What Taylor Swift can teach small businesses about decision making

In small businesses, decision-making is akin to crafting the perfect Taylor Swift song – it requires a delicate balance of discipline, strategy, and creativity.

Just as Taylor Swift’s music captivates audiences worldwide, small business leaders and managers can captivate their markets by embracing these five swift decision-making strategies that are inspired by the pop sensation herself.

Get older and wiser: Best value for money

In decision-making, striking the right chord between the best value and the best value for money is essential.  The lyrics of Anti-hero speak of Swift’s daughter-in-law killing her ‘for the money, she thinks I left them in the will’. The will is read out, and it transpires that the money was not left to them, causing the astute listener to wonder if the daughter-in-law weighted up her benefits and costs!

Small businesses often focus on the differences in costs between potential investments and fail to adequately recognise the variations in benefit. It’s easy to see why – money and resources are simple to quantify. In fact, they are often stated in the bottom line of any business proposal or quote you are likely to receive. Whereas benefit requires more thinking and a clear understanding of what the organisation values. 

Evaluate each decision against your business goals and be prepared to quantify the benefit of each option, even when it is hard to do so. Don’t just discount the intangible things because they are harder to measure!

Whether it’s selecting suppliers, investing in marketing campaigns, or upgrading technology, by choosing wisely, you’ll compose a symphony of success that resonates with both your budget and your customers.

Fearless composition: Go beyond risk

Taylor Swift’s career is marked by fearless creativity and bold experimentation. Similarly, in business, decisions should not be stifled by fear of failure. The very nature of innovation requires us to be thrilled by possibility and uncertainty. Yet, often, small businesses put too much weight on the likelihood of success (or failure) of an idea, rather than the potential value it could create.

Tolerances for risk should change between different types of decisions (for example, decisions involving safety are less tolerable to risk). To get this balance right – much like cost and benefit–risk must be carefully measured and articulated in each specific decision-making process.  

In one scenario, a lower likelihood of success on a potential investment that has a larger potential payoff may turn out to be the best option! Whereas in another, you may deliberately veer away from risk to gain the certainty you need in that situation.

Just as Swift fearlessly explores new musical territories, entrepreneurs must dare to venture beyond their comfort zones when the scenario is right to do so.

Cut through the noise: Filter information

In a world inundated with noise, clear inputs are key to making harmonious decisions. 

Much like Taylor Swift’s ability to convey emotion through just a few hundred words per song, focus your data gathering on clear, actionable insights that are relevant to your situation. 

It can be tempting to cast the net wider than necessary to inform your business decision-making. And sometimes, this broad search can turn up a gold nugget of information. However, most of the time, it causes greater confusion and uncertainty for decision-makers.

In 2023, a research report by Oracle found that 89% of Australian business owners had given up making a decision because the data became too overwhelming. It was too hard.

Cut through the noise by identifying the most relevant data points and market trends that will influence your decision. Use analytical tools and streamline information channels to ensure that your decision-making process is as clear and concise as a Taylor Swift chorus.

Connect with your audience: ‘Taylor’ed engagement 

Taylor Swift’s ability to connect with her millions of fans is legendary.  She provides a variety of tailored ways for fans to engage with her music including social media, personalised gifts, and secret listening sessions.

You can take a similar approach to the way you engage with stakeholders in your decision-making. Think about the ways that your staff, customers, investors, and collaborators might want to contribute to the decisions you make that impact them. Not all of them will expect the same level of engagement, so be sure to create opportunities for different levels of participation. 

When it comes to your staff, remember that transparency in decision-making fosters trust and collaboration. Share the rationale behind your decision-making and invite input and feedback from all members. By embracing transparency, you empower your team to contribute creatively and implement decisions effectively. 

Just as Swift’s heartfelt lyrics resonate with her audience, decisions made through engagement with stakeholders create a harmonious environment where everyone feels valued and heard.

Strategic symphony: Plan before you act

In Look What You Made Me Do, Swift sings about a turbulent time in her life and the impact the actions of others had on her own choices.  While it is ultimately a song of strength, the message that a lack of planning and direction can land you on a path of poor decision-making shouldn’t be overlooked!

When it comes to business decisions, leaders often jump straight into the thick of gathering information and weighing up options before they have even considered how they will bring that all together in a meaningful way.  This makes things complex when conflicting data and expert opinions arise, and there is no predetermined way to balance them. 

Take time to consider the decision objectives, context, and constraints at the outset to save time and energy down track. This clarity will guide the selection of an appropriate decision-making process, the information required to inform your decision, who should be involved (and when), and what criteria should guide your decision-making.

By planning out your decision-making objectives and process, you can ensure your outcomes are aligned with your strategy and that you have a decision-making hit that is worthy of a Grammy.

Don’t be the decision-making anti-hero

The bottom line is that – whether during a Taylor Swift media storm or not – there are simple decision-making strategies that small businesses can put in place to get better outcomes.   

Don’t be the decision-making anti-hero. Commit to better-evaluating cost and benefit, set risk tolerances, filter data, engage stakeholders in the right way, and adequately plan for decision-making.

Belinda Newham is the founder of Decision Revolution.