problem solving and decision making in the workplace

Culture Development

Workplace problem-solving examples: real scenarios, practical solutions.

• March 11, 2024

In today’s fast-paced and ever-changing work environment, problems are inevitable. From conflicts among employees to high levels of stress, workplace problems can significantly impact productivity and overall well-being. However, by developing the art of problem-solving and implementing practical solutions, organizations can effectively tackle these challenges and foster a positive work culture. In this article, we will delve into various workplace problem scenarios and explore strategies for resolution. By understanding common workplace problems and acquiring essential problem-solving skills, individuals and organizations can navigate these challenges with confidence and success.

Understanding Workplace Problems

Before we can effectively solve workplace problems , it is essential to gain a clear understanding of the issues at hand. Identifying common workplace problems is the first step toward finding practical solutions. By recognizing these challenges, organizations can develop targeted strategies and initiatives to address them.

Identifying Common Workplace Problems

One of the most common workplace problems is conflict. Whether it stems from differences in opinions, miscommunication, or personality clashes, conflict can disrupt collaboration and hinder productivity. It is important to note that conflict is a natural part of any workplace, as individuals with different backgrounds and perspectives come together to work towards a common goal. However, when conflict is not managed effectively, it can escalate and create a toxic work environment.

In addition to conflict, workplace stress and burnout pose significant challenges. High workloads, tight deadlines, and a lack of work-life balance can all contribute to employee stress and dissatisfaction. When employees are overwhelmed and exhausted, their performance and overall well-being are compromised. This not only affects the individuals directly, but it also has a ripple effect on the entire organization.

Another common workplace problem is poor communication. Ineffective communication can lead to misunderstandings, delays, and errors. It can also create a sense of confusion and frustration among employees. Clear and open communication is vital for successful collaboration and the smooth functioning of any organization.

The Impact of Workplace Problems on Productivity

Workplace problems can have a detrimental effect on productivity levels. When conflicts are left unresolved, they can create a tense work environment, leading to decreased employee motivation and engagement. The negative energy generated by unresolved conflicts can spread throughout the organization, affecting team dynamics and overall performance.

Similarly, high levels of stress and burnout can result in decreased productivity, as individuals may struggle to focus and perform optimally. When employees are constantly under pressure and overwhelmed, their ability to think creatively and problem-solve diminishes. This can lead to a decline in the quality of work produced and an increase in errors and inefficiencies.

Poor communication also hampers productivity. When information is not effectively shared or understood, it can lead to misunderstandings, delays, and rework. This not only wastes time and resources but also creates frustration and demotivation among employees.

Furthermore, workplace problems can negatively impact employee morale and job satisfaction. When individuals are constantly dealing with conflicts, stress, and poor communication, their overall job satisfaction and engagement suffer. This can result in higher turnover rates, as employees seek a healthier and more supportive work environment.

In conclusion, workplace problems such as conflict, stress, burnout, and poor communication can significantly hinder productivity and employee well-being. Organizations must address these issues promptly and proactively to create a positive and productive work atmosphere. By fostering open communication, providing support for stress management, and promoting conflict resolution strategies, organizations can create a work environment that encourages collaboration, innovation, and employee satisfaction.

The Art of Problem Solving in the Workplace

Now that we have a clear understanding of workplace problems, let’s explore the essential skills necessary for effective problem-solving in the workplace. By developing these skills and adopting a proactive approach, individuals can tackle problems head-on and find practical solutions.

Problem-solving in the workplace is a complex and multifaceted skill that requires a combination of analytical thinking, creativity, and effective communication. It goes beyond simply identifying problems and extends to finding innovative solutions that address the root causes.

Essential Problem-Solving Skills for the Workplace

To effectively solve workplace problems, individuals should possess a range of skills. These include strong analytical and critical thinking abilities, excellent communication and interpersonal skills, the ability to collaborate and work well in a team, and the capacity to adapt to change. By honing these skills, individuals can approach workplace problems with confidence and creativity.

Analytical and critical thinking skills are essential for problem-solving in the workplace. They involve the ability to gather and analyze relevant information, identify patterns and trends, and make logical connections. These skills enable individuals to break down complex problems into manageable components and develop effective strategies to solve them.

Effective communication and interpersonal skills are also crucial for problem-solving in the workplace. These skills enable individuals to clearly articulate their thoughts and ideas, actively listen to others, and collaborate effectively with colleagues. By fostering open and honest communication channels, individuals can better understand the root causes of problems and work towards finding practical solutions.

Collaboration and teamwork are essential for problem-solving in the workplace. By working together, individuals can leverage their diverse skills, knowledge, and perspectives to generate innovative solutions. Collaboration fosters a supportive and inclusive environment where everyone’s ideas are valued, leading to more effective problem-solving outcomes.

The ability to adapt to change is another important skill for problem-solving in the workplace. In today’s fast-paced and dynamic work environment, problems often arise due to changes in technology, processes, or market conditions. Individuals who can embrace change and adapt quickly are better equipped to find solutions that address the evolving needs of the organization.

The Role of Communication in Problem Solving

Communication is a key component of effective problem-solving in the workplace. By fostering open and honest communication channels, individuals can better understand the root causes of problems and work towards finding practical solutions. Active listening, clear and concise articulation of thoughts and ideas, and the ability to empathize are all valuable communication skills that facilitate problem-solving.

Active listening involves fully engaging with the speaker, paying attention to both verbal and non-verbal cues, and seeking clarification when necessary. By actively listening, individuals can gain a deeper understanding of the problem at hand and the perspectives of others involved. This understanding is crucial for developing comprehensive and effective solutions.

Clear and concise articulation of thoughts and ideas is essential for effective problem-solving communication. By expressing oneself clearly, individuals can ensure that their ideas are understood by others. This clarity helps to avoid misunderstandings and promotes effective collaboration.

Empathy is a valuable communication skill that plays a significant role in problem-solving. By putting oneself in the shoes of others and understanding their emotions and perspectives, individuals can build trust and rapport. This empathetic connection fosters a supportive and collaborative environment where everyone feels valued and motivated to contribute to finding solutions.

In conclusion, problem-solving in the workplace requires a combination of essential skills such as analytical thinking, effective communication, collaboration, and adaptability. By honing these skills and fostering open communication channels, individuals can approach workplace problems with confidence and creativity, leading to practical and innovative solutions.

Real Scenarios of Workplace Problems

Now, let’s explore some real scenarios of workplace problems and delve into strategies for resolution. By examining these practical examples, individuals can develop a deeper understanding of how to approach and solve workplace problems.

Conflict Resolution in the Workplace

Imagine a scenario where two team members have conflicting ideas on how to approach a project. The disagreement becomes heated, leading to a tense work environment. To resolve this conflict, it is crucial to encourage open dialogue between the team members. Facilitating a calm and respectful conversation can help uncover underlying concerns and find common ground. Collaboration and compromise are key in reaching a resolution that satisfies all parties involved.

In this particular scenario, let’s dive deeper into the dynamics between the team members. One team member, let’s call her Sarah, strongly believes that a more conservative and traditional approach is necessary for the project’s success. On the other hand, her colleague, John, advocates for a more innovative and out-of-the-box strategy. The clash between their perspectives arises from their different backgrounds and experiences.

As the conflict escalates, it is essential for a neutral party, such as a team leader or a mediator, to step in and facilitate the conversation. This person should create a safe space for both Sarah and John to express their ideas and concerns without fear of judgment or retribution. By actively listening to each other, they can gain a better understanding of the underlying motivations behind their respective approaches.

During the conversation, it may become apparent that Sarah’s conservative approach stems from a fear of taking risks and a desire for stability. On the other hand, John’s innovative mindset is driven by a passion for pushing boundaries and finding creative solutions. Recognizing these underlying motivations can help foster empathy and create a foundation for collaboration.

As the dialogue progresses, Sarah and John can begin to identify areas of overlap and potential compromise. They may realize that while Sarah’s conservative approach provides stability, John’s innovative ideas can inject fresh perspectives into the project. By combining their strengths and finding a middle ground, they can develop a hybrid strategy that incorporates both stability and innovation.

Ultimately, conflict resolution in the workplace requires effective communication, active listening, empathy, and a willingness to find common ground. By addressing conflicts head-on and fostering a collaborative environment, teams can overcome challenges and achieve their goals.

Dealing with Workplace Stress and Burnout

Workplace stress and burnout can be debilitating for individuals and organizations alike. In this scenario, an employee is consistently overwhelmed by their workload and experiencing signs of burnout. To address this issue, organizations should promote a healthy work-life balance and provide resources to manage stress effectively. Encouraging employees to take breaks, providing access to mental health support, and fostering a supportive work culture are all practical solutions to alleviate workplace stress.

In this particular scenario, let’s imagine that the employee facing stress and burnout is named Alex. Alex has been working long hours, often sacrificing personal time and rest to meet tight deadlines and demanding expectations. As a result, Alex is experiencing physical and mental exhaustion, reduced productivity, and a sense of detachment from work.

Recognizing the signs of burnout, Alex’s organization takes proactive measures to address the issue. They understand that employee well-being is crucial for maintaining a healthy and productive workforce. To promote a healthy work-life balance, the organization encourages employees to take regular breaks and prioritize self-care. They emphasize the importance of disconnecting from work during non-working hours and encourage employees to engage in activities that promote relaxation and rejuvenation.

Additionally, the organization provides access to mental health support services, such as counseling or therapy sessions. They recognize that stress and burnout can have a significant impact on an individual’s mental well-being and offer resources to help employees manage their stress effectively. By destigmatizing mental health and providing confidential support, the organization creates an environment where employees feel comfortable seeking help when needed.

Furthermore, the organization fosters a supportive work culture by promoting open communication and empathy. They encourage managers and colleagues to check in with each other regularly, offering support and understanding. Team members are encouraged to collaborate and share the workload, ensuring that no one person is overwhelmed with excessive responsibilities.

By implementing these strategies, Alex’s organization aims to alleviate workplace stress and prevent burnout. They understand that a healthy and balanced workforce is more likely to be engaged, productive, and satisfied. Through a combination of promoting work-life balance, providing mental health support, and fostering a supportive work culture, organizations can effectively address workplace stress and create an environment conducive to employee well-being.

Practical Solutions to Workplace Problems

Now that we have explored real scenarios, let’s discuss practical solutions that organizations can implement to address workplace problems. By adopting proactive strategies and establishing effective policies, organizations can create a positive work environment conducive to problem-solving and productivity.

Implementing Effective Policies for Problem Resolution

Organizations should have clear and well-defined policies in place to address workplace problems. These policies should outline procedures for conflict resolution, channels for reporting problems, and accountability measures. By ensuring that employees are aware of these policies and have easy access to them, organizations can facilitate problem-solving and prevent issues from escalating.

Promoting a Positive Workplace Culture

A positive workplace culture is vital for problem-solving. By fostering an environment of respect, collaboration, and open communication, organizations can create a space where individuals feel empowered to address and solve problems. Encouraging teamwork, recognizing and appreciating employees’ contributions, and promoting a healthy work-life balance are all ways to cultivate a positive workplace culture.

The Role of Leadership in Problem Solving

Leadership plays a crucial role in facilitating effective problem-solving within organizations. Different leadership styles can impact how problems are approached and resolved.

Leadership Styles and Their Impact on Problem-Solving

Leaders who adopt an autocratic leadership style may make decisions independently, potentially leaving their team members feeling excluded and undervalued. On the other hand, leaders who adopt a democratic leadership style involve their team members in the problem-solving process, fostering a sense of ownership and empowerment. By encouraging employee participation, organizations can leverage the diverse perspectives and expertise of their workforce to find innovative solutions to workplace problems.

Encouraging Employee Participation in Problem Solving

To harness the collective problem-solving abilities of an organization, it is crucial to encourage employee participation. Leaders can create opportunities for employees to contribute their ideas and perspectives through brainstorming sessions, team meetings, and collaborative projects. By valuing employee input and involving them in decision-making processes, organizations can foster a culture of inclusivity and drive innovative problem-solving efforts.

In today’s dynamic work environment, workplace problems are unavoidable. However, by understanding common workplace problems, developing essential problem-solving skills, and implementing practical solutions, individuals and organizations can navigate these challenges effectively. By fostering a positive work culture, implementing effective policies, and encouraging employee participation, organizations can create an environment conducive to problem-solving and productivity. With proactive problem-solving strategies in place, organizations can thrive and overcome obstacles, ensuring long-term success and growth.

Related Stories

• June 17, 2024

What is Team Morale and How to Boost It

Navigating through the maze: understanding types of organizational change, transform your business with a top change management consultant, what can we help you find.

• Coaching Skills Training
• Coaching TIPS²™
• Continuous Improvement Coaching
• Courageous Conversations Workshop
• Executive Coaching Program
• Feedback 360
• Safety Coaching
• Sales Coaching Training Program
• Free Consultation
• Applied Strategic Thinking®
• Strategic Leadership Course
• Strategic Teaming
• Strategy Development Processes and Services
• Communication Training for Managers
• Conflict and Collaboration

Confronting Racism Workshop

• Delegation & Accountability

Diversity, Equity, and Inclusion Workshop

• Flexible Leadership
• Leading Change
• Leading Groups to Solutions
• Leading Innovation
• Mid-Level Management Training
• Qualities of Leadership
• Bottom Line Leadership
• Customized Leadership Development Programs
• Leadership Development Program Design
• Mini-MBA & Operational Finance

Problem Solving and Decision Making in the Workplace

• Transition to Leadership
• Virtual Leadership
• High-Performance Teamwork
• Leadership Team Alignment Workshop
• Orienteering
• Corporate Outdoor Training and Team Building
• Retreats for Teams
• Innovation Skills Training
• Personal Impact Workshop
• Supervisor Training Programs
• Customization of CMOE’s Learning Library
• Full Curriculum Development and Design
• Learning & Development Advisory Services
• Bottom Line Leadership Training
• Consulting Services
• Leadership Retreats
• Learning and Development Consulting Services
• Needs Analysis and Organization Assessments
• Transformation & Change Solutions
• Facilitator Training Workshop
• Empathic Leadership
• Supervisor Development Series
• All Courses
• Digital Learning
• Books and Publications
• Assessments and Surveys
• Clients Served
• History and Experience
• Meet the CMOE Team
• Testimonials
• Articles & Tools
• Scenario Templates
• Certified Partners
• Event Resources
• Industry Insights
• Resource Library
• Video Library
• News and Events
• Professional Accreditation and Continuing Education Units
• Surveys & Assessments

Why is problem solving and decision making important in the workplace?

Problems come in all sizes—from major problems to daily nuisances—and the ability to resolve them is the heart and soul of every job at every level of an organization. If problems can be solved with greater accuracy, creativity, and confidence, factors that might negatively impact the organization otherwise will be minimized—or even averted entirely. Problem solving and decision making in the workplace often go hand-in-hand, with decision-making being especially important for management and leadership. In fact, for many organizations, success depends on the ability of people in positions of leadership to effectively solve problems and make decisions.

How do you develop problem solving skills?

In the Problem Solving and Decision Making workshop, participants gain the knowledge and skills that improve critical thinking and decision-making skills to better solve problems. The techniques and tools introduced in this workshop are appropriate for everyday application and are particularly useful in cases where the level of performance is falling short of expectations and the reasons for the deficiency are unclear. In this workshop, participants are introduced to a process that allows them to methodically think through and diagnose a problem’s root cause and then determine an effective solution.

Need More Information?

Objectives and Outcomes

In the  Problem-Solving & Decision-Making  workshop, participants learn how to

• Identify the “right” problems to solve
• Avoid speculating and making premature assumptions
• Look for patterns, changes, and differences to analyze and diagnose problems and discover root causes
• Effectively describe the problem and develop an accurate problem profile
• Apply a framework to compare the relative worth of the available options and make appropriate and effective decisions
• Take action on solutions and decisions as well as analyze results
• Apply the skills and tools to a real-world problem and decision-making opportunity

Our Approach

The Problem-Solving & Decision-Making workshop engages the learners through self-inquiry, sharing of experiences and best practices, and numerous opportunities to practice and apply the skills learned to relevant case studies—as well as to their own situations at work. Some of the elements we incorporate into the workshop include

• Case-studies
• Research based models
• Skill practice opportunities
• Tools and quick reference guides
• Experiential exercises
• Surveys and assessments

“Whatever failures I have known, whatever errors I have committed, whatever follies I have witnessed in public and private life, have been the consequences of action without thought.”

“The significant problems we face cannot be solved at the same level of thinking we were at when we created them.”

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

“Stop looking for solutions to problems and start looking for the right path.”

by 40 Years of Research

Leadership & Development Partner

Customer Satisfaction

to your Organization’s Needs

Delivery Options

The Problem-Solving and Decision-Making  workshop is available as a 1.5-day learning event. If requested, CMOE also offers stand-alone programs.

• A 1-Day stand-alone Problem-Solving Workshop
• A Half-Day stand-alone Decision-Making Workshop

These topics may also be integrated as part of the larger leadership development curriculum.

Instructor-led training (delivered onsite by a CMOE subject matter expert/facilitator)

Digital learning program (self-paced or live)

Blended and layered solution (combining instructor-led training and digital learning)

Train the trainer services (certifying internal trainers in CMOE’s world-class programs)

Curriculum integration (deliver the topic in conjunction with another topic or event or build it into a development curriculum)

4-16 hours (8 hours preferred) for instructor-led variable for digital learning

Contact a CMOE Client Services Specialist to discuss a targeted solution that is right for your organization.

Learn More About Our Personalized eLearning Programs.

Contact form.

Need More Information? Please fill out the following form and we will be in contact with you with more information.

" * " indicates required fields

Recommended For You

Feedback 360 – giving and receiving feedback, mid-level management training: developing the skills to drive success, recent blog posts, how employee engagement builds high-performing teams: 5 insights.

Employee engagement is the connection that a worker feels to the job. It’s about how […]

It’s Not About Being Tough, It’s About Growth: Giving Useful Feedback

We’ve all heard the phrase “Sticks and stones can break my bones, but words will […]

Balancing Recognition and Accountability: Leadership in Action

Effective leadership is foundational to the continued success of any organization. At the heart of […]

As Featured In:

The Better Business Bureau has determined that CMOE meets accreditation standards. These standards verify that CMOE’s product quality and competence enhance customer trust and confidence.

©2024 Center for Management & Organization Effectiveness. All rights reserved.

• Skip to main content
• Skip to primary sidebar
• Skip to footer

Additional menu

What is problem-solving? And why is it important in the workplace?

September 28, 2023 by MindManager Blog

If there’s one thing you can count on as a business professional, it’s that you’ll never run short of new problems to solve. Thankfully, whether it includes handling difficult or unexpected situations in the workplace, or resolving complex organizational challenges, we all have the capacity to develop our business problem-solving skills.

The best way to get better at tackling problems productively is to start at the beginning. After all, the better you understand what problem-solving is – and the significant role it plays in every organization – the easier you’ll find it to improve on problem-solving skills in the workplace.

Let’s dive in!

What is problem-solving?

Problem-solving refers to the act of find solutions to difficult or complex issues.

A good problem-solving definition might be finding solutions to difficult or complex issues . In practice, however, solving problems in the workplace is a little more immersive than that.

In the workplace, problem-solving includes a variety of tools, resources, and techniques to:

• Identify what’s not working.
• Figure out why it’s broken.
• Determine the best course of action to fix it.

Whether you know them as obstacles, glitches, or setbacks, problems are a part of our everyday lives. The good news is that our brains excel at reasoning out intricate scenarios and making calculations in situations we’ve never experienced before. That means every one of us is hard-wired to be an adept problem-solver.

The trick is to learn how to take that innate ability and apply it in a deliberate and practiced way.

However, one thing is certain: successfully resolving business and workplace issues is essential.

Not only does effective problem-solving create value that encourages growth, it goes hand-in-hand with impactful decision making.

What are the benefits of problem-solving in business?

Practically speaking, problem-solving provides a golden opportunity to improve your processes, products, and systems – especially when you work through those challenges with others.

Learning to face difficulties calmly, and deal with them intentionally, can also:

• Ramp up your confidence.
• Increase your resilience.
• Help you develop valuable critical thinking skills.

Applying problem-solving skills in the face of an obstacle that seems insurmountable trains you to shift your perspective and look at potential hurdles in a different way.

It also gets you used to examining multiple options for dealing with a problem, which can help you feel more confident in the direction you take.

Solving problems as a team

Business problem solving as a team offers an even wider range of benefits since active collaboration tends to make good things happen at both the individual and group level.

For example:

• Team-based problem-solving is akin to having a built-in sounding board when you explore new approaches and ideas.
• As each team member’s critical thinking skills evolve, they bring fresh insights to the collective problem-solving process, bearing out the old adage that many heads are better than one.
• Solving problems as a team also reduces the feeling of personal risk and exposure that’s common when one person is tasked with solving a puzzle. When that same problem is shared, the sense of risk gets dispersed, and individual team members are less likely to feel singled out.

Not only is there less chance of arriving at an unreasonable or biased solution when you problem-solve as a group, team members assigned to carry that solution out will feel more invested in its success.

Examples of problem solving skills in the workplace

Improving on your problem-solving skills helps you make the most of your brain’s natural capacity to analyze and reason things out.

There are dozens of problem-solving skills that play out in the average workplace – all of which can contribute to your ability to correct oversights, resolve conflict , and work around unexpected obstructions.

Here are a few common examples of problem-solving skills in the workplace, and tips on how to improve them.

1. Data gathering

Figuring out the cause of a problem hinges on collecting relevant data. Consulting efficiently with colleagues, conducting online research, and brainstorming with your team are all valuable data gathering skills.

2. Active listening

As opposed to listening in a purely supportive or empathetic way, active listening involves concentrating fully on what the other person is saying so you can understand the content, respond accordingly, and remember what was said later.

3. Troubleshooting

The ability to analyze and troubleshoot a situation with the help of any data and human input you’ve gathered is essential for drilling down into the core of a problem, and scrutinizing potential solutions.

4. Brainstorming

Brainstorming has become synonymous with creative thinking, innovative idea generation, and problem-solving. The more productive your brainstorming sessions, the more likely you and your group are to put together a list of quality, workable solutions.

It’s interesting to note that effective decision making is both a contributor to, and a by-product of, effective problem-solving.

For example, honing your analytical abilities and other problem-solving skills will inevitably help you make better decisions. The more efficient your decision-making process becomes, meanwhile, the better you’ll get at uncovering and acting on the most promising solution to any dilemma.

A simple problem-solving scenario

It’s clear that we can all benefit from getting more comfortable with problem-solving in the workplace.

Examples of situations where your problem-solving skills will come in handy aren’t difficult to find, and might include:

• Fixing a technical issue for your customer.
• Improving your student’s test performance.
• Reducing the theft of your in-store merchandise.
• Bumping up your marketing reach.

But, here’s the interesting thing. While it’s evident in each of these situations that there’s a problem to be solved, the exact nature of that problem isn’t so obvious.

In the student’s case, for example, you’d need additional input to help you figure out why they’re performing poorly. Only then would you be able to take steps to find the best-fit solution and achieve the desired learning outcome.

Here’s a simple scenario to help demonstrate that idea:

Bringing new customers onboard in a timely manner is an important part of your client relations strategy. Since hiring Alex a few weeks ago, however, your onboarding process has been taking longer than it should and team members are beginning to complain.

While you can see that the problem in this scenario is the fact that your team isn’t meeting their client onboarding goals, the key is to get clear on exactly what’s causing the hold-up.

You could jump to the conclusion that Alex has time management issues and that it’s time to start looking for a replacement. But, since one of the most common mistakes in business problem-solving is attempting to seize on a solution right away, that might cause you to waste time and resources on a remedy that ultimately proves unnecessary, or that doesn’t provide a viable fix.

Instead, it’s time to put your problem-solving skills to work.

Using data gathering and troubleshooting to pinpoint and clarify the bottleneck in your onboarding process – and active listening to interpret the situation from Alex’s perspective – you soon determine that the real cause of the problem is not what you thought.

In truth, an administrative oversight during the hiring process (yet another problem to be solved!) left Alex unaware of, and without access to, the business process map that’s so vital to efficiently onboarding new customers. Once you provide the necessary resources, it doesn’t take Alex long to get up to speed – and your client onboarding process to revert back to the well-oiled machine that it was.

Even with a team of eager problem-solvers by your side, the truth is that it’s often necessary to have the right problem-solving tools in place to achieve your desired results. That’s where versatile mind mapping software can help.

Not only does MindManager® provide a visual framework that fully supports the problem-solving process, it improves comprehension, inspires more creative solutions, and boosts your ability to make the best possible decisions.

Ready to take the next step?

MindManager helps boost collaboration and productivity among remote and hybrid teams to achieve better results, faster.

Why choose MindManager?

MindManager® helps individuals, teams, and enterprises bring greater clarity and structure to plans, projects, and processes. It provides visual productivity tools and mind mapping software to help take you and your organization to where you want to be.

Explore MindManager

You’ll Need Decision-Making Skills in Any Job—Here’s How to Get Them, Use Them, and Show Them Off

Whether you’re a first-time intern or president and CEO, decision-making is a crucial component of success at every rung on the career ladder. Companies rely on top talent to keep the business moving with quick, thoughtful decisions—from small, individual choices about the best way to tackle your to-do list to major strategic overhauls that affect the entire organization.

“Different employers look for various skills and strengths depending on their job requirements, but all organizations seek decision-making skills,” says executive career consultant Susan Peppercorn . Recruiters and hiring managers are looking to assess decision-making skills for just about every role they need to fill. Your ability to develop and maintain those skills, and also show them off as a candidate, can make or break your chances at landing that dream job—and then, of course, determine whether or not you succeed in it.

What Are Decision-Making Skills and Why Are They Important at Work?

Decision-making skills hinge on your “ability to see, understand, and articulate the outcomes of actions,” says executive coach Debbie Radish-Respess . They help you quickly and efficiently analyze a situation so you can choose paths that will ultimately lead to the best possible outcomes.

Radish-Respess had to fine-tune her own decision-making skills in her years working in human resources, five of which she spent as a VP, before transitioning into executive and leadership coaching. One of the things she learned is that it isn’t enough to simply know which decision to make; you also have to be able to communicate potential outcomes in order to convince other team members and leaders that your choices are the most sound. When an employee is able to do both, all aspects of the business (from financial to operational to interpersonal) benefit.

“Whether it’s a question of deciding which candidate to hire, which consultant to use, what project to implement or product to develop, having the capacity to make the best decision is critical for an organization’s success,” says Peppercorn, who has become a bit of a decision-making expert herself, building her own business guiding professionals in their careers. “Employees who can demonstrate the ability to identify all the options and compare both cost and effectiveness have an advantage over those who can’t.”

But it’s not just about the company. It’s also about you . Decision-making skills are crucial in helping you figure out what jobs you even want—and in successfully going after those opportunities. In other words, these skills will help you land jobs, thrive at work, and enable your team and organization to meet goals, sure. But they’ll also help you navigate your career and steer it in the directions that are meaningful and fulfilling for you.

When Do You Need Decision-Making Skills in Your Career?

There are countless work-related scenarios in which decision-making skills come in handy. One of the first is the hiring process—on both sides.

Hiring managers are constantly having to evaluate the qualifications each candidate has and which set of skills might be a better fit for the role that needs to be filled, Radish-Respess says. At the same time, candidates are typically doing the same thing—assessing whether or not a position and company are right for them. The decision-making skills of everyone involved in a typical job search scenario could mean the difference between an engaged and productive employee, and a person who is miserable in a job they merely took for a paycheck.

From choosing the right format for your resume to selecting a contractor to help complete your next project, decision-making skills are a crucial component to succeeding in both the job search and your career.

Other common work-related scenarios where decision-making comes into play might include:

• Organizing a team and assigning roles and responsibilities
• Making a go-no-go decision on a project
• Determining which strategy to use to meet company goals and how to execute it
• Creating a work-from-home policy
• Selecting board members
• Picking when—and what—to delegate
• Responding appropriately to an upset customer
• Fixing a production problem as soon as it’s discovered

What Steps Can You Use to Make Any Decision?

Peppercorn explains that there are six important steps in the decision-making process:

1. Define the Problem, Challenge, or Opportunity

The decisions we make in our day-to-day lives and careers are most often responses to problems or opportunities we may be presented with. For instance, if you’re searching for a job, your problem may be narrowing down current opportunities. Or if you’re assembling a team for a new project, your problem may be choosing team members who will work well together.

Whatever the situation may be, you first need to identify what the goal of the decision is. When responding to an upset customer, for example, the goal is probably to have them leave the conversation feeling like their problem has been resolved or their voice has been heard. Whereas if you’re creating a hybrid work strategy, your goal may be to balance employee happiness, productivity, and collaboration.

Before you start exploring different steps and strategies, make sure you’re clear on what you’re trying to achieve—and let that objective guide you throughout the rest of the process.

2. Generate Several Possible Solutions or Responses

Once you’ve defined the problem, challenge, or opportunity your decision will hopefully address, you can begin to think about possible solutions. In the job search, this could mean establishing a list of available job openings in your career field. And on the job, it could mean first pulling together the list of people who are available for your project.

How you develop that list of solutions depends entirely on what your goal may be, but in most cases it involves looking at the decision that needs to be made from as many angles as possible and allowing yourself the time to brainstorm options—either alone or in a group.

You might want or need to get input from others while in the early stages, Radish-Respess says. “Decisions may be based on a client outcome, an organizational strategy, or a department project,” she explains, and you’ll need information and insights from your colleagues. Plus, we aren’t always equipped to recognize our own biases or limitations, but a team approach can help to ensure you explore all avenues.

In some cases, you may also have to ask yourself if you have the authority to make this decision on our own. For example, you may need to bring your supervisor into the decision-making process and make a judgment about when. Perhaps you need to turn to your boss at the very beginning to confirm you’re reaching for the right goal or to ask them to be involved in the brainstorming phase or you may be able to simply share your suggested solution for approval.

3. Evaluate the Costs and Benefits, or Pros and Cons, Associated With Each Option

Once you’ve generated several possible ways forward, it’s time to examine each one more closely. Evaluating your options could be as simple as creating a pro/con list for each or as detailed as designing a scoring metric that allows you to rate each choice based on your pre-determined list of desires.

When it comes to looking for a job, for example, it doesn’t usually make sense to apply to every opening you find. Not only are there likely to be at least a few that aren’t a good fit, it’s also harder to tailor your resume and personalize your cover letter when you are applying to 50 jobs as opposed to five. So instead of taking your initial list and applying everywhere, you’d be better off taking some time to narrow down your options and to apply only to the positions that you might be the best fit for. You might select three to five things you are looking for in your next role (salary, location, flexibility, etc.) and then rank all potential openings based on those categories.

Similarly, if you were looking to put together a team for an important project, look at the qualifications of each candidate available to join your team, and consider carefully how those skills might fit together in different combinations. For each potential grouping, you might go through a checklist of the skill sets you need, consider how those employees would work together, and weigh the benefits of each worker’s participation against the cost of them deprioritizing other tasks.

4. Select a Solution or Response

In a perfect world, the obvious answer would appear after a little evaluation. And sometimes, that’s exactly what happens: One choice is clearly better than all the others.

In the real world, however, you’re often faced with choices that have comparable appeals and drawbacks. For instance, you might be offered two jobs: one in the exact field you want to work in, but for about $10,000 less a year than you want to make, and the other offering your goal salary, but with the caveat being that you would have to relocate. Neither choice fulfills everything, but both provide something, at which point you have to decide which one comes closest to being what you want. This may mean you have to drill your original pros and cons list down further, ranking each category by level of importance to you. Or it could mean adding additional categories you hadn’t initially considered, like room for growth or position prestige.

You may have to keep tweaking your evaluation methods until the right decision becomes clear—or at a certain point, you may have to simply select one path and move forward with it.

5. Implement the Option You’ve Chosen

When making important decisions, it is always important to commit. Don’t allow yourself to look back at the other options you could have chosen, or to what-if yourself into inaction and failure. Instead, commit to the choice you’ve settled on and focus on implementing the steps necessary to make it a success.

6. Assess the Impact of the Decision and Modify the Course of Action as Needed

Of course, committing doesn’t mean you can’t course-correct when necessary. What seemed like your dream job could turn out to be a nightmare if your direct supervisor is a bully. And what appeared to be the perfect solution for an upset customer could backfire if they’ve been offered the same solution in the past and aren’t satisfied.

Give yourself room to monitor your progress and to switch lanes if necessary. That doesn’t mean looking back. It just means starting from where you’re at and finding another way to get to where you want to be if your current choice isn’t getting you there.

What Are Some Examples of Decision-Making Skills?

As you work through the decision-making steps, you may wonder what types of skills actually make a person a strong decision maker. Here are a few of the key skills you’ll need:

• Problem-solving : Understanding the variables that influence the decision is crucial, as is understanding the impact of each decision you might make, Radish-Respess says. Being able to evaluate and solve a problem is the basis for making most decisions.
• Judgement: Of course, you can’t adequately evaluate anything without sound judgment. The ability to look at a situation clearly, identify potential problems and solutions, be aware of potential biases, and predict outcomes and repercussions will help you make better decisions.
• Intuition: Trusting your instincts can be a good start, Radish-Respess says. Our instincts are often based on our real-life experiences and the lessons we’ve learned along the way. We don’t always have a lot of time to make decisions, and in those moments when quick thinking is necessary, our intuition can be incredibly valuable.
• Teamwork: Collaboration, trust, and respect help teams make critical decisions, Radish-Respess says. When focusing on client deliverables, for instance, you must work with the client, and often other team members, to figure out what the client is looking for, how to best meet their needs, and how to improve the overall quality of the project. So many decisions you make at work require input from colleagues and approval from above as you work toward shared goals, and strong working relationships can help make the process as smooth and effective as possible, even when you disagree.
• Emotional intelligence: Like intuition, our emotions can often serve as a guide for where we need to go. When you’re hit with a burst of excitement, or a sudden wave of panic, it can be worth listening to those emotions and following them where they may lead. But it goes beyond self-awareness. When you’re working with a team to make an important decision, being attuned to others’ emotions and reactions can help you gather the right information, evaluate the options, and ultimately select a way forward.
• Time management : Scheduling, project management, and deadlines help decision-makers address the most pressing issues, challenges, and projects in a timely manner, Radish-Respess says. When you know what your deadline is, you can identify the steps necessary to reach your goal on time. This also allows you to track your progress and speed up or slow down your decision-making process as necessary. Because let’s be honest: Your well-thought out decision loses all value if you make it too late to matter.

How Can You Improve Your Decision-Making Skills?

It’s one thing to recognize the importance of decision-making skills, it’s another entirely to evaluate and improve your own. But that’s exactly what you need to do if you want to hone this skill set into an asset you can rely on both on and off the job.

The best ways to improve your decision-making skills often involve seeking out learning opportunities, Radish-Respess says, such as:

• Taking a decision-making course: Believe it or not, there are online courses for everything these days, including soft skills like decision-making. You can look for options on Udemy , Coursera , and LinkedIn Learning , and other online learning platforms .
• Working with a coach: If you’re looking to tackle a really major decision or are otherwise hoping for more personalized guidance, you might consider turning to a career coach who’s an expert in helping people with job search strategy , for example, or even to a decision coach more specifically.
• Reflecting on past decisions: When reflecting on past decisions, Radish-Respess suggests asking yourself some important questions: What did I do well? What decision could I have made instead of the one I did make? How many options were available that I didn’t take into consideration at the time? What did I like about the result? What did I not like about the result?
• Practicing: The more you flex your decision-making skills, the more confident you will become in your ability to make those important decisions when the time comes. Like anything else, these are skills you have to use in order to grow and maintain them. Even if you’re an entry-level employee, you can practice your decision-making skills by approaching your boss with proposed solutions instead of just presenting them with the problem or challenge. They may not always agree, but you’ll learn immensely from the process.
• Asking questions and getting input from others: As part of your practice, don’t be afraid to ask for help and advice—whether it’s from your manager or someone else involved in a particular decision or from a trusted colleague or mentor whose decision-making skills you admire. Hearing how others would approach a particular decision will help inform how you might do so in the future.

How Do You Show Off Your Decision-Making Skills During the Job Search?

Your decision-making skills are something you should be flaunting while searching for your next job (and if you’re still looking for roles to apply to, you can find hundreds of thousands of job openings on The Muse !). After all, hiring managers and recruiters are looking for employees who possess exactly the abilities you’ve worked so hard to gain. You can put them forward when you’re:

Building Your Resume

Numbers are important, Radish-Respess says. Any percentages, dollars, time frames, or numbers of clients served that can demonstrate the value of your decision-making skills should be highlighted here.

In other words: You don’t want to simply write “excellent decision maker” on your resume. You want to actually show what that means in terms of results wherever possible. And you can do that by writing quantified bullet points that highlight not just duties but also accomplishments .

Personalizing the Cover Letter

“Cover letters provide an opportunity to address the posted job description with a short anecdote that shows your decision-making skills and how they align with the needs of that company,” Radish-Respess says.

So let’s say the job description calls for someone who can think quickly under pressure. This would be a perfect place to tell a story about a time you had to do just that, relying on your decision-making skills to guide you.

Nailing the Interview

You can use your cover letter to paint a picture, and then your interview to connect the dots, further detailing how your decision-making skills have benefited you and your employers in the past.

One of the best ways you can show off your decision-making skills at the interview phase is by providing examples of how you’ve used them in the past, Radish-Respess says. “Did you perform an interview with a client to get a better understanding of their needs and therefore [increase] a project scope and revenue?” she asked. “Did you lead a team in which you chose the members?” And in doing so, did your team successfully complete their goals or work together in a way that was notable?

Keep those examples in mind and throw them out liberally in response to interview questions that focus on past successes—such as behavioral questions that prompt you to “ tell me about a time when… ”

If the hiring manager’s decision-making skills are as strong as yours, they’ll recognize what a mistake it would be to let another company scoop you up.

• INTERPERSONAL SKILLS
• Decision-Making and Problem Solving

Search SkillsYouNeed:

Interpersonal Skills:

• A - Z List of Interpersonal Skills
• Interpersonal Skills Self-Assessment
• Communication Skills
• Emotional Intelligence
• Conflict Resolution and Mediation Skills
• Customer Service Skills
• Team-Working, Groups and Meetings

Decision-Making and Problem-Solving

• Effective Decision Making
• Decision-Making Framework
• Introduction to Problem Solving

Identifying and Structuring Problems

Investigating Ideas and Solutions

Implementing a Solution and Feedback

• Creative Problem-Solving

Social Problem-Solving

• Negotiation and Persuasion Skills
• Personal and Romantic Relationship Skills

Subscribe to our FREE newsletter and start improving your life in just 5 minutes a day.

You'll get our 5 free 'One Minute Life Skills' and our weekly newsletter.

We'll never share your email address and you can unsubscribe at any time.

The SkillsYouNeed Guide to Interpersonal Skills

Making decisions and solving problems are two key areas in life, whether you are at home or at work. Whatever you’re doing, and wherever you are, you are faced with countless decisions and problems, both small and large, every day.

Many decisions and problems are so small that we may not even notice them. Even small decisions, however, can be overwhelming to some people. They may come to a halt as they consider their dilemma and try to decide what to do.

Small and Large Decisions

In your day-to-day life you're likely to encounter numerous 'small decisions', including, for example:

Tea or coffee?

What shall I have in my sandwich? Or should I have a salad instead today?

What shall I wear today?

Larger decisions may occur less frequently but may include:

Should we repaint the kitchen? If so, what colour?

Should we relocate?

Should I propose to my partner? Do I really want to spend the rest of my life with him/her?

These decisions, and others like them, may take considerable time and effort to make.

The relationship between decision-making and problem-solving is complex. Decision-making is perhaps best thought of as a key part of problem-solving: one part of the overall process.

Our approach at Skills You Need is to set out a framework to help guide you through the decision-making process. You won’t always need to use the whole framework, or even use it at all, but you may find it useful if you are a bit ‘stuck’ and need something to help you make a difficult decision.

Decision Making

Effective Decision-Making

This page provides information about ways of making a decision, including basing it on logic or emotion (‘gut feeling’). It also explains what can stop you making an effective decision, including too much or too little information, and not really caring about the outcome.

A Decision-Making Framework

This page sets out one possible framework for decision-making.

The framework described is quite extensive, and may seem quite formal. But it is also a helpful process to run through in a briefer form, for smaller problems, as it will help you to make sure that you really do have all the information that you need.

Problem Solving

Introduction to Problem-Solving

This page provides a general introduction to the idea of problem-solving. It explores the idea of goals (things that you want to achieve) and barriers (things that may prevent you from achieving your goals), and explains the problem-solving process at a broad level.

The first stage in solving any problem is to identify it, and then break it down into its component parts. Even the biggest, most intractable-seeming problems, can become much more manageable if they are broken down into smaller parts. This page provides some advice about techniques you can use to do so.

Sometimes, the possible options to address your problem are obvious. At other times, you may need to involve others, or think more laterally to find alternatives. This page explains some principles, and some tools and techniques to help you do so.

Having generated solutions, you need to decide which one to take, which is where decision-making meets problem-solving. But once decided, there is another step: to deliver on your decision, and then see if your chosen solution works. This page helps you through this process.

‘Social’ problems are those that we encounter in everyday life, including money trouble, problems with other people, health problems and crime. These problems, like any others, are best solved using a framework to identify the problem, work out the options for addressing it, and then deciding which option to use.

This page provides more information about the key skills needed for practical problem-solving in real life.

Further Reading from Skills You Need

The Skills You Need Guide to Interpersonal Skills eBooks.

Develop your interpersonal skills with our series of eBooks. Learn about and improve your communication skills, tackle conflict resolution, mediate in difficult situations, and develop your emotional intelligence.

Guiding you through the key skills needed in life

As always at Skills You Need, our approach to these key skills is to provide practical ways to manage the process, and to develop your skills.

Neither problem-solving nor decision-making is an intrinsically difficult process and we hope you will find our pages useful in developing your skills.

Start with: Decision Making Problem Solving

See also: Improving Communication Interpersonal Communication Skills Building Confidence

The Importance of Problem-Solving Skills in the Workplace

The ability to solve problems, both simple and complex, is valuable in all workplaces. More than 60% of employers look for evidence of problem-solving ability when evaluating candidates for roles in their organization. Problem-solving in the workplace draws on many different skills, often in collaboration, from analytical thinking and creativity to confident decision-making in critical situations. Modern employees who know how to problem solve and don’t panic when a problem arises can be trusted to work independently and contribute towards an organization’s success.

Some people are natural problem solvers - they see a challenge and they start to suggest solutions without even blinking. For others, problem-solving in the workplace doesn’t come as naturally, but they can develop skills and strategies to help them in the long term.

The role of problem-solving in the workplace 

Let’s take a more specific look at problem-solving in the workplace and start to understand just why it’s such a valuable trait.

To begin with, good problem solvers tend to be good decision-makers. When solving a problem, people may be required to make several smaller decisions to reach a complete solution so an ability to quickly make decisions is essential for fast and effective outcomes. If your team lacks this capability, then any challenges thrown their way will cause them to stall and fall behind. They may even make poor decisions if their ability to problem solve isn’t well-rounded and well-informed.

Strong problem-solving skills also contribute to innovation. This is useful for providing our organizations with a competitive edge but also for finding creative solutions to obstacles. Good problem-solving relies upon the ability to find a solution to the issue as it exists here and now, and not rely on using an approach that worked previously. This is why innovation as a facet of problem-solving in the workplace is key.

Problem-solving in the workplace often involves a lot of teamwork. Collaborating on a problem is a great way for a team to bond and learn more about each other’s strengths. In this way, problem-solving contributes towards team unity and purpose. There are even games you can present to your team to have fun and bond while improving their ability to problem solve.

Identifying problem-solving skills in employees

Many people may answer yes when asked if they’re good problem solvers, but we don’t have to rely on self-reporting (although it’s a useful measure). Instead, we can look out for certain behaviors and traits that indicate someone is good at solving problems. Key indicators of problem-solving capability include taking a proactive approach to challenges and asking insightful questions, as this shows both an understanding of a situation and the ability to think further outside it.

Hiring Managers often need to assess an applicant’s problem-solving abilities during the recruitment process. They can do this by asking situational questions about hypothetical problems and scenarios, and assessing how they would draw upon their skills and experience to tackle a problem. Recruiters can also use abstract reasoning tests to get an understanding of someone’s problem-solving abilities, seeing how they combine logic, fluid intelligence, and lateral thinking to find solutions.

HR teams and managers may also want to assess the problem-solving skills of their existing team members. They can do this with performance reviews, discussing examples that have occurred in the workplace and how the individual tackled an issue, and with feedback sessions utilizing 360-degree feedback from fellow employees. Managers can also consciously observe how their employees solve problems on a day-to-day basis, reviewing whether someone attempts to take on challenges independently or turns to others for help.

Developing problem-solving skills in your team 

Just because someone struggles to solve problems now doesn’t mean they can’t be coached to take a more confident approach in the future. Training and development programs focused on critical thinking, creative problem-solving, and decision-making strategies provide people with the skills and confidence to take on problems by giving them practice scenarios and examples to work from. This can be done at an individual and team level - it’s useful for a team that works closely together to understand how they can divide tasks and decision-making when it comes to problem-solving, and team bonding games provide a light-hearted way to learn this.

It’s easier to suggest solutions to problems in the workplace when you know it’s ok to experiment and make mistakes. If they want to benefit from problem-solving employees, leadership teams and managers should foster a supportive work environment where employees are encouraged to propose and test new ideas without fear of failure. They can do this through their approach to problem-solving in the workplace, and by being empathetic should errors occur in attempts to tackle problems.

Team leaders should also recognize the value of diverse perspectives when it comes to problem-solving. They shouldn’t always turn to the same people when a new problem presents itself but should encourage input from all parties. Varied viewpoints can lead to more innovative solutions or improvements on pre-existing solutions.

Leveraging Thomas’ expertise

For extra support in understanding your employees’ problem-solving abilities, you can turn to Thomas. Our assessments can help identify individuals with strong problem-solving capabilities or areas where employees need development. We can also provide tailored development solutions based on your assessment results with workshops designed to enhance problem-solving skills at a leadership and employee level.

The impact of strong problem-solving skills on business success 

Businesses made up of individuals with strong problem-solving skills set themselves up for success. When we recruit problem solvers and develop the problem-solving skills of our existing employees, we contribute to organizational growth by fostering innovation and improving how our teams collaborate.

There’s a very real return on investment to be made when companies spend time and effort on developing these skills. They create more agile, innovative individuals who give their organizations a competitive advantage versus organizations who overlook this crucial area.

Problem-solving in the workplace shouldn't be overlooked. Speak to an expert at Thomas today and see how we can enhance the problem-solving capabilities of your teams and set them up for success.

Please select which Thomas product you would like to sign in to

• Our solution
• Request a demo
• L&D strategy
• Empowering growth
• Measuring impact
• Trends and insights
• Our Solution

4 Decision-Making and Problem Solving Examples in the Workplace

Every day, you and your coworkers make countless decisions and tackle numerous problems. We know that many of these decisions or problems are so tacit that we don’t even consider them such—things like whether or not to show up for work, clock in, eat lunch, etc. However, there are some decisions and problems that are much more difficult and complex to deal with—such as setting quarterly strategies, business goals, streamlining operations, and more. The more effectively and efficiently these issues can be handled, the better. Yet, while many organizations desire a more effective decision-making process, few achieve one that works consistently. To help your organization find an ideal way to handle these challenges, here are a few decision-making and problem solving examples in the workplace that have worked for other organizations:

Whole Foods and Collaborative Decision Making

In an interview with Big Think , Whole Foods CEO John Mackey talked about how he made major decisions at Whole Foods—decisions that helped grow the company into a $13.7 billion organization that attracted the attention of Amazon. During the interview, Mackey said that he “tries to make major decisions at Whole Foods by trying to come to a consensus among the top minds in the company. When disagreements get expressed through the decision-making process,” he says, “you generally end up making better decisions.” Mackey also noted that “while it takes longer to make the decision, once you begin [to] implement it, it goes a lot faster because there isn’t sort of resistance and sabotage that works its way through the organization.” In other words, by bringing others into the decision-making process and encouraging them to share their dissenting opinions, he could find and address the flaws in a particular solution or decision more easily. This let Mackey address these issues and get buy-in from the rest of the leadership at Whole Foods at the same time—minimizing delays from internecine quibbles after the decision was made and the solution implemented. So, your own organization might benefit from using a collaborative process on major internal decisions—one where participants are actively encouraged (and expected) to share their comments and concerns so that the final decision will have the best possible impact.

Clearing Out Time to Make Creative Decisions

Tim Ferriss, author of the book Tools of Titans , has interviewed many entrepreneurs and established business owners for his podcast and for his writing research. In one Big Think article , Ferriss talks about some of the important insights he’s gleaned from these business owners over the years. As it turns out, to make the best and most creative decisions, people sometimes need to create what Ferriss calls “empty space.” As Ferriss notes in the video interview:

“Three to five hour uninterrupted blocks of time are extremely critical if you want to connect the dots, if you want to have the space to allow yourself to have original ideas or at least original combinations of ideas you really need to block out that time and protect it at least once a week. So, in Tools of Titans, there are many people who do this, Remet Set, for instance, who has a very, very successful multi, multimillion-dollar business that he built out of a blog he started long ago in college, which was very, very niche in its focus, he blocks out I believe it’s every Wednesday for three to five hours of time he’ll block it out for learning. Noah Kagan, another entrepreneur, does the same thing… Because as soon as you go into bullet dodging or, like Wonder Woman, bullet blocking mode with everyone else’s agenda for your time, which is very often the inbox or text messages, you’re DOA, you’re done.”

This frees time to think, learn, and concentrate without having to worry about emails, phone calls, texts, and other interruptions gives these business leaders the ability to focus and think more creatively about their businesses. This has helped them make more successful enterprises that grow and enable others to excel. Having to split focus among the concerns of every other member of the team can be detrimental to decision-making and problem solving. So, for some, creating an empty block of space in the schedule to learn or think about specific issues without interruption can be an effective tool.

Decision-Making After a Break

Even just taking a break from a task to do something else can help improve decision-making and creativity, as highlighted in a Big Think article about how unconscious thinking can help with problem solving tasks . One of the studies discussed in the article, “gave 112 university students two minutes to generate creative solutions that could improve the experience of waiting in line at a cash register. Ritter created two groups: half tackled the problem right away, while the others played a video game for two minutes.” The groups were later asked to pick which of their ideas were the most creative. Surprisingly, the videogame group seemed to have better ideas, and to be better at identifying the best ideas. As the article noted:

“while those in the conscious condition only picked their most innovative concepts about 20 percent of the time – they confused their genius with their mediocrity – those who had been distracted located their best ideas about 55 percent of the time. In other words, they were twice as good at figuring out which concepts deserved more attention.”

Although not an example of decision-making in the workplace, this study does highlight an interesting concept—giving people the time away from a problem can help them be better at solving it when they come back to it. So, giving employees a little leeway to back away from a difficult task and come back to it later can help them be more insightful and creative—leading to better decisions.

Asking for Advice: Robert S. Kaplan

Robert S. Kaplan, the President and Chief Executive of the Federal Reserve Bank of Dallas, has a significant piece of advice for business owners who want to improve the way they make decisions: “ Burst your own bubble and ask for advice .” In his article, Kaplan describes a common problem that gets in the way of leaders finding ways to improve: the power imbalance between leaders/managers and their teams. This imbalance of power, as Kaplan puts it, is that “you control their lives, you set their compensation. If they have future aspirations in their career you’re the person they’re relying on. You have all the power.” And, this power can make employees fearful of giving feedback. So, as a leader, Kaplan says that “you’ve got to ask them for advice.” Kaplan personally recommends using one-on-one sessions to help make employees just a little more comfortable sharing their advice because “no one wants to criticize you in front of others. They’re not going to do that unless they’re suicidal, but most people are not.” Creating one-on-one sessions with employees to evaluate your areas for improvement as a leader can be difficult. However, it’s vital to get an outside perspective if you’re going to correct blind spots in your decision-making processes and see things from a different angle.

Sign up to receive new research and insights every Tuesday. 

• Business Essentials
• Leadership & Management
• Credential of Leadership, Impact, and Management in Business (CLIMB)
• Entrepreneurship & Innovation
• Digital Transformation
• Finance & Accounting
• Business in Society
• For Organizations
• Support Portal
• Media Coverage
• Founding Donors
• Leadership Team

• Harvard Business School →
• HBS Online →
• Business Insights →

Business Insights

Harvard Business School Online's Business Insights Blog provides the career insights you need to achieve your goals and gain confidence in your business skills.

• Career Development
• Communication
• Decision-Making
• Earning Your MBA
• Negotiation
• News & Events
• Productivity
• Staff Spotlight
• Student Profiles
• Work-Life Balance
• AI Essentials for Business
• Alternative Investments
• Business Analytics
• Business Strategy
• Business and Climate Change
• Design Thinking and Innovation
• Digital Marketing Strategy
• Disruptive Strategy
• Economics for Managers
• Entrepreneurship Essentials
• Financial Accounting
• Global Business
• Launching Tech Ventures
• Leadership Principles
• Leadership, Ethics, and Corporate Accountability
• Leading Change and Organizational Renewal
• Leading with Finance
• Management Essentials
• Negotiation Mastery
• Organizational Leadership
• Power and Influence for Positive Impact
• Strategy Execution
• Sustainable Business Strategy
• Sustainable Investing
• Winning with Digital Platforms

7 Ways to Improve Your Ethical Decision-Making

• 03 Aug 2023

Effective decision-making is the cornerstone of any thriving business. According to a survey of 760 companies cited in the Harvard Business Review , decision effectiveness and financial results correlated at a 95 percent confidence level across countries, industries, and organization sizes.

Yet, making ethical decisions can be difficult in the workplace and often requires dealing with ambiguous situations.

If you want to become a more effective leader , here’s an overview of why ethical decision-making is important in business and how to be better at it.

Access your free e-book today.

The Importance of Ethical Decision-Making

Any management position involves decision-making .

“Even with formal systems in place, managers have a great deal of discretion in making decisions that affect employees,” says Harvard Business School Professor Nien-hê Hsieh in the online course Leadership, Ethics, and Corporate Accountability . “This is because many of the activities companies need to carry out are too complex to specify in advance.”

This is where ethical decision-making comes in. As a leader, your decisions influence your company’s culture, employees’ motivation and productivity, and business processes’ effectiveness.

It also impacts your organization’s reputation—in terms of how customers, partners, investors, and prospective employees perceive it—and long-term success.

With such a large portion of your company’s performance relying on your guidance, here are seven ways to improve your ethical decision-making.

1. Gain Clarity Around Personal Commitments

You may be familiar with the saying, “Know thyself.” The first step to including ethics in your decision-making process is defining your personal commitments.

To gain clarity around those, Hsieh recommends asking:

• What’s core to my identity? How do I perceive myself?
• What lines or boundaries will I not cross?
• What kind of life do I want to live?
• What type of leader do I want to be?

Once you better understand your core beliefs, values, and ideals, it’s easier to commit to ethical guidelines in the workplace. If you get stuck when making challenging decisions, revisit those questions for guidance.

2. Overcome Biases

A bias is a systematic, often unconscious inclination toward a belief, opinion, perspective, or decision. It influences how you perceive and interpret information, make judgments, and behave.

Bias is often based on:

• Personal experience
• Cultural background
• Social conditioning
• Individual preference

It exists in the workplace as well.

“Most of the time, people try to act fairly, but personal beliefs or attitudes—both conscious and subconscious—affect our ability to do so,” Hsieh says in Leadership, Ethics, and Corporate Accountability .

There are two types of bias:

• Explicit: A bias you’re aware of, such as ageism.
• Implicit: A bias that operates outside your awareness, such as cultural conditioning.

Whether explicit or implicit, you must overcome bias to make ethical, fair decisions.

Related: How to Overcome Stereotypes in Your Organization

3. Reflect on Past Decisions

The next step is reflecting on previous decisions.

“By understanding different kinds of bias and how they can show themselves in the workplace, we can reflect on past decisions, experiences, and emotions to help identify problem areas,” Hsieh says in the course.

Reflect on your decisions’ processes and the outcomes. Were they favorable? What would you do differently? Did bias affect them?

Through analyzing prior experiences, you can learn lessons that help guide your ethical decision-making.

4. Be Compassionate

Decisions requiring an ethical lens are often difficult, such as terminating an employee.

“Termination decisions are some of the hardest that managers will ever have to make,” Hsieh says in Leadership, Ethics, and Corporate Accountability . “These decisions affect real people with whom we often work every day and who are likely to depend on their job for their livelihood.”

Such decisions require a compassionate approach. Try imagining yourself in the other person’s shoes, and think about what you would want to hear. Doing so allows you to approach decision-making with more empathy.

5. Focus on Fairness

Being “fair” in the workplace is often ambiguous, but it’s vital to ethical decision-making.

“Fairness is not only an ethical response to power asymmetries in the work environment,” Hsieh says in Leadership, Ethics, and Corporate Accountability . “Fairness–and having a successful organizational culture–can benefit the organization economically and legally as well.”

It’s particularly important to consider fairness in the context of your employees. According to Leadership, Ethics, and Corporate Accountability , operationalizing fairness in employment relationships requires:

• Legitimate expectations: Expectations stemming from a promise or regular practice that employees can anticipate and rely on.
• Procedural fairness: Concern with whether decisions are made and carried out impartially, consistently, and transparently.
• Distributive fairness: The fair allocation of opportunities, benefits, and burdens based on employees’ efforts or contributions.

Keeping these aspects of fairness in mind can be the difference between a harmonious team and an employment lawsuit. When in doubt, ask yourself: “If I or someone I loved was at the receiving end of this decision, what would I consider ‘fair’?”

6. Take an Individualized Approach

Not every employee is the same. Your relationships with team members, managers, and organizational leaders differ based on factors like context and personality types.

“Given the personal nature of employment relationships, your judgment and actions in these areas will often require adjustment according to each specific situation,” Hsieh explains in Leadership, Ethics, and Corporate Accountability .

One way to achieve this is by tailoring your decision-making based on employees’ values and beliefs. For example, if a colleague expresses concerns about a project’s environmental impact, explore eco-friendly approaches that align with their values.

Another way you can customize your ethical decision-making is by accommodating employees’ cultural differences. Doing so can foster a more inclusive work environment and boost your team’s performance .

7. Accept Feedback

Ethical decision-making is susceptible to gray areas and often met with dissent, so it’s critical to be approachable and open to feedback .

The benefits of receiving feedback include:

• Learning from mistakes.
• Having more opportunities to exhibit compassion, fairness, and transparency.
• Identifying blind spots you weren’t aware of.
• Bringing your team into the decision-making process.

While such conversations can be uncomfortable, don’t avoid them. Accepting feedback will not only make you a more effective leader but also help your employees gain a voice in the workplace.

Ethical Decision-Making Is a Continuous Learning Process

Ethical decision-making doesn’t come with right or wrong answers—it’s a continuous learning process.

“There often is no right answer, only imperfect solutions to difficult problems,” Hsieh says. “But even without a single ‘right’ answer, making thoughtful, ethical decisions can make a major difference in the lives of your employees and colleagues.”

By taking an online course, such as Leadership, Ethics, and Corporate Accountability , you can develop the frameworks and tools to make effective decisions that benefit all aspects of your business.

Ready to improve your ethical decision-making? Enroll in Leadership, Ethics, and Corporate Accountability —one of our online leadership and management courses —and download our free e-book on how to become a more effective leader.

About the Author

More From Forbes

Tips and techniques for problem-solving and decision-making.

• Share to Facebook
• Share to Twitter
• Share to Linkedin

Divya Parekh , of The DP Group, covers business growth, storytelling, high-impact performance and authority building.

Are you struggling to find effective solutions to problems you face in your professional or entrepreneurial ventures? Are you often indecisive when faced with complex decisions?

The ability to solve problems and make decisions quickly and effectively can mean the difference between success and failure. There are two main approaches to problem-solving and decision-making: vertical thinking and horizontal thinking. Both approaches have strengths and weaknesses, so understanding the differences between them can help you apply the right method at the right time.

Let's look at a few case studies to understand the very different benefits of these two approaches.

Vertical Thinking For Decision-Making

First, let's take Jane, the CFO of a financial services company. She needs to decide whether to invest in a new company software system.

Jane gathers all the relevant data about the software system and analyzes it thoroughly. She compares the cost of the system to the potential benefits, evaluates the risks involved and consults with subject matter experts. After careful consideration, she decides the benefits outweigh the costs and risks, and the company should invest in the software system.

This is vertical thinking: making a well-informed decision based on a thorough analysis of the data. Vertical thinking is especially useful in situations where there is a clear goal and a need for a precise, data-driven approach. Experts often use it in fields like finance, where decisions depend heavily on facts and figures.

Best Travel Insurance Companies

Best covid-19 travel insurance plans, horizontal thinking for problem-solving.

Let's move on to Sophie, the head of marketing for a fashion company. The company has been struggling to attract new customers.

Sophie sets up a brainstorming meeting with different department heads. They come up with a variety of creative solutions based on their diverse perspectives. One idea that stands out is to partner with a popular social media influencer to promote the company's products. The team works together to develop a plan to reach out to the influencer and negotiate a partnership.

This is horizontal thinking: working with a team to generate a variety of ideas and consider different perspectives to find an innovative solution. Horizontal thinking is a great approach for problem-solving when the problem is complex and there may be multiple solutions or approaches. Creative professionals, especially in marketing, advertising and designing, highly value this approach.

How Emotions Affect These Approaches

Over several years of coaching, I've noticed that emotions can play a significant role in problem-solving and decision-making, regardless of the thinking style used.

For instance, when using vertical thinking, emotions such as frustration and impatience can arise when a person or team has been working on a problem for an extended period with no clear solution. Conversely, when a team lands on a solution, there can be a sense of relief and accomplishment.

Similarly, when using horizontal thinking, emotions such as excitement and optimism can arise during a brainstorming session when new and creative ideas are being generated. However, disappointment or frustration can also arise when an idea fails to work.

It's important to recognize and acknowledge these emotions as they can affect team dynamics and ultimately, the success of the problem-solving process. I encourage leaders to create a safe and supportive environment where team members feel comfortable expressing their emotions and concerns.

Make These Thinking Styles Work For You

In my experience, a personalized approach that balances both vertical and horizontal thinking can help manage emotions and any other issues that arise effectively. By using vertical thinking to identify specific problems and solutions, and horizontal thinking to generate creative ideas, you can create a problem-solving process that encourages collaboration, creativity and innovation while minimizing negative emotions.

Are you ready to take your problem-solving and decision-making skills to the next level?

Forbes Coaches Council is an invitation-only community for leading business and career coaches. Do I qualify?

• Editorial Standards
• Reprints & Permissions

You are using an outdated browser. Please upgrade your browser to improve your experience.

• Workplace Training
• Professional Practice Credentials
• Soft Skills
• Technical Skills
• Leadership Skills
• View all skills
• Articles and News
• White Papers
• Deakin University

POWERING WORKPLACE PERFORMANCE

20 december, 2022, why problem solving skills matter in the workplace.

Whether you’re an artist, a software developer or a CEO of a multinational conglomerate, problem solving skills are a critical asset in any professional setting.

Closely linked to other cognitive competencies including self-management and critical thinking, problem solving is a key workplace skill that empowers employees to manage change, communicate effectively and bring a fresh perspective to old problems. But to harness the benefits of logical and adaptive thinking in the workplace, organisations must take concerted action to foster problem solving skills in their employees.

What do problem solving skills in the workplace look like?

Workplace problem solving has several prominent distinctions when compared to problem solving in other contexts. This includes the formal and goal-oriented structure of the problem, as well as the critical role of teamwork in reaching a solution. An individual who shows competence in problem solving outside the workplace may not necessarily thrive when confronting a workplace issue.

A lack of problem solving skills in the workplace can be detrimental to businesses. Problem solving skills enable employees to evaluate and effectively resolve daily challenges.  Every job role within a business will face challenges and unexpected situations. Problem solving skills provide employees with the ability to recognise and analyse problems, identify and evaluate a range of potential solutions and then decide on and implement the most effective solution.

A workforce equipped with problem solving skills will be adaptive and ready to face the challenges of the constantly evolving modern workplace. Its employees will demonstrate an ability to:

• Listen actively
• Think analytically and creatively
• Come up with innovative solutions
• Communicate effectively
• Make decisions confidently based on evidence
• Work together as a team

The importance of problem solving skills in the workplace

Problem solving is a vital skill in the workplace. The ability to think logically and creatively empowers individuals to tackle challenges and seize opportunities in all levels of business. This in turn helps to achieve the following benefits of problem solving skills in the workplace:

Time and resources are used efficiently

All businesses have limited time and resources. This means that when a problem arises, it must be resolved as quickly as possible leveraging available resources. One of the major benefits of problem solving skills in the workplace is that employees can utilise their innovative thinking to prioritise tasks and focus on pressing challenges facing the business. This will result in them providing effective solutions that utilise available resources within the time frame available.

Improved problem solving skills also lead to improved time management as employees learn to make quick and effective decisions. Problem solving skills become even more critical where employees are expected to  provide solutions to complex or urgent problems.

The business can better respond to changing client needs

One of the primary purposes of a business is to deliver reliable and excellent service to their clients. Satisfied clients buy more goods or services, create positive advertising by word-of-mouth and generate referrals. But businesses operate in a changing world, which leads to changing client needs that must be anticipated as early as possible.

Employees must be able to take the initiative to respond to those changing needs. A workforce equipped with problem solving skills can quickly reposition itself to better meet shifts in client needs and developments in the environment in which those clients operate.

The business stays ahead of the curve

To stay ahead of the curve, a business must be proactive across all levels. Change in the modern workplace is constant and businesses must come up with fast solutions to problems and be prepared to take advantage of new opportunities as they arise.  Employees must be confident to continually challenge the norm and swiftly adapt to changes in the business and the market.

A team that can confidently solve problems will see problems as an opportunity to initiate change and growth, which will help to keep the business ahead of competitors.

The business can anticipate risk

Employees equipped with problem solving skills can handle difficult situations that arise in the workplace. They can expertly deal with challenges that create risk for the business.

A successful business must be able to assess the probability of something going wrong and be able to anticipate the negative consequences if it does. Problem solving skills assist employees to foresee the likely sources of risk to the business and to make considered decisions as to the best way to manage those risks. These skills also play a key role in refining an organisation’s internal talent pipeline.

Strategies for developing problem solving in employees

When developing problem solving in the workplace, it is critical to take a flexible approach that addresses the needs of both current and future employees.

Emphasise problem solving in recruitment and assessment

Whether they are entry level, managers or senior executives, problem solving is a crucial skill for all your employees. Skills that indicate a strong problem solving ability are listening skills, analytical thinking skills, creative thinking skills and communication skills. These skills should be sought out and encouraged in both recruitment and assessment.

One way to identify problem solving skills in interviews is by giving candidates problems that they must solve on the spot within a limited time frame. Interviewers can then assess both the solution that the candidate came up with as well as how they responded to the unexpected challenge.

Self management, not micromanagement

Micromanagement can impede a business’ ability to reach its goals. Instead of raising productivity, micromanagement is more likely to lower the morale of your employees, stifle creativity and damage trust. Employees must have the ability and be given the opportunity to manage their own workflow and productivity without constantly relying on a supervisor.

Problem solving skills will help equip your employees with the ability to self manage their tasks and projects. Through purposeful self management , they will be able to take initiative to solve both the straightforward and complex problems faced in their role.

Give employees goals rather than instructions

Giving employees step-by-step instructions as to how to complete each aspect of their job will not result in an agile and innovative workforce. Rather, it will restrict their ability to seek out new methods and evaluate current contexts.

By providing employees with goals rather than limiting instructions, businesses can increase employee engagement and productivity. This in turn can help empower employees to contribute meaningfully to larger business objectives.

Promote a culture of innovation and collaboration

A successful and resilient business supports its employees with a culture that promotes innovation and collaboration. Problem solving skills will allow your employees to build relationships and excel at daily decision making processes.

Good problem solvers possess good communication skills and can collaborate effectively with their team. They can also think laterally and creatively to find innovative solutions to problems and find opportunities for business development.

Ensure employees have the resources to solve problems

In order to identify issues and discover impactful solutions, employees must have access to relevant tools that provide them with in-depth insights into internal and external contexts. Even the most innovative thinker will struggle to fully capitalise on their problem solving skills without the right resources to support them.

Of course, the nature of these resources will depend on the employee’s role and the context in which they work. Resources may include software, subscriptions, technological equipment and specific communication channels. For all of their differences, these resources will ideally assist the employee to integrate root cause analysis into day-to-day processes.

Provide training

Despite common misconception, problem solving skills are not necessarily innate. Rather, analytical and creative thinking skills can be fostered through purposeful training that provides individuals with a toolkit of problem solving techniques. It also offers an open space for employees to build on existing skill sets through hypothetical scenarios that will test their ability to extempromise, communicate proactively and think creatively.

Start building problem solving skills today

All businesses have the power to create proficient problem solvers within their existing and future workforce. Contact our team today to find out how a bespoke DeakinCo. learning solution could help your employees build on their problem solving skill sets through purposeful, relevant training.

Looks like you’re in India. Would you like to go to your local site?

25+ Good Examples of Problem Solving in the Workplace

Problem-solving is a necessary skill for success in any workplace situation, but it’s especially important when you’re working with other people.

However, this skill seems to be a lost art nowadays. More and more employees— even some leaders —find it difficult to efficiently solve problems and navigate challenging situations.

According to professionals, here are good examples of problem-solving in the workplace:

Lisa Bahar, MA, LMFT, LPCC

Licensed Marriage and Family Therapist | Philosophy of Global Leadership and Change Ph.D. Student, Pepperdine University

How are workplace environment problems assessed and evaluated?

Workplace environments problems are assessed and evaluated by completing an environmental scan conducted by an internal or external consultant .

The consultant assesses the workspace, employee interaction, culture, and leadership approaches to identify the problem and the elements supporting the issue.

There are methods and models associated with environmental scans that change experts and problem solvers use to conduct a thorough analysis of the organization for the purposes of change.

Using the effective method of Change Models

The consultant determines effective methods defined as “Change Models,” selected based on the organization’s objectives and strategic goals.

The consultant considers results from an evaluation process that provides a greater understanding of the organization on a micro-level by reviewing social, political, economic, legal, intercultural, and technology elements of the organization SPELIT (Schmeider-Ramirez and Mallette, 2007).

Implement the appropriate Change Model

SPELIT is one of several methods to use in the evaluation process of an organization. Once the consultant completes the evaluation and the problem(s) are identified, the next step is implementing the appropriate Change Model.

For example, an eight-step change model by Kotter is an easy-to-understand approach to identifying change steps in an organization (Kotter, 1996).

The Kotter model can be combined with a training approach, for example, Kirkpatrick’s four levels of training (Kirkpatrick, J.D., and Kirkpatrick, W.K., 2016).

Learn and identify the problem

An example of a learning problem could be a clinical setting needing to transition to electronic notes for client care and experiencing resistance to the change by the organization’s employees.

The evaluation is to identify if it is a:

• Reaction problem
• Learning problem
• Behavior problem
• Result problem

A consultant may start interviewing leadership, team manager, and workers to gain knowledge and comprehension of the problem.

Bloom’s Taxonomy (Bloom, 1972) can be used as a tool by the consultant to evaluate and identify the learning problem and the objectives that need to be implemented to create change.

The consultant will assess with surveys, interviews, discussions and design and implement training that supports the organization’s staff goals using electronic notes versus handwritten notes to maintain compliance with regulatory standards.

References:

Bloom, B. S. (1972). Taxonomy of educational objectives: The classification of educational goals. Kirkpatrick, J. D., & Kirkpatrick, W. K. (2016). Kirkpatrick’s four levels of training evaluation. Association for Talent Development. Kotter, J. P. (1996). Leading change. Harvard Business Press. Schmieder-Ramirez, J. H., D., J. S., & Mallette, L. A. (2007). The Spelit power matrix: Untangling the organizational environment with the Spelit leadership tool. Createspace Independent Pub.

Nick Seidel

Safety and Health Specialist, Nick to the Plus

As a Safety and Health Specialist in a million square foot warehouse with 200 material handling equipment on the floor, we have reduced our OSHA Recordable Injuries by over 70% in four years.

I would say keep it simple , trust your team , and know your leading indicators .

Keep it simple and trust your team — don’t overcomplicate problems and solutions

Many new “Leaders” in the workplace want to make an impression. While they are trying to make this impression, they overcomplicate problems and solutions.

They try to reinvent the wheel. Many times this will cause confusion, frustration, and double work.

An example of keeping it simple is (if you are a new Leader in a workplace):

• Know that your team are the experts and have seen many of you come through.
• Ask your team what we can do to make your process more accessible or better.
• Let your team know that you trust them by giving them ownership in their process, and that will foster trust in you.
• When your team comes to you with suggestions and/or problems, make sure you follow through with their requests.
• Crowdsource or mastermind the problem, let the team solve the problem, and provide the resources.

Know your leading indicators and how to measure them

A VP told me one time that you can improve something if you aren’t measuring. To solve problems in the workplace , you first need to know the issues and how to measure them.

For example, in safety, I know my leading indicators are:

• Have a Safety Team that meets regularly with a structured outline to follow.
• Are we up to date with safety training?
• Do we have leadership commitment? What are our follow up and follow through ratings?
• Are employees engaged in safety? Do they feel comfortable reporting hazards or injuries?
• Are we tracking near-miss incidents and correcting the hazards before it becomes an incident?
• Do we have consistent and clean housekeeping?

So in closing, keep it simple, trust your team, and know your leading indicators to solve problems in the workplace.

Matthew Carter

Attorney,  Inc and Go

Give your good employees more face time with clients. Not all problems relate to clients or customers, but many of them do.

Give your workers the presence and authority to fix client problems

The first step to solving those as they come up is to give your trusted workers the presence and authority to fix client problems.

That means making your worker the company’s “face” to a particular client and giving them the latitude to make decisions. That can empower both the worker and the client to solve problems before getting involved.

Of course, you still need to be on hand for big issues, but those should lessen as time goes on.

Have fewer formal meetings

Nothing stifles creativity faster than another boring all-hands meeting. Throw in a PowerPoint Presentation and a long agenda, and your workers have completely checked out.

Sometimes meetings are necessary, but real problem-solving more often takes place in smaller, unstructured brainstorming sessions with the most personally invested in a problem.

It’s essential that you maintain personal relationships with your workers. If they are having trouble with a particular project or presentation, you can stop by their office for a few minutes to hash out a solution.

Give your ideas time to marinate

In today’s business environment, we often prize speed above all else. After you have brainstormed a solution, it’s often good to get it on paper and then let it sit for a night before coming back with a clear head .

That’s not usually a good recipe for creativity.

If your project is time-sensitive, at least take an hour before returning to it . Creative problem-solving often needs time to work, so when you give ideas time to marinate, you and your clients will probably be happier with the solutions.

Steven Walker

CEO,  Spylix

Meet with your boss to evaluate the problem before it worsens

Problem-solving skills help you find the cause of a problem and an effective solution . In any case, how to reliably perceive problem-solving is very similar to its limitations, and the other related skills are significantly increased.

Problem-solving is a system that involves understanding tests and finding valuable solutions in the workplace. In everything that matters, every ally needs a worker with these qualities to consider their problem-solving skills and aid in a pleasant cycle in their everyday work.

Following are some skills for problem-solving in the workplace:

• Fully fixed duty skill
• Evaluation skill
• Research skill
• Imagination/implementation skill

Following are some examples of problem-solving in the workplace:

• Whether it be you or someone else, it promotes bad things .
• Overcoming management delays through problem-solving and response.
• Troubleshooting problematic or dissatisfied customers
• Overcome the problems associated with limited spending plans and now use creative problem solving to devise unusual action plans.
• Overcome the need to prepare/complete your workplace to deliver great work anyway.
• Exploring and solving apparent problems.
• Supervision and Dispute Resolution through Assistants.
• Solve all problems related to cash, settlement with customers, accounting, etc.
• Be truthful when other assistants miss or miss something important.
• Go ahead and meet with your boss to evaluate the problem before it worsens.

Christopher Liew, CFA

Creator,  Wealth Awesome

Surprisingly, approximately 85% of American employees have experienced conflicts with peers and colleagues in their workplace.

It’s why we need to teach people problem-solving techniques in the workplace efficiently and effectively.

Use the consensus decision-making technique frequently

This type of problem-solving technique allows everyone to agree that a particular problem needs to be discussed thoroughly and needs to be solved immediately .

Ideas, opinions, suggestions, solutions, or violent reactions are voiced freely. The goal of this problem-solving technique is to make a list of recommendations that are acceptable to all members of the company.

After that, they further develop the best solution from one of the recommendations that they have all agreed on previously.

It can significantly increase group cohesion and team unity since the consensus decision-making technique allows everyone to participate freely without being judged harshly .

Use the devil’s advocate decision-making technique accordingly and moderately

This type of problem-solving technique allows the business organization to form a panel that will thoroughly scrutinize a group’s ideas and suggestions within the company.

The goal is to uncover weaknesses in the ideas and suggestions presented instantly.

However, this type of decision-making technique can only be implemented efficiently and effectively if the group presenting an idea, suggestion, or solution is open to receiving feedback and constructive criticisms.

It should be used moderately as this decision-making technique could sometimes add tension among group members within the company.

Magda Klimkiewicz

Senior HR Business Partner,  Zety

Make the current process faster, more efficient, or more accurate

One of my all-time favorite ways of problem-solving in the workplace is making the current process faster, more efficient, or more accurate.

Personally, I call this “operation consolidation,” and despite the corny nickname, trust me, when completed, everyone will be appreciative (at least in the long term).

The level of inefficiency and room for improvement is never-ending .

Every dashboard, database, or process often grows in size and complexity over time as everyone is interested in adding that extra field, messing with that new factor without stopping and thinking, “Do we still need and are we using some of the original ones?”

Evolution is constant and makes sense ; however, as the new fields are populated, and processes added, it makes sense to stop and do some much-needed spring cleaning.

This is similar to Coca-Cola’s recent culling of almost half of its portfolio (which only accounted for 5% of its sales). Likewise, every organization looks to subtract before adding on new ones.

So always look to simplify , cut in half , and get rid of the excess fat , whether meetings, overblown dashboards, or processes with too many layers and stakeholders – triage ruthlessly and watch the magic happen.

Stephan Baldwin

Founder,  Assisted Living Center

Allow each party to voice their solutions to the problem through brain dumping

Brain dumping allows each party to voice their solutions to the problem. Most conflicts involve an offender , defender , and mediator who decides on a resolution.

But opening the floor to suggestions helps implicated employees feel heard and understood, even if you don’t settle for their idea in the end.

Some people prefer to express their preferences in private, so you may want to conduct individual discussions before regrouping to resolve the issue.

All suggestions can remain anonymous to avoid the appearance of bias

From there, all suggestions can remain anonymous to avoid the appearance of bias. Hash out each option with everyone and decide upon a compromise that works best for the majority.

Implement the 5-whys technique

Problem resolution can also take a coach’s approach by implementing the 5-whys technique. The 5-whys allows employees to discover the root of their conflict without directly involving the mediator.

Start the conversation by asking one party why they reacted to the situation offensively. Then, follow up their response by inquiring why they felt or thought that way.

By the time you get to the fifth “why,” everyone should have a clearer picture of how things unraveled.

It can transform the conflict into a collaboration development exercise

This technique can transform the conflict into a collaboration development exercise by allowing colleagues to understand each other’s points of view.

Overall, it encourages more empathy and reasoning in the problem-solving process.

Adam Crossling

Marketing Manager,  Zenzero

Make meaningful time to interact with your staff

Set a high standard for communication to solve this problem. Face-to-face communication is preferable whenever possible.

Phone conversations, emails, and texts are acceptable in an emergency, but they are insufficient to replace an utterly present dialogue.

Set suitable objectives and expectations

Make sure your staff grasps the essentials by referring to job descriptions. Convene a brainstorming session for unique initiatives and auxiliary goals, and define goals as a team .

Your staff could surprise you by establishing more challenging goals for themselves than you do.

Demonstrate your worth to a new team or yourself

Share your work description with your staff to solve the problem. Seriously, if you don’t already have one, make one .

It might be a once-in-a-lifetime opportunity. Communicate your priorities, and follow through on what you say you’ll do.

Kyle Kroeger

Founder,  The Impact Investor

Implementing workplace synchrony

This concept that I call workplace synchrony is something that other forms of working may not offer. For example, it is something that the newly introduced remote work culture cannot sufficiently prove to be an alternative.

Workplace synchrony is the impeccable order of operations in which specific departments in the workplace run their proceedings.

For example, I want you to consider this; the production team in a textile factory ensures that the conveyor belt functions correctly, products are manufactured in an orderly manner, and the daily target is met.

However, if it were not for the quality control department, there would be no one to approve of the items’ standards.

Alternatively, as is self-explanatory, there is no job left for quality control inspection teams to do without the production line workers.

This is a testament to the synchrony and flow of how multiple teams get together to solve problems in a sequence and help workplaces flourish.

Brainstorming as a group regarding challenges that the company may face

Another affordance that in-person, and to some extent its remote work counterpart, also provides is the ability to brainstorm as a group regarding challenges that the company may face.

For example, there may be a demand by the labor union to increase wage rates, and also a potential that there may be a strike or a peaceful protest for the same reason.

Group meetings in workplaces allow all the potential stakeholders to be impacted by a possible decision, to be present at one moment, and put their needs, demands, and terms forward.

Hence, in the case that wages are considered to be increased , production costs are going to be deemed to increase .

Managers may talk about possible increases in price. In contrast, customer relations department employees might want to chip in to negotiate on the matter with the managers, not compromise the needs of consumers.

This is how all stakeholders walkout in content, knowing their needs are recognized.

Manage the problem with patience and tact

Emotions and perspectives like self-importance, overconfidence, and arrogance can arise even in our best coworkers, clients, and people we report to.

These people may be very good at their job, but everyone occasionally gets it wrong . Stress, burnout, ill health, fear, and feelings of insecurity can be the causes of underlying disputes, poor judgment, and mistakes in the workplace.

It is important not to lose respect for them and remember they are not only as good as their last job. You can build trust by weathering the storm with them.

If you come out the other side together as partners because you managed the problem with patience and tact, the relationship will be strengthened, and cooperation will hopefully improve.

Some problems become unmanageable, and a person’s stubbornness and refusal to cooperate seem insurmountable. Money matters can be some of the most explosive issues of all.

One thing that can be done is to draw the person’s attention to the critical facts that decide the way forward in terms of financial concerns, rather than anyone enforcing a decision on others.

Monika Dmochowska

Talent Acquisition Specialist,  Tidio

Implementing a goal-setting system

Problem : Goal-setting and expectations-management.

No doubt, sometimes it’s hard for individual employees and whole teams to set appropriate goals and make relevant expectations.

This can be solved by implementing a goal-setting system (e.g., OKRs) for every employee individually or at least team-wide.

Using a time management system

Problem : Poor time management.

It’s a very common work problem with many solutions working for everyone individually.

A good example would be using a time management system (e.g., Pomodoro), keeping track of all tasks in a project management tool like Jira, and adding all meetings and appointments to the calendar.

Related: 42 Best Productivity and Time Management Books

Identify a mentor that you can turn to for advice and help

Problem : Asking for help.

Unfortunately, it’s challenging for many people to ask for help even if the team encourages them.

An excellent solution to this would be to identify a mentor or a buddy – the person you can turn to for advice and help.

This will be a mutually valuable relationship. You will receive the help you need, and the person will gain experience in mentoring someone.

Related: How to Ask Someone to Be Your Mentor

CEO,  Champion Leadership Group LLC

Managers and coworkers will regard you as a valuable resource if you can efficiently address challenges at work. Problem-solving may draw together teams, expedite processes, create a more efficient workplace, and boost productivity.

It could also help you save expenses and raise income — two crucial areas where your boss will be pleased to see improvement.

Require a robust business-wide interaction

To guarantee that you can perform correctly every day, you require a robust business-wide interaction. It’s necessary for long-term development .

When adequate linkages are not present, processes might fall through the cracks, resulting in significant performance concerns.

Addressing communication challenges at work entails guaranteeing a two-way approach to help build a culture of accountability and transparency.

Ensure that employees are treated fairly

Extroverts with a lot of confidence are usually correlated with business success. More extroverted business owners may find it difficult to comprehend their more reserved personnel.

Some may even see the scenario as having introvert issues at work, which is a drawback in some businesses but a valuable asset.

So keep in mind that individuals with more introspective personality qualities bring various aspects to their positions, especially in creative contexts .

You must ensure that employees are treated fairly . Don’t show favoritism to anybody. Also, keep an eye out for nepotism.

Kimberly Back

Senior Job Data Content Producer,  Virtual Vocations

Prioritize open communication and employee feedback

Solving workplace problems should be a goal for every business, but the process starts with understanding which workplace stressors affect employees most.

Virtual Vocations surveyed 1,158 U.S. workers and found that the biggest workplace confidence killer, which also negatively impacts productivity and employee well-being, is a micromanager boss .

Related: How to Deal With Micromanagers

Micromanaging and other common workplace problems like poor company culture , lack of transparency , and unrealistic performance expectations can be solved by prioritizing open communication and employee feedback .

Conducting employee surveys, holding the regular team and individual meetings, demonstrating respect for employees, and showing an interest in employees beyond work are all ways to keep employees engaged and ensure their ideas are heard.

When employees have a say in how they work and how they are managed, they are much more likely to perform well and stay longer .

Ahren A. Tiller, Esq.

Founder and Supervising Attorney,  Bankruptcy Law Center

Confront the conflict but actively listen to what the other person says

Communication is very important to any relationship or team. Many issues arise due to lack or absence of communication .

When there is conflict, my staff doesn’t like to beat around the bush. Good problem-solvers don’t act based on their emotions. They confront the conflict but actively listen to what the other person says.

Understand the situation and consider the options to make up for the errors

It doesn’t matter whether one employee or another is at fault; correcting a mistake comes naturally to good problem-solvers.

Self-reflection is an excellent way to assess your own actions—were they helpful?

Look at your own point of view, and the other person’s to understand the situation and consider the options to make up for the errors. Rectifying a mistake requires strategy and creativity .

Ouriel Lemmel

CEO and Founder,  WinIt

Use your creative side to identify new or unusual alternatives

Using your creative side to identify new or unusual alternatives is an excellent way to problem-solve in the workplace.

Too often, you can get stuck in a pattern of thinking about what has been successful in the past, but when you are faced with a new problem , you may find it challenging to generate new ideas.

If you have a problem that seems to have no solution, try out some different techniques. Play “What if” games, for example:

“What if money was no object? How would that change the solution?”

You may find an answer you weren’t thinking of. Permit yourself to think of ideas that may seem outlandish or appear to break the rules; you may end up having a stroke of genius.

David Farkas

CEO and Founder,  The Upper Ranks

Raise the bar for effective communication

Making meaningful time to speak with your staff is a common concern. The best way to resolve this issue is to raise the bar for effective communication . Face-to-face communication is the best way to get things done.

There is no alternative to a face-to-face conversation, yet phone conversations, emails, and messages are okay in a pinch. Online aptitude, psychometric, and ability tests are a few examples of the exams that companies could administer to see how well you solve problems.

These are often administered as part of the application process, although they may be given again at an assessment center. Situational judgment assessments and logic tests like inductive reasoning or diagrammatic reasoning will probably gauge how well you solve problems.

Effective issue resolution indeed takes both time and attention . A problem that hasn’t been solved requires more time and attention. Taking the time to slow down is all that is necessary for success .

There are no straight lines in life. You’ll be in good shape on the next straightaway if you get this one correctly. You may not be in the best shape if you move too rapidly .

Employees can weather the storm by planning for the worst-case scenario in every situation. There are a variety of approaches you may take, but the most critical is learning how to overcome the obstacle.

A workplace may be prepared for both the best and worst of times, whether a common cold or an overflowing workload.

Sales Director,  VEM Tooling

It is common to face many problems in your organization several times. But what is not common is how to deal with that problem to rise above your previous self.

When we talk about a workplace, there are several difficulties that a person needs to deal with in it. Here is one of my examples of problem-solving at the workplace that I find perfect.

Observe which is more important for your business

Problem : Balance between growth and quality

When I first encountered this problem at the end of 2021. I thought it would be a lot difficult to deal with. But as time passed and I gave my thoughts on this problem repeatedly.

I found a way to deal with it. First, I need to see which is more important for my business, growth or quality.

As we all know, nothing in this world is perfect, but as a new developing firm in the market, I need to ensure my business provides quality to its customers.

When I figured it all out, I found that I would grow my organization if I could provide my customers with good quality satisfaction. That’s how I learned how to balance growth and quality to solve the problem.

Frequently Asked Questions 

How can i improve my problem-solving skills.

To improve your problem-solving skills, you need to practice and be intentional. Here are some things you can do to strengthen this skill:

Identify and analyze problems as soon as possible.  Once you identify a problem, try to understand it thoroughly, gather information from reliable sources, and consider possible solutions.

Think outside the box.  Don’t be afraid to approach problems in unconventional ways. Draw inspiration from unrelated fields or industries.

Collaborate.  Work with your colleagues to find solutions. Two heads are better than one!

Learn from your experiences.  Take time to reflect on how you solved problems in the past and learn from your successes and mistakes.

Can I be a successful problem solver without being creative?

Yes, you can be a successful problem solver without being creative. While creativity can help you develop unique solutions to problems, it is not the only skill needed for problem-solving.

Logical thinking, research, analytical skills, and collaboration can also help you solve problems successfully.

These skills require a deep understanding of the problem, identifying the cause and origin of the problem, gathering information, analyzing it, and finally developing a solution based on the information gathered.

A successful problem solver is one who can objectively analyze a problem and derive optimal and workable solutions that are reasonable and achievable. Thinking outside the box and being creative can be an advantage, but it is not an essential requirement for solving problems in the workplace.

How can I encourage my team to engage in problem-solving activities?

Encouraging your team to engage in problem-solving activities can help foster a culture of innovation and continuous improvement. Some ways to encourage problem-solving in the workplace include:

– Scheduling time for team brainstorming sessions or problem-solving workshops – Encouraging team members to share their ideas and perspectives – Providing opportunities for skill-building and professional development – Recognizing and rewarding team members who contribute to problem-solving efforts – Leading by example and demonstrating a commitment to problem-solving

How can I convince my employer that I have problem-solving skills?

To convince your employer that you have problem-solving skills, you need to demonstrate them in action. Here are some tips to help you showcase your skills:

Point out instances where you have successfully solved a problem:  In your resume or interview, cite specific examples of difficult workplace problems you faced and solved. Explain the steps you took, the approach you used, and the results you achieved.

Explain your problem-solving approach:  Employers are looking for a systematic approach to problem-solving that will help them achieve their goals. Describe the steps you take when confronted with a problem and how you use data and other resources to determine the root cause of the problem.

Quantify your successes:  Be as specific as possible about the results you achieved in solving a problem. Did you increase the company’s revenue or save them money? Provide data that shows the impact of your solution.

Market yourself as a lifelong learner:  Employers know that not every problem has a defined solution. Therefore, it is valuable to have a candidate who is willing to learn and adapt to changes in the company.

Highlight this by talking about additional training or certifications you are pursuing to further enhance your problem-solving skills.

How can I tell if my problem-solving efforts are successful?

The success of a problem-solving effort can be measured in different ways, depending on the problem you’re trying to solve. However, there are some signs that your problem-solving is on the right track:

Clarity:  You have a clear understanding of the problem and what you’re trying to accomplish.

Solution:  You have found a solution that is effective and has already been implemented.

Feedback:  You have received feedback from colleagues, supervisors, or customers that the problem has been solved.

Continuous improvement:  You continuously reflect on and improve your problem-solving tactics and approaches.

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Share it on social media!

We are sorry that this post was not useful for you!

Let us improve this post!

Tell us how we can improve this post?

The Editors

Addressing employee burnout: Are you solving the right problem?

The COVID-19 pandemic has accelerated and exacerbated long-standing corporate challenges to employee health and well-being , and in particular employee mental health. 1 When used in this article, “mental health” is a term inclusive of positive mental health and the full range of mental, substance use, and neurological conditions. This has resulted in reports of rapidly rising rates of burnout 2 When used in this article, “burnout” and “burnout symptoms” refer to work-driven burnout symptoms (per sidebar “What is burnout?”). around the world (see sidebar “What is burnout?”).

About the authors

This article is a collaborative effort by Jacqueline Brassey , Erica Coe , Martin Dewhurst, Kana Enomoto , Renata Giarola, Brad Herbig, and Barbara Jeffery , representing the views of the McKinsey Health Institute.

Many employers have responded by investing more into mental health and well-being than ever before. Across the globe, four in five HR leaders report that mental health and well-being is a top priority for their organization. 3 McKinsey Health Institute Employee Mental Health and Wellbeing Survey, 2022: n (employee) = 14,509; n (HR decision maker) = 1,389. Many companies offer a host of wellness benefits such as yoga, meditation app subscriptions, well-being days, and trainings on time management and productivity. In fact, it is estimated that nine in ten organizations around the world offer some form of wellness program. 4 Charlotte Lieberman, “What wellness programs don’t do for workers,” Harvard Business Review , August 14, 2019.

As laudable as these efforts are, we have found that many employers focus on individual-level interventions that remediate symptoms, rather than resolve the causes of employee burnout. 5 Anna-Lisa Eilerts et al., “Evidence of workplace interventions—A systematic review of systematic reviews,” International Journal of Environmental Research and Public Health , 2019, Volume 16, Number 19. Employing these types of interventions may lead employers to overestimate the impact of their wellness programs and benefits 6 Katherine Baicker et al., “Effect of a workplace wellness program on employee health and economic outcomes: A randomized clinical trial,” JAMA , 2019, Volume 321, Number 15; erratum published in JAMA , April 17, 2019. and to underestimate the critical role of the workplace in reducing burnout and supporting employee mental health and well-being. 7 Pascale M. Le Blanc, et al., “Burnout interventions: An overview and illustration,” in Jonathan R. B. Halbesleben’s Handbook of Stress and Burnout in Health Care , New York, NY: Nova Science Publishers, 2008; Peyman Adibi et al., “Interventions for physician burnout: A systematic review of systematic reviews,” International Journal of Preventive Medicine , July 2018, Volume 9, Number 1.

What is burnout?

According to the World Health Organization, burnout is an occupational phenomenon. It is driven by a chronic imbalance between job demands 1 Job demands are physical, social, or organizational aspects of the job that require sustained physical or mental effort and are therefore associated with certain physiological and psychological costs—for example, work overload and expectations, interpersonal conflict, and job insecurity. Job resources are those physical, social, or organizational aspects of the job that may do any of the following: (a) be functional in achieving work goals; (b) reduce job demands and the associated physiological and psychological costs; (c) stimulate personal growth and development such as feedback, job control, social support (Wilmar B. Schaufeli and Toon W. Taris, “A critical review of the job demands-resources model: Implications for improving work and health,” from Georg F. Bauer and Oliver Hämmig’s Bridging Occupational, Organizational and Public Health: A Transdisciplinary Approach , first edition, Dordrecht, Netherlands: Springer, 2014). (for example, workload pressure and poor working environment) and job resources (for example, job autonomy and supportive work relationships). It is characterized by extreme tiredness, reduced ability to regulate cognitive and emotional processes, and mental distancing. Burnout has been demonstrated to be correlated with anxiety and depression, a potential predictor of broader mental health challenges. 2 Previous meta-analytic findings demonstrate moderate positive correlations of burnout with anxiety and depression—suggesting that anxiety and depression are related to burnout but represent different constructs (Katerina Georganta et al., “The relationship between burnout, depression, and anxiety: A systematic review and meta-analysis,” Frontiers in Psychology , March 2019, Volume 10, Article 284). When used in this article, burnout does not imply a clinical condition.

Research shows that, when asked about aspects of their jobs that undermine their mental health and well-being, 8 Paula Davis, Beating Burnout at Work: Why Teams Hold the Secret to Well-Being and Resilience , Philadelphia, PA: Wharton School Press, 2021. employees frequently cite the feeling of always being on call, unfair treatment, unreasonable workload, low autonomy, and lack of social support. 9 Jennifer Moss, The Burnout Epidemic: The Rise of Chronic Stress and How We Can Fix It , Boston, MA: Harvard Business Review Press, 2021. Those are not challenges likely to be reversed with wellness programs. In fact, decades of research suggest that interventions targeting only individuals are far less likely to have a sustainable impact on employee health than systemic solutions, including organizational-level interventions. 10 Hanno Hoven et al., “Effects of organisational-level interventions at work on employees’ health: A systematic review,” BMC Public Health , 2014, Volume 14, Number 135.

Since many employers aren’t employing a systemic approach, many have weaker improvements in burnout and employee mental health and well-being than they would expect, given their investments.

Organizations pay a high price for failure to address workplace factors 11 Gunnar Aronsson et al., “A systematic review including meta-analysis of work environment and burnout symptoms,” BMC Public Health , 2017, Volume 17, Article 264. that strongly correlate with burnout, 12 Sangeeta Agrawal and Ben Wigert, “Employee burnout, part 1: The 5 main causes,” Gallup, July 12, 2018. such as toxic behavior. 13 The high cost of a toxic workplace culture: How culture impacts the workforce — and the bottom line , Society for Human Resource Management, September 2019. A growing body of evidence, including our research in this report, sheds light on how burnout and its correlates may lead to costly organizational issues such as attrition. 14 Caio Brighenti et al., “Why every leader needs to worry about toxic culture,” MIT Sloan Management Review, March 16, 2022. Unprecedented levels of employee turnover—a global phenomenon we describe as the Great Attrition —make these costs more visible. Hidden costs to employers also include absenteeism, lower engagement, and decreased productivity. 15 Eric Garton, “Employee burnout is a problem with the company, not the person,” Harvard Business Review , April 6, 2017.

The McKinsey Health Institute: Join us!

The McKinsey Health Institute (MHI) is an enduring, non-profit-generating global entity within McKinsey. MHI strives to catalyze actions across continents, sectors, and communities to achieve material improvements in health, empowering people to lead their best possible lives. MHI is fostering a strong network of organizations committed to this aspiration, including employers globally who are committed to supporting the health of their workforce and broader communities.

MHI has a near-term focus on the urgent priority of mental health, with launch of a flagship initiative around employee mental health and well-being. By convening leading employers, MHI aims to collect global data, synthesize insights, and drive innovation at scale. Through collaboration, we can truly make a difference, learn together, and co-create solutions for workplaces to become enablers of health—in a way that is good for business, for employees, and for the communities in which they live.

To stay updated about MHI’s initiative on employee mental health and well-being sign up at McKinsey.com/mhi/contact-us .

In this article, we discuss findings of a recent McKinsey Health Institute (MHI)  (see sidebar “The McKinsey Health Institute: Join us!”) global survey that sheds light on frequently overlooked workplace factors underlying employee mental health and well-being in organizations around the world. We conclude by teeing up eight questions for reflection along with recommendations on how organizations can address employee mental-health and well-being challenges by taking a systemic approach focused on changing the causes rather than the symptoms of poor outcomes. While there is no well-established playbook, we suggest employers can and should respond through interventions focused on prevention rather than remediation.

We are seeing persistent burnout challenges around the world

To better understand the disconnection between employer efforts and rising employee mental-health and well-being challenges (something we have observed  since the start of the pandemic ), between February and April 2022 we conducted a global survey of nearly 15,000 employees and 1,000 HR decision makers in 15 countries. 16 Argentina, Australia, Brazil, China, Egypt, France, Germany, India, Japan, Mexico, South Africa, Switzerland, Turkey, the United Kingdom, and the United States. The combined population of the selected countries correspond to approximately 70 percent of the global total.

The workplace dimensions assessed in our survey included toxic workplace behavior, sustainable work, inclusivity and belonging, supportive growth environment, freedom from stigma, organizational commitment, leadership accountability, and access to resources. 17 The associations of all these factors with employee health and well-being have been extensively explored in the academic literature. That literature heavily informed the development of our survey instrument. We have psychometrically validated this survey across 15 countries including its cross-cultural factorial equivalence. For certain outcome measures we collaborated with academic experts who kindly offered us their validated scales including the Burnout Assessment Tool (BAT), the Distress Screener, and the Adaptability Scale referenced below. Those dimensions were analyzed against four work-related outcomes—intent to leave, work engagement, job satisfaction, and organization advocacy—as well as four employee mental-health outcomes—symptoms of anxiety, burnout, depression, and distress. 18 Instruments used were the Burnout Assessment Tool (Steffie Desart et al., User manual - Burnout assessment tool [BAT ] , - Version 2.0, July 2020) (burnout symptoms); Distress Screener (4DSQ; JR Anema et al., “Validation study of a distress screener,” Journal of Occupational Rehabilitation , 2009, Volume 19) (distress); GAD-2 assessment (Priyanka Bhandari et al., “Using Generalized Anxiety Disorder-2 [GAD-2] and GAD-7 in a primary care setting,” Cureus , May 20, 2021, Volume 12, Number 5) (anxiety symptoms); and the PHQ-2 assessment (Patient Health Questionnaire [PHQ-9 & PHQ-2], American Psychological Association) (depression symptoms). Individual adaptability was also assessed 19 In this article, “adaptability” refers to the “affective adaptability” which is one sub-dimension of The Adaptability Scale instrument (Michel Meulders and Karen van Dam, “The adaptability scale: Development, internal consistency, and initial validity evidence,” European Journal of Psychological Assessment , 2020, Volume 37, Number 2). (see sidebar “What we measured”).

What we measured

Workplace factors assessed in our survey included:

• Toxic workplace behavior: Employees experience interpersonal behavior that leads them to feel unvalued, belittled, or unsafe, such as unfair or demeaning treatment, noninclusive behavior, sabotaging, cutthroat competition, abusive management, and unethical behavior from leaders or coworkers.
• Inclusivity and belonging: Organization systems, leaders, and peers foster a welcoming and fair environment for all employees to be themselves, find connection, and meaningfully contribute.
• Sustainable work: Organization and leaders promote work that enables a healthy balance between work and personal life, including a manageable workload and work schedule.
• Supportive growth environment: Managers care about employee opinions, well-being, and satisfaction and provide support and enable opportunities for growth.
• Freedom from stigma and discrimination: Freedom from the level of shame, prejudice, or discrimination employees perceive toward people with mental-health or substance-use conditions.
• Organizational accountability: Organization gathers feedback, tracks KPIs, aligns incentives, and measures progress against employee health goals.
• Leadership commitment: Leaders consider employee mental health a top priority, publicly committing to a clear strategy to improve employee mental health.
• Access to resources: Organization offers easy-to-use and accessible resources that fit individual employee needs related to mental health. 1 Including adaptability and resilience-related learning and development resources.

Health outcomes assessed in our survey included:

• Burnout symptoms: An employee’s experience of extreme tiredness, reduced ability to regulate cognitive and emotional processes, and mental distancing (Burnout Assessment Tool). 2 Burnout Assessment Tool, Steffie Desart et al., “User manual - Burnout assessment tool (BAT), - Version 2.0,” July 2020.
• Distress: An employee experiencing a negative stress response, often involving negative affect and physiological reactivity (4DSQ Distress Screener). 3 Distress screener, 4DSQ; JR Anema et al., “Validation study of a distress screener,” Journal of Occupational Rehabilitation , 2009, Volume 19.
• Depression symptoms: An employee having little interest or pleasure in doing things, and feeling down, depressed, or hopeless (PHQ-2 Screener). 4 Kurt Kroenke et al., “The patient health questionnaire-2: Validity of a two-item depression screener,” Medical Care , November 2003, Volume 41, Issue 11.
• Anxiety symptoms: An employee’s feelings of nervousness, anxiousness, or being on edge, and not being able to stop or control worrying (GAD-2 Screener). 5 Kurt Kroenke et al., “Anxiety disorders in primary care: Prevalence, impairment, comorbidity, and detection,” Annals of Internal Medicine , March 6, 2007, Volume 146, Issue 5.

Work-related outcomes assessed in our survey included:

• Intent to leave: An employee’s desire to leave the organization in which they are currently employed in the next three to six months.
• Work engagement: An employee’s positive motivational state of high energy combined with high levels of dedication and a strong focus on work.
• Organizational advocacy: An employee’s willingness to recommend or endorse their organization as a place to work to friends and relatives.
• Work satisfaction: An employee’s level of contentment or satisfaction with their current job.

Our survey pointed to a persistent disconnection between how employees and employers perceive mental health and well-being in organizations. We see an average 22 percent gap between employer and employee perceptions—with employers consistently rating workplace dimensions associated with mental health and well-being more favorably than employees. 20 Our survey did not link employers and employees’ responses. Therefore, these numbers are indicative of a potential gap that could be found within companies.

In this report—the first of a broader series on employee mental health from the McKinsey Health Institute—we will focus on burnout, its workplace correlates, and implications for leaders. On average, one in four employees surveyed report experiencing burnout symptoms. 21 Represents global average of respondents experiencing burnout symptoms (per items from Burnout Assessment Tool) sometimes, often, or always. These high rates were observed around the world and among various demographics (Exhibit 1), 22 Our survey findings demonstrate small but statistically significant differences between men and women, with women reporting higher rates of burnout symptoms (along with symptoms of distress, depression, and anxiety). Differences between demographic variables across countries will be discussed in our future publications. and are consistent with global trends. 23 Ashley Abramson, “Burnout and stress are everywhere,” Monitor on Psychology , January 1, 2022, Volume 53, Number 1.

So, what is behind pervasive burnout challenges worldwide? Our research suggests that employers are overlooking the role of the workplace in burnout and underinvesting in systemic solutions.

Employers tend to overlook the role of the workplace in driving employee mental health and well-being, engagement, and performance

In all 15 countries and across all dimensions assessed, toxic workplace behavior was the biggest predictor of burnout symptoms and intent to leave by a large margin 24 Measured as a function of predictive power of the dimensions assessed; predictive power was estimated based on share of outcome variability associated with each dimension; based on regression models applied to cross-sectional data (that is, measured at one point in time), rather than longitudinal data (that is, measured over time); causal relationships have not been established. —predicting more than 60 percent of the total global variance. For positive outcomes (including work engagement, job satisfaction, and organization advocacy), the impact of factors assessed was more distributed—with inclusivity and belonging, supportive growth environment, sustainable work, and freedom from stigma predicting most outcomes (Exhibit 2).

In all 15 countries and across all dimensions assessed, toxic workplace behavior had the biggest impact predicting burnout symptoms and intent to leave by a large margin.

The danger of toxic workplace behavior—and its impact on burnout and attrition

Across the 15 countries in the survey, toxic workplace behavior is the single largest predictor of negative employee outcomes, including burnout symptoms (see sidebar “What is toxic workplace behavior?”). One in four employees report experiencing high rates of toxic behavior at work. At a global level, high rates were observed across countries, demographic groups—including gender, organizational tenure, age, virtual/in-person work, manager and nonmanager roles—and industries. 25 Differences between demographic variables across countries will be discussed in our future articles.

What is toxic workplace behavior?

Toxic workplace behavior is interpersonal behavior that leads to employees feeling unvalued, belittled, or unsafe, such as unfair or demeaning treatment, non-inclusive behavior, sabotaging, cutthroat competition, abusive management, and unethical behavior from leaders or coworkers. Selected questions from this dimension include agreement with the statements “My manager ridicules me,” “I work with people who belittle my ideas,” and “My manager puts me down in front of others.”

Toxic workplace behaviors are a major cost for employers—they are heavily implicated in burnout, which correlates with intent to leave and ultimately drives attrition. In our survey, employees who report experiencing high levels of toxic behavior 26 “High” represents individuals in the top quartile of responses and “low” represents individuals in the bottom quartile of responses. at work are eight times more likely to experience burnout symptoms (Exhibit 3). In turn, respondents experiencing burnout symptoms were six times more likely to report they intend to leave their employers in the next three to six months (consistent with recent data pointing to toxic culture as the single largest predictor of resignation during the Great Attrition, ten times more predictive than compensation alone 27 Charles Sull et al., “Toxic culture is driving the Great Resignation,” MIT Sloan Management Review, January 11, 2022. and associated with meaningful organizational costs 28 Rasmus Hougaard, “To stop the Great Resignation, we must fight dehumanization at work,” Potential Project, 2022. ). The opportunity for employers is clear. Studies show that intent to leave may correlate with two- to three-times higher 29 Bryan Bohman et al., “Estimating institutional physician turnover attributable to self-reported burnout and associated financial burden: A case study,” BMC Health Services Research , November 27, 2018, Volume 18, Number 1. rates of attrition; conservative estimates of the cost of replacing employees range from one-half to two times their annual salary. Even without accounting for costs associated with burnout—including organizational commitment 30 Michael Leiter and Christina Maslach, “The impact of interpersonal environment on burnout and organizational commitment,” Journal of Organizational Behavior , October 1988, Volume 9, Number 4. and higher rates of sick leave and absenteeism 31 Arnold B. Bakker et al., “Present but sick: A three-wave study on job demands, presenteeism and burnout,” Career Development International , 2009, Volume 14, Number 1. —the business case for addressing it is compelling. The alternative—not addressing it—can lead to a downward spiral in individual and organizational performance. 32 Arnold B. Bakker et al., “Present but sick: A three-wave study on job demands, presenteeism and burnout,” Career Development International , 2009, Volume 14, Number 1.

Individuals’ resilience and adaptability skills may help but do not compensate for the impact of a toxic workplace

Toxic behavior is not an easy challenge to address. Some employers may believe the solution is simply training people to become more resilient.

There is merit in investing in adaptability and resiliency skill building . Research indicates that employees who are more adaptable tend to have an edge in managing change and adversity. 33 Karen van Dam, “Employee adaptability to change at work: A multidimensional, resource-based framework,” from The Psychology of Organizational Change: Viewing Change from the Employee’s Perspective , Cambridge, England: Cambridge University Press, 2013; Jacqueline Brassey et al., Advancing Authentic Confidence Through Emotional Flexibility: An Evidence-Based Playbook of Insights, Practices and Tools to Shape Your Future , second edition, Morrisville, NC: Lulu Press, 2019; B+B Vakmedianet B.V. Zeist, Netherlands (to be published Q3 2022). We see that edge reflected in our survey findings: adaptability acts as a buffer 34 Estimated buffering effect illustrated in Exhibit 4. to the impact of damaging workplace factors (such as toxic behaviors), while magnifying the benefit of supportive workplace factors (such as a supportive growth environment) (Exhibit 4). In a recent study, employees engaging in adaptability training experienced three times more improvement in leadership dimensions and seven times more improvement in self-reported well-being than those in the control group. 35 McKinsey’s People and Organization Performance - Adaptability Learning Program; multirater surveys showed improvements in adaptability outcomes, including performance in role, sustainment of well-being, successfully adapting to unplanned circumstances and change, optimism, development of new knowledge and skills; well-being results were based on self-reported progress as a result of the program.

However, employers who see building resilience and adaptability skills in individuals as the sole solution to toxic behavior and burnout challenges are misguided. Here is why.

Individual skills cannot compensate for unsupportive workplace factors. When it comes to the effect of individual skills, leaders should be particularly cautious not to misinterpret “favorable” outcomes (for example, buffered impact of toxic behaviors across more adaptable employees) as absence of underlying workplace issues that should be addressed. 36 Tomas Chamorro-Premuzic, “To prevent burnout, hire better bosses,” Harvard Business Review , August 23, 2019.

Also, while more adaptable employees are better equipped to work in poor environments, they are less likely to tolerate them. In our survey, employees with high adaptability were 60 percent more likely to report intent to leave their organization if they experienced high levels of toxic behavior at work than those with low adaptability (which may possibly relate to a higher level of self-confidence 37 Brassey et al. found that as a result of a learning program, employees who developed emotional flexibility skills, a concept related to affective adaptability but also strongly linked to connecting with purpose, developed a higher self-confidence over time; Jacqueline Brassey et al., “Emotional flexibility and general self-efficacy: A pilot training intervention study with knowledge workers,” PLOS ONE , October 14, 2020, Volume 15, Number 10. ). Therefore, relying on improving employee adaptability without addressing broader workplace factors puts employers at an even higher risk of losing some of its most resilient, adaptable employees.

Employees with high adaptability were 60 percent more likely to report intent to leave their organization if they experienced high levels of toxic behavior at work than those with low adaptability.

What this means for employers: Why organizations should take a systemic approach to improving employee mental health and well-being

We often think of employee mental health, well-being, and burnout as a personal problem. That’s why most companies have responded to symptoms by offering resources focused on individuals such as wellness programs.

However, the findings in our global survey and research are clear. Burnout is experienced by individuals, but the most powerful drivers of burnout are systemic organizational imbalances across job demands and job resources. So, employers can and should view high rates of burnout as a powerful warning sign that the organization—not the individuals in the workforce—needs to undergo meaningful systematic change.

Employers can and should view high rates of burnout as a powerful warning sign that the organization—not the individuals in the workforce—needs to undergo meaningful systematic change.

Taking a systemic approach means addressing both toxic workplace behavior and redesigning work to be inclusive, sustainable, and supportive of individual learning and growth, including leader and employee adaptability skills. It means rethinking organizational systems, processes, and incentives to redesign work, job expectations, and team environments.

As an employer, you can’t “yoga” your way out of these challenges. Employers who try to improve burnout without addressing toxic behavior are likely to fail. Our survey shows that improving all other organization factors assessed (without addressing toxic behavior) does not meaningfully improve reported levels of burnout symptoms. Yet, when toxic behavior levels are low, each additional intervention contributes to reducing negative outcomes and increasing positive ones.

The interactive graphic shows the estimated interplay between the drivers and outcomes, based on our survey data (Exhibit 5).

Taking a preventative, systemic approach—focused on addressing the roots of the problem (as opposed to remediating symptoms)—is hard. But the upside for employers is a far greater ability to attract and retain valuable talent over time.

The good news: Although there are no silver bullets, there are opportunities for leaders to drive material change

We see a parallel between the evolution of global supply chains and talent. Many companies optimized supply chains for “just in time” delivery, and talent was optimized to drive operational efficiency and effectiveness. As supply chains come under increasing pressure, many companies recognize the need to redesign and optimize supply chains for resilience and sustainability, and the need to take an end-to-end approach to the solutions. The same principles apply to talent.

We acknowledge that the factors associated with improving employee mental health and well-being (including organizational-, team-, and individual-level factors) are numerous and complex. And taking a whole-systems approach is not easy.

Would you like to learn more about the McKinsey Health Institute ?

Despite the growing momentum toward better employee mental health and well-being (across business and academic communities), we’re still early on the journey. We don’t yet have sufficient evidence to conclude which interventions work most effectively—or a complete understanding of why they work and how they affect return on investment.

That said, efforts to mobilize the organization to rethink work—in ways that are compatible with both employee and employer goals—are likely to pay off in the long term. To help spark that conversation in your organization, we offer eight targeted questions and example strategies with the potential to address some of the burnout-related challenges discussed in this article.

Do we treat employee mental health and well-being as a strategic priority?

This is fundamental to success. When a large organization achieved a 7 percent reduction in employee burnout rates (compared with an 11 percent increase in the national average within the industry over the same period), the CEO believed that leadership and sustained attention from the highest level of the organization were the “key to making progress.” 38 John H. Noseworthy and Tait D Shanafelt, “Executive leadership and physician well‐being: Nine organizational strategies to promote engagement and reduce burnout,” Mayo Clinic Proceedings , January 2017, Volume 92, Number 1. Senior executives recognized employee mental health and well-being as a strategic priority. Executives publicly acknowledged the issues and listened to employee needs through a wide range of formats—including town halls, workshops, and employee interviews (our research suggests that leaders are not listening to their people  nearly enough). They prioritized issues and defined clear, time-bound measurable goals around them—with a standardized measure of burnout being given equal importance to other key performance metrics (financial metrics, safety/quality, employee turnover, and customer satisfaction). Although anonymous at the level of the individual, results were aggregated at division/department level to allow executive leadership to focus attention and resources where they were most needed. 39 Liselotte Dyrbye et al., “Physician burnout: Contributors, consequences and solutions,” Journal of Internal Medicine , 2018, Volume 283, Number 6. This example highlights how CEOs have the ability to create meaningful change through listening to employees and prioritizing strategies to reduce burnout.

Do we effectively address toxic behaviors?

Eliminating toxic workplace behavior is not an easy task. Organizations that tackle toxic behavior effectively deploy a set of integrated work practices  to confront the problem, 40 Robert I. Sutton, The No Asshole Rule: Building a Civilized Workplace and Surviving One That Isn’t , first edition, New York, NY: Business Plus, 2010. and see treatment of others as an integral part of assessing an employee’s performance. Manifestations of toxic behavior 41 “Why every leader,” 2022. are flagged, repeat offenders either change or leave, and leaders take time  to become aware of the impact their behavior has on others. If you lead part of an organization, looking at your own behaviors, and what you tolerate in your own organization, is a good place to start. 42 “ Author Talks: How to handle your work jerk ,” March 29, 2022.

Leaders with higher self-regulation may be better, less toxic leaders

Research shows that leaders’ development of self-regulation increases followers’ ratings of their effectiveness and is associated with higher team financial performance as well as a higher final team grade compared with a control group. The benefits of self-regulation also improved leaders’ development of task-relevant competencies. 1 Robin Martin and JooBee Yeow, “The role of self-regulation in developing leaders: A longitudinal field experiment,” Leadership Quarterly , October 2013, Volume 24, Number 5. Furthermore, building employees’ resilience and adaptability  skills leads to a higher sense of agency and self-efficacy, 2 Jacqueline Brassey et al., “Emotional flexibility and general self-efficacy: A pilot training intervention study with knowledge workers,” PLOS ONE , October 14, 2020, Volume 15, Number 10; and Jacqueline Brassey et al., Advancing Authentic Confidence Through Emotional Flexibility: An Evidence-Based Playbook of Insights, Practices and Tools to Shape Your Future , second edition, Morrisville, NC: Lulu Press, 2019; B+B Vakmedianet B.V. Zeist, Netherlands (to be published Q3 2022). which is related to reduced burnout and improved performance. 3 Charles Benight et al., “Associations between job burnout and self-efficacy: A meta-analysis,” Anxiety, Stress, & Coping , 2016, Volume 29, Issue 4; and Alex Stajkovic, “Self-efficacy and work-related performance: A meta-analysis,” Psychological Bulletin , 1998, Volume 124, Number 2.

Another component of eliminating toxic behavior is cultivating supportive, psychologically safe work environments , where toxic behaviors are less likely to spread  across the organization. 43 Annie McKee, “Neutralize your toxic boss,” Harvard Business Review , September 24, 2008. Effective leaders know that emotional contagion 44 John T. Cacioppo et al., Emotional Contagion , Cambridge, England: Cambridge University Press, 1994. may go both ways: displaying vulnerability and compassion  fuels more compassionate teams; displaying toxic behavior fuels more toxic teams. 45 Michael Housman and Dylan Minor, Toxic workers , Harvard Business School working paper, No. 16-057, October 2015 (revised November 2015). There are two caveats: toxic behavior may not be intentional—particularly if individuals are not equipped to respond with calm  and compassion under pressure—and regardless of intent, toxic behavior spreads faster and wider than good behavior. 46 “To prevent burnout,” 2019. To prevent unintentional dissemination of toxic behaviors, role modeling from adaptable , self-regulating, compassionate leaders may help (see sidebar “Leaders with higher self-regulation may be better, less toxic leaders”).

Do we create inclusive work environments?

Most leaders recognize the established associations between performance and inclusion , but inclusion does not happen by accident . Inclusion is a multifaceted construct that must be addressed comprehensively and proactively. Most companies define inclusion too narrowly and thus address it too narrowly as well. Over the past three years, we’ve broadened our perspective  on how to create truly inclusive workplaces and developed a modern inclusion model . The model includes 17 practices (based on frequency of desired behaviors) and six outcomes (based on perceptions of effectiveness). Each practice falls into one of three relationships that shape workplace inclusion: organizational systems, leaders, and peers/teammates.

The 17 inclusive-workplace practices , when done consistently well, drive workplace inclusion and equity for all employees by providing clarity into actions that matter. For example, among employees working in hybrid models , work–life support was the top practice employees desired improvements on—with nearly half of employees recommending prioritizing policies that support flexibility—including extended parental leave, flexible hours, and work-from-home policies.

A truly inclusive workplace implements systems that minimize conscious and unconscious bias , allowing employees to express themselves and connect with each other. It also features leaders who not only advocate for team members and treat them impartially but also uphold and support all organizational systems and practices . For example, one employer defined data-driven targets for the representation and advancement of diverse talent across dimensions (beyond gender and ethnicity) and role types (executive, management, technical, board)—leveraging powerful analytics to track progress and foster transparency along the way.

Do we enable individual growth?

Evidence suggests that individual growth, learning, and development programs are effective 47 Arnold B. Bakker and Evangelia Demerouti, “Towards a model of work engagement,” Career Development International , 2008, Volume 13, Issue 3. ways to combat burnout and to retain and engage employees, and therefore are important for addressing growing talent and skills shortages within organizations. Employers who “double down” on talent redeployment, mobility, reskilling, and upskilling tend to see improvement across a range of financial, organizational, and employee experience metrics. In a recent study of extensive employee data, offering lateral career opportunities was two-and-half times more predictive of employee retention than compensation, and 12 times more predictive than promotions 48 “Why every leader,” 2022. —signaling an opportunity for leaders to support employee desires to learn, explore, and grow way beyond traditional career progression.

Investing in your employees’ capabilities can drive financial returns, is often cheaper than hiring, and signals to employees that they are valued and have an important role in the organization.

Do we promote sustainable work?

Promoting sustainable work goes beyond managing workload. It’s about enabling employees to have a sense of control and predictability, flexibility, and sufficient time for daily recovery. It’s also about leading with compassion and empathy 49 “It’s time to eliminate bad bosses. They are harmful and expensive,” Potential Project, The Human Leader, April 2022. —tailoring interventions based on where, when, and how work can be done , and how different groups are more likely to (re)establish socio-emotional ties  after a long period of isolation and loss of social cohesion .

One technology company is using real-time data on employee preferences to rapidly test and iterate solutions that work for specific groups around return-to-office options. To find solutions that work for your employees, consider adopting a test-and-learn  mindset. This approach can help the organization make progress while adapting as context evolves (a hallmark of more productive  organizations).

Are we holding leaders accountable?

Many organizations consider people leadership criteria in their performance management. Yet, there is substantial room to grow when it comes to employers providing transparency around employee mental-health and well-being objectives and metrics. 50 Workplace Mental Health Blogs , One Mind, “Fix performance management by aligning it with employee mental health,” blog entry by Daryl Tol, March 2, 2022; Garett Slettebak, “Measuring progress on workplace mental health”, One Mind at Work, March 24, 2022.

Organizations that are doing this well have set clear expectations for managers to lead in a way that is supportive of employee mental health and well-being. 51 Taylor Adams et al., Mind the workplace: Work health survey 2021 , Mental Health America, 2021. They offer training to help managers identify, proactively ask about, and listen to employees’ mental-health and well-being needs. They also introduce mental-health “pulse” checks and incorporate relevant questions into the broader employee satisfaction surveys, to establish a baseline and track trends in how employees are feeling. Discussion on employee mental health and well-being can be incorporated into regular leadership meetings, including concerns, risks, and potential actions.

To encourage leaders to lead by example and increase their accountability, some employers embed employee mental-health support into leaders’ reviews based on anonymous upward feedback from their teams. Finally, some companies are exploring if they can go even further and tie incentives to short- and long-term employee mental-health and well-being objectives.

Are we effectively tackling stigma?

As noted in a previous McKinsey article , the majority of employers and employees acknowledge the presence of stigma 52 In the context of employee mental health, stigma is defined as a level of shame, prejudice, or discrimination toward people with mental-health or substance-use conditions. in their workplaces. Stigma has been shown to have real costs to workforce productivity, often exacerbating underlying conditions because of people being afraid to seek help for mental-health needs and driving down an employee’s self-worth and engagement.

We see several actions that organizations are taking to eliminate stigma. 53 Erica Coe, Jenny Cordina, Kana Enomoto, and Nikhil Seshan, “ Overcoming stigma: Three strategies toward better mental health in the workplace ,” July 23, 2021. Leading by example can make a difference, with senior leaders stepping forward to describe personal struggles with mental health, using nonstigmatizing language. 54 Evelien Brouwers et al., “To disclose or not to disclose: A multi-stakeholder focus group study on mental health issues in the work environment. Journal of Occupational Rehabilitation , 2020, Volume 30, Number 1. Leaders showing vulnerability helps to remove shame and promote a psychologically safe culture. 55 Global thriving at work framework , MindForward Alliance, 2020.

Stigma can also be reduced by companies prioritizing mental wellness as critical for peak performance instead of rewarding overwork at the expense of rest and renewal—rewarding an “athlete” mindset instead of overemphasizing a “hero.” This can begin to shift perception of signs of burnout or other mental-health needs as being indicative of a moral failing. Finally, creating a dedicated role to support employee mental health and well-being and appointing a senior leader, such as chief wellness officer, will increase awareness and show commitment.

Do our resources serve employee needs?

Leaders should evaluate whether mental-health and well-being resources are at parity with physical-health benefits and how frequently they are being used by employees. An increasing number of employers have expanded access to mental-health services 56 Charles Ingoglia, “Now more than ever, employers must provide mental health support for employees,” National Council for Mental Wellbeing, May 4, 2022. ; however, research  shows that almost 70 percent of employees find it challenging to access those services.

In a previous survey , 45 percent of respondents who had left their jobs cited the need to take care of family as an influential factor in their decision (with a similar proportion of respondents who are considering quitting also citing the demands of family care). Expanding childcare, nursing services, or other home- and family-focused benefits could help keep such employees from leaving and show that you value them. Patagonia, long the standard-bearer for progressive workplace policies, retains nearly 100 percent of its new mothers with on-site childcare and other benefits for parents.

Never in history have organizations around the world devoted so much attention and capital to improving employee mental health and well-being. It is lamentable that these investments are not always providing a good return regarding improved outcomes. Employers that take the time to understand the problem at hand—and pursue a preventative, systemic approach focused on causes instead of symptoms—should see material improvements in outcomes and succeed in attracting and retaining valuable talent. More broadly, employers globally have an opportunity to play a pivotal role in helping people achieve material improvements in health. With collaboration and shared commitment, employers can make a meaningful difference in the lives of their employees and the communities they live in.

The McKinsey Health Institute (MHI) is collaborating with leading organizations around the world to achieve material improvements in health—adding years to life and life to years. As part of that, MHI is focused on improving employee mental health and well-being at scale—in a way that is good for business, for employees, and for the communities they live in.

To stay updated about MHI’s initiative on employee mental health and well-being, sign up at McKinsey.com/mhi/contact-us .

Jacqueline Brassey is a director of research science in McKinsey’s Luxemburg office, Erica Coe is a partner in the Atlanta office, Martin Dewhurst is a senior partner in the London office, Kana Enomoto is a senior expert in the Washington, DC, office, and Barbara Jeffery is a partner in the London office; they are all leaders with McKinsey Health Institute (MHI). Renata Giarola , in the Southern California office, and Brad Herbig , in the Philadelphia office, are consultants with MHI.

The authors wish to thank Yueyang Chen, Elena Chit, Aaron de Smet, Soheil Eshghi, Lars Hartenstein, Tom Latkovic, David Mendelsohn, Roxy Merkand, Isidora Mitic, Bill Schaninger, Wilmar Schaufeli, Jeris Stueland, Berend Terluin, Karen van Dam, and Marieke van Hoffen for their contributions to this article.

This article was edited by Allan Gold, a senior editorial advisor in Washington, DC, and Elizabeth Newman, an executive editor in the Chicago office.

Explore a career with us

Related articles.

Adding years to life and life to years

National surveys reveal disconnect between employees and employers around mental health need

The state of burnout for women in the workplace

• SUGGESTED TOPICS
• The Magazine
• Newsletters
• Managing Yourself
• Managing Teams
• Work-life Balance
• The Big Idea
• Data & Visuals
• Reading Lists
• Case Selections
• HBR Learning
• Topic Feeds
• Account Settings
• Email Preferences

Decision making and problem solving

• Change management
• Competitive strategy
• Corporate strategy
• Customer strategy

Is it Time for Mutiny?

• Patrick J. Murphy
• April 09, 2013

Managing People on a Sinking Ship

• November 26, 2013

The Art of Evidence-Based Medicine

• Christopher Worsham
• Anupam B. Jena
• January 30, 2019

Treat Employees like Adults

• Frank Furedi
• From the May 2005 Issue

Find the 15-Minute Competitive Advantage

• Rosabeth Moss Kanter
• November 09, 2009

Learn to Make Judgment Calls On the Other Hand

• Thomas H. Davenport
• September 14, 2010

In a Real Emergency, Should Your Company or Your Community Come First?

• Eric J. McNulty
• December 09, 2009

Does Better Judgment Come With Age?

• Brook Manville
• August 24, 2010

How to Say No to Things You Want to Do

• Dorie Clark
• January 04, 2016

Research: People Use Less Energy When They Think Their Neighbors Care About the Environment

• Jon M. Jachimowicz
• Oliver Hauser
• Julie O’Brien
• Erin Sherman
• Adam Galinsky
• January 28, 2019

To Be More Creative, Schedule Your Breaks

• Jackson G Lu
• Modupe Akinola
• Malia Mason
• May 10, 2017

The Economy Hasn’t Changed Innovation

• Scott D. Anthony
• August 18, 2011

How a Video Game Helped People Make Better Decisions

• Carey K. Morewedge
• October 13, 2015

Is Anyone Really Responsible for Your Company’s Data Security?

• Joel Brenner
• June 19, 2013

Increase the Odds of Being Right

• Harvard Management Update
• February 29, 2008

Betting on the Future: The Virtues of Contingent Contracts

• Max H. Bazerman
• James J. Gillespie
• From the September–October 1999 Issue

The Fall of Adrian Fenty and its Lesson in Judgment

• September 23, 2010

The Big Idea: The Judgment Deficit

• From the September 2010 Issue

Ten Principles to Live by in Fiercely Complex Times

• Tony Schwartz
• July 12, 2011

Before You Make a Tough Decision, Imagine How You’ll Have to Sell It

• Joseph L. Badaracco
• August 29, 2016

Merton Truck Co.

• Anirudh Dhebar
• March 24, 1989

Explo Leisure Products

• Richard G. Hamermesh
• November 24, 1998

Goddard Space Flight Center: Building A Learning Organization (B)

• James G. Clawson
• Gerry Yemen
• November 02, 2004

Powell Logistics Inc.

• Elizabeth M.A. Grasby
• Sean Cauterman
• May 12, 2009

Genzyme Center (C)

• Michael W. Toffel
• September 01, 2009

The Stories Behind the Numbers

• Steven S. Rogers
• Francisco Roman
• January 29, 2015

Rockwell International (A)

• Michael E. Porter
• Nancy Taubenslag
• August 23, 1982

HBR's 10 Must Reads 2024 (Paperback + Ebook)

• Harvard Business Review
• Marco Iansiti
• Satya Nadella
• Lynda Gratton
• Ella F Washington
• October 10, 2023

Abbott Laboratories and HUMIRA: Launching a Blockbuster Drug

• Stefanos Zenios
• Robert Chess
• February 01, 2005

Exercises in Negotiation Analysis

• August 01, 1996

Preparing a Budget

• Harvard Business Press
• May 04, 2009

Offering the Right Service in the Right Place: Growing Orthopedics at the Brigham and Women's/Faulkner (BW/F) Hospitals

• V.G. Narayanan
• Michael G Wilson
• Rachel Gordon
• October 16, 2007

Domino's Pizza

• Jana Seijts
• September 09, 2011

Edward Jones in 2006: Confronting Success

• David J. Collis
• March 01, 2007

Goddard Space Flight Center: Building A Learning Organization (A)

• October 13, 2004

Project Maji: Pricing Water in Sub-Saharan Africa

• Marco Bertini
• Dilyana Karadzhova Botha
• October 06, 2021

Evan Williams: From Blogger to Odeo (B)

• Noam Wasserman
• December 07, 2008

India: The Dabhol Power Corporation (A)

• Shashi Verma
• April 27, 2001

Blue Origin, NASA, and New Space (A)

• Matthew C. Weinzierl
• Angela Acocella
• February 12, 2016

How Leaders Learn: Master the Habits of the World's Most Successful People

• David Novak
• June 04, 2024

How One F-35 Fighter Pilot Makes Decisions Under Pressure

• July 25, 2023

Popular Topics

Partner center.

Effective Problem-Solving And Decision-Making At The Workplace

Problem-solving and decision-making are integral to success. Whether it is your personal life or the professional domain, you need to…

Problem-solving and decision-making are integral to success. Whether it is your personal life or the professional domain, you need to master the art.

If you are well-versed with problem-solving and decision-making in the workplace, then you can manage situations well and also evolve at a personal level.

Problem-solving and decision-making at the workplace

Problem-solving decision-making is embedded in the functions of business management. You need to be capable of identifying the problem. You can use a stepwise process to identify the problems, find out the solutions and take decisions to execute the solutions.

There are a lot of areas in which problem-solving and decision-making skills can benefit you.

Assessing the situations effectively

Discussing the challenges with an aim to find solutions, improving your personal image as a leader, evaluating options, forecasting the impact of decisions, creating action plans.

The process of problem-solving and decision-making has five major steps.

Let’s take a look at them to understand the importance of problem-solving decision-making in business environments with the help of some problem-solving and decision-making at the workplace examples:

Problem identification and analysis.

You can solve a problem only after you thoroughly understand it. Hence, the first natural step in the problem-solving and decision-making process is to identify and analyze the problem.

Rohit was the production head of an industrial unit. He realized that despite the installed capacity of producing 1,000 pieces a day, his factory was bringing out only up to 600 pieces. He spent the next one week observing the production process and spotted the problem areas using his analytical abilities at the end of the period. Almost half of the machines frequently broke down and the repairs took hours together. Also, the lighting in the production area was inadequate, which ended up reducing the working speed of the workers to avoid injuries and material wastage.

In this example, Rohit identified and analyzed the problem at hand.

Collecting information

The next step in the problem-solving and decision-making process is to collect as much information as possible about the problem as well as the possible solutions.

Rohit moved on to this step once he had identified and analyzed the problem. He researched and collected information on the machines installed in his factory and on the maintenance mechanisms. He also figured out how to improve the lighting in the premises.

Once he was ready with the information related to various possible options, he decided to take the next step.

Analyzing the options

Once you get to know the problem, collect the necessary information about it and figure out the possible solutions, you need to analyze them and, wherever possible, brainstorm the solutions with your colleagues or other stakeholders.

Rohit’s problem is a classic case of problem-solving and decision-making at the workplace examples.

He had great problem-solving and decision-making skills that enabled him to adopt a stepwise approach to resolving the issue and taking a decision.

He held a discussion with the workers and asked them for their inputs regarding what needed to be done. After the brainstorming , it was easier to identify some potential solutions.

Evaluating pros and cons

The next major step in the problem-solving decision-making process is to consider the pros and cons of each option available before deciding on the ultimate solution.

Rohit and his production staff considered various options such as redoing the lighting fixtures in the factory, installing heavy-duty portable lights alongside the existing lighting, hiring an on-site technician to service the machines and even purchasing new machines.

They then worked on the projections of the initial cost, operational monthly expenditure and long-term benefits of each option. In the end, Rohit decided to go ahead and execute the fifth step of the process.

Deciding on the solution 

Once you have given due consideration to the problems, your organization’s needs, the cost factors and other pros and cons of each available option, it is time to make a decision.

Rohit’s analysis brought about two facts:

The machines were bound to break down frequently

The lighting system was inadequate for optimal working

He opted to revamp the lighting with new brighter and more energy-efficient lighting and hired a full-time technician. Within a month, the production improved by 30% and everyone appreciated Rohit’s problem-solving and decision-making skills.

Problem-solving and decision-making is a critical and continuously evolving skill. Look around in the professional space, and you will see plenty of problem-solving and decision-making in the workplace examples.

Harappa Education’s Making Decisions helps you learn how to make smart decisions and solve problems efficiently. It teaches you the PRISM Framework’ of problem-solving and helps learners cultivate an analytical and systematic approach towards problem-solving and effective decision-making. You can enroll for this online course from anywhere, anytime and can develop the requisite skills.

Explore topics such as Decision Making , Steps of Decision Making , How to Make Decisions & Decision Making Methods from our Harappa Diaries blog section and develop your skills.