The Limits of Decision Models and Analytical Systems

A favorite topic.  On the benefits and limits.  Limits are a particularly important aspect that is often not considered. How do you effectively integrate them with analytical systems?   How does Big Data fit in to their use?  When can you close the loop with delivering value?   In McKinsey:  by Phil Rosenzweig:

" ... Big data and models help overcome biases that cloud judgment, but many executive decisions also require bold action inspired by self-confidence. Here’s how to take charge in a clear-headed way. ... The growing power of decision models has captured plenty of C-suite attention in recent years. Combining vast amounts of data and increasingly sophisticated algorithms, modeling has opened up new pathways for improving corporate performance.1 Models can be immensely useful, often making very accurate predictions or guiding knotty optimization choices and, in the process, can help companies to avoid some of the common biases that at times undermine leaders’ judgments. .. "