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Be approximately right rather than exactly wrong.

Philosophy? Yup. Business advice that crosses the line. With today's metrics and business tools, we can measure exactly the effect of a decision. Which is good. But we can easily become lost in the weeds with all that information, and make subsequent decisions that stray from our goal, following a metric trail, rather than our vision of the intended outcome.

We can argue both sides of this issue, just as we have disagreed over several issues in the immediate past in these emails. Read the reasons for looking for the high road, the right opportunity, the big picture - below. Then, let's hear from you as to where you fall on this issue.

All the best,



Be approximately right rather than exactly wrong.

I love this statement from John Tukey, coiner of the word ‘bit’ to describe a single switch of digital micro-data. Tukey was a statistician, one you would expect to describe events in terms reeking with precision.

Instead, Tukey implored us to think in terms of relevancy, cause and comparisons to known events. And all this ethereal talk makes me think of how we investors and entrepreneurs are often led to search for instances in which our plan can be wrong, based upon a past measure. Or how one fact in an argument can be disproved, making the entire argument in error in the minds of some.

Yet, if we do bet upon the jockey with more weight in our decisions to invest than upon the horse (or business plan), then our goal is to be approximately right and not to discount the plan for failure of one element which can be proved precisely wrong.

I made an investment in 2000 in a company ... To read a story of one investment I made thinking I was only approximately right, click HERE to go to the story at http://berkonomics.com.

To catch up with past insights or to make comments for all to share, go to www.berkonomics.com .