As a manager – whether that’s an office branch manager, fleet manager, or store manager – there are hundreds of decisions to be made on a weekly basis. Some decisions are small and admittedly trivial, while others have serious ramifications attached to the outcome. But regardless of whether they’re big or small, you have a responsibility to consistently make good decisions.
What follows are some useful ideas and frameworks to leverage as you improve your decision-making skills.
Understand the Context and Consequences
Before making any decision, fully grasp the context. This means understanding the situation’s nuances, the stakeholders involved, and the potential outcomes of various choices. Take the time to gather all necessary information and data to make an informed decision.
Speaking of data – you can’t have too much. In today’s world, data can actually make decisions for you. If you have access to prescriptive analytics, for example, you’re not only able to study the numbers, but you can actually see the best “recommended” course of action based on factors like desired outcome, risk-level, etc. This removes a lot of the pressure from you.
Embrace a Balanced Approach to Risk
Decision-making often involves weighing risks against potential rewards. Develop the ability to assess risks intelligently and consider both optimistic and pessimistic scenarios. While being risk-averse can lead to missed opportunities, taking too many risks can jeopardize your team’s stability and success. That’s why you should typically strive for a balanced approach where calculated risks are taken to achieve growth and innovation without exposing your team to unnecessary hazards. (That’s the mark of a good manager.)
Foster Open Communication
Encourage open dialogue within your team. Listening to different perspectives and ideas can provide valuable insights and highlight aspects of the situation you might not have considered. Create an environment where team members feel comfortable voicing their opinions and concerns. This collaborative approach can lead to more well-rounded and effective decision-making.
Early in a manager’s career, opening up decision-making to a collaborative environment can feel intimidating – possibly even making you feel weak and vulnerable. But over time, you’ll realize that having some trusted voices involved in the collaborative process might be the best thing for you.
In light of this, remember to balance confidence and humility. As a manager, having confidence in your decision-making ability is important, but it’s equally important to remain humble and open to feedback. Be willing to admit mistakes and learn from them.
Prioritize Objectivity and Fairness
Personal biases can cloud judgment and lead to poor decisions. Strive to remain objective, basing your decisions on facts and data rather than emotions or personal preferences. Treat all team members fairly and consistently, ensuring that your choices are aligned with the organization’s values and goals. This fairness fosters respect and trust within your team, which are crucial elements for effective leadership.
Utilize Decision-Making Frameworks and Tools
Various frameworks and tools can help structure your decision-making process. Techniques like SWOT analysis (assessing strengths, weaknesses, opportunities, and threats), cost-benefit analysis, or decision trees can provide a systematic approach to evaluating options and outcomes.
The more frameworks you have in your back pocket, the better. You won’t use all of them on every decision, but each framework and tool has its own utility and purpose. Leveraging these tools at the right times can help clarify the implications of your decisions and lead to more consistent and rational outcomes.
Consider the Timing
The timing of a decision can be as crucial as the decision itself. While some situations require swift action, others may benefit from a more deliberative approach. Assess the urgency of the decision to determine how much time you can afford to spend on the evaluation process. Avoid rushing into decisions without due consideration, but also be wary of procrastination, which can lead to missed opportunities and heightened anxiety among your team members.
Putting it all Together
At the end of the day, it’s healthy to recognize that you don’t have to make every decision alone. In most cases, you have people and resources available to help you make the right choice. Delegating decision-making to team members can empower them and help build their skills and confidence – so do this as much as possible (when appropriate). Your mark as a leader will only be partially decided by outcomes. A big chunk of your reputation will be built on how you treat others. Remember this – and always manage people with the mindset of making them better!
Photo Credit
Image by Mohamed Hassan from Pixabay
Guest Author Bio
Jamie Lansley
Jamie is a freelance writer who covers trends in business, technology, and health. She loves to go skiing, camping, and rock climbing with her family.
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