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Why Critical Thinking Matters in Your Business

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Table of Contents

Many professionals hope to pursue careers they’re passionate about so they can find joy and meaning in their work. Caring deeply about your work is vital for engagement and productivity, but balancing emotions with critical thinking is essential in the workplace. 

When employees engage in critical thinking, they use an independent, reflective thought process to evaluate issues and solve problems based on knowledge and objective evidence. 

Critical thinking skills can guide your organization toward success, but to truly maximize the problem-solving benefits of critical thinking, it’s crucial to teach this skill to your entire team. We’ll explore critical thinking skills and how to teach them in the workplace to help your business improve its decision-making and problem-solving. 

What is critical thinking?

Jen Lawrence, co-author of Engage the Fox: A Business Fable About Thinking Critically and Motivating Your Team , defines critical thinking as “the ability to solve problems effectively by systematically gathering information about an issue, generating further ideas involving a variety of perspectives, evaluating the information using logic, and making sure everyone involved is on board.”

This is a complex definition for a challenging concept. Though critical thinking might seem as straightforward as stepping back and using a formal thinking process instead of reacting instinctively to conflicts or problems, it is actually a much more challenging task.

Critical thinking’s ultimate goal is ensuring you have the best answer to a problem with maximum buy-in from all parties involved – an outcome that will ultimately save your business time, money and stress.

Why is critical thinking essential in the workplace?

A World Economic Forum report revealed that critical thinking is one of the most in-demand career skills employers seek when trying to attract and retain the best employees – and employers believe critical thinking skills will become even more necessary in the coming years. 

Critical thinking in the workplace guarantees objective and efficient problem-solving, ultimately reducing costly errors and ensuring that your organization’s resources are used wisely. Team members employing critical thinking can connect ideas, spot errors and inconsistencies, and make the best decisions most often. 

Employees with critical thinking are also more likely to accomplish the following:

  • Analyzing information
  • Thinking outside the box
  • Coming up with creative solutions to sudden problems
  • Devising thought-through, systematic plans
  • Requiring less supervision

What are critical thinking skills?

Critical thinking is a soft skill that comprises multiple interpersonal and analytical abilities and attributes. Here are some essential critical thinking skills that can support workforce success.

  • Observation: Employees with critical thinking can easily sense and identify an existing problem – and even predict potential issues – based on their experience and sharp perception. They’re willing to embrace multiple points of view and look at the big picture. 
  • Analytical thinking: Analytical thinkers collect data from multiple sources, reject bias, and ask thoughtful questions. When approaching a problem, they gather and double-check facts, assess independent research, and sift through information to determine what’s accurate and what can help resolve the problem. 
  • Open-mindedness: Employees who demonstrate critical thinking are open-minded – not afraid to consider opinions and information that differ from their beliefs and assumptions. They listen to colleagues; they can let go of personal biases and recognize that a problem’s solution can come from unexpected sources. 
  • Problem-solving attitude: Critical thinkers possess a positive attitude toward problem-solving and look for optimal solutions to issues they’ve identified and analyzed. They are usually proactive and willing to offer suggestions based on all the information they receive. [Related article: How to Develop a Positive Attitude in the Workplace ]
  • Communication: When managers make a decision, they must share it with the rest of the team and other stakeholders. Critical thinkers demonstrate excellent communication skills and can provide supporting arguments and evidence that substantiate the decision to ensure the entire team is on the same page. 

What are the benefits of critical thinking in the workplace?

Many workplaces operate at a frantic tempo that reinforces hasty thinking and rushed business decisions, resulting in costly mistakes and blunders. When employees are trained in critical thinking, they learn to slow the pace and gather crucial information before making decisions. 

Along with reducing costly errors, critical thinking in the workplace brings the following benefits: 

  • Critical thinking improves communication. When employees think more clearly and aren’t swayed by emotion, they communicate better. “If you can think more clearly and better articulate your positions, you can better engage in discussions and make a much more meaningful contribution in your job,” said David Welton, managing partner at Grove Critical Thinking.
  • Critical thinking boosts emotional intelligence. It might seem counterintuitive to associate analytical rationality with emotional intelligence . However, team members who possess critical thinking skills are less prone to rash, emotion-driven decisions. Instead, they take time to analyze the situation and make the most informed decision while being mindful and respectful of the emotional and ethical implications. 
  • Critical thinking encourages creativity. Critical thinkers are open to new ideas and perspectives and accumulate a significant amount of information when facing decisions. Because of this, they’re more likely to come up with creative solutions . They are also curious and don’t shy away from asking open-ended questions. 
  • Critical thinking saves time and money. By encouraging critical thinking in the workplace, you minimize the need for supervision, catch potential problems early, promote independence and initiative, and free managers to focus on other duties. All this helps your company save valuable time and resources. 

How do you teach critical thinking in the workplace?

Experts agree that critical thinking is a teachable skill. Both Lawrence and Welton recommend exploring critical thinking training programs and methods to improve your workplace’s critical thinking proficiency. Here’s a breakdown of how to teach critical thinking in the workplace: 

  • Identify problem areas. Executives and managers should assess workplace areas most lacking in critical thinking. If mistakes are consistently made, determine whether the issue is a lack of critical thinking or an inherent issue with a team or process. After identifying areas that lack critical thinking, research the type of training best suited to your organization. 
  • Start small. Employees newly embracing critical thinking might have trouble tackling large issues immediately. Instead, present them with smaller challenges. “Start practicing critical thinking as a skill with smaller problems as examples, and then work your way up to larger problems,” Lawrence said.
  • Act preemptively. Teaching and implementing critical thinking training and methodology takes time and patience. Lawrence emphasized that critical thinking skills are best acquired during a time of calm. It might feel urgent to seek critical thinking during a crisis, but critical thinking is a challenging skill to learn amid panic and stress. Critical thinking training is best done preemptively so that when a crisis hits, employees will be prepared and critical thinking will come naturally.
  • Allow sufficient time. From a managerial perspective, giving employees extra time on projects or problems might feel stressful in the middle of deadlines and executive pressures. But if you want those working for you to engage in critical thinking processes, it’s imperative to give them ample time. Allowing employees sufficient time to work through their critical thinking process can save the company time and money in the long run.

How do you identify successful critical thinking?

Successful critical thinking happens during a crisis, not after.

Lawrence provided an example involving restaurants and waitstaff: If a customer has a bad experience at a restaurant, a server using critical thinking skills will be more likely to figure out a solution to save the interaction, such as offering a free appetizer or discount. “This can save the hard-earned customer relationship you spent a lot of marketing dollars to create,” Lawrence said. This concept is applicable across many business and organizational structures. 

You should also be aware of signs of a lack of critical thinking. Lawrence pointed out that companies that change strategy rapidly, moving from one thing to the next, are likely not engaging in critical thinking. This is also the case at companies that seem to have good ideas but have trouble executing them.

As with many issues in business, company leadership determines how the rest of the organization acts. If leaders have excellent ideas but don’t follow critical thinking processes, their team will not buy into those ideas, and the company will suffer. This is why critical thinking skills often accompany positive communication skills.

“Critical thinking doesn’t just help you arrive at the best answer, but at a solution most people embrace,” Lawrence said. Modeling critical thinking at the top will help the skill trickle down to the rest of the organization, no matter your company’s type or size.

Critical thinking is the key to your business success

When critical thinking is actively implemented in an organization, mistakes are minimized, and operations run more seamlessly. 

With training, time and patience, critical thinking can become a second-nature skill for employees at all levels of experience and seniority. The money, time and conflict you’ll save in the long run are worth the extra effort of implementing critical thinking in your workplace.

Rebecka Green contributed to the writing and reporting in this article. Source interviews were conducted for a previous version of this article.

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Why your business needs critical thinking.

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Cultivating critical thinking skills should be a top priority for any business that wants to succeed in today’s complex and rapidly changing world.

According to the World Economic Forum, “analytical thinking, creativity, and flexibility will be among the most sought-after skills” by 2025, yet few companies invest in such training.

Critical thinking is an essential skill that enables individuals to analyze, evaluate, and synthesize information to make informed decisions. In today's fast-paced, complex, and dynamic work environment, critical thinking is more critical than ever before. It is crucial for organizations to prioritize critical thinking skills among their employees to make well-informed decisions and stay ahead in the competitive market.

Critical thinking skills are needed in every business today.

Rapid technological advancements, globalization, and economic uncertainties have created complex challenges for most businesses. Critical thinking skills are essential to successfully navigating this complexity and uncertainty. Critical thinkers can examine challenges and opportunities three-dimensionally in the broader business context, and they can analyze relevant information to develop a plan of action to address it. Critical thinking enables employees to consider multiple perspectives and potential outcomes of different decisions, leading to better choices that are more likely to succeed.

The ability to evaluate information, data, and facts is important in making informed decisions. Employees who lack basic critical thinking skills may be prone to making decisions based on assumptions, biases, or incomplete information. That often leads to poor decisions. On the other hand, employees who possess critical thinking skills are better equipped to weigh options, analyze the pros and cons of each decision, and make decisions based on factual and reliable information. Such decisions can lead to better outcomes for the organization, resulting in improved productivity, increased revenue, and better customer satisfaction.

In addition to decision making, critical thinking is also essential to problem solving – a key capability for leaders every level.

In the workplace, issues can arise at any time, and managers must be able to identify, analyze and address these problems quickly and efficiently. Critical thinking skills can help leaders identify the root cause of the problem and evaluate different options to solve it. This process can lead to innovative and effective solutions to complex problems that may have otherwise been overlooked or dismissed.

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Finally, critical thinking is vital for effective communication in the workplace.

Employees who can analyze and evaluate information can communicate it effectively to their colleagues and superiors. Critical thinking skills enable employees to articulate their ideas, share their opinions, and offer constructive feedback, leading to improved collaboration and team productivity. Employees who lack critical thinking skills may struggle to communicate their thoughts effectively, leading to misunderstandings, miscommunication, and conflicts.

Businesses of every size must prioritize the development of these skills among their employees to enable them to make informed decisions, solve complex problems, and communicate effectively.

The cultivation of critical thinking skills in the workplace requires investment in training and development programs that equip employees with the necessary tools and techniques to analyze and evaluate information effectively. But the result will be a more efficient, innovative, and productive workforce that can navigate complex challenges and drive success for the organization.

Bryce Hoffman

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Critical Thinking

Developing the right mindset and skills.

By the Mind Tools Content Team

We make hundreds of decisions every day and, whether we realize it or not, we're all critical thinkers.

We use critical thinking each time we weigh up our options, prioritize our responsibilities, or think about the likely effects of our actions. It's a crucial skill that helps us to cut out misinformation and make wise decisions. The trouble is, we're not always very good at it!

In this article, we'll explore the key skills that you need to develop your critical thinking skills, and how to adopt a critical thinking mindset, so that you can make well-informed decisions.

What Is Critical Thinking?

Critical thinking is the discipline of rigorously and skillfully using information, experience, observation, and reasoning to guide your decisions, actions, and beliefs. You'll need to actively question every step of your thinking process to do it well.

Collecting, analyzing and evaluating information is an important skill in life, and a highly valued asset in the workplace. People who score highly in critical thinking assessments are also rated by their managers as having good problem-solving skills, creativity, strong decision-making skills, and good overall performance. [1]

Key Critical Thinking Skills

Critical thinkers possess a set of key characteristics which help them to question information and their own thinking. Focus on the following areas to develop your critical thinking skills:

Being willing and able to explore alternative approaches and experimental ideas is crucial. Can you think through "what if" scenarios, create plausible options, and test out your theories? If not, you'll tend to write off ideas and options too soon, so you may miss the best answer to your situation.

To nurture your curiosity, stay up to date with facts and trends. You'll overlook important information if you allow yourself to become "blinkered," so always be open to new information.

But don't stop there! Look for opposing views or evidence to challenge your information, and seek clarification when things are unclear. This will help you to reassess your beliefs and make a well-informed decision later. Read our article, Opening Closed Minds , for more ways to stay receptive.

Logical Thinking

You must be skilled at reasoning and extending logic to come up with plausible options or outcomes.

It's also important to emphasize logic over emotion. Emotion can be motivating but it can also lead you to take hasty and unwise action, so control your emotions and be cautious in your judgments. Know when a conclusion is "fact" and when it is not. "Could-be-true" conclusions are based on assumptions and must be tested further. Read our article, Logical Fallacies , for help with this.

Use creative problem solving to balance cold logic. By thinking outside of the box you can identify new possible outcomes by using pieces of information that you already have.

Self-Awareness

Many of the decisions we make in life are subtly informed by our values and beliefs. These influences are called cognitive biases and it can be difficult to identify them in ourselves because they're often subconscious.

Practicing self-awareness will allow you to reflect on the beliefs you have and the choices you make. You'll then be better equipped to challenge your own thinking and make improved, unbiased decisions.

One particularly useful tool for critical thinking is the Ladder of Inference . It allows you to test and validate your thinking process, rather than jumping to poorly supported conclusions.

Developing a Critical Thinking Mindset

Combine the above skills with the right mindset so that you can make better decisions and adopt more effective courses of action. You can develop your critical thinking mindset by following this process:

Gather Information

First, collect data, opinions and facts on the issue that you need to solve. Draw on what you already know, and turn to new sources of information to help inform your understanding. Consider what gaps there are in your knowledge and seek to fill them. And look for information that challenges your assumptions and beliefs.

Be sure to verify the authority and authenticity of your sources. Not everything you read is true! Use this checklist to ensure that your information is valid:

  • Are your information sources trustworthy ? (For example, well-respected authors, trusted colleagues or peers, recognized industry publications, websites, blogs, etc.)
  • Is the information you have gathered up to date ?
  • Has the information received any direct criticism ?
  • Does the information have any errors or inaccuracies ?
  • Is there any evidence to support or corroborate the information you have gathered?
  • Is the information you have gathered subjective or biased in any way? (For example, is it based on opinion, rather than fact? Is any of the information you have gathered designed to promote a particular service or organization?)

If any information appears to be irrelevant or invalid, don't include it in your decision making. But don't omit information just because you disagree with it, or your final decision will be flawed and bias.

Now observe the information you have gathered, and interpret it. What are the key findings and main takeaways? What does the evidence point to? Start to build one or two possible arguments based on what you have found.

You'll need to look for the details within the mass of information, so use your powers of observation to identify any patterns or similarities. You can then analyze and extend these trends to make sensible predictions about the future.

To help you to sift through the multiple ideas and theories, it can be useful to group and order items according to their characteristics. From here, you can compare and contrast the different items. And once you've determined how similar or different things are from one another, Paired Comparison Analysis can help you to analyze them.

The final step involves challenging the information and rationalizing its arguments.

Apply the laws of reason (induction, deduction, analogy) to judge an argument and determine its merits. To do this, it's essential that you can determine the significance and validity of an argument to put it in the correct perspective. Take a look at our article, Rational Thinking , for more information about how to do this.

Once you have considered all of the arguments and options rationally, you can finally make an informed decision.

Afterward, take time to reflect on what you have learned and what you found challenging. Step back from the detail of your decision or problem, and look at the bigger picture. Record what you've learned from your observations and experience.

Critical thinking involves rigorously and skilfully using information, experience, observation, and reasoning to guide your decisions, actions and beliefs. It's a useful skill in the workplace and in life.

You'll need to be curious and creative to explore alternative possibilities, but rational to apply logic, and self-aware to identify when your beliefs could affect your decisions or actions.

You can demonstrate a high level of critical thinking by validating your information, analyzing its meaning, and finally evaluating the argument.

Critical Thinking Infographic

See Critical Thinking represented in our infographic: An Elementary Guide to Critical Thinking .

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Everything You Need to Know About Critical Thinking Skills for Business Leaders

9 Min Read | Oct 3, 2023

Ramsey

We all have moments of bad decision-making. (Like that time you hired your best friend’s cousin’s neighbor without interviewing them. Wrong move.) But consistently making decisions by the seat of your pants is no way to live your life—or build your business. What you can build your company on is the momentum that comes from critical thinking, aka making smart decisions and solving tough problems like it’s your job. Because if you’re a leader, it is.

Now, don’t get tripped up on the word critical . We’re not talking about overthinking every little thing and never really deciding on anything. And we’re also not talking about being critical or judgmental of your team. Both suck the life out teams and businesses. Critical thinking is really just about asking great questions, analyzing possible solutions, and taking action.

Let’s explore what critical thinking is, why it matters to you as a business leader, and how to apply how to apply critical-thinking skills examples to your work.           

What Is Critical Thinking?

One scholarly explanation of critical thinking goes something like: a system of thought incorporated in scientific, mathematical, historical, anthropological, moral, philosophical and economic thinking. Yeah, that definition’s a 0 out of 10 on the helpfulness scale. Critical thinking is more than knowing about something. It’s actively exploring facts and making discoveries. It’s getting to the bottom of problems by asking smart questions so you can make a good judgment based on facts—not feelings.

You already use critical thinking in your everyday decisions without realizing it. As a leader, you probably have 50 “great” ideas before you get to work in the morning. But do you act on all of them? Of course not. Because after you take a closer look at your priorities and available time and resources, you realize some of those ideas aren’t worth pursuing, at least right now. That’s critical thought.

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When you use critical thinking, you don’t just take things at face value or go with your initial gut reaction. You weigh, measure and challenge information carefully, with the goal to improve what and how you think. One quick note though. Don’t mistake critical thinking for memorizing facts and figures. That’s what you do when you’re prepping for your fifth-grade multiplication test. It’s not how you make new discoveries.

If you want to solve problems and find better ways of doing things like the great leader you’re meant to be , you will rely on a combination of data, facts, research, wise counsel, and assumptions from your knowledge and experience.

Pro tip: Being wishy washy can paralyze your team, your business and your mission. That’s what’s called indecisive leadership, and that’s an oxymoron. Don’t do that. Once you think through your information and options, make up your mind.

Why Is Critical Thinking Important to Leaders?

As if paralyzing your team isn’t bad enough, indecision also costs your business time and money. You give life permission to make decisions for you when you don’t move. Yuk! But when you think and move your way through obstacles, you hold the reins and can overcome challenges when others just give up.

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Are you losing steam with your current ad strategy? Critical thinking can lead you to new advertising ideas and marketing streams—and create even more business traffic. Stressed out by supply chain issues? Critical thinking can help you find new vendors and ways of doing business. When you think boldly and keep control of the situation, you impose your will (and good sense) on the world around you.

Here’s one more example of why critical thinking is important: Say you notice a dip in sales one month. You could blow it off as a fluke and charge ahead blindly. Or you could panic, treat it as the beginning of the end, and pressure your sales team to turn the ship before you’re forced to close your doors. Which one is right? Probably neither. But you won’t know how to respond until you carefully look at your business trends, analyze market conditions, and talk with some other smart, experienced leaders.

Your team and your business are just as good as your reasoning and decision-making skills.

Critical thinking helps you:

  • Keep emotions and chaos in check as you approach problems with facts, not feelings
  • Understand the importance and relevance of ideas
  • Know when to challenge information and when to stop overthinking
  • See how ideas are linked and call out inconsistencies and mistakes
  • Appreciate different perspectives
  • Consider others’ needs and show respect

Ask yourself how much you prioritize running your business with clarity, fairness, accuracy, and relevance. Your answer will give you a good picture of how much you value critical thinking.

Related article: What is Transformational Leadership?

Critical thinking has plenty of enemies though. Beware of these traits and behaviors that can lead to bad thinking and bad business:

  • Self-interest
  • Blind acceptance of what’s “normal”

Have you ever heard the phrase, “ready, fire, aim”? Probably not—but that’s what it looks like to act before you get a clear picture of the situation. Things run smoother the less you shoot from the hip and the more you carefully consider your decisions.

Examples of Critical Thinking Skills in Business

Here are some examples leaders in different lines of work who use critical thinking to solve everyday business problems:

  • A funeral home director who considers a grieving family’s budget and wishes and guides them to the best choices
  • A home health care manager who analyzes their cases and matches team members with clients based on their needs and schedule preferences
  • A home contractor who weighs out which subcontractors are the right fit for the job
  • A customer service leader who uses feedback forms to decide on training needs for their team
  • A landscaper who evaluates the risk versus the potential revenue growth of adding team members

The Critical Thinking Process

We’ve looked at why and when to put some extra thought into your business decisions, but let’s be real. Not every decision requires deep-level thinking. The amount of time and energy you spend deciding should be based on the size of the decision’s impact on your business.

If it’s your job to choose whether your company’s Christmas card envelope is white or red, for the love of holiday cheer, just decide. But if you’re about to make a major purchase or new hire, you’ve got some big investments on the line. Pause to think over the details before you advance.

Related article : Product Launch: 10 Questions to Ask Before You Launch a New Product

Also, as you prepare to solve a tricky problem, ask yourself these questions:

  • What’s the real issue?
  • Why does this problem or challenge exist?
  • What information do I need to gather to understand more?
  • How should I keep my notes organized?

Let’s say, for example, that your business issue is consistently unhappy customers. On the surface, it looks like your team members serve customers too slowly. Since both team members and customers are involved, you need to get perspective from both sides to learn why the problem exists. So, you gather details from them on when and where the issue shows up and how they think it is or isn’t being handled. As for how to keep track of the information you learn, you could simply take notes on your phone or computer to review later. Or, you might need to put them in a shared document so your key leaders can see them as you work on a solution together.

After doing some high-level digging, you may find that your team members really are slow, but why ? That’s the next thing you need to discover. Are they poorly trained? Working in a role they’re not good at? Using faulty equipment?

Following these steps of deeper-level critical thinking will help you uncover root issues—so you can fix any problems:

  • Observe: Look at the issue from different angles and ask questions about it.
  • Analyze: Test how true your information is.
  • Reason: Come up with your top theories for why there’s a problem, then list possible conclusions and solutions. (We’ve already established that you’re an idea machine. That’s great!  Keep those possible solutions flowing.)
  • Communicate: Talk with people who are smarter and further ahead in their career than you for deeper insight. That doesn’t mean to just ask anyone with an opinion—find someone with experience.
  • Solve: Decide and act.

Now for an important reminder: Thinking critically means you’re always discovering, changing and improving. Afterall, the one thing thriving businesses count on is change . That means you might solve a customer concern one way today but find better ways to solve it in the future. The same is true in any situation where you use critical thinking steps. The more you want to grow, the more you challenge your ideas and ways of doing things to get the positive change!

How to Think More Critically

We get it. You’re reading this because you’re serious about taking new ground and winning in business. You’re serious about going the extra mile to raise your critical thinking game even more. Here are four practical ways to build stronger critical thinking skills:

  • Take a course or play video and board games that challenge your brain.
  • Volunteer to solve problems at work and home for practice.
  • Talk to others who are really good at thinking critically.
  • Expand your job knowledge and skills so you can see problems more clearly.

Related article :  Mastermind Groups: What Are They, and How Can They Help You Grow Your Business?

What’s Next: Decision Time

Great leaders are people of action. They’re neither knee-jerk and emotional or passive and indecisive. They get the facts, think them through, then make the call. Of course, your personality style will influence whether you naturally make decisions quickly or need more time—and that’s okay. But, when it’s go time, leaders lead. Those who don’t end up like the squirrel in the middle of the road looking back and forth, then moving in circles or not at all. We all know what happens to that squirrel.

One way to stretch your critical thinking skills is to learn from today’s top voices in business and leadership through The EntreLeadership Podcast . You’ll hear practical decision-making insights that help you lead with confidence, solve big problems and grow your business.

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Ramsey Solutions has been committed to helping people regain control of their money, build wealth, grow their leadership skills, and enhance their lives through personal development since 1992. Millions of people have used our financial advice through 22 books (including 12 national bestsellers) published by Ramsey Press, as well as two syndicated radio shows and 10 podcasts, which have over 17 million weekly listeners. Learn More.

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why are critical thinking skills important in business

How to build critical thinking skills for better decision-making

It’s simple in theory, but tougher in practice – here are five tips to get you started.

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Have you heard the riddle about two coins that equal thirty cents, but one of them is not a nickel? What about the one where a surgeon says they can’t operate on their own son?

Those brain teasers tap into your critical thinking skills. But your ability to think critically isn’t just helpful for solving those random puzzles – it plays a big role in your career. 

An impressive 81% of employers say critical thinking carries a lot of weight when they’re evaluating job candidates. It ranks as the top competency companies consider when hiring recent graduates (even ahead of communication ). Plus, once you’re hired, several studies show that critical thinking skills are highly correlated with better job performance.

So what exactly are critical thinking skills? And even more importantly, how do you build and improve them? 

What is critical thinking?

Critical thinking is the ability to evaluate facts and information, remain objective, and make a sound decision about how to move forward.

Does that sound like how you approach every decision or problem? Not so fast. Critical thinking seems simple in theory but is much tougher in practice, which helps explain why 65% of employers say their organization has a need for more critical thinking. 

In reality, critical thinking doesn’t come naturally to a lot of us. In order to do it well, you need to:

  • Remain open-minded and inquisitive, rather than relying on assumptions or jumping to conclusions
  • Ask questions and dig deep, rather than accepting information at face value
  • Keep your own biases and perceptions in check to stay as objective as possible
  • Rely on your emotional intelligence to fill in the blanks and gain a more well-rounded understanding of a situation

So, critical thinking isn’t just being intelligent or analytical. In many ways, it requires you to step outside of yourself, let go of your own preconceived notions, and approach a problem or situation with curiosity and fairness.

It’s a challenge, but it’s well worth it. Critical thinking skills will help you connect ideas, make reasonable decisions, and solve complex problems.

7 critical thinking skills to help you dig deeper

Critical thinking is often labeled as a skill itself (you’ll see it bulleted as a desired trait in a variety of job descriptions). But it’s better to think of critical thinking less as a distinct skill and more as a collection or category of skills. 

To think critically, you’ll need to tap into a bunch of your other soft skills. Here are seven of the most important. 

Open-mindedness

It’s important to kick off the critical thinking process with the idea that anything is possible. The more you’re able to set aside your own suspicions, beliefs, and agenda, the better prepared you are to approach the situation with the level of inquisitiveness you need. 

That means not closing yourself off to any possibilities and allowing yourself the space to pull on every thread – yes, even the ones that seem totally implausible.

As Christopher Dwyer, Ph.D. writes in a piece for Psychology Today , “Even if an idea appears foolish, sometimes its consideration can lead to an intelligent, critically considered conclusion.” He goes on to compare the critical thinking process to brainstorming . Sometimes the “bad” ideas are what lay the foundation for the good ones. 

Open-mindedness is challenging because it requires more effort and mental bandwidth than sticking with your own perceptions. Approaching problems or situations with true impartiality often means:

  • Practicing self-regulation : Giving yourself a pause between when you feel something and when you actually react or take action.
  • Challenging your own biases: Acknowledging your biases and seeking feedback are two powerful ways to get a broader understanding. 

Critical thinking example

In a team meeting, your boss mentioned that your company newsletter signups have been decreasing and she wants to figure out why.

At first, you feel offended and defensive – it feels like she’s blaming you for the dip in subscribers. You recognize and rationalize that emotion before thinking about potential causes. You have a hunch about what’s happening, but you will explore all possibilities and contributions from your team members.

Observation

Observation is, of course, your ability to notice and process the details all around you (even the subtle or seemingly inconsequential ones). Critical thinking demands that you’re flexible and willing to go beyond surface-level information, and solid observation skills help you do that.

Your observations help you pick up on clues from a variety of sources and experiences, all of which help you draw a final conclusion. After all, sometimes it’s the most minuscule realization that leads you to the strongest conclusion.

Over the next week or so, you keep a close eye on your company’s website and newsletter analytics to see if numbers are in fact declining or if your boss’s concerns were just a fluke. 

Critical thinking hinges on objectivity. And, to be objective, you need to base your judgments on the facts – which you collect through research. You’ll lean on your research skills to gather as much information as possible that’s relevant to your problem or situation. 

Keep in mind that this isn’t just about the quantity of information – quality matters too. You want to find data and details from a variety of trusted sources to drill past the surface and build a deeper understanding of what’s happening. 

You dig into your email and website analytics to identify trends in bounce rates, time on page, conversions, and more. You also review recent newsletters and email promotions to understand what customers have received, look through current customer feedback, and connect with your customer support team to learn what they’re hearing in their conversations with customers.

The critical thinking process is sort of like a treasure hunt – you’ll find some nuggets that are fundamental for your final conclusion and some that might be interesting but aren’t pertinent to the problem at hand.

That’s why you need analytical skills. They’re what help you separate the wheat from the chaff, prioritize information, identify trends or themes, and draw conclusions based on the most relevant and influential facts. 

It’s easy to confuse analytical thinking with critical thinking itself, and it’s true there is a lot of overlap between the two. But analytical thinking is just a piece of critical thinking. It focuses strictly on the facts and data, while critical thinking incorporates other factors like emotions, opinions, and experiences. 

As you analyze your research, you notice that one specific webpage has contributed to a significant decline in newsletter signups. While all of the other sources have stayed fairly steady with regard to conversions, that one has sharply decreased.

You decide to move on from your other hypotheses about newsletter quality and dig deeper into the analytics. 

One of the traps of critical thinking is that it’s easy to feel like you’re never done. There’s always more information you could collect and more rabbit holes you could fall down.

But at some point, you need to accept that you’ve done your due diligence and make a decision about how to move forward. That’s where inference comes in. It’s your ability to look at the evidence and facts available to you and draw an informed conclusion based on those. 

When you’re so focused on staying objective and pursuing all possibilities, inference can feel like the antithesis of critical thinking. But ultimately, it’s your inference skills that allow you to move out of the thinking process and onto the action steps. 

You dig deeper into the analytics for the page that hasn’t been converting and notice that the sharp drop-off happened around the same time you switched email providers.

After looking more into the backend, you realize that the signup form on that page isn’t correctly connected to your newsletter platform. It seems like anybody who has signed up on that page hasn’t been fed to your email list. 

Communication

3 ways to improve your communication skills at work

3 ways to improve your communication skills at work

If and when you identify a solution or answer, you can’t keep it close to the vest. You’ll need to use your communication skills to share your findings with the relevant stakeholders – like your boss, team members, or anybody who needs to be involved in the next steps.

Your analysis skills will come in handy here too, as they’ll help you determine what information other people need to know so you can avoid bogging them down with unnecessary details. 

In your next team meeting, you pull up the analytics and show your team the sharp drop-off as well as the missing connection between that page and your email platform. You ask the web team to reinstall and double-check that connection and you also ask a member of the marketing team to draft an apology email to the subscribers who were missed. 

Problem-solving

Critical thinking and problem-solving are two more terms that are frequently confused. After all, when you think critically, you’re often doing so with the objective of solving a problem.

The best way to understand how problem-solving and critical thinking differ is to think of problem-solving as much more narrow. You’re focused on finding a solution.

In contrast, you can use critical thinking for a variety of use cases beyond solving a problem – like answering questions or identifying opportunities for improvement. Even so, within the critical thinking process, you’ll flex your problem-solving skills when it comes time to take action. 

Once the fix is implemented, you monitor the analytics to see if subscribers continue to increase. If not (or if they increase at a slower rate than you anticipated), you’ll roll out some other tests like changing the CTA language or the placement of the subscribe form on the page.

5 ways to improve your critical thinking skills

Beyond the buzzwords: Why interpersonal skills matter at work

Beyond the buzzwords: Why interpersonal skills matter at work

Think critically about critical thinking and you’ll quickly realize that it’s not as instinctive as you’d like it to be. Fortunately, your critical thinking skills are learned competencies and not inherent gifts – and that means you can improve them. Here’s how:

  • Practice active listening: Active listening helps you process and understand what other people share. That’s crucial as you aim to be open-minded and inquisitive.
  • Ask open-ended questions: If your critical thinking process involves collecting feedback and opinions from others, ask open-ended questions (meaning, questions that can’t be answered with “yes” or “no”). Doing so will give you more valuable information and also prevent your own biases from influencing people’s input.
  • Scrutinize your sources: Figuring out what to trust and prioritize is crucial for critical thinking. Boosting your media literacy and asking more questions will help you be more discerning about what to factor in. It’s hard to strike a balance between skepticism and open-mindedness, but approaching information with questions (rather than unquestioning trust) will help you draw better conclusions. 
  • Play a game: Remember those riddles we mentioned at the beginning? As trivial as they might seem, games and exercises like those can help you boost your critical thinking skills. There are plenty of critical thinking exercises you can do individually or as a team . 
  • Give yourself time: Research shows that rushed decisions are often regrettable ones. That’s likely because critical thinking takes time – you can’t do it under the wire. So, for big decisions or hairy problems, give yourself enough time and breathing room to work through the process. It’s hard enough to think critically without a countdown ticking in your brain. 

Critical thinking really is critical

The ability to think critically is important, but it doesn’t come naturally to most of us. It’s just easier to stick with biases, assumptions, and surface-level information. 

But that route often leads you to rash judgments, shaky conclusions, and disappointing decisions. So here’s a conclusion we can draw without any more noodling: Even if it is more demanding on your mental resources, critical thinking is well worth the effort.

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WESTERN GOVERNORS UNIVERSITY

Developing your critical thinking skills, critical thinking skills, critical thinking skills are the navigational tools needed for everyday life and in any professional journey. they enable you to analyze and solve complex problems effectively, allowing you to gain a competitive edge and empowering you to make smarter decisions.    .

With these skills, you’ll be able to think outside the box, adapt to change, and handle risks with greater efficiency. By improving your critical thinking abilities, you're setting yourself up to succeed in any field. 

This guide explores different types of critical thinking skills and how you can learn and apply them in your everyday life.

why are critical thinking skills important in business

What Are Critical Thinking Skills?

Critical thinking skills refer to your ability to analyze, evaluate, and interpret information in a logical and systematic manner to determine possible solutions. Think of it as employing objective reasoning and sound judgment to assess situations, solve problems, make decisions, and draw meaningful conclusions.

These skills assist you in thinking clearly and making sensible decisions when needed to solve problems, make better choices, think independently, consider multiple viewpoints, and apply thoughtful analysis to complex issues.

Why Are Critical Thinking Skills Important?

Critical thinking skills are highly valued by employers and are crucial in today's job market for several reasons. Let’s have a look at why these skills are important:

  • Decision-making: You can make informed decisions based on careful analysis, which leads to more effective decision-making, minimizing risks and maximizing opportunities. 
  • Effective problem-solving: These skills provide the foundation for effective problem-solving in different professional contexts. These skills equip you to effectively identify, define, and analyze problems from different perspectives.
  • Promote open-mindedness: Critical thinking leads to innovative ideas and approaches that will make you challenge assumptions. These challenges lead to innovative ideas and approaches. 
  • Effective communication: By enabling you to clearly organize your thoughts and articulate ideas, critical thinking skills promote effective communication.

why are critical thinking skills important in business

What are the Benefits of Having Critical Thinking Skills?

As mentioned above, critical thinking skills are crucial in every profession and enable you to stand out and succeed in your field. Let’s explore some of the benefits of critical thinking skills and how they add value to your profession:

Stronger analytical abilities: You enhance your analytical thinking capabilities, allowing you to gather, assess, and interpret data effectively. Using logical reasoning, you can identify patterns, extract relevant insights, and draw meaningful conclusions from complex information. This skill is valuable in problem-solving, decision-making, and strategic planning.  

Flexibility: Being flexible enables you to adapt to changing circumstances and swiftly navigate uncertainties. By considering multiple perspectives, evaluating information gathered, and adjusting your thinking, you can adapt your strategies and approaches to respond effectively to evolving situations. This adaptability is crucial in today's fast-changing work environments. 

Lifelong learning: By embracing a growth mindset and engaging in lifelong learning, you can acquire new skills, question assumptions, seek new knowledge, critically evaluate your beliefs, and stay relevant in your chosen field.  

Vision clarity: Having a clear vision enables you to forecast situations and goals. Critical thinking skills provide a framework for purposeful action. This concept also guarantees that your efforts are consistently directed toward achieving the desired outcomes.

Endless possibilities: Solid critical thinking skills allow you to uncover an array of potential outcomes, ideas, and opportunities to go beyond the familiar. 

why are critical thinking skills important in business

Examples of Critical Thinking Skills in the Workplace

Critical thinking skills can be applied in many ways across various professions. Here are some practical examples:

Analysis: You can ask relevant questions, evaluate evidence, and draw logical conclusions based on available information. You can uncover a trend or problem through analysis and make a well-informed decision based on your findings. 

Evaluation: You can weigh different perspectives, consider biases or limitations, and make informed judgments about the quality and validity of information or claims presented. You can distinguish between credible and unreliable sources by evaluating evidence, claims, or proposals and determining the best cause of action.

Creative thinking: Thinking creatively means being innovative, embracing new perspectives, and engaging in divergent thinking to discover fresh insights and possibilities.  

Inference: You can draw logical conclusions based on available evidence, observations, or patterns. By making reasoned judgments and connecting pieces of information, you can delve deeper into complex situations leading to better solutions. 

Reflection: You can critically examine your thoughts, beliefs, and experiences. By displaying self-awareness and introspection, you enhance self-directed learning and promote continuous improvement.  

How Will I Use Critical Thinking Skills?

By developing and applying critical thinking skills, you will be better equipped to navigate complex work environments, contribute to organizational success, and excel in your chosen career path. 

These skills are applicable across various professional roles and industries. For example, with IT careers, you can use critical thinking skills in the following fields:

IT Career: In the IT industry, critical thinking skills are essential for problem-solving and troubleshooting. For example, you’ll be able to analyze the symptoms, gather relevant information, and evaluate potential causes. IT careers such as risk analysts , information manager and IT manager require solid critical thinking skills.

With health careers you can use critical thinking skills in the workplace. This includes:

Accurate diagnoses and treatment decisions: Critical thinking skills are crucial for the hospital environment and beyond.  For instance, as a nurse or doctor with strong critical thinking skills, you will carefully assess a patient's symptoms, review medical history, and analyze test results. Most careers in healthcare such as community health workers , ICU nurses , medical records manager , etc., require these skills.

With education careers, you’ll discover how critical thinking skills are useful in the classroom and beyond:

Designing engaging classroom activities: As a teacher with strong critical thinking skills, you’ll design engaging classroom activities and questions. You can promote problem-solving and creative learning. Most careers in education such as teaching assistants , preschool teachers , and even high school teachers need these skills.

With business professions you incorporate critical thinking skills into everyday decisions in the workplace:

Evaluating market trends: As a decision-maker in business, critical thinking skills help you evaluate market trends, analyze financial data, and assess potential risks and opportunities. You’ll use logical reasoning and sound judgment to make informed business-related decisions such as product development, resource allocation, and business strategies. Most business-related careers such as project management, actuary , human resources management , etc., need these skills.

Critical thinking skills provide a foundation for thoughtful approaches in each field.

How Can I Learn Critical Thinking Skills?

At WGU, our curriculum is designed to foster critical thinking skills by incorporating interactive and thought-provoking course content. 

Our courses are structured to encourage active learning and provide opportunities to apply critical thinking skills in different subject areas.  

For example, in the Leavitt School of Health , the following degree programs teach critical thinking as part of the coursework:

  • BS Nursing (BSRN) 
  • BS Nursing (RN- to BSN Degree), BSNU
  • BS Nursing-Prelicensure (BSPRN) 

In nursing and other health-related degrees, you’ll learn to:

  • Identify reliable and credible sources of information. 
  • Identify different academic arguments concerning a particular issue.
  • Identify potential sources of bias when analyzing a given issue. 
  • Gather relevant facts to form a judgment.
  • Analyze data from various sources and contexts. 

In critical thinking courses, you’ll encounter challenging concepts, case studies, and real-world scenarios that require critical analysis and problem-solving. 

You’ll be able to engage in collaborative learning activities, such as group projects, discussions, and simulations. You’ll also complete a capstone project that integrates and applies the knowledge and skills you’ve acquired. 

These activities encourage you to share ideas, consider diverse perspectives, and provide an opportunity to demonstrate your proficiency in critical thinking while also showcasing your ability to apply it practically. 

Our goal at WGU is to provide a comprehensive learning experience that enhances your critical thinking skills.

Frequently Asked Questions

How is critical thinking used in everyday life?

You can apply critical thinking to various aspects of everyday life, such as:

  • Making logical decisions when solving problems. 
  • Assessing the credibility of the information you encounter online to avoid being misled or scammed.
  • Understanding and questioning norms, biases, and stereotypes leading to a change in policies and social justice. 

How do you say you’re good at critical thinking in your résumé?

You must provide concrete examples to demonstrate your abilities as a critical thinker in your résumé. 

For example, you can describe situations where you successfully applied critical thinking to solve problems or make decisions. 

You can also provide relevant certifications or coursework if you’ve completed any courses or certifications related to critical thinking. Make sure that you highlight them in the education section of your résumé.

What are the barriers to critical thinking?

There are various factors that can limit your ability to think critically:

  • Allowing emotions to influence your thinking process.
  • Conforming to cultural and social norms.
  • Lacking access to accurate information about a subject. 
  • Having insufficient time to thoroughly evaluate information.
  • Lacking exposure to situations that require critical thinking.

Find Your Degree

Are you ready to embark on an exciting journey where your analytical reasoning and problem-solving abilities set you apart? 

Take the degree quiz and find the perfect degree program for you. Prepare to embrace a future of exciting possibilities and success in every facet of your life.

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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.

why are critical thinking skills important in business

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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To Improve Critical Thinking, Don’t Fall into the Urgency Trap

why are critical thinking skills important in business

Too often at work, people rely on expertise and past experiences to jump to a conclusion. Yet research consistently shows that when we rush decisions, we often regret them—even if they end up being correct. [i]

Why we hasten decision making is quite clear. We’re inundated with incessant distractions that compete for our attention, and, at the same time, we’re facing profound pressure to go faster and drive our businesses forward, even when the path ahead is unclear.

In the aftermath of information overwhelm, evolving technology, and rapidly changing business environments, people often unconsciously fall into a pernicious paradox called the “urgency trap.”

The Urgency Trap

The urgency trap, which can be defined as the habitual, unbridled, and counterproductive tendencies to rush through decision making when under the pressure of too many demands, is a paradox because it limits the very thing that could help us be more innovative, efficient, and effective: Our critical thinking.

The ability to analyze and effectively break down an issue to make a decision or solve a problem in novel ways is sorely lacking in today’s workforce, with most employers reporting that their employees’ critical thinking skills are average at best. [ii]

The good news? Critical thinking is a teachable skill, and one that any person can learn to make time for when making decisions. To improve and devote time for critical thinking at work, consider the following best practices.

1. Question assumptions and biases

Consider this common scenario: A team is discussing a decision that they must make quickly. The team’s options—and the arguments for and against them—have been assembled, but no clear evidence supports a particular course of action. Under pressure to move fast, the team relies on their expertise and past experiences to rapidly provide a solution. Yet, in the months following their decision, the issues that prompted the original discussion persist, and the team wonders why.

The issue here may be that the team failed to question their own assumptions and biases. Indeed, when we view situations solely based on our own personal experiences and beliefs, we limit our options and provide solutions that are often short-sighted or superficial. [iii] To improve critical thinking skills, we must step back and ask ourselves,

  • “Am I seeking out information that confirms my pre-conceived idea?”
  • “Am I perceiving a past experience as more predictable than it actually was?”
  • “Am I overemphasizing information that comes to mind quickly, instead of calculating other probabilities?”

2. Reason through logic

When presented with an argument, it is important to analyze it logically in order to determine whether or not it is valid. This means looking at the evidence that is being used to support the argument and determining whether or not it actually does support the conclusion that is being drawn.

Additionally, consider the source of the information. Is it credible? Trustworthy? Finally, be aware of common logical fallacies people tend to use when trying to speed up decision making, such as false dilemma (erroneously limiting available options) and hasty generalizations (making a claim based on a few examples rather than substantial proof).

3. Listen actively and openly

When we’re in a rush to make a decision, we often focus more on how we want to respond rather than what the speaker is saying. Active listening, on the other hand, is a critical thinking skill that involves paying close attention to what someone else is saying with the intent to learn, and then asking questions to clarify and deepen understanding.

When engaging in active listening, it’s important to avoid interrupting and instead allow the other person to fully express their thoughts. Additionally, resist the urge to judge or criticize what the other person is saying. Rather, focus on truly understanding their perspective. This may mean practicing open-mindedness by considering new ideas, even if they challenge existing beliefs. By keeping an open mind, this ensures that all sides of an issue are considered before coming to a conclusion.

4. Ask better questions

In an article for Harvard Business Review, John Coleman, author of the HBR Guide to Crafting Your Purpose , writes, “At the heart of critical thinking is the ability to formulate deep, different, and effective questions.” [iv]

To ask better questions, first consider the audience for the question (who is hearing the question and who might respond?) and the purpose (what is the goal of asking this question?). Then, approach queries with rigor and curiosity by asking questions that:

  • Are open-ended yet short and direct (e.g., “How might you help me think about this differently?”)
  • Challenge a group’s conventional thinking (e.g., “What if we tried a new approach?”)
  • Help others reconsider their first principles or hypotheses (e.g., “As we look at the data, how might we reconsider our initial proposed solution?”)
  • Encourage further discussion and analysis (e.g., “How can we deepen our understanding of this issue?”)
  • Thoughtfully follow up on the solution (e.g., “How do we feel about the progress so far?”)

5. Create space for deliberation

The recommendations outlined thus far are behaviors and capabilities people can use in the moment, but sometimes, the best solutions are formulated after consideration. In fact, research shows that a deliberate process often leads to better conclusions. [v] And sleep has even been proven to help the brain assimilate a problem and see it more clearly. [vi]

When issues are complex, it’s important to find ways to resist unnecessary urgency. Start by mapping out a process that allows several days or longer to sit with a problem. Then, create space in the day to formulate in quiet reflection, whether that’s replacing your first thirty minutes in the morning with thinking instead of checking email, or going on a walk midday, or simply journaling for a few moments before bed.

Critical Thinking Cannot Be Overlooked

In the face of rapidly-evolving business environments, the ability to make smart decisions quickly is one of a company’s greatest assets—but to move fast, people must first slow down to reason through pressing issues, ask thoughtful questions, and evaluate a topic from multiple angles.

To learn more about how organizations can enhance their critical thinking and decision-making skills, download the full paper: Who Is Really Making the Decisions in Your Organization — and How?

[i] Grant Halvorson, Heidi, “Quick Decisions Create Regret, Even When They Are Good Decisions,” Fast Company. https://www.fastcompany.com/1758386/quick-decisions-create-regret-even-when-they-are-good-decisions .

[ii] Plummer, Matt, “A Short Guide to Building Your Team’s Critical Thinking Skills,” Harvard Business Review, October 2019. https://hbr.org/2019/10/a-short-guide-to-building-your-teams-critical-thinking-skills .

[iii] Benjamin Enke, Uri Gneezy, Brian Hall, David Martin, Vadim Nelidov, Theo Offerman, and Jeroen van de Ve, “Cognitive Biases: Mistakes or Missing Stakes?” Harvard Business School, 2021. https://www.hbs.edu/ris/Publication%20Files/21-102_1ed838f2-8ef3-4eec-b543-d00eb1efbe10.pdf

[iv] Coleman, John, “Critical Thinking Is About Asking Better Questions,” Harvard Business Review, April 2022. https://hbr.org/2022/04/critical-thinking-is-about-asking-better-questions .

[v] Markovitz, Daniel, “How to Avoid Rushing to Solutions When Problem-Solving,” Harvard Business Review, November 2020. https://hbr.org/2020/11/how-to-avoid-rushing-to-solutions-when-problem-solving .

[vi] Miller, Jared, “Does ‘Sleeping On It’ Really Work?” WebMD. https://www.webmd.com/sleep-disorders/features/does-sleeping-on-it-really-work .

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How to Develop Critical Thinking Skills in Business That Make You Smarter

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W e’ve heard about the importance of critical thinking skills in school, but it’s not always a common topic in the business world. The truth is, graduation day doesn’t mean critical thinking gets filed away in your past with standardized testing, homework, and essays. Critical thinking in business is an important skill for success.

This level of thinking goes much deeper than our normal thought process. It relies on a broad wealth of information, including the accumulation of new evidence in addition to our own reservoir of knowledge, experiences, memories, reflections, and reasonings.

Critical thinking in business helps us constantly evaluate and reevaluate the way we work so we can seek out more efficient and profitable solutions. A 2020 survey found that critical thinking and analysis is the #1 most important skill group that will be in high demand by 2025.

Graph of survey results showing the most important business skills that will be in demand by 2025

  • Critical thinking is a deliberate and systematic approach for processing information to make educated, well-informed decisions.
  • We don’t need to be critical thinkers 100% of the time. But when it comes to important decisions, especially in business, critical thinking skills are necessary.
  • We can improve our critical thinking skills by questioning assumptions, seeking out alternative viewpoints, being aware of our biases, reversing our problem-solving approach, and evaluating evidence. 

What is critical thinking?

Critical thinking is the process of intentionally and systematically processing information to develop a well-informed understanding and make educated decisions.

It’s the opposite of snap judgments and regular day-to-day decisions. Most of our thinking happens automatically based on a gut feeling and limited amount of information available to us at a given moment.

Critical thinking requires a more in-depth approach that relies on facts, evidence, experience, and observations instead of emotions, assumptions, and biases.

5 ways to improve your critical thinking in business

Nobody relies on critical thinking 100% of the time. It takes considerable time and effort—you don’t need to spend that much energy when deciding what to make for dinner or which shirt to wear. That constant energy expenditure would leave us drained.

Instead, critical thinking is a tool that you should reserve for specific circumstances. There’s a time and a place for both critical thinking and automatic decision-making.

For example, you can be on autopilot when it comes to mundane tasks like filing paperwork, but for important decisions that have an impact on your bottom line—investments, employees, and the future of your business—you can’t afford to simply “go with your gut.”

Here are five ways you can improve your critical thinking in business.

1. Question basic assumptions

Assumptions are a natural part of our thinking process, but they’re detrimental to critical thinking.

Critical thinking in business requires objectivity, which means removing emotions and baseless assumptions from the equation.

When a company’s response to a new idea is to say, “But we’ve always done it this way,” they’re not thinking critically. Learn to recognize such assumptions and be critical of them.

2. Examine alternate points of view

It’s perfectly natural to want to seek out information that aligns with our own opinions and desires. We want to be right.

But part of critical thinking involves researching opposing views to understand the full picture from every angle. Talk to those who oppose you, and make sure you’re actively listening when they present their case. Seek out peer-reviewed research.

Even if you still don’t agree with the alternative points of view, they may illuminate new solutions or challenges to consider when making a decision.

3. Be aware of your biases and mental processes

The human brain is an incredible machine, but it’s certainly not perfect. In addition to natural biases, like prejudices and stereotypes, our brains are sometimes subject to heuristics . These mental shortcuts can be used to circumvent a long, detailed thought process.

Shortcuts might be sufficient for immediate decisions with short-term goals, but not for critical thinking. The best way to manage them is to be aware of your biases and mental processes. Simple awareness isn’t enough—you will also need to understand how they influence your decision-making process. From there, you can make a conscious effort to adapt and overcome.

Some of the most common biases to overcome are:

  • Confirmation Bias: Acknowledge that you won’t always be right.
  • Action Bias: Don’t act on impulse. Take a moment to think through the consequences first.
  • Association Bias: Did an action cause a desired outcome to occur, or did that outcome happen regardless of the action?

4. Reverse your approach

If you’re still feeling stuck when applying your critical thinking skills to a problem, try looking from a different perspective by reversing your approach. 

For example, maybe you’re mulling over what investments to make in your business, and you can’t decide if they’ll help you reach a particular goal. Try turning your thought process around. Focus on the end goal instead, and then work backwards. What needs to happen in order to reach that goal?

Reversing your approach can illuminate any flaws in your thought process and help you reach a logical solution.

5. Evaluate existing evidence

Evidence is a key factor in critical thinking. Our decision-making process should involve seeking out information and evidence to fill gaps in our knowledge.

This doesn’t mean you have to conduct your own studies. Researchers with access to more resources have already laid that groundwork for you. 

But to accurately incorporate this evidence into your critical-thinking process, the burden falls on you to know the answers to these questions:

  • Where did this evidence come from? Is the source credible?
  • How was the information gathered?
  • What were the parameters and sample size?
  • How does this evidence fit into the problem I’m trying to solve?

In today’s digital world, you can find skewed data to support any point of view, even the most illogical conspiracy theories.

This is why critical thinking must go beyond simply finding evidence. It requires mindful evaluation of the facts and a commitment to seek out relevant, credible information, even if it disproves your point and changes your perspective.

9 traits of critical thinking in business

Critical thinking skills result in better business decisions

Developing a critical thinking mindset helps you focus on progress instead of perfection . Nobody’s perfect. And being a critical thinker doesn’t mean you’ll make the right decision every time. 

But it does mean that you are making educated, rational decisions that have a much higher chance of success.

Are you a critical thinker? Do you want to improve your critical thinking skills? Join our team and grow professionally!

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10 Important Business Skills Every Professional Needs

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  • 23 May 2019

Understanding essential business concepts and tools can benefit all professionals.

For example, it’s critical for business owners to ensure all members of their organizations are equipped with skills like critical thinking, time management, and effective communication to ensure daily operations run smoothly and reach business goals.

Here’s an overview of why it’s important to improve your business skills and ten you should prioritize to advance your career.

Access your free e-book today.

Why Is It Important to Improve Your Business Skills?

A foundation in business can not only lead to greater confidence in the workplace but open the door to a myriad of career opportunities. For those who've broadened their knowledge by taking a Harvard Business School Online course , the experience has led to such outcomes as:

  • More responsibility at work
  • A promotion or title change
  • Greater attention from recruiters
  • The ability to transition into a new field

If you want to achieve similar objectives in your career, here are ten business skills you should develop.

infographic displaying 10 valuable business skills for workplace success

Business Skills Every Professional Needs

1. an understanding of economics.

A baseline knowledge of economics can be valuable in any industry. In addition to an in-depth understanding of pricing strategies and market demand, studying economics can provide a toolkit for making key decisions at your company.

For Nicholas Grecco , a former CORe participant who works as an educator and healthcare administrator, the lessons learned in Economics for Managers were instrumental in helping his organization invest in solar energy.

“I knew investment in solar was a good opportunity, but the concept of willingness to sell (WTS) helped me to understand and explain why,” Grecco says. “Because of extra incentives from the city program and group purchasing power, the electrical contractors were willing to sell solar energy systems for a much lower price than usual, thereby increasing our consumer surplus. By explaining WTS, I was able to convince the owner to move forward with this project.”

Related: A Beginner’s Guide to Value-Based Strategy

2. Data Analysis Skills

Research shows that an increasing share of firms—including Microsoft, Uber, and Blue Apron —use analytics to generate growth and improve their services and operations.

According to LinkedIn, analytical reasoning is one of the most sought-after hard skills in today’s job market. Knowing how to summarize datasets , recognize trends, and test hypotheses can provide an analytical framework for approaching complex business problems and help you make informed decisions that benefit your firm.

“Using data analytics is a very effective way to have influence in an organization,” says HBS Professor Jan Hammond , who teaches the online course Business Analytics . “If you’re able to go into a meeting, and other people have opinions, but you have data to support your arguments and recommendations, you’re going to be influential.”

3. Financial Accounting Skills

Accounting know-how can be beneficial to your career, even if you’re not in a numbers-focused role. While it can seem like an intimidating subject, it’s far more approachable than you might think.

Concepts such as cash flow and profitability are useful for understanding your organization’s performance and potential, while knowing how to read and interpret a balance sheet is critical for communicating financial results .

Pankaj Prashant , an engineer who took CORe, says the principles he learned in Financial Accounting helped him build on his technical background and advance his career.

“I’ve been keeping track of my company’s annual reports, and the accounting that I learned helps me in understanding where the business may head in the future,” Prashant says. “I’ve also been tracking a few other companies for investment purposes, and I’ve realized I can make more informed decisions with my improved knowledge of company financials.”

Related: 7 Business Skills Every Engineer Needs

4. Negotiation Skills

Whether you’re just beginning your professional journey or operating at a senior level, it pays to be an effective negotiator. In a report by the World Economic Forum , negotiation was identified as one of the top 10 people skills needed to thrive in the future workforce.

Honing your deal-making skills can not only help secure value for your organization at the bargaining table but for yourself when advocating for a higher starting salary or raise .

There’s no one-size-fits-all approach to crafting a successful negotiation strategy . The key, according to HBS Professor Mike Wheeler , who teaches Negotiation Mastery , is to be open to improvisation and plan to think on your feet.

“However you happen to see yourself as a negotiator, most people you deal with likely have a different style, at least to some degree,” Wheeler says. “To succeed, therefore, you must be agile. That means flexing yourself so that you deploy different skills depending on the situation and whom you’re dealing with.”

Related: What’s Your Negotiation Style?

5. Business Management Skills

Strong managerial skills are intrinsically linked to organizational performance. A study by Gallup found that managers account for 70 percent of variance in employee engagement, underscoring the need for companies to develop leaders who drive team productivity and morale.

For seasoned and aspiring managers alike, it’s valuable to know how to lead meetings and communicate organizational change . Equally important is being aware of the common missteps team leaders make.

In the case of Monica Higgins , a public relations account director, taking the online course Management Essentials was a way to augment her managerial knowledge and develop a fresh outlook in her role.

“I'm more aware of looking at things through a larger lens, from a variety of perspectives,” Higgins says. “I've always been a fan of asking thoughtful, learning questions—as opposed to making declarations—and I'm now a big fan of playing devil's advocate.”

Related: 7 Effective Ways to Become a Better Manager

6. Leadership Skills

Whether you hold a management position or not, leadership skills are vital to workplace success. While some people think of leadership and management as one and the same, there are differences between the two . Whereas management is centered on implementing processes, leadership is more focused on the people and vision that guide change.

In addition to honing your management skills, building your leadership skills can be beneficial in any profession. From learning to keep calm during times of pressure to developing your own leadership style , these skills can help you understand how to bring your vision to life and position your team for success.

7. Effective Communication

In any business setting, professionals rely on communication to coordinate efforts and accomplish organizational goals. Ineffective communication—or a lack of communication altogether—can prove catastrophic.

Along with developing your skills, a large contributor to success is understanding and adapting to others' communication styles. Other key communication skills include active listening, empathy, and reading body language.

8. Emotional Intelligence

Emotional intelligence is another essential business skill, and research shows it’s a leading indicator of performance in the workplace. According to a study by TalentSmart , 90 percent of top performers have a high degree of emotional intelligence.

Emotional intelligence is commonly broken down into four concepts: self-awareness, self-management, social awareness, and relationship management. In short, this skill refers to your ability to understand your emotions and recognize and influence those of others.

No matter your industry or position, having awareness of yourself and those around you can enable you to have more control over your interactions and effectively accomplish goals.

9. Decision-Making Skills

All professionals need strong decision-making skills to navigate complex workplace challenges. For those specifically working in business or management, the need for such skills is even greater.

Determining how to allocate resources, which employees comprise a team, and how to implement a new organizational initiative are all decisions that need careful consideration. With the growing number of tools and resources that can be used to capture data, managers can fuel their processes with valuable insights to make data-driven decisions and generate better outcomes.

Related: 8 Steps in the Decision-Making Process

10. Networking

Networking is another critical business skill that all professionals should exercise.

Whether you want ideas or advice on a specific challenge or are preparing for a career change, the people who make up your professional network can be valuable resources.

Related: How Leaders Develop and Use Their Network

To make the most of your network, be open to opportunities to step out of your comfort zone and build new relationships. Once you have your network in place, it’s important to maintain relationships you’ve formed and find new ways to expand your web of contacts.

Which HBS Online Business Essentials Course is Right for You? | Download Your Free Flowchart

How to Improve Your Business Knowledge

If you aim to advance your career, the value of business skills can’t be overstated. In addition to hard skills (such as financial accounting and an understanding of economics), you need soft skills (such as emotional intelligence and leadership) as your organization grows.

No matter your industry, knowledge of essential business concepts can help you better understand your organization’s performance and acquire the tools needed to spearhead initiatives and drive strategic decision-making.

Do you want to take your career to the next level? Explore our online business essentials courses . Download our free flowchart to choose the right course for you.

This post was updated on August 19, 2022. It was originally published on May 23, 2019.

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Critical Thinking Skills: Why They’re Important for Professionals with Business Management Training

why are critical thinking skills important in business

Business managers are key players in ensuring that a company runs smoothly and efficiently. Within a variety of office environments, these professionals are responsible for handling a number of tasks which contribute to optimizing a company’s performance. If you’re seeking a career in business management, being able to think critically will help you to conduct quality assessments of an organization’s situation and determine the best way forward. 

Read on to discover what exactly thinking critically means, and why it’s important in this career path.

If You’re in Business Management Training, Here’s What it Means to Think Critically

Critical thinking is the process of receiving information and evaluating it in many different ways to make an informed decision. This means considering a situation from many angles, and weighing the advantages and disadvantages of possible solutions. In the business world, leaders are forced to think critically every day, as they must make high-stakes decisions that have the potential to impact a company’s performance, its reputation, and the livelihoods of the employees that work there. 

why are critical thinking skills important in business

If you’re studying for your business management diploma , thinking critically will enable you to 

Critical Thinking Will Help You to Solve Problems

Problems are bound to arise within any organization. As a business manager, it’s important that you’re able to address a problem by thinking critically. Instead of viewing the problem as an obstacle, try seeing it as a challenge to overcome. As an example, if an employee is underperforming, thinking critically might influence a business manager to consider the fact that this employee has been undergoing personal stress, leading them to give the person a second chance rather than letting them go. If you have business management training , thinking critically will enable you to come up with several alternative solutions to a problem, ensuring that the decision made is one that’s best for the company overall. 

why are critical thinking skills important in business

Thinking Critically Enables Business Managers to Communicate Effectively

Within any company, communication entails more than just exchanging information. Effective use of this skill involves understanding the needs of others, anticipating how they might respond to the information they’re given, and determining the best way to establish a channel of communication. As a business manager, you’ll be communicating with your colleagues, business executives, your team, other employees, and clients. 

When you apply critical thinking to both your verbal and written communication, you’ll be able to consider the perspectives of those you are communicating with. Thinking critically will help you to navigate communicating with those of backgrounds different than your own, enabling you to develop a strategy based in mutual understanding. This will lead to a clearer and more effective exchange of information within an organization. Not only does strong communication improve productivity, but it also ensures that employees within the business feel acknowledged and respected.

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Critical Thinking Is About Asking Better Questions

  • John Coleman

why are critical thinking skills important in business

Six practices to sharpen your inquiry.

Critical thinking is the ability to analyze and effectively break down an issue in order to make a decision or find a solution. At the heart of critical thinking is the ability to formulate deep, different, and effective questions. For effective questioning, start by holding your hypotheses loosely. Be willing to fundamentally reconsider your initial conclusions — and do so without defensiveness. Second, listen more than you talk through active listening. Third, leave your queries open-ended, and avoid yes-or-no questions. Fourth, consider the counterintuitive to avoid falling into groupthink. Fifth, take the time to stew in a problem, rather than making decisions unnecessarily quickly. Last, ask thoughtful, even difficult, follow-ups.

Are you tackling a new and difficult problem at work? Recently promoted and trying to both understand your new role and bring a fresh perspective? Or are you new to the workforce and seeking ways to meaningfully contribute alongside your more experienced colleagues? If so, critical thinking — the ability to analyze and effectively break down an issue in order to make a decision or find a solution — will be core to your success. And at the heart of critical thinking is the ability to formulate deep, different, and effective questions.

why are critical thinking skills important in business

  • JC John Coleman is the author of the HBR Guide to Crafting Your Purpose . Subscribe to his free newsletter, On Purpose , follow him on Twitter @johnwcoleman, or contact him at johnwilliamcoleman.com.

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Why Is Critical Thinking Important? A Survival Guide

Updated: December 7, 2023

Published: April 2, 2020

Why-Is-Critical-Thinking-Important-a-Survival-Guide

Why is critical thinking important? The decisions that you make affect your quality of life. And if you want to ensure that you live your best, most successful and happy life, you’re going to want to make conscious choices. That can be done with a simple thing known as critical thinking. Here’s how to improve your critical thinking skills and make decisions that you won’t regret.

What Is Critical Thinking?

You’ve surely heard of critical thinking, but you might not be entirely sure what it really means, and that’s because there are many definitions. For the most part, however, we think of critical thinking as the process of analyzing facts in order to form a judgment. Basically, it’s thinking about thinking.

How Has The Definition Evolved Over Time?

The first time critical thinking was documented is believed to be in the teachings of Socrates , recorded by Plato. But throughout history, the definition has changed.

Today it is best understood by philosophers and psychologists and it’s believed to be a highly complex concept. Some insightful modern-day critical thinking definitions include :

  • “Reasonable, reflective thinking that is focused on deciding what to believe or do.”
  • “Deciding what’s true and what you should do.”

The Importance Of Critical Thinking

Why is critical thinking important? Good question! Here are a few undeniable reasons why it’s crucial to have these skills.

1. Critical Thinking Is Universal

Critical thinking is a domain-general thinking skill. What does this mean? It means that no matter what path or profession you pursue, these skills will always be relevant and will always be beneficial to your success. They are not specific to any field.

2. Crucial For The Economy

Our future depends on technology, information, and innovation. Critical thinking is needed for our fast-growing economies, to solve problems as quickly and as effectively as possible.

3. Improves Language & Presentation Skills

In order to best express ourselves, we need to know how to think clearly and systematically — meaning practice critical thinking! Critical thinking also means knowing how to break down texts, and in turn, improve our ability to comprehend.

4. Promotes Creativity

By practicing critical thinking, we are allowing ourselves not only to solve problems but also to come up with new and creative ideas to do so. Critical thinking allows us to analyze these ideas and adjust them accordingly.

5. Important For Self-Reflection

Without critical thinking, how can we really live a meaningful life? We need this skill to self-reflect and justify our ways of life and opinions. Critical thinking provides us with the tools to evaluate ourselves in the way that we need to.

Woman deep into thought as she looks out the window, using her critical thinking skills to do some self-reflection.

6. The Basis Of Science & Democracy

In order to have a democracy and to prove scientific facts, we need critical thinking in the world. Theories must be backed up with knowledge. In order for a society to effectively function, its citizens need to establish opinions about what’s right and wrong (by using critical thinking!).

Benefits Of Critical Thinking

We know that critical thinking is good for society as a whole, but what are some benefits of critical thinking on an individual level? Why is critical thinking important for us?

1. Key For Career Success

Critical thinking is crucial for many career paths. Not just for scientists, but lawyers , doctors, reporters, engineers , accountants, and analysts (among many others) all have to use critical thinking in their positions. In fact, according to the World Economic Forum, critical thinking is one of the most desirable skills to have in the workforce, as it helps analyze information, think outside the box, solve problems with innovative solutions, and plan systematically.

2. Better Decision Making

There’s no doubt about it — critical thinkers make the best choices. Critical thinking helps us deal with everyday problems as they come our way, and very often this thought process is even done subconsciously. It helps us think independently and trust our gut feeling.

3. Can Make You Happier!

While this often goes unnoticed, being in touch with yourself and having a deep understanding of why you think the way you think can really make you happier. Critical thinking can help you better understand yourself, and in turn, help you avoid any kind of negative or limiting beliefs, and focus more on your strengths. Being able to share your thoughts can increase your quality of life.

4. Form Well-Informed Opinions

There is no shortage of information coming at us from all angles. And that’s exactly why we need to use our critical thinking skills and decide for ourselves what to believe. Critical thinking allows us to ensure that our opinions are based on the facts, and help us sort through all that extra noise.

5. Better Citizens

One of the most inspiring critical thinking quotes is by former US president Thomas Jefferson: “An educated citizenry is a vital requisite for our survival as a free people.” What Jefferson is stressing to us here is that critical thinkers make better citizens, as they are able to see the entire picture without getting sucked into biases and propaganda.

6. Improves Relationships

While you may be convinced that being a critical thinker is bound to cause you problems in relationships, this really couldn’t be less true! Being a critical thinker can allow you to better understand the perspective of others, and can help you become more open-minded towards different views.

7. Promotes Curiosity

Critical thinkers are constantly curious about all kinds of things in life, and tend to have a wide range of interests. Critical thinking means constantly asking questions and wanting to know more, about why, what, who, where, when, and everything else that can help them make sense of a situation or concept, never taking anything at face value.

8. Allows For Creativity

Critical thinkers are also highly creative thinkers, and see themselves as limitless when it comes to possibilities. They are constantly looking to take things further, which is crucial in the workforce.

9. Enhances Problem Solving Skills

Those with critical thinking skills tend to solve problems as part of their natural instinct. Critical thinkers are patient and committed to solving the problem, similar to Albert Einstein, one of the best critical thinking examples, who said “It’s not that I’m so smart; it’s just that I stay with problems longer.” Critical thinkers’ enhanced problem-solving skills makes them better at their jobs and better at solving the world’s biggest problems. Like Einstein, they have the potential to literally change the world.

10. An Activity For The Mind

Just like our muscles, in order for them to be strong, our mind also needs to be exercised and challenged. It’s safe to say that critical thinking is almost like an activity for the mind — and it needs to be practiced. Critical thinking encourages the development of many crucial skills such as logical thinking, decision making, and open-mindness.

11. Creates Independence

When we think critically, we think on our own as we trust ourselves more. Critical thinking is key to creating independence, and encouraging students to make their own decisions and form their own opinions.

12. Crucial Life Skill

Critical thinking is crucial not just for learning, but for life overall! Education isn’t just a way to prepare ourselves for life, but it’s pretty much life itself. Learning is a lifelong process that we go through each and every day.

How to Think Critically

Now that you know the benefits of thinking critically, how do you actually do it?

How To Improve Your Critical Thinking

  • Define Your Question: When it comes to critical thinking, it’s important to always keep your goal in mind. Know what you’re trying to achieve, and then figure out how to best get there.
  • Gather Reliable Information: Make sure that you’re using sources you can trust — biases aside. That’s how a real critical thinker operates!
  • Ask The Right Questions: We all know the importance of questions, but be sure that you’re asking the right questions that are going to get you to your answer.
  • Look Short & Long Term: When coming up with solutions, think about both the short- and long-term consequences. Both of them are significant in the equation.
  • Explore All Sides: There is never just one simple answer, and nothing is black or white. Explore all options and think outside of the box before you come to any conclusions.

How Is Critical Thinking Developed At School?

Critical thinking is developed in nearly everything we do. However, much of this important skill is encouraged to be practiced at school, and rightfully so! Critical thinking goes beyond just thinking clearly — it’s also about thinking for yourself.

When a teacher asks a question in class, students are given the chance to answer for themselves and think critically about what they learned and what they believe to be accurate. When students work in groups and are forced to engage in discussion, this is also a great chance to expand their thinking and use their critical thinking skills.

How Does Critical Thinking Apply To Your Career?

Once you’ve finished school and entered the workforce, your critical thinking journey only expands and grows from here!

Impress Your Employer

Employers value employees who are critical thinkers, ask questions, offer creative ideas, and are always ready to offer innovation against the competition. No matter what your position or role in a company may be, critical thinking will always give you the power to stand out and make a difference.

Careers That Require Critical Thinking

Some of many examples of careers that require critical thinking include:

  • Human resources specialist
  • Marketing associate
  • Business analyst

Truth be told however, it’s probably harder to come up with a professional field that doesn’t require any critical thinking!

Photo by  Oladimeji Ajegbile  from  Pexels

What is someone with critical thinking skills capable of doing.

Someone with critical thinking skills is able to think rationally and clearly about what they should or not believe. They are capable of engaging in their own thoughts, and doing some reflection in order to come to a well-informed conclusion.

A critical thinker understands the connections between ideas, and is able to construct arguments based on facts, as well as find mistakes in reasoning.

The Process Of Critical Thinking

The process of critical thinking is highly systematic.

What Are Your Goals?

Critical thinking starts by defining your goals, and knowing what you are ultimately trying to achieve.

Once you know what you are trying to conclude, you can foresee your solution to the problem and play it out in your head from all perspectives.

What Does The Future Of Critical Thinking Hold?

The future of critical thinking is the equivalent of the future of jobs. In 2020, critical thinking was ranked as the 2nd top skill (following complex problem solving) by the World Economic Forum .

We are dealing with constant unprecedented changes, and what success is today, might not be considered success tomorrow — making critical thinking a key skill for the future workforce.

Why Is Critical Thinking So Important?

Why is critical thinking important? Critical thinking is more than just important! It’s one of the most crucial cognitive skills one can develop.

By practicing well-thought-out thinking, both your thoughts and decisions can make a positive change in your life, on both a professional and personal level. You can hugely improve your life by working on your critical thinking skills as often as you can.

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Critical Thinking: A Simple Guide and Why It’s Important

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Critical Thinking: A Simple Guide and Why It’s Important was originally published on Ivy Exec .

Strong critical thinking skills are crucial for career success, regardless of educational background. It embodies the ability to engage in astute and effective decision-making, lending invaluable dimensions to professional growth.

At its essence, critical thinking is the ability to analyze, evaluate, and synthesize information in a logical and reasoned manner. It’s not merely about accumulating knowledge but harnessing it effectively to make informed decisions and solve complex problems. In the dynamic landscape of modern careers, honing this skill is paramount.

The Impact of Critical Thinking on Your Career

☑ problem-solving mastery.

Visualize critical thinking as the Sherlock Holmes of your career journey. It facilitates swift problem resolution akin to a detective unraveling a mystery. By methodically analyzing situations and deconstructing complexities, critical thinkers emerge as adept problem solvers, rendering them invaluable assets in the workplace.

☑ Refined Decision-Making

Navigating dilemmas in your career path resembles traversing uncertain terrain. Critical thinking acts as a dependable GPS, steering you toward informed decisions. It involves weighing options, evaluating potential outcomes, and confidently choosing the most favorable path forward.

☑ Enhanced Teamwork Dynamics

Within collaborative settings, critical thinkers stand out as proactive contributors. They engage in scrutinizing ideas, proposing enhancements, and fostering meaningful contributions. Consequently, the team evolves into a dynamic hub of ideas, with the critical thinker recognized as the architect behind its success.

☑ Communication Prowess

Effective communication is the cornerstone of professional interactions. Critical thinking enriches communication skills, enabling the clear and logical articulation of ideas. Whether in emails, presentations, or casual conversations, individuals adept in critical thinking exude clarity, earning appreciation for their ability to convey thoughts seamlessly.

☑ Adaptability and Resilience

Perceptive individuals adept in critical thinking display resilience in the face of unforeseen challenges. Instead of succumbing to panic, they assess situations, recalibrate their approaches, and persist in moving forward despite adversity.

☑ Fostering Innovation

Innovation is the lifeblood of progressive organizations, and critical thinking serves as its catalyst. Proficient critical thinkers possess the ability to identify overlooked opportunities, propose inventive solutions, and streamline processes, thereby positioning their organizations at the forefront of innovation.

☑ Confidence Amplification

Critical thinkers exude confidence derived from honing their analytical skills. This self-assurance radiates during job interviews, presentations, and daily interactions, catching the attention of superiors and propelling career advancement.

So, how can one cultivate and harness this invaluable skill?

✅ developing curiosity and inquisitiveness:.

Embrace a curious mindset by questioning the status quo and exploring topics beyond your immediate scope. Cultivate an inquisitive approach to everyday situations. Encourage a habit of asking “why” and “how” to deepen understanding. Curiosity fuels the desire to seek information and alternative perspectives.

✅ Practice Reflection and Self-Awareness:

Engage in reflective thinking by assessing your thoughts, actions, and decisions. Regularly introspect to understand your biases, assumptions, and cognitive processes. Cultivate self-awareness to recognize personal prejudices or cognitive biases that might influence your thinking. This allows for a more objective analysis of situations.

✅ Strengthening Analytical Skills:

Practice breaking down complex problems into manageable components. Analyze each part systematically to understand the whole picture. Develop skills in data analysis, statistics, and logical reasoning. This includes understanding correlation versus causation, interpreting graphs, and evaluating statistical significance.

✅ Engaging in Active Listening and Observation:

Actively listen to diverse viewpoints without immediately forming judgments. Allow others to express their ideas fully before responding. Observe situations attentively, noticing details that others might overlook. This habit enhances your ability to analyze problems more comprehensively.

✅ Encouraging Intellectual Humility and Open-Mindedness:

Foster intellectual humility by acknowledging that you don’t know everything. Be open to learning from others, regardless of their position or expertise. Cultivate open-mindedness by actively seeking out perspectives different from your own. Engage in discussions with people holding diverse opinions to broaden your understanding.

✅ Practicing Problem-Solving and Decision-Making:

Engage in regular problem-solving exercises that challenge you to think creatively and analytically. This can include puzzles, riddles, or real-world scenarios. When making decisions, consciously evaluate available information, consider various alternatives, and anticipate potential outcomes before reaching a conclusion.

✅ Continuous Learning and Exposure to Varied Content:

Read extensively across diverse subjects and formats, exposing yourself to different viewpoints, cultures, and ways of thinking. Engage in courses, workshops, or seminars that stimulate critical thinking skills. Seek out opportunities for learning that challenge your existing beliefs.

✅ Engage in Constructive Disagreement and Debate:

Encourage healthy debates and discussions where differing opinions are respectfully debated.

This practice fosters the ability to defend your viewpoints logically while also being open to changing your perspective based on valid arguments. Embrace disagreement as an opportunity to learn rather than a conflict to win. Engaging in constructive debate sharpens your ability to evaluate and counter-arguments effectively.

✅ Utilize Problem-Based Learning and Real-World Applications:

Engage in problem-based learning activities that simulate real-world challenges. Work on projects or scenarios that require critical thinking skills to develop practical problem-solving approaches. Apply critical thinking in real-life situations whenever possible.

This could involve analyzing news articles, evaluating product reviews, or dissecting marketing strategies to understand their underlying rationale.

In conclusion, critical thinking is the linchpin of a successful career journey. It empowers individuals to navigate complexities, make informed decisions, and innovate in their respective domains. Embracing and honing this skill isn’t just an advantage; it’s a necessity in a world where adaptability and sound judgment reign supreme.

So, as you traverse your career path, remember that the ability to think critically is not just an asset but the differentiator that propels you toward excellence.

Nichols College

Critical Thinking & Why It’s So Important

Critical thinking is a cognitive skill with the power to unlock the full potential of your mind. In today’s rapidly evolving society, where information is abundant but discerning its validity is becoming increasingly challenging, the art of critical thinking has never been more crucial.

At Nichols College, we believe that cultivating strong critical thinking abilities is not just a pursuit for the academically inclined, but a fundamental necessity for individuals across all walks of life. Join us as we explore the significance of critical thinking and the remarkable impact it can have on your decision-making, problem-solving, and overall cognitive prowess.

Discover why our Graduate Certificate program in Advanced Critical Thinking and Decision Making is your gateway to becoming a perceptive and adept thinker, ready to tackle the complex challenges of today’s world with confidence and ingenuity.

What is critical thinking?

Critical thinking is a fundamental skill that allows individuals to analyze, evaluate, and interpret information objectively and rationally. It goes beyond merely accepting information at face value; instead, critical thinkers are equipped to delve deeper, question assumptions, and explore various perspectives before arriving at well-informed conclusions. This ability to think critically is highly valued across various domains, including education, business, and everyday life.

Benefits of using critical thinking

The countless advantages of critical thinking extend far beyond the realms of academia. For starters, critical thinking fosters superior decision-making by equipping individuals with the tools to weigh options, assess consequences, and arrive at better choices. Critical thinkers also benefit from heightened self-reflection, gaining a profound understanding of their own biases and areas for improvement.

Critical thinkers become well-informed individuals who can navigate the sea of information with discernment, adeptly identifying misinformation and unreliable sources. Furthermore, this invaluable skill enables creative problem-solving, allowing thinkers to craft innovative solutions to intricate challenges. Some of the most important benefits of using critical thinking include:

Better decision making

Critical thinkers excel at weighing pros and cons, considering alternatives, and anticipating potential consequences. This leads to more informed and effective decision-making processes, both in personal and professional realms.

Better self-reflection

By fostering a habit of introspection, critical thinkers become more self-aware, recognizing their own biases and limitations. This heightened self-awareness allows them to continually improve and adapt their thinking patterns.

Being well-informed

Critical thinkers actively seek out diverse sources of information, ensuring they have a comprehensive understanding of complex issues. This empowers them to engage in meaningful discussions and contribute constructively to their communities.

The ability to identify misinformation

In a world filled with misinformation, critical thinkers possess the skills to discern fact from fiction. They scrutinize sources, verify information, and avoid being misled by deceptive content.

Building creative problem solving skills

Critical thinking encourages innovative and outside-the-box problem-solving approaches. By considering multiple angles and challenging conventional ideas, critical thinkers arrive at inventive solutions to complex challenges.

What skills do critical thinkers have?

Critical thinkers possess a remarkable set of skills that elevate their cognitive abilities and enable them to approach complex issues with acuity. Embracing these skills empowers them to tackle challenges, unravel complexities, and make meaningful insights and well-informed decisions. Some of the most valuable skills critical thinkers have include:

Critical thinkers have a natural inclination to ask questions and explore topics in-depth. Their thirst for knowledge drives them to seek out answers and continually expand their understanding.

Proficient in conducting thorough research, critical thinkers gather information from reliable sources and assess its validity. They are skilled at distinguishing credible data from biased or unsubstantiated claims.

Pattern recognition

Critical thinkers recognize recurring patterns and connections between seemingly unrelated pieces of information. This allows them to draw meaningful insights and make well-founded predictions.

Bias identification

Having honed the ability to identify biases, critical thinkers remain open-minded and impartial in their assessments. They acknowledge their own biases and strive to approach each situation objectively.

How to use critical thinking skills in the workplace

In any work environment, critical thinking is a valuable asset that can enhance productivity and foster a more innovative and collaborative workplace. Employees with strong critical thinking skills contribute to problem-solving sessions, provide constructive feedback, and make informed decisions based on thorough analysis. By promoting critical thinking, organizations encourage employees to challenge assumptions, seek out novel solutions, and contribute to the overall growth and success of the company.

Examples of good critical thinking in action

The real-world application of critical thinking can be awe-inspiring, as it empowers individuals to approach various scenarios with astute judgment and creativity. In the business realm and with regard to project management, critical thinkers demonstrate their prowess by:

  • Analyzing Market Trends : A marketing professional employs critical thinking skills to assess market trends, consumer behavior, and competitor strategies before devising a successful marketing campaign that aligns with the target audience’s needs.
  • Problem-Solving in Project Management : A project manager utilizes critical thinking to identify potential roadblocks, consider alternative approaches, and ensure projects are executed efficiently and within budget.

Furthermore, critical thinkers shine in scientific research, meticulously evaluating data, and drawing evidence-based conclusions that contribute to groundbreaking discoveries. In everyday life, they navigate the digital landscape with discernment, identifying misinformation and making informed decisions about their health, finances, and general well-being. These examples illustrate the power of critical thinking to transform not only individual lives but also entire industries, making it an indispensable skill in the pursuit of success and progress.

Get a critical thinking graduate certificate from Nichols College

If you are eager to enhance your problem-solving abilities, decision-making processes, and overall cognitive skills, the Nichols College graduate certificate in critical thinking may be right for you. Designed to equip individuals with the necessary tools to excel in today’s complex world, this program will empower you to think critically, analyze data effectively, and approach challenges with creativity and confidence. Elevate your potential and join Nichols College in cultivating a new generation of sharp-minded leaders, ready to make a positive impact on the world. Enroll in the Advanced Critical Thinking and Decision Making certificate program today and unlock a brighter future for yourself and your community.

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  3. Why Critical Thinking is Important for Businesses?

    why are critical thinking skills important in business

  4. Critical Thinking Skills stock image. Image of important

    why are critical thinking skills important in business

  5. Critical Thinking Definition, Skills, and Examples

    why are critical thinking skills important in business

  6. The benefits of critical thinking for students and how to develop it

    why are critical thinking skills important in business

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  1. Why Critical Thinking is SO IMPORTANT (ft. Gloom)

  2. Critical Reading and Critical thinking?|Definition| Meaning|Process|Goals

  3. Top Critical Thinking Skills

  4. Why Critical Thinking Is So Important In Today's World @TheIcedCoffeeHour

  5. 5 Tips To Improve Critical Thinking What is How To Develop Critical Thinking #EnergeticRavi

  6. Importance of Critical Thinking

COMMENTS

  1. What Are Critical Thinking Skills and Why Are They Important?

    According to the University of the People in California, having critical thinking skills is important because they are [ 1 ]: Universal. Crucial for the economy. Essential for improving language and presentation skills. Very helpful in promoting creativity. Important for self-reflection.

  2. Why Critical Thinking Matters in Your Business

    Employees with critical thinking are also more likely to accomplish the following: Analyzing information. Thinking outside the box. Coming up with creative solutions to sudden problems. Devising ...

  3. Why Is Critical Thinking Important for Business Growth?

    Businesses thrive on well-informed decision-making, and critical thinking is the compass that guides this process. A workforce with critical thinking skills is adept at gathering, analyzing, and synthesizing information, leading to strategic, informed, and unbiased choices. This, in turn, minimizes errors and maximizes positive outcomes, laying ...

  4. Why Your Business Needs Critical Thinking

    In today's fast-paced, complex, and dynamic work environment, critical thinking is more critical than ever before. It is crucial for organizations to prioritize critical thinking skills among ...

  5. How Leaders Should Think Critically

    How Leaders Should Think Critically. 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 ...

  6. A Short Guide to Building Your Team's Critical Thinking Skills

    Summary. Most employers lack an effective way to objectively assess critical thinking skills and most managers don't know how to provide specific instruction to team members in need of becoming ...

  7. Critical Thinking

    Critical thinking is the discipline of rigorously and skillfully using information, experience, observation, and reasoning to guide your decisions, actions, and beliefs. You'll need to actively question every step of your thinking process to do it well. Collecting, analyzing and evaluating information is an important skill in life, and a highly ...

  8. Everything You Need to Know About Critical Thinking Skills for Business

    One scholarly explanation of critical thinking goes something like: a system of thought incorporated in scientific, mathematical, historical, anthropological, moral, philosophical and economic thinking. Yeah, that definition's a 0 out of 10 on the helpfulness scale. Critical thinking is more than knowing about something.

  9. How to build critical thinking skills for better decision-making

    Ask questions and dig deep, rather than accepting information at face value. Keep your own biases and perceptions in check to stay as objective as possible. Rely on your emotional intelligence to fill in the blanks and gain a more well-rounded understanding of a situation. So, critical thinking isn't just being intelligent or analytical.

  10. Improve Your Critical Thinking Skills

    To make good decisions, it's important to think critically. And, yet, too many leaders accept the first solution proposed to them or don't take the time to evaluate a topic from all sides.

  11. Critical Thinking Skills

    Why Are Critical Thinking Skills Important? Critical thinking skills are highly valued by employers and are crucial in today's job market for several reasons. Let's have a look at why these skills are important: ... As a decision-maker in business, critical thinking skills help you evaluate market trends, analyze financial data, and assess ...

  12. Critical Thinking: What It Is and Why It's Important

    Critical thinking skills on a resume If you want to highlight your critical thinking in the skills section of your resume, consider using terms like the following: Observation skills: These skills are important to critical thinking overall because observation is a primary way people receive information. When employees see how to complete a task ...

  13. What is Critical Thinking and Why is it Valuable in the Workplace

    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.

  14. Critical Thinking and the Urgency Trap

    The good news? Critical thinking is a teachable skill, and one that any person can learn to make time for when making decisions. To improve and devote time for critical thinking at work, consider the following best practices. 1. Question assumptions and biases. Consider this common scenario: A team is discussing a decision that they must make ...

  15. How to Develop Critical Thinking Skills in Business That Make You Smarter

    Examine alternate points of view. 3. Be aware of your biases and mental processes. 4. Reverse your approach. 5. Evaluate existing evidence. Critical thinking skills result in better business decisions. We've heard about the importance of critical thinking skills in school, but it's not always a common topic in the business world.

  16. CRITICAL THINKING AND DECISION MAKING IN BUSINESS

    Solving problems with no clear solutions requires critical thinking skills. Examples of how critical thinking skills are used in business decision making. Considering that critical thinking was named as one of the top 10 most important job skills of the future by the World Economic Forum, it's unsurprising that there are a host of examples of ...

  17. Think to Succeed: Why Critical Thinking is Vital for Today's Business

    Leaders who are able to think critically are better equipped to adapt to changing circumstances and make decisions that will help their organizations thrive. #4) Effective Communication: Leaders ...

  18. 10 Business Skills Every Professional Needs

    Management. Management Essentials. Negotiation. Negotiation Mastery. Email. Understanding essential business concepts and tools can benefit all professionals. For example, it's critical for business owners to ensure all members of their organizations are equipped with skills like critical thinking, time management, and effective communication ...

  19. Critical Thinking Skills: Why They're Important for Professionals with

    Read on to discover what exactly thinking critically means, and why it's important in this career path. If You're in Business Management Training, Here's What it Means to Think Critically. Critical thinking is the process of receiving information and evaluating it in many different ways to make an informed decision.

  20. Critical Thinking Is About Asking Better Questions

    Critical thinking is the ability to analyze and effectively break down an issue in order to make a decision or find a solution. At the heart of critical thinking is the ability to formulate deep ...

  21. The Importance Of Critical Thinking, and how to improve it

    Improves Language & Presentation Skills. In order to best express ourselves, we need to know how to think clearly and systematically — meaning practice critical thinking! Critical thinking also means knowing how to break down texts, and in turn, improve our ability to comprehend. 4. Promotes Creativity.

  22. Critical Thinking: Key to Creative Business Strategy

    Divergent thinking is a component of creativity that is fueled by critical thinking skills. It involves generating many different ideas in a spontaneous, free-flowing manner, which is essential ...

  23. Critical Thinking: A Simple Guide and Why It's Important

    Critical Thinking: A Simple Guide and Why It's Important was originally published on Ivy Exec. Strong critical thinking skills are crucial for career success, regardless of educational background. It embodies the ability to engage in astute and effective decision-making, lending invaluable dimensions to professional growth.

  24. The Role of Critical Thinking in STEAM

    This is why teaching critical thinking skills is so important in this field. By exploring real-world examples of how professionals use their critical thinking skills in space exploration, students can better understand the important role these skills play in unraveling the mysteries of the universe.

  25. Critical Thinking & Why It's So Important

    Critical thinking is a fundamental skill that allows individuals to analyze, evaluate, and interpret information objectively and rationally. It goes beyond merely accepting information at face value; instead, critical thinkers are equipped to delve deeper, question assumptions, and explore various perspectives before arriving at well-informed ...

  26. Big Data: Latest Articles, News & Trends

    Apache Spark and Hadoop, Microsoft Power BI, Jupyter Notebook and Alteryx are among the top data science tools for finding business insights. Compare their features, pros and cons. Europe's AI ...