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Why Critical Thinking Matters in Your Business

Critical thinking should become a second-nature skill for leaders and employees across your organization.

Table of Contents

Many professionals hope to pursue careers they’re passionate about so they can find joy and meaning in their work. Caring deeply about your work is vital for engagement and productivity, but balancing emotions with critical thinking is essential in the workplace. 

When employees engage in critical thinking, they use an independent, reflective thought process to evaluate issues and solve problems based on knowledge and objective evidence. 

Critical thinking skills can guide your organization toward success, but to truly maximize the problem-solving benefits of critical thinking, it’s crucial to teach this skill to your entire team. We’ll explore critical thinking skills and how to teach them in the workplace to help your business improve its decision-making and problem-solving. 

What is critical thinking?

Jen Lawrence, co-author of Engage the Fox: A Business Fable About Thinking Critically and Motivating Your Team , defines critical thinking as “the ability to solve problems effectively by systematically gathering information about an issue, generating further ideas involving a variety of perspectives, evaluating the information using logic, and making sure everyone involved is on board.”

This is a complex definition for a challenging concept. Though critical thinking might seem as straightforward as stepping back and using a formal thinking process instead of reacting instinctively to conflicts or problems, it is actually a much more challenging task.

Critical thinking’s ultimate goal is ensuring you have the best answer to a problem with maximum buy-in from all parties involved – an outcome that will ultimately save your business time, money and stress.

Why is critical thinking essential in the workplace?

A World Economic Forum report revealed that critical thinking is one of the most in-demand career skills employers seek when trying to attract and retain the best employees – and employers believe critical thinking skills will become even more necessary in the coming years. 

Critical thinking in the workplace guarantees objective and efficient problem-solving, ultimately reducing costly errors and ensuring that your organization’s resources are used wisely. Team members employing critical thinking can connect ideas, spot errors and inconsistencies, and make the best decisions most often. 

Employees with critical thinking are also more likely to accomplish the following:

• Analyzing information
• Thinking outside the box
• Coming up with creative solutions to sudden problems
• Devising thought-through, systematic plans
• Requiring less supervision

What are critical thinking skills?

Critical thinking is a soft skill that comprises multiple interpersonal and analytical abilities and attributes. Here are some essential critical thinking skills that can support workforce success.

• Observation: Employees with critical thinking can easily sense and identify an existing problem – and even predict potential issues – based on their experience and sharp perception. They’re willing to embrace multiple points of view and look at the big picture. 
• Analytical thinking: Analytical thinkers collect data from multiple sources, reject bias, and ask thoughtful questions. When approaching a problem, they gather and double-check facts, assess independent research, and sift through information to determine what’s accurate and what can help resolve the problem. 
• Open-mindedness: Employees who demonstrate critical thinking are open-minded – not afraid to consider opinions and information that differ from their beliefs and assumptions. They listen to colleagues; they can let go of personal biases and recognize that a problem’s solution can come from unexpected sources. 
• Problem-solving attitude: Critical thinkers possess a positive attitude toward problem-solving and look for optimal solutions to issues they’ve identified and analyzed. They are usually proactive and willing to offer suggestions based on all the information they receive. [Related article: How to Develop a Positive Attitude in the Workplace ]
• Communication: When managers make a decision, they must share it with the rest of the team and other stakeholders. Critical thinkers demonstrate excellent communication skills and can provide supporting arguments and evidence that substantiate the decision to ensure the entire team is on the same page. 

What are the benefits of critical thinking in the workplace?

Many workplaces operate at a frantic tempo that reinforces hasty thinking and rushed business decisions, resulting in costly mistakes and blunders. When employees are trained in critical thinking, they learn to slow the pace and gather crucial information before making decisions. 

Along with reducing costly errors, critical thinking in the workplace brings the following benefits: 

• Critical thinking improves communication. When employees think more clearly and aren’t swayed by emotion, they communicate better. “If you can think more clearly and better articulate your positions, you can better engage in discussions and make a much more meaningful contribution in your job,” said David Welton, managing partner at Grove Critical Thinking.
• Critical thinking boosts emotional intelligence. It might seem counterintuitive to associate analytical rationality with emotional intelligence . However, team members who possess critical thinking skills are less prone to rash, emotion-driven decisions. Instead, they take time to analyze the situation and make the most informed decision while being mindful and respectful of the emotional and ethical implications. 
• Critical thinking encourages creativity. Critical thinkers are open to new ideas and perspectives and accumulate a significant amount of information when facing decisions. Because of this, they’re more likely to come up with creative solutions . They are also curious and don’t shy away from asking open-ended questions. 
• Critical thinking saves time and money. By encouraging critical thinking in the workplace, you minimize the need for supervision, catch potential problems early, promote independence and initiative, and free managers to focus on other duties. All this helps your company save valuable time and resources. 

How do you teach critical thinking in the workplace?

Experts agree that critical thinking is a teachable skill. Both Lawrence and Welton recommend exploring critical thinking training programs and methods to improve your workplace’s critical thinking proficiency. Here’s a breakdown of how to teach critical thinking in the workplace: 

• Identify problem areas. Executives and managers should assess workplace areas most lacking in critical thinking. If mistakes are consistently made, determine whether the issue is a lack of critical thinking or an inherent issue with a team or process. After identifying areas that lack critical thinking, research the type of training best suited to your organization. 
• Start small. Employees newly embracing critical thinking might have trouble tackling large issues immediately. Instead, present them with smaller challenges. “Start practicing critical thinking as a skill with smaller problems as examples, and then work your way up to larger problems,” Lawrence said.
• Act preemptively. Teaching and implementing critical thinking training and methodology takes time and patience. Lawrence emphasized that critical thinking skills are best acquired during a time of calm. It might feel urgent to seek critical thinking during a crisis, but critical thinking is a challenging skill to learn amid panic and stress. Critical thinking training is best done preemptively so that when a crisis hits, employees will be prepared and critical thinking will come naturally.
• Allow sufficient time. From a managerial perspective, giving employees extra time on projects or problems might feel stressful in the middle of deadlines and executive pressures. But if you want those working for you to engage in critical thinking processes, it’s imperative to give them ample time. Allowing employees sufficient time to work through their critical thinking process can save the company time and money in the long run.

How do you identify successful critical thinking?

Successful critical thinking happens during a crisis, not after.

Lawrence provided an example involving restaurants and waitstaff: If a customer has a bad experience at a restaurant, a server using critical thinking skills will be more likely to figure out a solution to save the interaction, such as offering a free appetizer or discount. “This can save the hard-earned customer relationship you spent a lot of marketing dollars to create,” Lawrence said. This concept is applicable across many business and organizational structures. 

You should also be aware of signs of a lack of critical thinking. Lawrence pointed out that companies that change strategy rapidly, moving from one thing to the next, are likely not engaging in critical thinking. This is also the case at companies that seem to have good ideas but have trouble executing them.

As with many issues in business, company leadership determines how the rest of the organization acts. If leaders have excellent ideas but don’t follow critical thinking processes, their team will not buy into those ideas, and the company will suffer. This is why critical thinking skills often accompany positive communication skills.

“Critical thinking doesn’t just help you arrive at the best answer, but at a solution most people embrace,” Lawrence said. Modeling critical thinking at the top will help the skill trickle down to the rest of the organization, no matter your company’s type or size.

Critical thinking is the key to your business success

When critical thinking is actively implemented in an organization, mistakes are minimized, and operations run more seamlessly. 

With training, time and patience, critical thinking can become a second-nature skill for employees at all levels of experience and seniority. The money, time and conflict you’ll save in the long run are worth the extra effort of implementing critical thinking in your workplace.

Rebecka Green contributed to the writing and reporting in this article. Source interviews were conducted for a previous version of this article.

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Catch These Benefits! 13 Examples of Critical Thinking in the Workplace

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Your team is dealing with a sudden decrease in sales, and you’re not sure why.

When this happens, do you quickly make random changes and hope they work? Or do you pause, bring your team together , and analyze the problem using critical thinking?

In the pages ahead, we’ll share examples of critical thinking in the workplace to show how critical thinking can help you build a successful team and business.

Ready to make critical thinking a part of your office culture?

Let’s dive in!

What Is Critical Thinking? A Quick Definition

Critical thinking is the systematic approach of being a sharp-minded analyst. It involves asking questions, verifying facts, and using your intellect to make decisions and solve problems.

The process of thinking critically is built upon a foundation of six major steps:

• Comprehension
• Application
• Creation/Action

First, you gather “knowledge” by learning about something and understanding it. After that, you put what you’ve learned into action, known as “application.” When you start looking closely at the details, you do the “analysis.”

After analyzing, you put all those details together to create something new, which we call “synthesis.” Finally, you take action based on all your thinking, and that’s the “creation” or “action” step.

Examples of Critical Thinking in the Workplace

Even if the tasks are repetitive, or even if employees are required to follow strict rules, critical thinking is still important. It helps to deal with unexpected challenges and improve processes.

Let’s delve into 13 real examples to see how critical thinking works in practice.

1. Evaluating the pros and cons of each option

Are you unsure which choice is the best? Critical thinking helps you look at the good and bad sides of each option. This ensures that you make decisions based on facts and not just guesses.

Product development : For example, a product development team is deciding whether to launch a new product . They must evaluate the pros and cons of various features, production methods, and marketing strategies to make an informed decision. Obviously, the more complete their evaluation is, the better decisions they can make.

2. Breaking down complex problems into smaller, manageable parts

In the face of complex problems, critical thinkers are able to make the problem easier to solve. How? They create a step-by-step process to address each component separately.

Product deliveries and customer support . Imagine you work in a customer service department, and there has been a sudden increase in customer complaints about delayed deliveries. You need to figure out the root causes and come up with a solution.

So, you break down the problem into pieces – the shipping process, warehouse operations, delivery routes, customer communication, and product availability. This helps you find out the major causes, which are:

• insufficient staff in the packaging department, and
• high volume of orders during specific weeks in a year.

So, when you focus on smaller parts, you can understand and address each aspect better. As a result, you can find practical solutions to the larger issue of delayed deliveries.

3. Finding, evaluating and using information effectively

In today’s world, information is power. Using it wisely can help you and your team succeed. And critical thinkers know where to find the right information and how to check if it’s reliable.

Market research : Let’s say a marketing team is conducting market research to launch a new product. They must find, assess, and use market data to understand customer needs, competitor tactics, and market trends. Only with this information at hand can they create an effective marketing plan.

4. Paying attention to details while also seeing the bigger picture

Are you great at noticing small things? But can you also see how they fit into the larger picture? Critical thinking helps you do both. It’s like zooming in and out with a camera. Why is it essential? It helps you see the full story and avoid tunnel vision.

Strategic planning . For instance, during strategic planning, executives must pay attention to the details of the company’s financial data, market changes, and internal potential. At the same time, they must consider the bigger picture of long-term goals and growth strategies.

5. Making informed decisions by considering all available information

Ever made a choice without thinking it through? Critical thinkers gather all the facts before they decide. It ensures your decisions are smart and well-informed.

Data analysis . For example, data analysts have to examine large datasets to discover trends and patterns. They use critical thinking to understand the significance of these findings, get useful insights, and provide recommendations for improvement.

6. Recognizing biases and assumptions

Too many workplaces suffer from unfair and biased decisions. Make sure yours isn’t on this list. Critical thinkers are self-aware and can spot their own biases. Obviously, this allows them to make more objective decisions.

Conflict resolution . Suppose a manager needs to mediate a conflict between two team members. Critical thinking is essential to understand the underlying causes, evaluate the validity of each person’s opinion, and find a fair solution.

Hiring decisions . Here’s another example. When hiring new employees, HR professionals need to critically assess candidates’ qualifications, experience, and cultural fit. At the same time, they have to “silence” their own assumptions to make unbiased hiring decisions.

7. Optimizing processes for efficiency

Critical thinking examples in the workplace clearly show how teams can improve their processes.

Customer service . Imagine a company that sells gadgets. When customers have problems, the customer service team reads their feedback. For example, if many people struggle to use a gadget, they think about why that’s happening. Maybe the instructions aren’t clear, or the gadget is too tricky to set up.

So, they work together to make things better. They make a new, easier guide and improve the gadget’s instructions. As a result, fewer customers complain, and everyone is happier with the products and service.

8. Analyzing gaps and filling them in

Discovering problems in your company isn’t always obvious. Sometimes, you need to find what’s not working well to help your team do better. That’s where critical thinking comes in.

Training and development . HR professionals, for instance, critically analyze skill gaps within the organization to design training programs. Without deep analysis, they can’t address specific needs and upskill their employees .

9. Contributing effectively to team discussions

In a workplace, everyone needs to join meetings by saying what they think and listening to everyone else. Effective participation, in fact, depends on critical thinking because it’s the best shortcut to reach collective decisions.

Team meetings . In a brainstorming session, you and your colleagues are like puzzle pieces, each with a unique idea. To succeed, you listen to each other’s thoughts, mix and match those ideas, and together, you create the perfect picture – the best plan for your project.

10. Contributing effectively to problem-solving

Effective problem-solving typically involves critical thinking, with team members offering valuable insights and solutions based on their analysis of the situation.

Innovative SaaS product development . Let’s say a cross-functional team faces a challenging innovation problem. So, they use critical thinking to brainstorm creative solutions and evaluate the feasibility of each idea. Afterwards, they select the most promising one for further development.

11. Making accurate forecasts

Understanding critical thinking examples is essential in another aspect, too. In fact, critical thinking allows companies to prepare for what’s coming, reducing unexpected problems.

Financial forecasting . For example, finance professionals critically assess financial data, economic indicators, and market trends to make accurate forecasts. This data helps to make financial decisions, such as budget planning or investment strategies.

12. Assessing potential risks and recommending adjustments

Without effective risk management , you’ll constantly face issues when it’s too late to tackle them. But when your team has smart thinkers who can spot problems and figure out how they might affect you, you’ll have no need to worry.

Compliance review . Compliance officers review company policies and practices to ensure they align with relevant laws and regulations. They want to make sure everything we do follows the law. If they find anything that could get us into trouble, they’ll suggest changes to keep us on the right side of the law.

13. Managing the crisis

Who else wants to minimize damage and protect their business? During a crisis, leaders need to think critically to assess the situation, make rapid decisions, and allocate resources effectively.

Security breach in a big IT company . Suppose you’ve just discovered a major security breach. This is a crisis because sensitive customer data might be at risk, and it could damage your company’s reputation.

To manage this crisis, you need to think critically. First, you must assess the situation. You investigate how the breach happened, what data might be compromised, and how it could affect your customers and your business. Next, you have to make decisions. You might decide to shut down the affected systems to prevent further damage. By taking quick, well-planned actions, you can minimize the damage and protect your business.

Encouraging Critical Thinking in Your Team: A Brief Manager’s Guide

According to Payscale’s survey, 60% of managers believe that critical thinking is the top soft skill that new graduates lack. Why should you care? Well, among these graduates, there’s a good chance that one could eventually become a part of your team down the road.

So, how do you create a workplace where critical thinking is encouraged and cultivated? Let’s find out.

Step 1: Make Your Expectations Clear

First things first, make sure your employees know why critical thinking is important. If they don’t know how critical it is, it’s time to tell them. Explain why it’s essential for their growth and the company’s success.

Step 2: Encourage Curiosity

Do your employees ask questions freely? Encourage them to! A workplace where questions are welcomed is a breeding ground for critical thinking. And remember, don’t shut down questions with a “That’s not important.” Every question counts.

Step 3: Keep Learning Alive

Encourage your team to keep growing. Learning new stuff helps them become better thinkers. So, don’t let them settle for “I already know enough.” Provide your team with inspiring examples of critical thinking in the workplace. Let them get inspired and reach new heights.

Step 4: Challenge, Don’t Spoon-Feed

Rethink your management methods, if you hand your employees everything on a silver platter. Instead, challenge them with tasks that make them think. It might be tough, but don’t worry. A little struggle can be a good thing.

Step 5: Embrace Different Ideas

Do you only like ideas that match your own? Well, that’s a no-no. Encourage different ideas, even if they sound strange. Sometimes, the craziest ideas lead to the best solutions.

Step 6: Learn from Mistakes

Mistakes happen. So, instead of pointing fingers, ask your employees what they learned from the mistake. Don’t let them just say, “It’s not my fault.”

Step 7: Lead the Way

Are you a critical thinker yourself? Show your employees how it’s done. Lead by example. Don’t just say, “Do as I say!”

Wrapping It Up!

As we’ve seen, examples of critical thinking in the workplace are numerous. Critical thinking shows itself in various scenarios, from evaluating pros and cons to breaking down complex problems and recognizing biases.

The good news is that critical thinking isn’t something you’re born with but a skill you can nurture and strengthen. It’s a journey of growth, and managers are key players in this adventure. They can create a space where critical thinking thrives by encouraging continuous learning.

Remember, teams that cultivate critical thinking will be pioneers of adaptation and innovation. They’ll be well-prepared to meet the challenges of tomorrow’s workplace with confidence and competence.

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The Path to Critical Thinking

by Stever Robbins

Can you write a refresher on critical thinking?

What's logic got to do with it? Nothing! We don't use logic to decide, or even to think. And a good thing, too, or the advertising industry would be dead in the water. Unfortunately, all of our decisions come from emotion. Emotional Intelligence guru Daniel Goleman explains that our brain's decision-making center is directly connected to emotions, then to logic. So, as any good salesman will tell you, we decide with emotion and justify (read: fool ourselves) with logic.

Purely emotional decision making is bad news. When insecurity, ego, and panic drive decisions, companies become toxic and may even die. Just look at all the corporate meltdowns over the last five years to quickly understand where emotional decision making can lead.

Critical thinking starts with logic. Logic is the unnatural act of knowing which facts you're putting together to reach your conclusions, and how. We're hard-wired to assume that if two things happen together, one causes the other. This lets us leap quickly to very wrong conclusions. Early studies showed that increasing light levels in factories increased productivity. Therefore, more light means more productivity? Wrong! The workers knew a study was being done, and they responded to any change by working harder, since they knew they were being measured—the Hawthorne Effect.

We also sloppily reverse cause and effect. We notice all our high performers have coffee at mid-morning, and conclude that coffee causes high performance. Maybe. Maybe not. Maybe high performers work so late and are so sleep deprived that they need coffee to wake up. Unless you want a hyper-wired workforce, it's worth figuring out what really causes what.

There are many excellent books on logic. One of my favorites is the most-excellent and most-expensive Minto Pyramid Principle by Barbara Minto. It's about logic in writing, but you can use it for any decision you want to think through in detail.

The trap of assuming You can think critically without knowing where the facts stop and your own neurotic assumptions begin. We aren't built to identify our own assumptions without lots of practice, yet the wrong assumptions are fatal.

When we don't know something, we assume. That's a fancy way of saying, "we make stuff up." And often, we don't realize we're doing it. When our best performers leave, our first (and perhaps only) response is to offer them more pay, without realizing that other motivations like job satisfaction or recognition for accomplishments might be more important.

Finding and busting "conventional wisdom" can be the key to an empire. For decades, the standard video rental store model assumed that people wanted instant gratification and, to get it, they were willing to drive to a store, pay a rental fee for a few days' access, and then drive back to the store in a few days to return the movie. Thousands of big and small video rental parlors popped up across the country using this model. But Reed Hastings challenged those assumptions. He calculated that people would trade instant gratification for delayed, and would pay a monthly fee if they could have movies mailed to them, which they could keep as long as they liked. The result? Netflix. Estimated 2005 revenue: $700 million.

Assumptions can also cripple us. A CEO confided that he never hires someone who backs into a parking space. His logic (and I use the term loosely): The person will use time at the start of the day so they can leave more quickly at the end of the day. He assumes face time equals results. In whose world? Many people tell me they get more done in an hour at home than in eight hours in an interruption-prone office. How many great employees will he miss because he's not examining his assumptions?

Some assumptions run so deep they're hard to question. Many managers can't imagine letting people work fewer hours for the same pay. "If they go home earlier, we have to pay them less." Why? "Hours = productivity" is true of assembly lines, but not knowledge work. Research shows that it's not how much you work, but the quality of the work time that drives results. 2 But in most workplaces, hours count as much as results.

Next time you're grappling with a problem, spend time brainstorming your assumptions. Get others involved—it's easier to uncover assumptions with an outside perspective. Then question the heck out of each one. You may find that one changed assumption is the difference between doing good and doing great.

The truth will set you free (statistics notwithstanding) Have you ever noticed how terrified we are of the truth? We're desperately afraid that the truth will reveal us as incompetent. Our situation really is hopeless. We really aren't as great as we pretend. So we cling to our beliefs no matter how hard the truth tries to break free.

Guess what, recording industry: Electronic downloads have changed the nature of your business. Start asking how you'll add value in a world where finding, packaging, and distributing sound is a commodity. Hey, ailing airlines: Oil's expensive, customers won't pay much, and you have huge capital costs. That hasn't stopped Southwest, Jet Blue, and others from making a fortune.

Nothing tells the truth like solid data and the guts to accept it. But it's difficult in practice. When was the last time you identified and collected data that contradicted your beliefs? If you found it, did you cheerfully change your belief, or did you explain away the data in a way that let you keep your comfortable pre-conceptions?

Here is a great exercise for your group or company. Have your general managers list your industry's Unquestioned Truths, which they then must prove with data. When a Fortune 500 CEO recently ran this exercise, Surprise! Some "absolute truths" were absolutely false. Now he can do business his competitors think is nuts. Analysts will say he's off his rocker, until his deeper knowledge of truth starts making a small fortune.

One caveat: Be picky about where you get your data. The Internet can be especially dangerous. The miracle of technology lets one bad piece of data spread far and wide, and eventually be accepted as truth.

Help! I've been framed! Not only may your data be disguised, but the whole problem itself may be disguised! It seems obvious: we're losing money, we need to cut costs. Not so fast! How you "frame" a situation—your explanation—has great power. Remember assumptions? Frames are big ol' collections of assumptions that you adopt lock, stock, and barrel. They become the map you use to explore a situation.

You're negotiating an acquisition. You're chomping at the bit. It's WAR!! Competition is all. The frame is combat!

Or, you're negotiating an acquisition. You're on a journey with the other party to find and split the value buried at the X. You still track your gains and gather intelligence, but the emphasis is on mutual outcomes, not "winning."

In a zero-sum one-time negotiation, a combat frame may be the best tool. But in a negotiation where you're free to develop creative solutions that can involve outside factors, the journey frame could work best. "Instead of $100K, why don't you pay $75K and let us share your booth at Comdex?"

Frames have great power! Presented with a potential solution to a problem and told, "This course of action has a 20 percent failure rate," few managers would approve. When that same solution is presented as having an 80 percent success rate, the same manager is going to consider it more deeply— even though a 20 percent failure rate means the same thing as an 80 percent success rate! The frame changes the decision.

Are you brave in the face of failure? Most people aren't. I recommend the responsibility frame: "What aren't we doing what we should?" The responsibility frame sends you searching for the elements of success.

The beauty is that no one frame is right, just different. The danger is when we adopt a frame without questioning it. You'll do best by trying several different frames for a situation and exploring each to extract the gems.

People are our greatest asset. Really Critical thinking isn't just about what happens in our own brains. When you're thinking critically in business, bring in other people! We don't consider the people impact in our decisions often enough. In fact, we pooh-pooh the "soft stuff." We feel safe with factors we can calculate on our HP-12B. But in truth, business is about people. Multibillion-dollar mergers fail due to culture clash.

Customers, suppliers, partners, employees. They're as much a part of your business as that sparkly new PC you use to play Solitaire. How will your decisions change their lives? Imagine being them and let your imagination change your decisions.

The Gallup organization estimates that 70 percent of America's workers are disengaged, and disengaged workers are dramatically less productive, creative, and committed than engaged workers. Yet few strategy meetings ask, "How can we engage our employees more?" It's as if we say people are our greatest asset—but we don't really believe it. If you want to improve your critical thinking, get other points of view.

A stitch in time saves nine Of course you know you should think about the consequences of your actions. But with information overload, quarterly earnings pressure, sixty-hour weeks…who has the time? We don't think much beyond the end of our nose.

But technology leverages the effects of our decisions throughout the organization and even across the globe. So good thinking demands that you consider consequences over many timeframes. Think out a month, a year, a decade, many decades. That tanning booth looks great when you consider how you'll look in a week, but is it worth looking like a leather overcoat ten years from now?

Long-term junkies like me are great at creating ten-year plans, but managing next month's cash flow? Not likely. Short-term junkies are more common; they're the ones who discount to make this quarter's numbers, while tanking the company in the process. You can do better by considering multiple timeframes.

I could go on, but there's plenty here to chew on. Think about a decision you're making, and pull in the rigor:

• Make sure you understand the logic behind your decision.
• Identify your assumptions and double-check them.
• Collect the data that will support or disprove your assumptions.
• Deliberately consider the situation from multiple frames.
• Remember the people!
• Think short and long term.

© 2005 by Stever Robbins. All rights reserved in all media.

Stever Robbins is founder and president of LeadershipDecisionworks, a consulting firm that helps companies develop leadership and organizational strategies to sustain growth and productivity over time. You can find more of his articles at http://LeadershipDecisionworks.com . He is the author of It Takes a Lot More than Attitude to Lead a Stellar Organization .

1. Yes, I know. I'm making a point. Congratulations; you got it. Color me subtle. Now go back and keep reading...

2. The Power of Full Engagement , by Tony Schwartz and Jim Loehr, New York: Simon & Schuster, 2003.

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4 Ways to Develop Your Strategic Thinking Skills

• 10 Sep 2020

Think back to the last time you participated in a strategic planning meeting for your organization. You were likely presented with a challenge to solve or goal to achieve.

Do you remember your contributions during that meeting? Did you offer compelling ideas and plot a course of action, or find it difficult to think strategically and develop a solution? Did you have a good idea, but struggle to communicate it in a logical way? Were you an active participant in the conversation, or did others helm it?

Strategic thinking skills are among the most highly sought-after management competencies. Why? Because employees capable of thinking critically, logically, and strategically can have a tremendous impact on a business’s trajectory.

If you want to improve your strategic thinking skills, the good news is that, with the right mindset and practice, you can.

Here are four ways to improve your strategy skills , so the next time you’re involved in a strategic planning meeting, you can ensure your contributions are noticed.

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What Are Strategic Thinking Skills?

Strategic thinking skills are any skills that enable you to use critical thinking to solve complex problems and plan for the future. These skills are essential to accomplish business objectives, overcome obstacles, and address challenges—particularly if they’re projected to take weeks, months, or even years to achieve.

Strategic thinking skills include:

• Analytical skills: To ideate a strategy that helps your organization reach its objectives, you must be capable of analyzing a variety of inputs—from financial statements and KPIs , to market conditions, emerging business trends, and internal resource allocation. This initial analysis is crucial to creating a strategy that aligns with the current reality facing your organization.
• Communication skills: Putting a strategy into place for your company, regardless of its size, requires solid communication skills . The ability to communicate complex ideas, collaborate with internal and external stakeholders, build consensus, and ensure everyone is aligned and working toward shared goals are all central to strategic thinking.
• Problem-solving skills: Strategic planning is often used to solve problems or address challenges, such as missed financial targets, inefficient workflows, or an emerging competitor. Implementing a strategy that addresses the central challenge you face requires you to first understand the problem and its potential solutions. From there, you can craft a strategy that solves it.
• Planning and management skills: Strategy isn’t just about thinking of a solution—it involves implementation, too. Once data has been analyzed, the problem is understood, and a solution has been identified, you need strong planning and management skills to bring everything together.

How to Improve Your Strategic Thinking Skills

1. ask strategic questions.

If you want to improve your strategic thinking skills, one of the simplest things you can do is ask more strategic questions. Doing so allows you to exercise your planning skills, become adept at spotting opportunities, and develop a more strategic mindset you can leverage throughout your career.

According to the Harvard Business School Online course Disruptive Strategy , strategic questions can relate to a challenge, opportunity, or ambiguity you face in your current situation, whether personal or professional. They might, for instance, relate to launching a new business or product, beating a competitor, or structuring your organization for innovation.

It’s also important that your questions apply to your role and responsibilities so you can act on them.

Some examples of strategic questions you might ask include:

• How can we strategically position ourselves to enter a new market?
• What’s the direction for growth for each of our products or services?
• Where will the organization's growth come from in the next five years, and how does it compare with where growth has historically come from?
• How should the organization respond to the threat presented by potentially disruptive competitors ?

2. Observe and Reflect

In addition to asking strategic questions, you need to answer and address them skillfully. One of the most effective ways of accomplishing this is to observe and reflect on your current situation, ensuring any strategy you conceive is grounded in facts.

For example, imagine that the business you work for has begun losing market share for one of its products among its traditional customers. At the same time, it’s gained market share from an entirely new customer base. It’s easy to assume why this might be happening, but doing so can lead you down the wrong path at a critical moment in your organization’s existence.

Instead of blindly following an assumption, gather as much information as possible to use when crafting your strategy. For example, this might include conducting user interviews with new customers to identify the different jobs they hire your product to perform.

Understanding why new customers are attracted to your product can enable you to tailor your marketing strategy and product development to better embrace their needs .

3. Consider Opposing Ideas

Once you’ve landed on a strategy that can help your organization reach its goals, question your assumptions, and put your hypothesis through rigorous testing. By doing so, you can ensure you’re not overlooking another possibility.

Playing devil’s advocate with your ideas can allow you to preemptively identify weaknesses in your argument, and equip you to defend your strategy when others ask questions. It can also help you sharpen the logic skills you need to communicate and execute your strategy.

To develop this skill, get in the habit of questioning yourself any time you’re about to make an assertion. Should you consider a different perspective? Is there another possibility you may have overlooked?

4. Embrace Formal Training

By practicing the methods described above, you can improve your strategic thinking skills at your own pace. However, there are other learning options you can pursue.

If you need to quickly ramp up your strategy skills—to address a pressing need your organization is facing, position yourself for a new role, or finally launch your own business—formal training might be your best option.

For example, by enrolling in the online course Disruptive Strategy , you can discover how to make innovation a reality for your organization. Over six weeks, you’ll learn about the jobs to be done framework and disruptive innovation theory, and build skills to identify and execute high-level strategy.

Cultivating a Strategic Mindset

Whether in the long- or short-term, a strategic mindset can be developed through self-exploration, critical questioning, and formal training.

The advantage of having a strategic mindset is learning how to think rather than what to think. Although you might not always have the right answers, strategic thinking skills can empower you to spot new opportunities, address emerging challenges, and plan for future success.

Are you looking to develop a strategic mindset? Explore our portfolio of online strategy courses and download the free flowchart to determine which is the best fit for you and your goals.

About the Author

More From Forbes

Critical thinking: what is it and how can you develop this skill.

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Founder and Head of the international IT recruitment company Lucky Hunter .

I have already raised the issue of the importance of developing emotional intelligence in previous pieces, and today I would like to talk about why critical thinking also matters for employees—especially top managers of companies.

First of all, let's define what critical thinking is. In general, it is the ability to objectively analyze events, incoming information and arguments; approach an issue from different sides; and form conclusions based on the analysis. Developing critical thinking is relevant not only for work but also for life—today we're inundated with huge amounts of information every day, and in order to be able to analyze this information and determine our position based on balanced facts, it is important to look at situations critically.

Critical thinking allows you to always soberly assess the situations taking place in your work, give an objective assessment, including your own actions and the actions of others, effectively negotiate and find the best way out of ambiguous situations. That is why large companies, when hiring employees, pay close attention to the soft skills of a candidate, especially if they are applying for top positions.

So, how can you develop critical thinking?

Practice analyzing.

Turn the events happening around you into facts. Learn to separate them from emotions. Emotions often prevent us from thinking critically, because they reduce everything to the emotional component, which cannot be relied on. Study different points of view on a specific topic. Read more, broaden your horizons and work with information—the more you “dissect” any information material, the more chances you have to get to the bottom of it.

Pay attention to self-criticism.

There should always be a certain amount of healthy self-criticism in your actions and behavior. The keyword here is healthy because it is important to maintain balance and not slip into self-flagellation. Learn to adequately evaluate yourself and your actions, and determine your strengths and growth areas. I work in recruiting, so I will give an example from my practice: In the work of a recruiter, self-criticism is vital for an objective assessment of a candidate, because, in order to evaluate others, you must first be able to objectively evaluate yourself.

Build productive communication.

If you conduct a dialogue calmly and kindly, without insults and rudeness, truly listening and hearing the interlocutor, you thereby increase the chances of getting some useful insight into the process of interaction. It can give you the opportunity to look at the situation from a new angle and come to a conclusion that you would not have come to otherwise. Therefore, the ability to conduct effective, productive communication also affects the development of critical thinking.

Develop your forecasting skills.

This point is quite closely related to the first one. Analyze information and build forecasts based on the analysis, think over the likely development of events and try to answer for yourself why it will be exactly like this. Such forecasting, again, allows you to study a specific situation from different sides, get certain insights into the process and come to an objective conclusion.

Today, it's crucial for employees and managers to develop the skill of thinking critically—all you need to do is start. The result could have a positive impact on all fields of your life, both personal and professional, because a high level of critical thinking has a good effect on communication (including business). It allows you to form objective conclusions and cut off the excess of information garbage, focusing on facts and analyzing them.

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POWERING WORKPLACE PERFORMANCE

1 may, 2022, critical thinking and decision making in business.

What is critical thinking?

Critical thinking is the ability to reflect deeply, analyse and interpret information, and make considered decisions. It is the opposite of making snap decisions and following gut feelings. A critical thinker can synthesise information to problem-solve, collaborate, strategise, assess risk and deal with uncertain or ambiguous situations.

The Role of Critical Thinking in Business Decision Making

With new technologies and increased global interconnectedness, business has become more complex over the past few decades. Making sense of this world and making the right decisions involves a great deal of critical thinking. Making informed, rational decisions based on all available information rather than assumptions and feelings is important across all sectors and roles.

Why is critical thinking so important to business decision making?

Critical thinking and decision making in business is an essential element of success. This is evidenced by a recent DeakinCo.’s report The Business Return on Learning and Development , developed in partnership with Deloitte Access Economics, which found that critical thinking is one of the top five skills gaps in Australia.

Helps your team think beyond conventional ideas and bias

Rather than accepting how things ‘have always been’, critical thinkers question assumptions and look for new solutions. This also leads them to investigate their own biases so that they can actively challenge them and work to overcome them.

Fosters a culture of creativity and innovation

Critical thinking is closely tied to creativity. Both involve questioning assumptions and gaining new perspectives, and lead to innovative solutions. In an organisation where critical thinking is promoted, creativity and innovation become part of the culture.

Helps your business predict risks before they even happen

Another aspect of critical thinking is the ability to predict risk and come up with solutions and mitigation measures. Critical thinkers are able to infer possibilities based on the information given and make predictions about outcomes, which informs their risk assessment and strategy.

Helps your business solve complex problems with no clear solution

If there was always an obvious right answer to every problem, you probably wouldn’t need to worry about your team’s critical thinking skills as much. However, most of the issues businesses encounter are complex and need a critical thinker to tease apart. Solving problems with no clear solutions requires critical thinking skills.

Examples of how critical thinking skills are used in business decision making

Considering that critical thinking was named as one of the top 10 most important job skills of the future by the World Economic Forum , it’s unsurprising that there are a host of examples of critical thinking and problem solving in the workplace.

Reflecting on the outcome of a recent project

Thinking critically about outcomes, why they occurred, what can be improved, and identifying the most important lessons learned are an essential aspect of good project management.

Analysing how to improve a process

Following on from that, this kind of analytical thinking and ability to reflect can also be applied to more general processes. Improving processes also involves innovation and creativity, two central elements of critical thinking.

Prioritising tasks under time and resource constraints

Knowing what’s most important and what needs to be done now rather than later is vital for every employee. The more tasks arise, the more complex this process becomes, and the more critical thinking is required to make the right choices.

Making decisions about employees

When hiring new talents, deciding who to promote, and how to manage a team, it is vital that leaders and HR professionals are able to objectively judge a situation, question their own biases and make rational decisions. This is one of the many reasons why critical thinking in management is a need, not a want.

Launching a completely new strategy

Risk assessment, predicting outcomes, establishing priorities, evaluating the alternatives to the solutions proposed, and anticipating problems are all part of designing a new strategy.

How to encourage critical thinking in your business

While it is a soft skill that can sometimes be hard to grasp, critical thinking skills can be taught and fostered by creating conducive environments and engaging employees directly.

Implement brainstorming sessions

Brainstorming frees people up to express their ideas, increases creativity, and can help teach them to approach problems from all angles.

Give employees the freedom to discuss

Discussion fosters exchange, challenges assumptions and allows employees to recognise that their own perspective may be limited. While discussing, they will be practising their critical thinking skills.

Use data-driven decision making

Implementing data-driven decision making in your organisation invites your employees to take decisions more carefully, consider all the facts and become more data literate.

Review and reflect on performance and project outcomes

Have frequent, structured discussions about performance and project outcomes, where you encourage team members to share their own reflections. This fosters growth and increases your staff’s ability to think critically about their performance and decision making.

Invest in developing critical thinking skills

Like all other skills, critical thinking can be taught and improved. DeakinCo.’s soft skills courses focus on teaching critical thinking as well as many adjacent skills like problem solving, self management, and collaboration, taught by experts.

Learn how DeakinCo. helps business promote critical thinking.

Through our corporate training offers, we can tailor our programs to your organisation. From our soft skill courses to our technical skills training courses all the way to implementing your day-to-day employee training programs, there is a solution for every business. Promoting critical thinking in your organisation can be easy when you have expert support.

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The Best Critical Thinking Questions in Business

Critical Thinking: Hypothesis-Driven Thinking

Anyone can come up with a good idea. The real challenge is putting that idea into action. In this online course, explore how to form compelling, testable hypotheses and bring ideas to life in your own organization.

Critical Thinking: Structured Reasoning

Even a few simple techniques for logical decision making and persuasion can vastly improve your skills as a leader. Explore how critical thinking can help you evaluate complex business problems, reduce bias, and devise effective solutions.

Critical Thinking: Problem-Solving

Problem-solving is a central business skill, and yet it's the one many people struggle with most. This course will show you how to apply critical thinking techniques to common business examples, avoid misunderstandings, and get at the root of any problem.

Soft skills can be a true superpower in your career, and one of the best among them is critical thinking. Everyone says so, from the World Economic Forum to Forbes .

Much of the power of critical thinking comes from identifying and solving problems through questions. To find out which critical thinking questions have the most value and why, we spoke to three lecturers who teach Critical Thinking at GLOBIS University .

3 Reasons Employers Value Critical Thinking in Business

Critical thinking is a great mental exercise in its own right. It can help with more organized, logical thinking and persuasiveness. It can expand your point of view and, as an extension, raise your emotional intelligence.

But there are a few important reasons employers are seeing the value of critical thinking in business management now more than ever.

Next Article

5 Critical Thinking Interview Questions to Evaluate New Talent

How to Identify and Remove Barriers to Critical Thinking

“You want to hire people who can think for themselves.”

Critical thinking in business is important because you want to hire people who can think for themselves and give creative opinions based on their own experiences. This may seem obvious, but you might be surprised how often people look for employees who just reinforce the status quo.

The most valuable employees don’t just accept what we say as management. They think about how and where something works. They also consider where it may not work, why, and what to do about it.

Modern companies must utilize diversity. Diversity of thought requires an inclusive environment where people feel comfortable enough to express a devil’s advocate opinion. Without that, diversity is wasted or, at best, kept from reaching its full potential.

—Brian Cathcart, GLOBIS University

“Conventional wisdom is less and less applicable.”

Things are changing drastically, and everyone is feeling anxious. Conventional wisdom is less and less applicable. But critical thinking enables us to think independently and proactively while questioning conventional wisdom and precedents.

Employers will want to know whether you will work passively in the face of drastic change or become a human resource who can take charge of opportunities and solve problems proactively.

—Hideaki Kanazawa, GLOBIS University

“We need to make better business decisions.”

In an age where technology is moving quickly and we have access to more information than ever before, there remains one constant: We need to make better business decisions.

The essential skills of critical thinking, including analysis, communication, and problem solving , are applicable across a wide variety of fields. Employees who have a solid foundation of these skills can flexibly apply them to the changing nature of business , especially in roles where strategy is an important part of the job.

—Alex Scharf, GLOBIS Corporate Education

5 of the Best Books on Critical Thinking and Problem-Solving

The Importance of Critical Thinking and Problem-Solving in Startup Culture

5 Critical Thinking Questions for the Business World

Employers are seeking critical thinking skills in business. So how can you demonstrate that you have them?

One of the core components of critical thinking is asking questions . Here are a few recommendations from GLOBIS lecturers that can be applied to your day-to-day thought process and stimulate your skills as a critical thinker and problem solver.

“Why me, why this, why now?”

Even if you trust your boss (and I hope you do!), you want to ask yourself contextual questions like, “Why are they asking me to do this now?” There are three critical thinking keywords here:

These are all significant for understanding the background of assigned tasks and therefore becoming a more effective employee.

It’s important to understand why a task is important to the greater context of the company strategy. Considering that can help you think and act more strategically and communicate more persuasively . It can also help you in your career planning.

“Do you agree or disagree?”

Often people get stuck at the starting point, wasting time when they could be analyzing the problem and digging deeper. It’s difficult to stare at a blank slate and come to a meaningful decision, so I always encourage learners to start with their instinctual response.

Of course, once you collect facts and draw conclusions , it’s more than OK to change your position. In fact, by changing your position and preparing counterarguments to the opposite point of view, you can often make your argument stronger.

“Is this an important question?”

Peter Drucker said, “The most serious mistakes are not being made as a result of wrong answers. The truly dangerous thing is asking the wrong questions.”

We tend to either think about the questions we really want to think about or work on issues our bosses assign us to without question. It’s also easy to get swept up in the information at hand and lose sight of the big picture. However, if you get off to the wrong start, everything you think about after that will take you in the wrong direction.

The most important thing is to be willing to ask yourself, “Is this really something I should think about?” or “Is this an important question?” These questions will help ensure you’re looking at the right issue in the first place.

Critical Thinking as Rethinking

Even a solid grasp of frameworks like MECE , logic trees , and the Pyramid Principle won’t enable you to solve problems instantly. The ability to think critically involves analysis, hypothesis testing, and rethinking in order to make an informed decision.

As Kanazawa puts it, “Critical thinking is a way of solving problems by objectively analyzing them with a healthy critical spirit.” Incorporating critical thinking questions will ensure that spirit adds value to your organization and spurs your growth as a professional in a changing world.

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• What Is Critical Thinking? | Definition & Examples

What Is Critical Thinking? | Definition & Examples

Published on May 30, 2022 by Eoghan Ryan . Revised on May 31, 2023.

Critical thinking is the ability to effectively analyze information and form a judgment .

To think critically, you must be aware of your own biases and assumptions when encountering information, and apply consistent standards when evaluating sources .

Critical thinking skills help you to:

• Identify credible sources
• Evaluate and respond to arguments
• Assess alternative viewpoints
• Test hypotheses against relevant criteria

Table of contents

Why is critical thinking important, critical thinking examples, how to think critically, other interesting articles, frequently asked questions about critical thinking.

Critical thinking is important for making judgments about sources of information and forming your own arguments. It emphasizes a rational, objective, and self-aware approach that can help you to identify credible sources and strengthen your conclusions.

Critical thinking is important in all disciplines and throughout all stages of the research process . The types of evidence used in the sciences and in the humanities may differ, but critical thinking skills are relevant to both.

In academic writing , critical thinking can help you to determine whether a source:

• Is free from research bias
• Provides evidence to support its research findings
• Considers alternative viewpoints

Outside of academia, critical thinking goes hand in hand with information literacy to help you form opinions rationally and engage independently and critically with popular media.

Prevent plagiarism. Run a free check.

Critical thinking can help you to identify reliable sources of information that you can cite in your research paper . It can also guide your own research methods and inform your own arguments.

Outside of academia, critical thinking can help you to be aware of both your own and others’ biases and assumptions.

Academic examples

However, when you compare the findings of the study with other current research, you determine that the results seem improbable. You analyze the paper again, consulting the sources it cites.

You notice that the research was funded by the pharmaceutical company that created the treatment. Because of this, you view its results skeptically and determine that more independent research is necessary to confirm or refute them. Example: Poor critical thinking in an academic context You’re researching a paper on the impact wireless technology has had on developing countries that previously did not have large-scale communications infrastructure. You read an article that seems to confirm your hypothesis: the impact is mainly positive. Rather than evaluating the research methodology, you accept the findings uncritically.

Nonacademic examples

However, you decide to compare this review article with consumer reviews on a different site. You find that these reviews are not as positive. Some customers have had problems installing the alarm, and some have noted that it activates for no apparent reason.

You revisit the original review article. You notice that the words “sponsored content” appear in small print under the article title. Based on this, you conclude that the review is advertising and is therefore not an unbiased source. Example: Poor critical thinking in a nonacademic context You support a candidate in an upcoming election. You visit an online news site affiliated with their political party and read an article that criticizes their opponent. The article claims that the opponent is inexperienced in politics. You accept this without evidence, because it fits your preconceptions about the opponent.

There is no single way to think critically. How you engage with information will depend on the type of source you’re using and the information you need.

However, you can engage with sources in a systematic and critical way by asking certain questions when you encounter information. Like the CRAAP test , these questions focus on the currency , relevance , authority , accuracy , and purpose of a source of information.

When encountering information, ask:

• Who is the author? Are they an expert in their field?
• What do they say? Is their argument clear? Can you summarize it?
• When did they say this? Is the source current?
• Where is the information published? Is it an academic article? Is it peer-reviewed ?
• Why did the author publish it? What is their motivation?
• How do they make their argument? Is it backed up by evidence? Does it rely on opinion, speculation, or appeals to emotion ? Do they address alternative arguments?

Critical thinking also involves being aware of your own biases, not only those of others. When you make an argument or draw your own conclusions, you can ask similar questions about your own writing:

• Am I only considering evidence that supports my preconceptions?
• Is my argument expressed clearly and backed up with credible sources?
• Would I be convinced by this argument coming from someone else?

If you want to know more about ChatGPT, AI tools , citation , and plagiarism , make sure to check out some of our other articles with explanations and examples.

• ChatGPT vs human editor
• ChatGPT citations
• Is ChatGPT trustworthy?
• Using ChatGPT for your studies
• What is ChatGPT?
• Chicago style
• Paraphrasing

 Plagiarism

• Types of plagiarism
• Self-plagiarism
• Avoiding plagiarism
• Academic integrity
• Consequences of plagiarism
• Common knowledge

Critical thinking refers to the ability to evaluate information and to be aware of biases or assumptions, including your own.

Like information literacy , it involves evaluating arguments, identifying and solving problems in an objective and systematic way, and clearly communicating your ideas.

Critical thinking skills include the ability to:

You can assess information and arguments critically by asking certain questions about the source. You can use the CRAAP test , focusing on the currency , relevance , authority , accuracy , and purpose of a source of information.

Ask questions such as:

• Who is the author? Are they an expert?
• How do they make their argument? Is it backed up by evidence?

A credible source should pass the CRAAP test  and follow these guidelines:

• The information should be up to date and current.
• The author and publication should be a trusted authority on the subject you are researching.
• The sources the author cited should be easy to find, clear, and unbiased.
• For a web source, the URL and layout should signify that it is trustworthy.

Information literacy refers to a broad range of skills, including the ability to find, evaluate, and use sources of information effectively.

Being information literate means that you:

• Know how to find credible sources
• Use relevant sources to inform your research
• Understand what constitutes plagiarism
• Know how to cite your sources correctly

Confirmation bias is the tendency to search, interpret, and recall information in a way that aligns with our pre-existing values, opinions, or beliefs. It refers to the ability to recollect information best when it amplifies what we already believe. Relatedly, we tend to forget information that contradicts our opinions.

Although selective recall is a component of confirmation bias, it should not be confused with recall bias.

On the other hand, recall bias refers to the differences in the ability between study participants to recall past events when self-reporting is used. This difference in accuracy or completeness of recollection is not related to beliefs or opinions. Rather, recall bias relates to other factors, such as the length of the recall period, age, and the characteristics of the disease under investigation.

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Critical Thinking for Business

Critical thinking is essential for optimising business models, communicating with clients and making overall better decisions. As one of the most valued skills today, learn how to test, discern and respond best in every professional situation.

• 15 h 05 min
• Communications
• Certificate included

What is the course about?

In the World Economic Forum 2016 report "Future of Jobs", chief HR and strategy officers from leading global employers predicted that Critical Thinking will become the 2nd most important skill for employees by 2020. It's no surprise. In today's rapidly changing business landscape, knowing how to quickly navigate complex problems, break down constant incoming information and respond to new situations puts professionals at an incredible advantage.

Do you need to convince a client? If you structure your proposal like a mathematician and write it like a columnist, you will. This course will provide you with better tools for understanding and approaching challenges in today's business environment. We will analyse the logical structure behind business proposals, business strategies and everyday plain communication, in order to make more informed and better decisions. We will test the assumptions and hypotheses in our business models, understand the mechanisms of bad reasoning (fallacies) and learn how to respond to and avoid being misled in communication. Cognitive biases affect our behaviour as consumers, managers or entrepreneurs - in this course, we will understand how that happens and how we can combat as well as work with these biases. Finally, you will better discover your own ways of thinking, both conscious and unconscious, testing and challenging your own cognitive strengths and weaknesses.

Course Structure

Chapter 1: Introduction

What is Critical Thinking and why is it important in the business environment?

Chapter 2: We think in arguments

We get to see the logic structure behind any text or speech in business communication. We learn when to trust statements, hidden assumptions, opinions and beliefs (including our own). We evaluate business proposals, business strategy, in order to be able to make better decisions. All this will be organised with a step-by-step approach alongside relevant examples.

Chapter 3: Don't be fooled! Fallacies and Cognitive Biases

We are often misled by bad reasoning (fallacies), regardless if the bad reasoning comes from the others (with or without intent) or from ourselves. Sometimes we make mistakes without thinking at all (cognitive biases). But when such concepts can be named, studied and exemplified, we are less likely to err again. In this chapter there is also a unit on the smart use of heuristics in business.

Chapter 4: Test your assumptions

All the things that we know about the way our world functions (all sciences) are based on the scientific method. The corner stone of validating a scientific theory is designing and conducting well thought out experiments. Why shouldn’t we do the same in business? Every strategy is based on some assumptions and hypotheses. Instead of basing our business conduct on a hunch, let’s recognise our assumptions and then design and conduct clever tests for them.

Chapter 5: Persuasion

We will put our skills to work and construct good arguments in order to be persuasive in writing, debates and pitches.

Chapter 6: How to be a critical thinker in a post-truth world?

Today's media is dominated by post-truth in ways that were unthinkable two decades ago. We get most of our news from Facebook, we live in bubbles and echo-chambers. And this influences greatly our lives and our businesses. We dissect the phenomenon and provide some tools to tackle it.

Chapter 7: The courage to change your mind

Once we master critical thinking skills, we need to use them charitably and responsibly. Most importantly, we need to start by using them on our own businesses and on ourselves. It is easier to use critical thinking on the others, and not on ourselves, on our own strong beliefs and old misconceptions. We describe 9 mechanisms through which our minds cling to old beliefs (among these - groupthink, cognitive dissonance, backfire effect) and ways to counteract these mechanisms..

What is included in this course

By enrolling in this course, you will gain access to: • All Course Material • Challenging & Fun Assignments • Interactive Global Community • Flexible Time Management Upon completion of this course, you will receive: • A Statement of Participation

In addition, this course offers flexible time management. With a workload of 12-16 hours, the suggested course length is about 4-5 weeks. If you can’t spare 3-4 hours a week or would rather finish the course faster, you can do so as well. Take as little or as much time as you need and complete the course at your own pace.

Want to discover the online learning experience?

Course content

What will you learn.

Participants will be able to see and evaluate the logic behind business communication, structure better arguments in order to become more convincing, avoid rational and irrational pitfalls, know how to test strategies before deploying and challenge their own habitual thinking patterns.

What is the target audience?

No prior knowledge is needed for this course, participants should only come open- and fair-minded.

If you are an economic actor or working in a business environment, this PRO course is for you. The course provides useful insights for employees, managers, entrepreneurs, young professionals entering the job market, as well as all of us day-to-day consumers.

Course instructors

Radu Atanasiu

Lecturer, Maastricht School of Management Romania

Currently, Radu teaches the pro-course Critical Thinking for Business on iversity. His previous MOOC on Critical Thinking, hosted on the same platform, reached (in 2014 - 2015) tens of thousands of students from all over the world. Radu Atanasiu teaches Critical Thinking for the Executive MBA program at the Maastricht School of Management Romania and for the undergraduate program at the Entrepreneurship Academy in Bucharest, and pursues his PhD at Vrije Universiteit Amsterdam on the topic of managerial heuristics in organizational decision-making. Aside from teaching and learning, Radu conducts Critical Thinking, Decision-Making, and Complex Problem Solving workshops for companies, and is actively involved as angel investor in several promising start-ups. Radu founded DeBunavoie.ro, a non-profit volunteering matching platform, and runs marathons dressed as Mickey Mouse.

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Critical thinking definition

Critical thinking, as described by Oxford Languages, is the objective analysis and evaluation of an issue in order to form a judgement.

Active and skillful approach, evaluation, assessment, synthesis, and/or evaluation of information obtained from, or made by, observation, knowledge, reflection, acumen or conversation, as a guide to belief and action, requires the critical thinking process, which is why it's often used in education and academics.

Some even may view it as a backbone of modern thought.

However, it's a skill, and skills must be trained and encouraged to be used at its full potential.

People turn up to various approaches in improving their critical thinking, like:

• Developing technical and problem-solving skills
• Engaging in more active listening
• Actively questioning their assumptions and beliefs
• Seeking out more diversity of thought
• Opening up their curiosity in an intellectual way etc.

Is critical thinking useful in writing?

Critical thinking can help in planning your paper and making it more concise, but it's not obvious at first. We carefully pinpointed some the questions you should ask yourself when boosting critical thinking in writing:

• What information should be included?
• Which information resources should the author look to?
• What degree of technical knowledge should the report assume its audience has?
• What is the most effective way to show information?
• How should the report be organized?
• How should it be designed?
• What tone and level of language difficulty should the document have?

Usage of critical thinking comes down not only to the outline of your paper, it also begs the question: How can we use critical thinking solving problems in our writing's topic?

Let's say, you have a Powerpoint on how critical thinking can reduce poverty in the United States. You'll primarily have to define critical thinking for the viewers, as well as use a lot of critical thinking questions and synonyms to get them to be familiar with your methods and start the thinking process behind it.

Are there any services that can help me use more critical thinking?

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Ideas to Action (i2a)

• What is Critical Thinking?

The ability to think critically calls for a higher-order thinking than simply the ability to recall information.

Definitions of critical thinking, its elements, and its associated activities fill the educational literature of the past forty years. Critical thinking has been described as an ability to question; to acknowledge and test previously held assumptions; to recognize ambiguity; to examine, interpret, evaluate, reason, and reflect; to make informed judgments and decisions; and to clarify, articulate, and justify positions (Hullfish & Smith, 1961; Ennis, 1962; Ruggiero, 1975; Scriven, 1976; Hallet, 1984; Kitchener, 1986; Pascarella & Terenzini, 1991; Mines et al., 1990; Halpern, 1996; Paul & Elder, 2001; Petress, 2004; Holyoak & Morrison, 2005; among others).

After a careful review of the mountainous body of literature defining critical thinking and its elements, UofL has chosen to adopt the language of Michael Scriven and Richard Paul (2003) as a comprehensive, concise operating definition:

Critical thinking is the intellectually disciplined process of actively and skillfully conceptualizing, applying, analyzing, synthesizing, and/or evaluating information gathered from, or generated by, observation, experience, reflection, reasoning, or communication, as a guide to belief and action.

Paul and Scriven go on to suggest that critical thinking is based on: "universal intellectual values that transcend subject matter divisions: clarity, accuracy, precision, consistency, relevance, sound evidence, good reasons, depth, breadth, and fairness. It entails the examination of those structures or elements of thought implicit in all reasoning: purpose, problem, or question-at-issue, assumptions, concepts, empirical grounding; reasoning leading to conclusions, implication and consequences, objections from alternative viewpoints, and frame of reference. Critical thinking - in being responsive to variable subject matter, issues, and purposes - is incorporated in a family of interwoven modes of thinking, among them: scientific thinking, mathematical thinking, historical thinking, anthropological thinking, economic thinking, moral thinking, and philosophical thinking."

This conceptualization of critical thinking has been refined and developed further by Richard Paul and Linder Elder into the Paul-Elder framework of critical thinking. Currently, this approach is one of the most widely published and cited frameworks in the critical thinking literature. According to the Paul-Elder framework, critical thinking is the:

• Analysis of thinking by focusing on the parts or structures of thinking ("the Elements of Thought")
• Evaluation of thinking by focusing on the quality ("the Universal Intellectual Standards")
• Improvement of thinking by using what you have learned ("the Intellectual Traits")

Selection of a Critical Thinking Framework

The University of Louisville chose the Paul-Elder model of Critical Thinking as the approach to guide our efforts in developing and enhancing our critical thinking curriculum. The Paul-Elder framework was selected based on criteria adapted from the characteristics of a good model of critical thinking developed at Surry Community College. The Paul-Elder critical thinking framework is comprehensive, uses discipline-neutral terminology, is applicable to all disciplines, defines specific cognitive skills including metacognition, and offers high quality resources.

Why the selection of a single critical thinking framework?

The use of a single critical thinking framework is an important aspect of institution-wide critical thinking initiatives (Paul and Nosich, 1993; Paul, 2004). According to this view, critical thinking instruction should not be relegated to one or two disciplines or departments with discipline specific language and conceptualizations. Rather, critical thinking instruction should be explicitly infused in all courses so that critical thinking skills can be developed and reinforced in student learning across the curriculum. The use of a common approach with a common language allows for a central organizer and for the development of critical thinking skill sets in all courses.

• SACS & QEP
• Planning and Implementation
• Why Focus on Critical Thinking?
• Paul-Elder Critical Thinking Framework
• Culminating Undergraduate Experience
• Community Engagement
• Frequently Asked Questions
• What is i2a?

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Building Critical Thinking Skills to Solve Problems at Work

Follow this six-step discussion process to foster critical thinking among your team.

Table of Contents

Critical thinking is a vital soft skill that uses one’s experiences and analytical skills to deduce information and make educated decisions. It’s an essential skill to have in the workplace, as the ability to use information from a broader and more impartial perspective allows your employees to make more informed decisions and see a comprehensive view of any situation. 

The U.S. Department of Labor identified critical thinking as a key component for essential workplace skills, including problem-solving and decision-making. Here’s how to build – and implement – critical thinking skills in the workplace.

>> Learn more: 12 Business Skills You Need to Master

How to use critical thinking to problem-solve

Here is a six-step problem-solving process to try with your team to build and use this skill.

1. Name the situation.

When you name the situation, you present a single discussion point that everyone in the discussion can identify. This statement can be written on a whiteboard as a visual prompt so that the team can focus on the point and redirect the discussion when the topic shifts. Critical thinking involves keeping an open mind about situations. You help participants remember the goal of the group by naming the situation.

2. List all possible solutions.

Brainstorming takes place during this part of the process. There is nothing outside the realm of possibilities at this point in the discussion. When you open the conversation to unlimited options, you expand thinking beyond one person. The ability to expand your thinking offers the conversation many possible solutions that you may not have considered without the expression of thoughts and opinions. Make sure that all potential solutions discussed during this time stay on task for the situation that has been named in the first step. Critical thinking includes the ability to keep an open mind to other considerations and viewpoints without losing track of the end goal. You expand the discussion to see new options and stay on task by identifying multiple opportunities.

3. Narrow your solutions to three options.

Everyone on the team needs to agree with at least one of the three options. Individuals who can find a compromise and create solutions from many perspectives are better able to bring a team together. Write each solution at the top of a whiteboard and include below each one a list of its advantages and disadvantages. Critical-thinking skills offer the ability to look at situations rationally without judgments of good and bad or wrong and right. You can maintain a rational discussion when you bring consensus to a few intentionally chosen solutions.

4. Choose one option from the three choices.

Make a final choice that offers the best chance of success based on rational discussion about the situation. Review this choice in relation to how well it solves the designated problem. Critical thinking skills help individuals use a more systematic way to come to conclusions. This reduces the chance of making decisions based on incorrect inferences arising from emotional conclusions.

5. Put a plan in place to implement the chosen solution.

Your chosen solution should have timelines and a list that identifies which participants are responsible for what parts of the final plan. Critical-thinking skills include the ability to commit to the chosen solution. You increase attention to detail and interest from the participants in implementing the solution when they are an integral part of the process.

6. Complete the plan.

Some employees find this part of the process the most difficult. Think of the number of times a great plan floundered because there was no follow-up. Make sure each person from the team has a part to play in the process that emphasizes their areas of expertise and interest. Complete regular reviews of people and timelines for project management. Critical thinking involves the ability to see the value of the overall plan. At this point in the process, individuals should be able to see the value of the solution and have buy-in since they were part of the process.

This problem-solving process creates an environment where critical thinking becomes a working part of finding a solution. For individuals who struggle with this method, you may want to consider some training in critical thinking. Overall, though, this process promotes critical thinking in your employees. You can also integrate this activity for making plans and creating a mission. The value added to your organization includes improved engagement , insight and productivity from your team.

Why critical thinking is essential in the workplace

In recent decades, companies have recognized the need for integrating critical thinking into the workplace to help build the success of their organizations. Strong critical-thinking skills can greatly benefit everybody in the workplace. Not only does thinking more openly introduce ideas and solutions that widen the opportunities for success, but it also provides an increase in teamwork and productivity and a decrease in conflict . Here are some additional benefits of critical thinking in the workplace.

Required in certain professions

In many professions – particularly those based on research or that require deductive reasoning, such as finance, education, research and law – acquiring critical-thinking skills is necessary. With critical thinking, employees can solve problems objectively by considering varying perspectives and analyzing facts without bias, allowing for smart decision-making and problem-solving.

Improves decision-making

Those with critical-thinking skills mull over their decisions thoroughly by researching, looking at information objectively, asking questions, and weighing the pros and cons before acting. This skill can help businesses stay on track when making decisions by thoroughly reviewing the risk versus reward of each decision. 

Boosts happiness

Critical thinking can boost happiness , as it is empowering to have the skills to make your own, well-informed decisions. Those who possess this skill are more in tune with their goals, needs and personal ethics, and they have a better understanding of what in their situation needs to change to make themselves happy or grow. [Read related article: How Hiring a Chief Happiness Officer Can Save Your Business ]

How to build critical-thinking skills

Here are a few ways you can polish your critical-thinking skills.

Practice active listening.

Practice actively listening by keeping an open mind and being attentive to those around you, from associates to executives. Listen to what others are saying to gain an understanding of each person’s individual perspective, needs and expectations, and show them empathy. This level of understanding will allow you to work together more effectively and make decisions that everyone is satisfied with.

Ask critical questions.

Instead of taking information at face value, be curious and ask questions to ensure you have everything you need to make a well-informed decision. Using open-ended questions offers an opportunity for further exploration, as they dive deeper and provide insightful details that can be helpful when making decisions.

Vet new information.

Don’t assume all new information you hear is true; instead, take time to thoroughly vet it by ensuring it’s up to date and it comes from a trustworthy source. Look at the existing evidence and the new facts being presented, then question thought processes and consider whose voice is missing.

Consider more than one perspective.

While you may feel that you have the “right” perspective, consider all points of view to fully understand others and their reasoning. This will help you improve your working relationships, better understand where your peers are coming from and tailor your communication to meet their needs.

Question your own biases.

Regardless of whether or not you try to avoid it in your decision-making process, everybody has their own biases, which are the foundation of their thinking. By uncovering your own biases and being actively aware of them, you can grow as a critical thinker and work to keep them separate from your decision-making process. 

Conduct research.

If there are any unanswered questions or gaps in the information provided, conduct research to further your understanding and reach a decision. Consider a source’s intention when conducting research, avoiding any that are sales-based or contain ill will. Don’t use social media to obtain information; stick to reputable publications free of bias and cite their sources.

Form your own opinion.

Be an independent thinker and form your own opinions by considering the information presented to you, including facts and evidence. Listen to and consider the opinions of others, but use deductive reasoning to form your own opinion – and stay true to it.

Lynette Reed contributed to the writing and reporting in this article. 

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How to Demonstrate Your Strategic Thinking Skills

• Nina A. Bowman

Don’t be shy about bringing your ideas to the table.

Developing your strategic thinking skills isn’t enough to get you promoted. In order to advance in your career, you need to demonstrate them. Leaders want to know what you think, and they view your worthiness for promotion through the lens of how ready you are to make bigger decisions. Ask yourself: “Do people know where I stand?” If not, what do you need to do to bring your perspective to the table? It’s also important to demonstrate that you can put new ideas into action. Take the initiative on new projects that show how your understanding extends beyond your current function.

We all know that developing strategic thinking skills is important , but many don’t realize how critical it is to your career advancement to show these skills to your boss and other senior leaders. Showing strategic thinking skills tells your bosses that you’re able to think for yourself and make decisions that position the organization for the future. It assures them that you aren’t making decisions in a vacuum but are considering how other departments might be affected or how the outside world will respond.

• NB Nina A. Bowman is a Managing Partner at Paravis Partners, an executive coaching and leadership development firm. Previously, she held various advisory and leadership roles in strategy. She is an executive coach and speaker on issues of strategic leadership, leadership presence, and interpersonal effectiveness. She is also a contributing author to the HBR Guide to Coaching Employees and HBR Guide to Thinking Strategically .

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Critical Systems Thinking: A Practitioner's Guide

ISBN: 978-1-394-20359-8

Digital Evaluation Copy

Michael C. Jackson

Understand the full range of systems approaches and how to use them with this innovative overview.

Leaders and managers face increasing complexity and uncertainty because technical, organizational, socio-cultural, political, and environmental issues have become intensely interconnected. Systems thinking is recognized as the essential competence for managing complexity. As the demand for systems thinking grows, however, the fragmentation of the field into different methodologies has become a potential liability. Critical systems thinking (CST) shows how this diversity can be a strength rather than a weakness by revealing how different systems methodologies address various aspects of complexity and how they can be used in combination to resolve the messiest of wicked problems.

Critical Systems Thinking offers, in a single volume, an account of the value of systems thinking and CST in the modern world, an explanation of the pragmatic philosophy and expansion in mindset necessary to embrace CST, and detailed instructions on how to undertake critical systems practice (CSP) using the variety of systems approaches to navigate multi-dimensional complexity.

Readers will find:

• An accessible introduction to systems thinking and CST.
• A description and critique of the best-known systems methodologies.
• A guide to the mindset changes, the steps required, and the toolkit necessary to undertake successful CSP.
• Case studies and examples of CSP.
• A discussion of the nature of systemic leadership.

Critical Systems Thinking is ideal for leaders and managers in government, business, the public sector, the professions, and beyond who want to understand the potential of systems thinking and use it in their work. It is essential for systems researchers and practitioners who want a deeper understanding of the field.

Dr Michael C. Jackson is an established expert in systems thinking and the major figure in the development of CST. He is Emeritus Professor, and former Dean of the Business School, University of Hull, UK, and Managing Director of Systems Research Ltd. He has served as President of the International Federation for Systems Research and the International Society for the Systems Sciences. He was awarded an OBE by Her Majesty the Queen (2011) for services to business and higher education, the Beale Medal of the UK Operational Research Society (2017), and the Pioneer Award of the International Council on Systems Engineering (2022). His previous book for Wiley, Critical Systems Thinking and the Management of Complexity (2019), is regarded as the definitive account of the history of systems thinking and the different systems methodologies.