An entrepreneur is constantly faced with the prospect of making choices. It is the choice between renting a new office space or hiring a new front end developer, or it might be the choice between a much needed employee outing or buying ad space on a billboard. The constant decision-making takes a toll on each and every entrepreneur. The worst part is when they take one wrong decision and that sets of a chain off second-guessing every decision they make after that.
Reversible v/s irreversible decisions
In the world of startups and entrepreneurship, there are two types of decisions you will make, reversible and irreversible. Despite the labels being self explanatory, let us consider examples of which is which.
- Adding a new sharing button on your website to share content. Reversible.
- Hiring a new CTO with a 2-year contract. Irreversible.
- Rolling out a new strategy for customer acquisition and retention. Reversible.
- Renting new office space in the center of the city on a long lease. Irreversible.
Reversible decisions give you the freedom of making changes if your choice is not working out too well. Irreversible decisions have a huge impact on the product and the company and are often too costly to be reversed. There will be right and wrong decisions, but in a startup, it is important to be able to take quick decisions to know what direction the company is going in. The importance of reversible decision lies in the fact that it lets the entrepreneur make a quick decision, recognize if it is right or wrong quickly, and chart another path for the company to go in.
To avoid being drained out by the constant stress of decision-making, you must be able to take certain decisions quickly and without thinking. You only have so much attention you can devote to tasks.
Tucker Hughes, a millionaire in his early twenties, shared some wisdom that helped him when it came to making decisions. According to him, everyday tasks like dressing yourself, what you eat, what time the daily meeting is are all tasks that don’t need immense attention. The less attention you devote to these decisions, the more you will have time left over to make the big decisions that impact your company.
Important to be aggressive
It is important to be aggressive in your decision making progress. Reversible decisions need to be made quickly and reversed just as quickly on occasions. Not only you, but also your entire team in a startup has to learn the art of making quick decisions consistently. Making informed but quick decisions will go a long way in ensuring that your team does not spend all its time debating what to do, and not leaving enough time to actually implement it.
Decision-making is an integral part of a startup’s success. Your quick and effective decision making skills can be the make or break for your startup. In a market that is constantly changing and evolving, new strategies need to be thought of and implemented quickly. Changes in the aforementioned strategies also need to be made quickly. Reversible decisions are not easy decisions, they are quick, informed decisions that leave you with room to wiggle around in case it does not go as planned.