As we continue the subject topic in part 1 on influencing outcomes, it is important to talk about how we use our energy and talents to ensure things happen. An example here is taking a decision on how long we need a project to be completed. We own such decision by determining the time frame for it. Such judgement call is under our control. It requires positive thinking. We should never be emotional in making decisions we cannot influence or change the direction of things or events.
Rather it should be stated that emotion is not required in decision making where our actions cannot influence the outcome.
According to K. Anders Ericsson, Michael J. Prietula and Edward T.Cokely; the making of an expert is based on objective and deliberate thinking before an event, full commitment with a positive attitude while taking action, and then a return to dispassionate analysis after the event -what is known as an after-action review. While the ability to shift effectively between mind-sets is a crucial element of high performance in many repeated tasks of short during.
3. Placing Competitive bets – This is the third competitive dimension of categorizing decisions. Our best decisions must be in anticipation to the reactions or moves by others. Our awareness on what success is. That it is no more regarded as an absolute performance but depends on how well we do in relation to others. That is the reason why it is called STRATEGIC THINKING.
According to some well-known authors on strategic thinking, it is referred to as the art of outdoing an adversary while knowing that the adversary is also planning to do the same. We can say that investment decision in stock is referred to as a first-field decisions.
As for the third-field decision, which could be the return from a competition or expected returns. Hence, with such decision, the rivals have also been checked for all possible moves to avoid failures.
In the third -field categorization approach, the game theory concept is brought into context.
It illuminates areas such as price competition to geopolitics as well as important limitation. The players can not alter the game. The areas are well defined and agreed upon as well as the gain and costs cannot be changed. As previously explained, management is about ability to influencing the outcome of events over time.
Also, according to Herbert Simon, the game theory does not provide “satisfactory descriptions of actual human behaviour”. While referring to the essential aspect has been absent.
4. Managing for Strategic Success – This is referred to as the fourth-field dimension and it is purposely getting better at making decisions. It is also the crux of the matter of this topic. At this point, the outcomes of decisions can actively be influenced whilst success is by doing better than rivals or competitors, which is the essence of strategic management. The first three field are different from this field. The ability to lead and communicate are means by which executives can influence outcomes. The decisions by management against its rival are strategically thought through.
On the decision to venture into the release of new product, new market, or the acquisition of another firm are all carried out at this dimension of decision categorization. The decisions at this level as usually complex.
At this stage of decision making in a complex environment, a great deal need to be focused on teaching senior executives of the awareness of common biases and the avoidance of their ill effects while also been wary of the understanding of the propensity of common errors.
When analysing to decide on the fourth field, executives need a talent for careful and dispassionate analysis called left-brain thinking as well as a willingness to push boundaries which is called the right stuff.
The decision maker is required to develop two vital skills. The first is to understand the decision at hand and the other is the need to respond with an appropriate approach, able to act.
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