Decision-making involves the thought process of an individual or a team. Since everyone has limited resources available, therefore, using them for the benefit involves logical thinking and that logical thinking is derived through the process of decision-making. For decision-making, one needs to have both the choices available and the required information. A human being decides daily, be it what food to buy, where to go for traveling in his or her personal life whereas important decisions are also taken into big institutions and companies by the board of directors to control the company.
To make essential decisions in a company or even as an individual for yourself, you first need to identify the basics of your decisions like how important a certain decision is to you and how will it impact your life, then you need to gather relatable information regarding that decision like if it is about eating food then you need to gather information as in will you order or dine out in a restaurant. If you will dine out than will, you visit in your vicinity or somewhere else. Thirdly, you will need alternative restaurants and a logical selection depending on your savings. Finally, you will choose one and eat. Similarly, decisions are taken in the professional world as well.
Here are three important components of decision-making.
Decisions are essential for problem solving in any phase of life therefore, it is one of the components of decision-making. Without logical decisions, one cannot solve the problem or find any solution. Problem solving is an ability or skill of a person to look for the best possible solutions to the query. In professional life, this skill is considered important to the point where companies run several personality tests before hiring a person. To be effective in problem solving, a person needs to think with creativity, possess teamwork skills, risk management, emotional intelligence, and decision-making skills. Especially decision-making skills because it plays an important role to find a possible solution. In decision-making, a person is left with various alternatives, choosing from them with the limited resources lies under the problem solving part. This requires a great understanding of the subject, the aim and the obstacles within it. Furthermore, a careful analysis is required to choose the best option for execution for which the quality of the decision is based. Therefore, decision-making and problem solving are closely linked together since the objective is to derive a reasonable solution to the problem from the given pool of options. Both of these skills require you to understand the strengths and weaknesses of the alternative options.
It is also an important domain of decision making where it means that it is a capacity to remain objective to the goal. It relates to understanding the emotions of others and yourself. Reality testing is all about being well aware of your surroundings and your situations hence it stresses over the word reality. A person who possesses reality-testing skills bases their thinking and ideas on perspectives where it can humanly be achievable. This skill lets the person be clear with the objective and it intensifies the focus on that along with keeping the emotional literacy intact. A good hold of reality testing skills greatly influences the decision made. Improving this skill will make your judgment more logical based on the facts along with the emotional perspective inculcated into it. Reality testing is also required into the professional world, where to form logical decisions; the behavior of the team is also taken into account. Without this skilled team will lose its team identity, decisions will be taken on impractical bases; individuals will feel withdrawn hence, the objective to achieve the goal will lose its essence. With no sense of belonging in the team, individuals' perspective would not be taken into account which means emotional literacy is missing therefore people will become biased at a certain point.
Impulse is a sudden strong and unreflective urge or desire to act. Impulse control is an important component of emotional intelligence. It is important that decision-makers should have this ability or should develop this ability; otherwise, it can be very costly.
Impulsiveness is described as a spontaneous decision without proper analysis and consideration of the negative consequences of a decision. This is an indication of a weak and overconfident personality. They invite trouble by overcommitting and later not being able to fulfill promises and spreads negative energies among the team as others are not involved in decision-making and taken in confidence.
However, there are people with strong personalities and great impulse control. They do not let their emotions force them to act. They analyze every aspect, discuss matters with others, and consider data, research, and they list the pros and cons before making any decision. These people are an asset to any organization as they are visionary, plan very carefully, and help organizations grow successfully. Moreover, people with the ability of impulse control are also given roles of mediators, ambassadors and community leaders. This ability lands them to leadership positions and sets them apart from the people with the same knowledge and skills. Their habit to consider merits, demerits, and implications of a decision almost eliminates the possibility that decision will backfire.
Decision Making And Emotional Intelligence:
There is a deep connection between decision-making and emotional intelligence. A person who is well aware of his emotions and can manage it well will make rationale-based decisions. Moreover, such people can connect to others well. This leads them to be better at communication, which aids in decision making effectively. Being an emotionally intelligent person does not mean that they become completely emotionless while making a decision. They believe in putting forward the right emotions while deciding and ignoring those, which does not have any effect on the decision.
Decision-making places an important role in everyone's life. Having essential knowledge of the three domains (problem solving, reality testing and impulse control) of decision-making, one can make a logical decision including emotional literacy within it.