CHAPTER XII_Increasing Human Efficiency in Business A Contribution to the Psychology of Business

MAKING EXPERIENCE AN ASSET: JUDGMENT

FORMATION

WHY is it that of two men who are

working at the same desk or bench

the one acquires valuable experience

rapidly and the other slowly?

Why is it that of two houses each employing

a thousand men the one sees its employees

securing experiences that enhance their earning

capacity rapidly, but the other house is

compelled periodically to secure new blood by

importing men from rival firms?

Modern psychology teaches that experience

is not merely the best teacher but the only

possible teacher. All that any instructor can

do is to select and to provide the conditions

necessary for appropriate experiences and to

stimulate the learner to make the most of

them. The ignorant is changed into the learned

by means of the utilization of profitable

experiences. By the same method the novice is

changed into the expert; the amateur into the

professional; the inefficient into the efficient;

and the errand boy into the manager.

One of the most important questions any

man can ask is this: What experience am I

actually getting from day to day and what experience

might my situation offer?

One of the most important questions the

employer of men can ask is this: How much

more efficient will my men be to-morrow because

of the experience of to-day? How

might their experience be changed or utilized

so that their efficiency might be increased

more rapidly?

In planning to secure permanent increase in

efficiency, whether for one's self or for one's

employees, we simplify our problem by considering

it under the two following subdivisions:--

What Experiences are Most Valuable?

How may these Most Valuable Experiences

be Secured and Utilized?

Preparatory to the answering of these two

questions it will simplify matters to consider

the general conditions which affect the value

of experience.

GENERAL CONDITIONS GIVING VALUE TO

EXPERIENCE

1. Health and Vigor.

The mind and body are so intimately connected

that the value of an experience is seriously

affected by depletion or exhaustion of

the body. The experiences acquired when one

is fresh and vigorous are remembered; those

acquired when one is tired are forgotten. Most

college students find that lessons gotten in the

morning are better remembered and are more

readily applied than those learned after a day

of exhaustive work. We get most out of those

experiences secured when we are feeling the

most vigorous, whether the vigor be dependent

upon age, rest, or general health.

2. Experience is valuable proportionately as

we apply ourselves to the task on hand. By

intensity of application we not only accomplish

more, but each unit of work contributes more

to our development. Under the stress of voluntary

and spontaneous attention, under the

stimulus of personal efficiency-ideals, and under

such social demands as competition and imitation

we develop new methods of thought and

action which are thereupon adopted as the

methods for future action.

3. The value of an experience depends upon

what has been called the ``personal attitude''

sustained during the experience. Three forms

of ``personal attitudes'' have been distinguished

and are designated as follows:--

(_a_) The submissive or suggestible attitude.

(_b_) The self-attentive attitude.

(_c_) The objective or the problem attitude.

(_a_) One is likely to be thrown into the submissive

attitude when a new situation arises

(a business problem), if one knows that he is

in the presence of others who could solve the

problem with relative ease or accuracy. In

such a situation the individual is hampered

in his thinking by the presence of those who

are more expert than he. His thinking is

therefore futile for the present difficulty and is

devoid of educative value.

(_b_) The self-attentive attitude is similar

to the submissive attitude, but is not to be

confused with it. If when confronted with a

difficult problem my attack upon it is weakened

by the expectation of assistance from others, I

am in a submissive attitude. If, however, my

attack is weakened by my realization that I

am on trial,--that what I do with the problem

will be observed by others,--then I become

self-conscious and am thrown into the self-

attentive attitude. If I am conscious that I

am being watched, it is quite difficult for me to

hit a golf ball, to add a column of figures, or

to deliver a lecture on psychology. So long

as I am self-attentive my efficiency is reduced;

I hit on no improved methods of thought or

action, and my experience therefore has no

permanent value.

(_c_) So soon as I can forget others and myself

and can take the objective, or the problem

attitude, the chances of efficient action are

greatly increased. I find it relatively easy

to assume this attitude when I feel that I

stand on my own responsibility; that the

problem cannot possibly be referred to any

higher authority, but that the solution depends

upon me alone. My chances of solving the

problem would be much reduced, if it were proposed

to me at a time when I felt domineered

by a superior, or when I felt that he knew much

more about it and could settle it much more

easily and surely than I. If the problem demanded

previous experience and the possession

of knowledge which I did not possess, it would

be likely to make me self-conscious and hence

incapable of utilizing even the experience and

the knowledge that I do possess. Past success,

the possession of wide experience, and

technical instruction keep me from assuming

the self-attentive attitude and enable me to

take the problem or objective attitude. This

is the only attitude consistent with improved

form of thought or action, and hence is the

attitude essential for valuable experience.

4. That experience is the most valuable that

is acquired in dealing with conditions similar

to those in connection with which improvement

is sought. Experience in wood-chopping makes

one a better chopper but does not necessarily

increase his skill in sawing wood. Experience

in bookkeeping increases one's ability in

that particular, but does not appreciably increase

his ability to handle men. Speed and

accuracy of judgment secured in inspecting one

sort of goods cannot be depended upon, if a

different sort of goods is to be inspected.

The experience secured in responding to one

situation will be valuable in responding to a

similar situation because of the three following

facts:--

(_a_) Two similar conditions may secure identical

factors in our activity. Thus school life

and the executive's work secure such identical

activities as are involved in reading, in writing,

or in arithmetic, and so forth, whether accomplished

in the schoolroom or the office.

(_b_) The method developed in one experience

may be applied equally well to another activity.

In connection with a course in college, a

student may acquire a scientific method of

procedure. At a later time he may (or he may

not) apply this same method to the problems

arising in his business or industrial life.

(_c_) Ideals developed in one experience may

be projected into other experiences. If the

ideals of promptness, neatness, accuracy, and

honesty are developed in one relationship of

life, the probabilities are somewhat increased

that the same ideals will be applied to all

experiences.

Provided that the four general conditions

discussed are secured, we then have the more

specific and important question to ask:--

WHAT EXPERIENCES ARE THE MOST VALUABLE?

Only those experiences are valuable that in

an appreciable degree modify future action.

One way in which an experience or a series of

experiences modifies future action is in the

formation of habits.

_Habit Formation_

Habit has a beneficial influence on future

action in five particulars:--

(_a_) Habit reduces the necessary time of

action. Repeating the twenty-six letters of

the alphabet has become so habitual that I can

repeat them forward in two seconds. To repeat

them in any other than an habitual order,

_e.g_. backwards, requires sixty seconds.

(_b_) Habit increases accuracy. I can repeat

the alphabet forward without danger of error,

but when I try to repeat it backward I am

extremely likely to go astray.

(_c_) Habit reduces the attendant exhaustion.

Reading English is for me more habitual than

reading French. Hence the latter is the more

exhausting process.

(_d_) Habit relieves the mind from the necessity

of paying attention to the details of the

successive steps of the act. When piano

playing has been completely reduced to habit,

the finger movement, the reading of the notes,

etc., are all carried on successively with the

minimum of thought.

(_e_) Habit gives a permanency to experience.

For many years in playing tennis I served the

ball in a way that had become for me perfectly

habitual. For an interval of three years I

played no tennis, but when I began again I

found that I could serve as well as ever. If

the manner of service had not been so perfectly

reduced to habit, I would have found

after an interval of three years that I was completely

out of practice, _i.e_. that my previous

experience did not have a permanent value.

(The subject of habit formation will be more

completely presented in Chapter XIII.)

A second form of experience that is capitalized

and so predetermines a man's capacity to

act and to think is the formation of what is

known as practical judgments.

_Practical judgments_

By a practical judgment is meant the conscious

recall of a concrete past experience and

the determination of some action by means of

this consciously recalled event. I find that it

will be necessary for me to secure a new stenographer.

I solve the problem by consciously

recalling how I got one before. Upon the

basis of that consciously recalled previous

experience I decide how to act now. This is a

practical judgment.

In strictness what is capitalized is not the

practical judgment itself but the original

concrete experience that is recalled at a later

time, and upon the basis of which a practical

judgment is formed.

Practical judgments cannot be more

comprehensive than one's previous experience.

The necessary condition for fertility in the

formations of practical judgments is therefore

richness of previous experience. Indeed one's

practical judgments are much more restricted

than one's actual experiences. A practical judgment

is dependent not merely upon having had

the necessary experience, but upon the recall

of it at the appropriate occasion. The key to a

side door of my house was temporarily lost.

After trying scores of keys, I found that a key

to a room in the attic would also open the side

door. This side-door key was again carried

off last week. After much vexation and after

trying numerous keys, I again discovered that

the key to the room in the attic would open the

side door. I failed to make the necessary

practical judgment. If when the key was lost

the second time I had recalled my former experience

and had taken advantage of it, I would

have formed a practical judgment and would

have saved myself much inconvenience.

The formation of practical judgments is not

a high form of thought. Indeed it is held by

many that the animals are capable of some

form of practical judgment. A much more

effective form of thought is the formation of

reflective judgments.

_Reflective judgments_

A practical judgment is based on a single

concrete case. A reflective judgment is based

on a generalization, an abstraction, or a principle

derived from many previous experiences.

Last night a salesman tried to induce me to

purchase an interest in an Idaho apple orchard.

Thereupon I recalled an instance of a friend

who a year ago had made such a purchase and

had found it a profitable investment. If on

the basis of this or some other concrete case I

had accepted or rejected his offer, I would have

made a practical judgment. As a matter of

fact I caused several concrete instances to

pass through my mind, made the generalization

that most professional men lose when they invest

in distant properties, and upon the basis of this

generalization made my reflective judgment

and rejected his proposition.

Last week on the golf links I saw a Bohemian

peasant woman wearing clothes full of small

holes. I tried to figure out how the clothing

had become so injured. I recalled seeing a

coat that had been left all summer in an attic

till it had been eaten to pieces by the moths.

On the basis of that recalled incident I satisfied

myself by means of the practical judgment

that she was wearing moth-eaten clothing. A

few days later I saw three of these women

working on one of the greens, and each of

them had on clothing full of small holes. I

began to reflect as to the cause of the holes. I

observed that each woman held a bottle in

her hand and was apparently applying the contents

of the bottle to the roots of the dandelion

plants. I inferred that the liquid must be

an acid. Then of all the qualities of an acid I

considered merely its corrosiveness. With

that abstraction in mind I made the reflective

judgment that the women were working with

an acid and that from time to time particles

of the acid got on their clothes and corroded

them.

A manager of a large manufacturing and

selling organization made a study of the conditions

affecting the prosperity of his organization.

From his observations he deduced the

principle that for him it is more important to

increase the loyalty of the men to the organization

than to reduce the apparent labor cost.

With this principle in mind he made various

reflective judgments in upbuilding his organization.

In these illustrations of theoretical or reflective

judgments it will be observed that no

previous single experience was in the mind of

the one forming the judgment but merely a

generalization, an abstraction, or principle.

The experience that is really capitalized is

the formation of the generalizations, abstractions,

and principles which are thereafter available

for reflective judgments and can be applied

to a multitude of novel situations but situations

in which the generalization, abstraction,

or principle is a factor.

The significance of reflective judgments in

increasing human efficiency was manifested

in a striking manner by the following experiment.

A group of individuals were tested

as to their ability to solve a number of mechanical

puzzles. The time required for each

individual was recorded. The subjects then described

as completely as possible how they had

solved the problem (worked the puzzle). In

some instances the subjects kept trying blindly,

till by accident they hit upon the right method.

In such cases the second and third trials might

take as long or even longer than the first trial.

If, however, the subject had in mind the right

principle or principles for solving the problems,

the time required for succeeding attempts fell

abruptly. Curve A of Figure 6 is a graphic

representation of the results of A with one of

the puzzles. To solve the problem the first

time required 1476 seconds. While solving

it this first time A discovered a principle upon

which success depended. The second attempt

consumed 241 seconds. While solving the

problem this second time he discovered a second

principle. With these two principles in

mind succeeding attempts were rendered rapid

and certain.

Another young man, B, in solving his problem.

(Chinese Rings Puzzle) succeeded after

working 1678 seconds. At the completion of

this successful attempt he had in mind no principle

for working it. The second trial was not

so successful as the first and lasted 2670

seconds. With succeeding trials he reduced

his time but not regularly and was still working

``in the dark.'' His method was one of

extreme simplicity and probably not different

from the ``try, try again'' method employed

by animals in learning. The results of his

first ten trials are graphically shown in Curve

B of Figure 6.

A comparison of Figure 6 with the five

{illust. caption = FIG. 6.}

figures of Chapter X will show how rapidly increase

of efficiency is when dependent upon

judgments as contrasted with improvement

dependent upon habit.

A judgment once having been made may be

utilized again and again. The process of

applying these preformed judgments is known

as an intuitive or perhaps better called an expert

judgment.

_Expert judgments_

Just as appropriate concrete experiences determine

the nature and the range of practical

judgments, and as the formation of generalizations,

abstractions, and principles determine

the possibilities of reflective judgments, so the

actual formation of the practical and reflective

judgments determine the nature and the range

of the intuitive or expert judgments.

Some years ago I had a need for an attorney

to perform for me a petty service. Just

at that critical moment I met a friend who was

a lawyer. I employed him forthwith. At a

later time I needed a lawyer again, recalled my

former experience, and called up the same

attorney. This employing him the second

time was clearly a practical judgment. If I

have frequent need for an attorney, I shall

probably make use of my preformed practical

judgment and employ this same attorney.

This act will never become a habit, but it will

approximate more and more a habitual action,

and will seem to be performed intuitively, and

will be an illustration of an expert judgment.

This morning I was asked to find a cook and

man of general utility for an outing camp. I

had no preformed practical judgment which I

could apply to the case and did not even possess

a remembrance of any experience upon

which I might base a practical experience. In

such a case therefore I am not only not an

expert but I do not possess the necessary preliminary

experiences for developing such ability.

During the last decade I have given much

thought to this question: Does the efficiency

of one's thinking depend at all upon the clearness

and distinctness of the mental image used

in the thinking? I settled the question in the

negative. The formation of this principle

(clear thinking does not depend upon clear

visual image) was an act of reflective judgment.

But now the application of this preformed

judgment has developed into an expert judgment.

Recently I was given the manuscript

of a course in psychology and asked to appraise

it. One of the chief points of the author was

to advise all business men to develop clear

visual images. In fact he asserted that clearness

of thinking was in proportion to clearness

of the visual image with which the thinking is

carried on. Without again weighing the evidence

for my principle, I applied my preformed

judgment and by means of this expert judgment

condemned the course.

A man is expert only in those fields in which

he has developed the appropriate habits, the

necessary, practical, and reflective judgments,

and has had some practice in applying these

judgments.

We find that four classes of experiences are

valuable, _i.e_. such experiences as result in the

formation of habits; such as result in practical

judgments, in reflective judgments, and in

expert judgments. Our final task is to consider

methods for increasing the probabilities

that such experiences may be secured and

utilized.

SECURING AND UTILIZING THESE MOST

VALUABLE EXPERIENCES

The conditions best adapted for procuring

and utilizing one class of these most valuable

experiences may not be the best for the other

three classes. Our final problem must therefore

be subdivided into four parts corresponding

to the four classes of valuable experience.

_Special Conditions Favorable to Habit Formation_

The essential condition for habit formation

is repetition with intensity of application.

The modern movement in the industrial world

known as scientific management supplies this

need for repetition by standardizing all activities

so that they will be repeated over and

over in identical form; and it secures the intensity

of application by means of the task and

bonus system. By these means the most

valuable experiences for habit formation are

secured and utilized.

The working out of this fact is so admirably

described in recent reports upon scientific

management that further description here

would be superfluous.

_Special Conditions Favorable to the Formation

of Practical judgments_

In addition to the four general conditions

discussed on pages 278 to 283@@@ the special

conditions most favorable to the formation of

practical judgments are the three following:--

1. The experiences most effective in arousing

practical judgments are those that are most

recent. A few days ago I purchased a piece

of real estate and was asked how I wanted the

property transferred. I replied immediately

that I wanted a warranty deed and a guarantee

policy. This was a practical judgment made

upon the basis of a recent previous experience.

As a matter of fact there are three distinct

methods of transferring real estate, but until

after my judgment had been made I was perfectly

oblivious of the other methods, although

I had had experience with them some years

before. Thus I utilized only my recent experience

in making my practical judgment.

2. Other things being equal, those experiences

are most valuable in arousing practical

judgments that have been the most frequent.

I have seen burns dressed many times and in

many ways, but most often they have been

dressed with soda and water. When I was

called upon recently to dress a burn I recalled

the method which I had seen most often and

formed a practical judgment based thereupon

and was helped out of my difficulty.

3. Our most vivid and intense experiences

are the ones most likely to be recalled and to

be utilized in the formation of practical judgments.

The mistakes that I have to pay for

and the deed that secured my promotion are

the experiences most fertile in the formation of

practical judgments.

_Special Conditions Favorable to the Formation

of Reflective judgments_

In addition to the general conditions mentioned

on page 278@@@ the special conditions favorable

for the formation of reflective judgments

are as follows:--

1. A theoretical education. Proverbially

schools teach generalizations, abstractions, and

principles. The scholar and the student are

compelled to practice in this most effective form

of thinking. A justifiable criticism of the

schools is that they are inclined to neglect the

lower forms of thinking--the dealing with the

concrete--in their zeal for the highest forms of

thinking. However, a school education not

only gives practice in handling generalizations,

abstractions, and principles, but it provides

the conditions necessary to stimulate the learners

to amass a useful stock of concepts that at

a later time will be used in reflective judgments.

2. Suggestions from others. Reflective

judgments depend upon condensed experience.

The condensation is not produced by compres-

sion but by selecting the common though essential

element from various former experiences

and by uniting these elements into a new unity.

This breaking up of former experiences by

analyzing out the essential factor is a difficult

task and one in which no man can proceed far

without assistance from others.

At a recent meeting of psychologists a

speaker presented a paper on the most helpful

order of presentation of topics for a course in

psychology. He simply called our attention to

certain facts which we had all experienced as

teachers of psychology. He then combined

these abstracted elements in a new unity in

such a way that I was enabled to form a reflective

judgment as to the order of presenting

topics in psychology. Without his suggestion

I probably never would have been able to make

the analysis necessary for the reflective judgment.

We need all the help we can get to assist us

to analyze our own experiences. To this end

we employ with great profit such agencies as

conferences with fellow-workmen, conventions,

visitations, trade journals, and technical discussions

upon our own problem (cf. Chapter

XI).

3. Verbal expression. We cannot well unite

factors of previous experience into a new whole

unless we have some symbol to stand for the

new unity. As such a symbol, a word is the

most effective. Animals never carry on reflective

judgments and never can, since they do

not possess a language adequate to such demands.

The attempt to express one's thought

in words is in reality often a means for creating

the thought as well as a means for its expression.

A few years ago I prepared a paper on

the subject, ``Making Psychology Practical.''

In my attempt to express myself I clarified

my thinking, formed new generalizations, and

therefore was enabled to do with full consciousness

(with reflective judgments) what previously

I had done but blindly.

It is a most helpful practice to attempt to

express in words just what one is trying to

accomplish; what are the conditions necessary

for success; what the conditions that are lower-

ing efficiency; and what are the possibilities of

the work, etc. The method of analysis and

expression assists wonderfully in abstracting

the aspects of one's experience necessary for

the generalization, abstraction, and principle

used in reflective judgments.

_Special Conditions Favorable to the Formation

of Expert judgments_

There are no clearly defined special conditions

for increasing one's capacity to apply expert

judgments. The general conditions discussed

on page 278@@@ seem to cover the case. If I have

provided, as an executive, for all these conditions

for developing expert judgments:--

(1) if I have good vigorous health,

(2) if I am working with enthusiastic application,

(3) if I have the right attitude towards my

work,

(4) and finally, if I am having frequent

experience in making practical and theoretical

judgments,--I am then fulfilling the conditions

most favorable for the development of expert

judgments.

Increasing Human Efficiency in Business A Contribution to the Psychology of Business · 第 12 / 13 章