One of the modules I teach at Cranfield University’s Executive MSc in Managing Organisational Performance is about improving organisational decisions, in particular those relating to measuring and managing performance.
There is a great need in corporations to find out how to improve decision-making, and know how to actually implement the small but often critical steps it takes to remove decision blindspots that can cost a company and its shareholders dearly.
Don’t take my word for it: Researchers have meticulously documented the cost of making strategic decisions based on delusion and deception – in other words, by mismanaging information strategically and by manipulating the decision-making process in unhelpful ways, and estimate that performance as a result stagnates at about 50% below forcast.*
In a recent article for Think: Cranfield, I have summarised six ways to replace opinion with evidence-based insight when making importance performance decisions:
Not enough time? Then watch this 60 second video – an even shorter way to help you debias managerial decisions.
Enjoy. And let me have your comments below.
* Bent Flyvbjerg, Massimo Garbuio and Dan Lovallo (2009). “Delusion and Deception in Large Infrastructure Projects: Two Models for Explaining and Preventing Executive Disaster.” California Management Review, vol. 51, no. 2, Winter 2009, pp. 170-193.