With increasing disruption and complexity, CEO’s today need to be able to look around the corner
In today’s hyper-connected world, change is not only constant; it is inevitable. Especially when least expected. One example is the recent fiasco with Boeing, which was not very well managed and is going to cost the company in ways it never even thought possible.
Which CEO could imagine when a couple of his aircraft went down that besides the inevitable lawsuits from the families of passengers that there would be considerable liabilities to airlines for opportunity cost in grounding their fleet? Or expenses in the hundreds of millions in finding parking space for grounded aircraft. The latest in that saga is that 3000 pilots have sued the company. And there is no definitive sign that the FAA will certify the aircraft soon.
These would not be strategic scenarios that would typically enter the mind of the CEO of Boeing. Yet, they (and more of the same) are a reality he has to cope with. And deal with very quickly, making the correct call, because there is no room for error with these kinds of costs.
So, what am I getting at here? It will be taken for granted that a large company the size of Boeing would be very well staffed with scenario experts and futurists. But in that maze of data, guidance is essential.
Introducing the Parmenides Matrix. Scenarios and strategies that are well designed throw up multiple feasible options. This is great as compared to having only one or two strategies as a planning tool. But the problem is which one to choose when you have 2000 possible permutations?
The answer lies in the Parmenides Matrix. It visually depicts the best three or so courses of action, making the final choice quite easy for a CEO or top decision-maker.
In summation, in today’s world of complexity and rapid crisis or disruption, a good CEO will have potential scenarios and strategies well mapped out in advance. Making sense of them is aided by tools like the Parmenides Matrix, which makes creating the best decision a no-brainer.