Decision-making is an essential part of leadership; it comes with the job title. A leader’s day is chock-full of decisions both big and small, and sometimes those decisions need to happen quickly while sometimes they need to happen thoroughly—but often, both is needed. However, a leader’s decisions will only go as far as their influence takes them. To be an effective leader, you must possess influence and make good decisions.

In this article, we dig into the importance of decisions and influence, defining what they both look like in leadership and the impact they play in a leader’s effectiveness.

The Importance of a Leader’s Decisions & Influence

We’ve all seen those leaders; they’re incredibly likable. People listen to what they say and often follow them, for better or worse. And that’s because they possess influence. They’re able to rally a group together toward a shared vision, purpose, or cause. But, if they aren’t making great decisions, then they won’t be effective. Leadership effectiveness is determined by both the decisions you make and the influence you have. And on the other hand, you could make great business decisions, but if you don’t have any influence, you won’t be able to effectively lead.

Defining Decision-Making in Leadership

As a leader, you have the immense privilege of decision-making. You get to make big decisions with big impact. The decisions you make have the potential to change the course of your company, alter the trajectory of your employee’s careers, and even make a difference in the world—which is why it’s vital for those decisions to be good ones.  

But sometimes the decisions you make turn out to be the wrong ones; this happens, especially when time is of the essence. To guard yourself against poor decisions, you must inform yourself. You can only act upon the information you have and that’s why you should seek out the perspectives of others when making decisions, especially ones with the potential for big impact.

It can be so easy to make decisions in a silo (or an echo chamber), but all that really does is reinforce your own viewpoint, limiting your understanding of the experiences of others and the widespread impact that your decision might have. Healthy leaders know that they don’t know everything, and they value the insight that others can offer. In his book, The 7 Perspectives of Effective Leaders, our CEO and Founder, Daniel Harkavy, explains a proven framework for improving decisions and increasing influence. He details seven perspectives that every leader must consider to help them make the best decisions they can—because when you take into account the opinions of people who think differently than you, you’ll be better equipped to make well-rounded and informed decisions.

Defining Leadership Influence

We’re living in the day and age of influencers. In 2023, it was reported that an estimated 4.9 billion people used social media globally, and 64 million of them were Instagram influencers. But despite the enormous number of self-proclaimed influencers, the funny thing about influence is that you can’t really have it unless someone follows you. 

Influence can be lost or gained, and it’s largely due to the decisions you make, both big and small. So, don’t assume you have all the answers. Clarify your convictions, maintain your integrity, and make decisions in alignment with your business vision. As a leader, it’s important to work toward confident humility and prioritize new learnings. It’s a privilege and responsibility to hold influence, so make sure your decisions are honoring.   

But to be an effective leader, you can’t only make good decisions, you must also be a person who people want to follow. And this is why it’s important to pay attention to and understand your effect on others. Do people feel heard, validated, and understood by you? Do they come to you for help with problem-solving? And the biggest question to ask is: Do you have influence and are you using it well?

Viewing your ability to influence as a privilege and opportunity will help you treat it with the weight it deserves. Remember, it can be lost, but it can also be gained. Work first on leading yourself well and you’ll become a person who people want to follow.

To learn more about how we help leaders like you increase your influence and improve your decisions, check out our one-on-one coaching offerings. Our team of seasoned coaches and mentors have sat before in leadership roles like yours and they understand the responsibility that you carry. They’d love to walk alongside you and help you to strengthen your leadership effectiveness. Reach out to learn more!