A thoughtful discussion of the challenges of making business decisions given the increasing wealth of data, analytics, knowledge sharing, and rapid communications. The article suggests breaking down decisions into four types: (1) Big-bet decisions, (2) cross-cutting decisions, (3) delegated decisions, and (4) ad hoc decisions. The article also suggests how to vary decision making processes according to the circumstances.
“In today’s world, there is the added complexity that many decisions (or parts of them) can be ‘delegated’ to smart algorithms enabled by artificial intelligence. Identifying the parts of your decisions that can be entrusted to intelligent machines will speed up decisions and create greater consistency and transparency, but it requires setting clear thresholds for when those systems should escalate to a person, as well as being clear with people about how to leverage the tools effectively.”