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Global Advisors’ Thoughts: Is insecurity behind that dysfunction?

Global Advisors’ Thoughts: Is insecurity behind that dysfunction?

By Marc Wilson
Marc is a partner at Global Advisors and based in Johannesburg, South Africa

Download this article at http://www.globaladvisors.biz/inc-feed/20170907/thoughts-is-insecurity-behind-that-dysfunction

We tend to characterise insecurity as what we see in overtly fragile, shy and awkward people. We think that their insecurity presents as lack of confidence. And often we associate it with under-achievement.

Sometimes we might be aware that insecurities can lie behind the -ias, -isms and the phobias. Body dysmorphia? Insecurity about attractiveness. Racism? Often the need to find security by claiming superiority, belonging to group with power, a group you understand and whose acceptance you want. Homophobia? Often insecurity about one’s own sexuality or masculinity / feminity.

So it is often counter-intuitive when we discover that often behind incredible success lies – insecurity! In fact, an article I once read described the successful elite of strategy consulting firms as typically “insecure over-achievers.”

Insecurity must be one of the most misunderstood drivers of dysfunction. Instead we see its related symptoms and react to those. “That woman is so overbearing. That guy is so aggressive! That girl is so self-absorbed. That guy is so competitive.” Even, “That guy is so arrogant.”

How is it that someone we might perceive as competitive, arrogant or overconfident might be insecure? Sometimes people overcompensate to hide a weakness or insecurity. Sometimes in an effort to avoid feeling defensive of a perceived shortcoming, they might go on the offensive – telling people they are the opposite or even faking security.

Do we even know what insecurity is? The very need to…

Read the rest of “Power, Control and Space” at http://www.globaladvisors.biz/inc-feed/20170907/thoughts-is-insecurity-behind-that-dysfunction

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Strategy Tools

Your due diligence is most likely wrong

Your due diligence is most likely wrong

As many as 70 – 90% of deals fail to create value for acquirers. The majority of these deals were the subject of commercial or strategic due diligences (DDs). Many DDs are rubber stamps – designed to motivate an investment to shareholders. Yet the requirements for a value-adding DD go beyond this.

Strategic due diligence must test investees against uncertainty via a variety of methods that include scenarios, probabilised forecasts and stress tests to ensure that investees are value accretive.

Firms that invest during downturns outperform those who don’t. DDs undertaken during downturns have a particularly difficult task – how to assess the future prospects of an investee when the future is so uncertain.

There is clearly an integrated approach to successful due diligence – despite the challenges posed by uncertainty.

Read more…

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Fast Facts

The use of full absorption or average costing in asset-intensive industries with under-utilisation can lead to self-defeating pricing strategies

The use of full absorption or average costing in asset-intensive industries with under-utilisation can lead to self-defeating pricing strategies

Non-conformance costs can distort pricing decisions The use of full absorption or average costing in asset-intensive industries with under-utilisation can lead to self-defeating pricing strategies

  • The use of full absorption or average costing in a manufacturing environment with under-utilisation can lead to self-defeating pricing strategies
  • The increase in price to cover costs results in volume decreases – lowering factory utilisation and increasing unit production costs. This is the start of the utilisation-pricing “death spiral”
  • Costing according to factory utilisation – partial absorption costing – offers the opportunity to be more strategic about costing and utilisation
  • “Unabsorbed” costs can be targeted through OEE and volume improvements. At the same time, the “disadvantage” of having a large factory is normalised and pricing can compete with more fully-utilised factories
  • A recent manufacturing client saw 60% of unit costs arise from factory under-utilisation – sub-optimal OEE levels (non-conformance), low volumes and work-centre bottlenecks contributed to the utilisation gap
  • These principles can apply to any asset-intensive business – for example banking
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Selected News

Quote: George Bernard Shaw

Quote: George Bernard Shaw

“The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore, all progress depends on the unreasonable man.” – George Bernard Shaw – Irish playwright

George Bernard Shaw (1856–1950), the Irish playwright, critic, and Nobel laureate, originated this quote in his 1903 play Man and Superman, specifically in the section “Maxims for Revolutionists.”1,3 Shaw, born in Dublin to a Protestant family amid economic hardship, moved to London in 1876, where he became a leading figure in the Fabian Society—a socialist group advocating gradual reform over revolution—and penned over 60 plays blending wit, philosophy, and social critique.3

Context of the Quote

The line appears in Man and Superman, a philosophical comedy subtitled “A Comedy and a Philosophy,” which explores themes of human evolution, will, and societal progress through the character of John Tanner, a revolutionary dreamer pursuing (and fleeing) the spirited Ann Whitefield.1 In “Maxims for Revolutionists,” Shaw distills provocative ideas on human nature, arguing that progress requires challenging the status quo rather than conforming to it. The “reasonable man” accepts the world as is, ensuring stability but stagnation; the “unreasonable man” imposes his vision, driving innovation despite resistance.1,2,3 Shaw, a Fabian socialist who favored incremental change via education and agitation, used the maxim to celebrate disruptive persistence as essential to societal advancement, echoing his belief in remolding the world “nearer to the heart’s desire.”4

This idea resonated widely: it inspired sales leaders viewing “unreasonableness” as bold action against excuses2; marketers urging challenge over compromise amid populism4; and even Hacker News debates contrasting revolution with evolution5. It also titled John Elkington and Pamela Hartigan’s 2008 book The Power of Unreasonable People, profiling social and environmental entrepreneurs who create markets for change.6

Shaw’s Backstory

Shaw rejected conventional jobs, surviving as a music and theater critic under pseudonyms like “Corno di Bassetto” while writing novels that flopped. His breakthrough came with plays like Mrs. Warren’s Profession (1893), censored for exposing prostitution’s economic roots, and Pygmalion (1913), later adapted into My Fair Lady. A vegetarian, teetotaler, and spelling reformer, Shaw won the 1925 Nobel Prize in Literature but donated the money for translations of August Strindberg. Politically, he supported women’s suffrage, Irish Home Rule, and eugenics (later controversial), and endorsed Soviet experiments while critiquing capitalism. At 94, he broke his hip falling from a ladder while pruning a tree, dying soon after. His works, blending Shavian wit with Nietzschean vitality, remain staples for dissecting power, class, and human drive.3,4

Leading Theorists on Unreasonableness, Progress, and Adaptation

Shaw’s maxim draws from and influenced thinkers on innovation, disruption, and social change. Key figures include:

  • Fabian Society Influentials (Shaw’s Circle): Shaw co-founded this gradualist socialist group in 1884, named after Roman general Quintus Fabius Maximus Verrucosus (the “Delayer”), who used attrition over direct battle. Sidney and Beatrice Webb advanced “permeation”—infiltrating elites for reform—while Annie Besant agitated for labor rights. Their motto, “educate, agitate, organize,” embodied reasoned persistence against orthodoxy, mirroring Shaw’s “unreasonable” drive within structured evolution.4

  • Friedrich Nietzsche (1844–1900): The German philosopher’s concepts of the Übermensch (overman) and will to power prefigure Shaw’s rebel, urging transcendence of herd morality. In Thus Spoke Zarathustra (1883–1885), Nietzsche celebrates creators who affirm life against nihilistic conformity, influencing Shaw’s evolutionary Superman.3 (Inferred link via shared themes in Shaw’s play.)

  • Social Entrepreneurs (Modern Applications): Elkington and Hartigan highlight “unreasonable” innovators like Muhammad Yunus (Grameen Bank microfinance) and Wendy Kopp (Teach For America), who built markets defying poverty and education norms. Their 2008 book frames Shaw’s idea as a blueprint for systemic change via audacious markets.6

  • Critics and Counter-Theorists: Hacker News commenter “vph” argues the quote overstates revolution, crediting evolution—incremental, “reasonable” adaptation—for true progress, citing Darwinian biology over rupture.5 Jim Carroll contrasts it with Fabian delay tactics, warning prudence yields modest fruit while unreasonableness risks chaos.4

Shaw’s maxim endures as a rallying cry for visionaries, underscoring that all progress depends on the unreasonable man by forcing adaptation on a resistant world.1,2

References

1. https://www.goodreads.com/quotes/536961-the-reasonable-man-adapts-himself-to-the-world-the-unreasonable

2. https://thesalesmaster.wordpress.com/the-unreasonable-man/

3. https://www.quotationspage.com/quote/692.html

4. https://www.jimcarrollsblog.com/blog/2017/1/4/all-progress-depends-on-the-unreasonable-man-george-bernard-shaws-lessons-on-change

5. https://news.ycombinator.com/item?id=5071748

6. https://en.wikipedia.org/wiki/The_Power_of_Unreasonable_People

"The reasonable man adapts himself to the world; the unreasonable one persists in trying to adapt the world to himself. Therefore, all progress depends on the unreasonable man." - Quote: George Bernard Shaw

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