Decision boundaries

Decision boundaries are predefined criteria, thresholds, or conditions that tell you when to make, change, or stop a decision.

Definition

Decision boundaries help reduce chaos, impulsivity and delay in making choices. They may concern time, cost, risk, data quality, compliance with values ​​or the level of congestion. In practice, they are a form of procedure: if condition X is met, I do Y; if not, I go back to the data or stop the activity.

Key ideas

Missing key ideas.

Practice and life

Before an important project, set three thresholds: maximum cost, minimum result and a signal after which you change your strategy.

Common misunderstanding

It is a mistake to set decision-making boundaries only in emotions. Thresholds should be created before the crisis, when thinking is calmer.

Questions for self-reflection

No questions for self-reflection.

Sources

No sources.