Table Of ContentManagement for Professionals
For furthervolumes:
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Argang Ghadiri (cid:129) Andreas Habermacher (cid:129)
Theo Peters
Neuroleadership
A Journey Through the Brain
for Business Leaders
ArgangGhadiri AndreasHabermacher
TheoPeters ctp,corporatetrainingprogrammes
BusinessAdministration Zuerich
Bonn-Rhine-Sieg Switzerland
UniversityofAppliedSciences
SanktAugustin
Germany
RevisedandadaptedtranslationofthebookNeuroleadership,publishedinGerman
byGablerVerlag,Wiesbadenin2011.
ISSN2192-8096 ISSN2192-810X(electronic)
ISBN978-3-642-30164-3 ISBN978-3-642-30165-0(eBook)
DOI10.1007/978-3-642-30165-0
SpringerHeidelbergNewYorkDordrechtLondon
LibraryofCongressControlNumber:2012950142
#Springer-VerlagBerlinHeidelberg2012
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Preface
The brain is a massive network of connections and the journey to this book also
startedintheelectronicwebofconnectionsandinteractions—theInternet.Eachof
ushaddevelopedapassionforneuroscienceanditsimpactinbusinessindifferent
locations. Professor Theo Peters and Argang Ghadiri had worked together on the
GermanversionofthisbookandtheyfirstinteractedwithAndyHabermacheronan
onlineneuroleadershipforum.Theyhadbeendeeplyimpressedwiththepapersand
writingsofAndy.Andyhadseparatelydevelopedhispassionafterbeingintroduced
toneuroscience byDr.Srinivasan Pillayduringacourse inNew Yorkfocused on
executivecoaching.Thisonlineinteractionledtosomepersonaldiscussiononhow
wecouldcollaboratecloserandinwhatform.Fromthissprungforththeconceptof
thisbook.Thisshowsmorethananythingthepowerofthenetworkandofnetworks
ingeneral,whethertheybesocial,electronicorinthebrainitself.
ThisbookisgroundedintheGermanversionandyetitisalsodifferent.Wehave
worked throughit andturneditinto anenriched English version–someconcepts
have been added to, some more depth has been added. What you read here is the
resultofastrongcollaboration.Itisthefruitofoureffortsandithasblossomedinto
what we feel is something that can give you value and powerful insights into the
brainandleadership.Morethananythingelsewehopethattheseconceptswillnot
stayinthebookbutwillbetakenandimplementedconcretelyintheworkplace.
In our collaboration we have also had to practice what we preach over the
following pages and our collaboration has proven to be engaging, exciting, chal-
lenging and fun all at the same time. We have worked hard but enjoyed it
immensely.Wehavediscussedideasandalsothrownoutideasbutallunderstand-
ing the final goal we wanted to achieve. We have positively criticised and given
eachothercomplimentswhereandwhennecessary.Inshortithasbeenhardwork
butverymuchfunatthesametime.
Indeed, any book a major product and requires commitment and hard work.
A book also is, in some respects, the product of the people who have helped to
developus,theauthors.Itisthesynthesisofideasandthoughtsandtheknowledge
we have collected over the years, and many, many people have been involved in
thisprocess.Therehavebeenpeoplewhohavehelpedusdirectlyandindirectly—
wehavedrawnfromotherauthors,researchers,academicsandscientists.Wehave
discussed amongst ourselves, with colleagues, on online forums and through our
formal work. Many of the ideas can be traced to individuals but much cannot be.
v
vi Preface
And this is why we would in general like to thank all the people who we have
interacted with over the years and whose input has helped us to develop our own
ideas. Thenumberofpeopleis toolarge tomentionspecificnameshere.We also
believethewealthofthisknowledgeliesinthemixandnotthequantity—itisthe
rightmixofingredientsinthekitchenthatcreateawonderful,tastydishandnotjust
theindividualingredients.
Importantly though, this would not have been possible without the help of our
publisher,andourspecificthanksthereforegotoSpringer,andespeciallyBarbara
Fess, who so quickly realised that this was a book they wanted to publish. We
reached a formal agreement very quickly and this made the publishing process
painless.
Wenowonlyneedtoexpressourwishthatyouenjoythebookandareableto
drawoutsomeoftheknowledgetoenrichyourlifeandyourexperienceofbeinga
leader.Wehopethisbookprovesasusefultoyouasithasalreadyproventobeto
eachofus.
ArgangGhadiri
AndyHabermacher
TheoPeters
Contents
1 Neuroleadership:TheBackdrop . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.2 Neuroeconomics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
1.3 Neurobusiness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
1.4 Neuroleadership . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
1.5 DefiningtheNatureofHumanNature:Historical
ConceptsofMan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
1.5.1 HomoEconomicus:EconomicMan . . . . . . . . . . . . . . . . 8
1.5.2 HomoSociologicus—SocialMan . . . . . . . . . . . . . . . . . 9
1.5.3 Self-ActualisingMan . . . . . . . . . . . . . . . . . . . . . . . . . . 10
1.5.4 ComplexMan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
1.5.5 Brain-DirectedMan . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
1.6 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
2 NeuroscienceforBusiness . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
2.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
2.2 Neuroscience:itsDevelopmentanditsDisciplines . . . . . . . . . 18
2.2.1 AVeryBriefHistoryofNeuroscience . . . . . . . . . . . . . 18
2.2.2 NeuroscientificDisciplines . . . . . . . . . . . . . . . . . . . . . 19
2.3 TheBrain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
2.3.1 BrainStem . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
2.3.2 TheLimbicSystem . . . . .. . . . . . . .. . . . . . . .. . . . . . 23
2.3.3 CerebralCortex . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
2.4 InformationProcessingintheBrain . . . . . . . . . . . . . . . . . . . . 26
2.5 ImportantInsights . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
2.5.1 Plasticity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
2.5.2 RewardSystem . . . . .. . . .. . . .. . . . .. . . .. . . .. . . . 31
2.5.3 MirrorNeurons .. . . . . .. . . . . .. . . . . .. . . . . . .. . . . 33
2.6 MethodsofBrainResearch . . . . . . . . . . . . . . . . . . . . . . . . . . 34
2.6.1 Electroencephalography . . . . . . . . . . . . . . . . . . . . . . . 35
2.6.2 Magnetoencephalography . . . . . . . . . . . . . . . . . . . . . . 35
2.6.3 PositronEmissionTomography(PET) . . . . . . . . . . . . . 36
2.6.4 FunctionalMagneticResonanceImaging(fMRI) . . . . . 36
vii
viii Contents
2.6.5 DiffusionTensorImaging(DTI) . . . . . . . . . . . . . . . . . 37
2.6.6 TheStateofPlayonTechnology . . . . . . . . . . . . . . . . . 37
2.7 TheImpactofEmotionsonNeuralProcesses . . . . . . . . . . . . . 39
2.7.1 EmotionalIntelligence . . . . . . . . . . . . . . . . . . . . . . . . 40
2.7.2 NeuroscientificAspectsofStressandFear . . . . . . . . . . 41
2.7.3 FunctionalEffectsofEmotionsinOrganisations . . . . . 45
2.8 ThePoweroftheLimbicSystem . . . . . . . . . . . . . . . . . . . . . . 47
2.9 NeurochemicalProcesses . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48
2.9.1 NeurotransmittersandtheirFunctions . . . . . . . . . . . . . 49
2.9.2 CognitiveEnhancement . . . . . . . . . . . . . . . . . . . . . . . 49
2.10 ABrain-FriendlyEnvironment . . . . . . . . . . . . . . . . . . . . . . . . 52
2.11 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
3 NeuroscienceinBusiness:KeyProtagonists . . . . . . .. . . . . .. . . . . 55
3.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 55
3.2 Hermann’sBrainDominanceConcept . . . . . . . . . . . . . . . . . . . 56
3.3 SupportiveLeadershipbyH€uther . . . . . . . . . . . . . . . . . . . . . . . 57
3.4 DavidRock’sSCARFModel . . . . . . . . . . . . . . . . . . . . . . . . . . 59
3.5 NeuroleadershipAccordingtoElger . . . . . . . . . . . . . . . . . . . . . 60
3.6 Pillay’sBrainBasedApproach . . . . . . . . . . . . . . . . . . . . . . . . . 61
3.7 EvaluationoftheApproaches . .. . . . .. . . . .. . . . .. . . . .. . . . 62
3.8 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 68
4 FourBasicHumanNeedsattheHeartofNeuroscience . . . . . . . . . 69
4.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 69
4.2 BasicNeeds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 71
4.2.1 Attachment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 72
4.2.2 OrientationandControl . . . . . . . . . . . . . . . . . . . . . . . . 74
4.2.3 Self-Esteem . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75
4.2.4 PleasureandPainAvoidance . . . . . . . . . . . . . . . . . . . . 76
4.3 SummarisingtheBasicNeeds . . . . . . . . . . . . . . . . . . . . . . . . . 76
4.4 MotivationalSchemata . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 77
4.5 MotivationalSystemsandPersonalityTypes . . . . . . . . . . . . . . . 78
4.6 ConsistencyTheoryModel . . . . . . . . . . . . . . . . . . . . . . . . . . . 80
4.7 ApplicationinNeuropsychotherapy . . . . . . . . . . . . . . . . . . . . . 82
4.8 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 83
5 OrganisationalandPersonnelDevelopmentToolsinthe
NeuroscienceSpotlight . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85
5.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85
5.2 TheEffectofPersonnelandOrganisationalApproaches . . . . . . 86
5.3 InstrumentsofPersonnelandOrganisationalDevelopment . . . . 89
5.3.1 JobEnlargement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 90
5.3.2 JobRotation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 91
5.3.3 JobEnrichment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 93
5.3.4 AutonomousWorkGroups . . . . . . . . . . . . . . . . . . . . . . 94
Contents ix
5.3.5 JobCharacteristicsModel . . . . . . . . . . . . . . . . . . . . . . . 96
5.3.6 Flow . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 97
5.4 LeadershipConcepts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100
5.4.1 TraitTheory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100
5.4.2 BehaviouralTheory . . . . . . . . . . . . . . . . . . . . . . . . . . . 102
5.4.3 SituationalTheory . . . . . . . . . . . . . . . . . . . . . . . . . . . . 103
5.4.4 EmotionalLeadership . . . . . . . . . . . . . . . . . . . . . . . . . . 106
5.4.5 ManagementbyObjectives . . . . . . . . . . . . . . . . . . . . . . 108
5.4.6 Coaching . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 110
5.5 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 112
6 PracticalApplications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 115
6.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 115
6.2 ACTIVEModel . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 116
6.2.1 Analysis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 116
6.2.2 ConsistencyProfile . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120
6.2.3 Transformation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 121
6.2.4 InconsistencyAvoidance . . . . . . . . . . . . . . . . . . . . . . . 123
6.2.5 VErification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 124
6.3 CompetenciesoftheNeuroleader . . . . . . . . . . . . . . . . . . . . . . . 125
6.4 Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 128
6.5 ClosingWords . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
7 LearningCheck . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 131
Glossary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 135
Bibliography . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143
Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 153
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