1. Satisficers vs Maximizers.Coined by the economist Herbert Simon in 1956, “satisficing” is an approach to decision-making that prioritizes an adequate solution over an optimal solution. Gretchen Rubin sums up the difference between the two types of decision-makers well in a post over at the Happiness Project:
In a fascinating book, The Paradox of Choice, Barry Schwartz argues that satisficers tend to be happier than maximizers. Maximizers must spend a lot more time and energy to reach a decision, and they’re often anxious about whether they are, in fact, making the best choice.
Takeaway: Gathering additional information always comes at a cost. We’re better off setting our criteria for making a decision in advance (as in, “I’ll make the call once I know X, Y, and Z”). Once you have that information, make the choice and move on.
2. How less can be more.Psychologist Gerd Gigerenzer, whose work was cited in the Malcolm Gladwell bestseller Blink, argues that we’re designed to make smart snap decisions based on limited information. In fact, his research shows that we do it all the time. Here, Newsweek neatly sums up Gigerenzer’s findings on the “Take the Best” strategy that most people use to make decisions:
Gigerenzer has demonstrated this in the laboratory. He asked a large number of parents to consider a scenario in which their child wakes up after midnight short of breath, wheezing and coughing. They are told that a doctor could make a home visit in 20 minutes; it’s a physician they know but don’t like all that much, because he never listens to their view. Alternatively, they could take their child to a clinic 60 minutes away; the doctors there are unknown, but good listeners by reputation. Which to choose?
Takeaway: We are designed to process information so quickly that “rapid cognition” – decisions that spring from hard thinking based on sound experience – can feel more instinctive than scientific. Trust your gut.
3. The three kinds of intuition.In the creative and business worlds, you hear a lot of talk about intuition, and (see above) “trusting your gut.” But what does that really mean? It’s less simple than you might think. Columbia Business School professor William Duggan believes that there are three different types of intuition:
A flash of insight happens in only a moment, but it may take weeks for that moment to come. You can’t rush it. But your expert intuition might see something familiar and make a snap judgment too soon. The discipline of strategic intuition requires you recognize when a situation is new and turn off your expert intuition. You must disconnect the old dots, to let new ones connect on their own.
4. Why we should trust experience. (Anyone’s experience.)Psychologist Daniel Gilbert, author of the bestseller Stumbling on Happiness, studies the cognitive biases that we use to make decisions. According to Gilbert, we do not make very rational decisions in most cases, nor are we particularly good at predicting what will make us happy. (See his great TED talk for more on this.)Gilbert argues that if we don’t have the knowledge or experience to make a decision, the best course of action is to just ask someone else. Says Gilbert:
5. Choosing your battles.Some decisions, like how to handle a dicey client situation, are worth mulling over. Others, like deciding what brand of dental floss you buy, are not. Jonah Lehrer, author of How We Decide, points out that we are constantly bullied into feeling like trivial decisions are incredibly important: