We go through decision-making all the time, whether it is in our personal lives, matters dealing with personal finance, expenses-incurring decisions, savings & investment choices. Adeptly put, Life is a matter of making choices, not leaving to chances.
A typical decision making process should lead you through the issue to evaluation and review of your decision.
That saying, there are always constraints that are internalised within us. It is up to us to discover, realise and step in to break them.
Thinking too slowly
How many of us are naturally indecisive? Remember, indecision kills, especially when you do not have time on your side. Indecisive decision leading to another creates a compounding time delay.
I guess most of us do not make decisions on the go. The people who actually can are usually attributed as being quick-witted. This is half true. One good differentiation between them and us is that they limit their options.
Steve Jobs (Apple Inc.) famously wore the same black turtleneck, blue jeans and New Balance sneakers every day.
Mark Zuckerberg (Facebook, Inc.) had shared a picture of his wardrobe and the two types of t-shirts he wears every day.
They understood they had a finite capacity to make excellent decisions and were not about to waste any energy on silly or frivolous things in life.
Personally I do my shopping both offline and online. I would compare the maximum of 3 quotes — the first and third would probably be a 10% – 20% price difference, the fourth/fifth 5% or lesser when compared to the third. It just isn’t worth the time and effort to go beyond three options for the delta in savings.
When I go to any food court or cafe or even restaurants, I have my preset meal or rough idea of what I wish to eat. At times, this strategy had allowed me to skip queues cause I was decisive.
The other point I wanted to bring out was having a fixed mindset. Your ability to mature or even move on to the next level is still a choice rather than chance. We need to relook at new challenges and failures as opportunities to grow. For myself, I didn’t stop investing even though I might have failed several times since I dappled in e-currencies, FOREX, domain names etc. Those were time-testing moments and I have learned on the good and bad choices of investment based on my profile.
Thinking too low-valued
The people who grow don’t look back. He heads on towards the future and has a open mindset on how he views people and the environment around him. Delegate or reduce the lower-valued work that you are doing and work towards delivering the higher value work.
Even with problems, there are usually more than one way to approach; you have to think out of the box sometimes.
Breaking down your Goals to Immediate, Mid-term and Long-term
Each of would have set life goals some point in our lives. The only issue is that we tend to lay out short-term goals. To be effective, I would personally set high level long-term goals and work backwards from there. Zooming in to financial goals, a long term goal would be Retirement. A good 5 year plan would include your wealth accumulation target and steps to achieve. Your daily goals would be to cut down your expenses and save more.
Have you started to think decisive, timely and wisely for yourself?