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Rafael Andreu Civit, Josep María Rosanas Martí,, professors, IESE University of Navarra

Obsession with objectivity

Wed, 13 Nov 2013 10:13:00 +0000 Published in La Vanguardia

In a previous article we talked about the tendency to use computerized methods of candidate selection through statistical correlations, and the dubiousness of such a procedure for this purpose. Today, we will go over the topic from another point of view: that these methods place an almost obsessive emphasis on objectivity, a tendency that is opposed to subjectivity.

The excuse is that without a procedure "goal" we run the risk of it being arbitrary and lending itself to cronyism or "plugs". But this is a misunderstanding of what management is all about. Entrepreneurs set up their companies and managers run them from agreement according to their criteria. If they succeed, they succeed; if not, they fail and have to stop their activity. Companies are managed in a completely different way from one another, responding in large part to the characteristics of their managers and their way of understanding the business, with subjective criteria. Necessarily. Inevitably. But that does not mean arbitrarily or dishonestly - hence the Economics market in terms of success or failure.

The strategy of a business always has subjective elements. It consists of defining what to do to distinguish itself competitively from others. To do the same is to have no strategy. We would add that this requires defining which subject customer to target and how; targeting the activity of a business "to everyone" makes little difference and does not give rise to a strategy as such.

Good strategies are different from one another, which implies that the characteristics of the people and their way of organizing and working to make them a reality are also different. There are no recipes for this, which is what innovation is all about. Thus, it is not enough to have "a good salesperson" or "a good cashier" chosen according to standard criteria. Are they for the subject of business that we want to be? Statistics and "objective" methods can leave important nuances behind, which ultimately lead to success or failure. Many companies hire for attitudes rather than knowledge, which can be learned; attitudes are worn. And there is no way to know them goal. Fortunately. If not, life would be torture. Don't you make several subjective decisions every day? Y... do you think they are the important ones? That's right.