IT Leadership

Every team is led by a leader, the embodiment of its values and the driving force behind its many actions. But if leaders hope to successfully guide their teams, they must first lead themselves. They must bring their A-game to the table every day, setting an example for their teams to follow. This means having self-awareness, mastering their emotions, and creating a culture of trust and transparency. Above all, leaders must also hone their decision-making skills – because these are the choices that will have a direct impact on their teams and themselves.

This article aims to help leaders improve their decision-making skills, which ultimately helps them lead better and empower their teams to achieve peak performance. Let’s get started!

The Leader’s Role In Decision-Making

Leaders foster and guide an organization’s culture, and set the tone for how employees behave and work together. Especially in a rapidly changing business environment, agility is key – and this means that leaders must constantly make decisions, big and small, to steer their organization through these changes.

Effective decision-making impacts a leader’s credibility and reputation, and influences how approachable employees think they are. If employees see leaders as consistent and trustworthy, they’re more likely to embrace their direction and vision. But if leaders’ decisions are frequently questioned or called into doubt, their relationships with their teams will suffer.

Decisiveness and flexibility are both essential traits in a good leader. A leader must be able to make decisions that are swift yet thoughtful, and they must also be open to changing their approach – or changing their decision altogether – if the situation calls for it. This versatility is what distinguishes good leaders from exceptional ones.

The Psychology Of Decision-Making

Decision-making is a complex process that involves analyzing a situation, considering available options, and ultimately selecting the best course of action. This process is a cognitive function that is controlled by the prefrontal cortex, the area of the brain associated with higher-order thinking.

The brain uses various cues and heuristics to make decisions, including risk assessment, reward anticipation, and past experiences – and it does this remarkably fast, all without us realizing it. In fact, according to researchers at the University of Southern California, it takes the brain just 13 milliseconds to interpret a situation and produce a decision.

Because the brain favors speed and efficiency, it uses shortcuts and cognitive biases to reach a decision. This can be a good thing, especially in situations that require quick thinking, but these biases can also lead to inaccurate or flawed decisions. It’s important for leaders to recognize and account for these biases when making decisions that affect themselves, their teams, and their organizations.

Improving Decision-Making Skills

Leaders are constantly making decisions, big and small, that affect their teams and workplaces. To be effective leaders, it’s important that these decisions are thoughtful, ethical, and benefit the organization in the long term. With that in mind, here are eight key strategies leaders can use to improve their decision-making skills.

1. Understand Your Values

Values are a leader’s moral compass, guiding every action they take. Understanding what these values are and prioritizing them is crucial when making decisions. Leaders should ask themselves: “What do I value most?” “What’s most important to me in this decision?” An executive coach or mentor can help leaders identify their core values, which will ultimately underpin all their decisions.

2. Consider The Consequences

When weighing up decisions, leaders should consider all potential consequences for themselves and the team. Ask yourself: “If I make this decision, what will the impact be on my team? On the wider organization?” “What will the long-term consequences be?” “Who will this decision affect, and how?” Thinking through these questions gives clarity on the potential outcomes of different decisions, helping leaders choose the right course of action.

3. Manage Your Emotions

Leaders who manage their emotions effectively are better equipped to make tough decisions when needed. Emotions are often fleeting, which means the feelings that accompany them don’t always reflect the entirety of a situation. By distinguishing between their emotions and the facts of a situation, leaders can make more objective decisions.

4. Be Transparent

Leaders should be transparent with their teams, especially when making decisions that affect them. This creates a culture of trust, openness, and honesty, and fosters collaboration, not just compliance, among team members. Communicating the reasons behind a decision demonstrates leaders’ conviction in their choices. It also helps team members understand the rationale behind decisions, which could help them pivot should the situation change.

5. Seek Different Perspectives

Leaders should seek out diverse viewpoints when making decisions, because this broad perspective-taking leads to more innovative thinking. Leaders can ask their teams for their opinions, or specifically ask for ideas from more junior staff, who may have fresh perspectives and creative solutions. Diverse perspectives challenge leaders to think outside their own boxes and consider ideas they might never have thought of on their own.

6. Focus On Self-Awareness

Self-awareness is a crucial skill for leaders, and a strong sense of it helps leaders make more tactful decisions. Being self-aware means having a deep understanding of your own strengths and weaknesses, priorities, and values, and it also means being open to continuous learning and improvement. This inward focus ensures that leaders are more equipped to make decisions that align with their personal and professional goals.

7. Master The Art Of Negotiation

Decisiveness is a key trait in a leader, but this doesn’t mean leaders should be rigid in their thinking. Especially when dealing with diverse perspectives, leaders must master the art of negotiation. This means finding agreements and solutions that suit everyone, which can ultimately provide a fresher perspective on decisions and their outcomes.

8. Learn From Past Decisions

Leaders should reflect on and review previous decisions, taking the time to identify what worked – and what didn’t – and why. This reflection gives leaders a chance to learn from their decisions, and adjust their approach in the future as needed. It also helps leaders develop a more nuanced understanding of the decision-making process, which they can use to guide their teams.

9. Seek Outside Perspectives

Leaders should seek the counsel of executive coaches or mentors for support in their decision-making processes. These relationships give leaders a safe space to voice their concerns and receive honest feedback. An outside perspective can also give leaders new insights that they might not have considered before, allowing them to approach decisions with more information and empathy.

10. Improve Decision-Making Through Technology

Decision-making tools and business intelligence platforms can help leaders make faster, data-driven decisions. These tools give real-time insights into business performance across departments, helping leaders identify areas for growth, mitigate risks, and inform their decisions with hard data.

Conclusion

Leaders are responsible for countless decisions that affect their teams and organizations. Through their decision-making processes, they set the tone for their teams’ performance and culture. This means that leaders must approach decision-making with agility, flexibility, and confidence – ensuring that they are making thoughtful, values-driven choices that benefit the organization in the short and long term. By improving their decision-making skills, leaders can become more effective mentors and guides for their teams. And ultimately, teams will feel the positive results of those improved decisions.