In my April 12 blog, How Do They Decide , I noted three decision making styles in an organization:
- Unquestioning Empiricists – data-based decision making only
- Visceral Decision Makers –intuition is the usual decision-driver
- Informed Skeptics – balance facts and intuition (the optimal style)
The last style, Informed Skeptics, is the best since analysts with this profile balance facts and intuition thereby employing a more balanced approach to decision making.
This runs counter to current trends suggesting fact-based decision making alone is the Nirvana toward which all innovative analytics is moving. Purists contend any amount of intuitive thinking is “backsliding” toward an outmoded style.
Yet, a data-based decision making only approach can be risky, too. In the era of “Big Data”, the danger of “analysis paralysis” has never been greater.
A strong streak of intuition can actually be pragmatic. There is point where the ratio of information gathering cost and optimization of decision value reach a balance. An Informed Skeptic is best equipped to perceive when that balance is struck and a decision needs to be made.