Things are usually simpler than they seem. Concrete thinking can help simplify them, anyway.
Breaking down decisions can sometimes make complicated decisions much easier to manage. As a provider of qualified opinion to clients, reducing complicated decisions into the component parts helps communicate not only the decision, but how we came to that decision. When helping clients make decisions, framing the problem in a structured way can help lead them through the maze that is built around problems.
Process is key. There are many programs and theories around business and making decisions for business. The biggest value many bring is the application of process to decision making.
For many programs to work, though, the user is required to follow the system. The framework creates the value. Any system, when manipulated, can return faulty results.
The point is this: process is key. And any process must be supported with critical thinking or strict adherence to a decision tree that is well thought out.
Our team once was challenged with the question “are you sure you are not a slave to process?” That is a valid question. But the answer is that we all are slaves to process. Our reticence to control the process is the risk. The process, as ill-conceived or faulty as it may be, will always exist.
The key is to define a clean process that has structured inputs. The inputs must follow a format that is useful to the process. No amount of experience can overcome a faulty process. Experience can, however, help create a better process. Over time, an individual can learn to make decisions in certain environments through honing the process of decision making. This is true even when that individual doesn’t know a thought-process is being created. Effective decisions add mechanisms to the process that yield better results. Ineffective decisions remove mechanisms or reduce the likelihood those mechanisms are used.
Those of us providing services to key decision makers are well served by learning to bypass creation of process through happenstance. Extensive study of process and framing problems in a structured way creates transferability of experience and a higher likelihood of success for any decision in which we are involved.
Once a process is created, the key inputs must be structured in a meaningful way. They must address constraints and the desires of the decision maker. Addressing desires is critical as, often, desires drive decisions more than logic. For example: the decision to own a Porsche is rarely made on logic. Of course, there are rare exceptions where that is a logical choice. One who races professionally may benefit from owning a Porsche. But there are other means of transportation that meet the needs of most people. If the argument is the collector value of a vintage sports car, that is only created by others that have made the decision to own such through emotion. As a collector of vintage autos, the author understands the desire. The author, however, realizes the decision is based on desire!
The take-away is simple. Decisions are made through a process, as flawed or misunderstood as that process may be for a circumstance. When making decisions that are intended to increase enterprise value, those decisions must be made with a thorough understanding of how they are being made, the motivations involved, and the depth of consideration given to constraints. Experience can help develop the process and understand the constraints of a specific problem.
Experience in making critical decisions and the development of critical thinking skills cannot, however, be replaced by experience in a situation.