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Decision Making

Decision Making

One fascinating aspect that involves all decisions is how each organization prefers to conduct them. There are two extremes:

  • Those  that, when identifying an opportunity, seek to capture it promptly because they know that a good part of the conditions involved are beyond their control
  • Those that privilege their "own pace". No matter if the opportunity  will be there when they reach the end of the process. 

The great majority lies somewhere between these two extremes, with a strong tendency towards "their own pace", reflecting our cultural (Brazilian) profile.

There is a big difference with what happens in developed countries, where the need for much more agility in capturing opportunities is ostensibly there!

The result in Brazil is the systematic loss of opportunities. But who cares?

Rafael Herzberg's picture

Thank Rafael for the Post!

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Matt Chester's picture
Matt Chester on Jul 5, 2019 10:58 am GMT

Interesting assessment of how cultural norms can dictate how businesses are run. Do you have any examples you can provide about how this played out in the utility sector in Brazil?

Rafael Herzberg's picture
Rafael Herzberg on Jul 5, 2019 6:40 pm GMT

Matt here in Brazil utilities are basically reactive. The clients are actually considered "physical loads". They don't care. It is up to the client to "take the initiative" to explore the available opportunities such as EE, NWA, DG and others. 

When I was contracted by an American Energy company based in the Midwest to develop power projects of their interest in Brazil I was told by its COO about a case which the client indicated that they would close their 30 MW operations in theuir service territory. The COO visited the client and understood the challenge and ultimately offered a solution (building a one mile railway to replace diesel trucks, reduce the client operational costs and offering the exact maximum valeu the client indicated that was need to make it feasible).

Here when I was consulting for a major multinational company and discovered that they were about to send most of their production lines to Mexico and Serbia (becuse of costs) I tried to oen talks with the local distribution company. After explaining the situation they just said "you only need to end the ongoing contract and that's it". 

The proactivity in Brazil depends primarily on the client side.

Matt Chester's picture
Matt Chester on Jul 5, 2019 9:58 pm GMT

That seems like such a frustrating environment to work in! Good on you for trying to make what change you can

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