The_Essential_Manager_s_Handbook

MAKING DECISIONS / 209

Establishing criteria

There are two reasons to establish early

on the criteria by which you will evaluate

your decision. First, these criteria will

determine what information you need

to collect to make the decision. Second,

they help make the decision process

transparent. Everyone involved knows

what the list of alternatives will be

judged against.

Prioritizing elements

In joint decisions, create and agree

the evaluation criteria in a group. Your

organization will have its own criteria,

so make sure these are included on

the list. If the result is a very long list,

then persuade the group to agree and

prioritize the most important criteria

for making the decision.

In business, the evaluation criteria

are often hard numbers—to do something

for the least cost, for example, or to make

the most profit. In your personal life, the

criteria are usually more subjective—

the relative size of the property you are

buying, or the desirability of its location.

Often you need both types, which is why

you need to use judgment.

Making group decisions

Group decision-making can be very

powerful, because it creates ownership of

the decision. Make sure that all involved

understand the process you will use, and

are aware of the input that is required

at each stage. The decision will even be

supported by those who disagree with the

outcome, as long as the process by which

you have made the decision is seen to

be transparent and fair. However, you

will have to abide by the outcome of the

process. If you fail to do so, the decision

may be seen as arbitrary and the team

will be reluctant to be involved again.

Collect

appropriate data

Make the decision

Develop alternatives

Evaluate

the alternatives

of employees claimed they

valued their own judgment

of an analysis when making

business decisions

38 %

03

05

02

04

US_208-209_Making_decisions.indd 209 30/05/16 3:03 pm