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Dr Mats tip of the day - 024 - Management Decisions in Disruption

Yesterday we covered an aspect of leadership that will be affected by Disruption. Today's topic is one for the manager - how will your decision making approach be different in Disruption?

Management decisions have historically been based on facts and information, conservatism, followed by some period of analysis and thought on consequence -before a direction is chosen by the team and/or the manager (may be worth reading my previous blog on critical thinking !). Actions are usually taken after a management decision is taken, that is then followed by a period of review. If actions are shown to not translate as expected, mitigation and change is introduced so as to rectify towards the expected outcome (typical quality management cycle).

So now lets introduce Disruption - where changes occur without much or any notice, occurring fast without too many verified facts, occurring with great uncertainty and risk. It is only now with globalization, social media, presidential tweets, internet and other that Disruptions occur so fast and without warning. Tweets about trade wars with little detail can affect - markets, operational trade, deals and strategic direction - yet in a tweet there is hardly enough information to know if the tweetor is seriously committed to the new direction, no detail on how it will be implemented.

In a management decision making model there are many issues for the manager of the future to consider during ongoing Disruption. Firstly, the dominant reliable forms of information (so common in the past like new papers and television) are diminishing, being too slow or unprofitable to remain dominant. Today everyone has a camera and can send new information unfiltered and verified around the world. the new forms of information are great for immediate timing, however they do not present reliable verification or other perspectives.

So the manager of the future may have to make decisions based on unreliable or unverified information - the new aspect for the manager is whether to spend time and money verifying the new scenario or to act early and gain advantage. The problem with this is - that there is considerable risk and uncertainty in jumping in early or waiting - the manager of the past may have been more risk averse than those that will follow in the future.

Speed is another issue for the manager of the future - as information is free and fast flowing, the time to make a decision may be far less in Disruption. Imagine a negative market event from a trade war or from Brexit change, for instance - imagine that it takes place 30 min before trading closes in a country far away - a manager may have to decide on options based merely on social media. So the question is how will your manager react ? - will they wait till more facts arise in the next days and weeks before deciding to sell options (missing potential gains) or will they sell quickly just upon social media reports?

Managers in the future, with Disruption, will be challenged like never before. This will result in challenges for governance boards as new methods will be required in setting rules, ethics and boundaries in Disruption. Considering the future of decision making in your organisation through an ongoing Disruption model should be a priority for your organisation today! Better to consider and adapt now than leave it and later find that decisions have been made to the detriment of your organisation.

If you are a Leader or seeking to be one in the future - you need to read, read, read about Disruption NOW ! Those that fail to understand and adjust will fall behind.

Feel free to ask Dr Mat over a chat or email on Leadership, Management or change issues, advice, consulting or mentoring that you may seek.

These and other related topics feature in Dr Mats upcoming book titled "Leading and Managing Change in the Age of Disruption and Artificial Intelligence" - written for the modern professional, student and academic wanting to be ahead on modern Leadership and Management issues. Available through Amazon and other book sellers from May 24th 2019 -

Consider your own specific situation and seek professional advice before acting directly in reaction to any of the tips on this website, they are intended as general advice only.

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