Does Your Leader Make Rational Decisions, or Rationalize?

Here's why emotionally intelligent decision-makers are more effective leaders.

Reviewed by Lybi Ma

Leadership is often associated with making tough decisions, and leaders are frequently judged by the decisions they make and their impacts. However, how these decisions are made can have a significant influence on the leader's and the organization's success. This decision-making process is often "behind-the-scenes," meaning that even front-line leaders may be unaware of the inputs and considerations that went into the decision-making, or the leader's style of decision-making.

The Power of Rational Decision-Making

Rational decision-making, a cornerstone of successful leadership, involves a thoughtful, logical approach to problem-solving and a commitment to evidence-based choices. Rational leaders assess situations objectively, weigh the available evidence, and derive logical conclusions. They prioritize reason over emotion, ensuring their choices are grounded in a thorough understanding of the factors at play.

In contrast, rationalizing decisions that have already been made, whether consciously or unconsciously, is a common pitfall for many leaders. Rationalizing involves justifying a decision in a way that may not be entirely rational or logical, often making excuses, ignoring contradictory evidence, or blaming external factors for negative outcomes.

Leaders tend to fall into one of two categories: those who are open to key inputs, including feedback from stakeholders and those they trust and respect, and those who make decisions based on pre-existing assumptions, presumptions, and personal motivations, later justifying their decisions as more thoughtful and methodical.

Embracing Rational Leadership

Healthy leadership is marked by the ability to be rational in decision-making, making choices that are in the best interest of the organization and its members, rather than simply justifying decisions that have already been made. Rational leaders are open to feedback, willing to reconsider their decisions when new information or factors come into play, and transparent in communicating the reasoning behind their choices.

One example of rational leadership is that of Abraham Lincoln. Throughout his presidency, Lincoln was known for his willingness to listen to the advice of others and to reconsider his decisions in light of new information. This approach ultimately led to the abolition of slavery and the preservation of the Union, despite significant opposition.

In contrast, the case of Enron's collapse provides an example of the pitfalls of rationalizing. The company's leadership, including former CEO Jeffrey Skilling, demonstrated an unwillingness to listen to advice and a tendency to justify questionable decisions, which contributed to the company's downfall and resulted in multiple convictions for fraud and conspiracy.

The Difference Between Being Rational and Rationalizing

Being rational is the act of making decisions based on reason, logic, and critical thinking. It involves carefully weighing the available evidence and considering the potential consequences of each option before making a choice. In contrast, rationalizing involves justifying a decision that has already been made, often in a way that is not entirely rational or logical. This can involve making excuses for a decision, ignoring evidence that contradicts it, or blaming external factors for any negative outcomes.

Rationalizing can be a significant pitfall for leaders. It can lead to a lack of accountability, as the leader may be less willing to admit when they have made a mistake. It can also lead to a lack of transparency, as the leader may be less likely to communicate the reasoning behind their choices to others. This can erode trust and confidence in the leader and can ultimately lead to negative outcomes for the organization.

Integrating Mind and Heart

The process of rational decision-making involves a symphony of cognitive functions, including information gathering, analysis, and synthesis. Leaders who prioritize rationality engage in a systematic evaluation of available data, considering both the quantitative and qualitative aspects of a situation. This allows for a fuller understanding of the complexities at hand.

Contrary to the misconception that rational decision-making negates emotions, effective leaders integrate emotional intelligence into their thought and decision-making processes. Acknowledging and understanding emotions, both their own and those of others, enables leaders to navigate interpersonal dynamics and make decisions that resonate with their team.

Conclusion

Embracing rational leadership is key to organizational success. By prioritizing reason, logic, and a thorough consideration of evidence and potential consequences, leaders can make choices that are in the best interest of their organization and its members. Rational leaders are open to feedback, willing to reconsider their positions, and transparent in communicating the reasoning behind their choices. In contrast, rationalizing can lead to a lack of accountability, erode trust, and ultimately result in negative outcomes.