THE McKINSEY WAY
THE McKINSEY WAY
THE McKINSEY WAY
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18 The McKinsey Mind<br />
• An initial hypothesis will save you time.<br />
• An initial hypothesis will make your decision making more<br />
effective.<br />
An initial hypothesis will save you time. Most people, when<br />
faced with a complex problem, will start at the beginning and<br />
wade through all the data until they come to the end—the solution.<br />
This is sometimes referred to as the deductive approach: if A, then<br />
B; if B, then C; . . . if Y, then Z. When you form an initial hypothesis,<br />
you leap all the way to Z, and it’s easier to work your way<br />
backward from Z to A. One simple example of this is a pen-andpaper<br />
labyrinth or maze, the kind you sometimes see in the Sunday<br />
comics or in puzzle books. Anyone who plays with these can tell<br />
you that it is easier to solve the maze by tracing the route from the<br />
finish to the start rather than starting at the beginning. One reason<br />
for this is that by already knowing where your solution is, you<br />
eliminate a lot of paths that lead to dead ends.<br />
Forming an initial hypothesis will allow you to work through<br />
the labyrinth of your business problem more quickly. It saves you<br />
time partly because it allows you to start drawing conclusions<br />
based on limited information—which, at the beginning of the<br />
problem-solving process, is usually what you have. This holds<br />
especially true when you are trying to break new ground where<br />
nobody has the information you seek, as Omowale Crenshaw discovered<br />
when figuring out how to open up Africa to E-commerce:<br />
Sometimes at McKinsey we had the luxury of leveraging so<br />
much data—the whole analysis paralysis—that we didn’t do<br />
anything, nor did our clients. When we were starting our<br />
Web portal, we had to figure out what mattered when we<br />
really didn’t have enough data on one side or the other. We<br />
just had to say, “OK, realistically, what do we know about<br />
the largest three or four or five markets? What are our