Whether in business, government, or municipal energy planning decision-making is at the core of leadership.
To make good decisions we must have relevant intelligence, experiential learning, and proven decision-making processes. With these in mind, decision-making hygiene refers to the structured, disciplined approach leaders take to ensure they make well-informed, unbiased, and effective choices.
For the energy & environment sector, good decision hygiene helps municipal leaders, utility executives, and energy entrepreneurs avoid pitfalls like groupthink, rushed judgments, and political pressures. It leads to better long-term outcomes, more innovative solutions, and stronger collaboration among key stakeholders. In summary, good decision-making hygiene leads to increased organizational health for all stakeholders. And healthy stakeholders bring community prosperity.
What Is Decision-Making Hygiene?
Decision-making hygiene is a process that leads to decisions.
It involves steps to:
- Clarify the Problem or Opportunity
- Before jumping to solutions, define what you’re solving.
- Example: Is the problem a disconnect between energy capabilities and environmental aspirations?
- Separate Facts from Assumptions
- Leaders often rely on gut feelings, but clean decision hygiene means distinguishing what is known from what is assumed.
- Example: While the assumption is a new substation is needed, better ‘community-collaborative’ load forecasting might reveal alternative solutions.
- Encourage Diverse Perspectives
- Effective leaders don’t stop at gathering opinions. They seek out dissenting views and expertise beyond their usual circle.
- Example: Instead of relying solely on internal staff, municipalities and their utilities might invite SME energy innovators to present alternative technologies.
- Consider Long-Term Impact
- A short-term political win can lead to long-term inefficiencies. Decision hygiene ensures a balance between immediate needs and future adaptability.
- Example: Investing in AI-driven energy management may not yield instant savings but can future-proof municipal utilities.
- Watch for Cognitive Biases
- Biases like confirmation bias (favouring information that supports preexisting beliefs) and sunk-cost fallacy (persisting with a bad decisions because of prior investment) can derail decision quality.
- Example: A city council might resist moving away from legacy decisions even when better options exist.
- Structure the Decision Process
- Using structured frameworks such as scenario planning, decision trees, or weighted scoring improves objectivity and consistency.
- Example: Municipalities and utilities selecting a new vendor might use a transparent scorecard rather than relying on past relationships.
Why Decision Hygiene Matters in Energy & Municipal Leadership
Poor decision-making hygiene can lead to costly missteps, political conflicts, and missed opportunities for innovation. On the other hand, leaders who prioritize strong decision-making processes can:
- Avoid regulatory or political fallout by making defensible, well-documented choices.
- Strengthen municipal-private sector collaborations by using transparent and broader-scope decision processes.
- Drive innovation in energy & environment policy and operations by actively challenging outdated assumptions.
A Call to Action: Improving Decision Hygiene in Ontario’s Energy Sector
Ontario’s energy situation is changing rapidly. Municipal leaders, utility executives, and SME energy entrepreneurs must ensure their decision-making processes are rigorous, transparent, and innovation friendly.
To elevate decision hygiene, consider:
- Building fully collaborative decision frameworks that engage multiple stakeholders, reducing bias and increasing innovation.
- Hosting expert panels to inject fresh, broader, and deeper viewpoints into municipal energy discussions.
- Leveraging data analytics to support evidence-based decisions rather than political guesswork.
Strong decision hygiene is a competitive advantage in an evolving energy market. When leaders commit to better decision processes, they unlock smarter solutions, stronger partnerships, and a more innovative and unified energy future for Ontario.
