Strategic Decisions Group (SDG)

Mastering Uncertainty and Value in Smart Decisions Most decisions are made under uncertainty. How do you trade-off uncertainty and value? Whether it's changing careers, a bold product launch, or a direction setting strategic choice, finding the right balance can unlock new opportunities. Want to learn how? Swipe through our social cards for practical tips on making smarter, more balanced decisions. Let’s connect and explore how these insights can enhance your decision-making process!

🌟 The Power of Decisions: Shaping the Future 🌟 Decisions are our most powerful tool to shape the future. Making them well is the key to getting the most out of life. 💡To judge the quality of a decision before we act, we need to understand what goes into a decision. This process is crucial for making informed and effective choices that bring us closer to our goals. 🎯 Ronald Howard, a pioneer in decision analysis, laid the foundation for understanding the structure of decisions by defining a decision basis - values, uncertainties, and alternatives. Ron often showed depicted this powerful triad as a 3-legged stool. His insights are central to the work of the Strategic Decisions Group (SDG), which actively uses these foundational ideas to help individuals and companies navigate complex decisions in a strategic and impactful way. https://lnkd.in/eSXjTd-g

As we conclude our series honoring the life and contributions of Ron Howard, co-founder of Strategic Decisions Group (SDG) Decision Group, we take a moment to reflect on the remarkable variety of his achievements that shaped the fields of decision analysis and engineering and impacted the lives of so many. Ron Howard's journey began at MIT, where he earned his Sc.D. in Electrical Engineering in 1958, under the guidance of George E. Kimball, and served as an associate professor. Ron joined Stanford University in 1965, where he left an indelible mark before and after his retirement in 2018. A Peek at His Notable Contributions: - Algorithmic Breakthroughs: Ron was a trailblazer in developing the policy iteration method for solving Markov decision problems, fondly known as the Howard policy-improvement algorithm. - Analytic Models: His seminal work, "Dynamic Probabilistic Systems" (Vol 1, 1971; updated in 2007 & 2012), laid foundations for probabilistic modeling. -  Risk Quantification: In 1980, Ron introduced the concept of micromort—a way to quantify risk by defining a one-in-a-million chance of death. This novel idea has become a staple in risk assessment. - Graphical Representation of Decisions: In the 1980s, alongside collaborator and close friend Jim Matherson, Ron played a crucial role in developing the Influence Diagram. This introduced a powerful tool for visualizing and analyzing complex decisions. Other scholars would later find ties from influence diagrams to machine learning and artificial intelligence. - Definitive Guides: In 1983, Ron co-authored “Principles and Applications of Decision Analysis” (affectionately known as the "blue books"), providing a comprehensive look at decision-making. - Decision Language: In his 2004 paper, "Speaking of Decisions: Precise Decision Language," Ron advocated for clarity in decision analysis terminology, promoting terms that enhance understanding and precision. - Ethics in Decision-Making: Ron continued to impact the field with his 2008 publication, "Ethics For The Real World," co-authored with Clint Korver, which explores the essential inherent connection between ethics and decision-making. - Foundational Texts: His 2015 book, "Foundations of Decision Analysis," co-authored with Ali Abbas, solidified his legacy as a leading thinker in decision theory. Ron Howard’s contributions were not only profound but varied, demonstrating his versatility and depth as a scholar and practitioner. His innovative ideas continue to inspire and shape decision-making across various fields. As we wrap up this tribute series, we celebrate Ron's extraordinary legacy, which will undoubtedly influence future generations of decision professionals and leaders. Thank you, Ron, for your wisdom, your passion, and your unwavering commitment to excellence. #RonHoward #DecisionAnalysis #StrategicDecisions #DecisionQuality #Legacy

The 5 Rules of Actional Thought As we continue to honor the life and contributions of Ron Howard, co-founder of Strategic Decisions Group (SDG) Decision Group, we are sharing his guiding principles in a series of five posts. Today, in our fourth post, we highlight another cornerstone of Ron’s work: The 5 Rules of Actional Thought 1. Probability 2. Order 3. Equivalence 4. Substitution 5. Choice These five simple yet powerful rules of normative decision theory apply to both simple and complex decision-making scenarios. The rules showcase Ron’s genius in developing simple and robust guidelines that make even the most challenging decisions accessible. To find out more, click on the social cards below! These rules capture the essence of Ron’s approach to decision-making: blending simplicity with depth. They’re as effective for everyday choices as they are for large-scale strategic decisions, making them timeless and universally applicable. Thank you, Ron! #RonHoward #DecisionAnalysis #StrategicDecisions #DecisionQuality #Legacy

"Ron’s Rules to Live By" As we continue to honor the life and contributions of Ron Howard, co-founder of Strategic Decision Group, we are sharing his guiding principles in a series of five posts. Today, we are proud to present the third post, which highlights "Ron’s Rules to Live By," a collection of life lessons that reflect his profound wisdom and values. Amy Day posted these rules on LinkedIn to commemorate the 10th anniversary of Ron’s introduction to them in his keynote for the Society of Decision Professionals.  The post created an opportunity for a delightful conversation with Ron on March 22, 2024. Ron stood by every one of the rules and emphasized the importance of the last one! These rules encapsulate the thoughtful, genuine, and impactful way Ron lived his life—values that he brought not only to his personal life but also to his professional work at Strategic Decisions Group (SDG) and Stanford University.   Ron’s dedication to truth, learning, and human connection continues to guide not only SDG, but hundreds of his students and thousands who follow his work. Stay tuned for the next post as we continue to honor Ron's exceptional contributions to the field of decision analysis and consulting. #RonHoward #DecisionAnalysis #StrategicDecisions #DecisionQuality #Legacy

Last week, we said goodbye to Ron Howard, a visionary leader and co-founder of Strategic Decisions Group (SDG). To honor his contributions, we are sharing his life's work in a series of five posts. Today, we are proud to share the second post, focusing on key decision-making frameworks Ron created. Ron’s work continues to shape how we approach complex decisions, especially through the Clarity Test, which stresses the importance of shared understanding in decision-making. Key Concepts, including the Clarity Test, the Clairvoyant, and the Wizard, are central to Ron Howard’s decision-making frameworks. Learn more about each by clicking through the following Social Cards. Ron’s focus on clarity, foresight, and optimizing alternatives with information and control will always guide our work at Strategic Decision Group. As we reflect on his legacy, we are committed to continuing his pursuit of excellence and thoughtful decision-making. #RonHoward #DecisionAnalysis #StrategicDecisions #DecisionQuality #Legacy

This week, we honor the life and legacy of Dr. Ronald A. Howard, co-founder of Strategic Decisions Group and pioneer of Decision Analysis. Over the course of the week, we will explore Ron’s key contributions to Decision Analysis, SDG's founding, and the lasting influence of his work. His contributions to both the theory and practice of Decision Analysis continue to shape the way we approach decisions today, ensuring that choices are made ethically and with clarity, rigor, and alignment to our values. In 1964, Ron coined the term “Decision Analysis” and established it as a scientific discipline to address complex decisions under uncertainty. His groundbreaking work formalized decision-making processes, transforming them from valiant efforts driven by experience and intuition to structured efforts based on clarity, transparency, and analytical robustness. Ron’s creation of Decision Analysis was driven by the idea that any decision should have a clear basis (originally a three-legged stool): -         What we want (values) -         What we can do (alternatives) -         What we know (information) A pioneer of decision quality thinking, Ron wrote (in 1968), "A decision should only be judged by the quality of the process and information at the time, not by its outcome." This insight led to major advances within organizations in adopting both organizational and analytic elements that promote high-quality decisions. In 1981, Ron co-founded Strategic Decisions Group (SDG) with a mission to apply these principles in real-world settings. SDG became known for helping organizations navigate uncertainty by applying framing, values elicitation, alternative creation, expert assessment, modeling under uncertainty, and organizational alignment to their decision-making. Ron’s principles have become the backbone of how countless modern organizations and individuals handle complex decisions. Rest in peace, Ron. Your wisdom will continue to inspire us. #RonHoward #DecisionAnalysis #StrategicDecisions #DecisionQuality #Legacy

The U.S. Department of Energy Loan Programs Office (DOE LPO) is making important strides in supporting the energy transition with new funding opportunities. These funds will help businesses advance innovative projects in sustainable energy and clean technologies. Thank you to our colleague Sang-Won Kim for sharing this valuable information!

In Memoriam: Professor Ronald A. Howard (1934-2024) We are deeply saddened to announce the passing of Ronald A. Howard, Professor Emeritus at Stanford University and a founding partner of Strategic Decisions Group, on October 6, 2024, at the age of 90. With over 40 years of affiliation with SDG, Professor Howard was a pivotal figure in shaping our firm and the field of decision analysis. His decision quality framework guided our consulting practices and helped establish methodologies that are integral to our work across various industries, including energy and healthcare. One of his most impactful teachings was, "Clarity is power in decision-making; if you're not clear on your values, you're not clear on your decisions." His emphasis on ethical decision-making and integrity continues to inspire our culture. Professor Howard's intellectual generosity and mentorship left a lasting impression on all who knew him. Our thoughts are with his family, friends, and the global community of decision analysts.   “Our thoughts are with his family, friends, and the global community of decision analysts who were fortunate enough to know him.” Rest in peace, Professor Howard. Your legacy will forever inspire us. Stanford University Society of Decision Professionals (SDP) Stanford University Graduate School of Business

Thank you Anett Müller for your summary and your great presentation. And a big thank you to Bayer | Pharmaceuticals for being our host. It was a fantastic day with so many exciting new insights. And most of all, a lot of great conversations and new impulses. Hashtag #PharmaDecisionDay Hashtag #DecisionQuality