In an organization, the leader must always be an example for his employees, working towards being an assertive decision-maker and developing the team to have autonomy and deliver good results in the company.
Decision-making involves a good analytic ability, a mindset focused on problem-solving, and clear communication. But how can this be done?
This is what you will discover through the topics present in this article:
Decision-making is the process of finding, based on relevant information, an alternative to solve a certain problem.
Business decisions can directly or indirectly affect all employees, generating risks or opportunities. Thus, who is usually responsible for the decision-making role is the company manager.
The manager is the one who mediates the company's management and operational sector, demanding results and making sure the company is following a strategic planning.
Taking effective decisions is a great responsibility. What about you, interested in learning more about managing projects effectively?
When we talk about projects, we think about something of great magnitude. This is a mistake, because a project may be involved with small day-to-day activities. We can cite some examples in solving internal problems, negotiating with suppliers, delivering products, implementing systems and strategies. The correct management of the projects brings benefits to the organization, being able to be used in problem-solving. Good project management defines precisely the decision-making processes and also identify causes and effects.
Do not waste time and download your excel spreadsheet right now.
The importance of decision-making is to make an organization reach new heights and be competitive in the market.
Through the decision-making process, a company is able to achieve results that many did not believe. The key point is not to be afraid to make choices. Risk is also part of the process.
Once a viable course of action is identified, the manager must be ready to put this solution in motion. But first things first, let’s start understanding what are the five kinds of decision-making.
Probably, you already made a choice on impulse instead of an informed decision, and even regret it after thinking about it.
Here we talk about two types of decision-making: intuitive (on impulse) and rational (based on data and solid information). But, did you know that there are other types of decision-making?
As you've seen, this kind of decision-making happens based on your intuition and instinct.
In the business environment, intuitive decision-making is not highly recommended because it will generally involve the entire company and can have serious consequences if the decision is not very well constructed.
It happens when the person takes into account their personal values, which have been developed throughout their life. They may be influenced by family, friends, or personal experiences.
A company also has its own organizational culture and values, that are essential for business success. Corporation decisions must be based on those values.
Rational decision-making, as opposed to intuitive, takes into account a series of rational and logical factors to make a choice.
It is common to make a list of possible alternatives, considering the pros and cons, to make an assertive decision. Considering data and operational research are also characteristics of this kind of decision.
This type of decision is collective, which is why it is so common to see it in companies and organizations.
Collaborative decision-making is very important because it takes into account different points of view, stressing the idea that decisions made in companies are not necessarily made only by their leaders.
Last but not least, we have expert decision-making.
This type is done by experts in the industry in question, when none of the above decision-making options is sufficient to solve a problem.
Therefore, it is the most reliable type of choice at the organizational level, because it is built by an experienced professional and with access to accurate market and business information.
It is time to understand step by step how to master the decision-making process! As we have seen, this is an essential ability if you are interested in delivering good results and making a company more competitive in the market.
Are you up to this challenge? So follow those five steps below:
When it comes to organizations, the first step is to analyze their context, listing the problems and possible obstacles that are hindering the company's productivity.
It is important to create alternatives, through brainstorming, that solve each problem and preview its possible consequences.
After the idea creation phase, it is important to consider each alternative taking into account negative and positive points for the company.
Once you've pondered the alternatives and listed the best ideas, it's time to put them into practice!
For this, it is important to emphasize what we have said before, don't be afraid to make decisions! All the good decisions come with a risk, this is part of the process.
It is important to make sure the choices made gave good results and were effective for the company's growth and change.
Even if, at first, the choices made do not have an immediate effect, they will serve as a lesson for similar situations in the future.
Want to know how to jumpstart your career and become a true leader?
Discover the Leadership Development Program for FREE, which prepares you to be a complete leader through personal development, communication techniques, feedback practices and coaching concepts to help you achieve high performance.
Do you know the importance of self-knowledge in shaping a true leader? Knowing your options and weaknesses is fundamental for you to be ahead of a team and be prepared for the most adverse situations.
decision-making
Management & Consulting
Amanda Tartarotti
project monitoring
[curso] Leadership Development Program