Key Takeaways
• Judgment is a distinct personal quality and not merely the act of making decisions.
• Sir Andrew Likierman offers a six-element framework for cultivating sound judgment.
• Overconfidence in leadership is identified as a particularly dangerous cognitive bias.
• AI can aid decision-making but cannot replace the contextual and ethical nuances of human judgment.
• Organizations should promote judgment as a measurable, teachable, and reviewable skill.
As businesses increasingly rely on artificial intelligence (AI) and data-driven tools, one human capability remains irreplaceable—judgment.
In a detailed conversation with Gulf Business, Professor Sir Andrew Likierman, former dean of London Business School (LBS) and former board member of the Bank of England, outlines how judgment, not just decision-making, is central to effective leadership and organizational success.
In his new book, Judgement at Work: Making Better Choices, Likierman presents a structured method to understand and improve the use of judgment in professional contexts.
Judgment is often misunderstood as being synonymous with decision-making, but Sir Andrew draws a firm line between the two.
Where decision-making is action-oriented, judgment is more introspective and comprehensive. It involves forming a view, integrating knowledge, experience, and internal awareness—often before any decision is made.
The Six Components of Sound Judgment
To help individuals enhance their judgment capabilities, Likierman outlines six key elements that must be consciously evaluated:
• Relevant Knowledge & Experience – Ensuring decisions are grounded in applicable expertise.
• Situational Awareness – Understanding the full context and nuances surrounding a choice.
• Trust in Sources – Assessing the credibility of both data and people.
• Feelings & Beliefs – Recognizing how emotion and bias affect perception.
• Making the Choice – Evaluating all viable options before selecting one.
• Feasibility of Execution – Ensuring the decision can be practically delivered.
Each of these areas plays a role in shaping judgment and should be reviewed systematically when tackling complex or consequential decisions.
The Leadership Bias to Watch
In discussing leadership failures, Sir Andrew draws attention to the most insidious of cognitive biases: overconfidence.
This form of bias often blinds leaders to alternate viewpoints and impedes growth. It is a recurring cause of misjudgment, especially in high-pressure environments.
Building Judgment into Corporate Culture
To create stronger decision-making cultures, Likierman encourages companies to operationalize judgment into their internal processes.
• Include judgment as a criterion during hiring processes.
• Integrate it into performance appraisals and feedback reviews.
• Analyze the role of judgment in decision outcomes, both good and bad.
These actions help reinforce that judgment is not abstract or intuitive alone—it is a tangible, developable skill.
Success Is Not Always Proof of Good Judgment
One of the more nuanced points Likierman raises is that outcomes alone do not always validate judgment. External conditions such as market booms, subsidies, or luck can skew perceptions.
He further explains that failure, similarly, may not always indicate poor judgment—sometimes, it is simply the result of calculated risks not working out.
The Human Role in AI-Led Workspaces
Although AI can assist with gathering data, modeling outcomes, and providing faster insights, Likierman warns against expecting machines to take over judgment-related roles.
He affirms that while AI can support the decision-making process, judgment must remain a human responsibility, particularly in scenarios requiring ethical, contextual, or interpersonal reasoning.
Guidance for Emerging Professionals
When asked what advice he would give to someone early in their career, Likierman emphasizes process over instinct.
This structured approach allows individuals to not only improve decision outcomes but also gain insights into their own biases and emotional drivers.
A Life Shaped by Learning and Leadership
Drawing from his own experiences at LBS and the Bank of England, Likierman affirms that judgment can—and should—be continually improved.
His book serves as both a roadmap and a reflective guide for professionals at all levels, urging them to take ownership of their choices by refining how those choices are made.
As AI continues to evolve and businesses grapple with rapid transformation, judgment remains a vital human function—not to be outsourced, but to be refined.
Through a six-element framework and a culture that values reflective, informed decision-making, Sir Andrew Likierman presents a compelling case for why judgment must be treated as a teachable, measurable, and essential leadership capability in the modern workplace.
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