🎧 Listen (6 min)
Leaders face an overwhelming amount of decisions every day. From staffing choices — such as who to hire and who to promote, which can make or break team dynamics and organizational performance — to budget decisions about how to best use financial resources. They must also navigate people decisions on how to engage, retain, and develop others and delegate tasks effectively. Plus, leaders need to make crucial decisions about how to manage their own time and this is consistently difficult since they are constantly juggling and prioritizing tasks as they are charged with doing more with less.
On top of these immediate concerns, leaders deal with strategic decisions that set long-term goals and directions. The decisions around whether to implement layoffs, merging with another organization, or adjusting work-from-home policies (a rollercoaster decision for most recently) are all on the table. Leaders also face customer-related decisions, from addressing issues to acquiring and retaining clients, as well as decisions involving technology, systems, and crisis management. Communicating unpopular decisions, such as promotions where one leader advances over another, adds another layer of challenge and complexity. Each of these decisions involves navigating different stakeholders, managing potential fallout, and maintaining organizational cohesion.
In today’s fast-paced business world, decisions are becoming more complex. And let’s be honest: real decision-making happens rapidly, is influenced by biases (even if we pretend it isn’t), and is done at a subconscious level. Good judgment means aiming to fix or not repeat bad decisions. Understanding your decision making style, personality, and reaction to feedback can significantly enhance your leadership effectiveness and improve how you make and handle future decisions.
Have you ever reflected on how you approach decision-making? Are you the cautious type, always focusing on avoiding threats? Or do you chase rewards, even if it means dealing with potential fallout? Are you the kind who seeks permission or prefers to ask for forgiveness later? Recognizing these tendencies can help you tailor your approach to different situations.
When it comes to decision-making, are you more data-driven or more intuitive? If you rely on data, are you thorough and methodical? Can you adapt and make quicker decisions when necessary? (And if you’re put in that position, how does that feel to have to flex your approach?) If you rely on intuition, how do you ensure your decisions are well-informed and not just based on gut feelings?
Understanding your biases and elevating self-awareness is crucial when it comes to decision making. We often surround ourselves with people who are similar to us or we assume that others operate in the same way we do. We might prioritize easier-to-solve decisions or focus on the ones that interest us the most. How do you prioritize decisions? How do you recognize and challenge your biases?
Handling feedback after making a decision can be as critical as the decision itself. Are you overly sensitive to criticism? Do you get defensive or argumentative? Do you ignore feedback or downplay your involvement in the decision? Do you deflect blame onto others or external factors? Or do you see feedback as a growth opportunity and use it to improve future decisions?
Consider whether you actively solicit feedback from your team or peers and how you reflect on the decisions you’ve made. Do you regularly conduct post-mortems to understand what went well, what went wrong, and how to avoid similar issues in the future? Are you motivated by a desire to please or are you genuinely open to constructive criticism?
A lack of receptiveness to feedback can significantly hinder your leadership potential and stall your career advancement.
For organizations, evaluating the decision-making styles and feedback responses of your leadership team is invaluable. Thoughtfully balancing leaders with different approaches can create a more dynamic and effective decision-making environment. A range of decision-making styles ensures effectiveness in both strategic planning and day-to-day operations. Cultivating a culture where post-decision feedback is actively sought and constructively used drives continuous improvement.
Leaders looking to enhance their decision-making skills and boost their confidence should consider taking the Hogan Judgment Assessment. HR and L&D professionals can integrate this assessment into their leadership development strategy to better understand and support their team. Click here to view a sample report. Contact Amber for additional information and pricing.
Here’s to better decisions and continuous improvement!
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