Propensity for risk
Potential for dissonance
Your emotional and physical health
Role conflict Conflicting messages or suggestions
Information available to you and its analysis
• A lot of our decisions are based on the values that we hold
good for our life.
• When we are faced with several options in confronting a
situation or addressing a problem, in many cases, we base
our decisions on our values.
• Our value judgement is called into play in considering
various possibilities and we examine the choices in light of
• The values we cherish also play a very important role in
helping us determine the course of action we wish to take.
• When we talk about propensity for risk-taking in decision-
making, we are indeed considering the level of risk involved in
taking a particular course of action.
• Risk-taking assumes considerable significance or becomes a
dominating factor in decision-making when the fall-out or
outcomes can be significantly harmful or even damaging.
• Propensity for taking risk varies not only between people but
also within an individual from situation to situation.
• Those with a fair degree of aptitude and preparedness to take
risk or low aversion to it are inclined to establish different
objectives; set out varied standards of evaluation; and select
different alternatives than those with high aversion to risk-
• Many people are bolder and advocate greater risk-taking in
groups than as individuals.
• It is not unusual for many of us to take a decision and then
start ruminating whether it was correct and appropriate.
• While some of us may reduce the effects of dissonance by
admitting our mistake, there are people who are reluctant to
accept that they have taken a wrong decision.
• A key factor that plays a significant role in decision-making
is your emotional and physical health.
• When we are not physically and emotionally healthy, it is
likely that we perceive or analyse the situations or
intervening circumstances differently from what they
• All of us play multiple roles in life, depending on the
responsibilities that we are expected to carry.
• These roles may not always be consistent with one another.
In fact, there are occasions when these roles can be in
• In taking a decision you may get suggestions and advice
from people representing different points of view and
interests. These suggestions can even be conflicting.
• Once you are aware of these discordant notes, you should
organise yourself in a manner that leads you to better role
clarification and understanding of different messages being
communicated to you.
• Person-role conflict is between personal values of an
individual and the demands of her role.
• It is also likely that a person finds that in the discharge of
her responsibilities she is expected to engage in behaviour
and actions that are not compatible with the values she
subscribes to. This conflict can have positive consequences
• For taking a sound and practical decision, you need to have
factual and authentic data and information related to issues
that are germane to the area or topic on which the decision is
• Data and information can become fructiferous and effectual
only when they are appropriately analysed, interpreted, and
collated to make them usable for the decision-making