How to Make Better Business Decisions
Business owners make choices every day that affect their companies’ futures. From overseeing employee activities to deciding where and how to invest their business’ resources, executives are constantly weighing their options. But entrepreneurs...
Business owners make choices every day that affect their companies’ futures. From overseeing employee activities to deciding where and how to invest their business’ resources, executives are constantly weighing their options. But even though entrepreneurs are leaders and risk-takers by nature, the thought of making the wrong business decision can be paralyzing – especially when it comes to finances. So how can you become more confident in your approach?
Use these tips to be proactive in your decision making, and know that you’re making the best choice for your business’ future.
Focus on the facts. If you’re in a situation where emotions are running high, take a breath, focus on the facts, and make the most objective decision possible. While “leading with heart” is an important skill to have, you want to base high-stakes decisions with reason.
Be inclusive. As the saying goes, “If you want to go fast, go alone. If you want to go far, go together.” If you’re making a choice that could entirely alter your company’s direction, ask your employees for input. They might have a different perspective that you hadn’t considered before or help you generate new ideas.
Simplify the problem. When a situation feels overwhelming, people tend to overthink until they blow the problem out of proportion. Before you jump to a decision, take out a pen and notepad, write down exactly what the problem is, who it will affect, and how it will affect them. Seeing everything on paper may put the magnitude of your decision into perspective, making it easier to make a logical choice.
Prioritize your clients. Your clients’ needs, values, and desires should be at the core of every significant decision you make. Get to know what they like or what you can do to improve your business by conducting surveys, interviews, or focus groups and then using that feedback to drive changes to your products or services.
Use data analytics. Artificial intelligence (AI) platforms allow users to convert data into actionable insights. Allowing data to drive your decision-making will help you come to specific, timely, and accurate conclusions.
Treat everything as a learning experience. Just like most things in life, owning a business is full of successes and setbacks. Even if you make the “wrong choice” at the time, you might find the decision changes your business for the better in the long run. And at the very least, you’ll be able to learn from the experience in the future.
At the Don Ryan Center, we make it our mission to support our members through every significant business decision. We’ll connect you with a team of seasoned mentors in your industry who have years of experience to share, and give you the tools, knowledge, and resources you need to make informed choices that set your company up for success. Click here to sign up for your FREE DRCI membership today!