The End of Decision-Making

There’s an arc that sounds logical at first glance. Descriptive analytics: What happened. Predictive analytics: What will happen. Prescriptive analytics: What should we do. Each level an improvement. Each level progress. The final level is the goal.

Most people treat this arc as a technical evolution. I’ve thought about it for a long time. Because the final level isn’t a technical upgrade. It’s a category shift. And almost nobody treats it as one.

From information to instruction

Descriptive and predictive analytics deliver information. You get an analysis. You get a forecast. And then you decide. The decision is yours. You can take the data, hold it against your experience, talk to your team, and reach a conclusion that might differ from what the numbers suggest. That’s entrepreneurial judgment. It’s the core of what leadership means.

Prescriptive analytics does something different. It decides. Not formally. Formally, there’s still a person pressing the button. But the recommendation comes from a model that considers more variables than any human ever could. That calculates faster. That has no emotions, no politics, no ego. And when the machine’s recommendation is better than the human’s in 93 percent of cases, what does the button mean?

It becomes a formality. A rubber stamp. The person signs off on what the machine recommends. Not because they’re forced. Because disagreement would be irrational. Who would risk their career to decide against the recommendation of an algorithm that demonstrably delivers better results?

Nobody. And that’s exactly where the decision disappears.

Not with a bang. Not through a takeover. Through the quiet logic of better numbers. Decision-making requires that you could also decide differently. That there’s a real alternative. If the alternative means deciding worse than the machine, it’s no longer an alternative. It’s refusal. And refusal isn’t a decision.

Prescriptive analytics, we’re told, helps companies decide faster and better. That’s a description that obscures the actual point. It doesn’t help with deciding. It replaces deciding. It shifts authority from the person to the model without calling it that.

I spoke with a CFO who told me this openly. Every morning he gets a recommendation from an optimization system. Pricing strategy, assortment, workforce planning. He stopped questioning the recommendations months ago because they were right every time. Not approximately right. Exactly right. He said: I just sign off now.

And then he said something that hasn’t left me since: I don’t know anymore whether I’m still doing my job or just showing up.

That’s not progress. That’s an identity crisis packaged as optimization.

The question nobody asks: What happens to people whose job was the decision, when the decision is made better by a machine? Not the people tightening screws or filling spreadsheets. The ones whose profession is judgment. Managers, strategists, executives. If the machine judges better, what’s left of leadership?

The standard answer is: The human retains the final authority. They can always say no. But a no that has no rational basis isn’t judgment. It’s stubbornness. And stubbornness isn’t rewarded. Not in a culture that puts optimization above everything.

From descriptive to prescriptive analytics. From information to instruction. From decision to confirmation. The arc that’s being sold as progress is a shift from human authority to machine logic. It’s not reversible. And it’s not being discussed. It’s being recommended.