Choice Costs: Every decision has a cost. Giving up is also a choice, and therefore, it carries a cost as well. The purpose of spending money is to gain the efficiency or benefit of a chosen option. Organizations can be at risk if leaders fail to correlate costs and benefits when making decisions or relinquishing opportunities. For example, if a CEO decides to hire an employee, there is a cost associated with wages, and if the employee cannot perform their role corresponding to the wage, the organization suffers a loss. Ultimately, if the CEO fires that employee, the organization must find a replacement, incurring additional costs in the process. A CEO who spends excessively on emotional indulgences is a harmful leader. - Joseph’s “just my thoughts”
Knowing and doing are two very different things. Zhuge Liang, an incomparable genius who was a Chinese prime minister of the Three Kingdoms, knew the deep secret of nature. However, he suffered a great defeat in the most important battle because he wrongly appointed Ma Su as his subordinate general, even though he knew him well and had received a warning about his appointment from the late king. Personnel management is the most difficult thing in the world, and to manage it well is the key to success. - Joseph's "just my thoughts"