7 Tips for Making Better Business Decisions
Facing dozens of decisions is part of business. Successful leaders need to make these decisions for their organizations to grow. It’s important to master the ability to make a good decision quickly. Here are some tips to streamline these decisions:
Accumulated stress can cause decision fatigue. Dealing with constant small decisions can zap your energy when it matters most, for those important moves. Decision fatigue is different from ordinary physical fatigue. You may not be aware you are tired, but this low mental energy effects how you approach bigger decisions. Reduce or eliminate these low value decisions by delegating them to an assistant or coworker. Create a weekly routine to reduce the time you spend on minor decisions. The more you free up your mental energy for important decisions, the better you can make a sound decision.
Get the facts
Take some extra effort up-front. Concentrate on getting all the facts that you need to consider. Why is it so important to get the facts? Because unless you have the facts you can’t possibly even attempt to make an intelligent decision. Gather all the information you need, such as, reports, statistics, or research. Without the facts, all you will do is stew around in confusion.
Write it down
It is much easier to analyze the facts after writing them down. Write out the issue can make it easier to clearly see your options. In fact, merely writing the facts on a piece of paper and stating the issue clearly goes a long way towards helping reach a sensible decision. This approach will also reduce the likelihood of overlooking important factors.
Cut down the options
If you have many options start by cutting them down. Too many options can make it harder to choose one. Increased option can be bad for you and, worse, result in confusion, and clouding the issue. Eliminate as many as possible before you begin to avoid having too many options to clearly evaluate and make a sensible decision.
Set a deadline
Set a define deadline and stick to it. When you have an undefined amount of time it is easy to procrastinate and put off deciding. A risky strategic change for the business cannot be rushed but having no deadline may cause procrastinating. Some decisions may require more reflection to determine the right course of action.
Almost every decision involves some degree of risk. It is easy to get stuck if you only focus on the near future. Focus on the long term when you are making your decision. The decision ultimately must work in the long-term. It’s easy to be concerned worst-case outcome. Consider the potential consequences of each option, but try to focus on the long game.
The best leaders know when they need input from the team. A team of trusted advisers and experts is a leader’s best asset. They provide a constant flow of data to make better decisions. The leader still makes the final call, but is armed with the proper data to make a more informed decision.
Good decision making in business clearly determines the likely success of the company. The challenging decisions demand more consideration, and a systematic approach. It pays to use an effective strategy to improve the quality of your decisions and to achieve consistent results.