Removing Emotional Bias from Decision-Making

I summarize emotional bias as a bias we have towards a subject or idea for which we have created an unconscious preference or opinion. This can be based on preexisting conditions, thoughts, or experiences that are considered before taking the opposing position into account. Emotions are part of human nature; we all have them and they are an intricate part of our daily lives. As such, they also become a large component of how we make decisions in both our personal and business lives. While emotions can oftentimes serve business executives well by providing a moral foundation to all our decisions, it can have a negative affect in the decision making process.

We all have it, we all do It

Many times, emotionally biased situations involve relationships, employees, or perhaps a part of your business for which you are “sensitive.” Many times emotional bias is the instigator which leads us to spending our energy on proving a point, defending a position or pushing for something we want rather than spending our time gathering additional sources of information and making wiser choices.

Accepting it and realizing it

The understanding and acceptance to the existence of emotional bias and how it relates to and affects our decision making processes is an extremely powerful advantage- It can be the difference of a good business executive and a great business executive. Once we realize and accept that all human beings are emotionally biased, we can prepare ourselves to make better decisions by implementing rules and guidelines for our decision making process.

Implementing rules

In both life and business, I am a strong believer that the number one priority of all my decisions shall be made on the foundations of morals, honesty, and trust. If the world followed these few simple guidelines, it would be a much better, more productive society.

• Rule 1

Recognized your emotional Bias. When first faced with the reality that a decision will need to be made, we almost always have a few facts and opinions about the subject at hand. It is easy and very common for most to take an immediate position and then establish a defense for that position. I encourage you to recognize this as emotional bias and discipline yourself to step back, gather the facts and take a position on the subject as if you were an objective judge in lieu of a prosecutor. In doing this, you will find yourself armed with more data and better facts.

• Rule 2

Utilize the knowledge around you and get others involved. For some reason, many executives of small businesses feel the need to gather information and formulate a decision entirely on their own. They are of the opinion that it is their business, and therefore their decision is the bottom line. Not only does this limit the options and ideas for which your decision is based on, but it tells your management team that you do not trust their knowledge. It also is a first sign of a micro-manager and a clear sign of poor leadership skills.

By reaching out to those around you and including others in your decision making process, you will benefit in a number of ways. First of all you will be presented with additional thoughts, ideas, and positions outside of your own view, providing you with additional resources to make better, well-rounded decisions. Second, you will build a trusting relationship with your management team.

• Rule 3

Remove emotion whenever possible. Emotion can never be completely removed from the process of decision making, however, it can be recognized and handled in a manner that ensures that important decisions are being made using hard facts while minimizing influences. In helping business owners make proper decisions, I like offering simple, easy to implement processes. For example, when an important decision is required, using a simple pro and con system can be effective. Also, putting together an outsiders roundtable can be very beneficial at removing emotional barriers and developing new vision.

I am regularly discussing business life, strategies, and decisions with other entrepreneurs. Whether you facing an existing obstacle, or perhaps an ongoing concern, sometimes an outside viewpoint that otherwise may not have been considered may be the difference of where your company will be headed tomorrow. The approaches to making decisions and strategizing your business is almost unlimited. If you would like further ideas or guidance, feel free to contact Jim Schmitz for additional information by submitting this contact form. Jim will be in contact with you promptly.

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