[Script Info]
Title: 
[Events]
Format: Layer, Start, End, Style, Name, MarginL, MarginR, MarginV, Effect, Text
Dialogue: 0,0:00:05.84,0:00:07.04,Default,,0000,0000,0000,,Over the years,
Dialogue: 0,0:00:07.04,0:00:09.95,Default,,0000,0000,0000,,when teaching\Ndecision-making processes to students
Dialogue: 0,0:00:09.95,0:00:12.24,Default,,0000,0000,0000,,and executives at MIT and elsewhere,
Dialogue: 0,0:00:12.44,0:00:16.99,Default,,0000,0000,0000,,I often set up group exercises\Nthat let students practice
Dialogue: 0,0:00:17.16,0:00:21.56,Default,,0000,0000,0000,,this sort of debate\Nand constructive conflict in teams,
Dialogue: 0,0:00:21.88,0:00:27.61,Default,,0000,0000,0000,,and it gives them firsthand\Nexperience on how these processes
Dialogue: 0,0:00:27.61,0:00:31.58,Default,,0000,0000,0000,,reliably deliver higher-quality decisions
Dialogue: 0,0:00:31.72,0:00:35.39,Default,,0000,0000,0000,,than decisions that didn't have\Nthis kind of design process.
Dialogue: 0,0:00:35.40,0:00:37.18,Default,,0000,0000,0000,,That's what I've talked about here.
Dialogue: 0,0:00:38.47,0:00:41.48,Default,,0000,0000,0000,,When I teach students\Nand executives as well,
Dialogue: 0,0:00:41.48,0:00:43.07,Default,,0000,0000,0000,,I will oftentimes watch
Dialogue: 0,0:00:44.00,0:00:48.14,Default,,0000,0000,0000,,clips of a movie.\NIt's a motion picture called {\i1}13 Days{\i0},
Dialogue: 0,0:00:48.36,0:00:50.81,Default,,0000,0000,0000,,which depicted the decision-making process
Dialogue: 0,0:00:51.11,0:00:54.34,Default,,0000,0000,0000,,that President Kennedy used\Nduring what's now called
Dialogue: 0,0:00:54.34,0:00:55.70,Default,,0000,0000,0000,,the Cuban Missile Crisis.
Dialogue: 0,0:00:55.96,0:00:58.90,Default,,0000,0000,0000,,This is probably\None of the most consequential decisions
Dialogue: 0,0:00:59.16,0:01:01.92,Default,,0000,0000,0000,,that any president\Nhas ever made in history,
Dialogue: 0,0:01:01.92,0:01:06.00,Default,,0000,0000,0000,,because this was the closest time\Nthat the U.S. and Russia
Dialogue: 0,0:01:06.00,0:01:10.32,Default,,0000,0000,0000,,came to launching\Nnuclear warheads on one another,
Dialogue: 0,0:01:10.32,0:01:12.88,Default,,0000,0000,0000,,essentially starting World War III.
Dialogue: 0,0:01:13.16,0:01:16.36,Default,,0000,0000,0000,,Here are some of my own highlights\Nthat play out in the movie.
Dialogue: 0,0:01:16.36,0:01:20.96,Default,,0000,0000,0000,,And as you'll see,\Nmany of these kind of core activities
Dialogue: 0,0:01:20.96,0:01:23.76,Default,,0000,0000,0000,,that Kennedy used in making this decision
Dialogue: 0,0:01:23.92,0:01:27.03,Default,,0000,0000,0000,,align with the four principles\Nthat I'm suggesting in our program.
Dialogue: 0,0:01:27.08,0:01:30.54,Default,,0000,0000,0000,,Number one,\Nhe was very clear about his goal,
Dialogue: 0,0:01:30.92,0:01:34.00,Default,,0000,0000,0000,,and his goal was to avoid nuclear war.
Dialogue: 0,0:01:34.40,0:01:37.69,Default,,0000,0000,0000,,Now, this is different than what tradition
Dialogue: 0,0:01:37.69,0:01:40.64,Default,,0000,0000,0000,,would have suggested for a U.S. president.
Dialogue: 0,0:01:40.71,0:01:45.04,Default,,0000,0000,0000,,Tradition would say\Nthe challenge or the goal
Dialogue: 0,0:01:45.26,0:01:49.41,Default,,0000,0000,0000,,is to overcome your adversary,\Nto beat your adversary or to win.
Dialogue: 0,0:01:49.72,0:01:52.28,Default,,0000,0000,0000,,That's what traditional policy\Nwould have recommended,
Dialogue: 0,0:01:52.28,0:01:53.76,Default,,0000,0000,0000,,but he didn't take that route.
Dialogue: 0,0:01:54.29,0:01:58.17,Default,,0000,0000,0000,,The route that he took\Nis he wants to avoid nuclear war.
Dialogue: 0,0:02:00.00,0:02:02.57,Default,,0000,0000,0000,,And as you see in the movie,\Nhe had a lot of pressure
Dialogue: 0,0:02:02.76,0:02:07.86,Default,,0000,0000,0000,,to follow a more traditional\Ndecision process as commander in chief.
Dialogue: 0,0:02:08.00,0:02:12.24,Default,,0000,0000,0000,,So my first principle\Nis to be very clear about the problem
Dialogue: 0,0:02:12.60,0:02:15.70,Default,,0000,0000,0000,,or the decision or the goal\Nthat you're trying to achieve
Dialogue: 0,0:02:15.87,0:02:17.71,Default,,0000,0000,0000,,with this decision process.
Dialogue: 0,0:02:18.12,0:02:20.78,Default,,0000,0000,0000,,The second is that you'll see
Dialogue: 0,0:02:20.92,0:02:23.63,Default,,0000,0000,0000,,that he actually owned\Nthe decision process
Dialogue: 0,0:02:24.04,0:02:26.75,Default,,0000,0000,0000,,from the very beginning\Nas commander in chief.
Dialogue: 0,0:02:27.00,0:02:30.12,Default,,0000,0000,0000,,Now, he sought out\Nlots of different perspectives
Dialogue: 0,0:02:30.36,0:02:34.97,Default,,0000,0000,0000,,that he knew and his advisers knew were\Nimportant to the decision-making process.
Dialogue: 0,0:02:35.24,0:02:36.41,Default,,0000,0000,0000,,And as you'll see,
Dialogue: 0,0:02:36.59,0:02:42.33,Default,,0000,0000,0000,,he sought perspectives from people\Nwho dislike him and even distrusted him.
Dialogue: 0,0:02:42.64,0:02:45.96,Default,,0000,0000,0000,,But he knew those people\Nhad valuable expertise
Dialogue: 0,0:02:45.96,0:02:49.36,Default,,0000,0000,0000,,that could inform\Nhis understanding of the problem.
Dialogue: 0,0:02:49.80,0:02:54.36,Default,,0000,0000,0000,,My second recommendation\Nin designing a decision process
Dialogue: 0,0:02:54.60,0:02:59.66,Default,,0000,0000,0000,,is to seek out multiple perspectives\Nto understand the problem that you face.
Dialogue: 0,0:03:00.08,0:03:04.16,Default,,0000,0000,0000,,The third thing I want to point out\Nis he utilized teams of advisors,
Dialogue: 0,0:03:04.16,0:03:08.22,Default,,0000,0000,0000,,several sets of advisers\Nto come up with creative solutions
Dialogue: 0,0:03:08.40,0:03:12.26,Default,,0000,0000,0000,,and multiple solutions\Nto this problem that he was facing.
Dialogue: 0,0:03:13.68,0:03:18.29,Default,,0000,0000,0000,,Those alternative solutions that he faced\Nactually led to some of the decisions
Dialogue: 0,0:03:18.32,0:03:19.58,Default,,0000,0000,0000,,that he actually made,
Dialogue: 0,0:03:19.58,0:03:22.76,Default,,0000,0000,0000,,the solutions\Nthat he actually put in place.
Dialogue: 0,0:03:23.12,0:03:28.45,Default,,0000,0000,0000,,And these solutions creatively\Ndid avoid these two countries
Dialogue: 0,0:03:28.45,0:03:31.12,Default,,0000,0000,0000,,going to nuclear war with one another.
Dialogue: 0,0:03:31.40,0:03:34.32,Default,,0000,0000,0000,,So this was my third suggested principle.
Dialogue: 0,0:03:34.32,0:03:38.91,Default,,0000,0000,0000,,When you're trying to arrive at decisions,
Dialogue: 0,0:03:39.21,0:03:40.97,Default,,0000,0000,0000,,especially high-stakes decision,
Dialogue: 0,0:03:41.04,0:03:45.44,Default,,0000,0000,0000,,generate multiple alternatives\Nand multiple solutions to consider.
Dialogue: 0,0:03:45.88,0:03:48.48,Default,,0000,0000,0000,,And then finally,\Nthe fourth thing I want to point out
Dialogue: 0,0:03:48.48,0:03:51.17,Default,,0000,0000,0000,,is that President Kennedy\Nmade the tough call.
Dialogue: 0,0:03:52.00,0:03:55.92,Default,,0000,0000,0000,,And everybody got behind him\Nwhen he made those tough calls.
Dialogue: 0,0:03:55.92,0:03:58.15,Default,,0000,0000,0000,,And this is my fourth principle.
Dialogue: 0,0:03:59.69,0:04:01.00,Default,,0000,0000,0000,,When you make tough calls,
Dialogue: 0,0:04:01.00,0:04:04.13,Default,,0000,0000,0000,,make sure that now you're moving\Nfrom decision-making
Dialogue: 0,0:04:04.13,0:04:07.20,Default,,0000,0000,0000,,to decision implementation\Nor decision execution.
Dialogue: 0,0:04:07.24,0:04:10.08,Default,,0000,0000,0000,,So, again, I think that the movie provides
Dialogue: 0,0:04:10.28,0:04:13.24,Default,,0000,0000,0000,,an excellent illustration\Nof some of the design principles
Dialogue: 0,0:04:13.24,0:04:16.64,Default,,0000,0000,0000,,for decision processes\Nthat I'm recommending in this program.
Dialogue: 0,0:04:17.20,0:04:20.02,Default,,0000,0000,0000,,More importantly,\Nwhat the Cuban Missile Crisis shows
Dialogue: 0,0:04:20.02,0:04:22.96,Default,,0000,0000,0000,,is that if you have\Na high-quality decision process,
Dialogue: 0,0:04:23.41,0:04:26.39,Default,,0000,0000,0000,,you're going to produce\Nhigher quality decisions.
Dialogue: 0,0:04:27.16,0:04:28.45,Default,,0000,0000,0000,,So that's the big point.
Dialogue: 0,0:04:29.70,0:04:32.90,Default,,0000,0000,0000,,When you think of architecting\Na decision process,
Dialogue: 0,0:04:33.12,0:04:35.62,Default,,0000,0000,0000,,you can architect a high-quality process
Dialogue: 0,0:04:35.76,0:04:37.92,Default,,0000,0000,0000,,and then you'll have\Nhigher quality decisions.
Dialogue: 0,0:04:38.00,0:04:41.15,Default,,0000,0000,0000,,Research done by\NOhio State professor Paul Nutt
Dialogue: 0,0:04:41.52,0:04:44.76,Default,,0000,0000,0000,,suggests that about\N50% of managers' decisions
Dialogue: 0,0:04:45.08,0:04:47.95,Default,,0000,0000,0000,,fail to achieve their intended outcomes.
Dialogue: 0,0:04:48.08,0:04:49.08,Default,,0000,0000,0000,,So in general,
Dialogue: 0,0:04:49.08,0:04:53.63,Default,,0000,0000,0000,,you can rightly say that status quo\Ndecision processes in organizations
Dialogue: 0,0:04:53.63,0:04:57.20,Default,,0000,0000,0000,,earn about an F\Nin terms of a grading scale.
Dialogue: 0,0:04:58.90,0:05:00.27,Default,,0000,0000,0000,,One of the big insights
Dialogue: 0,0:05:00.27,0:05:03.28,Default,,0000,0000,0000,,that came from his research\Nof actual decisions
Dialogue: 0,0:05:03.45,0:05:05.52,Default,,0000,0000,0000,,and the consequences of those decisions
Dialogue: 0,0:05:05.76,0:05:08.97,Default,,0000,0000,0000,,is that managers used\Npoor decision processes
Dialogue: 0,0:05:09.24,0:05:10.66,Default,,0000,0000,0000,,in making those decisions.
Dialogue: 0,0:05:10.82,0:05:12.32,Default,,0000,0000,0000,,As transformational leaders,
Dialogue: 0,0:05:12.32,0:05:14.18,Default,,0000,0000,0000,,you want to take\Nsome of the principles
Dialogue: 0,0:05:14.18,0:05:16.64,Default,,0000,0000,0000,,and some of the processes\Nthat we're describing here
Dialogue: 0,0:05:17.56,0:05:20.03,Default,,0000,0000,0000,,to help you make better decisions
Dialogue: 0,0:05:20.03,0:05:24.09,Default,,0000,0000,0000,,as you're looking at your organization \Nholistically in terms of change
Dialogue: 0,0:05:24.44,0:05:25.45,Default,,0000,0000,0000,,and innovation.
Dialogue: 0,0:05:25.64,0:05:29.64,Default,,0000,0000,0000,,By having a better decision process,\Nwe hope that you'll have better outcomes
Dialogue: 0,0:05:29.64,0:05:33.00,Default,,0000,0000,0000,,and better consequences\Nin those decisions that you make.
Dialogue: 0,0:05:33.40,0:05:35.35,Default,,0000,0000,0000,,Remember that the best decisions
Dialogue: 0,0:05:36.16,0:05:39.84,Default,,0000,0000,0000,,can become an outcome\Nof the best quality processes.
Dialogue: 0,0:05:40.08,0:05:44.49,Default,,0000,0000,0000,,And now we're going to turn our attention\Nto continue this logic of design thinking,
Dialogue: 0,0:05:44.72,0:05:48.48,Default,,0000,0000,0000,,but applying it specifically\Nto approaches to innovation
Dialogue: 0,0:05:48.68,0:05:51.90,Default,,0000,0000,0000,,and we're going to apply it\Nto how to design high-performing teams.