What: McKinsey reviews the impact of decision-making processes on companies’ performances.

Why it is important: 80% of respondents consider their organizations to be inefficient at decision-making.

A recent McKinsey Global Survey reveals that only 20% of respondents believe their organizations excel at decision-making, and most of their time spent on decision-making is considered ineffective.

The survey investigated three common types of decisions: big bets, cross-cutting decisions, and delegated decisions. Results indicate that good decision-making practices lead to high-quality and fast decisions. Organizations that excel in decision-making, referred to as "winners," are able to make and execute good decisions swiftly, leading to better financial results and growth rates.

The survey also highlights that even C-level executives spend a significant portion of their time on decision-making, with over half of respondents spending more than 30% of their working time on it. However, many consider this time to be inefficiently used.

Decision making in the age of urgency