Wouldn't it be amazing if every decision we made in business had a real impact on driving profitability and creating a market position that frustrates our competitors?
The pace of business is always increasing and the rising use of the internet, email, and mobile phones to conduct business means that we are more accessible than ever before. So many decisions are now made on the spot to meet the demands of customers, staff, and business relationships. This accessibility has its benefits, but it has also resulted in more distractions and valuable time being taken up with less essential activities. Time management has become our number one issue.
How can you solve the time management challenge?
A major part of the answer to this question lies in how you evaluate and make decisions. Successful business leaders evaluate each situation and base their decisions on whether the matter at hand will offer a competitive advantage in the marketplace. They have learned to separate the significant few from the trivial many, so their time is focused on those matters that will have the greatest impact.
To do this, they apply a simple Decision Matrix like the one illustrated below to every situation that has the potential to impact the company’s competitive advantage. This Decision Matrix is a problem-solving tool. Its purpose is to pass your decision-making process through a selection filter and reduce subjectivity.
Notice that the selection criteria are weighted differently. Each is given a weight that records the order of importance and value to the issue; criteria and weighting are unique to each decision. Scoring each option helps you decide which is “best.” The higher the score you give to each of your alternatives, the greater is its value. Each score cannot be higher than the weighting score you have allocated.
Stay tuned for an upcoming post on this topic where we will provide a Decision Matrix template that you can download and use in your business.
What is the process you use when making decisions? Share in the comments!