5 Steps To Manage Your Conflict Of Interest Scenarios
The decision making process is complex and personal bias and perceptions can never be completely removed from decisions made by people.
People use information at their disposal to make judgements and decisions. It is difficult to keep our personal biases out of decision-making because our preferences are skewed towards our own gain.
1) Take steps to be aware of your personal bias in important decision-making situations.
Consider how you are balancing your personal gain (including the gain of a person in a relationship with you) against the needs, risks and benefits of your business.
2) Talk to others involved in and close to a situation and ask for their perception of the potential conflict of interests.
Listen to their viewpoint and take it into consideration during your decision making process
3) Disclose potential conflicts of interest to those with an interest in the process and outcome.
This can also help them understand, consider and address the biases in the situation
4) Identify and consciously weigh competing gains and costs at various stages of the decision making process.
5) Educate others involved in your business on potential conflicts of interest and include up-front conversations that address hidden bias and call out potential conflict of interest
You do not need to take yourself out of a conversation where a conflict of interest occurs or defer judgement.
Conflict of interest will almost always be present. The bottom line is that the more able you are to own your potential and real conflict of interests the better able you are to target outcomes that meet your goal for balanced planning and decision making.