Risk-Based Decisions - Deepstash
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Top 7 books for Product Managers

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Risk-Based Decisions

Risk-Based Decisions

When someone is a self-proclaimed realist, or simply pessimistic by nature, decisions are often made considering only one factor: risk.  

Faced with a decision, they ask themselves questions such as: 

  • What is the worst possible outcome? 
  • What do I need to protect myself against? 
  • If this doesn’t go as planned, how will I respond? 

41

558 reads

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Challenge Pessimists and Realists

Challenge Pessimists and Realists

It’s near impossible to be optimistic if you are surrounded by pessimistic people. This said, you can’t always eliminate these people from your life, so instead push back. When someone shares a pessimistic view, get in the habit of challenging their viewpoint. Don’t worry whether you have the ans...

40

337 reads

Share Your Optimistic View out Loud

Share Your Optimistic View out Loud

If you are typically pessimistic, your biggest critic will be yourself. For this reason, make sure you share your optimistic questions and initial ideas out loud with others. When we repeat things out loud, we override the little green negative person who is on our shoulder whispering pessimistic...

39

354 reads

Be A Striving Optimist

Be A Striving Optimist

Aside from the benefits of considering what might be, rather than what might happen, studies have demonstrated that taking an optimistic view provides benefits beyond thinking big. A recent study in ScienceDaily found that optimistic people have less overall stress, and as a result live longer, h...

39

418 reads

Flip Your Negative Thoughts

Flip Your Negative Thoughts

If you find yourself considering risks, flip the question to something positive. “What’s the worst that can happen?” becomes, “What are the best possible outcomes?” 

42

437 reads

Minimize Time Spent in Negative Environments

Minimize Time Spent in Negative Environments

Like step 3 above, although we can’t always control the people we are around, we can control what we consume. Be aware of what you read, where you travel, or who you choose to spend time with. If we consume negative news or information or spend time with negative people, we in turn will be negati...

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3. Ask Yourself The Right Questions

3. Ask Yourself The Right Questions

 I have a handful of questions I ask myself before making decisions:

  • What are the economic ramifications in terms of risk and opportunity cost of not doing something?
  • How can I mitigate both?
  • What is the worst that can happen?

D. Decisions related to ethical issues

D. Decisions related to ethical issues

Decide what is the best thing to do when faced with moral issues, considering questions like:

  • Would I mind my action being broadcast on the six o’clock news?
  • Could I justify my actions to my family and close friends?
  • What advice would I give to a close friend who...

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