among the three fundamental business blocks of
People, Process and Information, the phenomenon of People plays an unimaginable role in a business of any entity, size and nature.

In coaching and advising small and mid-size businesses, I would always reiterate the historical data of rise and fall of businesses due to high regards and low disregard respectively for the fundamental element of people. In every case, all my clients are constantly reminded to pay close attention to this underestimated issue and safeguard its value in business.

As the experience has shown, financially successful businesses have fallen overnight from the throne for undermining the value of people and financially unstable businesses with solid understanding of the element of people have survived the hardest and toughest economical conditions.

In a nutshell, although one may overlook the level of sensitivity of the element of People in the overall balance of the business, yet how can one truly ignore the short and long term impacts of such phenomenon?

Now the question may be that how and why such intangible element could be really responsible for successes or failure of a business?

My response is very simple: For every business of any entity, size and nature, one would eventually be able architect a perfect and lean Process and streamlined Information management structure, yet in every case such sophisticated collective Process-Information system is to coexist with People. So, if Process-Information combination is not well suited for People or is ignored by People, the overall system is destined for failure.

On the other hand, as a complementing factor to the success of a
Process-Information combination, People are the underlying aspect in enhancing its overall functionality and therefore its stability and success.

In summary, collectively, a well designed and balanced People-Process-Information system results in the success of every business.


So, I would certainly hope that the content of this article be of some assistance in raising the importance of People in your business and/or the business environment, which you may be part of. 

 
Sincerely,

Rahmat Ushaksaraei

t: 416 - 275 - 5543
e:
Rahmat.Ushaksaraei@accrete.ca
w: business support initiative



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Disregard of the nature of a business, its three building blocks are People, Process and Bi-directional Information flow between People and Process. Also, these building blocks impact the three fundamentals of CSA (Cash/Finance - Sales/Marketing - Administration) within a business.

So, as key decision maker(s) of a business, have you ever wondered that despite covering all business angles why are there cases, which would get out of control?

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People Landscape of a business; Importance & Impact!

As it was discussed in the January 2012 edition of business couch, there are four types of dominant human characteristics. As one may appreciate, this division goes beyond the historical and traditional method of distinguishing human by race and culture and opens a new door in viewing the human interaction from an absolutely revolutionary perspective.

Every person is a combination of core Aptitude and many layers of Attitude. This complex topic is the basis of the Human Aptitude & Human Attitude Management1 and underlying element of the Human Intelligent Management & Human Emotion Realization methodologies2. To simplify the issue, Aptitude may be considered as collective of grasped knowledge to date and the ability in acquiring more. Also, Attitude is a combination of likes, dislikes, views and perceptions, which have been formed as the result of directly experiencing various events and/or the being indirectly influenced by people, surrounding and circumstances.

Although the intention of this discussion is not to enter the complex area of human behavioural science, it is merely to demonstrate its importance and interaction with other business parameters.

To grasp the complexity of the issue on hand, let us imagine a world full of 4 different groups of people each of which with various core Aptitudes and many layers of Attitudes coming into interaction with each other. Just imagine the combinations of all possible outcomes in dealing and interacting with each other!

To narrow our focus and to evaluate the effect of this phenomenon at the business level, let us consider a specific case, where a representative of each group exists in a business environment. In doing so, we further assume that each person may occupy a specific position within the business, yet all would need to interact with each other to forward a business in a specific direction. Pictorially:
Human Aptitude & Attitude Management
Now, let us imagine that each layer surrounding the core circle for each person represents various combinations of certain perceptions of the surrounding and business matters and others, opinions or perspectives about how things are needed to be valued in the business, dealt with and many other factors. Just imagine the number of probabilities and possibilities of outcomes when the various layers of Attitudes of 4 individuals come into contact with each other.

Of course, since the probability of having one of 4 characteristics in a business is unlikely, there are chances that many combinations of the various characteristics are formed and interact with each other. This will be the typical condition, where common characteristics would naturally find common areas of interest and circles of alliances with some and excluding others are formed between people; sounds familiar?

As one may appreciate, having a business with only 4 individuals is just the beginning. In reality, as the number of people increases, the complexity of the human interactions, clashes of identities and layers of attitudes increase. Consequently the challenge of focusing all energies towards a common goal increases; unfortunately, all responsibilities rest on the shoulder of the key decision maker(s) of a business!

In addition to this undeniable fundamental of human behavioural science, the complexity further increases, when we add the factor of one's overall status and state of mind. As one passes through various stages of life, inevitably is impacted by many elements. Although referred to as "maturity" by some and "gaining experience" by the others, in reality and one way or other, everyone has the opportunity in passing through following stages
3

Stage 1: Addressing Physiological Need
Stage 2: Addressing Safety Need
Stage 3: Addressing Social Need
Stage 4: Addressing Ego Need
Stage 5: Addressing Self Fulfillment Need

Furthermore, one may either stop at one stage or continue the journey to the end. Interestingly enough, one of the layers of one's Attitude represents and reflects the stage that the person is currently in and/or describes one's status with respect to the overall journey through all stages.

To remain within this boundary, simply put, in the context of socio-economical landscape that one is in, every human being starts a journey from attending the
Physiological Needs and has the opportunity of venturing through the entire journey and experiencing attending the Self Fulfillment Needs.

What this issue entails is that, on the top of the elements of core Aptitude and many layers of Attitude per person, additional parameter of consciously being in a certain Stage is also prominent. Therefore, as the number of people in a business increases, the number of possible combination of various Needs plays a sensitive role.

Now, let's add the element of Stages in addressing individual's Needs to the possible combinations of multiple core Aptitudes and layers of Attitudes within a business. Pictorially:

Human Aptitude, Attitude & Need
It goes with saying that considering the values of Human Aptitude, Attitude and Stages, overlooking the issue of People in a business and underestimating its impact on it is merely a conscious business mistake. In other words, knowing what we have just learned, is the issue of People any less important than the Finance or Sales of a business? Think about it!

Finally, among many, some of the key questions are:

- What is the People Landscape of your business?
- How would your business benefit from the knowledge of understanding the
People Landscape?
- How familiar are you with the Human Aptitude & Attitude of individuals within your business and in the contexts of overall Human Aptitude & Attitude Landscape of the business?
- How aware are you of individual Stage that each person is at and its overall importance and impact on your business?
- What is percentage of impact of the element of People on the success or failure of your business?
- If there are ongoing issues related to People in your business, how are you dealing with them?

If in doubt, contact me directly and let's have a business chat!
1 & 2 - Human Aptitude Management & Human Attitude Management, Human Intelligence Management & Human Emotion Realization methodologies have been developed by Rahmat Ushaksaraei - All Rights Reserved.
3- Five Categories are excerpted from article "The Human Side of Enterprise" written by Douglas M. McGregor, in the book "Management & Organizational Behavior - Classics", Seventh Edition, by Matteson/Ivancevich, published by Irwin/McGraw-Hill


About the author: Rahmat Ushaksaraei is an Accredited Associate of the Institute for Independent Business (IIB), Founder of GeBTL, Global executive Business & Trade Links, the only global top level executives' business platform, Founder of Bio Wood Pellet, representing the North American producers of the wood pellet in the global market, President of the accrete, The Business Excellence Realization , an author, presenter, Professional Engineer (P.Eng.), Project Management Professional (PMP), renowned expert in Concept, Project, Process, Quality and Communication Management,  business executive and leadership coach to large corporations, business mentor and advisor to small and mid-size businesses, pioneer of Diamond Total Management (DTM)business excellence model and Human Intelligence Management (HIM)and Human Emotion Realization (HER)methodologies and architect of the valuator™ and evaluator™ business evaluation tools for small and mid-size businesses. Rahmat Ushaksaraei may be reached at: Rahmat.Ushaksaraei@accrete.ca




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