Originally published on vcpost.com
When it comes to entrepreneurs, there is no one size fits all. That's the beauty of business. Each venture is as unique as the person behind the curtain pulling the levers. Nonetheless, those struck with an entrepreneurial spirit do have on thing in common: autonomy. Entrepreneurs want to be the boss and guide their organization to success. As a result, employees and customers alike look towards the chief for leadership. For a few, the swift decision making required for the top job comes naturally, while others generate confidence over time with experience. Either way, business owners encounter difficult choices on a daily basis and must be prepared to lead or suffer the consequences.
Adam Ferrari first gained expertise in the energy sector as a petroleum engineer and later pivoted to launching his own business, Ferrari Energy, from the ground up. Both poised exceptional challenges and influenced his approach to decision making, especially the latter.
1. Research the Facts
As a company grows, it becomes more challenging to maintain a bird's eye view on all the nuts and bolts, but this isn't an excuse to remain ignorant. Instead, devise a structure that keeps you well informed of your company's inner workings, its strong suits, and, more importantly, its weaknesses. No organization is without faults, and there's always room for improvement. Being aware of potential problems allows you to react on your toes rather than stumbling backward. The same goes for unexpected items that demand your attention. Research the facts so that you can make an informed decision, but be cautious of data overload.
2. Remain Calm
Human behavior is infectious. If the boss appears stressed or irritated due to a pending decision, the organization will react accordingly, which can result in negative conduct and morale. Therefore, when faced with a problematic choice, pivot to an activity that relaxes you. A few minutes will suffice, such as a 10-minute walk away from the office to clear your head and calm your nerves.
3. Seek Perspective
Not even Bill Gates and Warren Buffet are omniscient. Trust your experience and your knowledge, but understand the value other viewpoints bring to the table. Bouncing tough decisions off reliable friends, peers, or better yet, your mentor, can yield surprising results.
4. Compare Options
Abundant options look good on paper but tend to overwhelm and stagnate the decision-making process. Narrow down your choices with a brief risk assessment that visualizes the pros and cons. Putting the potential risks and benefits to paper make it easier to digest and can provide clarity to each scenario.
5. Be Decisive
Eventually, your experience as an entrepreneur will influence how much time you should allocate to the plethora of decisions you will have to make as a boss. Until time bestows such wisdom, aim to be decisive and avoid hyper reactions. Easier said than done, of course. However, accept that you aren't going to get everything correct at the start, and that's OK. If you make a mistake, don't overreact. Instead, understand that you're shooting for a winning ratio over the years. This mindset, along with the aforementioned tips, will help you mitigate unwanted consequences as a result of mediocre choices and capitalize on the momentum produced by your effective leadership and decision making.
About Adam Ferrari:
Adam Ferrari is the founder of the Denver-based mineral acquisitions company Ferrari Energy. He is a chemical engineer by degree and is an accomplished petroleum engineer by profession. He also has experience in the financial sector through his work at an investment banking firm. Under his leadership, his company supported organizations including; St. Jude Children's Hospital, Freedom Service Dogs, Denver Rescue Mission, Coats for Colorado, and Next Steps of Chicago.