I always appreciate being shown a framework for thinking. As I'm faced with new situations, I reach for a tool bag of templates and examples that I've gathered over the years that help me clarify the problem, formulate solutions and ultimately make a decision.
Thinking Strategically: The Competitive Edge in Business, Politics and Everyday Life, Avinash K. Dixit and Barry J. Nalebuff (1993)
Thinking in Time: The Uses of History for Decision-Makers, Richard E. Neustadt and Ernest R. May (1988)
Thinking, Fast & Slow, Robert Kahnman (2010)
Known and Unknown: A Memoir, Don Rumsfeld (2011)
Don Rumsfeld was a decision maker. He also knew when to say, "I don't know." Impressive coming from someone who was both the youngest and oldest Secretary of State to serve our country. He demonstrated an long-standing ability to use questions and principles to navigate through difficult situations, making decisions and offering recommendations to the best of his ability. Holding key positions in the Nixon, Ford and George W Bush administrations he was a key figure in shaping the political landscape of the 20th century. No grand slams, just a million base hits. I appreciate that.
Here's the rest of my 2013 Reading List.
Thinking Strategically: The Competitive Edge in Business, Politics and Everyday Life, Avinash K. Dixit and Barry J. Nalebuff (1993)
This was a meaty read that had to be digested in bite-sized morsels but contained some valuable insights. It's a book that I've pulled off the shelf several times this last year to review points and principles and I anticipate doing the same in coming years. Three things stick out: 1) The use of Unpredictability. In a zero-sum game (where someone wins and someone loses), you want to "prevent others from exploiting any systematic behavior of yours", by masking your dominant strategy with randomness (i.e. in tennis, go between your forehand and backhand to keep your opponent off-guard). 2) The nature of Negotiations. The ice cream pie is always melting, so to speak. Typically, the more rounds of negotiations there are, the less there is to walk away with. Know what cards you hold before negotiations begin and what you are willing to lose. 3) Three-Way Dual. Your enemy's enemy is your friend. Rivals have limited resources, so any effort directed toward you depletes the resources that guard against others. A skilled strategist knows when and how to use a rival's rival to divert focus, drain resources (as necessary) and forestall conflict by playing both sides.
Thinking in Time: The Uses of History for Decision-Makers, Richard E. Neustadt and Ernest R. May (1988)
Thinking in Time lays out a framework for holding current events up to similar past events for comparison and contrast. When a new situation arises, separate out three things: What do you know? What is uncertain? What is presumed? Then dig into the "story" and - like in Crucial Conversations: Tools for Talking when Stakes are High - be careful to separate facts (i.e. 30-40 people) from interpretations (i.e. a "big crowd"). Meanwhile, don't lose sight of the objective, which is to bring about a desired outcome.
Thinking, Fast & Slow, Robert Kahnman (2010)
Kahnman posits that we have two "thinking systems" within us: an intuitive system and a rational system. Much like how the muscular and skeletal systems compliment and correlate - and motion would be impossible without both - so our minds appear to both "Blink" and stare. Coherent thought would be impossible without both. If intuitive thinking reigned supreme, we would be fickle and forgetful. If rational thought were to rule in isolation, we would be paralyzed, not being able to proceed until we had full understanding of an object, statement or event. Kahnman's research has also become a seminal work in behavioral economics in how buyer behavior can be (and is) influenced by appealing to intuitive elements before the rational functions can kick in (for instance, "anchoring" as dealt with by Dan Areily in Predictably Irrational, where the first price you see (Originally $6599!) creates a bias for comparison with subsequent prices (Now only $5949!)).
Known and Unknown: A Memoir, Don Rumsfeld (2011)
Don Rumsfeld was a decision maker. He also knew when to say, "I don't know." Impressive coming from someone who was both the youngest and oldest Secretary of State to serve our country. He demonstrated an long-standing ability to use questions and principles to navigate through difficult situations, making decisions and offering recommendations to the best of his ability. Holding key positions in the Nixon, Ford and George W Bush administrations he was a key figure in shaping the political landscape of the 20th century. No grand slams, just a million base hits. I appreciate that.
Here's the rest of my 2013 Reading List.
