Showing posts with label book. Show all posts
Showing posts with label book. Show all posts

Sunday, January 4, 2009

Taking the First Coin

One evening the students of the Rabbi Dov Ber, the Preacher of Mezritch, were sitting in the study hall. Each of them - Shneur Zalman of Liadi, Levi Yitzhak of Berditchev and Elimelekh of Lizhensk - would later found a great Hasidic dynasty, but in those days they were still young students.

Their discussion was interrupted when the caretaker rushed in shouting, “Kidnappers! Kidnappers! They’ve taken Yosef Isaacs!” He spotted the students and ran to them. “His life is in danger! The kidnappers demand a ransom of 600 gold coins by dawn or they will kill him! We must find a way to save Yosef Isaacs!”

“600 gold coins!” exclaimed Levi Yitzchak. “How could we possibly raise that much money? Even if every Jew in Mezritch donated all his worldly possessions, it would still not come to 600 gold coins. All we can do is pray to God that Yosef Isaacs is delivered from the kidnappers’ hands.”

“There is a way to raise 600 gold coins,” said Shneur Zalman thoughtfully. “There is one Jew in town who has that much money. Have you forgotten Velvel the Apostate?”

“Velvel?” snorted Elimelekh. “He left the Jewish people years ago. He even lives among the Gentile princes outside of town! His hatred of anything Jewish runs so deep that whenever a Jew approaches his palace he sends his pack of dogs to tear him limb from limb!”


“Even so,” said Shneur Zalman, “he is our only hope, for only he has enough money to pay such a ransom. I intend to go and ask him to help save his fellow Jew.”

Seeing Shneur Zalman’s determination, his friends insisted on accompanying him to protect him from harm.

“You may join me,” said Shneur Zalman, “but on one condition – you must both remain silent, and let me alone speak with Velvel.” They agreed and set off together.

Miraculously, they arrived at Velvel’s home without encountering any guard dogs, and knocked on the door. Velvel himself opened it. He was taken aback by the sight of the three Hasidic students.

“I see the Jews have forgotten how much I despise their visits,” he said. “I shall have to get more dogs!”

“Please, hear me out,” said Shneur Zalman. “We’ve come on an urgent mission.” Shneur Zalman explained the purpose of their visit – how Yosef Isaacs’ life hung in the balance, what a tragedy it would be for Yosef Isaacs’ wife and children if he were killed, the great reward that awaited any Jew who participated in the redemption of captives, and how the ransom was more than the Jewish community of Mezritch could raise without Velvel’s help.

Velvel was moved. “You’ve shown great courage in coming here,” he said. “Many years ago, I put something aside to donate to a worthy cause. I believe this is the occasion to give it. Wait here and I will bring it to you.” Shneur Zalman looked at his surprised friends triumphantly. Velvel returned and, with a flourish, he handed Shneur Zalman – a single penny!

“There you are, young man,” he said. “I wish you luck in raising the rest of the ransom.”

Levi Yitzhak and Elimelekh were about to rebuke Velvel for his miserliness. One penny, indeed! But Shneur Zalman silenced them with a look.

“Thank you so much,” said Shneur Zalman to Velvel. “I appreciate your effort to assist in our cause. May God reward you for your part in saving a fellow Jew’s life.” There was no irony in Shneur Zalman’s voice, only sincere gratitude. With that, Shneur Zalman turned to leave, with his stunned companions following him.

They had taken only a few steps when they heard Velvel’s voice behind them. “Wait! Perhaps I can find something else in the house to contribute.” They returned to the door, and Velvel reappeared after a few minutes to give them – two pennies! Again, Shneur Zalman was effusive in his thanks, and they turned to leave.

Velvel called them back a third time, and gave them ten pennies; the fourth time, a gold coin; the fifth time, five gold coins. Each time, Shneur Zalman was genuinely thankful, without a hint of reproof in his voice. They did not leave Velvel that night until he had donated the entire amount needed to rescue the captive – 600 gold coins.

As they walked back to town, Elimelekh asked in admiration, “How did you know that our mission to Velvel would be successful?”

“I knew that Velvel had within him the strength to give the entire sum, if only he could give the first penny,” said Shneur Zalman. “His problem was that no one was willing to take the first penny from him. Once I took it with sincere gratitude and encouragement, the wellsprings of his soul were opened up and he was able to give the entire amount.”


Moral: To Bring Out The Best In People, Expect The Best, But Be Willing To Take The First Penny

Shneur Zalman transforms Velvel because he believes that Velvel is capable of great deeds, and he understands the symbolic value of the first penny. This is the work of management in a nutshell: to take the first penny, what people think they can give, and then challenge them to meet ever higher expectations.

Think about the best manager you ever had. Was it someone who set low expectations and assigned you modest tasks that could be accomplished with reasonable effort? Probably not. That kind of manager doesn’t promote growth or stick in people’s minds. Or did your most memorable manager set high expectations, challenge you to do something ambitious, and give you the guidance that enabled you to succeed? Are you as a manager providing ambitious but achievable expectations, challenges and a sense of accomplishment to your team?

In the Real World

In his article “Pygmalion Inin Management”, J. Sterling Livingston proves that subordinates’ performance rises or falls to meet managers’ expectations. If managers’ expectations are high, productivity is likely to be excellent, while if their expectations are low, productivity is likely to be poor.

Livingston cites a number of experiments that prove this point. For example, at Metropolitan Life Insurance, salesmen were divided into a “superstaff” of high achievers and an “average” unit of salesmen who were considered merely adequate. The superstaff consistently exceeded sales goals, while the performance of salesmen in the average unit actually declined. Perhaps the superstaff’s improvement was due to their innate talent. The average salesmen’s performance decline can only be attributed to the decreased expectations from their superiors.

Another study of managers, this one at AT&T, demonstrated that their relative success, as measured by salary increases and promotions, depended largely on the company’s expectations.

As Eliza Doolittle says in George Bernard Shaw’s Pygmalion, “The difference between a lady and a flower girl is not how she behaves but how she’s treated.”

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In my first performance review as a manager of Quality Assurance, I was proud to report to my boss that all the major bugs in the products that had shipped that year had been discovered in my lab rather than in the field.

To my surprise, my manager viewed my year very differently. He gave no sign of appreciation, but he was prolific in pointing out ways in which I had failed. “You didn’t build tools to speed up the testing process; you didn’t provide guidance to Engineering as to how they could reduce the number of bugs; you didn’t improve the method for tracking customer-discovered bugs.” I was flabbergasted. In one moment, my entire view of the year was turned upside down – I had been playing defense when I should have been playing offense! Obviously my manager should have told me sooner what he expected of me. And I would have liked to hear some positive feedback – he could have accepted my first penny more graciously. But, he did most emphatically ask me for the next penny, and the challenge spurred me on to accomplish things I didn’t know I was capable of achieving.

Sunday, December 28, 2008

A Hasidic management story I wish I'd put in my book

One day, as the Ba'al Shem Tov was strolling through the town square, he came upon Mendel the water carrier, struggling under the burden of two full barrels of water. “How are you today, my friend?” asked the Baal Shem Tov. Gasping for air, Mendel responded gruffly, “How could I be anything but terrible? Look what a miserable profession I have! I must carry these heavy buckets for miles from the river, uphill all the way. Then, when I get to town, I have to haggle with customers to earn a few kopeks. And I’m not getting any younger. Soon I will be too old to carry water. What will become of me then? What a cursed existence!” And with that, Mendel shuffled by the Ba’al Shem Tov, looking for customers.

The next day, the Ba’al Shem Tov again saw Mendel in the town square, carrying buckets of water. Undeterred by yesterday’s tongue lashing, the Ba’al Shem Tov inquired “How are you today?” Mendel smiled and replied, “Thank G-d, Rebbe, I am fine. And why not? The sun is shining, I have been granted the health to pursue an honest living, and I earn enough to support my family.” And with a spring in his step, Mendel strolled through the square.

The Ba’al Shem Tov called out, “Mendel, I want to thank you, for you have taught me a great lesson.” Mendel put down his buckets and listened as the Ba’al Shem Tov explained. “On the one hand, we believe that G-d grants a person his livelihood for the year on Rosh Hashana, the Jewish New Year. On the other hand, we pray to G-d every morning that He should grant us our livelihood. How are we meant to reconcile this contradiction? Observing you, Mendel, I now understand. G-d indeed grants us the amount of our livelihood for the entire year on Rosh Hashana. But, how will we earn that livelihood? Will we suffer through every moment, hating our lot in life, wishing the day was done? Or will we enjoy the effort and be glad for the opportunity to do an honest day’s work? For that, a person must pray for G-d’s grace every day. Mendel, I want to bless you – may you merit, each and every day, to earn your livelihood with the same joy that you feel today.”

Friday, December 26, 2008

An Introduction to Hasidic Management

The first time I used a traditional Jewish story in a business setting was at my company's annual strategy conference. As I strode to the podium to present the new technologies we were developing in our labs, and looked out at my fellow managers who had gathered in Seville, Spain from our corporate offices all over the globe, I knew that research was the last thing on their minds. The company had recently gone public, and the stock that had been issued at $20 was rapidly approaching $100. My colleagues wanted to hear about products that could keep investor momentum going, not high-risk inventions that, if they panned out, would take years to come to market.

I decided to try an unconventional approach. "I've come to Spain from our Israeli office, so I'd like to begin with a Jewish Spanish story. Almost one thousand years ago, in Moslem Spain, there lived a Jew named Rabbi Samuel the Prince. He was very wise, and rose to great power, becoming the Sultan's treasurer. This aroused the jealousy ,of the other ministers, who planted rumors that Rabbi Samuel was embezzling money from the royal treasury.

The Sultan decided to put Rabbi Samuel to the test. One day, without warning, he called for Rabbi Samuel, and asked him to make a complete accounting of his personal wealth. Rabbi Samuel was taken aback, but he could not refuse the Sultan's request. He sat at a table, asked for a quill and parchment, and began writing feverishly. After half an hour, he stopped, reviewed the list silently, and handed it to the Sultan.

The Sultan read the inventory carefully, and slammed it down angrily on the table. 'Why, this is only a fraction of your wealth. I personally have given you far more than what you list here as your salary. This is a brazen lie! My advisors are correct – you have been dishonest with me in your monetary affairs. I shall personally confiscate everything you own. Guards, take this man away!'

'Your Majesty', responded Rabbi Samuel, 'you asked me for an accounting of my wealth. As you can plainly see, my worldly possessions are not truly mine. At any time, they could be taken from me by robbers, war or natural disaster. In fact, your Majesty has just taken them from me with a single command.’

‘The only possession I truly own is that money which can never be taken from me – the money I have given to charity. You see, a Jew is commanded by the Torah to give one tenth of his income to those in need. The figure I gave you, your Majesty, was the total of all the moneys I have given to charity. That is my true wealth, for the benefit from that money remains mine forever, and can never be taken from me.'

The Sultan was impressed by this profound truth, and promoted Rabbi Samuel to even greater power in his kingdom."

I paused for a moment and looked around at my attentive audience. "Rabbi Samuel has hit upon a fundamental aspect of human nature – we are easily confused between what is truly ours and what others grant us. The same is true of corporations. Our stock price is soaring, but that is something that is granted by investors, and could be taken away from us tomorrow by those very same investors, based on factors that are entirely out of our control. What, then, is truly ours? It's our loyal, highly skilled employees, and the passion and innovation that they bring to their jobs. They are our true strategic assets, and they are what will keep us successful for years to come. I'd like to present to you some of the new product ideas they've come up with."

From the contemplative faces of my fellow managers, I could see that my unorthodox introduction had succeeded. It wasn’t me who had convinced them that the subject was important – they had convinced themselves, by internalizing a story steeped in tradition and wisdom.

Since then, I've used traditional Jewish stories, especially Hasidic tales, in a variety of management contexts: to motivate teams, to impart a lesson to a fellow manager, to grab an audience's attention. Almost always, I've found that the message gets across. Why Hasidic stories? Because the Hasidic tale has a world of timeless insight and wisdom for the modern business world. The Hasidic Masters were exceedingly wise leaders who understood the human heart. They used stories as a medium to transmit values and stimulate insights on the part of their followers. By emphasizing the human perspective, Hasidism transformed and enriched the Jewish establishment of its time. We cannot speak with the Masters directly about management issues, but the insights of the Hasidic perspective can provide important lessons for today’s business world.

Hasidism is a Jewish mystical movement founded in the 18th century by Rabbi Israel, the Ba’al Shem Tov (Master of the Good Name). This revolutionary movement emerged in response to the crises of its time, in the aftermath of the Cossack massacres and mass disillusionment with false Messiahs. Some rabbis of the era suspected Hasidism of being yet another dangerous messianic movement and went to great lengths to oppose its spread.

The genius of Hasidism, and the secret of its success, lay in its ability to supplement rather than subvert Rabbinic Judaism. Hasidism did not negate the values of the rabbinic establishment – but it equally emphasized other values. It recognized the tension between the letter and the spirit of Jewish law, and looked for a balance that gave legitimacy to the ethical intent of legislation, even when this required bending the letter of the law. It was anti-elitist, valuing sincerity and devotion over erudition or wealth. The poor and unlearned Jew became a heroic figure who could move the heavens with prayer. It established the role of the Tzaddik (righteous one) or Rebbe (master) to provide inspiration and guidance in both spiritual and worldly matters. It employed the powerful means of stories, parables, and anecdotes to transmit wisdom. Hasidism succeeded where other Jewish sects failed because it was an evolutionary as well as a revolutionary movement.

There are striking parallels between the circumstances that catalyzed the Hasidic revolution and the world of business today. In modern business, the inherent tension between the “letter of the law” and the “spirit of the law” expresses itself in choosing between maximum shareholder profits, even if only temporarily and on paper, and ethical behavior; Hasidism looks for a balance that respects both. With each new corporate scandal, the public has grown increasingly hostile towards senior managers; Hasidism sought to narrow a similar schism by elevating the value of the common man. Today’s senior managers aspire to provide inspirational leadership that can give employees a vision of where they are going and why they want to get there; Hasidism provides us with vivid examples of such leadership. Rather than advocating a humanistic revolution in management, Hasidism teaches that new people-oriented values can successfully be fused with existing business practices in an evolutionary process.

My goal in writing this book is to share with you some of my favorite stories, from Hasidic and other traditional Jewish sources, stories that have important leadership lessons for the modern business world. I have organized the tales in this book according to the management functions suggested by Peter Drucker in his classic analysis Management: Tasks, Responsibilities, Practices: motivating and communicating, setting objectives, organizing the group, measuring performance, developing people, and managing the outside world. The tales in this book provide insight into each of these roles of management. I have also included modern business examples of the principles illuminated by the stories. I do not presume to call this a comprehensive management program, but I hope you will find the stories thought-provoking, especially about your own management style.

There is a well-established genre of business books that looks for wisdom from eclectic sources. So, though you may have already studied management at the feet of other masters - learned the art of war from Sun Tzu, gleaned leadership secrets from Attila the Hun, and admired the strategic insights of Machiavelli’s Prince - I invite you to savor and be inspired by the management wisdom of the Hasidic Rabbis. Rabbi Jacob Kranc (pronounced Krantz), a well-known teller of Jewish fables known as the Magid (Preacher) of Dubno, was my distinguished ancestor, so perhaps story-telling is an inherited family occupation. In honor of the 200th anniversary of the passing of the Dubno Magid, and to mark my own 50th jubilee year, I have written this book to share with you the business world in which I want to live, a world inhabited by enlightened, humanistic managers.