The first chapter of Canadian billionaire Seymour Shulich’s book “Smarter: Life and Business Lessons” offers a tool that extends the pros and cons list that many of us use to make decisions.
“I learned about this in a practical mathematics course more than 50 years ago, and used this method for almost every important decision in my life. He never let me down. ”
Do you know how to make pros and cons lists? Divide the page in half, and write all the pros and cons. But the tool described adds one important detail:
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“On a sheet of paper, list all the positive moments of the topic that interests you, and rate each on a scale from zero to ten. The greater the score, the greater its importance to you.
On the other sheet, list all negative points and rate them also on a scale from zero to ten - where "ten" means a very strong disadvantage. "
Next you need to add points, but for this there is one condition:
“If the sum of points of positives is at least twice as large as the sum of negative ones, then you need to do it. But if the positive does not exceed the negative at least twice - do not do it, or at least think well again. ”
It sounds simple, but things do not have to be complicated in order to be effective.
“This tool will not allow one or two disproportionately small facts to change a vital decision. In this way, you discard all emotions and test the relative importance of each moment. Therefore, the system works so well. ”
The tool is also suitable for group work:
“When we thought about selling our company Franco-Nevada to Newmont Mining, the Franco team of directors used their version of the collective decision-making tool. We listed all the “for” and “against”, four top managers gave them their ratings, which we averaged. The positive outweighed the negative, so we sold this company. ”