As a product manager, you make a ton of decisions every day, things like what to prioritize, how to design the product, and how to handle bugs. The way you make these decisions can result either in an extremely well-functioning team dynamic or... quite the opposite.

When things are going well, everyone on the team feels like their ideas are valued, no matter where they come from. They know they'll be heard, they understand the decision-making process, and they trust that even if a mistake is made, it can be fixed. Even if they don't always agree with the outcome, they believe in the team's ability to usually make the right call and tackle any challenge.

But when the decision-making process is off, it can lead to doubts and frustration. The team might think decisions are being made too quickly without all the facts, or they might feel like it's always the boss's opinion that wins- the "HIPPO" effect, the highest-paid person's opinion. This can deteriorate trust in the team's decision-making ability.

Interestingly, the difference between a well-functioning team and a dysfunctional one isn't usually about the specific decisions made, but rather about the process and culture around those decisions. Here are some best practices for creating a healthy decision-making culture:

Great products come from great teams, so the best ideas can come from anyone. Make it clear that your role is to gather and elevate the best ideas, not just come up with them yourself. When the team knows this, they'll be more motivated to share their thoughts.

After establishing your role, ensure everyone feels heard. This means being accessible and genuinely considering their ideas. Don't just shoot down suggestions you disagree with. Instead, try to understand their perspective and repeat their idea back to them in your own words to show you've understood.

When making a critical decision, keep the team in the loop about the process. If you're gathering recommendations, let them know and ask for their input. If you're waiting for more information, explain why that's necessary. Once a decision is made, clearly communicate what was decided, why it was decided, and move on to the next challenge.

Time is the enemy of decision-making. Decisions made today move the product forward, while delays slow down progress and create uncertainty. Unless there's a good reason to wait for more information, it's usually better to make the call now.

Sometimes you'll need to revisit a decision because new information has come to light. It's important to have a process for this. I like to ask, "What new information do we have that makes us reconsider our earlier decision?" This helps ensure that we're not constantly flip-flopping but are still flexible when necessary.