Saks Gloweli Business Tip – A statistical correlation does not necessarily mean a cause-effect relationships


Saks Gloweli Business Tip – A statistical correlation does not necessarily mean a cause-effect relationships


The Hawthorne studies, conducted at the Western Electric Company found that employees worked more efficiently under altered lighting conditions. It was initially concluded that the lighting caused the improvement in production. Years later, it was realized that workers worked better not necessarily because of the lighting, but because they knew they were being intensively observed.

from: Michael W. Preis & Mathew Frederick,101 things learned at Business School

By Sid Mewara, Managing Director, Saks Gloweli Consulting Saks Gloweli Consulting is a management strategy consulting firm based out of Shenzhen and Hong Kong that helps clients grow their business www.saks-gloweli.com

14 Comments for “Saks Gloweli Business Tip – A statistical correlation does not necessarily mean a cause-effect relationships”

  1. I agree with you on this point, well said. Does confrontational mean disagreeing with the others who all have a vested interest in this site and who should at least disclose. I should think not for that is what thought and discourse and opinion is all about. Business school cannot be changed that’s why its better not to go unless your looking to spend a lot of money building a business network and now that is even a suspect purpose. I still remain hopeful that you will share something useful with the millions of readers of this site and when you do I will comment appropriately.

    • There is a value attached to business school and to MBA’s, more often than not there is a clear distinction in knowledge base and technical skills. I see you hold the view that the only value in graduate education is the network and the brand leverage (depending on which school you attended). There are a multitude of people who would disagree, and I am one of them.

      Now in regards to these articles, please consider that this is an online magazine/news/guide format and is not targeted towards the demographic that wants to read technical opinion papers and case studies. I suggest you read the Mckinsey quarterly, perhaps that will fulfill your need for cerebral content. The articles posted by me are dialed down to have a glance over and perhaps ponder upon in passing.

      Having said that, I will post a more informative and dialed up article shortly for you. Enjoy and please feel free to comment to your satisfaction.

      Sid Mewara

      • I understand dialed down, even more so when considering the demographic that publishes the site. We will have to disagree on the MBA portion, just run 12 companies and you can learn all you need to know. Thanks and I will wait for the dialed up version and look forward to it. For now, A is A.

  2. That Aristotel is no hater. He done called it like he seen it. Whoever wrote this crap should get his Genie lamp and flying carpet and fly on back to business school.

  3. One has the right to comment, fair play, this is an open forum and that’s what the comment section is for. If you are trying to change how graduate studies effect business and thought, perhaps not very helpful here. If you would articulate your opinions in a slightly less confrontational way, and engage in a meaningful conversation, it would be more fruitful to the other readers as well.

    If you are looking for more technical substance in these articles, as in hard knowledge, I can perhaps put together a few for you.

    Sid Mewara

    • Well put. I learn something new from each of these, so whether or not one person sees value in the business tips is not the point, it is those readers that do find value in them that matter.

  4. Aristotle,

    It is obvious that you know nothing about business, so why do you hide your identity and attack others that do? Hmmm……. it is a bit sad. I know I shouldn’t assume anything, however you have probably failed at business. Maybe you failed at getting your MBA and then tried to start a business and failed at that as well. It would explain the hostility.

  5. “Assume nothing”, “A statistical correlation does not necessarily mean a cause effect relationship”. Now that’s value. The dog cartoon really made me ponder the meaning of these complex business principles. I really do want to go to Business school so I can learn the other 100 gems but it is cheaper for me to just read these postings. With all the Chinese applying for MBA’s it has really driven up the prices. I comment because I can and this is the internet and there is a comment space. With all due respect, I am actually hoping that my comments will have a cause effect relationship and force change as I actually would like to learn something, but I assumed incorrectly.

  6. Assume nothing.

    People draw way too many inaccurate conclusions because of inaccurate assumptions.

  7. Wow, thanks for the post, I can hardly wait to read these. We should all probably go to business school so we can learn the other 100 things.

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