Simple decision rules, structures and relationships are not likely to be effective approaches when the task at hand involves making decisions in the context of complex systems. Ironically, many of our most embedded management practices—such as designing for optimization and for efficiency—only exacerbate the risks of things going wrong at a systems level. Somewhat counter-intuitively, the most robust complex systems are often not designed for … [ Read more ]
Content: Quotation | Authors: Gökçe Sargut, Rita Gunther McGrath | Source: Ivey Business Journal | Subjects: Decision Making, Management, Organizational Behavior, Risk Management
Some managers might think that they’ll be able to comprehend a complex situation by reducing their analysis into a few, simple rules. But simplification can be dangerous and costly. Instead, as these authors describe, managers can address complex situations with certain appropriate, and sometimes counterintuitive, practices — and a hefty dose of humility.
Content: Article | Authors: Gökçe Sargut, Rita Gunther McGrath | Source: Ivey Business Journal | Subject: Management