Decision Making: Who & When
When and by whom decisions are made often matter more than what is decided.
• When: faster decisions compound over time.
• Whom: distributing decisions prevents leaders from becoming bottlenecks.
But not always.
Here are three ways to determine who should decide and how fast.
1/ Reversibility and Stakes
• Low reversibility, high stakes (Type 1): senior leaders decide after thorough analysis.
• High reversibility, low stakes (Type 2): team members decide swiftly, learn, and iterate.
“CEO, grant me the duty to involve you on Type 1 decisions, the freedom to decide swiftly on Type 2 Decisions, and the clarity to know the difference.”
—Variation on the serenity prayer
2/ Constraint on Downstream Velocity
= when others are waiting on this decision to move forward with their own work.
Decide faster than you otherwise would.
Execute tasks in parallel rather than sequentially when possible.
3/ Opinion vs. Data
All decisions combine data and opinion, but in various proportions.
Avoid analysis paralysis caused by personal insecurity.When additional data does not improve outcomes, simply decide and take responsibility for your judgment.
However, if you can still obtain useful data, then experiment instead of debating opinions.
✨Bonus Tip: Run Buses On Time
Do not let input collection slow down decisions and operational momentum.
Step 1: Always set a deadline for input, typically a few days to a week.
Step 2: Say you’ll proceed at the deadline, even without their input, except if they request an extension.
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