Making fast strategic decisions in high-velocity environments

Abstract

How do executive teams make rapid decisions in the high-velocity mi- crocomputer industry? This inductive study of eight microcomputer firms led to propositions exploring that question. Fast decision makers use more, not less, information than do slow decision makers. The former also develop more, not fewer, alternatives, and use a two-tiered advice process. Conflict resolution and integration among strategic de- cisions and tactical plans are also critical to the pace of decision mak- ing. Finally, fast decisions based on this pattern of behaviors lead to superior performance.