How do you evaluate the impact and outcomes of your decisions?

Whether you are a manager, a team leader, or an individual contributor, you need to make decisions that align with your goals and objectives, and that support the best interests of your organization and stakeholders.

In this article, we will explore some of the key aspects of decision quality, and how you can use various tools and techniques to assess and improve your decision-making skills.

1 What is decision quality?

Decision quality is a measure of how well a decision meets the criteria of effectiveness, efficiency, and satisfaction. Effectiveness refers to how well the decision achieves the desired results and outcomes. Efficiency refers to how well the decision uses the available resources and time. Satisfaction refers to how well the decision meets the expectations and preferences of the decision-makers and the affected parties. A high-quality decision is one that balances these three dimensions and maximizes the value of the decision.

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Mike Mathias NCPS, CRS

Creating & Clearing Paths to Stability with the Chronically Homeless | Executive Director of Anything Helps
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Some things to keep in mind about decision quality: - Many of our decisions might be effective in the short term but have unintended consequences in the long term. These are not quality decisions because they focus on quick fixes. - In order to ensure you are making high-quality decisions, you must have a holistic understanding of the systems you're making those decisions in, and how your decisions are affecting other parts of the system.

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2 Why is decision quality important?

Decision quality is important because it affects the performance and reputation of your organization and yourself. A high-quality decision can lead to positive outcomes, such as increased productivity, profitability, customer satisfaction, innovation, and social impact. A low-quality decision can lead to negative outcomes, such as wasted resources, missed opportunities, errors, conflicts, and reputational damage. Therefore, improving your decision quality can help you achieve your goals and objectives, and enhance your credibility and influence.

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Rafael Alejandro Egáñez Anderson

Columnista de opinion at Morfema Press | High-Impact Coaching and Transformation
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In the decision process, to make it really effective and with quality, it must also be considered from where in the performer's mind it is carried out; Either from a positive space that supports the evaluation process that generated the decision or if, on the contrary, from a negative space that can affect the outcome and it may be prudent to withdraw, wait, and return at the most appropriate moment to make it happen as it should.

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3 How to assess decision quality?

One way to assess decision quality is to use a framework or a model that helps you evaluate the different aspects of your decision process and method. For example, you can use the Decision Quality Framework \(DQF\), which consists of six elements: frame, alternatives, information, values, trade-offs, and commitment. The DQF helps you check whether you have defined the problem and the objectives clearly, generated and compared a range of options, gathered and analyzed relevant data, considered and prioritized your criteria, made trade-offs and compromises, and gained the support and buy-in of the stakeholders.

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Gregory Engel

The Stoic Agilist - author, mentor, guide, coach, and software engineer. Full-stack experience with building and leading Agile teams.
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Key to assessing decision quality is to separate the decision from the outcome of having made a particular decision. Bad decisions can have good outcomes and good decisions can have bad outcomes. Evaluate the decision separate from the outcome. Focusing on the decision, quality can be assessed by, in part, by determining where the decision is on a 2X2 matrix. One axis would be reversible/irreversible and the second would be inconsequential/consequential. The position on this grid can reveal insights as to whether enough information was gathered, what consequences were considered, who was impacted by the decision, etc. Finally, answer the question "To what extent was luck involved?"

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4 How to improve decision quality?

Enhancing the quality of decisions can be achieved by utilizing various tools and techniques that can help to improve the decision-making process. For instance, decision trees are a graphical tool that can be used to visualize the potential outcomes and consequences of a decision, as well as calculate the expected value and risk of each option. SWOT analysis is a strategic tool that can be used to identify the strengths, weaknesses, opportunities, and threats of a decision, and assess the internal and external factors that can influence it. Cost-benefit analysis is a financial tool that can be used to compare the costs and benefits of a decision, and determine the net value and return on investment of each option. Lastly, stakeholder analysis is a social tool that can be used to identify and understand the interests, needs, and expectations of those involved or affected by a decision, and manage their involvement and communication.

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Brian Taylor

Manager, Value Acceleration Consulting at Chevron
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Assumed alignment is an early, silent killer. Firewall the problem or opportunity definition from solutions by leveraging red team techniques like think-write-share. Start by asking the team to state what problem you are going to solve via this method. Additionally, be leery of charlatans selling a process for decision-making. Processes often offer little more than a poor surrogate for critical thinking. Determine what tools or techniques you need based on l context or environment.

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5 How to monitor and review decision quality?

To ensure decision quality, it is important to monitor and review the impact and outcomes of your decision, learning from the feedback and results. This can be done by defining indicators and metrics that measure the effectiveness, efficiency, and satisfaction of your decision, setting the targets and benchmarks that reflect your goals and objectives. Additionally, collecting and analyzing data and information that track the performance and progress of your decision, and comparing the actual results with the expected results, can help identify and evaluate the gaps and deviations between the actual and expected results. Furthermore, implementing and communicating the actions and improvements that address the gaps and deviations, and enhance the value and quality of your decision, is essential. Finally, documenting and sharing the lessons and insights that you have learned from your decision, and applying them to your future decisions, is a great way to ensure decision quality.

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How do you evaluate the impact and outcomes of your decisions?

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1 What is decision quality?

2 Why is decision quality important?

3 How to assess decision quality?

4 How to improve decision quality?

5 How to monitor and review decision quality?

Decision-Making

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How do you evaluate the impact and outcomes of your decisions?

1

2

3

4

5

1 What is decision quality?

2 Why is decision quality important?

3 How to assess decision quality?

4 How to improve decision quality?

5 How to monitor and review decision quality?

Decision-Making

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