The idea of the ‘big idea’ appeals. It implies that some genius silver bullet, some blinding insight, some radical decision can make the difference for your business.
But success will likely be dependent on a vast array of factors, none of which rely on a big idea, but are instead the result of countless small, everyday decisions that cumulatively shape the business you build.
Doing things better is less about having the silver bullet of a big idea and much more about making consistently good decisions.
But how do we make good business decisions?
Here are five steps you can use to interrogate and strengthen your plans, sharpening your thinking, clarifying what decision or decisions you’re really making, building conviction, and (sometimes) helping you conclude that this would be the wrong course of action.
The steps are: Information. Opportunity. Decision. Execution. Edge.
Making sure you’ve thought about each of these five steps should put you in a better place to move forward. You can apply these steps to both big decisions, medium-sized decisions, or even small decisions (should we send that customer email?). The thought process around making each decision is roughly the same.
How to apply these steps
Here’s how you might work through each step.
Information
Do I have enough information about the decision I’m making, about the category I’m entering and about the consumer I’m serving? Do I know enough? Have I researched enough? Who could I speak to to give me deeper, more accurate insight into this decision?
Opportunity
Does my take on this (potentially unoriginal) idea have a sense of purpose, a real problem to solve and a viable audience willing to pay for that solution? Is there, in short, an opportunity to create value for someone (value that they would be willing to pay for)?
Decision
What decision am I really making here? What business am I getting myself into? What will I need to be good at to deliver on the opportunity? Am I clear on the requirements (and risks) of the decision I’m making?
Execution
Do I have the ability, the means, the knowledge, the subject matter expertise, the relationships, the partners, the resources, the personal capability to execute on this decision? If not, how can I build that capability?
Edge
Assuming others will make a similar decision, what gives me the right to be successful? How differentiated is my ability to execute on this big decision? Why, of all the people who could do this, am I the one to make this happen and to succeed? What’s my edge and am I focused on making the most of it? Will this decision talk to (and amplify) my natural advantages?
How does your big idea feel now? Are you clearer on the decision you’re making? Do you feel, with conviction, that it’s the right decision? Will your decision create value for someone else? Do you now have clarity about what it will take to turn that decision into success?
If you’re still feeling good about your answers to these broad questions, maybe it’s time to take the next step.
This article is an edited extract from Lessons from gin: Business the Four Pillars Way by Matt Jones.
