article thumbnail

The Surprising Power of Business Experiments

Skip Prichard

Daniel Kahneman. When it finally came to my attention, I realized right away that large-scale, controlled experimentation would revolutionize the way all companies operate their businesses and how managers make decisions. Consider Kohl’s, the large retailer, which in 2013 was looking for ways to decrease its operating costs.

Power 94
article thumbnail

The Persistence of the Innovator's Dilemma

Harvard Business Review

The most punishing innovations, they argued, were the ones that were easy to dismiss at first blush — simple, affordable solutions that took root outside the mainstream market. Academic journals have dissected the disruptive innovation theory and hundreds of thousands of students around the world have seen Christensen's famous model.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Crack the Leadership Code

Skip Prichard

Daniel Kahneman. It’s in the new that insights, ideas, and innovation comes from. If you’re operating as a know-it-all, you have an underlying belief that that any new stuff really isn’t of much value. I recently spoke with him about his work. We’re blind to our blindness. We have very little idea of how little we know.

article thumbnail

Why Western Digital Firms Have Failed in China

Harvard Business Review

This study uses two rounds of interviewing to identify what the Nobel laureate Daniel Kahneman describes as the “inside view” and the “outside view” of the phenomenon. ineffective innovation strategies. failure to fully embed operations in China. 5 Principles for Innovation in Emerging Markets.

article thumbnail

Why Companies Are Betting Against Big Ideas

Harvard Business Review

This idea of prospect theory, developed by Tversky and Kahneman and reported in a classic 1979 article (for which the Nobel prize was awarded) demonstrated that individuals do not make decisions rationally by selecting options with the highest expected value, because they are risk-averse and 'losses loom larger than gains.'.

article thumbnail

Your Customers are Probably Annoyed With You

Harvard Business Review

Behavioral economists like Dan Ariely and Nobel laureate economist Daniel Kahneman would say the framing of survey questions reflects a desire to capture what's most important or detect emergent pathologies. I know that Starbucks doesn't want to be McDonald's and brand its customer experiences around better operational efficiencies.