Monday, December 29, 2014

No Decision, the biggest enemy of progress

Case 1: It was a global RFP for a solution that had almost every solution provider pitching for the business. It was a large opportunity with the customer being one of the leaders by size in the industry. Everyone wanted to bid and put their best foot forward with local and global resources leaving no stone unturned. The business teams were excited too, to traverse the path they had not imagined possible. Evaluations progressed over almost 6 months until a couple were left to choose from. The shortlist was setup for negotiations aligned to financial period endings.

Case 2: The Company always followed best practices especially for their backend infrastructure and data center. Every 3 years they refreshed the hardware even if it had some juice remaining, thus staying with innovation; they procured all the equipment on operating lease which was good in a way. In the current landscape they were spoilt for choices with Public, Private, Hosted, Hybrid Clouds as well as engineered systems which promised leading edge technology. Spread over 9 months the evaluation led to shortlist that was a relief to everyone involved.

Case 3: Audits had demonstrated inherent weakness in the systems and the business was growing faster than the market. The management was being challenged to invest in better technology solutions which the rest of the industry had adopted many years back. Reluctantly they agreed and invited leading Management Consultants to review the landscape and recommend the best way forward. Many months and a fat bill later they had the answer they knew; the solution provider along with partners wooed the customer with enticement that was difficult to refuse.

All the cases above represent companies that are deemed successful by the external world on all the KPIs (primarily financial) that are used to define success in this world: CAGR, ROCE, ROE, market share, EBITDA, or market capitalization. They all had invested in IT building a foundation that sustained their business; they all had faltered through the journey and now become slow followers or laggards in the fast paced digitally disruptive world. The CIOs were operationally effective yet ineffective in the business partnership.

The need was neither lesser nor the urgency; participation from all quarters was enthusiastic with clear benefit from the investments. The companies were doing well with whatever they had, acknowledging the fact that competition had an edge with some of their new IT investments. Loads of clarifications, comparisons, and references later, they had everything required to take a decision. Thus armed with data the teams presented their conclusions to their respective management teams anxious to close the deal and start reaping the benefits.

At the opportune time, the case was presented to the senior management. As is with most management teams they want to add value to whatever they see irrespective of the domain, subject or context. The collective wisdom could not prevent their desire to help the team take the best decision; so they complimented the team and asked them for related and irrelevant data points and moved on to the next agenda item. Uneasy at the new request the team promised to get the desired information quickly to force a decision.

Weeks and months passed in the quest for the anticipated and unanticipated information needs of the senior management. Getting on their agenda again took some effort and lobbying; the team presented in all completeness the requested information and then some more. The CFO put a new twist to the story challenging the foundation on which the evaluation was conducted. A sense of despair floated in the room, the team unable to effectively protest the direction into which they were being hurtled. The situation appeared to be a losing one !

Analysis paralysis driven by the need to value add is not a random occurrence; it’s a tactical move honed by practice to avoid or delay a decision. When in doubt, ask for more information; when you don’t understand something, create a lateral stream; when you don’t want to say no directly, expand the scope or change the business assumptions. The list is endless, result the same, no decision. It is not procrastination, it is a savior for those who like to maintain status quo or are uncomfortable with change. For some it is a way to get even !

No decision is the biggest enemy of progress, are you addressing it ? Wait until next year for some answers !

2 comments:

  1. Between the known devil and the unknown depths of sea, most prefer the known devil - the status quo, primarily because they don't want to be blamed for anything new. Despite the fact that they know that the known devil will certainly kill them, most don't want to take the risk. Like it was once believed: those who buy IBM will never be blamed, will never lose their jobs, no one bought anything else despite the outcome.

    The biggest risk is not taking one.
    - anonymous

    The risk of a wrong decision is preferable to the terror of indecision.
    - Maimonides

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