good problem solving and decision making skills

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The Most Important Decision-Making Skills (With Examples)

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Good decision-making skills are sought by almost all companies. Whether you’re applying for an entry-level position or an executive role, you should highlight your decision-making skills throughout the application process. In this article, we will go over what decision-making skills are, how to improve your skills in this area, and how to highlight your ability to make good decisions. Key Takeaways: You make decisions every day for various functions, from personal to professional, and consistently making good decisions can only help your career. There are three main ways to approach decision-making: using intuition, reasoning, or a combination of both. When making a decision you should identify the problem, do some research, and evaluate your options before you make a decision. In This Article    Skip to section What are decision-making skills? The most important decision-making skills More decision-making skills The decision-making process How to improve your decision-making skills How to highlight your decision-making skills while job hunting Decisiveness Skills FAQs References Sign Up For More Advice and Jobs Show More What are decision-making skills?

Decision-making skills are about your ability to choose a good option out of two or more alternatives. It takes a host of skills to be able to quickly and compassionately make wise choices that are good for both the present and the future.

There are three main categories of decision-making skills that correspond to three different ways to make decisions: using intuition, reasoning, or a combination of both.

Intuition is your default response, or the gut feeling you get when presented with a problem or decision to make. This first reaction comes from a combination of things you’ve learned, experiences you’ve had, and opinions you hold, so everyone’s intuition is different.

Using intuition means basing your decision on your lived experiences, so it can be subjective. Skills like creativity and emotional intelligence fall into this category.

Reasoning , on the other hand, is rooted in data. You reason when you use the data available to you and only base a decision on facts and figures instead of your instinctive reaction. This is a more objective way to come to a decision and it’s usually how bigger decisions are made.

Problem-solving and logical thinking are examples of decision-making skills in this category.

Both. Most often, decisions are made with some combination of both intuition and reasoning. Using both is a good way to check and make sure your choice is logical while also paying attention to the human element of it.

Since we make decisions all the time, we usually don’t stop to think about whether we should make an intuition-based or reason-based decision. Instead, we naturally use a combination of the two.

The most important decision-making skills

Many skills go into making effective decisions, from problem-solving to emotional intelligence. Here are some of the most important ones:

Problem-solving. The number one skill you need to be an effective decision-maker is problem-solving. Since decisions are just a type of problem (determining which option is the best), having strong problem-solving skills is definitely an asset.

If you approach a decision from a logical mindset as if it were a problem to solve, odds are that the solutions you come up with and your final decision will be stronger.

Choosing a reliable manufacturer to supply the product you sell. Comparing candidates to the job requirements. Reassigning tasks when an employee unexpectedly resigns.

Collaboration. Decisions can’t always be made by one person. You need to have good collaboration and compromise skills to make the best decision sometimes when it involves a group.

Even when you’re making a decision on your own, getting extra input from friends or coworkers can help you brainstorm the best outcome. Collaboration is your friend, both when you need to make a group decision and when you’re the one responsible for making the decision.

Brainstorming potential names for a new product. Asking staff about the impact of extended hours. Listening to employee needs and preferences for a new office space.

Emotional intelligence. Emotional intelligence , or EQ, is the ability to observe and understand your own emotions and the emotions of the people around you. Being able to take emotions into account will make you a stronger decision-maker.

Think of this as related to intuitive decision-making. You need to balance facts, figures, and emotions to come to a good decision.

Proposing the best way to boost sales. Evaluating the impact of cutting spending. Choosing an interim manager from an internal pool.

Logical reasoning. This skill is key for the middle steps of the decision-making process. Being able to fully evaluate and analyze your information, options, and decisions will make your decisions stronger.

This skill is more closely related to reasoning, the side of decision-making that relies on facts and figures instead of on emotions.

Deciding how bonuses will be given for the year. Choosing which employee or employees to lay off. Creating an employee schedule based on time off requests and coverage needs.

Creativity. The more creative you are in your problem-solving, the better options and potential outcomes you’ll have to work with, as well as having creative ways to implement your decision.

The most straightforward option isn’t always the best one, and sometimes you need to think outside the box to find a solution that meets everyone’s needs.

Arranging a small office space so that everyone can fit comfortably and be productive. Finding ways to lower costs without sacrificing performance. Developing a new record-keeping system that meets your team’s needs.

Organization . Being organized can help you keep all of your background information, options, and other tools in order.

This allows you to stay clear-headed in your decision-making, reducing the risk that you’ll overlook a key piece of information. It can also help you feel less overwhelmed by the decision, which also results in better choices.

Creating a centralized calendar where employees can update their schedule preferences. Organizing data that will help you decide whether or not to continue a project. Collecting employee feedback in survey form to make it simpler to see what the majority wants.

More decision-making skills

There are many more skills that will help you sharpen your ability to make good decisions. Take a look at this list and see what you’re already good at and where you could improve.

Time management. Making decisions in a timely manner isn’t just about making a quick, hasty decision. Managing your time to properly work through the seven steps is a skill that will put you above everyone else.

Leadership . When collaborating and making a group decision, someone needs to take charge and make sure the decision is implemented, which is when good leadership skills are needed.

Ethics. Making ethical decisions is a necessary skill to have, so knowing how to weigh the ethical pros and cons is key.

Research . The better research you can gather in the first steps of the decision-making process, the better prepared you’ll be to make a good decision.

Analysis . Having strong analytical skills will help you ensure that your decisions are logical and reasonable.

Flexibility. Quick-thinking and flexibility are your friends when it comes to making decisions since sometimes you’ll have to compromise or new constraints will pop up, changing how you approach a decision.

The decision-making process

Effective decision-makers use a seven-step process to tackle decisions. While it isn’t necessary to go through these exact steps when you make a basic decision, like what to cook for dinner, it can be a great way to check your thinking as you make a big work decision, like which strategy will lead to better sales.

Identify the problem. First, you need to see the decision that you need to make and understand what will go into making that decision. This step is crucial since everything else builds upon what you do here.

Make sure you properly understand the situation, what’s being asked of you, and what tools you have available to you before moving to the next step.

Do some digging. For any decision you’ll need some background information to help you choose the right option. Sometimes this means just thinking back to details from meetings, or it can be doing more sophisticated research. You can use step one to help you identify what information you’ll need to make a good decision.

Think creatively. In this step you want to think of as many solutions as possible. It doesn’t matter if they’re good or bad, you just want to consider all of your options.

Feel free to be as creative in your thinking as you want with this step. There are no bad options here since you want to think of every possible outcome. You’ll have a chance to check all of your brainstormed options later.

Evaluate your options. Here’s the part where you’ll give all your potential outcomes a second check. Go through the list of solutions you came up with in step three and test which ones feel better or sound more logical to you.

Don’t forget to keep your end goal in mind when you consider all the choices. That way you’re sure to make a good decision.

Make the decision . It’s time to pick one of the options you came up with. Keep in mind that you can choose a solution you came up with or even combine solutions to make the best decision possible. Reflect on your process for step four and pick the decision you feel best about.

Act on your decision. Once you’ve decided what to do, you need to start taking the actions that will help you implement the decision. These can be big or small steps, but stay focused and resolved to get the job done.

Don’t be afraid to bring other people into your process in this step. Especially for large workplace decisions, you might want to call on your coworkers to help you get things done.

Look back. When your decision is made and you’ve had some time to see its effects, take a second to evaluate that decision. Think about whether the decision had the outcome you wanted it to, or if it wasn’t so successful.

Taking this time to reflect on your decision-making is a great way to not only improve your ability to make a good decision but also to learn more about yourself. You can even ask other people for their opinion on the effects of a decision to see how your perception of the impact lines up with others’ opinions.

How to improve your decision-making skills

To improve your decision-making skills, practice goal-setting, reducing your number of choices, and conducting good research. You should also work on your communication skills and give yourself a limit on how long you have to make a decisions.

Set good goals . Having your eye on the big picture is enormously helpful when it comes to decision-making. Someone can make all the right decisions, but if their ultimate goal is wrongheaded, then those great decisions don’t add up to anything useful.

Reduce choice. Americans love options, but being inundated with too many potential choices can paralyze you. Before you begin making decisions, try to narrow down your possible choices to the top three.

Research. Decision-making isn’t easy when you don’t have all the facts in front of you. Good decisions are predicated on good data, so start working to improve your research skills. The greater your knowledge and expertise, the simpler most decisions become.

Communicate early and often. Communication skills complement decision-making skills well. Whether you’re seeking out advice or expressing a project’s goal, thorough communication helps you make decisions more effectively.

Don’t analyze forever. The phrase “paralysis by analysis” is all too true. Don’t be afraid to make small decisions without 100% of the information you might need. A few minor failures can actually help generate better ideas. Start with the minimum viable solution, and iterate from there.

How to highlight your decision-making skills while job hunting

To highlight your decision-making skills in your job search , look for decision-making skills and terms in the job description, and incorporate any that apply to you into your resume and cover letter. You should also highlight them in your interview answers.

Check the job description. Read the job description carefully and look for words that indicate decision-making like:

Incorporate the decision-making skills from the job description into your resume. Look for ways to incorporate the same language from the job description into your resume .

Let’s take a look at an example resume’s work experience section showcasing decision-making skills:

Saved product team over $50k annually in materials costs by analyzing low ROI spends and rerouting funds to lucrative projects Reduced accounting labor hours by 21% by automating payroll systems and creating streamlined tracking spreadsheets Optimized virtual meeting schedule, netting an average of 3 hours of meetings saved weekly, while improving employee productivity by 6%

Expound on your decision-making skills in your cover letter. A cover letter should cover similar accomplishments where you leveraged your top-notch decision-making skills. However, you can go into more detail about one or two accomplishments, rather than briefly touching on them as you would in a resume .

Highlight your decision-making skills in your interview. For a job interview , it’s equally important to know what metrics your performance will be judged on. By showing that you’re already thinking of how to achieve the most important results, you’re painting yourself as a candidate with great decision-making abilities.

Decisiveness Skills FAQs

What are the key skills for decision-making?

Key skills for decision-making are problem-solving, logical reasoning, and emotional intelligence. These skills combine to help you navigate almost any decision. This is because you use your logic and EQ to consider your reasoning and intuition and come up with a balanced approach. Your problem-solving skills will also help you build confidence when you have to make a choice and stick with it.

How can I be a good decision maker?

To be good at making decisions, match your decision based on your goals and values. This ensures that your decision is one that you can stand by, regardless of the outcome. However, sometimes this is hard to figure out.

If you struggle to make decisions, make sure to manage your stress, consider all the outcomes, and weigh the pros and cons. Additionally, if you can, take some time to avoid making rash decisions. It also helps to talk to others or to write out your thoughts and feelings in the process.

What are the characteristics of a good decision?

A good decision comes with clear reasoning, judgment of values, and is realistically accomplished. As long as your decision does not bring harm to others, you can use these characteristics to determine whether or not your decision was a good one. Your decisions should, in one way or another, bring you closer to your goals, both big and small.

What is strategic decision-making?

Strategic decision-making is when you base short-term decisions on long-term goals. In a sense, your decisions are part of your “strategy” to achieve some end. Strategic decision-making is particularly useful for businesses when they need to align daily needs with long-term objectives.

How do you demonstrate strong decision-making skills?

Demonstrate strong decision-making skills by providing examples of times you’ve used good decision-making skills. You can do this in your resume, cover letter , or during your interview.

Consumer Protection Financial Bureau – Financial Knowledge and Decision-Making Skills

Harvard Business School – 5 Key Decision-Making Techniques For Managers

UMass Dartmouth – Decision-Making Process

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Amanda is a writer with experience in various industries, including travel, real estate, and career advice. After taking on internships and entry-level jobs, she is familiar with the job search process and landing that crucial first job. Included in her experience is work at an employer/intern matching startup where she marketed an intern database to employers and supported college interns looking for work experience.

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The SkillsYouNeed Guide to Interpersonal Skills

Making decisions and solving problems are two key areas in life, whether you are at home or at work. Whatever you’re doing, and wherever you are, you are faced with countless decisions and problems, both small and large, every day.

Many decisions and problems are so small that we may not even notice them. Even small decisions, however, can be overwhelming to some people. They may come to a halt as they consider their dilemma and try to decide what to do.

Small and Large Decisions

In your day-to-day life you're likely to encounter numerous 'small decisions', including, for example:

Tea or coffee?

What shall I have in my sandwich? Or should I have a salad instead today?

What shall I wear today?

Larger decisions may occur less frequently but may include:

Should we repaint the kitchen? If so, what colour?

Should we relocate?

Should I propose to my partner? Do I really want to spend the rest of my life with him/her?

These decisions, and others like them, may take considerable time and effort to make.

The relationship between decision-making and problem-solving is complex. Decision-making is perhaps best thought of as a key part of problem-solving: one part of the overall process.

Our approach at Skills You Need is to set out a framework to help guide you through the decision-making process. You won’t always need to use the whole framework, or even use it at all, but you may find it useful if you are a bit ‘stuck’ and need something to help you make a difficult decision.

Decision Making

Effective Decision-Making

This page provides information about ways of making a decision, including basing it on logic or emotion (‘gut feeling’). It also explains what can stop you making an effective decision, including too much or too little information, and not really caring about the outcome.

A Decision-Making Framework

This page sets out one possible framework for decision-making.

The framework described is quite extensive, and may seem quite formal. But it is also a helpful process to run through in a briefer form, for smaller problems, as it will help you to make sure that you really do have all the information that you need.

Problem Solving

Introduction to Problem-Solving

This page provides a general introduction to the idea of problem-solving. It explores the idea of goals (things that you want to achieve) and barriers (things that may prevent you from achieving your goals), and explains the problem-solving process at a broad level.

The first stage in solving any problem is to identify it, and then break it down into its component parts. Even the biggest, most intractable-seeming problems, can become much more manageable if they are broken down into smaller parts. This page provides some advice about techniques you can use to do so.

Sometimes, the possible options to address your problem are obvious. At other times, you may need to involve others, or think more laterally to find alternatives. This page explains some principles, and some tools and techniques to help you do so.

Having generated solutions, you need to decide which one to take, which is where decision-making meets problem-solving. But once decided, there is another step: to deliver on your decision, and then see if your chosen solution works. This page helps you through this process.

‘Social’ problems are those that we encounter in everyday life, including money trouble, problems with other people, health problems and crime. These problems, like any others, are best solved using a framework to identify the problem, work out the options for addressing it, and then deciding which option to use.

This page provides more information about the key skills needed for practical problem-solving in real life.

Further Reading from Skills You Need

The Skills You Need Guide to Interpersonal Skills eBooks.

Develop your interpersonal skills with our series of eBooks. Learn about and improve your communication skills, tackle conflict resolution, mediate in difficult situations, and develop your emotional intelligence.

Guiding you through the key skills needed in life

As always at Skills You Need, our approach to these key skills is to provide practical ways to manage the process, and to develop your skills.

Neither problem-solving nor decision-making is an intrinsically difficult process and we hope you will find our pages useful in developing your skills.

Start with: Decision Making Problem Solving

See also: Improving Communication Interpersonal Communication Skills Building Confidence

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Essential decision-making skills to guide your tough choices

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What are decision-making skills?

Common decisions leaders must make at work, 6 types of decision-making skills, 5 tips for making better decisions, better decisions make better leaders.

Some decisions are more important than others. Choosing what to wear or how to have your eggs are pretty low-risk. But as you progress in your career and enter leadership positions, these decisions can have far-reaching consequences, so developing good decision-making skills is crucial.

Decision-making skills are essential for personal and career development . They keep you from making snap judgments while also preventing analysis paralysis. Assessing obstacles with a level head and a consistent framework will improve the outcomes of your choices and build trust between you and your team members .

Like all skill sets, decision making is a collection of habits and thought processes you practice and hone over time . Instead of simply trusting your gut , decision-making skills help you:

Analyze the available information

Recognize the viewpoints of others

Consider consequences

Explore alternatives

Assess the efficacy of your choice

Sometimes, the biggest roadblock in effective decision making is recognizing that you have a decision to make. People often assume a problem will go away on its own or that a big decision is someone else’s responsibility .

If you’re a leader in your workplace or hope to become one, it’s crucial to recognize the weight of your choices and exercise the appropriate types of decision-making skills. Decisive action sets clear goals for your team, cultivates an accountable workforce, and increases productivity and worker satisfaction — so your team’s set for success.

Leaders handle countless decisions that have ripple effects throughout the workplace. Even seemingly unrelated choices about finances, logistics, and employee morale can have widespread impacts on each other. That’s why careful decision making is crucial to developing effective management skills.

Here are some examples of decisions you may face as a leader in the workplace:

Choosing a new supplier

Selecting a candidate for a job position

Prioritizing new product ideas for launch

Creating action plans

Various skills and acquired habits drive the decision-making process, spanning a broad range of logical, emotional, and knowledge-driven practices. Honing these skills will improve your overall decision making, and highlighting them in your resume or on the job is an excellent way to prove you have management potential. Here are the primary skill types you need to be a decisive leader.

1. Problem-solving skills

This includes logical reasoning, critical thinking , and scientific literacy — all of which represent your ability to absorb and apply data to the task at hand. Exercising these skills helps you avoid anchoring bias : when you make snap judgments based on the first piece of information you receive.

In addition to aiding informed decision making, problem-solving skills are attractive to potential employers. A survey found that 87% of employers require problem-solving skills when evaluating new business school hires.

If you’re not sure how to hone this set of abilities, start by doing your research. Often, the first step to solving a problem is gathering the necessary information and context . Only then can you interpret data and draw connections between past experiences and your current situation to understand where and how you can improve.

2. Time management skills

Time management and decision making go hand-in-hand. The stress of urgent, high-pressure decisions can incite tunnel vision and binary thinking , and the resulting poor choices often lead to even more stressful scenarios.

On the other hand, scheduling and budgeting your time requires you to make many careful decisions, like how to prioritize your tasks . But doing so will improve your decision-making abilities in the future.

3. Creativity skills

If a decision stumps you, you might need to think outside the box . Creativity helps you ideate possible solutions beyond what’s most apparent. After you’ve done some brainstorming, problem-solving strategies can help you identify the most reasonable options.

If you want to improve your creativity, effective time management might come in handy here, too. Studies show that calm, low-intensity emotions aid in broadened thinking , whereas passionate, high-intensity emotions encourage a narrower scope of attention. Balancing the two is vital for effective decision-making.

4. Emotional intelligence skills

Since emotions significantly affect your thinking, you might consider them an obstacle to good decision making. But there’s significant evidence showing that emotions are not only helpful for making decisions — they’re vital. Emotions may assist the mind in compacting experiences and lines of reasoning into “gut reactions” that allow for split-second choices.

The key to interpreting these emotions into actionable ideas lies in your emotional intelligence . Rather than suppressing your feelings when faced with a tough choice, it’s often more beneficial to acknowledge them and practice emotional regulation skills to use them to your advantage.

5. Collaboration skills

No one person has all the answers — that’s where group decisions come into play. As a leader, your ability to facilitate communication and set common goals directly influences your team’s decision-making efficacy . Leadership skills such as active listening and constructive feedback encourage your team to share their ideas.

Delegation of authority is another key factor of collaboration. Delegation takes part of the workload off your plate, preventing you from developing decision fatigue that may impair your choices. It also shows your team that you trust them , leading to reduced stress, increased motivation, and greater job satisfaction .

6. Foresight and planning skills

It’s one thing to know where you’re going, it’s another to know how to get there. Planning and strategic foresight will ensure you and your team execute your decisions without a hitch. These skills are especially critical when building a future-minded organization .

To understand how you’ll reach success, you must plan a careful route, mapping potential outcomes and creating contingencies based on current trends .

Decision paralysis often occurs when you have too many options and don’t know how to predict their results. Foresight supports a rational decision model that lets you narrow down your options based on what’s likely to happen.

Foresight also helps you make intentional second-order decisions — the choices you make about when, where, and how to make a choice . With careful consideration, second-order decisions can minimize the cost of first-order judgments and reduce errors.

Responsibility brings with it countless choices. There’s no one-size-fits-all decision-making procedure that guarantees success, but some tactics consistently ease the process and improve outcomes. These simple tips will improve your decision-making skills, so you can feel confident in your choices. 

1. Take your time

Rushing adds unnecessary stress to the decision-making process. A study from Columbia University and the University of Pittsburgh found that participants who had even a fraction of a second longer to make a choice did so with significantly greater accuracy .

Instead of jumping into action, take your time to gather the necessary context before you start trying to think of solutions. That said, more time and info aren’t always better — we’ll discuss this in the next step.

2. Avoid analysis paralysis

It’s wise to seek out relevant information before making a decision, but too much input starts to muddy the waters. With access to a firehose of info online, people hesitate to make decisions because they feel anxious about missing essential details . At a certain point, you have to act.

You can take several steps to limit the scope of your considerations, such as setting a deadline, outlining strict research parameters, and breaking your decision into smaller logical steps.

3. Commit to your decisions (but don’t overcommit)

Once you’ve decided on a course of action, give it your all. Studies show that exercising control over a scenario improves confidence, motivation, and self-perceived performance . Conversely, lacking self-confidence can discourage you from putting in your best effort, which will doom even the wisest choice.

This doesn’t mean you should ignore adverse outcomes or continue to push when you’ve made a mistake. The sunk cost fallacy is a common cognitive bias where you continue to push for a failing course of action because you’re attached to the resources you’ve already spent.

When a project goes downhill, you must decide whether you should change tactics. Don’t let the fact that you used several resources and team member time and energy on one method sway you to continue down a clearly ill-advised path.

4. Weigh each option’s pros and cons

Once you’ve narrowed down the options, directly compare them with a weighted pros and cons matrix to find the best decision. This goes beyond a simple list by assigning more value to the benefits and drawbacks that matter most to your success.

You can determine the value of each factor by your personal goals , professional goals , or your team’s goals , as well as the magnitude of a predicted outcome’s impact.

5. Measure the results and learn from the outcomes

The right decisions aren’t made in a vacuum. Learning from your mistakes and successes is the best way to become a consistently good decision-maker. Before implementing your choices, create SMART goals with quantifiable metrics to objectively determine what worked and what didn’t.

Once you’ve learned from prior outcomes, each ensuing decision becomes easier. Famous thought leaders and business influencers often talk about making gut decisions, but years of experience and accumulated wisdom back their intuitions.

Being a leader means constantly looking for ways to improve. One of the best methods is evaluating past outcomes to inform future choices. With enough decisions under your belt, you’ll soon be a decisive expert.

If you’re wondering how to make better decisions , practice these decision-making skills and note your progress. If making a choice often overwhelms you, keep track of the decisions you make with ease. That way, you can celebrate your successes and motivate yourself to keep up the hard work.

Understand Yourself Better:

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Elizabeth Perry, ACC

Elizabeth Perry is a Coach Community Manager at BetterUp. She uses strategic engagement strategies to cultivate a learning community across a global network of Coaches through in-person and virtual experiences, technology-enabled platforms, and strategic coaching industry partnerships. With over 3 years of coaching experience and a certification in transformative leadership and life coaching from Sofia University, Elizabeth leverages transpersonal psychology expertise to help coaches and clients gain awareness of their behavioral and thought patterns, discover their purpose and passions, and elevate their potential. She is a lifelong student of psychology, personal growth, and human potential as well as an ICF-certified ACC transpersonal life and leadership Coach.

Democratic leadership style: How to make it work as a team

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How to Make Great Decisions, Quickly

• Martin G. Moore

It’s a skill that will set you apart.

As a new leader, learning to make good decisions without hesitation and procrastination is a capability that can set you apart from your peers. While others vacillate on tricky choices, your team could be hitting deadlines and producing the type of results that deliver true value. That’s something that will get you — and them — noticed. Here are a few of a great decision:

• Great decisions are shaped by consideration of many different viewpoints. This doesn’t mean you should seek out everyone’s opinion. The right people with the relevant expertise need to clearly articulate their views to help you broaden your perspective and make the best choice.
• Great decisions are made as close as possible to the action. Remember that the most powerful people at your company are rarely on the ground doing the hands-on work. Seek input and guidance from team members who are closest to the action.
• Great decisions address the root cause, not just the symptoms. Although you may need to urgently address the symptoms, once this is done you should always develop a plan to fix the root cause, or else the problem is likely to repeat itself.
• Great decisions balance short-term and long-term value. Finding the right balance between short-term and long-term risks and considerations is key to unlocking true value.
• Great decisions are timely. If you consider all of the elements listed above, then it’s simply a matter of addressing each one with a heightened sense of urgency.

Like many young leaders, early in my career, I thought a great decision was one that attracted widespread approval. When my colleagues smiled and nodded their collective heads, it reinforced (in my mind, at least) that I was an excellent decision maker.

• MM Martin G. Moore is the founder of Your CEO Mentor and author of No Bullsh!t Leadership and host of the No Bullsh!t Leadership podcast. His purpose is to improve the quality of leaders globally through practical, real world leadership content. For more information, please visit, www.martingmoore.com.

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How to build critical thinking skills for better decision-making

It’s simple in theory, but tougher in practice – here are five tips to get you started.

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Have you heard the riddle about two coins that equal thirty cents, but one of them is not a nickel? What about the one where a surgeon says they can’t operate on their own son?

Those brain teasers tap into your critical thinking skills. But your ability to think critically isn’t just helpful for solving those random puzzles – it plays a big role in your career. 

An impressive 81% of employers say critical thinking carries a lot of weight when they’re evaluating job candidates. It ranks as the top competency companies consider when hiring recent graduates (even ahead of communication ). Plus, once you’re hired, several studies show that critical thinking skills are highly correlated with better job performance.

So what exactly are critical thinking skills? And even more importantly, how do you build and improve them? 

What is critical thinking?

Critical thinking is the ability to evaluate facts and information, remain objective, and make a sound decision about how to move forward.

Does that sound like how you approach every decision or problem? Not so fast. Critical thinking seems simple in theory but is much tougher in practice, which helps explain why 65% of employers say their organization has a need for more critical thinking. 

In reality, critical thinking doesn’t come naturally to a lot of us. In order to do it well, you need to:

• Remain open-minded and inquisitive, rather than relying on assumptions or jumping to conclusions
• Ask questions and dig deep, rather than accepting information at face value
• Keep your own biases and perceptions in check to stay as objective as possible
• Rely on your emotional intelligence to fill in the blanks and gain a more well-rounded understanding of a situation

So, critical thinking isn’t just being intelligent or analytical. In many ways, it requires you to step outside of yourself, let go of your own preconceived notions, and approach a problem or situation with curiosity and fairness.

It’s a challenge, but it’s well worth it. Critical thinking skills will help you connect ideas, make reasonable decisions, and solve complex problems.

7 critical thinking skills to help you dig deeper

Critical thinking is often labeled as a skill itself (you’ll see it bulleted as a desired trait in a variety of job descriptions). But it’s better to think of critical thinking less as a distinct skill and more as a collection or category of skills. 

To think critically, you’ll need to tap into a bunch of your other soft skills. Here are seven of the most important. 

Open-mindedness

It’s important to kick off the critical thinking process with the idea that anything is possible. The more you’re able to set aside your own suspicions, beliefs, and agenda, the better prepared you are to approach the situation with the level of inquisitiveness you need. 

That means not closing yourself off to any possibilities and allowing yourself the space to pull on every thread – yes, even the ones that seem totally implausible.

As Christopher Dwyer, Ph.D. writes in a piece for Psychology Today , “Even if an idea appears foolish, sometimes its consideration can lead to an intelligent, critically considered conclusion.” He goes on to compare the critical thinking process to brainstorming . Sometimes the “bad” ideas are what lay the foundation for the good ones. 

Open-mindedness is challenging because it requires more effort and mental bandwidth than sticking with your own perceptions. Approaching problems or situations with true impartiality often means:

• Practicing self-regulation : Giving yourself a pause between when you feel something and when you actually react or take action.
• Challenging your own biases: Acknowledging your biases and seeking feedback are two powerful ways to get a broader understanding. 

Critical thinking example

In a team meeting, your boss mentioned that your company newsletter signups have been decreasing and she wants to figure out why.

At first, you feel offended and defensive – it feels like she’s blaming you for the dip in subscribers. You recognize and rationalize that emotion before thinking about potential causes. You have a hunch about what’s happening, but you will explore all possibilities and contributions from your team members.

Observation

Observation is, of course, your ability to notice and process the details all around you (even the subtle or seemingly inconsequential ones). Critical thinking demands that you’re flexible and willing to go beyond surface-level information, and solid observation skills help you do that.

Your observations help you pick up on clues from a variety of sources and experiences, all of which help you draw a final conclusion. After all, sometimes it’s the most minuscule realization that leads you to the strongest conclusion.

Over the next week or so, you keep a close eye on your company’s website and newsletter analytics to see if numbers are in fact declining or if your boss’s concerns were just a fluke. 

Critical thinking hinges on objectivity. And, to be objective, you need to base your judgments on the facts – which you collect through research. You’ll lean on your research skills to gather as much information as possible that’s relevant to your problem or situation. 

Keep in mind that this isn’t just about the quantity of information – quality matters too. You want to find data and details from a variety of trusted sources to drill past the surface and build a deeper understanding of what’s happening. 

You dig into your email and website analytics to identify trends in bounce rates, time on page, conversions, and more. You also review recent newsletters and email promotions to understand what customers have received, look through current customer feedback, and connect with your customer support team to learn what they’re hearing in their conversations with customers.

The critical thinking process is sort of like a treasure hunt – you’ll find some nuggets that are fundamental for your final conclusion and some that might be interesting but aren’t pertinent to the problem at hand.

That’s why you need analytical skills. They’re what help you separate the wheat from the chaff, prioritize information, identify trends or themes, and draw conclusions based on the most relevant and influential facts. 

It’s easy to confuse analytical thinking with critical thinking itself, and it’s true there is a lot of overlap between the two. But analytical thinking is just a piece of critical thinking. It focuses strictly on the facts and data, while critical thinking incorporates other factors like emotions, opinions, and experiences. 

As you analyze your research, you notice that one specific webpage has contributed to a significant decline in newsletter signups. While all of the other sources have stayed fairly steady with regard to conversions, that one has sharply decreased.

You decide to move on from your other hypotheses about newsletter quality and dig deeper into the analytics. 

One of the traps of critical thinking is that it’s easy to feel like you’re never done. There’s always more information you could collect and more rabbit holes you could fall down.

But at some point, you need to accept that you’ve done your due diligence and make a decision about how to move forward. That’s where inference comes in. It’s your ability to look at the evidence and facts available to you and draw an informed conclusion based on those. 

When you’re so focused on staying objective and pursuing all possibilities, inference can feel like the antithesis of critical thinking. But ultimately, it’s your inference skills that allow you to move out of the thinking process and onto the action steps. 

You dig deeper into the analytics for the page that hasn’t been converting and notice that the sharp drop-off happened around the same time you switched email providers.

After looking more into the backend, you realize that the signup form on that page isn’t correctly connected to your newsletter platform. It seems like anybody who has signed up on that page hasn’t been fed to your email list. 

Communication

3 ways to improve your communication skills at work

If and when you identify a solution or answer, you can’t keep it close to the vest. You’ll need to use your communication skills to share your findings with the relevant stakeholders – like your boss, team members, or anybody who needs to be involved in the next steps.

Your analysis skills will come in handy here too, as they’ll help you determine what information other people need to know so you can avoid bogging them down with unnecessary details. 

In your next team meeting, you pull up the analytics and show your team the sharp drop-off as well as the missing connection between that page and your email platform. You ask the web team to reinstall and double-check that connection and you also ask a member of the marketing team to draft an apology email to the subscribers who were missed. 

Problem-solving

Critical thinking and problem-solving are two more terms that are frequently confused. After all, when you think critically, you’re often doing so with the objective of solving a problem.

The best way to understand how problem-solving and critical thinking differ is to think of problem-solving as much more narrow. You’re focused on finding a solution.

In contrast, you can use critical thinking for a variety of use cases beyond solving a problem – like answering questions or identifying opportunities for improvement. Even so, within the critical thinking process, you’ll flex your problem-solving skills when it comes time to take action. 

Once the fix is implemented, you monitor the analytics to see if subscribers continue to increase. If not (or if they increase at a slower rate than you anticipated), you’ll roll out some other tests like changing the CTA language or the placement of the subscribe form on the page.

5 ways to improve your critical thinking skills

Beyond the buzzwords: Why interpersonal skills matter at work

Think critically about critical thinking and you’ll quickly realize that it’s not as instinctive as you’d like it to be. Fortunately, your critical thinking skills are learned competencies and not inherent gifts – and that means you can improve them. Here’s how:

• Practice active listening: Active listening helps you process and understand what other people share. That’s crucial as you aim to be open-minded and inquisitive.
• Ask open-ended questions: If your critical thinking process involves collecting feedback and opinions from others, ask open-ended questions (meaning, questions that can’t be answered with “yes” or “no”). Doing so will give you more valuable information and also prevent your own biases from influencing people’s input.
• Scrutinize your sources: Figuring out what to trust and prioritize is crucial for critical thinking. Boosting your media literacy and asking more questions will help you be more discerning about what to factor in. It’s hard to strike a balance between skepticism and open-mindedness, but approaching information with questions (rather than unquestioning trust) will help you draw better conclusions. 
• Play a game: Remember those riddles we mentioned at the beginning? As trivial as they might seem, games and exercises like those can help you boost your critical thinking skills. There are plenty of critical thinking exercises you can do individually or as a team . 
• Give yourself time: Research shows that rushed decisions are often regrettable ones. That’s likely because critical thinking takes time – you can’t do it under the wire. So, for big decisions or hairy problems, give yourself enough time and breathing room to work through the process. It’s hard enough to think critically without a countdown ticking in your brain. 

Critical thinking really is critical

The ability to think critically is important, but it doesn’t come naturally to most of us. It’s just easier to stick with biases, assumptions, and surface-level information. 

But that route often leads you to rash judgments, shaky conclusions, and disappointing decisions. So here’s a conclusion we can draw without any more noodling: Even if it is more demanding on your mental resources, critical thinking is well worth the effort.

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How to Develop Problem Solving Skills: 4 Tips

Written by MasterClass

Last updated: Jun 7, 2021 • 4 min read

Learning problem-solving techniques is a must for working professionals in any field. No matter your title or job description, the ability to find the root cause of a difficult problem and formulate viable solutions is a skill that employers value. Learning the soft skills and critical thinking techniques that good problem solvers use can help anyone overcome complex problems.

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Why Problem-Solving Skills Are Essential for Leaders in Any Industry

• 17 Jan 2023

Any organization offering a product or service is in the business of solving problems.

Whether providing medical care to address health issues or quick convenience to those hungry for dinner, a business’s purpose is to satisfy customer needs .

In addition to solving customers’ problems, you’ll undoubtedly encounter challenges within your organization as it evolves to meet customer needs. You’re likely to experience growing pains in the form of missed targets, unattained goals, and team disagreements.

Yet, the ubiquity of problems doesn’t have to be discouraging; with the right frameworks and tools, you can build the skills to solve consumers' and your organization’s most challenging issues.

Here’s a primer on problem-solving in business, why it’s important, the skills you need, and how to build them.

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What Is Problem-Solving in Business?

Problem-solving is the process of systematically removing barriers that prevent you or others from reaching goals.

Your business removes obstacles in customers’ lives through its products or services, just as you can remove obstacles that keep your team from achieving business goals.

Design Thinking

Design thinking , as described by Harvard Business School Dean Srikant Datar in the online course Design Thinking and Innovation , is a human-centered , solutions-based approach to problem-solving and innovation. Originally created for product design, design thinking’s use case has evolved . It’s now used to solve internal business problems, too.

The design thinking process has four stages :

• Clarify: Clarify a problem through research and feedback from those impacted.
• Ideate: Armed with new insights, generate as many solutions as possible.
• Develop: Combine and cull your ideas into a short list of viable, feasible, and desirable options before building prototypes (if making physical products) and creating a plan of action (if solving an intangible problem).
• Implement: Execute the strongest idea, ensuring clear communication with all stakeholders about its potential value and deliberate reasoning.

Using this framework, you can generate innovative ideas that wouldn’t have surfaced otherwise.

Creative Problem-Solving

Another, less structured approach to challenges is creative problem-solving , which employs a series of exercises to explore open-ended solutions and develop new perspectives. This is especially useful when a problem’s root cause has yet to be defined.

You can use creative problem-solving tools in design thinking’s “ideate” stage, which include:

• Brainstorming: Instruct everyone to develop as many ideas as possible in an allotted time frame without passing judgment.
• Divergent thinking exercises: Rather than arriving at the same conclusion (convergent thinking), instruct everyone to come up with a unique idea for a given prompt (divergent thinking). This type of exercise helps avoid the tendency to agree with others’ ideas without considering alternatives.
• Alternate worlds: Ask your team to consider how various personas would manage the problem. For instance, how would a pilot approach it? What about a young child? What about a seasoned engineer?

It can be tempting to fall back on how problems have been solved before, especially if they worked well. However, if you’re striving for innovation, relying on existing systems can stunt your company’s growth.

Related: How to Be a More Creative Problem-Solver at Work: 8 Tips

Why Is Problem-Solving Important for Leaders?

While obstacles’ specifics vary between industries, strong problem-solving skills are crucial for leaders in any field.

Whether building a new product or dealing with internal issues, you’re bound to come up against challenges. Having frameworks and tools at your disposal when they arise can turn issues into opportunities.

As a leader, it’s rarely your responsibility to solve a problem single-handedly, so it’s crucial to know how to empower employees to work together to find the best solution.

Your job is to guide them through each step of the framework and set the parameters and prompts within which they can be creative. Then, you can develop a list of ideas together, test the best ones, and implement the chosen solution.

Related: 5 Design Thinking Skills for Business Professionals

4 Problem-Solving Skills All Leaders Need

1. problem framing.

One key skill for any leader is framing problems in a way that makes sense for their organization. Problem framing is defined in Design Thinking and Innovation as determining the scope, context, and perspective of the problem you’re trying to solve.

“Before you begin to generate solutions for your problem, you must always think hard about how you’re going to frame that problem,” Datar says in the course.

For instance, imagine you work for a company that sells children’s sneakers, and sales have plummeted. When framing the problem, consider:

• What is the children’s sneaker market like right now?
• Should we improve the quality of our sneakers?
• Should we assess all children’s footwear?
• Is this a marketing issue for children’s sneakers specifically?
• Is this a bigger issue that impacts how we should market or produce all footwear?

While there’s no one right way to frame a problem, how you do can impact the solutions you generate. It’s imperative to accurately frame problems to align with organizational priorities and ensure your team generates useful ideas for your firm.

To solve a problem, you need to empathize with those impacted by it. Empathy is the ability to understand others’ emotions and experiences. While many believe empathy is a fixed trait, it’s a skill you can strengthen through practice.

When confronted with a problem, consider whom it impacts. Returning to the children’s sneaker example, think of who’s affected:

• Your organization’s employees, because sales are down
• The customers who typically buy your sneakers
• The children who typically wear your sneakers

Empathy is required to get to the problem’s root and consider each group’s perspective. Assuming someone’s perspective often isn’t accurate, so the best way to get that information is by collecting user feedback.

For instance, if you asked customers who typically buy your children’s sneakers why they’ve stopped, they could say, “A new brand of children’s sneakers came onto the market that have soles with more traction. I want my child to be as safe as possible, so I bought those instead.”

When someone shares their feelings and experiences, you have an opportunity to empathize with them. This can yield solutions to their problem that directly address its root and shows you care. In this case, you may design a new line of children’s sneakers with extremely grippy soles for added safety, knowing that’s what your customers care most about.

Related: 3 Effective Methods for Assessing Customer Needs

3. Breaking Cognitive Fixedness

Cognitive fixedness is a state of mind in which you examine situations through the lens of past experiences. This locks you into one mindset rather than allowing you to consider alternative possibilities.

For instance, your cognitive fixedness may make you think rubber is the only material for sneaker treads. What else could you use? Is there a grippier alternative you haven’t considered?

Problem-solving is all about overcoming cognitive fixedness. You not only need to foster this skill in yourself but among your team.

4. Creating a Psychologically Safe Environment

As a leader, it’s your job to create an environment conducive to problem-solving. In a psychologically safe environment, all team members feel comfortable bringing ideas to the table, which are likely influenced by their personal opinions and experiences.

If employees are penalized for “bad” ideas or chastised for questioning long-held procedures and systems, innovation has no place to take root.

By employing the design thinking framework and creative problem-solving exercises, you can foster a setting in which your team feels comfortable sharing ideas and new, innovative solutions can grow.

How to Build Problem-Solving Skills

The most obvious answer to how to build your problem-solving skills is perhaps the most intimidating: You must practice.

Again and again, you’ll encounter challenges, use creative problem-solving tools and design thinking frameworks, and assess results to learn what to do differently next time.

While most of your practice will occur within your organization, you can learn in a lower-stakes setting by taking an online course, such as Design Thinking and Innovation . Datar guides you through each tool and framework, presenting real-world business examples to help you envision how you would approach the same types of problems in your organization.

Are you interested in uncovering innovative solutions for your organization’s business problems? Explore Design Thinking and Innovation —one of our online entrepreneurship and innovation courses —to learn how to leverage proven frameworks and tools to solve challenges. Not sure which course is right for you? Download our free flowchart .

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Problem Solving And Decision Making: 10 Hacks That Managers Love

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• Improved efficiency and productivity: Employees with strong problem solving and decision making skills are better equipped to identify and solve issues that may arise in their work. This leads to improved efficiency and productivity as they can complete their work more timely and effectively.
• Improved customer satisfaction: Problem solving and decision making skills also help employees address any concerns or issues customers may have. This leads to enhanced customer satisfaction as customers feel their needs are being addressed and their problems are resolved.
• Effective teamwork: When working in teams, problem solving and decision making skills are essential for effective collaboration . Groups that can effectively identify and solve problems together are more likely to successfully achieve their goals.
• Innovation: Effective problem-solving and decision-making skills are also crucial for driving innovation in the workplace. Employees who think creatively and develop new solutions to problems are more likely to develop innovative ideas to move the business forward.
• Risk management: Problem solving and decision making skills are also crucial for managing risk in the workplace. By identifying potential risks and developing strategies to mitigate them, employees can help minimize the negative impact of risks on the business.

• Brainstorming: Brainstorming is a technique for generating creative ideas and solutions to problems. In a brainstorming session, a group of people share their thoughts and build on each other’s suggestions. The goal is to generate a large number of ideas in a short amount of time. For example, a team of engineers could use brainstorming to develop new ideas for improving the efficiency of a manufacturing process.
• Root Cause Analysis: Root cause analysis is a technique for identifying the underlying cause of a problem. It involves asking “why” questions to uncover the root cause of the problem. Once the root cause is identified, steps can be taken to address it. For example, a hospital could use root cause analysis to investigate why patient falls occur and identify the root cause, such as inadequate staffing or poor lighting.
• SWOT Analysis: SWOT analysis is a technique for evaluating the strengths, weaknesses, opportunities, and threats related to a problem or situation. It involves assessing internal and external factors that could impact the problem and identifying ways to leverage strengths and opportunities while minimizing weaknesses and threats. For example, a small business could use SWOT analysis to evaluate its market position and identify opportunities to expand its product line or improve its marketing.
• Pareto Analysis: Pareto analysis is a technique for identifying the most critical problems to address. It involves ranking problems by impact and frequency and first focusing on the most significant issues. For example, a software development team could use Pareto analysis to prioritize bugs and issues to fix based on their impact on the user experience.
• Decision Matrix Analysis: Decision matrix analysis evaluates alternatives and selects the best course of action. It involves creating a matrix to compare options based on criteria and weighting factors and selecting the option with the highest score. For example, a manager could use decision matrix analysis to evaluate different software vendors based on criteria such as price, features, and support and select the vendor with the best overall score.

• Cost-Benefit Analysis: Cost-benefit analysis is a technique for evaluating the costs and benefits of different options. It involves comparing each option’s expected costs and benefits and selecting the one with the highest net benefit. For example, a company could use cost-benefit analysis to evaluate a new product line’s potential return on investment.
• Decision Trees: Decision trees are a visual representation of the decision-making process. They involve mapping out different options and their potential outcomes and probabilities. This helps to identify the best course of action based on the likelihood of different outcomes. For example, a farmer could use a decision tree to choose crops to plant based on the expected weather patterns.
• SWOT Analysis: SWOT analysis can also be used for decision making. By identifying the strengths, weaknesses, opportunities, and threats of different options, a decision maker can evaluate each option’s potential risks and benefits. For example, a business owner could use SWOT analysis to assess the potential risks and benefits of expanding into a new market.
• Pros and Cons Analysis: Pros and cons analysis lists the advantages and disadvantages of different options. It involves weighing the pros and cons of each option to determine the best course of action. For example, an individual could use a pros and cons analysis to decide whether to take a job offer.
• Six Thinking Hats: The six thinking hats technique is a way to think about a problem from different perspectives. It involves using six different “hats” to consider various aspects of the decision. The hats include white (facts and figures), red (emotions and feelings), black (risks and drawbacks), yellow (benefits and opportunities), green (creativity and new ideas), and blue (overview and control). For example, a team could use the six thinking hats technique to evaluate different options for a marketing campaign.

Aastha Bensla

Aastha, a passionate industrial psychologist, writer, and counselor, brings her unique expertise to Risely. With specialized knowledge in industrial psychology, Aastha offers a fresh perspective on personal and professional development. Her broad experience as an industrial psychologist enables her to accurately understand and solve problems for managers and leaders with an empathetic approach.

How strong are your decision making skills?

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How are problem solving and decision making related?

What is a good example of decision-making, what are the steps in problem-solving and decision-making.

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Problem solving and decision making

 "This has shown increasing demand as employers are acknowledging that graduates are expected to think for themselves and perhaps find different ways of working and thinking creatively"

Carl Gilleard, Former Chief Executive, Association of Graduate Recruiters

How to be an effective problem solver

We all use our initiative and creativity to solve problems every day. For example, you might have to change your route due to traffic congestion, solve an IT issue, or work out what to make for dinner with the ingredients left in the fridge. The challenges you may face in your professional career are likely to be a bit more complicated than these examples, however the skills and processes you use to come up with solutions are largely the same, as they rely on your ability to analyse a situation and decide on a course of action.

Problem solving and decision making  are likely to be essential aspects of a graduate-level job, so it is important to show a recruiter that you have the personal resilience and the right skills to see problems as challenges, make the right choices and learn and develop from your experiences.

You are likely to have to apply techniques of problem solving on a daily basis in a range of working situations, for example:

• using your degree subject knowledge to resolve technical or practical issues
• diagnosing and rectifying obstacles relating to processes or systems
• thinking of new or different ways of doing your job
• dealing with emergencies involving systems or people.

Developing critical thinking & problem solving

You may have to use a logical, methodical approach in some circumstances, or be prepared to use creativity or lateral thinking in others; you will need to be able to draw on your academic or subject knowledge to identify solutions of a practical or technical nature; you will need to use other skills such as communication and planning and organising to influence change.

Whatever issue you are faced with, some steps are fundamental:

I - Identify the problem

D - Define the problem

E - Examine alternatives

A - Act on a plan

L - Look at the consequences

This is the  IDEAL  model of problem-solving. There are other, more complex methods, but the steps are broadly similar.

What do recruiters want?

Problem solving, decision making and initiative can be asked for in a variety of ways. Many adverts will simply ask for candidates who can “ take the initiative to get a job done " or " have the ability to resolve problems "; others, however, may not make it so obvious. Phrases such as those below also indicate that initiative and problem solving are key requirements of the role:

• “We need people who can set goals and surpass them; people who have ideas, flexibility, imagination and resilience…”
• “Take responsibility and like to use their initiative; Have the confidence and the credibility to challenge and come up with new ways of working…”
•  “An enquiring mind and the ability to understand and solve complex challenges are necessary…”
• “We are looking for fresh, innovative minds and creative spirits...”
• “Ambitious graduates who can respond with pace and energy to every issue they face…”

These quotations are all taken from graduate job adverts and they are all asking for more or less the same two things:

• The ability to use your own initiative, to think for yourself, to be creative and pro-active.
• The ability to resolve problems, to think logically or laterally, to use ingenuity to overcome difficulties and to research and implement solutions.

These are important skills which recruiters look for. They want staff who will take the personal responsibility to make sure targets are met; who can see that there might be a better way of doing something and are prepared to research and implement change; who react positively, not negatively, when things go wrong.

Gaining and developing problem solving and decision making skills

Below are some examples of how you may already have gained decision making and problem solving skills at the University of Bradford and beyond. There may also be some useful suggestions here if you are looking to develop your skills further:

• dissertation - researching and analysing a specific issue and providing recommendations
• group projects  - overcoming challenges e.g. a change of circumstances, technical problems, etc.
• part-time jobs, internships and work experience*  - dealing with challenging customers, identifying and solving issues in your role, completing projects, etc.
• organising events - deciding on date, venue, marketing; solving logistical issues, etc.
• travel -  organising trips, planning and reacting to change, etc.
• enter competitions - to   provide a solution to a challenge.

*Using your initiative in a work context is about spotting opportunities to develop the business. This can, for example, include learning new technology to make your work more productive and efficient; being willing to look at processes and systems to see if there are things you can suggest to improve workflow; recognising opportunities that will improve the business and being prepared to follow them through; volunteering to learn new tasks so you can be adaptable and help out in emergencies or at peak periods.

How can you prove to a recruiter that you have these skills?

Think of examples of when you have used these skills. See the above section for suggestions, and then to provide a full and satisfying answer you can structure it using the STAR technique:

• S - Define the Situation
• T - Identify the Task
• A - Describe your Action
• R - Explain the Result

Here is a detailed example:

Define the SITUATION:  (where were you? what was your role? what was the context?) 

I work shifts at a call centre which manages orders for several online companies. One evening I had to deal with a very irate customer who had been promised a delivery a week ago and had still not received it. 

Identify the TASK:  (what was the problem? what was your aim? what had to be achieved?) 

Whilst listening to the customer, I accessed his record. This was no help in solving the problem as it simply reiterated what the customer was saying and did not give any more up-to-date information. I promised the customer that I would do my best to help but I would need to do some research and phone him back. He reluctantly accepted this.

Describe the ACTION you took:  (be clear about what you did) 

I could not check with the office as they were closed and my supervisor had already left for the evening, so I searched for the same product code to see if I could find updated information on other records.  This confirmed that the product was now back in stock and that several deliveries were actually scheduled for the following day. There seemed to have been an error which had resulted in my customer’s record not being updated, so I reserved the item for this customer and then persuaded the Logistics Manager to include him in the schedule.

Highlight the RESULT you achieved:  (what was the outcome? Be specific and, if possible, quantify the benefits)

My shift was over but I telephoned him back and explained what I had done and hoped very much that it was convenient for him to accept delivery the following day. He was delighted with the initiative I had taken and thanked me. Two days later my supervisor told me that I had received excellent feedback from a customer and I would be nominated for Employee of the Month.

To use the STAR technique effectively, remember:

• You are the STAR of the story, so focus on your own actions.
• Tell a story and capture the interest of the reader. Include relevant details but don’t waffle.
• Move from the situation, to the task, to your actions, and finally to the result with a consistent, conversational approach.

A detailed statement like this can be used in online applications, or used at interview. It is also easy to adapt it for use in your CV, for example:

• My work experience at the call centre required me to develop good problem solving skills when dealing with difficult customers with stock and delivery issues.
• I have good customer service skills developed through resolving problems relating to stock and deliveries whilst working for a call centre.

Adapting your examples

The example above, for instance, could easily be altered to prove your  communication skills , show that you can  adapt and be flexible , and that you have great  customer service skills .  It is worthwhile spending time writing statements like this about all your experiences and then adapting them to match each recruiters’ specific requirements.

Related key words / skills

•  Leadership
• Analytical and logical thinking
• Recommending
• Creative thinking
•  Adaptability and flexibility
• Time management
• Researching
• Applying knowledge

Practical help

We run regular  workshops on employability skills , and you can book an appointment with one of our advisers to discuss how to improve your employability in relation to your career choices.

Further reading

More articles:

• Problem Solving defined on Skills You Need
• Mind Tools on Problem Solving Techniques
• Problem solving: the mark of an independent employee (via TARGETjobs)
• Problem Solving and Decision Making processes via businessballs.com

You can also check out our Assessement Centre and Psychometric Tests pages for details of the problem-solving exercises recruiters use in their selection processes.

Other relevant websites with general information on skills are:

• Prospects  – features articles on skills and how to evidence them.
• TARGETjobs  – has details on essential skills and competencies.

More From Forbes

Tips and techniques for problem-solving and decision-making.

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Divya Parekh , of The DP Group, covers business growth, storytelling, high-impact performance and authority building.

Are you struggling to find effective solutions to problems you face in your professional or entrepreneurial ventures? Are you often indecisive when faced with complex decisions?

The ability to solve problems and make decisions quickly and effectively can mean the difference between success and failure. There are two main approaches to problem-solving and decision-making: vertical thinking and horizontal thinking. Both approaches have strengths and weaknesses, so understanding the differences between them can help you apply the right method at the right time.

Let's look at a few case studies to understand the very different benefits of these two approaches.

Vertical Thinking For Decision-Making

First, let's take Jane, the CFO of a financial services company. She needs to decide whether to invest in a new company software system.

Jane gathers all the relevant data about the software system and analyzes it thoroughly. She compares the cost of the system to the potential benefits, evaluates the risks involved and consults with subject matter experts. After careful consideration, she decides the benefits outweigh the costs and risks, and the company should invest in the software system.

This is vertical thinking: making a well-informed decision based on a thorough analysis of the data. Vertical thinking is especially useful in situations where there is a clear goal and a need for a precise, data-driven approach. Experts often use it in fields like finance, where decisions depend heavily on facts and figures.

Horizontal Thinking For Problem-Solving

Let's move on to Sophie, the head of marketing for a fashion company. The company has been struggling to attract new customers.

Sophie sets up a brainstorming meeting with different department heads. They come up with a variety of creative solutions based on their diverse perspectives. One idea that stands out is to partner with a popular social media influencer to promote the company's products. The team works together to develop a plan to reach out to the influencer and negotiate a partnership.

This is horizontal thinking: working with a team to generate a variety of ideas and consider different perspectives to find an innovative solution. Horizontal thinking is a great approach for problem-solving when the problem is complex and there may be multiple solutions or approaches. Creative professionals, especially in marketing, advertising and designing, highly value this approach.

How Emotions Affect These Approaches

Over several years of coaching, I've noticed that emotions can play a significant role in problem-solving and decision-making, regardless of the thinking style used.

For instance, when using vertical thinking, emotions such as frustration and impatience can arise when a person or team has been working on a problem for an extended period with no clear solution. Conversely, when a team lands on a solution, there can be a sense of relief and accomplishment.

Similarly, when using horizontal thinking, emotions such as excitement and optimism can arise during a brainstorming session when new and creative ideas are being generated. However, disappointment or frustration can also arise when an idea fails to work.

It's important to recognize and acknowledge these emotions as they can affect team dynamics and ultimately, the success of the problem-solving process. I encourage leaders to create a safe and supportive environment where team members feel comfortable expressing their emotions and concerns.

Make These Thinking Styles Work For You

In my experience, a personalized approach that balances both vertical and horizontal thinking can help manage emotions and any other issues that arise effectively. By using vertical thinking to identify specific problems and solutions, and horizontal thinking to generate creative ideas, you can create a problem-solving process that encourages collaboration, creativity and innovation while minimizing negative emotions.

Are you ready to take your problem-solving and decision-making skills to the next level?

Forbes Coaches Council is an invitation-only community for leading business and career coaches. Do I qualify?

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26 Expert-Backed Problem Solving Examples – Interview Answers

Published: February 13, 2023

Interview Questions and Answers

Actionable advice from real experts:

Biron Clark

Former Recruiter

Contributor

Dr. Kyle Elliott

Career Coach

Hayley Jukes

Editor-in-Chief

Biron Clark , Former Recruiter

Kyle Elliott , Career Coach

Hayley Jukes , Editor

As a recruiter , I know employers like to hire people who can solve problems and work well under pressure.

 A job rarely goes 100% according to plan, so hiring managers are more likely to hire you if you seem like you can handle unexpected challenges while staying calm and logical.

But how do they measure this?

Hiring managers will ask you interview questions about your problem-solving skills, and they might also look for examples of problem-solving on your resume and cover letter. 

In this article, I’m going to share a list of problem-solving examples and sample interview answers to questions like, “Give an example of a time you used logic to solve a problem?” and “Describe a time when you had to solve a problem without managerial input. How did you handle it, and what was the result?”

• Problem-solving involves identifying, prioritizing, analyzing, and solving problems using a variety of skills like critical thinking, creativity, decision making, and communication.
• Describe the Situation, Task, Action, and Result ( STAR method ) when discussing your problem-solving experiences.
• Tailor your interview answer with the specific skills and qualifications outlined in the job description.
• Provide numerical data or metrics to demonstrate the tangible impact of your problem-solving efforts.

What are Problem Solving Skills? 

Problem-solving is the ability to identify a problem, prioritize based on gravity and urgency, analyze the root cause, gather relevant information, develop and evaluate viable solutions, decide on the most effective and logical solution, and plan and execute implementation. 

Problem-solving encompasses other skills that can be showcased in an interview response and your resume. Problem-solving skills examples include:

• Critical thinking
• Analytical skills
• Decision making
• Research skills
• Technical skills
• Communication skills
• Adaptability and flexibility

Why is Problem Solving Important in the Workplace?

Problem-solving is essential in the workplace because it directly impacts productivity and efficiency. Whenever you encounter a problem, tackling it head-on prevents minor issues from escalating into bigger ones that could disrupt the entire workflow. 

Beyond maintaining smooth operations, your ability to solve problems fosters innovation. It encourages you to think creatively, finding better ways to achieve goals, which keeps the business competitive and pushes the boundaries of what you can achieve. 

Effective problem-solving also contributes to a healthier work environment; it reduces stress by providing clear strategies for overcoming obstacles and builds confidence within teams. 

Examples of Problem-Solving in the Workplace

• Correcting a mistake at work, whether it was made by you or someone else
• Overcoming a delay at work through problem solving and communication
• Resolving an issue with a difficult or upset customer
• Overcoming issues related to a limited budget, and still delivering good work through the use of creative problem solving
• Overcoming a scheduling/staffing shortage in the department to still deliver excellent work
• Troubleshooting and resolving technical issues
• Handling and resolving a conflict with a coworker
• Solving any problems related to money, customer billing, accounting and bookkeeping, etc.
• Taking initiative when another team member overlooked or missed something important
• Taking initiative to meet with your superior to discuss a problem before it became potentially worse
• Solving a safety issue at work or reporting the issue to those who could solve it
• Using problem solving abilities to reduce/eliminate a company expense
• Finding a way to make the company more profitable through new service or product offerings, new pricing ideas, promotion and sale ideas, etc.
• Changing how a process, team, or task is organized to make it more efficient
• Using creative thinking to come up with a solution that the company hasn’t used before
• Performing research to collect data and information to find a new solution to a problem
• Boosting a company or team’s performance by improving some aspect of communication among employees
• Finding a new piece of data that can guide a company’s decisions or strategy better in a certain area

Problem-Solving Examples for Recent Grads/Entry-Level Job Seekers

• Coordinating work between team members in a class project
• Reassigning a missing team member’s work to other group members in a class project
• Adjusting your workflow on a project to accommodate a tight deadline
• Speaking to your professor to get help when you were struggling or unsure about a project
• Asking classmates, peers, or professors for help in an area of struggle
• Talking to your academic advisor to brainstorm solutions to a problem you were facing
• Researching solutions to an academic problem online, via Google or other methods
• Using problem solving and creative thinking to obtain an internship or other work opportunity during school after struggling at first

How To Answer “Tell Us About a Problem You Solved”

When you answer interview questions about problem-solving scenarios, or if you decide to demonstrate your problem-solving skills in a cover letter (which is a good idea any time the job description mentions problem-solving as a necessary skill), I recommend using the STAR method.

STAR stands for:

It’s a simple way of walking the listener or reader through the story in a way that will make sense to them. 

Start by briefly describing the general situation and the task at hand. After this, describe the course of action you chose and why. Ideally, show that you evaluated all the information you could given the time you had, and made a decision based on logic and fact. Finally, describe the positive result you achieved.

Note: Our sample answers below are structured following the STAR formula. Be sure to check them out!

EXPERT ADVICE

Dr. Kyle Elliott , MPA, CHES Tech & Interview Career Coach caffeinatedkyle.com

How can I communicate complex problem-solving experiences clearly and succinctly?

Before answering any interview question, it’s important to understand why the interviewer is asking the question in the first place.

When it comes to questions about your complex problem-solving experiences, for example, the interviewer likely wants to know about your leadership acumen, collaboration abilities, and communication skills, not the problem itself.

Therefore, your answer should be focused on highlighting how you excelled in each of these areas, not diving into the weeds of the problem itself, which is a common mistake less-experienced interviewees often make.

Tailoring Your Answer Based on the Skills Mentioned in the Job Description

As a recruiter, one of the top tips I can give you when responding to the prompt “Tell us about a problem you solved,” is to tailor your answer to the specific skills and qualifications outlined in the job description. 

Once you’ve pinpointed the skills and key competencies the employer is seeking, craft your response to highlight experiences where you successfully utilized or developed those particular abilities. 

For instance, if the job requires strong leadership skills, focus on a problem-solving scenario where you took charge and effectively guided a team toward resolution. 

By aligning your answer with the desired skills outlined in the job description, you demonstrate your suitability for the role and show the employer that you understand their needs.

Amanda Augustine expands on this by saying:

“Showcase the specific skills you used to solve the problem. Did it require critical thinking, analytical abilities, or strong collaboration? Highlight the relevant skills the employer is seeking.”  

Interview Answers to “Tell Me About a Time You Solved a Problem”

Now, let’s look at some sample interview answers to, “Give me an example of a time you used logic to solve a problem,” or “Tell me about a time you solved a problem,” since you’re likely to hear different versions of this interview question in all sorts of industries.

The example interview responses are structured using the STAR method and are categorized into the top 5 key problem-solving skills recruiters look for in a candidate.

1. Analytical Thinking

Situation: In my previous role as a data analyst , our team encountered a significant drop in website traffic.

Task: I was tasked with identifying the root cause of the decrease.

Action: I conducted a thorough analysis of website metrics, including traffic sources, user demographics, and page performance. Through my analysis, I discovered a technical issue with our website’s loading speed, causing users to bounce. 

Result: By optimizing server response time, compressing images, and minimizing redirects, we saw a 20% increase in traffic within two weeks.

2. Critical Thinking

Situation: During a project deadline crunch, our team encountered a major technical issue that threatened to derail our progress.

Task: My task was to assess the situation and devise a solution quickly.

Action: I immediately convened a meeting with the team to brainstorm potential solutions. Instead of panicking, I encouraged everyone to think outside the box and consider unconventional approaches. We analyzed the problem from different angles and weighed the pros and cons of each solution.

Result: By devising a workaround solution, we were able to meet the project deadline, avoiding potential delays that could have cost the company $100,000 in penalties for missing contractual obligations.

3. Decision Making

Situation: As a project manager , I was faced with a dilemma when two key team members had conflicting opinions on the project direction.

Task: My task was to make a decisive choice that would align with the project goals and maintain team cohesion.

Action: I scheduled a meeting with both team members to understand their perspectives in detail. I listened actively, asked probing questions, and encouraged open dialogue. After carefully weighing the pros and cons of each approach, I made a decision that incorporated elements from both viewpoints.

Result: The decision I made not only resolved the immediate conflict but also led to a stronger sense of collaboration within the team. By valuing input from all team members and making a well-informed decision, we were able to achieve our project objectives efficiently.

4. Communication (Teamwork)

Situation: During a cross-functional project, miscommunication between departments was causing delays and misunderstandings.

Task: My task was to improve communication channels and foster better teamwork among team members.

Action: I initiated regular cross-departmental meetings to ensure that everyone was on the same page regarding project goals and timelines. I also implemented a centralized communication platform where team members could share updates, ask questions, and collaborate more effectively.

Result: Streamlining workflows and improving communication channels led to a 30% reduction in project completion time, saving the company $25,000 in operational costs.

5. Persistence 

Situation: During a challenging sales quarter, I encountered numerous rejections and setbacks while trying to close a major client deal.

Task: My task was to persistently pursue the client and overcome obstacles to secure the deal.

Action: I maintained regular communication with the client, addressing their concerns and demonstrating the value proposition of our product. Despite facing multiple rejections, I remained persistent and resilient, adjusting my approach based on feedback and market dynamics.

Result: After months of perseverance, I successfully closed the deal with the client. By closing the major client deal, I exceeded quarterly sales targets by 25%, resulting in a revenue increase of $250,000 for the company.

Tips to Improve Your Problem-Solving Skills

Throughout your career, being able to showcase and effectively communicate your problem-solving skills gives you more leverage in achieving better jobs and earning more money .

So to improve your problem-solving skills, I recommend always analyzing a problem and situation before acting.

 When discussing problem-solving with employers, you never want to sound like you rush or make impulsive decisions. They want to see fact-based or data-based decisions when you solve problems.

Don’t just say you’re good at solving problems. Show it with specifics. How much did you boost efficiency? Did you save the company money? Adding numbers can really make your achievements stand out.

To get better at solving problems, analyze the outcomes of past solutions you came up with. You can recognize what works and what doesn’t.

Think about how you can improve researching and analyzing a situation, how you can get better at communicating, and deciding on the right people in the organization to talk to and “pull in” to help you if needed, etc.

Finally, practice staying calm even in stressful situations. Take a few minutes to walk outside if needed. Step away from your phone and computer to clear your head. A work problem is rarely so urgent that you cannot take five minutes to think (with the possible exception of safety problems), and you’ll get better outcomes if you solve problems by acting logically instead of rushing to react in a panic.

You can use all of the ideas above to describe your problem-solving skills when asked interview questions about the topic. If you say that you do the things above, employers will be impressed when they assess your problem-solving ability.

More Interview Resources

• 3 Answers to “How Do You Handle Stress?”
• How to Answer “How Do You Handle Conflict?” (Interview Question)
• Sample Answers to “Tell Me About a Time You Failed”

About the Author

Biron Clark is a former executive recruiter who has worked individually with hundreds of job seekers, reviewed thousands of resumes and LinkedIn profiles, and recruited for top venture-backed startups and Fortune 500 companies. He has been advising job seekers since 2012 to think differently in their job search and land high-paying, competitive positions. Follow on Twitter and LinkedIn .

Read more articles by Biron Clark

About the Contributor

Kyle Elliott , career coach and mental health advocate, transforms his side hustle into a notable practice, aiding Silicon Valley professionals in maximizing potential. Follow Kyle on LinkedIn .

About the Editor

Hayley Jukes is the Editor-in-Chief at CareerSidekick with five years of experience creating engaging articles, books, and transcripts for diverse platforms and audiences.

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