PETALING JAYA: Rapid disruption trends are forcing business operators to make decisions on the fly and keep up with the breakneck pace of change or risk being left in the dust.
Speaking at the “Making Wise Decisions” workshop as part of the Star Empowerment Leadership Series, Iclif research and curriculum director Peter Webb (pic) said disruption has “become the new norm.”
“Making (business) decisions is getting much harder because the old ways of doing business is collapsing.
“You can’t expect strategic math to last more than a few months, so the methods we learnt at business schools are no longer sufficient,” he told StarBiz.
“Now we have to consider much more information than we ever did before.
“We need other ways of making decisions for the kinds of dilemmas that we’re facing.”
Webb emphasised that making decisions in the past was “fairly clean cut,” unlike today.
“Decisions in the past...They revolved around financial and company viability, the ability to extract whatever resources or value it could from its products, being able to sell those products and contribute to the economic wellbeing.
“But because of the multiple effects and the complexity of the world that we’re in now, that’s no longer the case.
“While many of these things are necessary, they’re no longer sufficient.”
Webb said one of the biggest challenges facing corporations is mitigating the impact it can have on the planet and its resources.
“Our decisions worked well before for our stakeholders and shareholders were able to generate revenue from whatever products and services that we offered. But those products and services now have a cost.
“Every decision that we make now affects the viability of the health of the communities and of the planet.
“Everything is connected. Now, we must all take responsibility, but how do we do that? How do we make decisions that serve the welfare of most people in the right way?”
Webb said there were three types of “systems” that influences an individual’s decision-making process.
System one operates automatically and intuitively while system two operates slower and more deliberate when complex computations are required.
Webb advocated the use of the third system – one that involves considerative information processing – as the ideal method to incorporate when making tough decisions.
“This involves seeing the bigger picture and considering the ultimate ramifications and implications,” he said.
Iclif is a Kuala Lumpur-based non-profit organisation focusing on executive education, research, coaching and advisory services in the areas of leadership development and corporate governance.
The full-day workshop was held at Menara Star and was organised by Star Media Group in partnership with The Iclif Leadership and Governance Centre.
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