Insights from Dr. Tho Ha Vinh on Evaluating Corporate Performance in a New Light

In a world facing pressing challenges, corporations must urgently reconsider the ways they operate. But how?

We had the honour and pleasure of discussing this complex subject with Tho Ha Vinh PhD , a leading voice in the pursuit of global well-being.*

Dr. Tho Ha Vinh brings a wealth of experience to the table, having served as the inaugural Programme Director of the Gross National Happiness Center of Bhutan and founded the Eurasia Learning Institute For Happiness and Wellbeing. His insights are informed by years of dedicated work in some of the most demanding environments, including war zones where he witnessed firsthand the extremes of human suffering.

You can find the full interview in episode 23 of Second Crack — The Leadership Podcast:  “Success Redefined: Exploring the Power of Happiness in Organisations“, our most popular guest episode last year.

The Economic System is a Root Cause of Suffering

In our relentless pursuit of Economic growth, we have created a narrative where perpetual economic growth is seen as the foundation of well-being and happiness. However, “there is a fundamental contradiction between the idea of endless economic growth and the reality of a finite planet”, says Tho Ha Vinh.

Reflecting on his humanitarian work in conflict zones, Tho Ha Vinh identifies the economic system itself as a fundamental driver of suffering. Rooted in competition and endless growth, this system perpetuates a cycle of consumption that not only fails to fulfil our deepest needs but also jeopardises the very foundation of our existence.

“I am firmly convinced that an old world is coming to an end. And that the crisis we are experiencing are the harbingers of a new world that wants to be born.” —Tho Ha Vinh

He elaborates, “the economic system is built on the illusion that happiness or satisfaction comes from more and more consumption. And we know both from our own experience and from a lot of research that actually, once our fundamental needs are met, any increase of income and consumption (…) will momentarily rise satisfaction — but it’s very, very short lived.”

The Way We Look at the Economy Today is Fundamentally Wrong

Dr. Tho Ha Vinh suggests to imagine three concentric circles. The outermost circle represents the vast ecosystem encompassing our planet and all its inhabitants. Within this sphere lies the smaller human system, comprising various societal components such as the economic system, politics, culture, science, or spirituality. It is imperative to recognise our place within this intricate web of life—we are but one part among many other species sharing this Earth.

The fundamental mistake we are making is that gradually, we have come to believe that the economic system is the whole and all the rest is serving it. Everything is turned into a resource for the insatiable system: we have come to look at nature as natural resources, human beings have been reduced to human resources.

Everything is serving the economic system including human beings. “In the end, a company will fire people to maximise profit as if the people were less important than the profit. But if we look at it from a meta perspective, we see that the goal of the economy is to satisfy legitimate human needs through goods and services. And these goods and services are just a part of what enhances happiness and well-being.”

Happiness Stems from Inner Growth, not Growing Consumption

Certainly, we all have fundamental material needs—shelter, food, clothing—essential for our survival and well-being. Yet, while these necessities are crucial, they alone do not bring us happiness. True happiness stems from deeper sources such as meaningful relationships, love, emotional security, and other intangible elements that money cannot buy.

“I think the endless-growth mindset is a kind of perversion of something that is very natural, that as human beings we want to grow, we want to become better, we want to develop. And inner growth has no limit. You can always become wiser, you can always become more compassionate, you can always become kinder (…). There’s no limit. But material growth has material limits. And so, we mistake our inner drive, the legitimate drive for inner growth with the outer material growth. And by doing that, we are creating for ourselves, for society and for the planet, unhappiness and suffering.”

The Economic System is Us

Individuals may sense that there is something fundamentally wrong with how we prioritise economic growth over everything else. However, the economic system has become so powerful that such individuals feel powerless, if not hopeless, because the majority of people, especially those in power, seem to fully buy-in the mantra of never-ending growth. So, what can individuals do who wan to make a change?

According to Tho Ha Vinh, the starting point is to realise that the dichotomy between “the individual” and “the system” is an illusionary one. “The system is nothing but the manifestation of the way we individually and collectively think, feel, act, and relate.”

The economic system is not an independent entity; it does not have a life of its own. It is merely the manifestation of collective consciousness. Thus, the good news is that because we are part of creating the system, we all can be part of changing the system, we can all contribute to the solution. However, this also means we are all co-responsible; we can’t simply blame others for the world’s problems. Their actions are also a result of our collective mindset.

The Three Components of True Happiness

True happiness, not superficial pleasure, has three key components:

The first one is to live in harmony with oneself. This requires us to, at least once in a while, stop and pause, and look deeply: observe, listen, ask ourselves, what is truly important for me? What is the legacy I want to leave? What do I want to be remembered for?

You need to take time for introspection so that, at least gradually, you feel you can live a life that is the manifestation of your highest aspiration and deepest values.

The second dimension is to live in harmony with others. The quality of our relationships with friends, family, and colleagues significantly impacts our well-being. No amount of wealth can compensate for constant interpersonal conflicts. Whether we’re on a dream vacation or at home, discord in relationships diminishes our enjoyment of life. “The quality of your relationships with friends, family, or colleagues, the quality of feeling part of a social fabric, is an essential component of well-being and happiness.”

However, cultivating human relationships, friendship, and love needs time and commitment. It needs our attention. Instead, though, “we are so busy working all the time to earn more money, most probably we are not giving our loved ones enough time. And that’s a recipe for unhappiness”, explains Tho Ha Vinh.

The third dimension is living in harmony with nature, with our planet. Ask people where they would go if they wanted to have more energy, many people will say, “oh, I go into nature.” It may be the beach, the mountains, the forest, a garden. However, our society’s disconnect from nature has led to exploitation rather than appreciation. It’s crucial to reconnect with nature early in life, fostering a sense of compassion and respect for all living beings. By viewing other life forms as fellow beings rather than mere resources, we can cultivate a deeper sense of compassion and love.

Consequently, we need to start early, go into schools, and help children from an early age to experience this connection with nature. “And so, if we relate to other life forms as beings and not just objects that are there for us to exploit, then we can start feeling compassion and even love.”

How Can Leaders Direct Positive Change?

One important aspect of leadership is directing collective attention. In order to do that, as a leader, you have to be able to direct your own attention first. And when you practice something like mindfulness, meditation, you notice that very often, we are not the master of our own attention.

So you need to start with the question: am I able to intentionally and freely direct my attention to what is truly important?

Once you are able to align your attention with your intentions, you can also do that for the collective. “And once the collective shifts its combined attention, then we can create the positive changes we desire.”

To achieve change in a corporation, leaders need to revisit and eventually redefine the company’s vision, mission, and values. Often, the organisation needs to move away from focusing only on financial goals. A company has to make profit, but profit is only a means, not an end. “The goal of the company is to fulfil its mission, which is serving its clients, serving society by creating goods and services that are useful.”

Then you need to define what daily behaviours express these new values and will lead to realising the new vision and mission. Accordingly, you will need a new measurement of success. Instead of focusing on financial KPIs alone, you will need a more holistic approach that will include environmental, social, cultural, and other aspects, so that the company can become a force for the good in the world.

It is crucial to note that this does not mean that the company is becoming less financially successful, on the contrary: when people feel happier about their work, there will be less employee turnover, less sick leave, less burnout. Loyalty to the organisation and engagement increase. Thus, a focus on happiness and well-being actually enhances the performance of the company. “This is not an illusion. It can be done. But it needs a very strong commitment from the leadership.”

Transforming the System also Requires Transforming HR Practices

You will also need to look critically at aspects such as who gets promoted in your organisation. Is it the ruthless alpha-male whose team makes a lot of short-term profit but is at the verge of burnout? Or would you rather promote a leader whose team’s profit is lower but they work cohesively and will stick together during hard times — and therefore deliver better performance in the long run?

Transformation needs to include HR practices. What criteria are you looking for when you hire people? How do you evaluate performance and look at succession planing? If you are serious about the transformation, then you must not only look at the ability to deliver financial results. Financial results do matter, but you need to include more holistic values including skills and competencies in empathy, compassion, and teamwork. “You must make sure you promote those people who are embodying the kind of values that you want to promote.”

Reflection Questions for Leaders

• In my daily live, is my attention aligned with my intention? Am I actually clear what my deepest intention and aspiration is?

• What changes am I willing to make? What steps am I willing to take to create a significant change, even if it feels uncomfortable? And what are the risks that I’m prepared to take to do things differently moving forward?

Which then leads to perhaps the most critical question, for which we need to provide some context:

In our lives, we often encounter a disconnect between what we truly want and what we are doing. There is a disconnect between the knowing and the doing. Fundamentally, most humans want the good. Individually, we have values like caring for our children, for the next generation, for nature, for the planet. And yet, collectively, we create results that nobody wants.

• So, how come when we have these common good intentions, we cannot manifest that in the way we work, in the way we act, so that this disconnect between knowing and doing is overcome?

• What creates this gap between the fact that we know what should happen and we seem unable to do it. But we can do it! So what will help us bridge this gap?

*Dr. Tho Ha Vinh, is the Founder of the Eurasia Learning Institute for Happiness and Wellbeing. He was the Programme Director of the Gross National Happiness Center of Bhutan. Serving as the Head of Training, Learning, and Development at the International Committee of the Red Cross, he trained humanitarian professionals working in war zones and emergency response in Afghanistan, Pakistan, Palestine, and Darfur. He holds a PhD in psychology from Geneva University, Switzerland. He is a Buddhist teacher in the Vietnamese Zen Tradition of Thich Nhat Hanh, and also authored several books including the most recent “Happy Organizations” and “A Culture of Happiness“.

The Eurasia Learning Institute for Happiness and Wellbeing supports and consults organisations, businesses and the educational sector. If you would like to bring about change either in the corporate world or in the educational sector, please don’t hesitate to contact the ELIHW via their website www.elihw.org.

The complete episode “Success Redefined: Exploring the Power of Happiness in Organisations with Dr. Tho Ha Vinh” of Second Crack − The Leadership Podcast is available on all major podcast platforms such as Apple Podcasts, Spotify, or on our website (with transcript).

Second Crack — The Leadership Podcast is hosted by Martin Aldergård and Gerrit Pelzer. We explore everyday leadership dilemmas and paradoxes, and we ask thought-provoking questions to help leaders grow.

Services we offer include executive coaching, leadership development programs, and leadership team workshops. Detailed info is on our website secondcrackleadership.com. Contact us now for a complimentary consultation to explore how we can help you we can help you accelerate your leadership development.

The post Redefining Success: The Power of Happiness in Organisations first appeared on Dr. Gerrit Pelzer.