Insight

Evidence

3 min read

When the evidence arrives late

Evidence does not arrive on the board calendar. Decide before the vote what would count as a reason to look again, and the late arrival becomes a check instead of an argument.

Tomas Reinholt

Partner, health systems

Trials settled this question before boards did

Before Plenary I wrote clinical trial protocols. A protocol has to state, before the first patient is enrolled, which results would stop the trial early and which would let it run.

Researchers are no more honest than directors. The rule exists because a judgement made after seeing the data is contaminated by it, and everyone involved knows that. Protocol writers set the rule while nobody yet knows which way it will cut.

Board decisions rarely carry that rule. The vote happens, the evidence lands weeks later, and the conversation that follows is about who was right. That is the wrong question and the hardest one to put down.

The hospital that had to decide twice

A hospital network voted on an equipment procurement with a gap in the evidence that everyone had seen and nobody could close in time. Weeks after the vote, the missing data arrived. It pointed the other way, though not decisively.

The first instinct in the room was procedural: had the process been followed? It had. That answer was true and useless, because the question on the table was not about process.

What helped was a sentence written at the framing stage, months earlier, naming the reading that would make the decision wrong. The board did not have to decide whether it was allowed to reopen the decision. It had to check a condition it had set for itself while it was calm.

Boards reject late evidence three ways, and only one of them is a reason

The real reason is that the new evidence is weaker than it looks and does not move the balance. That happens often, and saying so is legitimate as long as the weakness is written down.

The other two are not reasons. The decision has been announced, so reversal costs credibility. Work has started, so money already spent feels like an argument for continuing. Money already spent tells you nothing about what happens next. Directors accept this in the abstract and rarely apply it to the decision in front of them. The person who has to reverse is usually the person who argued for it.

Write the trigger before there is an answer to defend

Our framing work ends with a short list of the evidence that would change the answer. We write it before anyone has a position, which is the only moment when it can be written honestly.

Each item names the source, the reading at which it matters, and the person obliged to bring it to the board. The list goes into the minute with the decision. It converts a future argument about loyalty into a future check against a condition.

The chair’s question

At the vote, the chair should ask one thing: what would we have to see to come back to this?

If nobody can answer, the decision is not ready. Either the board is more certain than the evidence allows, or nobody has named the evidence that matters. Both are cheap before the vote and very expensive afterwards.

Decisions have a shelf life, so put the date in the minute

Most board decisions rest on an assumption with a date attached. Say the date in the room and write it down. This holds while the capacity assumption holds, and we look at it again in March if it does not.

A decision recorded that way can age without embarrassing anyone. A decision recorded as permanent has to be defended long after the ground under it has moved. The defence is usually louder than the original reasoning.

Contact

No public accounts. Write to the firm and name the sector. All four of us see what arrives, and the one who covers your sector replies, because that is the person who would carry the file.