Mastering the Game of Life 1.3
(Friday)
Context
Part of effective decision-making involves minimizing the risks associated with your choices. This is particularly crucial when faced with unexpected situations or events. Life can be unpredictable, and the objective is to remain composed and make decisions that reduce potential risks.
Similar to how chess players improve by facing more experienced opponents, it's essential to surround yourself with associates who challenge you to grow mentally, physically, and emotionally.
Rule 3: When confronted with unforeseen circumstances, opt for decisions that mitigate future risks and avoid worsening the situation.
Rule 4: Build a circle of high-value individuals (HVIs) around you.
Why it's important: Unexpected situations often trigger impulsive reactions, leading to a loss of focus, heightened emotions, or hasty decisions. These rules are designed to ensure that you don't compound the challenges posed by unexpected events.
Moreover, being in the company of individuals who possess the positive mindsets, attitudes, traits, habits, and qualities of successful people can enable you to develop these same attributes and elevate your performance in life.
Primer Questions
How do you go about making important decisions? Do you have steps you follow? Or just go with your gut feelings or emotions?
Have you ever made a decision that made matters worse?
Have you heard of risk assesment? What do you think that means?
Write down your answers and observations in your journal.
Risk Assessment
Ask yourself:
1) Who will be affected by this decision? Think of everyone who might be affected.
2) What are the risks? Identify the risks.
3) How with you or others be affected by this decision if things go wrong?
Now what?
You have a great plan in place for reaching your goals. But then something unexpected happens. Unexpected situations and circumstances can place us under pressure.
How can you make good decisions under pressure when the unexpected occurs?
Watch the video.
What Would You Do?
Scenario:
You are about to travel over a long stretch of mountain road to get to your destination.
-There are no gas or service stations on the long stretch of road over the mountain.
-You are supposed to meet the rest of your friends that evening at a lodge.
-The problem is the temperature gauge/indicator on your car keeps flashing.
Questions:
Weigh the risks of these possible options:
Ignore the light and keep on driving.
Bring your car to a mechanic and find out what’s wrong. If something needs to be repaired, this could cost extra money and make you one day late.
Which option seems less risky?
Are there other options?
Write down your response or discuss it with others.
Let’s add more details. Will the new information impact your decision?
You find out that there will be a snowstorm at the same time you plan to travel over the mountains. The road may be slick, and the visibility might be impacted by snowfall.
The road has a lot of curves and turns.
It will take at least two hours to go over the mountains.
Do the new facts increase the risks of one option over another? Why is it important to get all the facts when deciding the risks of all your options?
Learning From The Best
In our last lesson, we examined how we can learn in hours what some people learned over many years, or even a lifetime. Listening to the advice of more experienced people is a great way to level up.
So in line with rule number 4 for Chess Masters, playing people better than yourself, we suggest you take this a step further. In addition to listening to advice or constructive criticism, also seek out and study the way successful people make decisions.
Here are a few things that great decision-makers do:
“Stay calm, and don’t become frustrated. The worst thing you can do is get so stressed that emotions cloud your judgment.”
“Create a pros and cons list. Often times you find out that a decision you really liked actually has more cons than pros. Writing down the pros and cons can oftentimes make the decision easy for you to make.”
“I like to talk it out. But only with those who I know who are knowledgeable about the subject. I don’t just want opinions. I want other people's real-life experiences, they’re insights based on making similar decisions.”
“Keeping and using a diary is actually a great tool for improving your decision-making skills. Over time it becomes your record of how well you’ve been making decisions. You can go back and see what you did before, or what you didn’t do before. Having a record of major decisions is a great resource.”
Metacognitive Goals
Try to recall a time you made a bad decision or a choice that didn’t turn out as you had hoped. Did you do any risk assessment before making your decision?
Then for the rest of the week, as you become conscious of how you may decisions, pay attention to your ability to consider the possible risks involved. Do you only think about how decisions will affect you? Or do you think about how your decisions will affect others?
Write your observations and comments in your journal.
Thought of the day.
“Don't be fearful of risks. Understand them, and manage and minimize them to an acceptable level.”