It is an interesting phenomenon that we want choices, yet too many choices can result in complexity and confusion. Deciding which path to choose presents a challenge. This takes on even greater scrutiny given the fact that there is a big difference between a bad decision and a good decision with a bad outcome. That difference is a sound decision-making process. While this process does not ensure positive results, it will, over time, improve your odds for success.
One of the more useful resources for building an effective approach to making decisions comes from author Annie Duke, whose appropriately named book “How to Decide” provides “Simple Tools for Making Better Choices.” Here is one recommended approach.
Begin with a clear definition of the decision to be made. This may sound overly basic, but it is often overlooked. The next step is to identify the choices at your disposal (this can be a simple matter of “do we or don’t we”).
Next, develop a list of potential outcomes. Include as many as you can think of without regard for how likely they may be. Arrange these in order of “most desirable” to “least desirable.”
While this next part involves some guesswork, it is nevertheless valid to the extent that your experience, instincts, and judgement will serve you well. Assign a percentage of probability to each of the outcomes you’ve listed. These can go from as little as 5% to as much as 95%, though the percentages will most likely be more closely spaced among the potential outcomes you’ve listed.
While this exercise can be a solo act, it may also be used in a group setting when the decision to be reached affects an entire team. If doing this on your own, it may benefit you to share the results with one or more trusted colleagues who can provide perspective and perhaps point out items you have omitted. At the very least, they may offer an objective view of each step in the process, including the percentages you’ve assigned to the probability of each outcome. Listen carefully, but remember: The decision is yours to make. And waiting until your choices are no longer available is not effective decision-making, but rather abdication.
When evaluating the relative skills of current and/or prospective team members (especially those with supervisory/management responsibilities), effective decision-making usually ranks high on the list. Having a sound decision-making process enables this critical skill.
For more information on strategy, planning and effective decision making, contact me at joe@ajstrategy.com or visit my website at ajstrategy.com.
The Paradox of Choice
It is an interesting phenomenon that we want choices, yet too many choices can result in complexity and confusion. Deciding which path to choose presents a challenge. This takes on even greater scrutiny given the fact that there is a big difference between a bad decision and a good decision with a bad outcome. That difference is a sound decision-making process. While this process does not ensure positive results, it will, over time, improve your odds for success.
One of the more useful resources for building an effective approach to making decisions comes from author Annie Duke, whose appropriately named book “How to Decide” provides “Simple Tools for Making Better Choices.” Here is one recommended approach.
Begin with a clear definition of the decision to be made. This may sound overly basic, but it is often overlooked. The next step is to identify the choices at your disposal (this can be a simple matter of “do we or don’t we”).
Next, develop a list of potential outcomes. Include as many as you can think of without regard for how likely they may be. Arrange these in order of “most desirable” to “least desirable.”
While this next part involves some guesswork, it is nevertheless valid to the extent that your experience, instincts, and judgement will serve you well. Assign a percentage of probability to each of the outcomes you’ve listed. These can go from as little as 5% to as much as 95%, though the percentages will most likely be more closely spaced among the potential outcomes you’ve listed.
While this exercise can be a solo act, it may also be used in a group setting when the decision to be reached affects an entire team. If doing this on your own, it may benefit you to share the results with one or more trusted colleagues who can provide perspective and perhaps point out items you have omitted. At the very least, they may offer an objective view of each step in the process, including the percentages you’ve assigned to the probability of each outcome. Listen carefully, but remember: The decision is yours to make. And waiting until your choices are no longer available is not effective decision-making, but rather abdication.
When evaluating the relative skills of current and/or prospective team members (especially those with supervisory/management responsibilities), effective decision-making usually ranks high on the list. Having a sound decision-making process enables this critical skill.
For more information on strategy, planning and effective decision making, contact me at joe@ajstrategy.com or visit my website at ajstrategy.com.
Joseph P. Truncale, Ph.D., CAE, is the Founder and Principal of Alexander Joseph Associates, a privately held consultancy specializing in executive business advisory services with clients throughout the graphic communications industry.
Joe spent 30 years with NAPL, including 11 years as President and CEO. He is an adjunct professor at NYU teaching graduate courses in Executive Leadership; Financial Management and Analysis; Finance for Marketing Decisions; and Leadership: The C Suite Perspective. He may be reached at Joe@ajstrategy.com. Phone or text: (201) 394-8160.