Chapter 121 - As A Man Thinks…: Thomas J. Watson, the Man and his Philosophy of Life as Expressed in His Editorials
Today’s Chapter is based on the book ”As A Man Thinks…: Thomas J. Watson, the Man and his Philosophy of Life as Expressed in His Editorials“ by Thomas J. Watson.
Thomas J. Watson Sr. was an American industrialist who led IBM from 1914 to 1956 and he built the company into a global leader in data processing and information technology, emphasizing salesmanship, research, and international expansion. Watson's leadership established IBM's corporate culture and positioned it as a dominant force in the emerging computer market, with revenues growing from modest beginnings to nearly $900 million by the time of his death.
Here’s what I have learned:
Pursuit of Knowledge
“The only true wisdom is in knowing you know nothing.”
— Socrates
Thomas J. Watson revered education as the key to unlock human potential. He saw learning not as a finite task but as a lifelong journey that is essential for personal and societal advancement. As he once said, “there is no saturation point in education.”
As a matter of fact, for Watson, education was not just a personal but a societal responsibility; one that ensures each generation builds on the achievements of the past. Watson quotes Confucius, who once said, “The men of old, when they wished their virtues to shine throughout the land, first had to govern their states well. To govern their states well, they first had to establish harmony in their families. To establish harmony in their families, they first had to discipline themselves. To discipline themselves, they first had to set their minds in order. To set their minds in order, they first had to make their purpose sincere. To make their purpose sincere, they first had to extend their knowledge to the utmost. Such knowledge is acquired through a careful investigation of things. For with things investigated knowledge becomes complete. With knowledge complete the purpose becomes sincere. With the purpose sincere the mind is set in order. With the mind set in order there is real self-discipline. With real self-discipline the family achieves harmony. With harmony in the family the state becomes well governed. With the state well governed there is peace throughout the land.”
Furthermore, Watson firmly believed that seeking knowledge is the key to solving problems, innovation and to adapt to an ever-changing world. He draws inspiration from figures like James Watt and Louis Pasteur, whose relentless study and experimentation revolutionized industries. Watson once said, “Long and intense study, careful, untiring experimentation and the application of scientific knowledge acquired by similar methods, ultimately gained for Watt one of the greatest crowns the world has in its power to bestow.”
In fact, Watson emphasizes that education enriches our understanding of the past which prepares us for future opportunities. He explains that “Knowledge becomes a link between discoveries and inventions of the past and new discoveries and inventions of the future. Study prepares us to meet the challenge of the future, which holds greater opportunities than we have ever before witnessed.”
"Over the centuries people have found that education provides keys which unlock new doors to new worlds. Through study we open vast storehouses of information and knowledge in spiritual, social, civic and economic activities, and in the arts and sciences."
— Thomas J. Watson
However, Watson cautions us against the mere accumulation of facts. True education, he argued, requires applying knowledge to real-world challenges. As he once said, "We must broaden and develop our philosophy, but we must remember, as Cardinal Newman said, 'A great memory does not make a philosopher.' It is through the proper application of what we learn that we make our contribution to civilization."
"The mind is a storehouse of information—either useful or useless. Whether it be filled with trash or treasure is a matter of our own choosing."
— Thomas J. Watson
This reminds me of Henry Ford who once said “The object of education is not to fill a man’s mind with facts; it is to teach him how to use his mind in thinking.” As such, Ford did not believe that one’s knowledge should be judged by their formal education. As he once said, “An educated man is not one whose memory is trained to carry a few dates in history—he is one who can accomplish things. A man who cannot think is not an educated man however many college degrees he may have acquired.”
“But the best that education can do for a man is to put him in possession of his powers, give him control of the tools with which destiny has endowed him, and teach him how to think.”
— Henry Ford
Furthermore, he truly believes that one’s education starts after graduation, as the main goal of education is to teach him how to use his mind in thinking. **As such, when Henry Ford was running the Ford Motor Company, Ford never hired any experts or men with past experiences. His reasoning was that “A man who knows a job sees so much more to be done than he has done, that he is always pressing forward and never gives up an instant of thought to how good and how efficient he is. Thinking always ahead, thinking always of trying to do more, brings a state of mind in which nothing is impossible. The moment one gets into the "expert" state of mind a great number of things become impossible.”
Power of Thinking
“Reading furnishes the mind only with material of knowledge; it is thinking that makes what we read ours.”
— John Locke
Thomas J. Watson is known for being a visionary leader and the driving force behind the rise of IBM. One of the most compelling lessons we can learn from his writings is the power of constructive thinking.
As a matter of fact, Watson believed that every significant achievement in human history comes from our ability to think creatively and purposefully. His emphasis on constructive thinking is rooted in the idea that the mind, when properly harnessed, can overcome obstacles and spark breakthroughs.
“To think is to achieve. Since time began for human beings, every great endeavor, every outstanding accomplishment has owed its origin to constructive thinking.”
— Thomas J. Watson
Furthermore, Watson believed that thinking is not a passive activity but an active force for achievement. He extends this idea by highlighting the journey of Michael Faraday, a newsboy who turned into one of the most influential scientists in history through active curiosity and intellectual rigor. Faraday’s story serves as a testament to how necessity and observation can sharpen the mind, leading to remarkable outcomes.
Watson writes, “Necessity forces a newsboy to think. With acutely sharpened wits he observes, ponders, draws conclusions—becomes a keen student of life and people, and at an early age forms habits of individual thinking which lead to accomplishments later on. Thought begets the will to create.”
Moreover, Watson warns against the pitfalls of a “fixed idea,” advocating for flexibility in thought. He suggests that seeing problems from multiple angles and being willing to revise preconceptions can illuminate new solutions. This adaptability is crucial in today’s world, where rapid technological advancements and global interconnectedness demand innovative approaches. Watson’s philosophy encourages us to approach challenges with an open mind, fostering a culture of continuous learning and improvement.
“Too often we labor under the burden of a ‘fixed idea’—the result, generally, of a fixed point of view. The ability to see a problem from every angle and to reverse, when need be, all pre-established convictions provides the light of inspiration and constructive thought.”
— Thomas J. Watson
This reminds me of the concept of “labour of thinking” that we have learned from Harvey Firestone. Firestove believed that thinking is primordial in making good decisions and to run a successful business in the long run. In his book “Men and Rubber: The Story of Business”, he provides the example of Henry Ford, the founder of Ford Motor Corporation. While Ford is known for making business decisions quickly, but in reality, “He reaches his decisions slowly and alone; he does not jump at anything, and so, when the time comes for execution, everything moves with marvelous rapidity because everything has been previously thought through and planned.“
As a matter of fact, Ford was a master of delegating executive duties to others and made sure to have enough time on his own to think, and to plan and to watch. He would make sure to never assign any executive duties to himself and to have no social obligations.
“He has had the time to do this thinking and planning because he has used his time himself instead of permitting others to use it for him. And he is certain that plans will be executed for him, because he knows how to let men go when they grow too rich and lazy to execute.”
— Harvey Firestone
Furthermore, Firestone hated working with people that made quick decisions without having a long train of thought behind them. He once said, “I do not want to have around me the kind of man who can give me an instant decision on anything I may bring up, for, if he has not had the opportunity to give the question serious thought, then he is only guessing. And I can do my own guessing!” In fact, unless he was under an emergency, Firestone much preferred taking his time and to only make decisions after serious thinking and he was known for taking things one at a time. He once said, “One thing at a time is a pretty good rule—a rule that I never break.”
Similarly, he always made sure that his companies had enough money on the balance sheet. This would avoid being forced to make quick decisions due to financial pressure. This lesson was taught to him by his father who would often tell him “Never rush in on a deal. Let it come to you.”
“That is the course he followed, and by the time he was ready to trade, he knew the whole market. If his survey convinced him that the market was not a good one either to buy or to sell in, he simply went home again. He often held his stock a year to get better prices, and he was so good a judge of conditions that I do not recall that he ever made a mistake by holding. If the market were high and seemed to be going higher, he would seldom wait long to sell, and he never held back in the hope that the prices would soar to some impossible figure. Although he probably had never heard of Baron Rothschild’s advice never to buy at the top or sell at the bottom, he literally followed it. He never wanted to get more than his stock was worth or to buy stock for less than it was worth, which is probably the reason why everyone in the market respected him and dealt with him fairly.”
— Harvey Firestone
Golden Rule
“Do unto others as you would have them do unto you”
— The Golden Rule
Perhaps, the most enduring lesson from Thomas J. Watson’s philosophy is the centrality of the Golden Rule as a guiding principle for human interaction and leadership. In fact, he argues that the Golden Rule is expressed across various faiths and cultures (i.e. Buddhism, Christianity, Confucianism, etc.) and provides a common moral foundation. He explains that "Whatever a man's faith is, he should follow it and join others of other faiths who are endeavoring to make the Golden Rule the yardstick of our daily practice in business, religion and society."
As such, Watson also viewed the Golden Rule as a practical guide in business and in governance. He mentions that “Business and government, in high places, are seeking to follow this principle, which means following the principles of the Golden Rule.” By consequence, he truly believed that true leadership begins with service. Leaders must serve those they guide by fostering environments where collaboration and mutual respect can thrive.
Watson once said, "The true leader of a nation, a private enterprise or a family realizes that the success of his leadership is dependent upon the growth and development of those whom he leads. The real leader is an assistant first. He is zealous in his effort to give his associates the best that is in him. By example and through education he builds men."
As a matter of fact, Watson believed that by treating others with respect, empathy and understanding, it creates a positive working environment that encourages collective progress. As he wrote, “Put into practice, "service of others" becomes a powerful influence toward cementing human relations and engendering the good will that is so necessary in advancing the interests of all mankind.”
“The keystone of the arch which we must pass through on the road leading to the horizon of peace must be the Golden Rule: ‘Whatsoever ye would that men should do to you, do ye even so to them.’”
— Thomas J. Watson
This reminds me of how J.C Penney succeed in business by following a similar approach. As a matter of fact, Penney believed that the relationship between a merchant and a customer was sacred and that a business could only succeed if it served the needs of its customers with honesty and integrity. He embraced the idea that a merchant’s primary responsibility was to act as the representative of the customer in the marketplace.
"There must always be this mutuality of interest between the merchant and the people who buy goods at his store. The first obligation of the retail merchant is to act as the representative of his customers in the markets of the world. It is his business to get the supplies his customers want in the most direct, the swiftest, and most economical line from the reservoirs of modern industrial production into the homes of his people."
— J.C. Penney
Penney’s commitment to customer service went beyond just selling products; it was about ensuring that customers received the best possible value for their money. He believed that a successful business was built on trust and that customers would return if they felt they were being treated fairly and honestly. This philosophy became the foundation of the J.C. Penney Company, as Penney once said, “There are few things I enjoy more than making a good sale, but the second sale to the same customer gives me a thousand times more satisfaction.”
As a matter of fact, Penney realized that the relationship between seller and buyer is reciprocal, hence why he first named his store “The Golden Rule”, based on the famous saying “Do unto others as you would have them do unto you.” As such, Penney understood that every interaction with customers is an opportunity to build lasting relationships rather than merely making sales. As such, he was dedicated to serve customers beyond the normal transactional relationship; he sought to understand their needs deeply. By prioritising customer insights over mere profit margins, Penney established J.C. Penney stores as trusted destinations for shoppers.
“To be the servant of those people who were my friends and my neighbors, to be their representative in the wholesale markets, to prosper as a by-product of enriching them—was not that a thing to live for?”
— J.C. Penney
For J.C. Penney, the Golden Rule became more than just a slogan; it was a guiding principle that informed every aspect of his business, from customer interactions to employee relations. As he once said, “[The Golden Rule Store] was more than a trade name for me. It became a rule to take to heart and to live by.” Penney understood that ethical behavior was not just morally right, but also good for business in the long run.
Beyond the Book
Read "Henry Ford and the Actual Value of Education" by Farnam Street
Read "James Cash Penney and the Golden Rule" by Farnam Street
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