critical thinking manager

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• The Project Manager’s Guide to Critical Thinking Skills

Remember playing the game Clue as a kid? You’d collect evidence, analyze the possibilities, and come to your own conclusions based on what you knew (and what you didn’t). As a project manager, the skills you developed playing games like Clue are extremely useful. The acting gatekeeper for your team, you’re used to evaluating information and making decisions to benefit your department and the business as a whole. Whether you’re a seasoned project manager or just learning the ropes, knowing how to fine-tune your critical thinking skills will come in handy every single day.

Continue reading to learn: 

• A definition of critical thinking
• The six critical skills project managers need
• Why critical thinking skills are crucial for project managers
• How to work your critical thinking muscles
• Effective critical thinking techniques

Let’s get critical. 

What is critical thinking?

Ask five different people what critical thinking means and you’ll probably get five different answers. But, generally speaking, critical thinking refers to intellectual tactics used to observe and analyze information to draw better conclusions. A key factor in critical thinking is looking beyond the surface of an idea, a concept, or a piece of information. It involves asking questions — to yourself or others — to go deeper and draw better conclusions.

Critical thinking can be used by anyone, in any role, to make their job easier. You can find new insights, optimize an inefficient process, and get projects done faster. Developing your critical thinking means building habits that follow you throughout your career.

Here’s a breakdown of crucial critical thinking skills for project managers — or any other role.

6 critical thinking skills for project managers

Skill #1: observation.

Critical thinking skills starts with being more aware of what’s going on. Working on an important project? Being observant might mean keeping a close eye on comments from collaborators, or just paying better attention during meetings with your data team. Becoming a more observant person means you can identify problems others miss or pick up on context clues that help you solve problems down the road.

Skill #2: Analysis

Spotting problems, clues, and that one important comment in a Slack thread is just the beginning. If observation is how you bring in more information, analysis is how you determine what you’re going to do with it. Having an analytical approach to your problems means knowing what information you have available, knowing how relevant each piece is to the problem at hand, and being able to ask better questions. 

Skill #3: Identifying bias

This critical thinking skill ties in closely with analysis but is important enough to be its own skill. Bias is inherent in everything we do, from collecting data to creating content and solving problems. For instance, because this blog post is being written by a marketer, it might use different examples than a writer from a more technical team. You can spot a bias by asking yourself questions, like “are there elements of this person’s experience or perspective that might be affecting what they’re saying?” Bias can affect every role in an organization.

Skill #4: Inference

This is a fancy term for drawing better conclusions. This crucial critical thinking skill helps you make better use of the information you collect, the questions you ask, and the potential problems you spot. Think of everything you might have done so far as putting ingredients in a stew. You can have the best ingredients in the world, but if you leave the pot on too long, you’ll end up with something closer to charcoal than stew.

One of the quickest ways to improve your inference skills is, ironically, by slowing down. Instead of blurting out the first conclusion that comes to mind, start with a few educated guesses, and compare them to each other. Which one makes the most sense? Which is weakest?

Skill #5: Problem-solving

If inference is how you come to better conclusions, problem-solving is how you put them into action. This critical thinking skill encompasses the tactics and strategies you use to take something that looks good on paper and make it great in practice. Problem-solving includes  planning  how you’ll solve a problem, but also reacting to hurdles along the way and staying flexible. A great way to improve your problem-solving skills is asking yourself “is this still the best way to solve the problem?” at every stage of your plan. Sometimes, people can get set in their ways, meaning they stick to an ineffective solution long after they should have pivoted to something else.

Skill #6: Curiosity

This is less a skill than it is a characteristic every critical thinker should work to develop. Every other critical thinking skill is helped by broadening having access to more information and more knowledge. For instance, you can be the most observant person in the world, but you’d still struggle to pick out all the problems in a presentation from the data team if you weren’t at least a little familiar with data analysis. Beyond expertise in specific fields, critical thinking — and thinking in general — is easier when you have a breadth of knowledge and experiences to draw from. You can find links that others would miss and learn to think in different ways. Read more books, listen to more podcasts, and approach the world at large with more curiosity.

Why do project managers need critical thinking skills? 

When people hear the phrase ‘critical thinking’, they often picture a negative person. Being a critical thinker doesn’t mean you have a bad attitude or that you aren’t a team player. It’s quite the opposite. 

Critical thinking means questioning processes, projects, and even core business practices that are widely accepted as given. Not to tear them down, but to improve them for the benefit of the entire team. 

The Project Management Institute (PMI) outlines how important this skill is: 

“Corporate leaders have put critical thinking at the top of the list of essential competencies needed by their workers to understand these challenges, explore opportunities, and make good decisions in this new competitive environment.” 

When used in the context of project management, effective critical thinking can: 

• Encourage deeper, more  productive discussions
• Facilitate open communication between team members 
• Resolve issues between team members and stakeholders more quickly
• Develop better solutions to problems 
• Reduce stress throughout a project 
• Prevent repetitive issues
• Achieve better results faster 

Now that you know why critical thinking skills are priority for project managers, it’s time to find out how you can improve yours.

How project managers can develop better critical thinking skills 

There’s one core principle that will guide your critical thinking: question everything. Project managers can’t just approve all requests that come in from stakeholders across the organization — unless they want a stressed-out, overworked team.

A good project manager knows how to prioritize projects according to the business’ overall needs and goals. With every request that comes in, you need to be prepared to evaluate the project’s impact on the business, the necessity of the project, and the why. Building this process — this instinct — into your daily work is how you build and strengthen your critical thinking skills.

For every potential project, consider: 

• Why is this important right now? While most stakeholders will say their project is urgent, you need to find out exactly how true this is. Perhaps the project could be scheduled for a later date that works better for your team’s schedule. 
• Why does my team need to be involved? For example, if you manage the creative team and a request for a sales presentation comes in, figure out exactly what your team will need to do.
• Why is my team’s time better spent on this project than other projects? Does this project contribute more to the business than other work your team could be doing? 

Those are three important questions to ask yourself, but what about the questions you ask others?

When a new project lands in your inbox, you need to know what to ask of the sender and how to delicately frame those questions. There are a few question formats that work especially well for this stage of the project. These include:

• ‘tell me more’ questions (eg. Tell me more about what will be required from each member of my team)
• ‘help me understand’ questions (eg. Help me understand why this project is urgent)
• ‘can you give me an example’ questions (eg. Can you give me an example of the types of results you’re looking for here?). 

These questions allow you to get a better understanding of the project and make sure it’s a good fit for your team. They’re also usually well-received by whoever initiated the project.

Prioritization means making tough calls, and project managers need to be ready and equipped to do so. You can’t be afraid to say no when the project doesn’t make sense from a timing or business standpoint. However, you will also need to be ready to explain the reasoning behind your “no”. The following techniques will help you feel confident in your decisions and authority as a project manager. 

Critical thinking techniques for project managers 

Critical thinking skills are one thing, but when evaluating the priority of a new project, there are critical thinking techniques you can put into practice to boost results and team morale. 

• Avoid making or accepting assumptions 
• Identify potential issues (and their consequences) from the start
• Use the Five Whys to find the root of problems 

Let’s dive into these a little bit more. 

1. Avoid assumptions 

You know what they say about assuming things. When you make assumptions as a project manager, you’re missing out on and ignoring key information that could make or break your project. You can have the best critical thinking skills in the office, but making the wrong assumption can undo all your hard work.

A big part of critical thinking is digging into reasoning and probing for evidence rather than drawing your own immediate conclusions. When you’re pitched a new project — and during the course of the entire project — question any preconceived notions (yours or theirs). Ensure you’re given concrete evidence for the viability of the project, and look for any holes in the process or strategy that could impact your team. 

When challenging assumptions, consider the following questions: 

• Am I assuming all members of this project have all the information they need to complete their tasks?
• What assumptions am I making about each team members’ skill sets? 
• Am I making assumptions about each team member’s time and availability? 
• What are some possible issues that may arise with this project? How can I work backwards and challenge any assumptions in order to avoid these issues? 
• What assumptions have I made about the stakeholder or project creator? What do they need to know? 

Never take anything for granted. When your job is to facilitate and manage expectations, it’s important that you’re questioning and challenging your own assumptions — and those of team members and stakeholders — at all stages of the process. 

2. Consider potential issues 

When you’re questioning assumptions, you’re also working towards another big part of your job: risk management. By proactively questioning what could go wrong, you can prepare for any issues that might arise during the course of the project. Not only that, but you can consider the implications and consequences of when things go awry. 

Consider a cause and effect approach with hypothetical — but realistic — issues. Give yourself an hour to write down any possible issues that could arise with the project, along with a list of consequences associated with each one. For example: 

• Problem : The video editor won’t have enough time to deliver the final file. 
• Consequence : The rest of the project will be held up. Costs will increase and we could miss the deadline.  

In a perfect world, project managers wouldn’t face any problems and all projects would be smooth sailing. Since that’s unfortunately not the case, here are some helpful tools you can use to avoid the escalation of issues — as well as repeating roadblocks with future projects.

3. Use the Five Whys

In addition to the “why” questions outlined above, a proven project management technique called “The Five Whys” can help you explore the true cause or causes of any problem. 

Here’s how ProjectManagement.com explains it: 

“5 Whys is an iterative elicitation method used to explore cause-and-effect relationships underlying a particular problem. The primary goal of the technique is to determine the root cause of a defect or problem by repeating the question ‘Why?’. Each answer forms the basis of the next question.” 

To complete The Five Whys, you simply repeat the question “why?” five times until you come to the root of the problem. Each answer is understood to be a “contributing cause” that impacts the final result. 

For example: 

• Because multiple teams weren’t able to complete their tasks on time (contributing cause). 
• Because their time wasn’t prioritized properly (contributing cause). 
• Because multiple last-minute projects were assigned (contributing cause). 
• Because other stakeholders didn’t understand the prioritization and project assignment process (contributing cause). 
• Because they haven’t been properly trained or given the necessary information (root cause). 

Once you get to the root of the problem, you can take action to ensure these issues are minimized or avoided in the future. 

For project managers, sometimes taking a moment to just stop and consider all of the possibilities, consequences, and information can make all the difference between a well-thought-out decision and a future regret. Developing and exercising your critical thinking skills is a surefire way to drive positive business results.

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How Leaders Should Think Critically

• John Baldoni

If you want to succeed in 21st Century business you need to become a critical thinker. Roger Martin of the Rotman School of Management figured this out a decade ago and as dean, has been working to transform his school’s business curriculum with greater emphasis on critical thinking skills. As Lane Wallace explained in the […]

If you want to succeed in 21st Century business you need to become a critical thinker. Roger Martin of the Rotman School of Management figured this out a decade ago and as dean, has been working to transform his school’s business curriculum with greater emphasis on critical thinking skills. As Lane Wallace explained in the New York Times , what Martin and many others are seeking to do is approach learning and problem solving from a multicultural platform that borrows from academia, business, the arts and even history.

• John Baldoni is an internationally recognized executive coach and leadership educator. His most recent book is MOXIE: The Secret to Bold and Gutsy Leadership .

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Critical Thinking Skills and activities for Project Managers

Weaving critical thinking into your projects

Brought to You by Dave Litten

CRITICAL THINKING IS A CORE SKILL OF SUCCESSFUL PROJECT MANAGERS

Think back to how project management is applied. Activities, methods, processes, procedures and techniques only go so far... Think about planning, monitoring and control.

Think about estimating and identifying risk respnses

Think about project strategies and approaches

Think about project controls

Think about delivery approaches

ALL of the above, and more, depend 100% upon Critical Thinking.

Think You Can Do WITH Critical Thinking?

Critical Thinking Skills and activities for Project Managers Critical thinking is for everyone yet few are able or willing to do it. Critical thinking is a set of transferable skills that can be learned for one thing yet equally useful for any other. Critical thinking cuts across all academic disciplines and is applicable in all spheres of human activity - particularly project management where it becomes a toolbox for driving both career and project success. So what are the key activities, abilities and attributes of a critical thinker? Analytical skills Like any one skilled in debate, critical thinkers demand properly constructed arguments that presents reasons and more sound conclusions Tolerance Critical thinkers delight in hearing diversion views and enjoy a real debate Confidence This is key since critical thinkers must be confident and able to examine views made by others, often those in authority Curiosity This is the essential ingredient for ideas and insights Truth seeking The critical thinkers are looking for objective truth even if it turns out to undermine their own previously held convictions and long cherished beliefs and even if this goes against their own self interest "There goes another beautiful theory about to be murdered by a gang of facts" You need to learn how to identify other peoples arguments and conclusions and go on to interpret and produce your argument more effectively. This means you will want to read between the lines, see behind services and identify false assumptions. To be successful as a project manager it is vital that you apply critical thinking within the planning, monitoring, and control of your projects

The Soft Stuff Matters

Critical thinking skills is the backbone to Critical Decision-making, which in and of itself, leads to successful change management and project delivery success. But don´t take my word for it…just listen to The Project Management Institute (PMI), and their Project Management Body Of Knowledge (PMBOK) 6th Edition now includes The Talent Triangle:

Check out the “technical, strategic and business management bits above…these cannot be learned by rote alone.

See, Critical Thinking Skills is about a range of skills and understandings – the kind of open-mindedness that allows you to make creative leaps and gain insights.

Get this...

Demand over the next 10 years for project managers is growing faster than demand for workers in other occupations. Organizations, however, face risks from this talent gap.

This talent gap analysis shows that project managers are important contributors to productivity. Talent shortages in the profession can potentially create risks of nearly $208 billion in GDP over the next 10-year period up to 2028

The latest PMI-commissioned talent gap analysis has found outstanding opportunities in jobs and career growth for project managers.

From the present day up to 2028, the project management skills and jobs are expected to grow by 33 percent, or nearly 22 million new jobs.

By 2027, employers will need nearly 88 million individuals in project management-oriented roles

If you need to become a Project Management Professional (PMP), then click below

What has this to do with Critical Thinking Skills and activities for Project Managers?

To answer this, we need to look again at the life-skills of critical thinking…

Critical thinking Questions - The Assertibility Question (AQ) This weeds out wobbly views having shaky evidence from sensible theories that are worth serious consideration. To use AQ you ask what evidence allows you to assert that the claim is true.

This will include questions such as:

• Does the idea fit well with common sense or is it crazy?
• Who proposed the idea, and is the person biased towards it being true?
• Have statistics been used and presented in an honest way, and are they backed up with references to other work that supports the approach?
• Does the idea explain too much — or too little — to be useful?
• Have they been open about their methods and data?
• How many artificially decided settings are there that constrain and affect the theory?

Every day we are bombarded by problems and situations needing to be evaluated and solved.

The challenge is to view these from different perspectives and all too often we make decisions only based on previous similar situations or experiences.

This can lead to cloudy decision-making since we are often affected by emotional thinking, poorly prioritized facts and external influences that may not be relevant.

Then compare and contrast this with critical thinking which builds a rational and open minded process built upon information and empirical evidence.

Critical Thinking Skills Definition:

“ an intellectually disciplined process of actively and skillfully conceptualizing, applying, analyzing, synthesizing, and/or evaluating information that has been gathered from, or generated by, observation, experience, reflection, reasoning, or communication ”

Critical thinking provides the skills to judge and evaluate situations that is based on understanding the related data. It is analyzed to build a clear understanding of the problem, a proper solution identified, and then to take actions based on that solution.

The power of the critical thinking process is that it prevents our minds from jumping directly to conclusions, and instead, leads the mind through a set of logical steps to widen the range of perspectives, to accept the findings, sidestep personal biases, and consider reasonable possibilities.

Critical Thinking - The 6 Basic Steps

To determine what are the critical thinking questions, here are the six basic steps:

Step 1. Knowledge Here, we need a clear vision, starting with identifying the argument or the problem that needs to be resolved. Open questioning is used to acquire a deep understanding about the problem or situation. This involves the use of open ended questioning to discuss and explore the main reasons or root causes. A clear understanding must be obtained of what the problem is and why do we need to solve it. Step 2. Comprehension You need to fully understand the situation along with the facts that align and support it. The way in which you collect such facts will depend upon the research methods used, and this in turn will depend upon the problem, the type of data and information available, and any constraints. Step 3. Application This is the next practical step following comprehension, and builds to fully understand the different facts and resources needed to solve the problem. Mind maps are helpful here to analyze the situation while building a strong relationship between it and the core problem while resolving the best way to move forward. Step 4. Analyze This step builds on the information and linkages identified from the main problem, and analysis to close to identify the strong and weak points plus the challenges faced one identifying a solution to the problem. The main causes are prioritized to determine how they can be applied, and one of the most often used tools here to analyze the problem and those circumstances that surround it, is the cause and effect diagram, which isolates the problem from its root causes and identifies such causes so that they can be categorized on their type an impact on the problem. Step 5. Synthesis Once the problem has been fully analyzed and the related data has been considered, a decision needs to be taken how the problem can be solved along with the initial set of actions required. If there are several identified solutions, then each should be evaluated and prioritized to identify the best solution approach. It is here that SWOT analysis can be helpful in identifying the solutions strength, weakness, opportunity, and threats.

SWOT Analysis

If they are to interpret and use the SWOT analysis, the project can form the strategy based on the following factors:

• ​​ ​​ Strength vs. opportunity . The strategies or approaches build on the available existing strengths and how they may be used to leverage existing or new opportunities
• ​​ ​​ Weaknesses vs. opportunities. This strategies suggest ways of overcoming existing weaknesses while building new potential opportunities
• ​​ ​​ Strengths vs. threats. These strategies identify approaches to build on the organization, product, or project strengths while reducing threats and risk to the main objectives.
• ​​ ​​ Weaknesses vs. threats. These are strategies designed to prevent such weaknesses from the influenced by external threats.

Step 6. Take Action The final step is to build a problem valuation that can be put into action, as the final result of critical thinking should be transferred into actionable steps. Within a project, a plan of action should be implemented to ensure that the solution is adopted and implemented as planned. Summary The critical thinking method is used to replace the emotions and biases when dealing with a situation or a problem. The advantage of using critical thinking is its contribution to widening perspectives about situations and providing a broader range of action choices to ensure that the decided resolution is implemented and integrated between all the involved individuals and organizations.

Critical Thing Tools

The Cause and Effect Diagram

The cause and effect diagram is helpful when exploring problems and their solution:

How to solve problems using the cause and effect diagram The cause and effect diagram is also known as the Ishikawa diagram or fishbone diagram. For its successful use, a clear problem definition is first needed so that the proper solution can be targeted.

Additionally, the root causes behind the problem must also be carefully analysed. The Ishikawa diagram has two main sections, causes on the left hand side, and effect on the right-hand side.

Possible problem causes are thought through by creating branches from the line that links cause and effect. This type of diagram has a focus on solving problems rather than exploring ideas which is normally the case when applying critical thinking skills. The headings used to brainstorm the various problem causes, can vary from industry to industry, and as an example here are typical cause headings for three industries:

• The service industry. S urrounding, S uppliers, S ystems, S kills, and S afety
• The manufacturing industry.   M achine, M ethod, M aterial, M anpower, and M easurement
• The marketing industry. P roduct, P rice, P lace, P romotion, P eople, P rocess, and P hysical evidence

There are four steps to create the Fishbone diagram:

• 1 Identify the problems. The defects, or problem, results from one or several causes, for these reasons the problem must be clearly identified so that potential related causes can be investigated
• 2 A straight horizontal line should be drawn as a link between cause and effect, so that general causes such as the three cause models mentioned above can be drawn as branches from this main line
• 3 ​ Once the main general categories have been added, all possible causes for the problem can now be investigated and organized under the general categories
• 4 The final step is to investigate and discuss each possible cause and organize them in priority and influence order

Critical Thinking and Mind Mapping Mind mapping is a tool to help understand ideas and collaboration. Those who use Mind mapping for critical thinking can improve their productivity by 25%. It is also used to support the project management process and can easily be integrated when performing project management planning. I include here an excellent example (not my own) showing how the use of diagrams and colors help convey easily identified and remembered relationships. As stated at the center of this diagram, this is an example of brainstorming the various elements of time management:

Critical Thinking  - Real World Example

Here at Projex Academy, we have the market leader in online streaming training the world´s project management community. Our Flagship training course is for the PRINCE2 Methodology. First, I generated a Mind map on the structure and application of the PRINCE2 Methodology, then I performed root cause analysis to determine customer-demand potential training spin-offs. This resulted in created TWO new products - BOTH of which are UNIQUE to the project management training industry. They are:

• PRINCE2  SCRUM Masterclass for fast-to-market and high ROI projects
• PRINCE2 Lite for tailoring and blending smaller projects

Both have been selling like hot cakes since their launch a few months back - click on their images below to find out more... THANK YOU Critical Thinking!

Want to become a PRINCE2 Practitioner?

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Advertisement: register for newsletter, advertisement: cpd small top, developing your critical thinking leadership skills.

Critical thinking enables leaders at every level to understand the impact of their decisions on the business as a whole and ensures both alignment with organisational goals and accountability for results.  

The "new normal" is a different kind of competitive landscape, buffeted by geopolitics and global instability, rapid technological change, unique financial pressures, a rising tide of data and information to filter through, and the proliferation of new corporate business models.

The mind-set that made leaders successful in the past probably won't ensure success in the future. In fact, several recent studies and surveys have identified critical thinking as the number one requirement for successful leadership in the 21st century. Yet there is mounting evidence that many current and emerging leaders lack this quality. And it is this competency gap that is shaking up and reshaping leadership as we have come to know it.

Leadership in the "new normal"

In the wake of the economic crisis, we all know what a failure of leadership looks like. The companies that folded in the GFC serve as stark examples of what happens when decisions are based upon erroneous, partially false or incomplete information and when management fails to think clearly and strategically about the full implications of its actions. The resulting fall-out put an end to business as usual and created a "new normal" that looks markedly different from anything anyone has seen before.

Business organisations must be prepared to do things differently if they expect different results. In this demanding, dynamic landscape, it is only natural that they also require a different mind-set from those in charge.

The equation works like this: Thinking drives behaviour; behaviour drives results. So enterprises that want to change the results - and, indeed, change the organisation itself - can achieve the highest leverage by changing the thinking of leaders and managers throughout the organisation.

But what kind of thinking - or rather rethinking - will be required of leaders if they want to succeed in the "new normal"?

Why critical thinking is critical

Critical thinking appears to be exactly what is needed from leaders who are navigating the volatility of the "new normal". Diane Halpern, an award-winning professor of psychology at Claremont McKenna College and a widely read author on the subject, offers this definition in her seminal book, Thought and Knowledge :

"Critical thinking is the use of those cognitive skills or strategies that increase the probability of a desirable outcome. It is used to describe thinking that is purposeful, reasoned, and goal-directed - the kind of thinking involved in solving problems, formulating inferences, calculating likelihoods, and making decisions ... it's the kind of thinking that makes desirable outcomes more likely."

If ever there was a time for clear, discerning, solution-centric thinking, this is it.

Every two years since 1983, Executive Development Associates (EDA) has conducted an extensive survey on trends, growth and the evolution of executive development. The 2009/2010 EDA Trends in Executive Development: A Benchmark Report revealed trouble on the horizon for corporations seeking future business leaders.

To gauge the readiness of the next generation of leadership talent, EDA asked senior executive development professionals to share their views on the strengths and weaknesses of the incoming leadership group - the people who are most likely to fill executive-level positions in the next three to five years - and the subsequent impact on executive development.

The survey identified "hot topics" in executive development for the next two to three years. At the top of the list was leadership, followed by "business acumen, honing skills in strategy execution, leading / managing change, and talent management."

But when asked "What competencies are your leaders lacking?" their responses indicated little confidence that leaders had what it takes to execute in these critical areas successfully. Here's what they said was missing:

• Strategic thinking
• Leading change
• Ability to create a vision and engage others around it
• Ability to inspire
• Understanding the total enterprise and how the parts work together

What critical thinking looks like

Having established the need for a mind-set shift to more critical thinking, we need to be clear on what that means in the workplace.

In general, critical thinking is the ability to deal with the contradictions and problems of a tumultuous environment in a reasoned, purposeful, productive way. Decisions are made using an approach that is fair, objective, accurate and based on information that is relevant to the situation.

Critical thinking is also reflective and focused, constantly evaluating the thinking process itself. It is thinking with a purpose. Critical thinking requires a healthy dose of skepticism and an equal measure of good judgement.

For decades, companies have relied on the Watson-Glaser Critical Thinking Appraisal , a widely used assessment tool for evaluating the cognitive ability of current and future leaders. Developed in 1925, the model identifies factors that are key to critical thinking and decision making and predicts judgment, problem solving, creativity, openness to experience and other leadership behaviours.

Five sub-tests measure critical thinking as a composite of attitudes, knowledge and skills:

• Recognition of assumptions
• Interpretation
• Evaluation of arguments

Professionals with high scores in these sub-tests are able to identify and examine the assumptions, influences and biases that might sway them. They stand back from the fray and strategically assess the strengths and weaknesses of alternative solutions, conclusions or approaches to problems. They make business decisions that answer the right questions, solve the right problems, mitigate risk and improve productivity. They also lead from a position of strength, being able to motivate and move people both inspirationally and intellectually by providing solid reasons for actions.

Whether they lead teams, departments or entire enterprises, leaders who apply the skills of critical thinking to their roles perform at a higher level and offer their organisations a distinct competitive advantage.

Critical thinkers think differently about their impact on the organisation - understanding how their decisions and actions influence business both inside and outside their narrow functional silos. These leaders are able to balance department or team issues with broader company issues and embrace a larger responsibility for the success of the organisation. This keen sense of accountability is what enables them to execute for results now while fulfilling their obligations to positively impact the future.

Leaders who engage in critical thinking also understand the total organisation and how the individual parts work together. Context is key. Now more than ever, business acumen is foundational to effective leadership. It is impossible to apply critical thinking skills to the business of making money without an understanding of the business drivers that connect day-to-day decisions and actions to key financial and strategic performance goals of the organisation. It is one thing to understand one's role as a leader. It is altogether another thing to understand how to set direction and directly affect the outcomes.

Critical thinking is big-picture thinking too. As Hagemann describes it, "Leaders need to be able to comfortably climb to the 30,000-foot view and analyse a dynamic system, while simultaneously and adeptly analysing information to quickly make decisions across levels." Critical thinkers operate from a broad perspective in order to make sure the correct problems are addressed and they are taking acceptable risk. They recognise the difference between short-term gains and sustainable, long-term results and lead accordingly.

The advantages of this kind of leadership behavior are readily apparent. Critical thinking enables leaders at every level to understand the impact of their decisions on the business as a whole and ensures both alignment with organisational goals and accountability for results. It's exactly the type of leadership behaviour demanded by the "new normal" - and exactly what's missing. And this disconnect is likely to intensify over time.

Given the critical-thinking competency gap exposed by the EDA survey and other research, the obvious assumption is that the traditional development process that businesses have relied upon in the past to prepare leaders simply hasn't kept up. So, what's the solution? To accelerate development and raise leadership accountability to a whole new level of awareness and action, there needs to be a new emphasis on critical thinking in leadership development.

Learning to think like a leader

The good news is critical thinking is a skill that can be taught. According to Halpern, "There is a large body of evidence showing that people can learn to think better. Of course, education makes us all more intelligent, but critical thinking is more focused. Everyone can learn to recognise and use the skills of critical thinking, and we can always get better."

New competencies, however, may require a deeper, more analytical approach. The challenge today is not to discard what has been learned in the past, but to build upon traditional competencies with a whole new and more complex set of skills, tools and sensitivities.

Leaders in the new normal need to learn how to be discerning, how to think clearly and wisely, and how to be accountable for their impact on the business.

Discovery learning in leadership courses

Critical thinking can be impacted by the right leadership courses. However, the process can be more challenging than improving a behavioural skill, because you can't easily measure it. Success is demonstrated in results.

As with any skill, intellectual or otherwise, the key to building critical thinking - and achieving successful results - is practice. Research has demonstrated that people learn best when they are actively involved in the learning process and engaging in the behaviours they want to learn. But what's vital in developing critical thinking skills is framing the concept of practice within a relevant, job-related context.

Acquiring critical thinking skills requires participating in learning experiences that force you to consider new ways of thinking about and acting within complex situations that are directly related to the work you do. You need the opportunity to respond to issues, reflect on and reframe your experiences, develop new thinking, and, in turn, engage in new behaviours and actions that are relevant to your position and objectives.

Developing your critical thinking skills

In addition to participating in these types of leadership courses, leaders can take charge of their own critical thinking development by taking these actions:

• Get some feedback about your critical thinking skills from a trusted boss, colleague or coach Are you jumping to conclusions or using a reasoned, analytic process as you work toward a goal? Are you able to put aside biases and assumptions during analysis and decision-making? What kind of "thinker" are you perceived to be and why?
• Challenge yourself to develop a deeper understanding of your company's business, especially its financial and strategic drivers of success Are you clear about what drives the organisation's decisions, how financial success is achieved and how you impact both strategy and the bottom line? Are you making decisions that are aligned with this understanding?Is your knowledge of the business strong enough to drive behaviour and to engage teams and employees?
• Use multiple sources of data to form an "information web" before making a decision or forming a conclusion Are you asking a lot of questions? Identifying stakeholders and their issues and opinions? Separating facts from assumptions?Are you using the Internet as "one" source of information rather than "the" source? Can you analyse information from different perspectives and viewpoints?
• Take time to think Are you rising above the fray when it's important to make a decision, take action or form an opinion? Are you aware of the distractions getting in the way of your thinking time and taking action to minimize these distractions? Are you finding time and space to let your mind focus and reflect on important issues?
• Ask for input, critique and opinions from others as you analyse alternatives Are you checking tentative conclusions with others? Using peers, coaches or mentors to critique your thinking process? Are you willing to open your mind to other ideas or alternatives?

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What is Critical Thinking and Why is it Valuable in the Workplace?

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• > Personal Effectiveness and Preparing for Change
• > What is Critical Thinking and Why is it Valuable in the Workplace?

There are times at work when you simply have to “do.” A tight deadline, a demanding project outline, or a highly particular superior might mean that it makes sense to complete a task without too much mental tinkering. But work like this can be unsustainable and worse — it won’t leverage your ability to think critically.

There is value in thinking critically in every aspect of your life. From making decisions in your personal life, to interrogating the media you consume, to assessing your work with a critical eye, applying critical thinking is an essential skill everyone should be trying to hone.

At your workplace, critical thinking can distinguish you as a leader, and a valuable mind to bounce ideas off. It can help improve the quality of your work, and the perception those higher up the chain have of you.

Here’s what you need to know about critical thinking in the workplace:

What Exactly is “Critical Thinking”?

  In a nutshell, critical thinking is the ability to think reasonably, detaching yourself from personal bias, emotional responses, and subjective opinions. It involves using the data at hand to make a reasoned choice without falling prey to the temptations of doing things simply because they’ve always been done a certain way.

Critical thinking takes time. It might be quicker simply to take instruction at face value, or rely on the traditions of your team. But without analyzing the reasons behind decisions and tasks, it becomes extremely easy to adopt bad habits. This might be time-wasting meetings, inefficient uses of effort, or poor interactions with team members. Taking the time to ask “why” you’re doing something is the first step to thinking critically.

Sometimes, data is available which allows you to make reasoned decisions based on absolute facts. If you can show that a new best practice can objectively improve current processes with hard data, you’ve used the very basics of critical thinking. That said, actual numbers aren’t always available when making a decision. Real critical thinking involves taking a careful look at situations and making a decision based on what is known, not what is felt.

Why Is Critical Thinking Important in the Workplace?

The short answer to the above question is this: critical thinkers make the best decisions, most often. And in the workplace, where choices about how to complete tasks, communicate information, relate with coworkers, and develop strategy are so common, critical thinkers are extremely valuable.

A savvy hiring manager will make this part of the recruitment process. It’s pretty easy to gauge how someone is inclined to solve a problem — ask them how they would deal with a specific situation, and give them the opportunity to use their critical thinking skills, versus deferring to an emotional, or prescribed reaction. Employing people who can think and act reasonably will pay enormous dividends down the road.

Using your critical thinking skills in the workplace will define you as a problem solver. This is not only useful career-wise (although having upper-level people at your company think highly of you is undoubtedly a benefit) it also establishes you as a leader among your fellow team members. Demonstrating your ability to solve problems and accomplish goals effectively will help instill confidence in you with all your coworkers.

How to Use Critical Thinking in the Workplace

The first step to actually using critical thinking is approaching every situation with an open mind. You need to be receptive to all information available, not just the kind that satisfies your preconceived notions or personal biases. This can be easier said than done, of course — lessons learned and beliefs held are often done so with a reason. But when it comes to critical thinking, it’s important to analyze each situation independently.

Once you’ve analyzed a situation with an open mind, you need to consider how to communicate it properly. It’s all very well and good to approach situations with objective logic, but it doesn’t do you any favours to sound like  Mr. Spock  when you’re conveying your conclusions. Be tactful, patient and humble when you are explaining how and why you’ve come to decisions. Use data if available to support your findings, but understand that not everyone is able to remove emotion from situations.

The final, and perhaps least obvious, application with critical thinking is creativity. Often, getting creative means pushing boundaries and reshaping convention. This means taking a risk — one that can often be worth the reward. Using a critical thinking approach when getting creative can help you mitigate the risk, and better determine what value your creativity can bring. It will help you and your team try new things and reinvent current processes while hopefully not rocking the boat too much.

Learn More About Critical Thinking

Critical thinking is a valuable skill for all aspects of your life. It benefits problem solving, creativity, and teamwork. And it translates particularly well to the workplace, where it can distinguish you as a valuable employee and leader.

Taking the extra time to examine things objectively, make decisions based on logic, and communicate it tactfully will help you, those you work with, and your work goals prosper. To learn more about how to do that, have a look at our  Critical Thinking and Problem Solving for Effective Decision-Making   workshop and register today!

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Critical Thinking for Managers

Structured Decision-Making and Persuasion in Business

• © 2021
• Radu Atanasiu   ORCID: https://orcid.org/0000-0001-8850-9538 0

Bucharest International School of Management, Bucharest, Romania

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• Offers a structured approach and easy-to-use tools for improving decision-making in business
• Presents tested methods to cope with disagreement and to learn from failure
• Structures the persuasion process by highlighting the correct mix of arguments and empathy
• Discusses critical thinking as tool for humane leadership

Part of the book series: Management for Professionals (MANAGPROF)

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About this book

This book discusses critical thinking as a tool for more compassionate leadership, presenting tried and tested methods for managing disagreement, for anticipating and solving problems, and for enhancing empathy. Employing a lighter tone of voice than most management books, it also shows how and when less-than-rational mechanisms such as intuition and heuristics may be efficient decision-making tools in any manager’s toolbox.  

Critical thinking is useful for analyzing incoming information in the context of decision-making and is crucial for structuring outgoing information in the context of persuasion. When trying to convince a client to buy a service, an executive board to fund a project, or a colleague to change a procedure, managers can use the simple step-by-step guides provided here to prepare for successful meetings and effective pitches.

Managerial thinking can be steadily improved, using a structured process, especially if we learn to think about our thinking. This book guides current and would-be managers through this process of improving and metathinking, in connection with decision-making and persuasion. Using examples from business, together with research insights from Behavioral Economics and from Management and Organizational Cognition, the author illustrates common pitfalls like hidden assumptions and cognitive biases, and provides easy-to-use solutions for testing hypotheses and resolving dilemmas. 

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Table of contents (15 chapters)

Front matter, introduction.

Radu Atanasiu

Who Needs Critical Thinking?

Critical thinking in business decision-making, hidden assumptions, test your business assumptions, reason, emotions, intuition, cognitive biases, decisions, decisions, decisions, decision-making in groups, problem solving, critical thinking in persuasion, one-on-one persuasion, ten fair-play principles in argumentation, the courage to change our mind.

“It is a how-to guide on critical thinking for managers. Although it is a very serious subject it is written in a pleasant, engaging and easy-to-read style and is larded with some fun, enlightening and sometimes challenging intermezzos. The book has a certain focus on decision making and pursuasion as the subtitle discloses and it is a very efficient pick from the vast world of critical thinking for practical use by managers.” (Paul Hartog, goodreads.com, July 15, 2021)

Authors and Affiliations

About the author, bibliographic information.

Book Title : Critical Thinking for Managers

Book Subtitle : Structured Decision-Making and Persuasion in Business

Authors : Radu Atanasiu

Series Title : Management for Professionals

DOI : https://doi.org/10.1007/978-3-030-73600-2

Publisher : Springer Cham

eBook Packages : Business and Management , Business and Management (R0)

Copyright Information : Springer Nature Switzerland AG 2021

Hardcover ISBN : 978-3-030-73599-9 Published: 11 May 2021

eBook ISBN : 978-3-030-73600-2 Published: 10 May 2021

Series ISSN : 2192-8096

Series E-ISSN : 2192-810X

Edition Number : 1

Number of Pages : VII, 186

Number of Illustrations : 1 b/w illustrations, 16 illustrations in colour

Topics : Human Resource Development , Management , Industrial and Organizational Psychology , Economic Psychology

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Critical thinking: what is it and how can you develop this skill.

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Founder and Head of the international IT recruitment company Lucky Hunter .

I have already raised the issue of the importance of developing emotional intelligence in previous pieces, and today I would like to talk about why critical thinking also matters for employees—especially top managers of companies.

First of all, let's define what critical thinking is. In general, it is the ability to objectively analyze events, incoming information and arguments; approach an issue from different sides; and form conclusions based on the analysis. Developing critical thinking is relevant not only for work but also for life—today we're inundated with huge amounts of information every day, and in order to be able to analyze this information and determine our position based on balanced facts, it is important to look at situations critically.

Critical thinking allows you to always soberly assess the situations taking place in your work, give an objective assessment, including your own actions and the actions of others, effectively negotiate and find the best way out of ambiguous situations. That is why large companies, when hiring employees, pay close attention to the soft skills of a candidate, especially if they are applying for top positions.

So, how can you develop critical thinking?

Practice analyzing.

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Turn the events happening around you into facts. Learn to separate them from emotions. Emotions often prevent us from thinking critically, because they reduce everything to the emotional component, which cannot be relied on. Study different points of view on a specific topic. Read more, broaden your horizons and work with information—the more you “dissect” any information material, the more chances you have to get to the bottom of it.

Pay attention to self-criticism.

There should always be a certain amount of healthy self-criticism in your actions and behavior. The keyword here is healthy because it is important to maintain balance and not slip into self-flagellation. Learn to adequately evaluate yourself and your actions, and determine your strengths and growth areas. I work in recruiting, so I will give an example from my practice: In the work of a recruiter, self-criticism is vital for an objective assessment of a candidate, because, in order to evaluate others, you must first be able to objectively evaluate yourself.

Build productive communication.

If you conduct a dialogue calmly and kindly, without insults and rudeness, truly listening and hearing the interlocutor, you thereby increase the chances of getting some useful insight into the process of interaction. It can give you the opportunity to look at the situation from a new angle and come to a conclusion that you would not have come to otherwise. Therefore, the ability to conduct effective, productive communication also affects the development of critical thinking.

Develop your forecasting skills.

This point is quite closely related to the first one. Analyze information and build forecasts based on the analysis, think over the likely development of events and try to answer for yourself why it will be exactly like this. Such forecasting, again, allows you to study a specific situation from different sides, get certain insights into the process and come to an objective conclusion.

Today, it's crucial for employees and managers to develop the skill of thinking critically—all you need to do is start. The result could have a positive impact on all fields of your life, both personal and professional, because a high level of critical thinking has a good effect on communication (including business). It allows you to form objective conclusions and cut off the excess of information garbage, focusing on facts and analyzing them.

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Critical thinking helps managers work through problems

“Education is not the learning of facts, but the training of the mind to think.” — Albert Einstein

Critical thinking is the ability to use intelligence, knowledge and skills to question and carefully explore situations and arrive at thoughtful conclusions based on evidence and reason.

The critical-thinking approach is a powerful analytical method which helps managers and entrepreneurs to consider intended and unintended consequences of behaviors on their teams, organizations and communities. Organizations need managers who think independently without judgment and bias and predict patterns of behaviors and processes. They ask the right questions: how and why versus just what, in order to make effective and thoughtful decisions.

The latest research shows businesses are desperate to attract employees with critical-thinking skills, because organizations are undergoing such rapid change that they need employees to consistently introduce new, fresh ideas to stay ahead of the competition.

Time and again, research has shown the effectiveness of critical thinking in the workplace. A recent article published in the journal “Current Directions in Psychological Science,” reports that cognitive ability tests, including critical thinking tests “... are among the strongest and most consistent predictors of performance across academic and work settings.”

The process of critical thinking provides you with the tools to make better decisions as a manager, and help you to predict the effects and consequences of those decisions. Research suggests seven steps to the effective critical thinking:

• Observe (recognize the behavior)
• Interpret (understand the cause and effects of behavior)
• Analyze (investigate the causes and effects of behavior)
• Infer (propose paths to change behavior)
• Evaluate (assess the consequences of changing behavior)
• Explain (justify a change to behavior)
• Meta-think (consider the process used to propose this behavior change)

For example, suppose that you own a local restaurant. One of your waiting staff has persistently failed to show up for shifts without giving any meaningful reason. As she is one of your most valued workers, you are puzzled by her absenteeism. You become frustrated, but because you don’t have all the facts, you decide to use critical-thinking skills to investigate the real source of the problem.

The next time she comes to work, you observe the situation objectively, suspending all bias and judgment. You notice that she is abrupt with customers, doesn’t attempt to communicate with her fellow colleagues and walks across the restaurant with a heavy gait.

This helps you to interpret the situation better and you have enough evidence to deduce that your employee is not happy. You might analyze these effects and infer a way to deal with the behavior. The shift manager thinks you should fire her, but she is one of your most competent employees. You decide to evaluate the situation and assess the consequences of trying to change her behavior. You explain to your manager why you believe that an attempt to change the behavior might be justified. Finally, you need to meta-think by arranging a process to instigate this behavior change.

You set up a meeting with the employee to ascertain the reasons behind her unexplained absences. She apologizes and tells you she has become dissatisfied with her job, and would much rather work at the front desk of the restaurant, greeting customers and taking reservations. You decide to give her a trial period in this role, and she immediately becomes more motivated, and her attendance is impeccable.

Of course, there could be many ways to handle this dilemma, but critical thinking helps you find the best solution for each situation when dealing with the complexities of real-life challenges.

Christopher P. Neck is an associate professor of management and author of the soon to be released textbook, “Organizational Behavior: A Critical Thinking Approach."

One Farmer's Approach To The 2024 Growing Season

• As high input costs persist, 2024 could be another challenging year for corn belt farmers, making risk management critical to profitability.
• With a crop going in the ground for $1,000+ per acre, the insurance price of $5.91 was one of the only things that kept my peace of mind.
• We were fortunate once again to use options strategies to protect us from price deterioration as we were booking fertilizer.
• Producers are increasingly using options as a tool to manage the increasing risks we experience around input costs, weather, geopolitical conflict or trade.

By Matt Bennett

At a Glance

• As high input costs persist, 2024 could be another challenging year for corn belt farmers, making risk management critical to profitability
• Grain options provide a price range for crops, and lock in a worst-case scenario, helping ease the burden of unpredictable weather, trade and other concerns

2021 and 2022 were excellent profit margin years on our farm, as they were for many farms in the United States. With average cash price for corn at $6 and $6.54, respectively, many U.S. producers healed up from a few years of lackluster prices.

In 2023, things turned in a big way. With massive increases in input costs, it made profitability hard to come by for most producers, my operation included. With a crop going in the ground for $1,000+ per acre, the insurance price of $5.91 was one of the only things that kept my peace of mind. While many growers struggled with profit margins, we were fortunate to have hedged a fair amount of our 2023 production when we bought our pricey fertilizer - a habit I stick to every growing season. This allowed us to have a profitable 2023, but 2024 has been even more challenging.

Locking in a Worst-Case Scenario

We were fortunate once again to use options strategies to protect us from price deterioration as we were booking fertilizer. I generally book mine in August as many producers do, and with December 2024 corn trading over $5 at the time, we were able to employ a $5/4 bear put spread and sell a $6 call for around 15 cents.

This provided a price range for our crop, and locked in a worst-case scenario of $4.85, which worked well with what we were paying for fertilizer. Since fertilizer costs our operation over $400/acre, with corn at $5, we wanted to protect around 80 bushels/acre or 40% of our crop.

Another strategy we employed in that same timeframe was to buy a March short-dated $5 put and sell a March short-dated $5.50 call on 50% of my average production history. This costs just a nickel to put on, and covers 90% of our crop while providing a floor for any losses. This is an aggressive strategy, but allows me to have a crop insurance price of no lower than $4.95.

Using these strategies put me in good shape to hold things together in 2024. Given the spring crop insurance price set in February ended up being $4.66, a 27% drop from 2023, these strategies paid big dividends.

Producers are increasingly using options as a tool to manage the increasing risks we experience around input costs, weather, geopolitical conflict or trade. At CME Group, weekly options in the ag complex have seen a big jump in trading, with a record of more than 20,000 traded daily in March, just ahead of planting. One of the key benefits is the ability to precisely hedge around a specific event with weekly expirations.

On the agronomic side, we generally have our nitrogen split-applied to spread out our risk. At least half of our nitrogen is put on in the fall, with the rest side-dressed after the crop comes up. Spring 2024 was a bit of a challenge due to wet weather conditions.

We were quite fortunate in our neighborhood in central Illinois, though. We were able to plant our tiled ground, which happens to be some of our better ground in April, while planting our lighter ground in mid-May. We didn't get any heavy rains, which was a blessing. Our stands are excellent so far, with moisture levels in good shape as we entered the summer months.

Thinking About Rates and Inflation

Many producers are optimistic heading into the later summer months. The late spring saw good corn and soybean planting progress, according to the USDA, and the Ag Economy Barometer showed an increase in future expectations among producers as prices rose into June. Still, farmers everywhere are watching interest rates, inflation and an election cycle that could throw some wildcards in place.

There is only so much that a producer can control. The most important thing is to have a good handle on those things we can control, like managing our risk by protecting profit margins when they are present. Given wild swings in profitability the last four years, risk management has become one of a grain producer's most critical tools.

Original Post

Editor's Note: The summary bullets for this article were chosen by Seeking Alpha editors.

This article was written by

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How to develop the 8 Conceptual Skills every Manager needs?

What are conceptual skills for managers, 8 conceptual skills in management you need, how to develop conceptual skills as a manager.

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What is the importance of conceptual skills for managers?

Problem-solving.

• Practice Root Cause Analysis: Dig deep and identify the underlying causes of problems rather than just addressing symptoms.
• Diverse Perspectives: Encourage teams to brainstorm solutions from various angles, incorporating different viewpoints to foster innovative problem-solving.

Decision making

• Collect Data: Emphasize the importance of data-driven decisions . Encourage teams to gather relevant information before making choices.
• Consider Consequences: Think about the potential outcomes and impacts of each decision on various stakeholders before taking action.

Time management

• Prioritize Tasks: Identify high-priority tasks and delegate or eliminate low-priority ones .
• Time Blocking: Teach managers to allocate specific blocks of time for different tasks, minimizing multitasking and improving focus.

Teamwork and communication skills

• Active Listening: Listen actively to team members, showing empathy and understanding their perspectives.
• Clear Communication: Emphasize clear and concise communication to avoid misunderstandings and foster a transparent work environment.

Logical thinking

• Analyze Patterns: Focus on patterns and trends in data or situations, enabling them to make informed decisions.
• Use Socratic Questioning: Ask probing questions that lead to logical and well-reasoned conclusions.
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Critical thinking

• Challenge Assumptions: Encourage team members to question assumptions and explore alternative viewpoints before arriving at conclusions.
• Evaluate Evidence: Develop the ability to critically assess the validity and reliability of information and data through repeated questioning.
• Understand Audiences: Tailor your messages to the preferences and needs of your audience when trying to persuade.
• Highlight Benefits: Articulate the benefits and positive outcomes of your proposals or ideas.

Abstract Thinking

• Explore Analogies: Draw parallels between seemingly unrelated concepts, fostering creative problem-solving .
• Mental Models: Develop frameworks or mental models that aid in understanding complex abstract concepts.

Problem solving has become a problem? Download our problem solving toolkit to hone your skills!

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