Correct overgeneralization is the feeling that you can forecast where things are going with just a few hints, some people can call it a hunch but the people that really has it, they are correct most of the time. This "ability" is especially useful for companies dealing (creating) with innovation where things have not been set yet and we need to forecast and set the expectations over the product that might have not even been designed yet. A leader with this skill can help you to create a vision of the product in a short or even long term.
One of the things we have to be careful with this type of distortion is when people have too much power because they can become overconfident in the decisions that they are taking or they stop listening to the advices of others to focus on this vision. As leaders is better if we can back up these decisions with data or a close tracking of the expectations and possible turnovers that we can find.
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