Blind Faith: Managers 'Unwilling to Face the Known'... -
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Published on: 5/16/1996
Last Visited: 12/21/2008
Dr. Richard Gooding, founder of Strategic Advantage, Inc. and former professor at Arizona State University in Tempe, Arizona, says 80 percent of new products and businesses fail, despite the best intentions of entrepreneurs and managers.Some may blame undercapitalization.Others, inexperienced managers.
Gooding believes the biggest reason for failure is the way managers naturally think.In making growth decisions, he says, they use shortcuts that "create decision traps that cause managers to ignore, overlook, and rationalize critical information."
"Growth strategies don't fail because of the unknown, they fail because managers are unwilling to face the known," Gooding says.
Before they invest in elaborate corporate identity programs, fancy offices and other trappings of success, business owners and managers should clarify their thinking, Gooding says.He believes a healthy dose of skepticism can help.
Gooding regularly presents risk analysis workshops to professional groups.Attendees--corporate executives, marketing directors, planners and consultants--sample Gooding's methodology, trademarked Strategic Risk Analysis.
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Gooding says Strategic Risk Analysis is efficient, taking less than six hours of company time to complete the key steps.For further information, contact Gooding at 602-759-7562.