Author Archives: 5-dimensionz

What’s the Dunning Kruger effect?

Posted on by
“One of the painful things about our time is that those who feel certainty are stupid, and those with any imagination and understanding are filled with doubt and indecision.”
Bertrand Russell – British philosopher

What is the Dunning-Kruger effect?

In 1999 two social psychologists David Dunning and Justin Kruger identified a cognitive bias based on a bank robber who believed that lemon juice would make his face invisible, as lemon juice makes ink invisible. Setting off to rob his first bank, bank robber McArthur Wheeler waved at the CCTV cameras as he entered and left the bank. He was arrested soon after and exclaimed “But I wore lemon juice!”.

Similar events have occurred in South Africa where bank robbers and shoplifters have attached bottles of muti (traditional African medicine) to their belts thinking that this made them invisible. However, this is more a story of witchcraft rather than incompetence or over-estimating their abilities.

The Dunning-Kruger Effect is where individuals who have limited knowledge, competence or ability, wrongly imagine themselves to be very good at something they are obviously not!

In history there are many examples of the Dunning-Kruger effect. Hitler is but one example. He considered himself a great artist, but twice failed entry to Vienna’s Academy of Fine Arts. The admissions committee decided his drawing skills were “unsatisfactory”. Hitler also thought he was a military genius, and believed he could be the only man apart from Genghis Khan to successfully invade Russia. Sadly, this delusion led to the unnecessary deaths and suffering of tens of millions of people.

Does Dunning-Kruger effect have any relevance for us as managers?

Of course it does!

There are two effects:

  1. Not only are people incompetent, and this
  2. Incompetence robs them of the ability to realise how incompetent they are!

To put in bluntly, at the extreme end of the Dunning-Kruger Effect, stupid people do not realise they are stupid. A little knowledge can be a dangerous thing!

This can have unfortunate consequences. Hitler is but an extreme example.

Many incompetent managers suffer from the Dunning-Kruger effect. A lack of self-awareness is a common sign, although not all managers who lack self-awareness suffer from the Dunning-Kruger Effect. Managers who overestimate their abilities often are unable to recognise their own limitations. This leads to mistakes and poor decision making. Believing themselves to be experts in the field, they are often unwilling to seek feedback or ask for help,

Do you have any examples in your work life of the Dunning-Kruger effect?

I certainly do!

Here are three examples to consider.

  1. Over-estimate their own skills and achievements. For example, a dictatorial manager who is a poor communicator, micromanages and fails to listen. They believe they are a natural leader and refuse to acknowledge the negative impact their management style is having on their team.  This lack of self-awareness breeds frustration and low morale and can lead to a toxic work environment. Ultimately this harms the organisation’s success. I once assisted a fellow consultant in an organisation where the CEO thought because he had a PhD that he was the smartest person in the organisation and overestimated his success, despite evidence to the contrary. Morale was poor and the business was losing money.
  2. Don’t recognise the skills and knowledge of others. The manager who ‘knows best’ and fails to consult with their team. This can manifest in a variety of ways, such as being very vocal about one’s views, even in the face of evidence to the contrary, or being unwilling to consider alternative perspectives, believing they are the only one who truly understands the situation. This thwarts team building and staff development. In the example above, the CEO made the statement that there were ‘no real managers’ in the organisation and they were in reality ‘just clerks’. He never consulted them, asked for their opinions or sought their considerable expertise and experience. After he exited the business, we sought to engage the staff through a series of workshops seeking their input. The turnaround in morale was immediate.
  3. Resistance to Feedback and Constructive Criticism.  People exhibiting the Dunning-Kruger Effect may be resistant to feedback and constructive criticism. They may see any criticism of their views or actions as a personal attack, leading to defensiveness and an unwillingness to listen to others’ perspectives. Also, they refuse to recognise their own mistakes. This lack of insight often leads to poor team morale. I can remember a situation when I was in business where one of our partners refused to accept any feedback when we brought in an external consultant to review the business. His reaction was to sack the consultant.  

Encourage Self-Reflection and Self-Assessment

If you recognise the Dunning-Kruger Effect in yourself, how should you deal with it?

  • Encourage Self-Reflection

One key strategy for dealing with the Dunning-Kruger Effect is to encourage self-reflection and self-assessment. People who are aware of their own limitations and weaknesses are more likely to seek help and feedback, leading to better decision making and personal growth.

  • Provide Constructive Feedback

Another strategy is to provide constructive feedback to people who may be exhibiting the Dunning-Kruger Effect. It’s important to approach feedback in a non-judgmental way, focusing on specific behaviours or actions rather than criticising the individual as a whole.

  • Promote a Growth Mindset

A growth mindset can also help to combat the Dunning-Kruger effect. People who believe that their abilities can improve with effort and practice are more likely to seek feedback and learn from their mistakes, leading to personal and professional growth.

In conclusion by understanding the signs of the Dunning-Kruger Effect, we can better recognise it in ourselves and others, and take steps to address it. By encouraging self-reflection, providing constructive feedback, promoting a growth mindset, and fostering a culture of humility and openness, we can overcome the limitations of the Dunning-Kruger Effect and achieve our personal and professional goals.

What do you think?

@thenetworkofconsultingprofessionals

What can we learn from the three little pigs?

Posted on by

“Little pig, little pig, let me come in” – the Big Bad Wolf

We can all remember the fairy tale of the Three Little Pigs from our childhood. The story of the Three Little Pigs has its roots in European folklore, with versions of the tale appearing in various cultures over the centuries. The version we’re most familiar with, however, gained popularity in the English-speaking world through the works of Joseph Jacobs in the late 19th century.

Are there lessons from this tale for us today as managers?

Once upon a time, there were three little pigs each with their own approach to building homes. The first little pig, not one to shy away from whimsy, built his house of straw, quickly and with minimal effort. The second little pig, slightly more diligent, chose sticks as his construction material, hoping for a home that was both swift and sturdy. Lastly, the third little pig, known for his practicality and foresight, opted for the timeless strength of bricks.

Enter the huffing and puffing Big Bad Wolf who is determined to test the structural integrity of these homes. He successfully blows down the straw and stick houses. This leaves the first two pigs in a precarious situation and they escape and see refuge in the third little pig’s house. As a team they stand up to the wolf as the brick house proves impenetrable, and the wolf’s efforts are thwarted.

What themes for managers are there in the story of the three little pigs?

Here are three.

Lesson 1: Strategic Decision-Making

In the world of the Three Little Pigs, the choice of building materials represent strategic decision-making. The first little pig, motivated by a desire for quick results, opted for the flimsy straw. The second little pig, slightly more prudent, chose sticks for a balance of speed and stability. However, it was the third little pig’s foresight in selecting bricks that ultimately proved to be a game-changer.

For managers in today’s competitive environment, this lesson underscores the importance of strategic decision-making. Choosing the right “bricks” or tools for your business—whether it’s technology, talent, or strategic partnerships—requires careful consideration. While speed is often crucial, it should not come at the expense of long-term stability. The third little pig’s approach reminds managers to think strategically and invest time and resources in durable solutions that withstand the “huff and puff” of industry challenges.

Lesson 2: Resilience

The Big Bad Wolf, represents the challenges and setbacks that businesses often face. The straw and stick houses succumbed to the wolf’s breath, highlighting the vulnerability of hastily-made decisions and insufficiently fortified strategies. It was the brick house, standing firm against the wolf’s onslaught, that demonstrated the power of resilience.

In the corporate landscape, challenges are inevitable. Economic downturns, technological disruptions, and unforeseen crises can all test the resilience of an organisation. The lesson for managers is clear: build a resilient business that can weather the storms. Invest in robust strategies, contingency plans, and a culture that encourages adaptability. When the Big Bad Wolf comes knocking, a resilient organisation can stand firm, its metaphorical brick walls unyielding in the face of adversity.

Lesson 3: Collaboration and Teamwork

While the individual choices of the three little pigs played a pivotal role in the fairy tale, it was their collective efforts that truly triumphed. Facing the common threat of the Big Bad Wolf, the pigs realised the power of collaboration and they teamed together in the brick house showing the strength that comes from unity.

In the modern workplace, collaboration is an essential ingredient for success. Managers should foster a culture of teamwork and open communication, where individual strengths complement each other. Just as the three little pigs achieved more together than they could have individually, teams that collaborate effectively can navigate challenges, innovate, and achieve shared goals.

Apart from sound strategic planning, building resilience and embracing collaboration can you think of other lessons for managers from the story of the three little pigs?

@thenetworkofconsultingprofessionals

The Rise and Fall of Pet Rocks: A Lesson in Business Innovation

Posted on by
“How you sell is more important than what you sell.”
Andy Paul – sales author

Introduction

Fifty years ago in 1975, Gary Dahl an advertising executive and entrepreneur from California came up with the idea of a “pet rock”.  Few can rival the unexpected business success story of this quirky phenomenon known as the “Pet Rock”.

The Birth of an Idea

The concept was simple yet absurdly ingenious: a smooth, ordinary-looking rock was marketed as a low-maintenance, no-hassle pet. Dahl’s inspiration reportedly came during a conversation with friends about the hassles of traditional pet ownership, such as feeding, grooming, and training. He famously quipped, “I have a pet that doesn’t require any of that! A pet rock!”

Dahl’s idea was to offer people a humorous alternative to the responsibilities of caring for a living pet. He saw an opportunity to capitalise on the countercultural ethos of the 1970s, which embraced whimsical and anti-establishment ideas. Dahl believed that people would be willing to pay for a simple, amusing concept that poked fun at the conventional norms of pet ownership.

The Launch and Marketing

Each rock was carefully selected for its smoothness and appeal, placed inside a small cardboard box with breathing holes, and nestled on a bed of straw. The packaging was intentionally tongue-in-cheek, featuring a detailed “instruction manual” on how to care for your new “pet.” The manual humorously advised owners to ensure their pet rock received enough sunlight and encouraged them to name it.

Dahl’s marketing strategy was equally tongue-in-cheek and relied heavily on humour. He conducted interviews and promotional events, emphasising the simplicity of owning a pet rock compared to traditional pets. The novelty of the concept, combined with his witty advertising, caught the attention of the media and the public.

The Unexpected Phenomenon

What followed was nothing short of astounding. The Pet Rock quickly gained popularity, capturing the imagination of a broad audience. Despite its absurdity, the concept struck a chord with people seeking a light-hearted diversion from the complexities of life. The Pet Rock became a cultural sensation, gracing the pages of magazines and newspapers, and even making appearances on television talk shows.

Dahl’s entrepreneurial success with the Pet Rock was fuelled by several key factors:

  1. Timing: The Pet Rock emerged during a time when American society was experiencing a countercultural wave. People were open to unconventional and humorous ideas, making the concept of a pet rock particularly appealing.
  2. Simplicity: Dahl’s marketing emphasised the simplicity of owning a pet rock, offering a humorous contrast to the responsibilities of traditional pet ownership.
  3. Novelty: The Pet Rock was a novelty item that captured the public’s attention due to its uniqueness. It was something people had never seen before.
  4. Effective Marketing: Dahl’s witty and humorous marketing campaigns helped create buzz around the product and contributed to its success.

The Sales and Revenue

The Pet Rock’s popularity translated into impressive sales figures. At its peak, millions of Pet Rocks were sold, with an estimated 1.5 million sold in the first six months alone. Priced at $3.95 each, the revenue generated from the sale of Pet Rocks reached approximately $6 million, a significant sum in the mid-1970s.

The Decline and Lessons Learned

As with many fads, the Pet Rock’s popularity was short-lived. Within a year, the craze had begun to wane. The initial novelty had worn off, and the Pet Rock was no longer a hot commodity. Dahl’s business venture was a classic example of a short-lived trend, and he wisely recognised the decline in demand.

However, the story of the Pet Rock offers several valuable lessons for business owners and managers. Here are four lessons:

  1. Timing Is Crucial: The success of the Pet Rock was greatly influenced by the cultural context of the 1970s. Dahl’s timing was impeccable, as he tapped into the counterculture of the era. Understanding the timing of your product or service’s launch can significantly impact its success.
  2. Innovation and Uniqueness: The Pet Rock was a groundbreaking novelty item. Its uniqueness and innovation set it apart and captured the public’s imagination. Business owners should strive to offer products or services that stand out in the market.
  3. Effective Marketing: Dahl’s clever marketing strategies played a pivotal role in the Pet Rock’s success. Humour, irony, and effective storytelling can make a significant impact on how a product is perceived and received by consumers.
  4. Understanding Trends and Fads: Dahl recognised that the Pet Rock was a fad, and he wisely adapted to the changing market. Recognising when a trend is on the decline and having an exit strategy is crucial for long-term business sustainability.

In concluding, business owners and managers can glean valuable lessons from the Pet Rock phenomenon. Timing, innovation, effective marketing, and understanding market trends are all essential components of a successful business venture. While the Pet Rock may have been a short-lived craze, its legacy endures as a reminder that even the most unconventional ideas can find their place in the market when the timing is right.

What do you think?

@thenetworkofconsultingprofessionals

“Leadership Lessons from the Pied Piper of Hamelin: A Tale Beyond the Pied Piper’s Pipe”

Posted on by

“Once upon a time, there was pretty little town named Hamelin. Though Hamelin was charming, it had two faults. Its townspeople were very stingy, and there were too many rats.”

Introduction:

There’s nothing like a fairy tale to start the new year!

My mother was a teacher, and she placed great importance on reading. Before we could read, Mum would read to us every evening before going to bed. One of the stories that fascinated me was the story of the Piped Piper of Hamelin. Afterall, what happened to those children?

Was there any truth in this fairy tale?

The Origins of the Pied Piper:

The Pied Piper of Hamelin finds its roots in the town of Hamelin, Lower Saxony, Germany. The earliest known reference to this story dates back to the 14th century in the form of a stained-glass window in the Church of Hamelin. The tale was later popularised by the Brothers Grimm in their collection of fairy tales during the 19th century. One prevailing theory suggests that the story is a distorted account of a tragic event that unfolded in Hamelin during the Middle Ages.

The Historical Basis: (https://www.youtube.com/watch?v=fm22vddWPRQ)

In 1284, as the story goes, Hamelin suffered from a rat infestation, a common problem in medieval Europe. A mysterious figure, possibly a rat-catcher or pied piper, was hired to rid the town of the vermin. The Piper succeeded, but when the townspeople reneged on their payment, he enacted a terrible revenge. In a vengeful display, he played his pipe, leading the town’s children away, never to be seen again.

While the historical accuracy of this story remains speculative, there are some lessons that managers can draw from this age-old tale.

Three Leadership Lessons from the Pied Piper:

  1. Fulfilling Commitments and Honouring Agreements:

One of the central themes of the Pied Piper story revolves around the breach of an agreement. The townspeople, having benefited from the Piper’s service, reneged on their promise to compensate him for his efforts. For managers, this underscores the importance of honouring commitments and agreements in the business world. Whether it’s fulfilling contractual obligations or maintaining promises made to employees, clients, or stakeholders, a leader’s credibility hinges on their ability to uphold commitments.  Businesses thrive when leaders prioritise integrity and deliver on their promises.

  • Effective Communication and Influence:

The Pied Piper’s magical pipe had the power to captivate and influence both humans and animals. In the corporate landscape, effective communication is a leader’s proverbial pipe. Managers must master the art of conveying ideas, inspiring teams, and navigating through challenges. Just as the Piper’s melody led the children away, a leader’s ability to communicate persuasively can guide a team toward shared goals. Communication is a powerful tool for leaders. Whether it’s conveying a vision, addressing concerns, or leading change initiatives, effective communication is key to garnering support and fostering a collaborative environment.

  • Consequences of Short-Term Thinking:

In the Pied Piper tale, the townspeople’s shortsightedness led to dire consequences. By neglecting to honour their agreement with the Piper, they set in motion a chain of events that brought tragedy to their doorstep. Similarly, managers in the business world must be mindful of the long-term consequences of their decisions. Short-term gains at the expense of ethical considerations or sustainable practices can lead to reputational damage and diminished success in the long run. Leaders must adopt a holistic and forward-thinking approach. Prioritising ethical business practices, sustainability, and long-term strategic planning contributes to the enduring success and positive impact of an organization.

Can you think of any other lessons for managers in the tale of the Pied Piper of Hamelin?

@thenetworkofconsultingprofessionals

Aesop’s fable of The Ant and The Grasshopper

Posted on by
The grasshopper said to the ant,
“All you ants do is work all day.
You should be more like me and play, play, play!”

With Christmas and the new calendar year approaching, its often a great time to reflect on the previous year and plan for the next, which I have covered in previous blogs.

Rather than using a Christmas or end of year theme, I’ve elected to use Aesop’s fable, “The Ant and the Grasshopper.”

Who was Aesop?

Certainly not a brand of cosmetics! Aesop was a Greek storyteller, said to have lived around 600 BC, who is credited with a number of fables known as Aesop’s Fables, the most famous being the Hare and the Tortoise.

The Fable of the Ant and the Grasshopper.

In summary, a diligent ant works tirelessly throughout the summer to store food for the winter. In contrast, a grasshopper spends his days playing music and dancing, mocking the ant’s hard work and inviting it to join in the fun. The ant, however, remains focused on its task, warning the grasshopper of the harsh winter ahead. As the seasons change, the ant settles comfortably into its nest with ample food, while the grasshopper, unprepared for the cold and without food, faces a grim future.

With the end of year approaching do you think there are any lessons for managers in this fable?

As mentioned earlier, the end of year is certainly a time for reflection and an opportunity to plan for the future. Here are three lessons from the fable:

  1. Preparation and Foresight

The ant’s forward-thinking and preparation for the winter months underscore the importance of strategic planning in management. Leaders should anticipate future challenges and prepare accordingly, ensuring that their teams and organisations are not caught off-guard by unforeseeable events. This lesson emphasises the value of setting long-term goals and working steadily towards them, rather than being swayed by immediate gratifications or distractions.

  1. Resource Management

The careful collection and storage of food by the ant exemplifies effective resource management. For managers, this translates to the prudent allocation of resources, including time, budget, and manpower, to ensure sustainability and growth. Efficient resource management also involves making tough decisions about where to invest effort and assets, and prioritising activities that ensure the organisation’s survival and success in the long run.

  1. Work Ethic and Discipline

The ant’s unwavering commitment to its task, even when tempted to abandon its duties for temporary pleasures, highlights the virtues of work ethic and discipline. Managers should foster a culture that values hard work, responsibility, and persistence. Encouraging a strong work ethic and maintaining discipline within the team are crucial for achieving objectives and maintaining operational integrity, especially when facing adversity or tight deadlines.

In this fable, can you think of any other lessons for managers?

On behalf of my readers, I wish you and your families a Merry Christmas and a Happy New Year.

@thenetworkofconsultingprofessionals

Where’s my tractor?

Posted on by

“Sorry Minister, we know it left Hamilton, but it failed to arrive in Taumarunui.” – NZ Railway Executive

The above quote is attributed to an executive from the state-owned New Zealand Railways in the 1980s. A farmer had written to Richard Prebble, the then Minister for Railways complaining that the Railways had lost his tractor. After weeks of fruitless complaining and an offer to pay $20 to compensate the loss based on some obscure statutory railway regulation, he wrote to the Minister.

Prebble then ordered the railways to find the tractor. A reply came back stating that the tractor had failed to arrive in Taumarunui. The distance by rail between Hamilton and Taumarunui is just under 160 kms. At the time, the NZ Railways was a monopoly, had 22,000 employees and was losing a million dollars a day. It was also losing customers, freight and sometimes whole wagons. With 22,000 employees in a small country like New Zealand they could not find a tractor!

Prebble then wrote apologetically to the farmer stating that they could not find his tractor. Frustrated that the bureaucrats (and the Minister) in the railways could not help him, the farmer decided to take matters into his own hands. He got into his car and followed the railway line. In a week, he found his tractor and six missing rail wagons!

Following this sad account of poor customer service, consultants were engaged. Their final report found many of the railway ‘managers’ had been promoted “simply because they looked the part”, “have been “yes-men” to their superiors”, and “never take a decision for which, if it fails, they can be held to account”. The railways were later privatised.

What is the lesson for managers here?

An organisation with 22,000 employees, even with the direction of the Minister could not compel its employees to care enough for its customers to find something as big as a tractor. Clearly, not only did the employees not care, but management was also either ineffective, incompetent or had no authority or a combination of all of the above. This is also a great example of how sadly how poor culture ‘kills’ an organistion, in this case corporate culture! It can be defined as ‘how we do things around here’, and it is intangible but can be ‘felt’.

Successful organisations need clear goals. Management not only needs to be responsible, but held accountable and have the authority to act.

@thenetworkofconsultingprofessionals

An ongoing mystery….what can an early Australian explorer teach us about being a manager?

Posted on by

”Leichhardt, his men, their animals and mountains of equipment seem to have vanished without trace.”

John Bailey – Leichhart’s biographer

Who was Ludwig Leichhart?

Leichhart was a German born scientist and explorer who lived in colonial Australia in the 19th Century. In 1848 he set off from a sheep station in south-east Queensland with seven men, 20 mules, 40 bullocks and seven spare horses to cross Australia from east to west. He was never seen again.  Only one piece of equipment has ever been found and authenticated. A brass plate stamped with ‘Ludwig Leichhardt 1848′ that was originally attached to a rifle butt was found in a tree trunk. Countless expeditions have failed to find any trace of the expedition. It remains one of the most intriguing and unresolved mysteries of early Australian exploration.

Previous blogs published on this website about early Australian explorers in 1860s, Burke and Wills and John McDouall Stuart have examined the issues of leadership and management. However, Leichhardt was an enigma, an outsider and not British. This contrasted to other explorers at the time who were primarily from the British military.

Before his ill-fated final 1848 journey, Leichhart led an expedition in 1845-46 that took over 12 months travelling 4,800 kilometres, from south-east Queensland to Port Essington in the Northern Territory. At the time, the expedition was the longest colonial land exploration journey in Australia. This was a trek of about 3,000 miles through largely uncharted territory. Imagine the grit and determination it took to navigate, survive, and map such a vast and challenging landscape! It was a remarkable feat that greatly contributed to our understanding of Australia’s geography and natural history.

When Leichhart returned to Sydney by boat in 1846, he was awarded The Royal Geographical Society Patron’s Medal and hailed as the ‘Prince of Explorers’. His detailed maps and records, his assessments of good pastoral country, and botanical collections were widely acclaimed at the time. In contrast to other early European explorers, none of his expedition team members on his Port Essington expedition suffered from scurvy. They supplemented their diet with native greens and fruits.

Despite his recognition and success, today Leichhardt is primarily remembered for his mysterious disappearance. Furthermore, his reputation remains tainted. There are many theories. Did he die of thirst in the desert? Was his party massacred by Aboriginals? Were they washed away in a flash flood? Was he killed by mutineering companions, who in turn perished?

There’s nothing like failure, perceived or otherwise, or mystery to ruin a reputation.

Are there any lessons for managers here?

Here are three to consider:

  1. Pushing the boundaries. Leichhardt pushed into unknown territories and was prepared to do things differently than other explorers at the time. As a scientist, he challenged the orthodoxy of the time, an approach business managers should consider.
  2. The importance of thorough preparation and having a contingency plan. This was certainly the case in his expedition to Port Essington. Living off the land where possible and ensuring his team did not get scurvy.
  3. However, his final, ill-fated journey also serves as a cautionary tale. It underscores the need for careful planning and risk management. Venturing into the unknown is essential for growth and discovery, but so is recognising and preparing for potential dangers. The mystery of his disappearance also highlights the importance of communication and contingency planning – knowing when and how to keep stakeholders informed is crucial in any endeavor.

Can you think of other lessons?

@thenetworkofconsultingprofessionals

The legend of Lasseter’s Gold Reef…

Posted on by

“Truth, like gold, is to be obtained not by its growth, but by washing away from it all that is not gold” Leo Tolstoy – Russian writer

As a young boy I remember reading the book by Ion Idriess called “Lasseter’s Last Ride” about the 1930 search for a fabled reef with gold “as thick as plums in a pudding” in the deserts of Central Australia. A rich gold reef waiting to be discovered! I was hooked. And I was not the first. Lasseter’s Reef continues to fascinate even today. Since the fateful 1930 expedition where Lasseter died alone in the desert, many expeditions have been undertaken, and none have discovered the fabled reef.

Who was Harold Bell Lasseter?

Lasseter was born in 1880 in Victoria, Australia. In 1903 Lasseter married while living in the USA. In the USA he changed his name to Harold Bell Lasseter, ‘Bell’ being the surname of a popular American author of a book about a lost gold reef! Returning 5 years later he allegedly spent his time inventing and working in various jobs around Australia. Lasseter twice enlisted in the Australian Imperial Force (AIF) during World War I and was discharged both times without leaving Australia, once for being AWOL and for the second time for being engaged in a brawl. In 1927 he married again whilst still married to his first wife. In 1929 he claimed to have submitted the original design for the Sydney Harbour Bridge and sought compensation for his work. It was rejected. In around 1930 at the onset of the Great Depression, he began lobbying the government and trade union officials to mount an expedition to find a gold reef in the desert that he claimed he had discovered years earlier. Lasseter has been described as a bigamist, fantasist, an eccentric, a swindler, a crank and a difficult character with a reputation as a con man.  

The ‘discovery’ of Lasseter’s Reef

Lasseter claimed that in 1897 while travelling alone in the deserts of Central Australia he had come across a rich gold reef whilst travelling from a false ruby strike in South Australia. His horse had died, and he was miraculously rescued by an Afghan camel driver who nursed him back to health. Three years later with a surveyor called Harding, he relocated the reef, took the bearings but failed to peg the claim. Unfortunately, their watches were incorrect, and this made their bearings incorrect. Sadly, Harding died just before Lasseter left for America in 1903.

Testing the Story

Lasseter would have only been 17 when he ‘discovered’ his reef in the deserts of Central Australia. This is highly unlikely, and the false ruby strike was in 1887, not 1897! If Harding was a surveyor, he would not have made the error of the watches having the incorrect time or failing to peg the claim. Harding was in fact not a surveyor but a cattle thief (in Australian slang a ‘cattle duffer’). His ‘death’ was convenient. In the 1930-31 expedition Lasseter was unable to discover his reef and had a major falling out with the leader and some members of the expedition. He left them and died a lonely death in the desert.

Postnote:

It is highly unlikely, given the character of Harold Lasseter himself that the reef exists. Despite this, expeditions continue to be mounted. Never let the truth get in the way of a good story, especially about hidden treasure. In an ironic twist in Alice Springs, there is a casino and hotel called Lasseter’s!

Are there any management lessons with the story of Lasseter’s lost gold reef?

Here are three worth considering:

  1. Be aware of charlatans! We all meet them in our personal life and in business. It would appear that Lasseter was indeed a con man or a delusional liar. Despite this, people were willing to believe his story of his fabulous gold reef. Simple but hard questions would have revealed the implausibility of his story. How often are we as managers do we believe what we want to believe?
  2. Do your homework. The most basic research would have highlighted that Lasseter’s story was fantasy. Checking the dates of when he ‘discovered’ his reef would have revealed the implausibility of his story
  3. Be Aware of Myths that become Reality. A lie repeated enough becomes reality. Once again check the facts and test the logic.

Can you think of any other lessons from the myth of Lasseter’s Reef?

@thenetworkofconsultingprofessionals

What is the ‘Peter Principle’?

Posted on by

“In a hierarchy, every employee tends to rise to his level of incompetence.”

Laurence J. Peter – Canadian Educator and Author

What is the ‘Peter Principle’?

It is a concept in management developed by Laurence J. Peter, a Canadian educator who wrote a book in 1969 called The Peter Principle. His theory was that people in a hierarchy tend to rise to a level of incompetence. This was primarily due to their success in previous jobs however the skills in the previous job do not translate into the skills required in the new job. For example, a great engineer will be promoted from working as an engineer to management, where they do not possess management or leadership skills.

A variation of the Peter Principle is the Dilbert Principle. This is a satirical concept of management developed by Scott Adams the creator of the comic strip Dilbert. Here incompetent employees are intentionally promoted to prevent them from causing harm. In other words, getting them out of the way so they do not interfere with outcomes.

We have all worked for organisations where it would appear that both these ‘principles’ are at work!

Perhaps we are living proof of the Peter or Dilbert Principle?

I can certainly remember working for and with such managers. From the Managing Director’s son who got lost coming to work after living in the city for over 12 months to the Managing Director’s brother, who needed a phone call each morning to make sure he was at work. These were more probably cases of nepotism in combination with the Peter Principle.

A slight deviation from the Dilbert Principle is promoting ‘problem’ employees to get them out of the way. In an earlier career I worked for a manager who treated his staff appallingly and was not respected by them. Senior management knew this, so they removed the problem from the factory floor and promoted him! Another manager who I reported to, and was incompetent was offered a promotion and sent overseas to get him out of the way. He was later dismissed.

Managers will claim they always seek to hire people who are smarter than themselves. In many instances this does not happen, as this threatens their careers or dents their egos. Instead, they hire less capable people, so they are not threatened from below.

The Peter Principle can lead to disaster if an incompetent person is in a position of authority. The mismanagement of the COVID pandemic by public health officials in Victoria which resulted in hundreds of preventable deaths when the virus ‘escaped’ from hotel quarantine is one example. In an earlier blog senior management in a transport business caused the death of innocent people when a truck crashed into their car.

Can you think of examples of both the Peter Principle or the Dilbert Principle in your work life?

So how do organisations solve these problems?

I will cover this in a future management blog.

@thenetworkofconsultingprofessionals

80 years ago last month….

Posted on by

“Unless commitment is made, there are only promises and hopes; but no plans.”

– Peter F. Drucker: Management Thinker

80 years ago last month, the largest sea borne invasion in history commenced. D-Day, June 6, 1944. It marked a pivotal moment in World War II when Allied forces launched Operation Overlord, aimed at liberating German-occupied Western Europe from Nazi tyranny. The operation launched from England crossed the English Channel onto the beaches of Normandy in northern France. It was a critical turning point in World War II.

Planning for D-Day was an immense undertaking that began as early as 1943. The operation involved extensive coordination between the United States, the United Kingdom, Canada, and other Allied nations. This planning included gathering intelligence, training troops, amassing supplies, and deceiving the Germans about the invasion’s location.

The scale of the D-Day invasion was unprecedented:

  • Troops: Over 156,000 Allied troops landed on the first day.
  • Military Equipment: This included 6,939 vessels: 1,213 naval combat ships, 4,126 landing ships and landing craft, and hundreds of auxiliary ships and merchant vessels.
  • Aircraft: About 11,590 aircraft were available, playing crucial roles in airborne assaults and providing air cover and support for the troops landing on the beaches.
  • Logistics: The operation involved detailed logistical planning to supply the massive number of troops, including food, ammunition, and medical supplies.

All this before computers! Many books have been written about D-Day. I cannot do justice to the sheer complexity of the undertaking, however I will try and provide a summary of the main lessons.

D-Day was a success. Within 12 months of the landing, Nazi Germany was defeated.

What factors contributed to the success of D-Day?

Here are three.

  1. Surprise and Deception: The Allies successfully deceived the Germans about the invasion’s location, leading them to believe it would occur at Pas de Calais. This deception, known as Operation Fortitude, was crucial in reducing German defences at Normandy.
  2. Air Superiority and Naval Support: The Allies had established air superiority, which was critical for both the initial landings and the subsequent campaign in Normandy. Naval bombardment also played a vital role in neutralising German defences.
  3. Allied Unity and Leadership: The operation exemplified the effectiveness of Allied unity and leadership. The coordination among nations and military branches was a key element in the operation’s success.

What are the three lessons from D-Day for Managers?

  1. The Importance of Planning and Preparation: D-Day demonstrated how meticulous planning and preparation can lead to success in complex operations. As managers we should value thorough preparation and the need to anticipate and mitigate potential challenges.
  2. Adaptability and Decision-Making: Despite the best planning, not everything went as expected on D-Day. The ability of commanders and soldiers to adapt to changing circumstances was crucial. In the business world, this highlights the importance of flexibility and decisive leadership in the face of unforeseen challenges.
  3. Teamwork and Collaboration: The success of D-Day was a result of unparalleled collaboration among the Allied nations. This underscores the importance of teamwork, joint effort, and effective communication in achieving common goals in any organisational context.

In conclusion, D-Day stands as a testament to strategic planning, international collaboration, and the resolve of the Allied forces. The lessons derived from this monumental event extend beyond military strategy, offering insights into leadership, teamwork, and the importance of planning, adaptability and resilience in the face of adversity. The successful execution of Operation Overlord not only marked a turning point in World War II but also serves as an enduring example of effective organisational and strategic planning.

@thenetworkofconsultingprofessionals