82,891
edits
Amwelladmin (talk | contribs) No edit summary |
Amwelladmin (talk | contribs) No edit summary |
||
Line 3: | Line 3: | ||
}}In a {{nutshell}}: {{maxim|You only need airbags if you don’t steer straight}}. | }}In a {{nutshell}}: {{maxim|You only need airbags if you don’t steer straight}}. | ||
The “[[airbag - steering wheel continuum]]” is a management thought experiment<ref>I know what you are thinking: ''“''Who knew [[Middle management|management]] experimented with ''thought''?”</ref> that asks: ''which is your “containment device” of choice?'' | The “[[airbag - steering-wheel continuum]]” is a management thought experiment<ref>I know what you are thinking: ''“''Who knew [[Middle management|management]] experimented with ''thought''?”</ref> that asks: ''which is your “containment device” of choice?'' | ||
Where, in other words, does your [[risk]] strategy sit, on the spectrum between: “I will conduct my affairs using market experts, whom I have empowered, to deal with sensible customers, whom I know well, in a prudent manner, with a view to maximising [[shareholder]] return in the long run and minimising the firm’s exposure to extreme events, even if that means foregoing short-term gains in some cases” — in the terms of this [[metaphor]], this is the “steering wheel” tactic — and “sod it, I have an ejector seat, I’m okay, so dammit, let’s bet the house on red!” — this is an “airbag” tactic. | Where, in other words, does your [[risk]] strategy sit, on the spectrum between: “I will conduct my affairs using market experts, whom I have empowered, to deal with sensible customers, whom I know well, in a prudent manner, with a view to maximising [[shareholder]] return in the long run and minimising the firm’s exposure to extreme events, even if that means foregoing short-term gains in some cases” — in the terms of this [[metaphor]], this is the “steering wheel” tactic — and “sod it, I have an ejector seat, I’m okay, so dammit, let’s bet the house on red!” — this is an “airbag” tactic. |