Rational decision making is an integral part of effective leadership. It is very crucial in the corporate world where the ability to make the right decisions at the right time can end up being the difference between success and failure.

What is Rational decision making?

Rational decision making is where decisions made are-

• Conscious, explicit, and deliberate
• Internally consistent and logical
• Fully informed
• Aimed at achieving the end goal
• Involve a choice between alternative ends and alternative means

Common Pitfalls?

There are some common pitfalls in leadership that can undermine rational decision-making process such as –

• Enthusiasm to quickly get to the end of the analysis process
• Readily agreeing with senior leader’s proposal
• Having a prior view about the best solution
• Not providing a safe environment to the team to voice out their concerns

Leadership approaches to decision making

Following is the summary of various approaches (4Cs) that can be adopted by leaders as per the situation where a rational decision needs to be made. It cannot be said that one approach is better than another. It entirely depends on the time allowed, people involved and the importance of the decision that needs to be made.

Approach	Decision Characteristics	Situation suitability
COMMAND	Made by leaders without consulting the team Things move quickly, no time for consultation	Best suited for a CRISIS type of situationwhere there are unexpected issues that require immediate attention to avert damage
COLLABORATION	A decision which allows team members to provide opinions, insights, and knowledge. Perspectives are considered and decisions are well-informed	When situation allows (no crisis) MOST EFFECTIVE LEADERSHIP STYLE
CONSENSUS	A decision where majority rules. Teams take a vote to determine a decision	When entire team is affected, this approach can be seen as fair and efficient way. However, this is often not possible in a fast-paced environment
CONVIENIENCE	Delegation of decision making by leaders.  This is where the decision making is allocated to a trusted team member	Useful in developing decision making skills and confidence in team members. Decision makers should remain stable for an effective outcome.