To cap off the post below on the uses of paranoia in business, I am across this book on the value off pessimism. The Uses of Pessimism: And the Danger of False Hope, talks to this very point. The blurb reads: Ranging widely over human history and culture, from ancient Greece to the current global [...]
In a speech given by Ed Catmull, titled Pixar: Keep your crises small. Given at given Standford Business, he explores this question: why is it that successful companies fail? Well there are many reasons, among them that companies become protective and fail to innovate, which is true, but in this speech Catmull makes a [...]
As humans we are spectacularly bad at predicting the future. No revelation there, right. But still people do, make bets on stocks, or given investments, and strategies paying off into the future. Then to make things worse, people then optimise their decisions. For example, betting is all on black. To quote an article from a [...]
Over at Time-Back Management, Dan quotes Steve Pear about what is being taught in business schools; namely that MBA’s teach retrospective thinking, as opposed to prospective thinking. Business managers are not trained to learn/discover. Rather they are trained to decide about transactions. Consider the MBA curriculum core: Finance–how to value transactions Accounting–how to track transactions [...]
Business doesn’t like risk, or more specifically we don’t like it when things go wrong. Projects go wrong all the time because by definition projects are not done as part of day-to-day business, otherwise we’d have a good understanding of the risks. But we must still work to protect a plan. Below is a model [...]