Conflict between kids? Make them decide together on a mutually acceptable outcome. Set values, don't make decisions. Mediate. I guess the difference is you can't fire your kids.
It's not firing, but it can be motivational.
I'm intrigued both by the original idea and your thought of applying it to parenting. I've found that most good management technique turns out to be relevant to parenting.
The sun always (at present) rises in the East. Not in the West. Also: not a compromise of somewhere in between.
Can the manager marshal the resources to determine a correct scientific answer for questions that are not a matter of opinion? Or even recognize when such issues are present?
* at least universities who depend on a large extent on tuition money and government incentives to match said tuition.