Archivio per 20 novembre 2013

20
Nov
13

The case for behavioral strategy | McKinsey & Company

See on Scoop.itBounded Rationality and Beyond

Left unchecked, subconscious biases will undermine strategic decision making. Here’s how to counter them and improve corporate performance. A McKinsey Quarterly article. 

Once heretical, behavioral economics is now mainstream. Money managers employ its insights about the limits of rationality in understanding investor behavior and exploiting stock-pricing anomalies. Policy makers use behavioral principles to boost participation in retirement-savings plans. Marketers now understand why some promotions entice consumers and others don’t.

Yet very few corporate strategists making important decisions consciously take into account the cognitive biases—systematic tendencies to deviate from rational calculations—revealed by behavioral economics. It’s easy to see why: unlike in fields such as finance and marketing, where executives can use psychology to make the most of the biases residing in others, in strategic decision making leaders need to recognize their ownbiases. So despite growing awareness of behavioral economics and numerous efforts by management writers, including ourselves, to make the case for its application, most executives have a justifiably difficult time knowing how to harness its power.1

This is not to say that executives think their strategic decisions are perfect.

See on mckinsey.com

Annunci
20
Nov
13

The case for behavioral strategy | McKinsey & Company

See on Scoop.itBounded Rationality and Beyond

Left unchecked, subconscious biases will undermine strategic decision making. Here’s how to counter them and improve corporate performance. A McKinsey Quarterly article. 

Once heretical, behavioral economics is now mainstream. Money managers employ its insights about the limits of rationality in understanding investor behavior and exploiting stock-pricing anomalies. Policy makers use behavioral principles to boost participation in retirement-savings plans. Marketers now understand why some promotions entice consumers and others don’t.

Yet very few corporate strategists making important decisions consciously take into account the cognitive biases—systematic tendencies to deviate from rational calculations—revealed by behavioral economics. It’s easy to see why: unlike in fields such as finance and marketing, where executives can use psychology to make the most of the biases residing in others, in strategic decision making leaders need to recognize their ownbiases. So despite growing awareness of behavioral economics and numerous efforts by management writers, including ourselves, to make the case for its application, most executives have a justifiably difficult time knowing how to harness its power.1

This is not to say that executives think their strategic decisions are perfect.

See on www.mckinsey.com




Time is real? I think not

novembre: 2013
L M M G V S D
« Ott   Dic »
 123
45678910
11121314151617
18192021222324
252627282930  

Commenti recenti

Lorenzo Bosio su Un testo che trascende le sue…

Inserisci il tuo indirizzo e-mail per iscriverti a questo blog e ricevere notifiche di nuovi messaggi per e-mail.

Segui assieme ad altri 1.159 follower

Latest Tweets

Annunci

%d blogger hanno fatto clic su Mi Piace per questo: