Wits vs wits

About WITS vs wits: formal education vs charisma in wealth creation

This article is not meant to condone dependence on formal education in wealth creation and it is also not meant to condone the voluntary reluctance to attain formal education.

The fact is; everyone wants to know what is that which distinguishes the poor from the wealthy besides money.

Formal education’s role in the the advent of Oprah Winfrey

Oprah for example is one of the richest women in the world and has never denied the fact that her education was instrumental in launching her career as a world renowned public figure. She even established an academy for girls practically right behind my back yard in South Africa this indeed shows how much she values education.

She studied a course in Tennessee University through a scholarship which is testament to her academic brilliance. Considering that Oprah was in that time an “black American” in a Caucasian dominated environment she needed to have a bargaining tool that would atone the stereotypes surrounding her and that tool was her education.

The advent of Oprah is quite similar to that of black people in South Africa; a country which was plagued by racial segregation, political and economic repression. “Education is the key” – this is a phrase coined by many South African households particularly black households as education is deemed as a guaranteed way to overcome poverty for the black majority in South Africa. Along with historical inequities in South Africa; black Africans where deprived of that one commodity which is “education”, and this deprivation was the only way to pacify blacks from revolting against the system and a new type of education was introduced which was known as Bantu education (which was later abolished), which is an inferior; slave type of education that was meant to marginalize blacks structurally, till today the ripple effects of the apartheid regime are seen even in the corporate world where black executives are seen as ‘special cases’ and their skills are relatively doubted in comparison to their white predecessors and counterparts.

The fear
Today being in the month of January 2012 with the Matric results having just been released we see thousands of hopeful youths flocking to various institutions of learning; particularly the universities hoping to be admitted. This is a tradition which has now been at it’s peak as each year we see a surge of matriculants qualifying for University admission and likewise we still see a surge in unemployment.

Today there was a headline stating that one student died and 17 injured in a stampede at one of the country’s Universities those involved being late registrars. This not only reflects the desperation people have for acquiring formal education in my country but the fear associated with not being formally educated particularly at a tertiary institution. Although I am indeed among the lucky few who are studying at university, I am also interested in unravelling whether or not education is the only premium for obtaining security and financial prosperity.

Leadership and formal education

Even in politics we see that the most prolific figures like Nelson Mandela (Fort Hare and Witwatersrand University graduate), Karl Marx(who studied at the university of Bonn and Berlin), Martin Luther King (Morehouse College and Boston University) Steve Biko (University of Natal) and many more where formally educated or at least received a bit of tertiary education.

The ability to reason effectively made these martyrs of their own liberation struggles blossom and today we see them as icons of history.

Causality and causation
Is the above just a matter of “correlation doesn't imply causation? maybe by narrowing it down to education, we are not looking at the right variable or we are just looking at a drop and not the entire ocean. Maybe it is an innate character for most leaders to be endeared to receiving formal education among other things but this interest for acquiring knowledge might not necessarily mean that their effectiveness in leadership is completely related to their education.

In my experience education has definitely been an eye opener; as it helped me to see things from a different light, a motivator; as it helped me groom discipline and diligence in order to succeed and ultimately a confidence booster; as it gives me a sense of entitlement to claim my stake in the world.

Role of education in entrepreneurship
What has been the truth over the years is that in entrepreneurship for instance formal education holds a low premium as we see self confessed high school and college drop outs and people with learning disorders claiming high corporate positions.

We also have people like Robert Kyosaki who has practically dedicated most of his life to criticising the formal education system and he explains that among other things that it is tailored in a way that doesn't adequately train one for the real world.

But with the sophistication of formal education these days and the easy accessibility of information through IT, does it mean that today's breed of entrepreneurs are more likely to succeed in business through formal education. Looking at figures such as Harvard educated Mark Zuckerburg, Masters graduates at Stanford university - Sergey Brin and Larry Page of Google.

The salutation
On the next post we will try to analyze the flaws in reasoning of the extreme anti vs. pro formal education activists in the creation of wealth. And see if we can strike a balance.

But before I call it a day I would like to salute Aliko Dangote a self made billionaire who earned the status of richest man in Africa and is hailed as the richest African in the world.

This is particularly fascinating because he epitomizes what I believe distinguishes the poor man from the rich man; which is "working faith".

What struck me most about his business philosophy is his sole investment in his country of origin; which is Nigeria, while many of his fellow citizens are moving out of the country seeking for greener pastures.

Who would imagine that the 51st richest man in the world comes from Africa this without aid from foreign countries? His business model was not abstract and complicated as he gradually diversified into the tertiary sector. His philosophy can simply be defined as passionate simplicity.

Although he has acquired a University degree in Cairo his entrepreneurial story reinforces the philosophy that all one needs to become a success is already at one's disposal and that you don't have to look afar reach to find opportunities