Dave Ramsey's EntreLeadership: Making Better Decisions

Making Better Decisions

Dave,
I own a small business, and over the years we haven’t grown quite as much as I expected or hoped. We’re doing okay, but I often find myself questioning my own decisions after the fact. Do you have any suggestions for an entrepreneur looking to improve their decision-making abilities?
Nikki

Nikki,
I’m glad you’re taking the condition of your company, and the direction it’s heading, so seriously. Believe it or not, developing your decision-making skills takes practice and hard work, just like anything else. Even the best thinkers and decision-makers look back from time to time and wonder if they really did the right thing for their businesses and their team members. 

Now, you’re not wrong if you’re sweating a little at the thought of how much practice it takes to develop these skills. Developing finely-tuned decision-making skills isn’t easy. And like any process, it takes time. Here are a few ideas that may help you develop into a better decision-maker in the future:

• Take an appropriate amount of time to decide - Acting on impulse, or with too little information, is foolish and dangerous. But then, so is thinking yourself to death. If the impact of the decision is small, don’t waste too much time making the call. But if it’s big or risky, spend more time thinking it through. It also doesn’t hurt to seek the counsel of someone outside your organization you trust and respect.
• Gather several options - Creativity may be problem-solving’s best friend, but options are the fruit of creative thinking that lead to amazing solutions. You’ll feel more confident when you gather information and ideas, and study what you’re dealing with.
• Learn how to delegate - By doing this, you’ll free up more brain space to make decisions. And most likely, make better decisions.
• Set a deadline - This will help you overcome procrastination, or freezing in fear of making the wrong decision. Put a target date on your calendar, and decide by that day. Period.
• Play out the worst-case scenario in your mind - This may sound counterintuitive, but when you think through the worst that possibly happen, you’ll see that making the call probably won’t kill you—even if you’re wrong.
• Remember, choosing not to decide is a decision - Sometimes, it’s the best path you can take for the short term.
• Commit to your decision - Follow through!
• And finally, take care of yourself physically - Get enough sleep and exercise so you can think logically and be well-reasoned. James Clear, the bestselling author of Atomic Habits, says, “Your problems adjust to their true level of importance after a hard workout and a good night of sleep.”

Leaders lead. Always. When your team sees you taking steps to improve yourself and the company, they’ll buy-in more easily to your vision for the future. They’ll have added confidence in you. And it may just inspire them to undertake a journey of self-improvement, as well.

I hope this helps, Nikki!
Dave

* Leadership and small-business expert Dave Ramsey is the CEO of Ramsey Solutions. He has authored eight national bestselling books, including “EntreLeadership,” and he hosts  “The Ramsey Show” and “The EntreLeadership Podcast.”  He has appeared on Good Morning America, CBS This Morning, Today, Fox News, CNN and Fox Business.