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Decision Equity by Piyush Kumar

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Chapter 2

The Cost of Intuition-Based Decision Making

The analogy is not new, but running a large organization is indeed like flying a complex airplane requiring a sophisticated operating and control system for navigation. The top leadership team at the head of the organization has a targeted destination in mind and is responsible for both charting the most appropriate course and navigating the organization along it. This destination may be broadly defined in terms of a long-term return on assets or in more specific terms, such as a desired strategic position in a product market or a successful outcome of a vital new product development project.

Along the way, the team uses a set of markers or indicators that signal whether the organization ...

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