Logic Tree: Branching Out Solutions to Make Better Decisions

As a business leader, making decisions that’ll benefit your company is pivotal. It’s important you’re able to “foresee” and examine all the probable courses of actions available and all their possible outcomes.

The Logic Tree Technique is a helpful way of mapping out a problem you’re trying to solve and seeing all the different solutions and outcomes that can happen. Watch as a group of TEDxSydney speakers and our CEO, Ashton Bishop, explore how this tool can benefit the decision-making process:

What Is the Logic Tree Technique? 

Simply stated — it’s a visual diagnosis that lays out a problem and all its possible solutions, allowing you to choose the best course of action. 

Where Can We Use the Logic Tree Technique?

Here are some situations where the logic tree technique will prove helpful:

• When you’re looking for opportunities to expand your brand using historical sales data
• When you’re determining prospect buyers using demographic data
• When you’re deciding which business issues you need to address first

Raring to give it a try? Here’s how:

1. Start by defining the problem or question. Remember that a logic tree is most effective in answering the “how” questions or even questions answerable by yes or no. One example is, “How can we up our sales by 20% by the end of this quarter?”
2. Then think of all the possible solutions. Project ‘branches’, depending on the number of answers, and write one solution beside each branch.
3. Can you elaborate on any of your solutions? Say, if you chose that particular solution, would it open more courses of action to take?
4. Expand all the branches of solutions until you have exhausted all the possible outcomes and decisions you can think of.

Sometimes, a branch in the logic tree ends quickly, and that is fine. Some branches could extend further across the board.

This easy-to-use technique is beneficial for businesses as it provides decision makers with a transparent, unbiased view of the rewards and risks attached to a course of action.

Do you have a pressing problem that needs to be laid out clearly with your team? This technique could be just the tool you need.