Skin in the Game: No Risk No Learning

Рет қаралды 53,443

Күн бұрын

Skin in the game is an economic and ethical principle whereby those who seek to gain from their activity, should also lose when things go wrong. The principal is also important for learning, skill building and human development. Because those that want to learn without taking the risks of failure, don’t receive the feedback necessary to experience what it means to make mistakes. They can study their entire lives, but actually don’t learn anything.
SUPPORT us to discover more about social sciences!
/ sprouts 🐦:
DOWNLOAD video without ads and background music 🤫:
sproutsschools.com/video-less...
SIGN UP to our mailing list and never miss a new video from us 🔔:
eepurl.com/dNU4BQ
SOURCES and teaching resources 🎓:
sproutsschools.com/skin-in-th...
VISIT our website :
www.sproutsschools.com
CONTRIBUTE by upvoting your favourite topic or suggesting new ones :
sprouts.featureupvote.com/
THANKS to our patrons
This video was made with the support of our Patrons: Adam G, Andrea Basilio Rava, Angela, Badrah, Bettina Kind, Bob Wikerson, Broke, Cedric Wang, Daniel Kapuschinsky, Daniel Kramer, David Markham, Deepak Kamlesh, Denis Kraus, Don Bone, Enrique Arellano Farias, Esther Chiang, Gatsby Dkdc, Ginger, Hal Beltran, Jeffrey Cassianna, Johan Klassen, John Zhang, Jonathan Schwarz, Judy Roland, kritik bhimani, Margaret Grace, María, Marq Short, Mathis Nu, Muhammad Humayun, Nancy Bueffler, Raman Srivastava, Raymond Fujioka, Reynir Örn Bachmann Guðmundsson, Scripz, Sergei Kukhariev, Shao Xiang, Stephen, Susan Schuster, Tetiana Gerasymova, Tsungren Yang, Vishruth Harithsa, Wolfgang Vullhorst and all the others.Thank you! To join them visit www.patreon.com/sprouts
COLLABORATORS (KEEP UP TO DATE)
Script: Jonas Koblin
Artist: Pascal Gaggelli
Voice: Mithril
Coloring: Nalin
Editing: Peera Lertsukittipongsa
Head of Partnership Programme: Selina Bador
Production: Bianka
Proofreading: Susan
Sound Design: Miguel Ojeda
SOUNDTRACKS
Canon Ball Swing - RimskyMusic
DIG DEEPER with these top videos, games and resources:
Should risk-takers be required to have ‘skin in the game’? - the Financial Times discusses
SOURCES
Watch Prof. Taleb talk about Skin in the Game at Google (2018)
• Skin in the Game | Nas...
Code of Hammurabi (c. 1700 B.C.E.)
www.wright.edu/~christopher.ol...
Skin in the Game (the book by Taleb)
en.wikipedia.org/wiki/Skin_in...)
Skin in the Game (phrase)
en.wikipedia.org/wiki/Skin_in...)
Ancient Babylon
www.ancient.eu/babylon/
CLASSROOM EXERCISE
Do you have “skin in the game”? Reflect with your students on how this concept applies to real life situations and ask them for ideas on how to put their skin in the game for their own learning.
In addition you can ask your students to rate the effectiveness of your teaching on a scale of 1-5 after every class. Start the next session with publishing the results and continue to do so for the entire course. Like that the students learn that you put your skin in the game and as a result might realize how the classroom experience changes.
Timestamp
00:00 Skin in the Game Principle
00:18 History
00:32 Law 229
01:17 Taleb's Argument
03:39 What do you think?
03:56 Ending

Пікірлер: 142

@sprouts 2 жыл бұрын

Support our work to learning how to learn: patreon.com/sprouts

@egopathtime3273 2 жыл бұрын

It is hard to imagine a more stupid or more dangerous way of making decisions than by putting those decisions in the hands of people who pay no price for being wrong. ~ Thomas Sowell

@kaizenborntowin Жыл бұрын

Thank you! Pretty much all politicians and actors.

@Mithrilda 2 жыл бұрын

Hi! I'm actually the voice for this video. Could you update the credits? :)

@ironheadedDoF 2 жыл бұрын

Yes, recognize the talent!

@topcat5988 2 жыл бұрын

Best voice! Good work!!

@rubenvaldez9581 2 жыл бұрын

You must do other works for them because I'm a subscriber to Sprouts and I've recognized your voice on other videos. Great work by the way. 👍🙋‍♂️

@itzaynmd 2 жыл бұрын

Hey, Mithrilda.. How do you get into this kind of work? Is it freelancing video narrator? If so wherycan I find gigs easily?

@sprouts 2 жыл бұрын

I am so sorry!!!! Updated!

@bboyneon92 2 жыл бұрын

Our brains are naturally wired to make tasks easy and reap rewards. At the same time, it's also wired to understand the worthiness of deserving the reward. Which means, if it gets huge rewards easily it disconnects from reality.

@poojangohel 2 жыл бұрын

This is Real Content. WE need more such videos on Education.

@Bashar3A 2 жыл бұрын

From Kuwait. This is definitely needed as we have huge problem in government work. It's easy to get a job in government, and once you get in, it's almost impossible to get fired, unless you do something completely stupid. Most employees don't work, or wanna put in any work. They chill all day, leave work for hours, and only show to check-in and out, keep getting more privileges. Of course they do have skin in the game (it's their country). But the effect is not so direct, that majority don't care. And eventually it affects the motivated honest employees after they see that there is no reward or penalty, and even promotions are not for the best employees.

@the1stmetalhead Жыл бұрын

We face the same problem in India mate. People in government jobs are lazy and don't want to put in the effort. Also women and their parents mostly look for someone who's got a government job since there's literally no chance of being fired and a constant stream of income despite staying at home all day long. So complete financial independence and free resources at your disposal.

@Bashar3A Жыл бұрын

@@the1stmetalhead didn’t know India was like that. Is it easy to get gov job? Kuwait depends on oil so it feels like free money for some people, and they overhire

@the1stmetalhead Жыл бұрын

@@Bashar3A it's not easy because most of the time there is no job. The government job market has been closed for sometime now but there's talk of opening it again. And yes you have to clear exams to be legible for it but there's corruption and manipulation too that makes it unfair for a lot of people. So yeah sad affairs in both the countries it seems.

@Bashar3A Жыл бұрын

@@the1stmetalhead i see. In Kuwait thousands join each year. Gov has to hire certain number, and it’s often the worse candidates because good ones don’t apply or if they get in, they do temporarily till they find a job that pays more. Gov job pays good, bot great. And no reward for actual contributions

@rebeccaoprea9917 2 жыл бұрын

No risk , no reward .

@yashgarg5992 2 жыл бұрын

This is really enlightening. Saw this video multiple times and then it finally hit me, and I looked at past are realized that my most effective learnings were when I had skin in the game.

@llyrghmnghyll 2 жыл бұрын

The most obvious consequence of Law 222 is the increase in building costs, the driving out of the poor, and the isolation of the capital - the best-case scenario is the establishment of buidling codes and review boards. if a builder can be killed for the collapse of a building then it's in his interest to make buildings as sturdy as possible regardless of cost, as building costs rise the poor and the middle class are driven out. the capital then becomes isolated from it's citizenry who refuse to enforce the law.

@sprouts 2 жыл бұрын

Great point

@Zanic988 2 жыл бұрын

This INSTANTLY makes me think about how Uber is now making their higher-ups drive 1 Uber/mon. It gets their skin in the game! I talk a lot about mindset/personal growth and I'm gonna pay even closer attention to the idea of getting skin in the game. I love Sprouts content, I will forever keep watching!!!

@sprouts 2 жыл бұрын

Thanks ZaniC!

@kartavyabhatt7818 2 жыл бұрын

Really great video. Learned something new today. Thank you!

@Josh4u_ 7 ай бұрын

"One who judges must eventually be pitted against judgement, using their own rules. When they claim hysteria, they have put themselves within a catch22, and may only be considered sane to failure." - Josh D. Brooklyn, NY

@WhosBentley Жыл бұрын

Gen. Shawn Brown NYC I can stand by this video and say everything about the concept is the Equivalent of the entire process during my Journey to becoming who I am… Everything was Skin in for me in one way shape or form.

@brentbonham4398 Жыл бұрын

Brent Bonham, Boulder Creek, California. My crew were the top producers of footage for a large Midwestern commercial construction company. Considering that everyone was gauged by how much finished work one produced, we absolutely had skin in the game. What made the difference was attitude. My crew was proud of the quality and quantity of their work, with good reason.

@HrabiaVulpes 11 ай бұрын

My previous employer read article about this and decided that 'No Risk No Excellence' is a great problem in his company. So he informed us about his new great idea: "You need more risk in your work to reach excellence, thus from now on if you make a mistake I will fire you, if I make a mistake you will get fired."

@irshadwaheed6318 2 жыл бұрын

Thank you Sprouts! Yet another wonderful video. i took notes; it was that informative.

@sprouts 2 жыл бұрын

Thanks 😊. You made my day

@--Skip-- 2 жыл бұрын

Terrific video! Keep them coming! 👍👍👍👋👋👋♥️♥️♥️

@huggyshaggles 2 жыл бұрын

Always good to get people to buy in!

@oussamahoukaimi8123 2 жыл бұрын

I agree of the principle; the reward of any undertaking should be equal to the risk that could result of it.

@VIDEOSASDE 7 ай бұрын

Direct causality logic is perhaps less obvious in current environments; the 'skin in the game' principle is still, IMHO, applicable, but also more indirectly and in a more complex framework; long gone is the Hammurabi simple way of life (Mathias, S Paulo, Brazil)

@AhmetKaan 2 жыл бұрын

*"The person who wins, is the person who wants it the most."* This changed my life.

@egopathtime3273 2 жыл бұрын

@Train of Taught Exactly, and even then we're drifting away from a Meritocracy. Socialism for the rich and rugged individuality for the poor.

@rika9431 2 жыл бұрын

So, maybe we should correct it: The person who wins, is the person who wants it the most and has high power (like money or mighty firends). :D

@BrightPrime Жыл бұрын

@Train of Taught the person who wants it the most will most likely be the one to bring the most value. Remember "it's all about perception". Not in the real sense.

@magogo5905 Жыл бұрын

Nice! I am from baghdad, near Babylon and its true that the ruins of it is phenomenal, at least with the reputation. Therefore, let’s all have this type of viewing things.

@deletedaxiom6057 11 ай бұрын

My example of this while studing computer science in college, my sophmore year. I buit a gaming desktop. I learned more building that computer than i did in my previous hardware classes even though i did well in them. I was tight on money so i had to make sure i knew for sure that all the parts would work together. So i did so much research and really learned a lot.

@sprouts 11 ай бұрын

Thanks for sharing:)

@rika9431 2 жыл бұрын

In management, this problem is represented by the "principal-agency-theorry or problem" - the principal is the owner or in this case the home owner and the agent is the representative who manages the construction for the owner - the contractor. In a company you want to trust someone who manages your money/your house building but you also want to control that the agent is not greedy or sabotaging. A solution is for example that agents get a part of the house or money pool to feel the risk if the manage something inproperly. In modern companys this is the reason why high level managers get "bee stocks" meaning stocks of their own company. BUT a big problem is that managers nowadays can sabotage the company's profit to enhance the stock value without actually working properly - a true dilemma :) So in a nutshell, risk taking is necessary for representatives BUT it has to be made sure that your "skin in the game" is robust against crime and corruption. --> A law is only as good as its persecution, from my POV.

@13thravenpurple94 Жыл бұрын

Great work 🥳🥳🥳 Thank you 💜💜💜

@sprouts Жыл бұрын

Thanks 14th Raven

@bingeable3 2 жыл бұрын

Great video

@KuruGDI 2 жыл бұрын

_To learn about shares and companies invest in the stock market with your own money_ - Yeah... That was an interesting experience when I lost about 1'000 bucks when I invested in a company that I shouldn't have invested in 😂 But I learned a few things about the stock market...

@vergilmontiero2558 Жыл бұрын

Better $1000 than $100,000. Hopefully you're faring much better in the market now!

@VATSSAMEER 2 жыл бұрын

awesome!!!

@SolaceEasy 2 жыл бұрын

Point missed. It's not that I must have Skin In The Game, I must insist others are similarly invested.

@SolaceEasy 2 жыл бұрын

BTW, I'm from the State of Bliss.

@ActorMD 2 жыл бұрын

The principle is a good one but of course has more than one type of example. More casually stated, it might mean "those with something to lose have something to gain" Your example is of a rich CEO with something to lose who shields himself from loss so much that he doesn't really lose anything. What about someone poor with nothing to lose? Is the argument then supposed to be that people who have no money and take risks not going to learn from their mistakes and keep taking risks? Will Alaadin the street urchin continue to steal unless he has money?

@TgrayTigre Жыл бұрын

Amazing

@TheTrollMastah 2 жыл бұрын

“Skin in the Game” is why I have 4 children

@Redeemedbylove1987 2 жыл бұрын

I think an architect or a contractor would have big problems if their building collapsed killing people inside.

@jimohara 2 жыл бұрын

Yet everybody shifted the blame onto the next man after the Grenfell Tower fire

@Redeemedbylove1987 2 жыл бұрын

@@jimohara Grenfell was major news. One, the building did not collapse. Although, material was used that might not have been fire resistant. Two, the whole city and country were outraged and wanted heads to roll. Do you think anyone associated with that building’s construction is not suffering severely?

@Redeemedbylove1987 2 жыл бұрын

@@jimohara The Grenfell Tower was filled with poor immigrants that probably wanted very cheap rents above all else.

@rika9431 2 жыл бұрын

I think it is interesting how low the protection of workers can be in some companies and subcontractors AND the government policies. In the end, we then have lots of unanswered questions and missing accountability for such desasters.

@Redeemedbylove1987 2 жыл бұрын

@@rika9431 Could you provide examples?

@victorashul 2 жыл бұрын

"put your real name".. we've seen people go to prison for HATE SPEECH nowadays.. DON'T DOXX YOURSELF!

@kenster8270 2 жыл бұрын

If you commit hate speech, you'll likely just pay a fine. Not go to prison. Stay in skool kiddo.

@victorashul 2 жыл бұрын

@@kenster8270 thank you for pointing out that there are mechanisms to stop people from specking their mind!

@topcat5988 2 жыл бұрын

Love this and these video’s! Normally would pass this comment by but, kenster… remember Dinesh D’Souza.

@UC3rm0aNC4ysyZipDZotXnZA 2 жыл бұрын

I want to know more principles like this!

@sprouts 2 жыл бұрын

@lizan3962 2 жыл бұрын

a strick law MAY limit the power of imagination. imagination help us do things others can never imagine. zanyuan li, born in China, live in Canada

@Hampsteadnw3London Ай бұрын

Could someone please let me know what software program is used to do the animation for these videos? Thank you

@Pulkitom 2 жыл бұрын

In business when you hire a good talent or partner with someone, skin in the game is important so that the person sticks through bad times.

@devinedude3690 2 жыл бұрын

People doing to others what they don't want done to themselves.... Why the world is currently on its knees

@micahcorbett7795 Жыл бұрын

I believe the romans had a rule whereby the engineer who was responsible for building a bridge had to sleep under the bridge the first night after they pulled out the props. Romans built good bridges.

@sprouts Жыл бұрын

Love that

@koy-neld-fres 2 жыл бұрын

The insurance company transforms the risk into the money equivalent, so the CEO would take the risk to pay a higher insurance premium. If the clients are not happy with the results they receive compensation.

@Jan12700 2 жыл бұрын

2:38 Kotick

@anridvalishvili5908 10 ай бұрын

Great review

@ronmoore6598 2 жыл бұрын

This seems pretty inaccurate and misleading. @2:12 of course he would hire an engineer because his training isn't building design it's in project management, and of course he would take out insurance or if one bad thing happened all the capital would be lost and project wouldn't get finished. These are both Good Practices. Why are they being described otherwise???

@milkyway4586 2 жыл бұрын

When you got skin in the game, you stay in the game But ypu dont get a win unless you play in the game

@6li7ch 3 ай бұрын

Very good video, but be careful with the conclusion at the end. There is a risk of Survivorship Bias when asserting that looking at the buildings that are still standing is the relevant measure of the quality of the builders. What you really need is the Base Rate of survival, looking at the proportion of buildings that are standing relative to the original size of the city in total. Looking at that, maybe 5% of the ancient city of Babylon is still standing. Here are some general approximations for similar cities contemporary to Ancient Babylon: Nineveh: 10-15% Persepolis: 30% Ur: 10-15% Thebes: 20-25% Susa: 15-20% This would actually put Babylon 'below' average. It is of course a complex question of which there are other potential influencing factors: Material Choice: Babylon's use of sun-dried mud bricks might be less durable than stone used in other cities, contributing to structural decay. Climate and Geography: The region's environmental conditions, including floods and erosion, could have accelerated the degradation of Babylon's structures. Historical Events: Wars, invasions, and the intentional destruction of Babylon by various conquerors may have significantly impacted its survival. Neglect and Urban Development: Human activities and modern urbanization might have played a role in the deterioration and destruction of Babylonian remains.

@sprouts 3 ай бұрын

Excellent points! Thanks for this.

@EncoreDavid 2 жыл бұрын

today I learnt that not taking risks will make me an idiot

@lunkerjunkie 2 жыл бұрын

my name is aaron exposing my flaws is a risk I'm unwilling to take doing so would lead to the demise of my superiority delusion I live in a desert

@SkyEssence713 2 жыл бұрын

Two points come to mind: 1. The CEO learned from his mistakes and protected his company from incidents by hiring third party engineers and insurance companies. But by doing so, he disconnected himself from the consequences and thus the quality of his company's work decreased. How ironic. 2. Politicians making policies, need I say more? lol.

@sathyath84 Жыл бұрын

In defense of the CEO, what's the difference between the 'disconnected CEO' who passes the responsibility to his subcontractors and engineers with the hammurabi who passed the responsibility to his builders using law 229? If the argument lies in that hammurabi didn't gain the profits from his builders who actually built the houses, unlike the CEO who is the one reaping the benefits, then my question becomes: Did he not tax the builders out of their hardwork? Or in other perspective, isn't the CEO also pays the contractors the largest portion of the project value to the contractors and keep smaller portion to him and his company just as much as hammurabi tax his people?

@tusharupadhyay8206 Жыл бұрын

As Friedrich neitsze said, if you want to reap greatest fulfillment from life then LIVE DANGEROUS. Build your home on city of Mount visoucious. Taking risk while doing things make you learn new things - from Tushar Upadhyay

@rajalakshmi2619 2 жыл бұрын

The incredible.... 👌

@martinneumann7783 2 жыл бұрын

This is my real name and always take the responsibility for my comments. Critics and different opinions are always welcome. Cheers ••• Martin from Ravensburg in Germany

@sprouts 2 жыл бұрын

Danke Martin. Jonas Koblin, München > Bangkok

@pablor3138 2 жыл бұрын

If this was true for car manufacturers it would be pandemonium. Pablo from 🇲🇽

@user-vu7rv1xf1l 2 жыл бұрын

Maybe this explains how I went from the (so called by teachers) brightest kid in the class, to the absolute sloth of an adult whos been totally disengaged for years & now finds oneself stupid & out of touch.

@KuruGDI 2 жыл бұрын

*Sprouts:* To learn about shares and companies invest in the stock market with your own money *Lehman Brothers:* With my own money? I think you want to be part of a game that you do not understand the rules of. Aaaaaand it's gone!

@sprouts 2 жыл бұрын

Good point

@iainb1577 2 жыл бұрын

It begs the question; how would Hammurabi have dealt with the Trumps?

@ironheadedDoF 2 жыл бұрын

@Aunt Shawna And can't-sue Big Pharma

@ThisIsMyRealName 2 жыл бұрын

My name and I'm from my parents

@mjkrh 2 жыл бұрын

I thought you'll dig in and roast fortnite skins and emotes..... But this works too

@iSeeSoundsShow 2 жыл бұрын

Ok asking us to tell our names and where we are from is a pretty weird request not gonna lie.

@thechancellor- 2 жыл бұрын

To the *incredible person* that's seeing this, I wish you all the best in life❤ don't over blame yourself, accept things and go forward. Don't let others define what “success” is for you. Get up, learn the skills needed and get after it, all the keys to a happy life is in your hands. Keep pushing.

@ronmoore6598 2 жыл бұрын

Shut up.

@brandonrobertson6586 2 жыл бұрын

Love this content. But did you guys hire the girl from Psych2Go?

@punyaslokaparija3504 2 жыл бұрын

Namita Thapar introduced this term to the Indian masses

@sprouts 2 жыл бұрын

Really?

@punyaslokaparija3504 2 жыл бұрын

@@sprouts So Namita Thapar is a judge in Shark Tank India. What happened is when she used to offer for the deals, she said, "My offer is this, because it'll help me have the skin in the game". Most viewers didn't know what it meant, so it prompted them to Google what skin in the game is. Hence, the analogy

@learningearningskillsvlogs7877 2 жыл бұрын

@@sprouts thanks for sharing nice video

@filyboy7 Жыл бұрын

ok but harsh consequences can also discourage fully qualified people from doing the job. like if i was one of those babylonian construction workers and i was told that making a mistake would result in my execution, i would say fuck that shit i'm not doing it, regardless of how qualified i was. nobody is perfect, mistakes do happen even if you are a professional. why would you want to partake in a project where a single miscalculation can result in your death?

@sprouts Жыл бұрын

Good point

@PIVfirestarkproducon 2 жыл бұрын

It begs the question; why can't people enjoy things on the internet without immediately making it about politics?

@ajedi1034 2 жыл бұрын

Minute 1:50-2:57 reminded me of someone with a huge a brain... 😛

@JazzJackrabbit 2 жыл бұрын

This video shows a fundamental ignorance of what CEOs and top executives actually do It's almost as if it is disconnected from reality because... *it has no skin in the game*

@zeshawnali5676 2 жыл бұрын

what do they do?

@tashagupta8844 2 жыл бұрын

Plzz u can also use hindi language more...

@lolvivo8783 2 жыл бұрын

More like neck in the game for builders

@sprouts 2 жыл бұрын

Good one

@kenster8270 2 жыл бұрын

This is common knowledge for anyone familiar with post-Soviet oligarchs. Or Trump's business ventures. Or most Latin American societies. Lack of accountability = lower quality.

@ironheadedDoF 2 жыл бұрын

@Aunt Shawna For 40 years or more!!