“Get the facts before the facts get you.” That is precisely what a business mentor said to me a few years ago, and it stuck ever since. Once this wise statement sank in, I never went into a decision without using research and analytics, and from that, I would develop a pretty good argument. Not only did it provide the confidence to move forward with the decision I had to make, but it made it tough for anyone to second guess it, and gave the decision more credence. The advice become a sort of mantra that I live by in my business, and a crucial piece of advice I pass along to my clients.
OK, now it’s your turn. How do you make your everyday decisions? Probably out of habit, or because someone in your circle made the suggestion or you went online to get one or two reviews. That’s okay when it comes to choosing a restaurant or a movie. However, it’s not okay when it comes to deciding on whether to develop a new product, or change an existing one.
I hear all too often these well-intentioned, but misguided, business coaching advice:
- “be supportive”
- “listen to everyone”
- “don’t embarrass participants”
- “build a consensus” and
- “don’t disrupt the line of command”
While these seem to be, at first blush, worthy bits of advice, the focus seems to be more on the group dynamics than on making sound business decisions. More importantly, I find clients frequently missing out on opportunities by not relying on facts. Specifically, I have found that decisions were made without using data, facts, and analysis. Don’t make decisions to keep the group happy, or to satisfy a prediction, make your business decision from careful data analysis.
Apple’s Steve Jobs got fired for making business decisions that made waves, but when he returned, he exploded the company by following the aforementioned advice. He may have not been as well-liked, but he did exactly what he had to do to grow the business and change what the data said to change, and keep what the data said to keep.
Thankfully, a trend is emerging that is proving the importance of facts, analysis and numbers in business success. Harvard Business School, for example, is considering offering classes for students on improving their digital and analytical skills. This trend is the result of the internet and web giants like Google that has turned careful research on its ear!
Consider the following:
- If you’re not careful, you may go into a business decision because you just really wanted to, and not because of any definitive research. Not only is it wasteful of time and money, it could be detrimental to your business.
- What is really important? It may be exciting to dream up variations on your product, when in fact, your data shows that your products are selling well, and that your focus should be elsewhere.
- While it’s wise to regularly discuss new directions for your business, make sure research and analysis are part of the discussion.
In many of my conversations with clients, I explain how “passion” and “reality” have to work hand in hand for business success. So, in this case, I would say that “Passion” is the desire to make an improvement to your product, but the “reality” is the hard truth that this improvement isn’t necessary, cost-efficient, or even desired by your market.
Keeping your thinking fresh, honest, without bias, and taking the research you’ve conducted into making the business better is, well, it’s everything.
Dr. Bert Shlensky, president of www.startupconnection.net, offers experience and skills and a team devoted to developing and executing winning strategies for businesses of all kinds. This combination has been key to client success.
