Leaders are professional decision-makers. Which market to enter? Which tech stack to use? Do we hire a stranger with the perfect resume or the intern who’s proven he can do the job?
All in all, there are 3 types of decisions:
When data is missing. Is it a good idea to enter this market? Collect data to get you to the point where your understanding is good enough to decide. When to stop collecting data is of course the true decision.
When you don’t know the rules of the game. Imagine you traveling abroad and buying some clothes. The cashier asks whether you want to pay in the local currency or your own. Which one should you choose? If you’re like most people, you likely don’t know the intricacies of currency exchange across payment providers. You could figure it out, but you likely don’t have the time or interest.
In this situation, try to figure out who will benefit most across options: How likely is it that a given feature was invented to your benefit, free of charge? As a matter of fact, paying in your own currency typically leads to an extra charge/ a less beneficial exchange rate compared to paying in the local currency1 .
When no data is available, or no data will change the evaluation of options. No point in delaying, you can go with your guts or what you think is the wisest in the situation. Also, beware: not making a decision is also a decision.
When confronted with a decision, don’t get confused. Understand which type of decision you’re facing and act accordingly.
Of course, the hard step here is to realize that something is going on and that you need you to pause and reflect. ↩︎
