Adopt Simple Rules to Break the Resource Allocation Status Quo
Simple resource allocation decision rules can help minimize political infighting because they change the burden of proof from the typical default allocation (“what we did last year”) to one that makes it impossible to maintain the status quo. For example, a simple harvesting rule might involve putting a certain percentage of an organization’s portfolio up for sale each year to maintain vibrancy and to cull … [ Read more ]
Author: Dan P. Lovallo | Source: How to Put Your Money Where Your Strategy Is | Original Publication: The McKinsey Quarterly | Subject: Finance