"I'm glad someone is looking into that," he replied. "It seems that business people tend to do one of two things when it comes to decision making. They either make most of their decisions impulsively toward a desirable end, or they make decisions very conservatively and too cautiously to make any progress."

Without realizing it, my chiropractor had singled out an important focus of my research. However, my interests have gone beyond just those two styles of business decision making to determining how to help business owners and managers make more effective decisions.

I have witnessed both types of counter productive business decision making described by my chiropractor. One businessman I know--let's call him Bill--owns a small employment agency. He dreams of hiring more staff and growing the business, yet the company remains the same size year after year. Employees and consultants who work with Bill see his aversion to accepting suggestions about growth. His usual response is "No, that will never work because..." bill reacts to every recommendation with a very cautious decision that keeps his agency from expanding.

In contrast, a nonprofit corporation in Colorado received a donation of scenic land for a new office building outside of Denver. Without evaluating its financial status thoroughly, the corporation built a $40 million structure on the site and opened it with great enthusiasm in 1993. Two years later this organization was near financial ruin and unable to obtain financing from lending institutions. The board of directors replaced the CEO, and he quickly replaced most of upper management. All that upheaval was the direct result of a hastily made business decision.

Business people tend to do one of two things when it comes to decision making.

These examples illustrate the two styles of business decision making to which my chiropractor alluded. The first is too conservative and cautious to allow for any real progress; the second is made toward a desirable end but not thought through completely. Each of these businesses would benefit from less focus on the outcome of its decision and more emphasis on the facts related to the decision being made.

Glenda is another chiropractor who owns her own practice and was contemplating expanding it. She agreed to share her experience with me and work her decision into what I call the decision-making model for business. First we identified the desirable end she hoped to achieve, a doubling of her office space to allow for a larger lobby, another treatment room, more space for staff, room for an associate and a private office for her. Then we identified her reservations, primarily her fear that the business would not support the added expense of expansion. If she acted only on that, her decision would be not to double the office space.

FIRST BENEFIT

So we identified two specific objectives that were exact opposites of each other--double the office space or retain the status quo. Like many business people faced with a decision carrying serious consequences, Glenda could have overwhelmed herself with multiple expansion possibilities. Instead she narrowed her decision to a single location with specific spatial requirements. This is the first benefit of the decision-making model for business.

Next, Glenda listed all the facts related to the decision-not her opinions, just facts. If this seems easy to do, it is not. As I consult with decision makers, I repeatedly hear hopes and fears entwined with the facts. Such subconscious "pollution" prevents proper utilization of the facts to make a very serious decision.

Businesses benefit from less focus on outcome and more emphasis on facts.

At this point in the process, decision makers often list statements containing a slant or angle indicating their desire to have the facts support their hopes and dreams. Some of Glenda's statements included:

* A larger, more comfortable lobby will attract more clients.

* I will pay double the rent and increase in utilities.

* I will have one more adjustment room and a private office for myself.

* My current office has supported my business well for five years.

* I can hire an associated, and that will allow us to see more clients.

* I will pay for construction and modifications and have a great increase in overhead to pay the new associate.

* Insurance companies have not been liberal in providing benefits for chiropractic services.

In reading those statements, it is easy to empathize with Glenda and her concern about the serious consequences this decision could have on her livelihood and her clients. Some of the statements suggest Glenda should double the office space, as she hopes. Others suggest she should leave well enough alone.

Take a closer look at Glenda's statement about a larger lobby attracting more clients. Is that a fact? Is a larger lobby proven to attract more clients? This is an example of hopes and dreams entwining with evaluation of facts. A small lobby may not encourage new clients, but a large lobby does not guarantee new clients. A more accurate statement would have been, "A larger, more attractive lobby MAY attract new clients, but does not guarantee it." Now Glenda can evaluate that point from a factual perspective rather than one slanted toward her hopes and dreams.

CONCENTRATE ON FACTS

It is human nature for us to have our hopes and dreams influence our decisions. The inverse is true for the very conservative decision maker. Bill, for example, repeatedly allows his fears and reservations to "rule his head," if you will. Concentration on the objective facts would tell Bill he has the latitude to take a few risks with his business. Concentration on the facts could help both Bill, a fear-based decision maker, and Glenda, a dream-based decision maker, to make decisions based on the reality of their immediate business circumstances.

I advise my clients to keep a copy of their facts in their own handwriting in a place where they can look at it and evaluate their decisions twice a day. I have them rewrite the list, as is, in the morning and the evening. They repeat this process for at least three more days. Clients tell me that this repeated concentration on the facts keeps them grounded in the logical approach to their decision. At this point, the decision maker has identified hopes and dreams related to the decision, fears and reservations about the decision, and clarified the facts around the decision. When done with a critical eye, these three steps comprise the decision-making model for business. The decision maker now has the skill to make a responsible decision by focusing on the facts.

Evaluate points from a factual perspective, not one slanted toward dreams.

Why does the decision-making model for business work so well? For one thing, our minds naturally do all three parts of the process already, just not quite so effectively. When faced with any decision, our minds feel excitement (hopes), address reservations (fears) and list some of the facts involved, although not necessarily in an objective manner. That's where the decision-making model for business comes in. When we focus on the facts, we make logical and effective business decisions.

By the way, Glenda enlarged her office two years ago and attained an increase in clients, as she had hoped. She now has a wonderful relationship with her new associate, more comfortable surroundings for her clients and the kind of practice of which she had long dreamed.