How are the best business decisions made?

Are the best business decisions based on the owners ‘gut feeling’ or detailed research and planning?

I often see the two extremes of ‘Gung Ho’ decisions taken on a whim with very little forethought on just an owners hunch or ‘gut feeling’ and then again I see as often the other extreme of ‘planning paralysis’ where the owner is waiting for more and more information before making a decision, by which time it is too late. The opportunity is missed.

The real key is a balanced approach. The owners ‘gut’ needs to be calibrated by reality.

Let me explain a little more. The language of business is numbers and, just as on an overseas holiday it is helpful to have a basic understanding of the language spoken, a business owner needs to have a good enough grasp on the language of numbers to understand what’s truly going on within their business. Without the numbers, they are relying on opinions rather than the facts to make decisions.

I am not saying the owner needs to be fluent in that language. They can always hire an interpreter (an accountant) if the conversation becomes too complex or detailed but having no understanding of the language is like being stuck in the middle of Athens without a map. There are road signs everywhere and plenty of people willing to give you directions but if you can’t read the Greek alphabet or understand any of the lingo, you have no way of knowing the right way to go. With good luck, a little judgement and the use of some slightly mad looking sign language you may well eventually get to your destination but the journey could be a very long and winding road!

As any world travel enthusiast will tell you, if you can grasp the fundamentals of a language you will gain a deeper understanding of the complexities and nuances of the country where it is spoken. Basically, your enjoyment of the trip will be much improved.

So, is it time to learn a new language?

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