The following article in Harvard Business Review discusses using AI to expand the scope of people’s bounded rationali...

The following article in Harvard Business Review discusses using AI to expand the scope of people’s bounded rationality in decision making. For decades, the limits of time and brain capacity meant that teams could consider only so many strategic options before making decisions. Strategy tools—SWOT analyses, portfolio matrices—were simple because that’s what planning meetings needed. AI changes those dynamics. It can generate and evaluate thousands of strategic options and build rich, continually updated views of markets and competitors. And it can stress-test potential plans through structured debate that isn’t influenced by internal politics. Since the same AI tools are available to all companies, lasting advantage will go to those that pair them with proprietary data, integrated workflows, and faster execution. In practice, that means casting a wider net for strategic options before narrowing the field, replacing static models with real-time ones, and making AI-assisted challenges a…