Strategic Decision-making – How It Is, and How It Used to Be

A recent study (McKenna and Martin-Smith 2005) shows that failure-prone tactics and a poor choice of leadership are minor reasons for the making of incorrect decisions. The major causes were found to be complexity and uncertainty in the environment that stems from two sources: 1) the nature of people’s interactions, and 2) the nature of change in the environment due to changes in technology, economics, politics, demographics and other factors.