'Black box thinking' would solve DB problems - Pensions Institute

clock • 3 min read

The aviation sector's constant evaluation of errors in order to improve safety should be applied to defined benefit (DB) schemes, as too many are repeating the same mistakes again and again, research has shown.

A report, published today by the Pensions Institute, explores how the so-called ‘black box thinking' approach could help address many of the issues facing DB schemes and avoid the errors of the past. The strategy - developed by author and broadcaster Matthew Syed - is based on the use of data from black box flight recorders in aircraft to identify and understand the cause of both major accidents and near misses. The report's authors - Pensions Institute director David Blake, and fellow Matthew Roy - argue the same thinking can be applied to pension schemes, to help manage the issues f...

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