How to Make Effective Business Decisions as a Manager

How to Make Effective Business Decisions as a Manager

Good managers need to embody a variety of business skills. They need to be good communicators, good problem solvers and good team players. They also need to make difficult business decisions on a regular basis.

So how do managers go about the decision making process?

Some trust their gut instinct. Others deal with indecisiveness and spend weeks mired in statistics and paperwork getting nowhere. A combination of the two is probably the best approach.

Here are a few tips for making effective business decisions as a manager:

1. Do Your Research.

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In order to make good business decisions, you need to do your research.

Seek out business data that supports your course of action. Consider short and long term business goals and how your decision plays a part in them. You may need to gather data from across different departments in order to build a full picture of the current state of your business.

You should also create projections as to the possible effects of your decision. What are the risks and opportunities likely to be?

At the end of the day, however, no decision comes without risk. You just need to be as informed as possible when taking that leap of faith.

2. Don’t Put Things Off.

President Theodore Roosevelt once said, “In any moment of decision, the best thing you can do is the right thing, the next best thing is the wrong thing, and the worst thing you can do is nothing.”

Sticking your head in the sand and putting off a difficult work-related decision won’t do anyone any favors. You need to take the bull by the horns and confront the issues facing you in order to keep the business moving forward.

Take breaks from thinking about your decision in order to see things more clearly. But don’t leave it sitting in your to-do pile for weeks on end.

3. Consult With Your Team.

As a manager, it’s easy to fall into the trap of thinking you should have all the answers. But working unilaterally can be counterproductive.

Seeking input and advice from your team isn’t a sign of weakness. Two heads are better than one.

A whole team of people could help you to look at a particular issue from a variety of perspectives.

Ultimately the buck stops with you but consulting with your team is good for morale. It demonstrates a transparent management style and could help you make a more effective decision.

4. Track Results.

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As you make your decision, you should have a clear idea of how you plan to track the results produced, be they positive or negative.

Could your decision have an impact on sales, or employee retention or the number of customer complaints?

Identify statistics and parameters that will help you understand the consequences of your decision. For this reason, it’s a good idea to implement new, big business decisions. one at a time so you can more easily isolate cause and effect.

5. Learn from Mistakes.

Making effective decisions doesn’t mean always getting it right. Even with a thorough analysis of pros, cons and alternatives, you will sometimes get it wrong.

Being a good manager means being prepared to deal with the consequences no matter how the dice fall. It also means holding your hands up and learning from your mistakes. That way you go into your next decision with more experience and more confidence.

Making business decisions is part and parcel of being a manager.

As your experience in the role grows, so will your ability to make effective decisions. Approach things from different angles, gather your data and trust that, whatever the outcome, you have the management and business skills to deal with it.

About The Author

This post was written by Tess Pajaron, who currently works at Open Colleges, Australia’s leading online educator.

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How This Family Guy Makes $10,000/Month Online Teaching Others How to Make, Save and Invest Money

How This Family Guy Makes $10,000/Month Online Teaching Others How to Make, Save and Invest Money - Interview with R.J. Weiss from TheWaystoWealth.com

This is an interview-style post with R.J. Weiss from The Ways to Wealth.

Hey R.J. What’s your background and what do you do?

I blog about all things personal finance at The Ways to Wealth.

Before I went full-time into blogging, I spent ten years in the financial services industry. Specifically, helping families buy the right type of life insurance.

During my time with a full-time job, I’ve always had different side hustles going on. From freelance writing, Amazon FBA, conversion rate optimization, to website design — there were many projects I pursued outside of work.

How did you start your career in finance?

I got started in finance straight out of college working for my the family insurance business. As I love the financial planning side of things, I choose to specialize in life insurance planning. This led me down the path to obtaining the CFP® Certification.

What made you start blogging?

The Ways to Wealth, which I started in 2016, has been my 5th blog.

The others mostly fizzled out most due to a lack of interest. But, in 2009 I started a personal finance blog called GenYWealth.com (no longer around) that had some success.

The idea GenYwealth.com was to write about what I was learning about studying to take the CFP®. The blog was, by all means, a success. I was able to gain valuable knowledge, pass the CFP® exam, earn some extra money and build up a good community.

I then took this knowledge and started a business blog, which allowed the insurance agency I was working for to generate leads.

I started The Ways to Wealth because my passion is personal finance–from investing to travel hacking, I love the challenge of optimizing my finances.

How was The Ways to Wealth born?

I didn’t have much of a plan for starting The Ways to Wealth when I purchased the domain name.

I was actually thinking it would be a niche site, which was inspired by Pat Flynn’s niche site duel. Then, I came across the income reports of Michelle Schroeder-Gardner and wisely changed direction to a more traditional blog.

This change came about 6-months after starting to blog.  I did a timeline of the site in one of my income reports.

What worked best when trying to grow the site?

I had a decent knowledge of SEO. So at first, I started growing the site with email outreach. One of the first posts I had about best investing books of all time, had about 15 links to it.

This was nice to start with but was quite slow to build up, as it can take a while to earn Google’s trust.

The big turning point came when I started to understand Pinterest. I spent a few frustrating weeks on the platform, then it finally started paying dividends.

I went from about 100 sessions a day to 1,000, which was huge for me at the time.

How did you get to 3 million monthly viewers on Pinterest?

the ways to wealth pinterest 3 million monthly views

I lay out my Pinterest strategy here. But at the core the idea is to:

1) Write high-quality content that Pinners want to click through, read, and share.

2) Pin to my own and high-quality group boards, with a keyword-rich description.

3) Continue to Pin my best pins across my own boards/group boards, ruthlessly eliminating Pins that don’t perform well.

One thing to keep in mind is impressions don’t mean much on Pinterest. What counts are clicks to your website. So, you want to design not for impressions but clicks.

What aspects of the online business are you outsourcing or automating and how?

The first thing I outsourced was Pinterest design. I’ll design about 30-40 pins a month, so this was big time saver for me.

Of course, it took some work to get going. At first, I hired 5 or so people on Fiverr. I found one decent designer but the work quality deteriorated over time.

I then went to Upwork and posted a job for a  graphic designer. I found a great team down in Argentina, who I’m very happy with.

I’m currently experimenting with working with a ghostwriter. A few of my latest posts have been transcribed from my recording, with the ghostwriter making sense of it all.

I can compile about 3 posts in 90 minutes, then take another 90 or so minutes to prepare them. Saving me around 3-4 hours per post this way.

What’s your main income stream and why do you think it works for you?

My main source of income for the blog is affiliate revenue. It works because the partners I do have are high-quality businesses, who deliver value and solve real problems. This makes it easy to naturally link to such a partner.

When did you start making more than $10K/month and what was the turning point?

My first month over $10K was in January of 2018. In December of 2017, income was around $3,000 and in July of 2017 around $500. So, it was definitely a jump.

What happened then in January?

First, personal finance is at its peak interest in January.

Second, I had multiple Pins go viral.

Third, in November I started driving traffic via Facebook to the site. So, in January I could take campaigns I’d been fine-tuning for a few weeks and scale them.

How do you balance work and family life?

I have a routine I stick to Monday through Friday.

When inside of my designated working hours, I work. When outside of these hours, I’m not.

This is a lot easier said than done. But the thing important for me is not to take work everywhere I go. This means I don’t have any apps on my phone that are work-related (email, analytics, etc..)

What are you 3 best finance tips for newbies?

  • Focus on your savings rate. How much you save is the most important decision you’ll make.
  • Small incremental improvements add up over time. My favorite example is increasing your savings rate 1% every quarter, means you’ll be saving 20% of your income in just 5 years.
  • Study happiness. Become a student on how to increase your level of happiness. The natural result is you’ll want less overtime, making the game of personal finance a lot easier to win.

What books, blogs or podcasts help you stay motivated along the way of growing an online business?

I read a fair amount to keep fresh ideas in my head.

My favorite podcast is The Tim Ferriss Show.

Two blogs I enjoy reading are:

Farnam Street
Barking up the Wrong Tree

And as far as books. I try to read one a week. A few books I would recommend to online entrepreneurs would be:

Deep Work by Cal Newport
The Compound Effect by Darren Hardy
The Four Hour Work Week by Tim Ferriss

Pin this post if you enjoyed the interview.

Check out my interview with R.J. from TheWaystoWealth to see how he entered the finance niche, started making money blogging, began bringing traffic from Pinterest and monetizing it with affiliate marketing, and is now making $10,000/month from his online business. #blogger #interview #blogtraffic #incomeideas #income