The information-decision gap.

Edition 5 of Forward+

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1 big idea worth considering.

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If you think about the best way to make a decision, you’d likely agree that you want the decision as close to the information as possible. Put another way, you’d want the decision to be a reflection of the best information you have. That’s how you give yourself the best shot at making the right decision.

Yet when it comes to the way we build businesses, this logic tends to go out the window.

As companies scale, the information-decision gap naturally begins to widen. Layers of leadership are put in place, and a business that once made ground-level decisions now finds their core decisions being made by people far removed from the information - the boots on the ground.

To make this concrete, in the early days of a company, the person leading sales is making decisions based on the reality of trying to sell every single day. Once a company has scaled significantly, the person making decisions about sales is mostly, if not entirely, removed from the day to day sales conversations.

Information ← gap → decision.