What are decision-making skills, and why are they important to learn?

Decision-making skills are the ability to evaluate several courses of action and choose which to take. This is an important life skill as well as a business leadership skill, since effective problem-solving requires deciding on a solution. However, making smart business decisions isn’t just about being decisive in an abstract sense. Effective decision-making is a skill that requires a combination of critical thinking and data analysis. In a business context, a familiarity with tools of financial analysis is especially important for decision-making, although the financial bottom line isn’t always the only factor to be considered in a careful cost-benefit analysis. For example, a growing number of companies consider corporate social responsibility principles and a “triple bottom line” approach that also looks at social and environmental costs and benefits. Beyond cost-benefit analyses, there are approaches informed by psychology that are used to make decisions as well as describe decision-making in the real world. Decision theory uses tools similar to game theory to analyze how decisions are affected by uncertainty, different timing between decisions and impacts, social and competitive situations, and other factors. And behavioral economics helps to understand how cognitive bias can influence decision-making, as in the case of the sunk cost fallacy which results in economically irrational decisions based on previous investments.

What kinds of careers benefit from decision-making skills?

Decision-making skills are essential for leadership positions in every field, whether chief executive officers (CEOs) of corporations, executive directors of non-profit advocacy groups, or government roles such as mayors and governors. These leaders are responsible for setting organizational goals and policies and, ultimately, making decisions on how to achieve them. According to the Bureau of Labor Statistics , top executives earn a median pay of $104,690 per year, including a median pay of $184,460 for CEOs. This high level of compensation is a testament to the importance of savvy decision-making skills, which are in high demand in organizations of all kinds.

Can I learn decision-making skills by taking online courses on Coursera?

Absolutely. Coursera lets you learn about decision-making and related topics like problem-solving, psychology, and leadership from top-ranked schools like the University of California, Irvine, the University of Michigan, and the University of Pennsylvania. And although you’ll be learning remotely, you’ll get the same course materials as on-campus students as well as opportunities to discuss these important topics in leadership with expert faculty as well as your fellow students.

What skills or experience do I need to already have before I learn about decision making?

Everyone can benefit from learning about decision making, both in their personal and professional lives, so you may not need any previous experience or skills to study the concept. However, any type of work experience may help prepare you for your studies. Once you've worked in a field, you'll better understand why decision-making skills are important and how you can use them to advance your career or even get a new job in your field.

What kind of person is best suited to work in a role that involves decision making?

A person who is a leader and good communicator is best suited to work in roles that involve strong decision-making skills. As a matter of fact, learning how to be a good decision maker can lead to supervisory and management positions in your field. You should also be an active listener and someone who can easily convey to other people what your thoughts and ideas are. People who are strong decision makers tend to be good analyzers, troubleshooters, problem solvers, and critical thinkers. This helps them gather the evidence they need to make a choice. Other skills needed for roles that require good decision-making skills are time management, logic, reasoning, and intuition. You'll also need to have good interpersonal skills, as well as be a good collaborator who doesn't shy away from teamwork.

How do I know if learning about decision making is right for me?

Decision-making studies or skills look good on any resume, so if you're looking for a new career or starting a career, learning about it may be right for you. It can also be helpful if you're looking to be promoted into a managerial position at work. Decision-making skills are very important for people in roles of leadership. If you currently work in a managerial position or any position in any field and find that you're having trouble making sound decisions at work, learning how to do so can improve your work performance. Learning it can also help you make better decisions in your personal life.

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University of Illinois
Graduate Certificate in Strategic Leadership & Management
Skills you'll gain: Accounting, Business Analysis, Data Analysis, Leadership and Management, Finance, Financial Accounting, Marketing, Entrepreneurship, Strategy and Operations, Financial Analysis, Communication, Mergers & Acquisitions, Sales, Strategy, Taxes, Audit, Business Psychology, Probability & Statistics, Research and Design, Generally Accepted Accounting Principles (GAAP), Investment Management, Market Analysis, Management Accounting, Marketing Management, Basic Descriptive Statistics, Data Visualization, Customer Analysis, Machine Learning, Statistical Programming, Exploratory Data Analysis, Human Resources, Project Management, Statistical Analysis, Culture, Data Management, Market Research, Marketing Design, Media Strategy & Planning, R Programming, General Accounting, Business Communication, Digital Marketing, Organizational Development, General Statistics, Corporate Accouting, Spreadsheet Software, Advertising, Brand Management, Decision Making, Media Production, Regression, Accounts Payable and Receivable, Budget Management, Cost Accounting, Business Development, Design and Product, Financial Management, Product Marketing, Data Visualization Software, Algorithms, Banking, Data Analysis Software, Entrepreneurial Finance, Leadership Development, Machine Learning Algorithms, Risk Management, Software Engineering, Statistical Tests, Theoretical Computer Science, Performance Management, Supply Chain and Logistics, Adaptability, Advertising Sales, Big Data, Collaboration, Data Mining, Influencing, Natural Language Processing, Negotiation, People Development, Social Media, Software Testing, Storytelling, Experiment, Inventory Management, Plot (Graphics), Agile Software Development, Behavioral Economics, BlockChain, Business Design, Change Management, Conflict Management, Creativity, Extract, Transform, Load, Forecasting, Graph Theory, Human Learning, Innovation, Marketing Psychology, Material Handling, Mathematics, Network Analysis, Planning, Problem Solving, Product Lifecycle, Public Relations, Search Engine Optimization, Securities Sales, Statistical Visualization, Survey Creation, Web Design, Web Development, Cash Management, Correlation And Dependence, Critical Thinking, Data Structures, Microsoft Excel, Process Analysis, Regulations and Compliance, Tableau Software, Back-End Web Development, Business Intelligence, Business Process Management, Computer Graphics, Data Architecture, Econometrics, Game Theory, Human Computer Interaction, Journalism, Product Management, Scrum (Software Development), User Research, Virtual Reality
Credit offered
Graduate Certificate · 6-12 Months
University of Illinois
Master of Business Administration (iMBA)
Skills you'll gain: Accounting, Leadership and Management, Entrepreneurship, Marketing, Finance, Business Analysis, Strategy and Operations, Data Analysis, Research and Design, Financial Accounting, Strategy, Sales, Taxes, Probability & Statistics, Communication, Business Psychology, Financial Analysis, Market Research, Management Accounting, Market Analysis, Mergers & Acquisitions, Investment Management, Statistical Programming, Data Management, Human Resources, Digital Marketing, Financial Management, Audit, Design and Product, General Statistics, Machine Learning, Generally Accepted Accounting Principles (GAAP), Python Programming, Culture, Marketing Management, General Accounting, Corporate Accouting, Data Visualization, Banking, Customer Analysis, Organizational Development, Statistical Analysis, Basic Descriptive Statistics, Regression, Business Development, Marketing Design, Budget Management, Creativity, Innovation, Leadership Development, Product Marketing, Business, Business Communication, Decision Making, Exploratory Data Analysis, Project Management, R Programming, Brand Management, Media Strategy & Planning, Conflict Management, Risk Management, Cost Accounting, Theoretical Computer Science, Collaboration, Operations Management, Accounts Payable and Receivable, Computer Programming, Forecasting, Supply Chain and Logistics, Media Production, Spreadsheet Software, Advertising, Product Lifecycle, Algorithms, Contract Management, Negotiation, Product Management, Critical Thinking, Data Visualization Software, Marketing Psychology, Regulations and Compliance, Machine Learning Algorithms, Advertising Sales, Plot (Graphics), Behavioral Economics, Big Data, Data Analysis Software, Entrepreneurial Finance, Software Engineering, Statistical Tests, Storytelling, Performance Management, Business Design, Data Structures, Databases, Inventory Management, MarTech, Adaptability, Data Mining, Human Computer Interaction, Influencing, Natural Language Processing, People Development, Product Strategy, Social Media, Software Testing, Supply Chain Systems, User Research, Change Management, Correlation And Dependence, Database Administration, Experiment, Human Learning, Probability Distribution, SQL, Statistical Visualization, Survey Creation, Agile Software Development, Bayesian Statistics, BlockChain, Business Intelligence, Business Process Management, Extract, Transform, Load, Graph Theory, Material Handling, Mathematics, Network Analysis, Operations Research, People Management, Planning, Problem Solving, Public Relations, Search Engine Optimization, Securities Sales, Security Engineering, Software Security, Web Design, Web Development, Cash Management, Customer Support, Estimation, Journalism, Microsoft Excel, Packaging and Labeling, Process Analysis, Product Design, Tableau Software, Visual Design, Algebra, Back-End Web Development, Computer Graphics, Data Architecture, Data Model, Data Warehousing, Econometrics, Emotional Intelligence, Employee Relations, Game Theory, Operating Systems, Other Programming Languages, Product Development, Scrum (Software Development), Systems Design, Virtual Reality
Earn a degree
Degree · 1-4 Years
University of Illinois at Urbana-Champaign
Master of Science in Accounting
Skills you'll gain: Accounting, Leadership and Management, Entrepreneurship, Marketing, Finance, Business Analysis, Strategy and Operations, Data Analysis, Research and Design, Strategy, Financial Accounting, Sales, Taxes, Communication, Probability & Statistics, Business Psychology, Financial Analysis, Market Research, Market Analysis, Management Accounting, Mergers & Acquisitions, Statistical Programming, Investment Management, Human Resources, Data Management, Digital Marketing, Financial Management, Python Programming, Audit, Design and Product, Corporate Accouting, General Statistics, Machine Learning, Culture, Marketing Management, Generally Accepted Accounting Principles (GAAP), General Accounting, Banking, Customer Analysis, Data Visualization, Organizational Development, Statistical Analysis, Basic Descriptive Statistics, Business Development, Regression, Marketing Design, Creativity, Innovation, Leadership Development, Budget Management, Product Marketing, Computer Programming, Business, Business Communication, Decision Making, Exploratory Data Analysis, Project Management, R Programming, Brand Management, Media Strategy & Planning, Conflict Management, Contract Management, Risk Management, Collaboration, Operations Management, Cost Accounting, Theoretical Computer Science, Media Production, Spreadsheet Software, Accounts Payable and Receivable, Supply Chain and Logistics, Forecasting, Advertising, Product Lifecycle, Algorithms, Data Analysis Software, Regulations and Compliance, Negotiation, Product Management, Machine Learning Algorithms, Critical Thinking, Data Visualization Software, Marketing Psychology, Advertising Sales, Behavioral Economics, Big Data, Entrepreneurial Finance, Software Engineering, Statistical Tests, Storytelling, Plot (Graphics), Performance Management, Business Design, Correlation And Dependence, Data Structures, Databases, Inventory Management, MarTech, Adaptability, Data Mining, Human Computer Interaction, Influencing, Natural Language Processing, People Development, Product Strategy, Social Media, Software Testing, Supply Chain Systems, User Research, Change Management, Human Learning, Survey Creation, Database Administration, Experiment, Probability Distribution, SQL, Statistical Visualization, Agile Software Development, Bayesian Statistics, BlockChain, Business Intelligence, Business Process Management, Employee Relations, Extract, Transform, Load, Graph Theory, Material Handling, Mathematics, Network Analysis, Operations Research, People Management, Planning, Problem Solving, Public Relations, Search Engine Optimization, Securities Sales, Security Engineering, Software Security, Web Design, Web Development, Cash Management, Customer Support, Dimensionality Reduction, Estimation, Journalism, Machine Learning Software, Microsoft Excel, Packaging and Labeling, Process Analysis, Product Design, Statistical Machine Learning, Tableau Software, Visual Design, Algebra, Back-End Web Development, Computer Graphics, Data Architecture, Data Model, Data Warehousing, Econometrics, Emotional Intelligence, Game Theory, Operating Systems, Other Programming Languages, Product Development, Scientific Visualization, Scrum (Software Development), Systems Design, Virtual Reality, Visualization (Computer Graphics)
Earn a degree
Degree · 1-4 Years
Free

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In summary, here are 10 of our most popular decision making courses

Graduate Certificate in Strategic Leadership & Management: University of Illinois
Master of Business Administration (iMBA): University of Illinois
Master of Science in Accounting: University of Illinois at Urbana-Champaign
Developing a Google SRE Culture en Français: Google Cloud
Data-Driven Decisions with Power BI: Knowledge Accelerators
Create a Balanced Scorecard to Align Priorities in Miro: Coursera Project Network
Address Business Issues with Data Science: CertNexus
Introduction to Early Childhood: The State University of New York
Fundamentals of Organization: Politecnico di Milano
TypeScript Control Structures: Coursera Project Network

Skills you can learn in Business Essentials

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Frequently Asked Questions about Decision Making

Decision-making skills are the ability to evaluate several courses of action and choose which to take. This is an important life skill as well as a business leadership skill, since effective problem-solving requires deciding on a solution. However, making smart business decisions isn’t just about being decisive in an abstract sense.
Effective decision-making is a skill that requires a combination of critical thinking and data analysis. In a business context, a familiarity with tools of financial analysis is especially important for decision-making, although the financial bottom line isn’t always the only factor to be considered in a careful cost-benefit analysis. For example, a growing number of companies consider corporate social responsibility principles and a “triple bottom line” approach that also looks at social and environmental costs and benefits.
Beyond cost-benefit analyses, there are approaches informed by psychology that are used to make decisions as well as describe decision-making in the real world. Decision theory uses tools similar to game theory to analyze how decisions are affected by uncertainty, different timing between decisions and impacts, social and competitive situations, and other factors. And behavioral economics helps to understand how cognitive bias can influence decision-making, as in the case of the sunk cost fallacy which results in economically irrational decisions based on previous investments.‎
Decision-making skills are essential for leadership positions in every field, whether chief executive officers (CEOs) of corporations, executive directors of non-profit advocacy groups, or government roles such as mayors and governors. These leaders are responsible for setting organizational goals and policies and, ultimately, making decisions on how to achieve them.
According to the Bureau of Labor Statistics, top executives earn a median pay of $104,690 per year, including a median pay of $184,460 for CEOs. This high level of compensation is a testament to the importance of savvy decision-making skills, which are in high demand in organizations of all kinds.‎
Absolutely. Coursera lets you learn about decision-making and related topics like problem-solving, psychology, and leadership from top-ranked schools like the University of California, Irvine, the University of Michigan, and the University of Pennsylvania. And although you’ll be learning remotely, you’ll get the same course materials as on-campus students as well as opportunities to discuss these important topics in leadership with expert faculty as well as your fellow students.‎
Everyone can benefit from learning about decision making, both in their personal and professional lives, so you may not need any previous experience or skills to study the concept. However, any type of work experience may help prepare you for your studies. Once you've worked in a field, you'll better understand why decision-making skills are important and how you can use them to advance your career or even get a new job in your field.‎
A person who is a leader and good communicator is best suited to work in roles that involve strong decision-making skills. As a matter of fact, learning how to be a good decision maker can lead to supervisory and management positions in your field. You should also be an active listener and someone who can easily convey to other people what your thoughts and ideas are. People who are strong decision makers tend to be good analyzers, troubleshooters, problem solvers, and critical thinkers. This helps them gather the evidence they need to make a choice. Other skills needed for roles that require good decision-making skills are time management, logic, reasoning, and intuition. You'll also need to have good interpersonal skills, as well as be a good collaborator who doesn't shy away from teamwork.‎
Decision-making studies or skills look good on any resume, so if you're looking for a new career or starting a career, learning about it may be right for you. It can also be helpful if you're looking to be promoted into a managerial position at work. Decision-making skills are very important for people in roles of leadership. If you currently work in a managerial position or any position in any field and find that you're having trouble making sound decisions at work, learning how to do so can improve your work performance. Learning it can also help you make better decisions in your personal life.‎

This FAQ content has been made available for informational purposes only. Learners are advised to conduct additional research to ensure that courses and other credentials pursued meet their personal, professional, and financial goals.

Filter by

712 results for "decision making"

Graduate Certificate in Strategic Leadership & Management

Master of Business Administration (iMBA)

Master of Science in Accounting

Developing a Google SRE Culture en Français

Data-Driven Decisions with Power BI

Create a Balanced Scorecard to Align Priorities in Miro

Address Business Issues with Data Science

Introduction to Early Childhood

Fundamentals of Organization

TypeScript Control Structures

Storytelling und Einflussnahme: effektive Kommunikation

Hypothesis Testing in R

Searches related to decision making

In summary, here are 10 of our most popular decision making courses

Skills you can learn in Business Essentials

Frequently Asked Questions about Decision Making

What are decision-making skills, and why are they important to learn?‎

What kinds of careers benefit from decision-making skills?‎

Can I learn decision-making skills by taking online courses on Coursera?‎

What skills or experience do I need to already have before I learn about decision making?‎

What kind of person is best suited to work in a role that involves decision making?‎

How do I know if learning about decision making is right for me?‎

Start or advance your career

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Popular courses and articles

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Filter by

712 results for "decision making"

Searches related to decision making

In summary, here are 10 of our most popular decision making courses

Skills you can learn in Business Essentials

Frequently Asked Questions about Decision Making

What are decision-making skills, and why are they important to learn?‎

What kinds of careers benefit from decision-making skills?‎

Can I learn decision-making skills by taking online courses on Coursera?‎

What skills or experience do I need to already have before I learn about decision making?‎

What kind of person is best suited to work in a role that involves decision making?‎

How do I know if learning about decision making is right for me?‎

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