When we, as managers, delegate decision-making authority, we don’t delegate accountability. And just one bad decision, in the face of uncertainty, can destroy so much value.  This possibility should behoove everyone to see the significance of effective decision making. Indeed, it is a critical skill that organizations should work diligently to cultivate. 

Decision leadership transcends the bounds of data mining and sophisticated mathematical modeling. It recognizes the fragility of our knowledge and the importance of “gut feeling” as we ponder our choices. Decision leaders make new mistakes; they don’t repeat old ones. Additionally, decision leaders champion action-learning, working intelligently to close the gap between what happens and what they want to happen.     

So, what are the 10 things a decision leader will—constantly—do?   

1. Build leadership capital. They maintain their humility and composure while sharpening their commitment and group influence.

    

2. Omit before they commit. They know what not to do, saving their energy and time for the critical few challenges that could make or break the future.

3. Compete against perfection—not the competition. They understand that the essence of strategy lies in differentiation and are not blinded by benchmarks and best practices that can breed mediocrity.

    

4. Focus on risk impact and context. They remain mindful of the massive impact of some outliers and they don’t take—at face value—the false sense of security afforded by the normal distribution of experience.

5. Differentiate between the probable and the plausible. They are not fooled by highly detailed scenarios no matter how plausible they maybe because the specificity of scenarios often undercuts their probability.

6. Recognize the perils of selection bias and the under-representation of failure. They search not only for what the data say  but also  for what the data conceal.

7. Start small, think big, and scale fast. They make small focused changes to produce big results. They maximize the rate of failure and minimize the cost of failure.

8. Divide and conquer complexity risk. They work hard to block the synergy between risk factors and focus more on containing the consequences of failure than on trying to eliminate every conceivable mode of failure.

9. Have a friend who will let them know when the team is marching toward an abyss. They know unanimity and lack of dissent may signal the presence of clueless sycophants or silent liars.

10. Admit what they don’t know. Decision leaders are honest with themselves. They are distinguished not so much by the superior extent of their knowledge as by their recognition of its limitations. 

To reach for the decision leader within us, we must nurture a sense of respect for and curiosity about the vast fields of knowledge that remain unconquered. More importantly, we must understand that decision leadership relies on a diverse toolkit of models and narratives rather than a single account of events or a dichotomous view of the world.