What goes into decision making?

Understand the importance of decision-making and what goes into making them.

Think of your brain as the information hub that only you have access to. It has curated information based on a series of interactions, reactions and influences, that all culminate into one succinct belief or opinion. While many of us have had come into contact with the same stimuli, the outcome of this may have varied significantly. Therefore, given this, it is important to understand the art of decision making and what goes into making them.

Can you influence decision making?

yes text on brown sand

If we take into outcome certain behavioural economic principles, it is easy to understand in what ways a decision could be influenced. From social to cultural, cognitive to emotional, a simple question can be answered in a vast array of ways, and it is these pillars that allow an answer to be influenced. So, can a decision be influenced?

nope graffiti

In short yes. While each of us has a degree of freewill, there is only so much in which our brain can think completely independently. From a young age, we have all be influenced to perform a certain way; not to speak with our mouth full or learn to turn-take during a conversation, therefore is any action truly our own?

What is decision-making made of?

Decision-making can be broken down into five simple parts:

1. An inciting incident or need
2. Search for a fix
3. Comparing which strategy aligns best with the objective
4. Confirmation of strategy
5. Evaluation

With the first point being a regular occurrence in the workplace, from a new client brief, to needing to reduce overheads, it is important to consider the role decision has in a business.

How does this play a part in a business?

Specific external and internal factors can impact the outcome of any decision. Unfortunately, making a decision isn’t as clear-cut as it may seem. As humans, we are designed to think of multiple potential outcomes from past experiences and cumulative knowledge. While this can lead to rationalised decision, it is essential to understand how this way of thinking plays a role in business decision.

When a scenario arises that could take the company in one direction or another, it is the job of the business decision-makers to decide what plan of action to put in place. The outcome is normally based on past experiences but in most instances, it is made by using their own internal judgement. While this can be seen as a positive, if the individual is biased in anyway, the result of the decision may be detrimental to the company, which is why it is normally wise to have more than one decision-maker within a company.

text

When opinions and values are shared, not only is the ownness spread between the individuals, but the decision is re-enforced by multiple experiences and judgments. On the other hand, when opinions conflict, it can bring about a fresh perspective on the best method in achieving the objective.

In essence, decision making within a business is a fundamental part of what can increase of plateau a company’s performance. Ensuring decisions are executed with precision is crucial, which is why it can’t be taken lightly. Even the minutest detail should be taken into account particularly those that aren’t always tangible.