Summary of the Managerial Wisdom

Moberg,
Moberg, D.
D. J.J. (n.d.).
(n.d.). Managerial
Managerial wisdom.
wisdom. The
The Next
Next Phase
Phase of
of Business
Business Ethics:
Ethics: Integrating
Integrating
Psychology and Ethics, 377–396.
Psychology and Ethics, 377–396.

Introduction

This descriptive research tries to light the way and explain a procedure for developing

practical wisdom in novice managers. Main research of this study is summarized, and

implications to the development of a concept of managerial wisdom are provided.

Wisdom is a concept with no consensual definition. Nevertheless, it has been the subject

of significant work in both philosophy and psychology. Three alternative meanings of

wisdom appear in the Oxford English Dictionary (OED): (1) the ability to judge rightly in

matters relating to life and conduct; (2) knowledge, learning, or erudition, especially in

relation to philosophy or science; and (3) wise discourse or sayings.

Objective

The paper critically examines the nature of managerial knowledge, highlights the

limitations of formal managerial knowledge in informing managerial practice and

demonstrates the role of alternative forms of knowledge, knowing and wisdom in

informing the practice of a sample of novice managers.

In addressing this matter, this paper seeks to respond and focus on more works on the

subject of the practical wisdom such as the wisdom tree depicted the liberal arts (at the

time: astronomy, geometry, music, arithmetic, grammar, rhetoric, and dialectics) arranged

as branches of the tree with wisdom being at the top (Clayton & Birren, 1980)., applied to

business ethics (e.g. Solomon, 1992; Moberg, 1997)., especially in the context of
responding to crises, since these situations usually include important ethical issues that

threaten a company's code, culture and values. The role of the CEO becomes crucial for

protecting the moral tone of a company, accepting responsibility where appropriate,

seeking to reduce limit violations to stakeholder interests. Unfortunately, wisdom as a

subject for academic inquiry virtually disappeared sometime during the last century

(Chandler & Holliday, 1990). It being studied again into contemporary analysis on

wisdom by John Kekes (1983, 1995) offers specific insight about wisdom, to see wisdom

as the integration of a set of virtues. The whole research will lead us into some work by

psychologists on intelligence in the pragmatics of life and the integration of these ideas

with special attention to how wisdom unfolds in the context of being a manager.

The wisdom concept will be explain briefly begins with the oral tradition in

prehistory, moves through the Hebrew, Greek and Christian Traditions and end with some

attention to the Eastern Tradition.

The Oral Tradition

Wisdom refers to a special mastery of the challenges of life. Based on the artifactual

record together with our understanding of pre-literate societies, there are some credible

conclusions (Lobsang, 1965). This early wisdom literature (Wood, 1967) is rooted in an

even earlier oral tradition in which people passed such notions from generation to

generation. This oral tradition was entrusted to scribes, the subject seems to have changed

from the mundane to the philosophical (Holliday & Chandler, 1986).

Hebraic Tradition

Wisdom in herbraic tradition is commonly represented in what is known as the wisdom

literature (e.g. Rad, 1972). The distinction between religious and secular wisdom emerges

in Hebraic wisdom. Religious wisdom was conveyed through the Torah (translated as law

or divine instruction). Secular wisdom in the Hebrew tradition was offered to the

inquiring spirit of all people. Thus, while religious wisdom appealed to authority, secular

wisdom looked to the evidence of experiences and verifiable observation (Clements,

1992).

Greek Tradition

Wisdom in greek tradition takes three distinct forms: sophia, the theoretical wisdom that

is the gift of the philosopher who ponders the meaning of life, phronesis, the practical

wisdom that arms any public person with prudence and self-control, and episteme, the

scientific wisdom about how things work.

Christian Tradition

Wisdom in Christian tradition wisdom is a gift God bestows on man as a result of prayer

and humility.

The Eastern Tradition

Wisdom in eastern tradition represent more from Zen Buddhism, Taoism, and Hinduism

holds that too much rational, intellectual analysis seriously impedes the development of

wisdom (Conze, 1958; Cragg, 1976; You, 1972).

Modern Philosophical Views Of Wisdom

In modem philosophical treatments of the subject, wisdom is often described as an

antidote to the uncertain vicissitudes of life.

Modern Psychological Views Of Wisdom

There are several implications of these psychological approaches to wisdom. First, it

seems clear that if a managerial wisdom exists it is not likely to be a manifestation of a

generalized attribute. Indeed, managerially wise persons may not at all be wise in other

spheres of their lives. Second, managerial wisdom may be enhanced by virtue of some

education in the human life cycle. Managers who understand their own stage of

development together with the developmental stage of those with whom they work may

have more wisdom potential than those who do not. Third, wisdom is not simply

knowledge. It is insufficient to attend a course or read a book (Nichols, 1996).

Wisdom As Common Sense Intelligence

Experience alone is a poor teacher of managerial wisdom. However, learning what

constitutes the everyday intelligence/tacit knowledge of those in the managerial ranks

may be a necessary step in developing wisdom.

Conclusion

Many of the scholars involved in wisdom research do not think wisdom can be taught.

The paper consolidates disparate critiques of formal managerial knowledge, provides a

useful analytical typology of managerial wisdom and presents sound evidence of the

extent and nature of wisdom used in novice-managers’ practice. The research revealed

that managerial wisdom relies on a dynamic interaction between perception, experience,

character, and an insightful vision of what is proximately and ultimately good for people,

organizations, and business. The concept and the applications reported in this paper

should be of use to academics and human resources practitioners interested in the

professional development of managers within classroom settings and organizational

settings.
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