As a business leader or CEO, you constantly have to make decisions. In fact, that’s your job. You should be called the DMC – the decision-maker in chief.
But, as you’ll know from bitter experience, making good decisions isn’t easy. When you’re performing a low-level role in a company, your day-to-day efforts don’t matter a great deal. However, when you’re responsible for running an entire firm, you hold the prospects of thousands of people in your hands.
The trick here is to recognize when you’re about to make a really lousy decision. But how? Let’s take a look.
How To Recognize A Really Bad Business Decision
You Have Decision Fatigue
A few years ago, the concept of decision fatigue was all the rage. Everyone was talking about it. Since then, discussions on the matter have calmed down a little, but that doesn’t mean that it has gone away.
Decision fatigue creeps in when you get to the point where you’re unable to make good decisions because you’re tired of the process. Everyone is asking you what they should do and how to proceed to the point where you feel like you’re having to do everything.
When this happens, it makes you feel exhausted. It’s like you can’t go on. And when that happens, you’re not in the right mental place to make good decisions.
Learn to identify decision fatigue. If you have it, take time out. Mull over your decisions and then come to a conclusion, even if it is the next day. Don’t rush into it.
You’re Making Decisions Alone
Even though you’re the leader, you should never feel like you’re making decisions totally alone. Instead, you always want a team around you who can help. Usually, two or three brains are better than one.
You can also enhance your decision-making with this software. Sometimes, using metrics and data allows you to be more objective than otherwise possible.
You’re Tired Out
If you’re feeling tired, unwell or groggy, it will impair your decision-making abilities. You won’t be able to think clearly, which will impact the choices that you make.
If you know that you have some important decisions to make over the coming week, prioritize your sleep. Make sure that you give yourself a rest from incessant thought. Seek deeper intelligence within. Don’t just rely on brain power alone.
You Haven’t Gathered All The Facts
Wading in and making decisions is all well and good, but if you don’t know the facts, you might do the wrong thing.
Before you do anything, do your research. If you don’t have time to research, gather people around you that you trust and ask them for their professional opinion on the direction that you should take.
Many leaders fall into the “just get it done” camp without carefully considering the context. Sometimes action is not the answer. The answer is to step back, reconsider, or take a different path. Directly action, or forcing, can only ever get you so far.
In summary, business leaders regularly make bad decisions. However, you can reduce your chances of doing so by taking the appropriate steps, such as resting your body, consulting with others, and avoiding decision fatigue.