Wednesday, August 17, 2011

Brain Freeze: How Can I Make Better Decisions?

I’m a member of Vistage, which is a group of CEO’s who get together to talk about business issues and how to make better decisions. That’s right … I’m part of a CEO club. We’re dangerous, so watch out. We get together to discuss exciting things like organization, business strategy, business technique, and NASCAR.

(The last one wasn’t true, but boy-oh-boy … I wish it was. Now that would be a great club.)

One month’s Vistage speaker was Holly Green, former president of the Ken Blanchard organization. (Sidenote: Ken Blanchard is the author of The One Minute Manager, which, incidentally, took much longer than one minute to read.)

Holly now consults with major corporations on strategic planning, management issues, and how to make better decisions. She also has a master’s degree in brain technology. She explained to me (repeatedly) that this is not the study of robot brains, a fact that I begrudgingly accepted. I guess.

So apparently, brain technologists study how the brain sees things.

Lo and behold, I learned the most amazing thing. At any given time, we only see 10 percent of all the data that is available. Whoa. As I write this I’m only aware of 10 percent of what is going on around me. Tiny elves could be doing tiny elf things behind me, and I won’t be cognizant of it because of my 10 percent brain.

How much do you think secret service agents see at one time? 20 percent. 20 lousy percent! They’re trained in observation, and yet they still only get 20 percent. When they leave their presidential detail, their powers of observation quickly go back to 10 percent like all of us average Joes.

The most important thing that Holly said was that we do not believe what we see. Instead, we see what we believe. Okay, so this is a little bit like the Matrix. Let’s see if I can explain …

What we see externally enters our head, where our brains automatically select which pieces of data to concentrate on. Then we use a screen—or a filter—where we interject on attitude and make assumptions. From this, we make decisions about the data. In other words, the tiny amount of data that enters our head is drastically altered by the time we process it.

When I heard this it blew 10% of my mind.

It is crucial for all of us in business to understand that we only see 10 percent of what out there. Equally important to understand is that this 10 percent is colored by our preconceived attitudes.

This leads me to wonder: how can we make better decisions? I know I’m only going on 10 percent brainpower here, but I think I have a solution about how to make better decisions. It won’t solve the problem entirely, but maybe we can get up to 12 or 13 percent …

First, we have to understand that what we see is colored by our attitudes. Admit we have a problem.

Second, and I know this is hard, we have to admit that we have a problem. There are things we are not seeing.

And then, we should take a minute to look around and see if there’s anything else right in front of us. Simply ask: What am I missing that would help me make better decisions?

So what’s the moral to the story? If we all looked at the set of difficult facts we are confronting each day, took an Ultradian break, and then came back to revisit the facts … what else could we see that we weren’t seeing before? We might make better decisions. We might come up with better, more sophisticated, subtle, and understanding decisions. We will definitely differentiate ourselves from everyone else out there.

Today’s challenge: Remember that you should use more energy considering the missing 90 percent than you do trying to prove your opinions are right. From now on, I’m going to take a step back and see if I can pick up a different 10 percent and make better decisions. Guess what? Just did it. And, what can I tell you? I’m still 100 percent right about everything and willing to argue you with you about it until the cows come home. (I kid. I kid.)

Related Posts:
A Crazy Guy Taught Me to be a Better Listener
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The New & Improved You

Monday, July 25, 2011

Do Ask - Don't Tell


 

I met a man at a marketing event named David Berkus. David Berkus has had a wonderful 40-year run as an owner and investor in companies. He claims a 97 percent return on his Angel investments. He is one of the founders of something called the Tech Coast Angels. He wrote a book, Berkonomics, about lessons he learned from investing in emerging companies, most of which have been very successful.

I devoured the book in one day.

One of the things he writes about in the book is how the customer is the teacher. He highlights the fact that customers know what they want from us; we do not know what is best for the customer. This is worth repeating: customers know more about what they want than we do.

So how do you find out what they want? Ask them! Ask them! Ask them!

You’d be surprised how many professionals don’t ask a customer what they want. They tell customers what they need. This should never happen. Professionals are supposed to be listeners. When you listen, you cannot help but exceed a customer’s expectations because you are smart enough and creative enough to hear what they want and imagine for them a bigger future than what they can imagine for themselves. I firmly believe this and believe that is why customers respond to my company, and why they will respond to yours.

There’s a quick process you can use when you are talking to customers. (By the way, they are customers or aspirants—not clients. In Old English, a client is was another word for a serf. Unless you also use words such as “me lady” and “doth” and “betwixt,” don’t use “client.” But I digress. My point is that customers are not your subordinates.)

But I digress again. Here is an effective process I recommend:

First, be sure you contract with the customer to set their expectations reasonably. A customer might want something more than what you can deliver. The time to be honest with them and set reasonable expectations is at the beginning. I have never known a customer that would not accept what they have been told can be reasonably done.

If you do encounter someone who doesn’t accept your professional estimations, they shouldn’t be your customer. For instance, if you design swimming pools and somebody who declares money is no object wants you to complete an Olympic sized pool with a wave machine, water slides, and talking animatronic dolphins in 24 hours, run, don’t walk, away from them. I’m no swimming pool expert, but I’d be willing to bet ten dollars it would take more than a day to build a swimming pool with these specifications.

“Money is no object” is certainly enticing, but before being seduced by such an offer, ask yourself: Is it worth the damage to me and my reputation when I am unable to complete a job I knew was impossible to begin with? It sounds like an awesome pool, but I’m guessing it would take at least two days to finish.  

Secondly, communicate expectations both verbally and in writing. After you have had a conversation, follow up in writing so you have the words down. Confirm what you have discussed with Mr. Smith in an email. Copy your immediate supervisor, whomever is supervising the job, or anyone else associated with the job. Be specific. If you are asked to do X, Y, Z be sure to inform the customer you can do X and Y in four days and Z on the fifth.

Sometimes even the smallest details can bring a project down if everyone is not on the same page. I am reminded of the epic rock band, Spinal Tap. For their show stopping song Stonehenge, they wanted a replica of the Stonehenge ruins on stage while they sang the song. The sketches of the original design included measurements in inches rather than feet. Consequently, when the pieces arrived the night of the concert, they barely rose to the musicians’ knees. This is hilarious, though the band wanted the effect to be dramatic.

Third, when conditions change—and they will—don’t assume the customer knows it. Tell them. Re-contract around expectations. In many ways, a business relationship is like a personal relationship. Customers liked to be talked to. They want to be paid attention to. Remind them what you had committed. Remind them about any changes in conditions and then re-set their expectations verbally as well as once again in writing:

“Dear Mr. Smith:
Your attorney did not send his legal rep letter in on time. As we discussed, this will push us back a week…”

Above all, communication is key. Legendary filmmaker Cecile B. DeMille would have attested to this in his day. DeMille was preparing an epic battle scene that had been rehearsed relentlessly. As the sun began to set, hundreds of extras charged up the hill dressed as Roman soldiers, while hundreds more charged down dressed as slaves. It took fifteen minutes to play out the entire scene. When it was done, DeMille was thoroughly pleased by what he had seen. He waved to his camera crew supervisor to confirm everything had been captured. The camera crew supervisor waved back and yelled, “Ready when you are, C.B!” thinking they had just gone through another rehearsal. Then the sun went down.

Listening and communicating is critical. And the most valuable tool available for this is your ability to ask questions, such as, “Is this another rehearsal?”

Today’s challenge: Examine experiences in your own personal and professional life in which a lack of communication either helped or hurt you and think of what you specifically learned from those experiences.