A Pattern Language for Decision-Making

Photo by Windell Oskay

Pattern languages have become all the rage. Why? Because they help codify best practices and provide a vocabulary to talk about those practices with others. A pattern language provides a conceptual framework for understanding a practice area, explaining it to others and improving performance. Patterns become tested, reusable pieces of knowledge that help people avoid the mistakes of others and increase their chance of success.

So why a pattern language for decision-making? Despite years of research and dozens of techniques in how to make good decisions, most decision-making is still ad-hoc, done by gut feel or with custom processes, with no documentation and little awareness of the best techniques to apply to a given decision. Certainly, some industries have excelled at certain types of decisions. Allocation decisions are well understood in financial services when trying to optimize a portfolio. But without a pattern language to talk about these decisions, it is difficult to share best practices across industries.

I aim to change that. By documenting, naming and classifying types of decisions, the situations surrounding those decisions and the types of analysis used to support those decisions, we can create a pattern language and decision-making framework that can help people learn, track and improve their decision-making.

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Learn Poker To Improve Your Business Acumen

Photo by Chris Chappelear

If you run a business, you should learn poker.

Let me clarify. You should learn Texas Hold ‘Em Poker. In person, around a table, with five to ten other people.

Poker will teach you on a gut level many of the key skills of business, from distinguishing good opportunities from bad ones, to the best strategies for playing out those opportunities. Texas Hold ‘Em, in particular, balances luck with skill, strategy with tactics, mathematics with psychology, and internal discipline with social dynamics.

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Managing LinkedIn Connections Using Tags

I’ve been in hypernetworking mode, having met over 40 people in the past two weeks, with two more networking events this week still to go. I now have over 250 contacts in LinkedIn. Looking through my connections, some I can’t even remember meeting. Others I had a good initial connection with, but they got lost in a pile of business cards and I unintentionally let the relationship fade away.

Figuring out how to manage these connections has been a problem. Then last week I discovered the notes and tags options in the right-hand column of each of my contacts. Now I’m taking notes about each person I meet so I remember them in the future, and tagging them using a new system to help me remember and manage my relationship with them. Continue reading >

A Decision Framework

We make hundreds of decisions a day, some conscious, some unconscious. But do we really understand what each decision entails, and are there ways to improve our decision-making?

The academics have defined dozens of models of decision-making, from the rational decision-making model to the ethical decision-making model to a nine step decision model proposed by David Welch. None of these, however, feels complete. Each deals with specific types of decisions, and while quite valuable for those types of decisions, fails to address so many of the other decisions we make in life. No one, or at least no one I’m aware of, has defined an overarching framework that covers all decisions that are made. This post is the beginning of my attempt to define such a framework. Continue reading >

Tribal Marketing

Yesterday at the Business of Software conference, Seth Godin spoke about tribes. “Build a movement, not a campaign”, he said (in my jumbled memory of paraphrased quotes). “Find your tribe and lead it. Marketing is now about tribes, not market segments, not brands, not advertising.”

But what is a “tribe”? Is this just the new hip word for “community” or “market”? I don’t think so.

Markets are centered around needs and communication. People who share common needs and talk to one another about those needs.

Communities are centered around shared ownership and mutual benefit. Stewardship of common resources and mutual aid to each other for the benefit of its members.

Tribes are about identity and culture. They are like markets because their members often share similar needs and talk to one another. But not always. They are like communities because their members often work to help each other out, and sometimes share ownership of common resources. But not always.
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5 Myths of Net Neutrality

Net neutrality bubbled to the top of the news stack today with the submission by Google and Verizon of their net neutrality principles to the FCC. Bloggers and news outlets cried “The End of the Internet is Nigh” with heated emotional tirades describing apocalyptical scenarios of what would happen to the Internet if net neutrality was ignored.

I started the day mildly in favor of net neutrality. People I respect, like Tim Berners-Lee, Lawrence Lessig and Vint Cerf, support net neutrality, so I thought it was a good thing. But the more reading I did, and the more I thought about the issues, the more I came to the conclusion that “net neutrality”is being redefined in ways that have broad consequences for the future of the Internet. And while I agree with some of the principles of net neutrality, on the whole, I’d rather live in a world without it.

While reading today through articles about net neutrality, I kept running across the same inaccurate claims and doomsday scenarios by people who seemed not to understand the dynamics or history of the Internet. This article goes through these claims and attempts to dispel those myths. Continue reading >

The Dimensions of a Decision

Late on a Friday night a game of poker is in progress. Three old friends sit around a table, making small banter with each other. Smoke drifts up to the ceiling as the cards are dealt.

Jim receives a seven of clubs and a two of diamonds. Tonight is Jim’s first time playing, and he doesn’t yet know this is the worst hand you can be dealt. He bets two chips, excited to be playing poker with his friends.

Tyler sits across from Jim. He just received a pair of aces and inside his heart skips a beat. Tyler is an old pro and knows well that a pair of aces is the best starting hand. He matches Jim’s two chips, feeling confident in his decision.

Sean sits next to Tyler. He was dealt a seven and a two also. Sean’s a novice as well, but he’s also a math genius. He quickly calculates the odds of winning in his head and determines that playing this hand would be foolish. He folds, confident in his decision.

Three cards are dealt face up in the middle of the table: the two of hearts, the king of spades and the queen of clubs. Jim bets again, excited that he has a pair of twos. Tyler matches his bet and another card is dealt: the seven of spades. One more round of betting and the final card is revealed: the seven of hearts.

Tyler and Jim flip over their cards. Tyler has two pairs, but Jim has a full house and wins the game.

Did Jim make a good decision to play out his cards when he was dealt a seven and a two? Did Sean make a bad decision by folding? It depends on how we define “good” and “bad”.

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Mixed Signals

Earlier this year, Jason Fried and David Hansson from 37 Signals released Rework, a book of advice to entrepreneurs. Several weeks ago, Darmesh Shah of HubSpot wrote a post at OnStartups listing his 37 favorite insights in the book.

Now, I’ve read a bunch of posts from Darmesh Shah and he’s a bright guy. And I respect 37 Signals for challenging conventional wisdom. However, the comments from the post and the reviews of the book tout this book as the new conventional wisdom. And that I think is dangerous.

There are no absolutes in life, and there certainly aren’t any absolutes in starting up a company. And while the insights may work for some startups, they can be disastrous for other startups. The key to successfully using insights like these, is knowing when they apply. So this post is a devil’s advocate post that attempts to provide some context to these insights, based on my own experience starting and running several companies over the past 13 years.

To be clear, I have not read Rework. I’m specifically commenting on the insights posted by Darmesh, since these are similar to many nuggets of wisdom I’ve been told over the years without being told when they apply. It’s not that these nuggets were wrong; they were just incomplete and lacked context. Many of the mistakes I’ve made have come from applying the right solution to the wrong problem. Continue reading >

Droid Apps That Have Rocked My World

I’ve had my Droid for five months now, and in those five months it has changed my life. The reason: apps.

Apps are not new. The iPhone may have perfected the distribution of them, but it certainly didn’t invent them. I had apps on my Windows Mobile phone, and before that on my Handspring Visor. In fact, you can trace apps back to the original Apple Newton PDA. (Okay, so Apple DID invent them…just not when people think they did).

But the combination of a phone, GPS, accelerometer, camera, speakerphone and touch screen have given apps a whole new life. So what apps have transformed my life? Well, besides browsing the web, reading e-mail and calling people, I’ve discovered lots of new apps. Continue reading >

Google Fiber for Asheville

Google Fiber for Communities is a new initiative being launched by Google which aims to bring gigabit Internet access to homes within a community yet to be selected. Why does Asheville and the surrounding areas need Internet access which is 100 times faster than the typical broadband connection today? Read on. Continue reading >

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