How to De-Risk The Bold Decisions in Life
When faced with any big decision in my career and life, I ask myself 4 questions to help me manage the anxieties associated with inflection points in life.
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Processing risk at the beginning of the journey, as opposed to contemplating it in the midst of the process has been the single greatest unlock in my career as I’ve navigated many bold and risky decisions.
I’ve developed an approach that allows me to move forward fearlessly once I have put myself through a 4-step risk matrix, which I go into deeper in Burn the Boats. The goal of this exercise is to help people confront their fears, assess risks, develop strategies to mitigate those risks, and truly understand their “why”.
Considering risk at the beginning of the journey is a crucial part of this process. For most of us, we start to conjure backup plans when we are in the midst of the trials and tribulations of pursuing hard things.
We are at our most vulnerable in the valleys of the journey. By contemplating risk before we embark, we remove even the opportunity to consider retreat in trying times.
Rather than have a reactive approach to risk, I choose to be proactive and start asking the tough questions before I’ve taken the first step. It all starts with embracing your inner catastrophizer.
Identify Rock Bottom: “What’s the worst that can happen?”
The first step involves asking oneself, ""What's the worst-case scenario that could happen if I fail at pursuing my true purpose?" This step is about confronting fears and potential setbacks head-on. Usually, that answer is reputational. We fear our friends and family will forsake us and we’ll be left with nothing. Once you’ve said these fears out loud, we realize how unlikely or silly some of these insecurities are.
Develop a Mitigation Strategy: “What would I do if the worst thing did occur?”
This is not to be confused with creating a Plan B. A mitigation strategy is baked into a well-crafted Plan A. The key is to be as vague as possible when creating a mitigation plan. It’s baked into our factory settings what soul-sucking job we would take if our Plan A didn’t work out. But, we don’t need to give it much oxygen to consider. We know deep down we could get a job somewhere or figure something out, if all else failed. The trouble comes when you start giving this mitigation plan too many specifics. Once you start visualizing the backup plan as a possibility, it takes attention and focus away from Plan A.
Assess Probability of Disaster: “How likely is this worst-case scenario?”
The third step is to ask yourself what the probability is that the worst case scenario actually does materialize? When you’re forced to assign a weighted likelihood to an outcome, we find that it’s highly unlikely. Our inner catastrophizer convinces us that it’s a 50/50 chance of runaway success or ultimate ruin, when in reality, the odds are more often skewed in our favor.
Determine your Commitment: “What would I not be willing to give up for this?
For me, the answer to this question is simple: I’d walk on coals.
Every major accomplishment in my life, whether it’s appearing as a shark on Shark Tank or teaching at Harvard Business School - I assessed that I would sacrifice everything to achieve these goals. At the end of this risk matrix, you must be honest with yourself and determine what you are willing to sacrifice to achieve your goals. For some, this is a moment of self-reflection where they realize they’re not able to burn the boats and go all in. They might have a job they’re unwilling to lose, or some luxury they cannot yet part with. But once you set the intention that you are all in and willing to give it everything you have, the universe rewards your commitment with achievements beyond your wildest imagination.
LIGHTING THE MATCH
Each week, I’ll be sharing some of the amazing messages I’ve received from fellow Boat Burners who have decided to stop hesitating and go all in on their life’s true purpose. To be featured on Lighting the Match, DM me on Instagram or LinkedIn!
Matt's take on mindset and action were just the right combination of reminders and new insights for this 40 year veteran sailor on the ship who has more seas to conquer. I found now the perfect time to burn my last boat.
I just could not seem to get my last foot off of the dock to row to a new shore, when the stakes of my good life are higher-than-ever. And so too, what I envision next is more meaningful. I'm in year 7 of my six-month plan, and concur that I've done all necessary prep possible before I embark. I've already recommended this book to the peers who share my commitment to a long life creating - we who don't expect a retirement in our horizon. Death as exit strategy while still making what matters.
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"I’d walk on coals" - When I've operated like this it's the happiness I've been in my life.