Business Zen: Reduce emotion in decision-making

Russell Bell

THERE is a lot of media and information about something called "mindfulness".

The stock definition of it is paying attention to what is happening in the present moment. It goes on to describe influences such as Buddhism and the practice of meditation and other techniques.

For me this topic has the potential to be a little too "new age", and I can't say that I practise meditation or eastern religions. However, last year I read an article that popped up on a business website which posited the benefits of a form of mindfulness in business decision-making. And it is something which I have been researching over the past few months and, I believe, has value today. So, here is my Whanganui/New Zealand-based take on it.

The ability for boards and/or business leaders to evaluate their environment is crucial to decision-making. In fact all strategies or business cases should demonstrate a proper and clear understanding of the internal and external environment. This is commonly done utilising tools like SWOT analysis.

But the concept of "mindfulness in business" goes further by referencing two key qualities to decision-making. First there is clarity, in that your thinking and understanding is clear about all material matters impacting the decision. Secondly, it is to ensure that the emotional aspect of decision-making is a part of the decision but not driving the decision -- emotion and enthusiasm being the fuel that makes the decision making machine go rather than the vehicle itself or, even, the driver.

At governance level, while it is important to have a group context rather than being driven by individuals, it is critical that the group isn't swept up in the excitement for a decision.

This isn't to say that all decision making is to be cold and clinical -- sometimes gut instincts are important components of decision making. But, at times, due diligence doesn't completely occur because enthusiasm trumps consideration of risk. Some decisions that appear to be made for what appear to be all the "right" reasons can backfire badly.

A good recent example of an operational decision which possibly was made without proper attention to the business environment and the "moment" occurred on Saturday night. Sky TV, determined that it would be a good idea to insert an advertisement in between the completion of the All Black Haka and the eventual kick-off of the first Lions test.

The reaction was swift and, in some cases, damning. In an environment where technology advancement, access to content and growing dissatisfaction with the value-for-money of Sky are all prevalent, I wonder if anyone at Sky stopped, took a breath and were mindful about the decision. My view is, had they been, the ad would have waited for half-time.

Too often we rush into decisions even to avoid a potentially negative outcome, without really thinking through whether this is good for us, our business or our customers.

Notwithstanding, some of my best decisions have been made quickly. But when I think back, for most of them I had great advice backing me up, or I had an independent person available to test a theory or evaluate a deal.

Which is why I believe this concept of mindfulness is so important and taking all the time you need is crucial. In business wisdom requires time to develop and is fuelled by real thinking rather than opinion or assumption.

Balance Consulting is a Whanganui consultancy specialising in business strategy, process excellence and leadership mentoring - contact Russell on 021 2442421 or John Taylor on 027 4995872.