Days of Empathy

Recently I was reviewing a difficult business situation with one of our company’s top problem-solvers. The challenge he agreed to tackle was similar to another he had turned around, and I asked him if his approach was likely to follow the same course. He is a thoughtful fellow with strong character and an abundance of pragmatism in his toolbox. He suggested he would focus without excuse or interruption on the situation with objectivity, creativity, and community.

“It sounds like you’re leading with empathy,” I said.

“If I understand what motivates the people I need to help this team realize its potential, then I can help them understand how critical they are to the solution,” he answered. “They have to believe we all can win together, which starts with me understanding what winning means to them.”

The two of us agreed that embracing empathy didn’t mean letting down standards, compromising expectations, or being less demanding of excellence. It meant listening before acting, considering perspectives beyond our own before being decisive, and building bridges where shared values around attaining goals became foundational.

Sometimes the most complex concepts come down to a simple idea. In this case, that idea was about caring for the talented people who would join us in our work to truly align their aspirations with our success.

Once again, that sounds like empathy. It occurred to me how broadly that notion applies to so much that is happening around us.

The Maui wildfires have been devastating. I feel a particular connection to this community because I spent some time in the Lahaina area in my younger days. The losses people have suffered are impossible to quantify. While the news reporting has done an adequate job of conveying the expanse of destruction, we know that all too soon the news cycle will pass and the next natural or manmade calamity will capture the headlines.

The people of Maui will be in need for years, rebuilding their homes and infrastructure, but also attempting to make some sense of the senseless and find a path to healing. Many of us are donating to the disaster relief effort now, but what happens in six months or a year when only the initial steps have been taken to recovery? Will our empathy remain?

Thousands of writers and actors have been walking the picket lines for months, hoping their unions will find a way to reach an agreement with the entertainment studios that employ them. I have also been down this path, again in my younger days, and I know that no strike goes on forever. Both sides will find a way to settle the disputes over participation in earning power and critical artistic rights threatened by emerging technology, but I wonder if this extended work stoppage could have been abbreviated by the application of empathy in the minds of those negotiating.

I don’t think that’s an unnecessarily idealistic approach. The business loss of a shutdown is similar to the collapse of a family budget that may never be recovered by the agreed terms of a new operating model. Opportunity cost is often lost forever. Could empathy not reveal that dollars lost by all sides during a stoppage might not be worth the long wait for a mutually unsatisfying resolution?

I think a lot about our customers these days trying to manage their family budgets. For so many of them, value in the products they buy is less about being a clever shopper than making necessary tradeoffs in how they stretch a paycheck to the end of each month. The often obtuse reflections of the Federal Reserve about balancing interest rates with inflation can provide little guidance and less comfort to families wanting to provide the best they can for themselves with the precious dollars and credit seldom adequate for the kind of broad prosperity our economic policies purport to address.

A little empathy here could go a long way, not in the political proclamations of those who seek their own gains, but in comprehending the underlying engine of what constitutes value creation in business. A satisfied, well-treated customer is at the heart of all economic success. That may also sound idealistic, but any tone-deafness in remembering how bills at a company get paid may cause that company to unwind ahead of its time. Empathy for customer needs may not be item one on your weekly staff agenda, but there are few other success factors more easily understandable or ripe for reinvention

Empathy in problem-solving, empathy for those suffering sudden devastation, empathy in negotiation, empathy in policy-making and business enterprise — starting to see a pattern? Take all the noise and polarization that is blocking success and start by looking at the conflict through the eyes of another. Perhaps the path to innovation will take a sudden turn in a more promising and mutually beneficial direction.

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Image: Hawaii Community Foundation

The Uplifting Wisdom of Fred Smith

I recently enjoyed the privilege of participating in a small group online discussion with Frederick W, Smith, the founder and longtime CEO of Federal Express. Imagine being at the helm of a global disruptor like FedEx for an uncanny five decades. Think someone like that might have a few things to say about the life and times of business, society, and learning? You might be as surprised as I was about the big ideas he would most want us to embrace.

Legend has it that the initial business plan for FedEx emerged from an economics paper Smith wrote as an undergraduate at Yale University, describing the need for a reliable overnight delivery service. He best remembers receiving a grade of C on that composition. That idea grew out of his experiences as a young pilot, occasionally offering to deliver important packages for New England technology companies that he would carry in his personal travels.

Equally important in the formation of his character was a four-year stint in the U.S. Marine Corps commencing in 1966 where he received officer training and served in Vietnam. “Yale taught me to think, and the Marines taught me to do,” notes Smith in shaping his vision and leadership of FedEx, which he founded in 1971. The company began regular operations in 1973 and just celebrated its fiftieth anniversary. Smith has transitioned to executive chairman but is every bit as engaged in the company’s direction as he was at the outset.

Early market studies confirmed Smith’s thesis that there was an enormous opportunity for an integrated global delivery network that would be realized by harnessing the power of transportation machinery and sophisticated data systems. He took on the daunting task of merging the capabilities of technology with the mapping of logistics, bringing together physical assets and mathematical calculations on a vast scale. He knew that building this kind of network was a frontloaded bet, but that once established, the barriers to entry of challenging that network would create both a competitive advantage and a trusted brand among customers.

Today that network generates $90 billion in annual revenue, employs 550,000 people plus another 150,000 contractors, moves 16 million shipments each day, operates in 5000 locations in 220 countries, manages 650 planes, and coordinates 210,000 vehicles. FedEx accomplishes this through endless innovation, precision execution, and constant reinvention.

What can we learn from an incomparable entrepreneur, celebrated business leader, and caring philanthropist that might be even more exemplary than an indefatigable work ethic? My key takeaway from listening to his carefully chosen words is that humility is a choice, and Smith embraces humility not just as a core personal value, but as a motivating force that drives him to an always improving game. “The world does not begin with your birth,” he reminds us. “There is much to learn in studying the thinkers who came before you.”

Given the ceaseless advances in information technology, Smith believes it is the CEO’s job to stay immersed in the evolution of change management. In addition to the legally required standing committees of a public company’s board, he has found it essential to maintain a carefully identified technology advisory committee well versed in applied science beyond his company’s core competencies at any time to make sure those technical abilities become core competencies.

He also makes it a point to stay close to senior military leaders both formally and informally for their deep understanding of complex systems and human motivation in urgent circumstances. He has reciprocated over the years serving on key government panels and presidential commissions to help bridge the gap between private business and government, share emerging ideas, and offer his hard-won knowledge as a quiet contribution to public service.

Smith is now keenly focused on embracing the fast climb of artificial intelligence, yet another strategic inflection point both in the growth of his company and the world at large. The threat of cybersecurity has always loomed large on Smith’s short list of key concerns around systems risk, where he sees generative A.I. both exacerbating the problem and potentially forging a path to workable responses. “It will help remove the friction of international customs,” he suggests. He is also passionate about carbon capture, driving FedEx to a carbon-neutral future not just because it is the right thing to do for the environment, but because the companies that get there first will enjoy ongoing business advantages in proving models with measurable returns on investment.

The culture of FedEx remains focused on innovative practices as a competitive platform that is rooted in the company’s founding and ingrained in the necessity of proactive thought leadership. Not surprisingly, he is obsessed with teamwork and team accomplishment over individual ego and achievement. “You’re not the smartest person in the world, be humble,” he reminds us. His observations of multidisciplinary success in business, military, and government enterprises reinforce his championing of building and sustaining team dynamics.

Smith is concerned that people are now spending so much time behind video screens that their sense of reality is being distorted by inadequate forms of communication. “Thinking behind screens” does not bridge viewpoints or bring people together. He observes in social media that it creates “a place where outrage has found a business model.”

Now, about that lasting wisdom: Here’s where Smith brings down the house with his clarity of life’s lessons and unassuming purpose. Staying on the edge of technology and reinvention no matter one’s current success is more tactic than strategy for this highly accomplished individual. What is core to Smith is his embrace of mortality as a further reflection of humility. “Life is short and it ends, the clock is ticking,” he advises. “Don’t get all wrapped up in your personal self, that’s a very unhealthy thing to do.”

What is key to reminding us of our humanity in his worldview? “Maintain a sense of humor, because life in many ways is absurd, and you need to be able to laugh at yourself.” Smith clearly understands irony, has seen his share of farce, and with sporadic investments in the arts, knows a funny story when he hears one.

There you have it from one of the most successful innovators of our time: be humble, remember your mortality, and don’t lose your sense of humor. I would never have guessed that’s what I would take away from this conversation, but how delighted I am to have experienced such a treasure of actionable advice. Fred Smith understands leadership by example. Humility is evident in his journey, mortality is certainly at hand given these reflections, and if you listen at length he might just make you laugh.

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Photos: Pexels and FedEx.com

The Pros and Cons of Generative AI

Generative AI refers to the technology that can generate new content such as text, images, music, or videos. Like any technology, it has its advantages and disadvantages. Here are some of the pros and cons of generative AI:

Pros:

  1. Creativity: Generative AI can generate new and creative content that can be used in various fields, including music, art, and advertising. It can come up with novel ideas that humans might not have thought of.
  2. Efficiency: Generative AI can create content much faster than humans can. For example, it can generate thousands of images or pieces of text in just a few minutes.
  3. Personalization: Generative AI can create content that is personalized to the user’s preferences. For example, it can generate music or art that is tailored to the user’s tastes.
  4. Automation: Generative AI can automate repetitive tasks that would otherwise require human intervention. This can save time and resources, especially in industries such as marketing or content creation.

Cons:

  1. Quality: The quality of content generated by generative AI can vary widely, depending on the quality of the data used to train the model. The content may be low-quality or even nonsensical.
  2. Bias: Generative AI can perpetuate biases that exist in the data used to train it. For example, a generative AI trained on a biased dataset may generate content that is discriminatory or offensive.
  3. Ethical concerns: Generative AI can be used to create deepfake videos or other content that can be used to spread misinformation or deceive people.
  4. Intellectual property: Generative AI can create content that may infringe on intellectual property rights, such as copyright or trademark.
  5. Lack of human touch: While generative AI can create content quickly and efficiently, it lacks the human touch that makes content truly unique and memorable.

In summary, generative AI has many potential benefits, but it also comes with significant risks and challenges. As with any technology, it is important to weigh the pros and cons carefully and use it responsibly.

Note: This special guest post was created in its entirety other than the title by ChatGPT.

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Photo: Pexels

Finding Firmer Ground

As our nation approaches another birthday, I find myself like many Americans feeling unsteady, shaken, and increasingly uncomfortable in holding onto a sense of connection to beliefs I never thought could be at risk. Shared values are essential to me, as is the ability to build consensus on difficult issues and a fundamental acceptance of diversity. A few critical points at the moment are eating away at me.

Respecting Secular Differences

The separation of church and state is something I have always believed cannot be denied in our nation. If this pillar falls, the rest crumbles with it. Of course, I know not everyone believes this, but I always thought the majority would never abandon it. Now I worry it might only take a cleverly constructed minority for it to no longer matter. That would forever undo the nation my family chose as a place to immigrate to several generations ago and call home. Is it possible today we would not be welcome here?

Thinking Through Laws

Originalism, or the notion that our Constitution can only be applied to the literal text of its authorship some two and a half centuries ago, seems impossibly flawed as an idea. This is a document that from its inception has encompassed the notion of revision as a core tenet of its foundation. It also has been amended multiple times in its existence to correct the injustices it has allowed, unintentionally or in ambiguity. Peeling back complex nuance is as critical to an argument as referencing precedent. Judges and lawyers cite case law to examine the relevancy and consistency of prior rulings, where opinions are molded into outcomes through rigorous thinking. If the U.S. Constitution does not require interpretation in its application on the endless topics it does not specifically reference—including innovations that couldn’t possibly have been contemplated in prior times—what is the purpose of higher courts?

Growing with Technology

Technology continues to advance exponentially at a rate that consistently outpaces our ability to understand its implications and effects. Without a nimble, advanced, multifaceted framework to consider legislation around innovations that previous generations could never have imagined, we will find ourselves acted upon by invention rather than fostering wise guidelines for incorporating discovery into our everyday lives. Think ahead another hundred years and try to envision what’s coming. Now try to envision how we will create daily norms around incorporating scientific and engineering achievements so far beyond our current imagination we have no concept of how we will be impacted. If we continue to apply yesterday’s rules to tomorrow’s frontier, we will fail much worse at finding common ground than we are now.

Winning and Losing

My sense is that the heightened divineness so many of us are experiencing is becoming increasingly debilitating. If our notion of winning and losing with each other does not evolve into a more palatable interchange of conflicting concepts, our inability to work through our differences could undermine this great experiment we call democracy. There are always individuals who benefit from pouring fuel on a fire and turning otherwise kind people against each other. We cannot let agendas we don’t share take precedence over the communities we cherish.

As we celebrate Independence Day in the midst of so much turmoil and dissonance, perhaps we should reflect on how blessed we could be if we rediscovered a broader sense of shared values, or at least could approach consensus on addressing our disagreements without knocking each other to the ground in the name of unnecessary polemics.

We can do better. We can be better. The alternative is staying where we are currently stuck, and that does not seem to be leading us to improvement. Commit to clearer logic, expanded empathy, and enthusiastic compassion. Let that be our muse this Fourth of July.

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Photo: Pixabay