Are you making the best Decisions Possible?

Have you suffered loss because of a poor decision?

Is there a better way to make important life-changing decisions?

 My most recent blog about reviving an old skill was not a life-changing decision but it certainly brought me some much needed self-assurance. It made me think about some of the important decisions I have made—life-changing decisions that have directed the course of my living, be it for the good or for the bad. I must be honest and say that I have certain regrets about some of the decisions that were made, particularly after our family’s immigration to Canada.  I hold myself completely responsible for not doing the due diligence that was required of me when making those decisions. I now realize, more than ever, that judgment is affected by being aware of the risks—not only by being aware but also by taking the time to determine, as best as possible, how those risks can be reduced or eliminated. Everyone has a risk-tolerance level and we all need to make sure that the level is never exceeded.

                               Your decisions determine your Destiny and your Reality!

This truth has made me more cognizant of the need to evaluate my decision-making abilities; to go the extra mile or to read that fine print more carefully. As a person of faith I had leaned too heavily on my beliefs and discovered much to my chagrin, that in making any life-changing decision, due diligence and homework are the real precursors to successful outcomes.  Faith, by itself is no substitute for evidence, track-records, available research (and sometimes common sense). All the faith in the world could not save me from making a bad decision, based on poor judgment and limited understanding of the risks.  

To begin with, I have determined four major points on how a decision creates a reality. 

When I make a decision about anything:

·        It sets a process of steps into motion.  

What these steps are and how many there will be depends on the nature of my objective. If I have decided to purchase some shares I would have to sign a cheque, see a financial planner and invest in the market place. These are the steps I would be placing in motion.

·        It links me to a responsibility.

To make sure that there is sufficient money in my account to cover the amount for the cheque; In signing the application form I give my consent to a third party to invest that money. I have to adhere to any timelines and accept the way the market moves. This is my responsibility.

·        It directs me toward potential possibilities.

Markets are generally unpredictable and the possibility of losing my investment is a real outcome. On the other hand, if I have done due diligence, there is a possibility that my investment will increase in a bullish market. These possibilities, according to the laws of probability, are equally good as they are bad.

·        A reality is created when any one possibility is realized.

I have been through all the steps, taken my responsibility and stepped into the realm of possibility. The market took its course and it went up! My hope for a successful outcome is realized or, the market went down and I have lost my investment. Either possibility becomes my reality.

The points above portray the journey from ‘decision’ to ‘outcome’—a realized outcome is a reality that we must live with.  

Over the coming weeks I hope to share how it is possible to make more realistic and successful decisions—how we can do due diligence and eliminate as much risk as possible. There is no sure-fire, foolproof method for anything in this life but by applying a few timely principles we can sleep more peacefully, knowing that we have done everything we can, to ensure a successful outcome. There is much to learn about this topic from a philosophical and scientific point of view if we care to. We cannot be totally insulated from failure but we can ensure the steps of success!

“A good decision is based on knowledge and not on numbers”.

Plato