- When cash is constrained and markets are in turmoil, companies need portfolio agility to move resources (including cash, talent, and managerial attention) from the least promising uses and reinvest them in the most attractive opportunities
- This is easier said than done.
- Simple rules are an evidence-based tool that can improve resource reallocation, particularly in volatile markets. They counterbalance the tendency to spread resources evenly or take historical allocations as a given and tweak them at the margin
