Decision Making

TODO: Introduction to Decision Making Strategies.

Decision Making Strategy 1: Assume You Are Wrong

Whenever you are making a decision, start with the assumption that you are wrong.

Advantages

This will lead you down the path of questioning your opinion, and attempting to defend the decision you are facing.

Decision Making Strategy 2: Last Responsible Moment

The concept of the "last responsible moment" in decision making refers to the idea that decisions should be deferred until the latest point possible, when the most information is available and the costs of making a decision are at their lowest. By waiting to make a decision until the last responsible moment, decision-makers can avoid making premature decisions that may be based on incomplete information or that may be costly to change later on.

Advantages

The advantages of using the last responsible moment approach in decision making include:

• Making better-informed decisions: By waiting to make a decision until the last responsible moment, decision-makers can take into account all relevant information, reducing the risk of making a decision based on incomplete or inaccurate information.
• Reducing the costs of making decisions: By waiting to make a decision until the last responsible moment, decision-makers can avoid the costs associated with making decisions too early, such as the costs of changing or reversing decisions later on.
• Improving the ability to respond to change: By waiting to make a decision until the last responsible moment, decision-makers can be more responsive to changes in the environment, allowing them to make more effective decisions in rapidly changing situations.

Sounds great! So why don't we always make decisions this way?

The last responsible moment approach may be effective in some situations, but not all. It's important for decision makers to continually weigh the context, goals, and tradeoffs, and determine not only what decision to make, but when to make it. Consider some of the following disadvantages to delaying making a decision:

• Lack of foresight: By waiting to make a decision until the last responsible moment, decision-makers may not have enough time to properly plan and prepare for the future. This can lead to poor decision making and a lack of foresight.
• Risk of missed opportunities: By waiting to make a decision until the last responsible moment, decision-makers may miss out on opportunities that would have been available had they acted sooner.
• Increased stress and pressure: Waiting until the last responsible moment to make a decision can create a high-pressure environment in which decision-makers feel stressed and rushed, which can negatively impact the quality of their decision making.
• Potential for delays: Waiting to make a decision until the last responsible moment can cause delays in the completion of projects or initiatives, and may lead to lost productivity and opportunity cost.