Effective Decision-Making and Follow-Through
Effective decision making is a challenge that people face everyday. For leaders of organizations, where decisions impact thousands of people, organizations and industries, the process of making effective decisions becomes critical. Some decisions impact life or death situations. Fundamentally, making decisions means making choices based on multiple variables that are both rational and emotional. Choices are made by assessing what is known and certain, what is at risk, and what is unknown with probable outcomes. Once decisions are made, they need to be implemented.
In this session, we explored what it takes to make more effective decisions and execute them as well as the obstacles to great decisions and how to remove them. We will discuss the challenges to executing decisions and how you can make changes tomorrow to achieve better decision making and execution.
To encourage growth based on continual transformative change:
- Have an aim/compelling purpose and communicate what it is, what it means to stakeholders, organization, industry, company, society.
- Ask strategic questions.
- Challenge any assumptions you might have.
- Leaders do not delegate accountability down the chain, but continually look for systemic issues/processes which are barriers to success (rather than blaming and faulting the parts - the people and things that support the system).
- People are responsible for the commitments they make.
- Four questions about the decision you're making: AIM: What are we trying to accomplish together? METHOD: By what method? CUSTOMERS: Who are we serving? MEASURES: How will we measure progress and success? Do not focus your measures on individuals who are only part of the system.
- Five key questions for managing data-driven decisions: What bugs you? What is repetitive about what bugs you? What can you measure about that? How will you know if a change is an improvement? What changes can you make that will result in an improvement?
- Stay away from the culture of accountability which is closely tied to blame and fear
- Adopt the BOHICA principle, which assumes that a minority are early-adopting Explorers (who embrace change readily) and Pioneers (solid adopters, more cautious before adopting change), the majority are Settlers (who take a wait and see stance), and the remaining are Cynics (unlikely to adopt change). The principle focuses on supporting the Explorers and Pioneers.
- The key to managing an organization/system is to look at data over time in context.
Marcia conducted a kaleidoscope exercise and asked the participants to brainstorm the answers on several questions (see below). From there we began to explore some fundamental theories about making more effective decisions and leading an organization's transformation.
What are the most important elements of making a good decision:
- Define the goal
- Get consensus on the goal/acceptance by stakeholders
- Having the right information to make educated decisions - Seeing consequences and impacts
- Get a second opinion from others before deciding
- Balance research and intuition/Reasonable risktaking
- Tools and resources
- Research and Timelines and Measurable results
- Timing of the decision
What are barriers to making good decisions:
- Resistance to change /not open to alternatives/Lack of agreement
- Politics/Power
- Fear/Lack of Trust/Procrastination
- Assumptions held
- Lack of follow-through/reward structure/not considering impact
- Lack of data/information/time/too many uncertainties/unknowability
- Lack of resources/ support
- Too much thinking
- What are some ideas for addressing different decision-making styles:
- Understand the perspectives of the stakeholders/Get buy-in
- Allowing innovation and creativity/Listening to different opinions
- Differentiating between what's essential and what's secondary
- Understanding big picture
- Having achievable goals/Considering future impact
- Using intuition
- Having good data
- What are the elements of Effective Follow-Through:
- Leadership/vision/mission
- Ownership and accountability
- Buy-In
- Milestones, Timeframes and other Measurable results
- Desire for success
- Remove obstacles of implementation
- Delegation
What are some barriers to Effective Follow-Through:
- Lack of Leadership/Unclear Communications/Conflicting priorities/Not setting expectations
- Lack of/incomplete buy-in
- No Accountability/Unclear milestones, goals/No Measurements/Unclear plan commitment vs. interest
- Time constraints/Poor Process/Lack of resources/Taking on too much/Placation disorder
- Fear: of uncertainty, failure, success
- Perfectionism and procrastination
- Sudden and unforeseen change
- Role Confusion/Bystander Syndrome
For more information:
- The New Economics for Industry, Government, Education by W.E. Deming
- The Goal, A Process of Ongoing Improvement by E. Goldratt
- The Improvement Guide: A Practical Approach to Improving Organizational Performance by G. Langley
- Understanding Variation: The Key to Managing Chaos by D. Wheeler
- Understanding Statistical Process Control by D. Wheeler
- Leadership On the Line: Staying Alive Through the Dangers of Leading by Ron Heifitz
- The Empowered Manager: Positive Political Skills at Work by Peter Block
