Mind Tools -- Decisionmaking

There are six steps to making an effective decision: 1. Create a constructive environment. 2. Generate good alternatives. 3. Explore these alternatives. 4. Choose the best alternative. 5. Check your decision. 6. Communicate your decision, and take action.

Pareto analysis

- brainstorm options - group and score them (ex: resolve complaints by addressing the one complained about most frequently) - use the '80-20' rule

Paired Comparison Analysis

Compare each item in a list to every other item, 1 to 1.

Grid Analysis

List the options and the relative quality of the various features. Then weight the features.

PMI -- Plus, Minus, Interesting

Plus factors, minus factors, and outcomes, implications, etc.

Force Field Analysis

Factors for and against a decision.

Six Thinking Hats

• White Hat -- what data is available? Look at trends, extrapolate.
• Red Hat -- try using emotions, intuition, gut reaction (self and others)
• Black Hat -- look pessimistically, cautiously, defensively
• Yellow Hat -- think positively, look at the benefits
• Green Hat -- creativity, freewheeling thinking
• Blue Hat -- process control. Switch between the hats.

Starbursting

Understand new ideas by brainstorming questions.

• Who, what, Why, When, Where, How
• Just work on questions

Stepladder Technique

Encourage entire group to participate. Basic idea -- start with two people, who come up with some ideas. Add a third person who presents their initial ideas first. Then lay out options. Then add fourth person, who lays out their ideas first, then lay out all options. Reach a final decision only after all members have discussed. This sounds really interesting, but I'm not sure how well it would function in a workplace context. Successive half-hour meetings?

Delphi approach keeps ideas anonymous with an objective facilitator; takes longer.

Cost/Benefit Analysis

Measure costs, measure benefits. Assess payback time.

Cash Flow Forecasting

Spreadsheet showing incoming and outgoing funds.

Decision Tree Analysis

Start with a decision. Draw out lines for each possible solution. Consider results of each, and any decisions or uncertainty. Build out tiers from each decision. Assess likelihood and costs of final branches, then work backward.