The decision tree is a visual representation of the process of making choices and the result of those choices. It is mapped out like the branches of a tree. A decision tree can be short and simple, illustrating the two choices in a single decision process, or it can present a long sequence of interconnected choices that flow from one to the next.
To show you how it works, let’s look at making a choice between two business opportunities.
You only have enough money to invest in one of them. Which will you choose?
Choice #1: A bakery 🍞
Choice #2: A pet accessory store 🐶🐱
Putting your money into the bakery will earn you $10,000 while the pet accessory store will only bring in $7,000.
🍞Seems like the bakery is the obvious choice – for now.
But what if the bakery fails? You stand to lose $8K. O the other hand, if the pet accessory store fails you’ll lose only $4k.
🍞With the bakery. you can earn more, but you can also lose more.
To run the bakery, you have perishable goods. With a pet accessory store, your inventory can be on the shelf for months.
Seems like the bakery is riskier. 🐶🐱 Maybe the pet accessory store is better.
Finally, to operate the bakery you have to wake up at 3 AM — every day! Is that the life you want?
All choices have consequences and some of them are not clear cut or obvious. If you make a decision too soon without seeing where the decision tree ends up, you’ll be making an uninformed decision, and likely regret it later on.
In every situation you face, there is a decision tree you can create to help you see your way to the end result – so long as you keep your mind open and free of impulsivity.
I hope this brings you value. If you want to know more about Mind Focused Coaching, please join us at The Mental Wellness Society Group.