Leadership today is more complex than ever, and as the world continues to evolve, leaders must face challenges that often have no historical precedent. Humans need to learn how to think.
Leaders especially.
Forbes (2022) outlined that the most important lessons often occur through experience. Current scientific research suggests that 70% of learning happens through experience, 20% through interactions or discussions with others, and 10% through being ‘told’ or formally ‘taught’ what to do (McCall et al., 1980). Yet how does this work where the speed of change is ever increasing and no one has yet experienced leading businesses of today?
In such an unpredictable landscape, the ability to think critically, make informed decisions, and adapt quickly has never been more crucial. Whether navigating emerging technologies like AI, facing crises or guiding teams through uncertainty, effective decision-making is a cornerstone of successful leadership. Yet what is a successful leader?
Despite the existence of millions of books on the subject of leadership, there is no definitive way to classify a successful leader. Have you ever seen a ‘Perfect Leader’ profile, complete with the skills, expertise, and experience that guarantee success? Many excellent leaders have faltered when changing roles or taking on new challenges, while other, less successful leaders have learned from their mistakes and become better as a result.
Below is Think Organisation’s top ten tips for helping leaders think clearly and make better decisions:
1. Develop Self-Awareness
Leaders must first be aware of their own thought processes to make sound decisions. This means identifying biases, assumptions, and emotional responses that could cloud judgement. Self-reflection can help leaders recognise when they are making decisions based on impulse or habit rather than careful consideration. Take time to assess your motivations and understand what drives your decision-making.
Psychometrics (accredited by the British Psychology Society) are the best tools for this, and you can also get feedback from others, speak to trusted colleagues and analyse your decision-making processes.
2. Embrace Diverse Perspectives
No leader has all the answers, especially when dealing with unprecedented challenges. Surround yourself with diverse voices, and actively seek out opinions that differ from your own. This minimises the risk of group-think and also provides a broader understanding of the problem at hand. Diversity in thought can lead to more creative, innovative solutions that a single perspective might miss.
Building a diverse team is fundamental to success, however, this doesn’t guarantee diversity of thought. High levels of psychological safety are paramount to ensure everyone feels listened to and can share their thoughts and ideas.
3. Leverage Data (and Harness Intuition!)
In today’s data-driven world, it’s tempting to rely solely on analytics to make decisions. However, effective leaders know that intuition, built from years of experience, also plays an essential role. While data provides insights and trends, your gut feeling may give you the nudge you need to act in ambiguous situations where data may not be conclusive. Balancing both ensures a more holistic approach to decision-making.
It is vital that leaders work out what information is being led by data, and what is being led by feelings and emotions. Intuition arises because our brain processes vast quantities of information automatically and unconsciously, so whilst it can be wrong, it can be useful to ‘tune in’ and listen to it.
4. Think Patience Before Action
In fast-paced environments, leaders often feel pressure to make decisions quickly. However, haste can lead to errors. Whenever possible, take a moment to pause and reflect before acting. This pause can give you time to evaluate the situation more carefully, consider alternatives, and make a more deliberate decision. Sometimes, slowing down is the key to better judgement.
Time To Think, written by Nancy Kline, provides amazing insight into how to do this. Whilst the process may not work for every organisation or leader, harnessing it and adapting it to suit can be invaluable. Leaders who have undertaken coaching which included reading this book, have seen vast improvements in their ability to think.
5. Focus on Outcomes, Not Outputs
In the face of immediate challenges, it’s easy to focus on quick fixes. However, effective leaders always keep long-term goals in mind. When making decisions, consider not only the short-term benefits but also the potential long-term consequences. This future-oriented mindset ensures that decisions contribute to sustainable success rather than just addressing immediate issues.
Organisations often focus on hitting targets, and whilst these may help organisations achieve their goals often they become detrimental, leading to in-fighting between teams and a lack of resource collaboration.
6. Foster A Culture of Experimentation
In times of uncertainty, the right decision is often unclear. Organisations often put more pressure on making the ‘right’ decision when times are tough. Leaders can mitigate this by fostering a culture of experimentation. Encourage your team to test small-scale solutions and learn from the results. This agile approach allows for real-time adjustments and minimises risk while ensuring continuous learning. Failure in this context is not a setback but an opportunity to refine strategies.
Many highly successful tech companies have managed to the harness this culture of experimentation. The Agile mindset, or agile approach, is very different to the more traditional project management techniques.
7. Think about Emotions
Emotions play a significant role in decision-making, often in ways we are unaware of. A leader’s ability to manage their emotional reactions can greatly impact the quality of their decisions. When faced with high-pressure situations, take steps to regulate emotions through techniques such as breathing exercises or cognitive behavioural coaching. Emotional intelligence helps leaders remain calm, focused, and objective.
Understanding the different types of intelligence humans have is fundamental to improving emotional management. Emotions are there to protect us, but it is important to see when they could be doing harm as well. Emotions infect others, so a leader who is angry and stressed will create more angry and stressed employees.
8. Recognise Cognitive Bias & Manage It
Human beings are naturally prone to cognitive biases – mental shortcuts that can distort thinking. They kept us alive for years but can be less helpful in today’s world. For example, confirmation bias can lead leaders to seek out information that supports their existing beliefs, while availability bias can cause an over-reliance on recent events. Being aware of the numerous biases is the first step in counteracting them.
Encourage critical thinking and question your assumptions to ensure your decisions are grounded in reality. Ask yourself, and your team, could we have been prone to any of these cognitive bias?
9. Learn, Learn, Learn
The most successful leaders are those who recognise that learning never stops. Whether through formal education, peer discussions, or hands-on experience, leaders must constantly seek out new knowledge to stay ahead of emerging challenges. The “70-20-10” learning model – 70% through experience, 20% through interactions with others, and 10% through formal learning – highlights the importance of learning through doing, which is especially relevant in unprecedented times.
In many ways this tip links the other 9 together, as mistakes will be made, and no one is perfect. However, the ability to continuously learn, continuously improve and work together is fundamental to the success of harnessing the power of thinking.
10. Trust Your Team
Leaders cannot do everything themselves. In complex and rapidly changing environments, leaders need to empower their teams to make decisions at various levels. By fostering trust and providing employees with the necessary skills and autonomy, leaders enable more effective decision-making across the organisation. This not only builds a more resilient team but also allows leaders to focus on strategic issues without getting bogged down in operational details.
Trust is created when people are able to deliver what they say they will, asking for help as they go. Being dependable, and ensuring you are communicating honestly with the people around you helps build trust. Read Ken Blanchard Trust Works to know more.
So What?
Today’s leaders are navigating a rapidly changing world where decisions must be made without historical precedent.
Employees have more freedom than ever before, but archaic leadership styles can be detrimental to this new way of working.
By staying self-aware, embracing diverse perspectives, balancing intuition with data, and fostering a culture of experimentation, leaders can make better decisions in uncertain times.
Being able to think clearly, understand different opinions, beliefs, ideas and how these impact effective decision making is fundamental to organisational success.
Above all, it is essential to remain emotionally grounded, continuously seek learning, and trust your team. In doing so, leaders can navigate the complexities of today and be prepared for the unknowns of tomorrow.
