Strategy Dynamics Briefing 71: Conflicting objectives

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Recent briefings urged us to focus on the direct impact of decisions, rather than following simplistic rules based on ratios or overall performance outcomes, especially profits. But many decisions, such as various spending choices, include a direct profit impact, as well affecting the resources and operating performance in their particular part of the system. In practice, then, many decisions have to balance conflicting aims.

Take the case of an established power company, supplying electricity to a large number of homes. ...

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