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J. Edward Russo & Paul Schoemaker

Winning decisions

An effective decision-making process starts by clearly defining the problem or decision that needs to be made. Next, comprehensively analyze the issue by gathering all relevant information and intelligence, considering diverse viewpoints. Then, implement the decision, communicating it clearly. Finally, monitor outcomes, gather feedback, and learn from the process to improve future decisions. Structured techniques like framing problems accurately, seeking disconfirming evidence, and examining alternatives can reduce biases. Automated analytics tools can supplement human judgment. But decisions still require human oversight. With practice and consistent processes, the quality of both individual and team decisions can improve over time.

Winning decisions
Winning decisions

book.chapter Start by setting your direction

Before making any decision, it is wise to pause and thoughtfully consider the decision-making process itself. Conducting a quick initial assessment of the situation can provide clarity on how to most effectively proceed. This preliminary step will help determine where time and resources can be best utilized. When initially evaluating a decision, reflect on the core issue at hand. Clearly define the problem or opportunity being addressed. Determine whether this is an individual or group decision, one based predominantly on analytics or emotions, and who else should provide input. Carefully consider the time commitment required to reach an informed conclusion. Break down the total time into segments dedicated to gathering pertinent information, identifying alternatives, evaluating tradeoffs of each option, and selecting the optimal path forward. Contemplate previous analogous decisions made and lessons learned that could enlighten the current choice. Understand personal tendencies that may introduce bias or be assets in the decision journey. Welcome contrasting perspectives that challenge innate inclinations. Envision how a seasoned decision-maker might approach this scenario. Ideally, this deliberate rumination will at least reveal the general trajectory toward resolution. Pausing to consciously assess how to decide catalyzes more astute decisions. It illuminates where attention should be focused to avoid wasted effort traveling down fruitless tangents. This mindful processing on the front end enables optimal investment of time and finite cognitive resources. Rushing headlong into making a decision without plotting the course often leads astray. However, overanalyzing and succumbing to analysis paralysis also hinders progress. An initial assessment strikes the right balance. It translates complex decisions into defined action plans tailored to the situation. This preparation culminates in decisions that integrate relevant information and diverse viewpoints. It brings intentionality to a process often executed on autopilot without fully recognizing the multitude of conscious choices involved. Ultimately, an upfront evaluation of how to decide sets the stage for sound decisions that withstand scrutiny over time.

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