Thus when we think of a business as a logical machine we write judgment, whether that of the managers or others, out of the discussion. Yet people matter, indeed are the very core of the private sector enterprise, precisely because no firm fits into the specification of a machine. The most fundamental aspects of a business—its ability to add value and be an “engine of the economy”—lie in what cannot be calculated, what is not mechanical and predictable. Thus Paradigm B admits people and their judgment but subordinates their value to that of the plan—their judgment is needed to complete the
...more