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Strategic decisions: Trust your head or your gut?

April 17, 2010 by

Should leaders trust their head and rational thinking, when making complex or strategic decisions, or trust their intuition, their "gut?" There are arguments for each side of the question, including new research that may give leaders a better sense of what to do.In the March, 2010, McKinsey Quarterly, Daniel Kahneman, a psychologist and Nobel Prize winner in economics, and Gary Klein, a senior scientist at MacroCognition, discussed the power of intuition to support decision-making in high pressure situations.When asked, "when should you trust your gut?" Klein responded, "never,' arguing that leaders need to consciously and deliberately evaluate their gut feelings. Kahneman argues that when leaders are under time pressure to make a decision, they need to follow their intuition, but adding t...

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