Copyright (c) 2010 Jim Gerlits

It's certainly true that anyone can easily make a decision.

What's certainly not true is the belief that anyone can just as easily make an informed decision.

Information has always been the key to making the right decisions in any situation. This is especially true when it comes to businesses, where facts and figures reign above the myriad of details. For businesses to continue enjoying positive growth, the management must be able to develop the skills needed in order to make informed decisions AT ALL TIMES.

There are several steps or factors to consider before an organization may be able to assure itself of its ability to make informed decisions in a consistent fashion.

THERE ARE ALWAYS TWO SIDES TO A COIN.

This may be a rule of the thumb that's generally known to many, but unfortunately, there are only just a few who truly adheres to it. Never let bias, discrimination, stereotyping, and supposition sway you into making spontaneous decisions.

Remember that for every story you hear, there's always the other side of the fence to hear and learn about as well. Your employees would no doubt respect you more when they see how you always deal with each problem fairly and justly.

CONSIDER ALL THE ANGLES.

In short: research. For every problem you encounter while doing business, it's crucial that you don't rely solely on what you already know about the problem. Research and dig for more facts. While it's of course admirable for a manager to consistently be able to make the right decisions in a snap, it's still better to be safe than sorry; so take all the time you need.

CONSIDER ALL THE ALTERNATIVES.

One of the negative impacts of making an UNINFORMED decision is not ending up with the best alternative. Obviously, making the right decision then involves considering all the possible alternatives. So don't stop with Plan B. Rack your brains for more solutions until you at least reach Plan E.

Remember, when there's a will, there's a way!

LIST THE PROS AND CONS.

This is one of the simplest techniques to ensuring that you've considered all the important details prior to making a decision. Be sure that you are impartial or objective when listing the pros and cons.

VERIFY THE RELIABILITY AND THE VALIDITY OF THE REPORTS.

Whenever you receive a report that requires you to make a decision, be sure to check the reliability and the validity of the information you've been presented with.

Reliability measures the accuracy of the report. Is all the information in the report factual and supported with sufficient evidence? Is the source of the information trustworthy?

On the other hand, validity measures the relevance of the report to the situation at hand. Is all the information significant to the present problem or should some details be discarded or considered irrelevant?

MAKE YOUR OWN RESEARCH.

One of the common weaknesses of many managers which leads them to making uninformed decisions is their dependency on other people's opinions and reports. While it is natural to trust employees who have been working with you for a long time already, it doesn't hurt to make your own research and see if everything they say matches everything you uncover.

Managing a business is never easy. Making informed decisions is even harder. But one can't survive without the other; so if you wish for your organization to survive, make sure that you do what's best for your company.