Colleagues,
Erwin has opened a powerfully important topic. Jack brings up "informed
intuition" as a component of management decision making. Dialog could and
probably should expand into subtopics as we explore this area.
For now, I am intrigued by "informed intuition." You see, I've spent the
last 15 years facilitating decisions by management teams in which their
intuition is distinctly wrong. Without a new decision process, they would
continue to make unproductive, sometimes even disastrous decisions.
The particular issue comes down to blind spots. For instance, a manager of
engineering applies every ounce of learned intuition to make the best
decision on product development, yet completely ignores entire suites of
criteria brought in by needs for brand development.
Not that manager's fault - he or she was never taught about branding.
Still, the decisions are weak at best.
As a criteria for effective decisions, let me suggest the concept of
dimensions.
We all know that it takes just three dimensions to describe the shape of
a box. X, Y, Z. Indeed, those dimensions can describe the shape of
anything inside or outside the box.
Now answer this. How many dimensions does it take to describe a box?
No, that isn't the same question. Before I asked about shape. Now I'm
asking about every characteristic of the box. Color, materials, strength,
how it opens, ability to hold water or maintain temperature, or contain
radioactivity, and on, and on.
How many dimensions does it take to define all the options of a decision?
Not an easy question.
In Jack's language, how many dimensions of "informed intuition" does it take
to make an effective decision?
In business, we tend to staff out dimensions. R&D, manufacturing,
marketing, finance, HR, and so on. Recently, the dimension of information
technology has become so important that IT is among the first staffed in new
companies.
Yet almost without fail, each department makes decisions based on distinctly
uninformed intuition. An old term is paradigms. HR makes its decisions
from an HR paradigm. Manufacturing can't understand the language or
reasoning of finance. IT seems to revel in its new jargon and its new
power, with virtually no concern for serving customers at a profit.
Each manager could work to discover the practical core dimensions of
intuition required for effective decisions in their domain. Then they could
develop decision tools to remind themselves that, for instance, brand is as
important to commercial success as are product features.
Known dimensions can become decision tools - a form of decision discipline.
The value of "dimension discipline" would be, in part, to overcome
uninformed intuition.
Best to all,
Gary
----------------------------
Innovation and Branding � done Strategically
Gary Lundquist - The Accelerator
303-840-9929
www.market-engineering.com
garyl@market-engineering.com
Making and keeping satisfied customers,
at a profit, over time,
in a competitive environment.