In the midst of jargon, numbers, and tools, we often overlook a basic truth—that business is about people. It is for the people (customers), of the people (shareholders) and by the people (employees and partners). Not that we do not know it; not that the business schools don’t teach it. But when it comes to taking decisions, often this common sense takes a backseat.
That is where most of the problems of business start and/or become complicated. Technology, which is today an essential enabler of business, by extension, suffers from the same problem. It is important to get sensitized about this, if we have to get better value from technology—especially now as, for the first time, it looks like we can get far more than what we are getting from it.
The Bhagvadgita talks of three paths for human beings: that of bhakti, jnana, and karma. In the Western philosophy, that translates to emotion, knowledge, and action, which is well recognized now. Management thinkers have, of late, been recognizing this. While business at one time was associated primarily with action, the role of knowledge became evident with the advent of technology—to some extent during industrial revolution, and then most definitely during the information revolution of the later part of the 20th century. The evolution of management as a science, itself was a manifestation of this growing realization by businesses that some specific intellectual thinking and reflections could surely add value to business. But this knowledge was pursued outside the domain of action and was injected to the businesses. That, has been changing, of late.
In the mid-80s, the term emotional intelligence came into the lexicon to stress the role of emotion in decision making and soon started making impact on management thinking. Today, though it is still not widely practiced, there is recognition that emotion has a role to play in business.
But information technology, so far, has still focused on just one of the aspects: action. This is a hangover of the industrial revolution. The catch phrase in the industrial revolution was automation. Many human functions were automated resulting in much better efficiency. When computers came, they were expected to automate some of the back office work such as accounting, information storage and retrieval. And they did that very well. While theoretical computer science, which in a sense, was an outgrowth of mathematics, did ask if it could take cae of more of the intellectual/decision making work, some early adopters in business found that it was easy to apply computers to automate some of the processes in business and make those processes far more efficient, making the entire business far more efficient. In my previous post, Why Information Technology is A Misnomer, I wrote about that. This quick resulted made computers—by now called IT—to focus completely on this aspect of business. Efficiency became the buzzword. This was improvement but the path was still the traditional path of action.
Of late, there is a realization that applying technology to do analysis of information and simulate some intelligence is probably possible. And those are catchwords in IT today. That is appplying technology along the path of knowledge. I am sure in the next few years we will see a lot of progress along this line.
One area that still remains largely untouched is emotion, despite the fact that marketers and advertisers have long played on emotions to sell consumer goods and services. But technology has played little role there. With the rising popularity of social networks and their power, however, there is a hope that probably—and I emphasize on that word—it is time to explore if technology can do something there.