Socratic Business Methods

Socrates the ancient Greek philosopher is well known for coining the phrase – "I only know that I know nothing". This phrase is now over 2400 years old and its accuracy is still under contention. Perhaps from a philosophical view point, there is the possibility that it will be debated for all time. However, as most of my posts have something to do with today's business environment, I want to apply it to that field.

The first and most important message that can be learned from this simple statement is that the assumption of knowledge can be detrimentally misleading. If business leaders think they know all there is to know about their business, they are more often than not, incorrect. If they think that they know all there is to know about business, again, probably incorrect.

That being said, another popular subject of Socrates was his inference that all knowledge is innate and all it takes is the correct line of questioning to bring it out.

If Socrates ran a business today, would it be successful? I would argue that while he may not be able to effectively lead a business to success as an owner or manager; he could provide an extreme benefit as a consultant.

Philosophy, like so many of the arts is subjective. To paraphrase one of Socrates most well known pupils, Plato, "Beauty is in the eye of the beholder." To me, the beauty of philosophy is in its simplicity. Utilizing the Socratic method in business can bring a wealth of information that will be beneficial to the growth and effectiveness of any business model.

Every person in a business is ultimately responsible for asking themselves two questions every time they make a decision: Why? and Why Not?

The farther up the corporate ladder you go, the more important these questions become. An executive, called upon to make a strategic decision must ask themselves at each point in the decision making process both of these questions. The answers will then shape the decision.

Too often, the wrong question is asked and answered. Too often, we ask our managers "How?" instead of "Why". "How do we make more money? Instead of "Why do we need more money?" While to some it may seem an issue of semantics, I would argue that it is much more of a philosophical difference. Asking the "how" question is only important once the "why" and "why not" have been answered. How something is accomplished doesn't mean anything if it's accomplishment serves limited purpose.

There is a major difference between questions and answers. It is often much easier to answer questions than it is to come up with them. The problem with answers is that they are limited to the questions being asked. The great thing about questions is that they are limitless in their availability and boundless in their scope.

A boardroom is not the place to figure out how do to something, but a place where the philosophical dialectic needs to take place. Every CEO and VP needs to be able to harness their inner Socrates and dig into the correct issue. More than likely, there is enough intelligence and experience to provide the basis to bring about this type of necessary conversation. There will be an answer to any question or problem. The key to finding it is as basic as asking the correct questions in the correct order.