A Quote by Eliyahu Goldratt
Almost all decisions based on cost accounting are utterly wrong.
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In their zeal for particular kinds of decisions to be made, those with the vision of the anointed seldom consider the nature of the: process: by which decisions are made. Often what they propose amounts to third-party decision making by people who pay no cost for being wrong-surely one of the least promising ways of reaching decisions satisfactory to those who must live with the consequences.
I don't make my decisions by P.R. I make my decisions based on what I think is right or wrong.
Accounting consequences do not influence our operating or capital-allocation decisions. When acquisition costs are similar, we much prefer to purchase $2 of earnings that is not reportable by us under standard accounting principles than to purchase $1 of earnings that is reportable.
One effect of benefit-cost analysis is to give any respectable engineer or economist a means for justifying almost any kind of project the national government wants to justify... Exclusive reliance on benefit-cost analysis has been one of the greatest threats to wise decisions in water development.
What are the odds that people will make smart decisions about money if they don't need to make smart decisions--if they can get rich making dumb decisions? The incentives on Wall Street were all wrong; they're still all wrong.
But to procrastinate and prevaricate simply because you're afraid of erring, when others - I mean our brethren in Germany - must make infinitely more difficult decisions every day, seems to me almost to run counter to love. To delay or fail to make decisions may be more sinful than to make wrong decisions out of faith and love.
Cost Accounting is enemy number one of productivity.
Indecision is debilitating; it feeds upon itself; it is, one might almost say, habit-forming. Not only that, but it is contagious; it transmits itself to others. . . . Business is dependent upon action. It cannot go forward by hesitation. Those in executive positions must fortify themselves with facts and accept responsibility for decisions based upon them. Often greater risk is involved in postponement than in making a wrong decision.
The great myth is the manager as orchestra conductor. It's this idea of standing on a pedestal and you wave your baton and accounting comes in, and you wave it somewhere else and marketing chimes in with accounting, and they all sound very glorious. But management is more like orchestra conducting during rehearsals, when everything is going wrong.
As a mayor, I don't make my decisions based upon whether it is a "Democrat" issue. You make your decisions based upon the people you represent as a city to move our city forward.
I greatly admire GE, their utterly ruthlessly focused management, to get the cost out and get this integration done.’ Okay, we may make a few mistakes along the way but we are not going to waste any time.' They make decisions; they are incredibly disciplined and focused.
When I was younger, I made some decisions that I shouldn't have. And, in hindsight, I've almost always been wrong when I haven't listened to myself.
Creative accounting is an absolute curse to a civilization. One could argue that double-entry bookkeeping was one of history's great advances. Using accounting for fraud and folly is a disgrace. In a democracy, it often takes a scandal to trigger reform. Enron was the most obvious example of a business culture gone wrong in a long, long time.
Everyone knows what it's like to make the wrong decision for the right reasons. For me, wrong decisions are the heart of drama - a character who's always making the right decisions is boring.
You have to understand accounting and you have to understand the nuances of accounting. It's the language of business and it's an imperfect language, but unless you are willing to put in the effort to learn accounting - how to read and interpret financial statements - you really shouldn't select stocks yourself
If you sat with a pencil and jotted down all the decisions you've taken in the past week, or, if you could, over your lifetime, you would realize that almost all of them have had asymmetric payoff, with one side carrying a larger consequence than the other. You decide principally based on fragility, not probability. Or to rephrase, You decide principally based on fragility, not so much on True/False.
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