Effectuation

I have introduced the effectuation concept in all my entrepreneurship courses since 2009.
To me, it is one of the most powerful concept to explain how entrepreneurs make decisions. From a broader point opf view, it helps managers make better decision in purely uncertain situations.

 

Short introduction

Here is a paper from S. Sarasvathy and a very short & funny video that introduce effectuation.

 

Video (YouTube)

If you want to know more, here are five videos from Stuart Read at IMD :

• Principle 1: Bird in hand
• Principle 2: Affordable loss
• Principle 3: Leverage surprize
• Principle 4: Crazy quilt / Partnership
• Conclusion: The Ice Hotel Story

You can also watch one full class session with Sara Sarasvathy at Darden Business School.

 

Books

If you want to read more about affectuation, here are the links (to amazon.fr) to two very good books:

• Effectual entrepreneurship from S. Sarasvathy, S. Read & al. (Routledge, 2011)
• Just Start from A. Schlesinger & C. Kiefer (Harvard Business School Press, 2012)

 

Website

For more information and references, feel free to visit www.effectuation.org