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7 Steps of Decision-Making Process

Do you have a hard time in office and have to decide on a critical issue? Having trouble making your mind? You are definitely at the right spot. Decision-making can sometimes be challenging and needs to be handled holistically as it supports managers and other professionals to solve the problem by seeing potential choices upfront. This decision-making process guide will help you out, don’t worry! In this article, you will have a clearer and comprehensive idea about decision-making process steps and how to make an effective decision as a team. Let’s begin!

Short Introduction to Decision-Making

We need to get clear on the definition of decision-making before examining the steps of the process. When you look up the term, it is explained like this: the action or process of making important decisions. This, actually, sounds quiet enough. However, we can still widen our horizons by giving more details regarding decision-making process of management. Decision-making is an integral part of modern organizations. Particularly, if you are one of the members of a corporate team, you are expected to be involved in effective decision-making. That’s why your ability to make your mind about a certain issue is taken as your most valuable asset.

As the decision-making process is an advisory affair fulfilled by professionals in order to function better in any organization, we can say that it is an ongoing activity that affects others coming after it. Therefore, decisions need to be made by intellectual minds and require scientific knowledge, cognitive skills, and mental maturity. These three are the vital elements of the process and cannot survive without one another. Besides, decision-making process looks for a target to aim. The decisions made by professionals have to roam around pre-set key objectives of an organization. While teams are gathered to decide on something, they will probably face some obstacles on the way. No matter administrative or operational, these obstacles need to be overcome with a calm mind and attitude. And with one problem solved, the other one will occur. This process will go on and on like this. It means, lots of time is spent during the decision-making process in companies, and the decisions cannot be taken suddenly. They need to follow a guide. The next chapter is about this guide. Keep reading and learn more about decision-making steps from a closer perspective!

Steps of Decision-Making Process

Roughly, we can say that the decision-making process has seven main steps: determining the issue, collecting the related information, identifying alternatives, considering the proof, picking among the alternatives, action, and review. Here, we are going to take a closer look at each of these steps from a professional point of view.

  1. Determining the Issue: This is the first stage of the decision-making process and is about recognizing and addressing the problem ahead. You and the other team members need to understand why this decision will make a difference for your company’s or your employees’ sake.
  2. Collecting the Related Information: After clarifying the problem, you need to gather information to solve it. And this solution needs to be based on facts. At this point, all you have to do is to make a value judgment. Decide on which information you need and how to get it as soon as possible. Ask yourself what you need to know. Then, look for other team members who want to involve in what you do.
  3. Identify Alternatives: On the way of the decision-making process, when you come up with an idea for a solution, you need to add some other alternatives. This helps you determine what sort of action is the best for the company’s objectives and your customers.
  4. Considering the Proof:
    After you’ve identified some alternatives, now it is time to weigh the evidence for or against them. To do so, you may try to look into other companies’ success stories in these areas. This can make a good “case study” through your decision-making journey. Also, considering potential difficulties for each of your alternatives will make your hand strong when you face them on the way.
  5. Picking Among the Alternatives: When you’re approaching the last parts of the decision-making process, you need to be aware of the risks your route has. Now that you have all the relevant information and data in your palm, you may pick a combination of alternatives that suit your goal best. But remember, there is no need for perfection. You can always act on a decision, learn from it, and pivot your decision accordingly into a new direction.
  6. Action: This step is about making a plan. You do not have to make a detailed roadmap. What you need is to come up with a high-level prioritized action to move on. Get other members onboard and start executing your top priorities!
  7. Review: Even though mostly underestimated, this stage is one of the most important parts of the decision-making process. Evaluating the decision for effectiveness is vital for its power to solve the problem. Try to collect data as much as possible about the effects of your decision. Learn from the data, and evolve your actions accordingly.

Decision-Making Process Pain Points

As mentioned above, the decision-making process will have some obstacles on the way. The point is to know how to get up and fight properly. Here are some pain points you may face during your decision-making process:

  • Information Pollution: Collecting data for a problem is a key step, yes. However, sometimes you have an excess amount of information at hand than you require. This may drag you to a pool of confusion and ban your path. On the other hand, relying on only one source can lead to misinformation and can have catastrophic results.
  • Vague Problems: There will be times when decision-making process for managers will be rough. Especially if the issue is uncertain and hard to determine. At these times, you better do research and talk to experts who have experienced similar kinds of problems before. Also, do not forget to include your peers and/or team mates to the decision-making process. They will bring new ideas and new perspectives so that collective wisdom will help you to figure out a better solution.
  • Being Late: Decision-making process examples are full of poor timing instances. While making major decisions, using your time efficiently is a matter of life and death for companies. Take a crisis case. Say that you are face to face with a social media scandal going on about your company. People mention you on Twitter, Instagram, or Facebook as an environment killer because of one of your products. Here, it would be best if you made a vital decision. Stay calm and gather the team! Without losing time, you need to come up with a solid plan and carry it into effect. Otherwise, it will be too late for you before you are announced as a monster you never want to be.

In a nutshell, decision-making can be a long and complex way for all team members from specialists to executives. However, zeroing in the company objectives and corporate attitude, you need to collaboratively discuss the problem and the alternatives to act on. In this way, there is no problem to be remained unsolved.

With these seven steps we’ve outlined here in this blog post and Huudle decision making app, you will be able to make effective decisions as a team.