Using Psychology In Business
Everything that a business does is strongly dependent upon “psychology.” Marketing, sales, human resources, customer satisfaction, product development – what business task doesn’t involve psychology? Yet despite that, very few executives turn to psychologists to make the businesses run more smoothly, make more money and have happier workers and colleagues. Instead they turn to other “business” experts who, themselves, depend upon the findings from psychological research to make their recommendations.
Why not cut out the middleman and go right to the source?
As important as it is to have a mentor group, a “Mastermind,” a Board of Directors, a marketing team, a legal department, and a research and development division, it is more important to consult an expert on human behavior whether or you are starting out in business, expanding your business, downsizing your business, planning succession or recruiting, training or supervision your new hires. Successful entrepreneurs know this.
Why do successful athletes have coaches? Don’t they know how to get the job done already? Of course they do – and they know that to be successful, they need to have a successful coach and coaching routine.
That’s the role of a clinical psychologist for business – being able to apply the principles of human behavior to a variety of business environments to help ensure the success of the business enterprise and also ensure that employees are successful and that customers are happy and satisfied to be repeat customers. We’re not referring to the “classical” model of psychology that is often portrayed in movies or TV shows – that type is more suited dramatic story-telling and endless therapy sessions, but is a very poor model of modern psychology used in business.
We’re talking the kind of Behavioral Psychology that has won awards when used in areas such as “Behavioral Finance” or behavioral Economics.”
And as an Executive Coach or Entrepreneurial Mentor, a psychologist is essential to helping an individual avoid the pitfalls facing a rising corporate or start-up star.
There is no escaping human behavior. Why not learn as much about human behavior as possible from the experts who know it best?
When most people think of psychology, they think of “mental Illness” or “mental health” or other out-dated medical model myths. But the truth is more revealing. Since becoming a scientific discipline around the time of World War II, psychological research and practice has developed into dozens of areas, only one of which involves dealing with depression, anxiety and similar issues.
Professional psychology has had decades pf experience in such areas as:
- Industrial Performance
- Organizational Development
- Consumer Behavior
- Business Consultancy
- Military Psychology
- Conflict Resolution
- Measurement & Test Development
- Personnel Management
- Behavioral Finance & Economics
- Human Capital Analysis
- Talent Management and Acquisition
- Workforce Analysis
- Law Enforcement
- Public Safety
- Group Dynamics & Behavior
- Health & Wellness
- Quantitative Methods and Qualitative Methods
- Human Resources
- Exercise Psychology
- Veterans Affairs
In Business, One Size Does Not Fit All
Enter “scalability.” It takes different skills to start a business than to build (“grow”) a business. And also different skills to manage a business. Honestly, the same person cannot successfully discharge all three of these activities well, unless they make substantial changes in their own skill set and leadership styles. Not everyone can do that, as is evidenced from the high rate of innovators and inventors who lost their inventions or companies to others who were more skilled in those areas.
But the psychological skills need to overcome the obstacles inherent in any growth or transition phases in the life of a business can be learned. From start up (“entrepreneurial”) businesses to decades old favorites (“mature”) companies, it is important to keep a executive’s skills sharp. Even if you are a solo practitioner of a start-up, it’s important to keep your eye on the long-term view. ANd remember, every big business and every big business owner or CEO, had a “Once upon a time…”