Decision making in Business

Decision making in your business:

What is business?  Business is communication.  Communicating to yourself and communicating with others.  Communicating to yourself is talking to yourself, telling something to your mind, asking your mind something, making your mind agree to a particular communication or sometimes telling your mind that what it feels is wrong.  This process is what we call ‘decision making’.

Decision making is the most pivotal part for business.  Most of your actions in business are the reflections of your decision.  Your communication with others also goes by this.  Whether your decision is spontaneous or it is well thought out the result of implementing that decision will have its say on your business.

Business decisions should be methodical than impulsive or imaginary or only advisory based.  Methodical means brain storming and writing down the issue in question on which you would like to take a decision.  Find out supporting factors, dependent elements and opposing points for your decision.  During your decision making or analysis processes never depend on your mind calculations.  Put everything on a paper.

At the outset understand why is this decision important to you? Once you write down the issue in question verify is there anything really to take a decision?  Is it that you are over thinking about something which should be a routine process and which doesn’t call for a decision making situation?  Is it that you have to take this decision because this is a natural recourse to your earlier actions?  Is it that you don’t have an alternative to think about?  Sometimes ‘a thing of nothing’ gets more attention form us.  Check if you are in such a situation.  At times it may be important that you have to take a decision but it may not be important now.  When does the decision need to be made?  Think about this too.

A decision should be quality driven and pragmatic.  Pragmatic means that you want to set up a business and you have weighed things about its viability, its relevance and other factors.  But did you think about its size, its capacity and resources required?

Resources should always be a mooting point again.  Think about time, money, people, priorities and dependencies.  Any decision making without considering these points will defeat your effort in the process.

In your decision making process you can take support of others.  It may be your friend, your trusted colleague, your family member or even Internet.  Before you involve others make sure that they can appreciate your situation, they are right people who can really help in you in the situation and they are of not dominating type who probably like to see their point wins in discussions.

decision making process

Finally check the following questions too.

  1. Which decision to make?
  2. When do you need this decision?
  3. Why a decision is required now?
  4. What are the dependent elements?
  5. What is the outcome being expected?
  6. Can you postpone making a decision now?
  7. Are you ready to accept negative inputs of others?  [Negative inputs means points against your decision, suggesting otherwise of your view points and so]
  8. Did you plan for required resources?
  9. Did you think about the pros and cons of ‘Yes’ and ‘No’ of your decision?
  10. Did you think about the risks involved?
  11. Do you have a risk mitigating plan?
  12. Did you properly document your decision making process?
  13. What does your conscience say at the end?

The very word ‘decision’ means action.  Action before the decision, action during the decision making process and action required to be taken following the decision making.

Check if you are ready for ‘action’!

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2 Responses to “Decision making in Business”

  1. shaikgani July 15, 2012 at 1:00 am # Reply

    Decision making is a crucial / difficult task in human life to some extent, because everyone will dream for the best result. No one wants to compromise with the less quality of his / her coming result. So as an individual, if anyone faces the failure then the effect of that failure limited to that person only or to some other. But in case of Business, the decision made by the authority or any other is going to affect the every member related to that organization, I mean to the customer, consumer, supplier, manufacturer, service provider, etc.

    So before going to take a decision the study / research, documentation, mentoring and analysis is very important

  2. sunil July 29, 2012 at 11:05 pm # Reply

    Decision making is one of the important elements in every individual life and especially for organization. It plays a major role in the world of business. Decision making is nothing but selecting a course of action from two or more alternatives. Decision making is done to achieve a specific objective or to solve a specific problem. Decision making is to select a best alternative. In Business, to solve a problem we need to take a decision, so problem solving and decision making are closely related. Always a decision taken should be in such a manner that should be beneficial to the Organization. Profit or Loss of an Organization mainly depends on the decision taken. A good decision taken will increase the performance of an individual and it ultimately results in healthy organization.

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