The “why” of anything governs our position, perceptions, and perspectives. Asking this question surrounding all things increases understanding and wisdom, leading toward a more healthy and inclusive life. The “why” of anything is not a random occurrence, but a meta-cognitive activity exercising the action is faster than reaction train of thought. Business owners increase their operational efficiency and overall effectiveness when they quickly identify the “why” of any decision. Implementing the “why” question in the daily process increases the recognition of essential variables directly correlated to decision making.
Algebra is a mathematical branch involving letters, numbers, systems, operations, and processes to solve problems. Solving the problem is typically a measurement of a good math student; however, mastering the process of the equations is the primary focus. Perfecting the process will eventually lead to the correct answer. Conversely, if you do not understand the process, you may have the right answer, but you may not know how you achieved it. This reason is the purpose of the teacher’s emphasis on displaying the work and awarding partial credit for a good process and the incorrect answer. Breaking down each aspect of the equation into multiple parts leads to the “why” situation. Once you understand the order of operations in the equation, the numbers are negotiable and interchangeable. You can apply the knowledge and rationale to solve any equation with varying digits.
Issues in life are looked at very similarly as a child poses the questions “why” to every response an adult gives. The child will ask “why” to the level of irritation and uncertainty by the adult. The aggravation occurs through fatigue or a lack of knowledge. Business owners experience the same fatigue and demonstrate the lack of expertise when posed with the question of “why” regarding decisions in their company. The intentional effort, interdependence, teamwork, and patience allow the business owner to expand the “why” concept in their operations. The “why” changes the focus of any issue and places the attention toward solutions. Solution-based thinking creates a broader picture of perspective, providing better decision-making opportunities.
The question “why” is not a question that is readily embraced. I have witnessed people grow in frustration because of the question based on the timing or who posed the question. Appointed leaders particularly can feel threatened or exposed to by the question of “why.” Asking “why” carries the connotation of distrust and challenge. The question is a mechanism for learning and meta-cognition. Understanding the “why” is an empowering tool for more significant accomplishments through recognizing the interdependent ramification of decisions. The answers to “why” are accompanied by the aspects of confirmation, validation, and information. All three of these aspects are vital to the success of a business.
As a consultant, the first statement I make to a potential client is to walk me through their business journey to paint a picture of their current perspective. The first question I ask after the statement is “why” to whatever explanation they provide. I combine the comment and the question to illustrate a holistic approach to understanding their logic and ailments. I use what they articulate and their unstated position to lead the rest of the assessment. Without fail, the first statement forces the business owner to tell the story of their life or operation. The question of “why” forces them to think and re-evaluate their business offering with uncertainty and hesitation. This reaction speaks volumes about their train of thought along with their practice of meta-cognition. I have experienced this phenomenon with startup founders through Fortune 500 CEOs. The explorative nature of the question “why” sets the foundation for all beliefs, decision making, and actions. The lack of a legitimate answer to the question “why” a business owner’s decisions and actions becomes sporadic and random increases the company’s risk.
Parable of the Ham
A little girl was watching her mother prepare a ham for dinner one night. The little girl noticed that her mom cut each ham’s end before placing it in the pan. When the girl asked her mother about why she cut off the ends, the mother replied, “I never really thought about it, that is how my mother used to make it.” The mom called her mother and asked her why did she cut off the ends of the ham. Her mother stated that she never thought about it either, but she watched her mother do so. The mom called her grandmother and asked her why did she cut off the ends of the ham. The grandmother stated, “It was the only way I could make it fit into the pan.”
This parable is an important reminder to learn the “why” of any process deemed necessary for your navigation through life. Spiritual beliefs, financial strategies, relationship behaviors, educational considerations, business philosophies, and health matters all stem from the train of thought employed by a person. If a person has no idea “why” they make certain decisions, they passively control their lives with unpredictable outcomes. The crux of good decision making is understanding the dependent variables of the decisions compared to all available choices. Merely repeating the behavior of others or mimicking actions does not constitute good decision making in isolation. Conscious awareness of the behavior and the action allows for the meta-cognitive process to lead the decision making.
The parable also spotlights the inefficiencies in the preceding generations as they prepared the holiday ham. The originating mother who needed the ham to fit into the pan found a solution for her problem. The next mother simply watched her mother’s actions, followed her example, and the third mother. The issue exists in the value of time, unused product, and potentially mismanaged money. It is reasonable to think each of the mothers could have saved time, energy, and money by keeping the ham’s ends. There was no indication or belief that the ham would not fit into pans that they owned or that the preparation time called for the removal of the ends. The reality is that cutting the ends off of ham may not be a major financial or time obligation. However, in business, making casual and poorly thought-out decisions can cost millions along with financial ruin for many. Human capital issues, organizational problems, and industry opportunities are predicated on the owner’s ability to make good decisions, act quickly, and execute at a high level. Examining the “why” plays a significant role in enhancing the business owner’s ability to make these decisions.
Practical Application of “Why”
The top two requests I receive from business owners is assistance with marketing and securing capital. With every request, I challenge their beliefs with the question of “why.” Usually, I uncover other issues the company is experiencing, and the demand for marketing or money help serves as a quick fix option. As I assist companies with their fundraising strategy, I will test their understanding of the finances with the question of “why.” One usual question I pose to new business owners or startup founders is, “Why would someone want to invest in your company?” The shocking factor is how many nonresponses or incomplete answers I receive. The business owner feels the need for an infusion of capital but did not employ a meta-cognitive process, including multiple layers of the question, “why.” After completing an exercise of a series of “why” questions, we typically conclude that fundraising is not an adequate option, and more work is needed.
Knowing the concept of “why” is not reactionary; it is a proactive word. For example, when someone applies for a loan, some items are needed to complete an approval. All loans go through similar documentation scrutiny, whether it is an auto loan, home mortgage, or personal loan. The lender questions your work history, income, income frequency, credit score, credit grade, income ratio, and other financial obligations. The lender creates a picture to determine your creditworthiness according to their lending guidelines. This image helps the lender make decisions on your capacity to repay, therefore minimizing the risk. The person may “feel” they are going to repay the loan, but the lender is not operating off emotion, but the selected criteria. This criterion was created through a process by corporate governance through research, metrics, data, experience, and meta-cognition. Calculating the target audience’s risk to generate revenue from one of the primary “why’s” for lenders. The lender implements a system and a structure of interdependence to act as prudent stewards for the stakeholders. This behavior all stems from the original “why” of the lending institution. Small business owners must conduct their business in the same manner to increase their company’s percentages of success.
The “why” is a motivational or macro perspective and the stimulus for the onset of decision making. There are many cases where a decision does not have to be made in the current time or ever. Defining the problem and analyzing if a decision needs to be made in a specific sense complement future decision making. The definition of the problem carries the thoughts of “why” is the problem, even decision worthy. People tend to make decisions based on risk–reward factors associated with their benefits. According to this approach, the decision maker is aware of the problem, develops the particular goals and criteria according to which alternative solutions to the problem will be evaluated, assigns the weights to these criteria, develops the alternatives, and chooses the other options that minimize the costs and maximize the outcomes for the decision maker.1 The first aspect is the recognition and awareness of the problem. This statement is not to say that all decisions stem from issues, but they benefit from having alternatives in options, difficult choices, or dependent ramifications. The benefit or risk of a decision extends to the visible aspect of possibilities, while the value proposition determines the decision’s difficulty.
Many of my clients face with what they deem are difficult decisions between protecting their assets through insurance or redirecting the money toward another aspect of their operation. The decision to forgo a legal assessment, buy insurance, or purchase a system is met with hesitation in the face of marketing, commercialization, or income. This decision always proves to be difficult owing to the value or lack of importance placed on asset protection combined with the premium of taking home more money or advertising. The decision does not happen in isolation but extends from the train of thought surrounding asset protection and management. Suppose professional insurance for business costs $1,500 a year. The extra layer of protection to operate appropriately can be challenged with thoughts of $1,500 in search engine optimization to drive more traffic to your website. The $1,500 could be earmarked for a new logo and website design. Owners may think to themselves, “I never had an insurance claim before, so why would I spend $1,500 on insurance to cover claims that I will never have? I would much rather spend my money on trying to make more money.” The negative consequences of not having professional insurance may enter the decision-making process without solidifying the train of thought through meta-cognition.
Considering the decisions are not made in isolation, they are fragments of decisions made in incremental steps. The decision maker has a limited scope of each decision’s entire ramifications, hence the decision has to connect to the train of thought and tightly held values. Using the same example, the business owner cannot determine if spending $1,500 on professional insurance will work out to be a better decision in the future than spending the same amount on advertising. However, if the value proposition is connected to the minimization of risk and asset protection, then spending the $1,500 on insurance is a simple decision. If the company is struggling financially and more customer conversions are needed, the owner may risk the protection of the company to reinvest in hopes of profits. In this instance, the need to grow the business is necessary and may not be a decision-making effort. Depending on the “why,” the decision-making process may not actually be a process or undergo a formal procedure. The “why” could be a reactionary response based on social, economic, or situational pressures.
Recognizing the stimulus of an issue and the train of thought prepares the decision maker for the time of decision making. The incremental decisions connected to the values and the train of thought makes the “why” of a decision clear when a situational occurrence arises. This behavior creates an action that is faster than the reaction process for the decision maker. More innovative solutions, quicker decision making, and less experimentation exist when the decision maker is proactive in their thoughts and prepared for decision making. The exercise of defining problems ahead of time is a meta-cognitive action removing hurdles and obstacles before they become relevant. This behavior lends to speed in decision making. Although speed is not the primary factor in decision making, the certainty that comes with a sound decision-making process produces speed. When people speak of the benefit of experience, the familiarity of an issue or a situation allows for quicker reactions and movement. The experience is viewed as an asset for decision navigation. Defining problems ahead of time and thinking of solutions in advance is a pre-experience exercise aiding good decision making.
Examining the role of “why” is more than a mere question but a process of thinking lodged into the decision maker’s muscle memory. The habit of good decision making includes an overall process that uses a “why” process as well. The constant redefining of problems is an incremental decision-making feature leveraging the rational consideration of changing stimulus and variables. The method of scrutinizing the origin of thought or problem circumstances provides a more sober perspective laying the foundation for objectivity. The problem becomes more manageable with the analysis of the definition of the problem and incremental decisions.1
Many factors affect the decision maker, but there are some basic-level factors to consider in the process.
1. Readiness
2. Motivation
3. General decisiveness
4. Beliefs
5. Information origin
6. Internal conflicts
7. External conflicts2
When considering each factor carefully, a decision maker learns more about their process and increases their decision-making ability. The readiness aspect speaks to the preparedness of the person. Is the decision maker in the appropriate position with the correct mental fortitude to make a decision? Many times, difficult choices surprise the decision maker leaving them vulnerable and caught-off-guard. By defining problems formally ahead of time, the decision maker has some form of defense, plan, and options management. The COVID-19 pandemic was an unexpected and untimely disaster for many business owners. However, conventional wisdom indicates that a national catastrophe or occurrence happens regularly, so a disaster plan should be thought of, planned out, and re-adjusted periodically. This issue is no different from a family having a disaster plan for their home in case of a fire. Although the decision maker does not know the type or the extent of a disaster that may occur, their mental fortitude and emotional state can connect to their mental readiness, placing them in a better decision-making position. The “why” for preparation is that you never know what uncontrollable factors may appear, causing a direct effect on your business, family, or finances.
The motivation factor is essential to formally implement in the decision-making process because it is the driver for all choices. A person must know what motivates them to act or not act specifically. If the value proposition of a company is the human capital, then a decision will favor the workers’ benefit. If the value proposition of a company is the financial bottom line, then money-saving strategies will take precedence. The decision making is driven by the incentives selected in correlation with the value proposition. Just as our previous example outlined, buying professional insurance is a protective measure of prudence and risk aversion. If minimizing risk is a value, then purchasing insurance is also the “why” behind choosing to protect the asset. Questioning the “why” of motivation leads to a clear understanding of what aspects of the decision are primary in the priority list.
General decisiveness speaks to the overall propensity for choice tolerance and action. Some people are more risk-averse than others due to their traits. Others are more cautious and slower to make selections based on personal characteristics. The inherent personality sets the occasion for the decision-making process, train of thought, meta-cognition, and the “why.” Decision making revolves around comfort and the individual’s ability to withstand negative outcomes. One person’s decision may appear bad based on the data or available information, but the personal connectivity is not taken into account by the outside perspective. This reality is when people say, “I can’t live with myself if I make that decision.” The personal attachment, regret, remorse, and connectivity to the manifestation of a decision is a strong force for “why.” The belief system of a person is a strong influential force behind the “why” of decision making. When choice selection comes to a crossroads between beliefs and an opposite position, the opportunity for conflict arises. In business, ethical decisions are a regular challenge for appointed leadership. When formally studying ethical leadership, case studies serve as a baseline for habitual decision making. One typical case study is killing one person lying on the train track to save hundreds. This exercise tests the decision-maker’s position on human life, ideas of the “greater good,” and personal connectivity. The activity will display an unknown person in the middle of the tracks and then substitute them for a family member or a child. The exercise pulls at the core of the psychological decision-making process and the fundamental beliefs of a person. Some people have a foundational belief that all life is precious, and no life should be sacrificed, while others believe that saving hundreds of lives is more responsible and prudent. The reality is the belief system employed by the person becomes the motivation for the decision making and generates the position of the “why.” Information origin is vitally important for logical or progressional thinkers. The range, scope, reliability, and relevance of the information is the primary metric for decision making. Bad information frequently creates bad decisions. People need to check their information sources and compare them to other pertinent sources for confirmation. This reality is one reason that board governance and team building are vital for business owners. A single-member company may struggle with reliable information if they serve as the only input source for information. The position could be jaded or biased based on a litany of factors. The board of advisers or the team of executives will assist with corroborating the information to ensure good decision making.
Internal and external conflicts speak about the pressures of the outcome affecting either the in-house members or outside stakeholders. These conflicts force decision makers to alter their position or select based on reasons other than their beliefs, value propositions, or what is in their best interest. An example of this reality is political voting. A politician may get accused of “flip-flopping” when voting in a direction and then running a campaign that may not match the original vote. In some cases, politicians vote on party lines to move a broader agenda. Even if the politician does not believe in the merit of the vote, they may believe in other aspects of a bill or amendment. This position can force an internal conflict driving the decision-making process. External conflicts create burdens squeezing appointed leadership or governance to make tough decisions. Investors or public opinion are often external strains on decision makers with high power. The decision maker will succumb to this power in the event the ramifications and outcomes prove significant enough.
The various reasons for the “why” of a decision are not conducted individually but collectively in most cases. A decision maker will encounter two to three aspects of the “why” when faced with what they deem are difficult decisions. In general, decision making is “a process of choosing among alternative course of actions to attain a goal or goals.” In the classical sense, decision making is viewed as a process that entails two distinct activities. The first one is to decide what state of affairs is desired, and the second one how this state will be achieved.3 Seeking the most optimal or considered the best decision is not usually found because of the number of variables and the associated unknowns. For this reason, “good” decisions are sought to provide the satisfactory feelings of achievement or progress. Prior experiences serve as a measuring tool for the current choices, while the outcome serves as the pass/fail grade of good or bad.
Self-Awareness and Your “Why”
The selected decision-making process must fit the comfort and execution skills of the person. The tolerance, beliefs, motivation, and stakeholder connectivity must relate to the mentality and personality traits of the decision maker. The self-explanatory decision-making process is essential for understanding and influencing the behavior of free-thinking decision making.3 Current and new decisions are connected not just to experience but prior decisions with lasting effects. This connectivity reduces the merit of the current or future decision because of antiquated or irrelevant aspects. For instance, a couple may choose to stay in a bad relationship and eventually marry because they have been in a relationship for plenty of years. The sunken cost of the years together influences the current or future decision. The self-awareness aspect is to understand the uniqueness of the present choice combined with how the decision maker can make a difference with the new decision.
Whether a person is deciding for themselves or the benefit of others, the critical thinking process, including the “why,” determines the individual’s preparation during intense or complex decision-making scenarios. Self-awareness allows for a reflective view of how a person defines and qualifies their ability to make decisions. Self-awareness reduces nonconscious decision-making factors, such as bias and tendency. Decision makers must protect against these biases.
1. Framing—Options are presented as positive or negative.
2. Anchoring—Focusing on the first piece of information.
3. Confirmation—Searching for information justifying prior beliefs and attitudes.
4. Self-serving—Tendency to preserve or distort information to benefit oneself.
5. Self-justification—External rationale to support one’s position.
The self-awareness component forces intentional action away from these bias types. A simple method to remove general bias is to navigate through the elements of critical thinking formally. These elements are as follows:
1. Point of view—The vantage point of issue for the decision maker.
2. Purpose—Specified articulated version of “why.”
3. Problem—Explanation of the issue.
4. Information—Data, intel, and metrics surrounding the issue.
5. Concepts—Variables and aspects of the issue.
6. Assumptions—Common knowledge and believed attributes of the problem.
7. Conclusions—The possible result or manifestation.
8. Consequences—Ramifications and impact of the decision.
The critical thinking process is a self-awareness tool leading toward consistent good decisions. The eight elements represent a careful examination of any issue. The more a person goes through these steps, the greater the muscle memory in the train of the thought. A decision maker benefits from knowing their inherent bias and combining the critical thinking elements for a more holistic approach to decision making. The outcomes will benefit more stakeholders or connect to the overarching “why” of the decision maker.
Overall, decision making is a formalized process strategy that people must practice to improve. Decision making is not an exact science with a measurable result but an action of optimization and expected theories. Developing evaluation metrics and execution techniques do not reside in standard practice for people. The formal method of decision making is not a classically trained skill set or practice. Generating the probability of outcomes and estimating the impact of decisions is made easier through proactive critical thinking. The course of action comes from the perspective and motivation of the decision maker, coupled with the choice selection issue. Avoiding bias sets the occasion for the ideal choice strategy connected with the elements of critical thinking. People’s experiences become the reference point of the “why,” creating misleading aspects of the current decision. For instance, I have clients who decide against a sales strategy or a commercialized campaign because they previously tried it. If the result did not work out favorably, then avoidance or rejection becomes the new decision. This behavior is dangerous because it rules out the possibility of variables responsible for the failure or the introduction of new phenomenon changing the outcome. The simple question of “why” won’t you try the sales campaign leads to the conversation of the previous efforts to learn about the errors during the last execution. The experience serves as a form of bias or misrepresentation of the current circumstance preventing good decision making. People must be self-aware of how their experiences shape their train of thought and integrate new modes of thinking in their meta-cognition.
The notion that decision making is similar to gambling or chance is also a misnomer held by many. Decision making follows a pattern more than random chance or circumstance. The patterns derive from causal factors associated with the issues or problems and connected to the habitual behaviors of the decision maker. The process of elimination is a pattern recognizing skill. In school, students take multiple-choice tests to demonstrate knowledge on a particular subject or aspect. The multiple-choice test does not determine the intellect or command of the topic but the immediate recognition of incorrect responses and probability. If the test has four answers and the student can eliminate two answers based on clues in the question or how the answer is worded, the student has a 50 percent chance of successfully answering instead of a 25 percent chance from the onset. The last two questions are broken down by the structure of the question and the material’s knowledge. Now the student is no longer guessing but drawing on logical associations for decision making. This process stems from the question of “why” because the multiple-choice format immediately exposes a person who did not read or study owing to the questions set up. For instance, one of the selections is not within the spectrum of correctness and takes only a moment to detect if any participation of the material exists. This reality highlights the strategic nature of decision making and purpose.
Additional patterns in decision making is apparent in gaming, coaching, financial matters, and business strategy. Learning these patterns assists with the systematic process of decision making, leading toward a history of good decision making. The reciprocal of not learning these patters leads to consistent bad decision making. Comparing your goals, abilities, ramifications, impact, and the “why,” decision makers can consciously and deliberately maximize their decision-making opportunities. The intentional nature produces clues about patterns in like situations and probabilities of outcomes based on consistent inputs.
In a football game, assistant coaches chart the progress and success of plays as they performed in a game. They are analyzing the success rate of a play call against the opposition’s behavior, whether it is offense or defense. The coach considers how his team has responded to pressure, the execution of a particular block of plays, the time management, the impact of the game, and his players’ emotional state. These aspects combine to form an informed decision on what play to call to win the game. Most people will say the coach made a good decision or a bad decision based on the outcome. The outcome does not determine if the decision was good or bad. The result is the manifestation of every possible variable. The determination of a good or bad decision is based on “why” the play call was selected. Some play calls are made without any numbers or metrics but strictly on the anchoring bias that they should give the ball to their best player, no matter the circumstance. Other play calls are made with external conflicts based on what ownership or a fan-base may want. Some decisions are made through a critical thinking process, analyzing every aspect of available data and playing the percentages. Once again, the “why” becomes the determining factor of the decision making. A single football play could cost an organization millions of dollars, a city could lose hundreds of millions, and an entire staff can be terminated. How these decisions are made carry substantial ramifications.
The question of “why” gives a broader view of how to adjust our realities through opportunity shifting, proper planning, and goal attainment. Regarding common sense, asking the question “why” provides more insight into what is considered common for a person. The more information a person is exposed to, the higher the opportunity for success. Good decision making is directly connected to the quality of the information and data obtained. What is considered common sense to a personal banker may not manifest as common sense to a first-time homebuyer. Having an open mind and utilizing your imagination increases the potential of learning new concepts to assist in the business. Making good business decisions begins with the train of thought and the metacognition employed by the deliberate practice of the decision-making skill set.