"Padhoge likhoge banoge nawab, kheloge kudoge banoge kharab"
No, the idea is not to elucidate or challenge this famous phrase. That debate can be left to the makers of the MS Dhoni movie released recently.
Very simply put, it is Cause and Effect mechanism at work. Although it is a very basic concept but it is applicable just about everywhere - in business, inter-personal relationships, sports, anything under the sun you can think of.
Consider this
Scenario 1
Fact 1: Sachin Tendulkar was then and (still is) the most prolific Indian cricketer and had a huge fan base across the country. He retired in 2014.
Fact 2: IPL viewership came down in the subsequent editions for the next 2 years
Question: Does it mean the IPL viewership got affected primarily due to the retirement of the legendary batsman?
Not necessarily true(although I must confess for me it was). It could be largely attributed to an overdose of cricket and also the novelty factor of the IPL fading away.
Scenario 2
Fact 1: Maruti enjoyed first mover advantage and was able to convert this into a sustainable market leadership position
Fact 2: General Motors entered the Indian market in the late 1990s and was able to establish a fairly good network
Question: Given that GM entered the Indian market at a relatively early stage, was GM successful?
No, GM was not, despite having the early entrant advantage in their favour over several other companies. Companies such as Hyundai quickly took the No.2 spot and leaving behind a considerable gap over GM and even Tata Motors.
Scenario 3
Fact1: To increase sales in a particular month, the sales team plans carnivals every weekend through the month
Fact 2: The sales increased in the corresponding month.
Question: Can the increase in sales be attributed to the weekend carnivals?
Again it may not necessarily be true. Sales could be higher due to higher discounts/new product launch,etc. One cannot attribute with certainty without examining all the causes.
"Fixing the blame vs Fixing the problem"
Often we jump the gun and put the blame on a person/team/department/incident. This is something corporate India is really good at. Before someone can question you, you fix the blame on someone else. It is a brilliant strategy and many of us have mastered this art.
The outcome of all this is that amidst all the noise, often root cause(s) gets missed out. Strategy/counter action plans are made that look great in the PPTs in conference rooms but in reality are a far cry from the problem at hand.
Find the cause(s) and you are half way there....almost!!
No, the idea is not to elucidate or challenge this famous phrase. That debate can be left to the makers of the MS Dhoni movie released recently.
Very simply put, it is Cause and Effect mechanism at work. Although it is a very basic concept but it is applicable just about everywhere - in business, inter-personal relationships, sports, anything under the sun you can think of.
Consider this
Scenario 1
Fact 1: Sachin Tendulkar was then and (still is) the most prolific Indian cricketer and had a huge fan base across the country. He retired in 2014.
Fact 2: IPL viewership came down in the subsequent editions for the next 2 years
Question: Does it mean the IPL viewership got affected primarily due to the retirement of the legendary batsman?
Not necessarily true(although I must confess for me it was). It could be largely attributed to an overdose of cricket and also the novelty factor of the IPL fading away.
Scenario 2
Fact 1: Maruti enjoyed first mover advantage and was able to convert this into a sustainable market leadership position
Fact 2: General Motors entered the Indian market in the late 1990s and was able to establish a fairly good network
Question: Given that GM entered the Indian market at a relatively early stage, was GM successful?
No, GM was not, despite having the early entrant advantage in their favour over several other companies. Companies such as Hyundai quickly took the No.2 spot and leaving behind a considerable gap over GM and even Tata Motors.
Scenario 3
Fact1: To increase sales in a particular month, the sales team plans carnivals every weekend through the month
Fact 2: The sales increased in the corresponding month.
Question: Can the increase in sales be attributed to the weekend carnivals?
Again it may not necessarily be true. Sales could be higher due to higher discounts/new product launch,etc. One cannot attribute with certainty without examining all the causes.
"Fixing the blame vs Fixing the problem"
Often we jump the gun and put the blame on a person/team/department/incident. This is something corporate India is really good at. Before someone can question you, you fix the blame on someone else. It is a brilliant strategy and many of us have mastered this art.
The outcome of all this is that amidst all the noise, often root cause(s) gets missed out. Strategy/counter action plans are made that look great in the PPTs in conference rooms but in reality are a far cry from the problem at hand.
Find the cause(s) and you are half way there....almost!!
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