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8 Steps and Process for the Best and Most Effective Decision Making

01-August-2024

Soft Skill

The decision-making process is a method for gathering information, analyzing alternatives, and creating final results that aim to produce the best decision.

In this article, we will discuss the steps of decision-making, the methods that can be used, and how to improve the decision-making process.

Decision-Making Methods

Before discussing the steps of decision-making, you should know and learn several types of these methods first.

Making decisions rationally

Quoting Asana, this decision-making method is the most commonly used. The decision-making process uses logic and is carried out in stages. When the decision made will have a major impact on your team and its influence must be maximized, it is better to use this method.

In the rational method, you must consider information, data, opinions, and views from various angles, without bias. This will help you make the best decision.

Making decisions intuitively

The decision-making process in this method prioritizes feelings, hunches, and instincts, rather than data or information. To make decisions intuitively, you must have experience in recognizing patterns or signs and strong instincts.

This decision-making method is also commonly used when someone experiences a similar problem or one that has been experienced before. They have proven successful ways or solutions to solve the problem.

Making decisions creatively

To make decisions creatively, you must collect information, data, and facts related to the problem, then analyze them to make the right decision.

This method is almost similar to the rational decision-making process. The difference is that there is no definite or main decision.

The result is a variety of ideas and decisions that can be used based on certain situations. In this method, you must also be flexible and able to change decisions or ideas based on changes in the problem at hand.

8 Steps to Decision Making

Summarizing Harvard Business School, here are eight steps to making the best decision.

Understand the problem at hand

Identifying the problem is the first step that must be taken in the decision-making process. At this stage, you and your team must agree on what the main problem is that must be solved. Then, make an analysis and if necessary, explain the problem in detail.

This step will help your team have the same goals and understanding of the problem. That way, the decisions made can go through the right research and collaboration process.

Collecting information, data, and opinions

The next stage is to collect information, data, opinions, facts related to the problem at hand. Each team member can use their own research methods and methods. All information, no matter how small, must be stored and considered.

You can combine rational, intuitive, and creative methods in this research process. Collaboration of these three methods can help you gather more information from various perspectives and sources.

Analysis of information, data, and facts

After all information, data, and facts have been collected, the next process is to analyze. Make sure that in the information analysis process, you get perspectives from team members, such as:

  • How they get information.
  • Why do they think the information is important?
  • What is the relationship between the information and the problem?
  • Is the initial solution visible with just that information?

These questions can help you understand the team's perspective and way of thinking. This can also help you determine the appropriate decision-making method.

Choose the right method

Choose the appropriate method so that the results or decisions made can be appropriate, and can solve the problem. You can ask for the team's views and opinions in this process.

Convey the results of the interim decision to the team

Each method, as we have explained, will produce different decisions. If necessary, you can make choices before making a final decision.

Bring the choices to the team for further discussion. Accept and use the opinions of your team members as new perspectives to produce a final decision.

Make a final decision

As a manager, you will be the one who makes the final decision. Conduct analysis, consideration, and fact-checking to ensure that your final decision is as needed.

Ensure the implementation of the decision goes well

After the final decision is approved by all team members, the next process is implementation. You can implement it gradually to ensure that no problems change or become more complicated. Make sure your decision can adapt to change.

Ensure the decision is well received

Finally, make sure that the decision is well received and is able to solve the problem. There are some solutions that take time to have an impact on the problem, while others can solve the problem immediately. Therefore, do continuous evaluation so that the problem is resolved until it is finished.

How to Improve the Decision-Making Process

Reporting from Atlassian, here are some ways to improve the decision-making process to make it more effective and anticipatory.

  1. Prioritize collaboration and teamwork in the decision-making process.
  2. Make the most of all decisions to solve problems.
  3. Don't hesitate to sacrifice a fact or data or that decision, if there is another decision that can immediately solve the problem.
  4. Don't prioritize perfection, because the decision-making process must be anticipatory and flexible.

In the decision-making process, you can use several different methods and steps. However, in general, the eight steps to making decisions above can be your reference.

You can master the decision-making process in depth by following a short program from Prasmul-Eli. There is a training course entitled System Thinking and Complex Decision Making that can improve your quality in making decisions.
This training course is filled by professional coaches and industry experts. Interested? Click this link to find and register for the program!

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