20111101

OODA explained

Image from Wikimedia.

OODA stands for Observe, Orient, Decide, Act.  It describes the decisionmaking process followed by opposing dogfighters in combat.  As one competing dogfighter takes an action, the battlespace changes, and the competing dogfighter's OODA Loop begins.  He must Observe the action, Orient to the new battlespace this creates, Decide how to respond, and execute an Action in response.  And the other dogfighter's OODA Loop now begins.

This also describes the decisionmaking process followed by opposing organizations battling for marketshare.  Every dogfighter's OODA Loop is different, as is every organization's.

Let's say, for example, you have decision-making authority in Sales or Business Development at Tek Systems, an IT-focused division of the Allegis Group staffing and recruiting firm.  Your industry is very sales-focused; that's just the nature of the business model.  It also has somewhat limited capital requirements, meaning fairly low barriers to entry.  In other words, you're in sales mode all the time, and you have an abundance of competitors, who are also in sales mode all the time.

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