The Boss Is Always Wrong

A management team is attempting to select a fleet vehicle for its company’s senior executives. When asked to rank three choices—BMW, Lexus, and Mercedes—the individual team members reach an impasse. To break it, the CEO intervenes and picks BMW. But as the table shows, two-thirds of the team would have preferred a Lexus. Had he chosen Lexus, however, two-thirds of the team would have preferred Mercedes. And had he chosen Mercedes, two-thirds of the team would have preferred BMW. Instead of being transitive—Lexus beats BMW; Mercedes beats Lexus; therefore Mercedes beats BMW—the choice is circular. Whatever decision the boss makes, the majority of his team is rooting for a different option. Unjustly, but not surprisingly, he is considered a dictator.…

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Harvard Business Review Special Issues (Digital) - 1 Issue, Fall 2023

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