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Why Critical Thinking Matters in Your Business

Critical thinking should become a second-nature skill for leaders and employees across your organization.

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

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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Critical Thinking Definition, Skills, and Examples

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Critical thinking refers to the ability to analyze information objectively and make a reasoned judgment. It involves the evaluation of sources, such as data, facts, observable phenomena, and research findings.

Good critical thinkers can draw reasonable conclusions from a set of information, and discriminate between useful and less useful details to solve problems or make decisions. These skills are especially helpful at school and in the workplace, where employers prioritize the ability to think critically. Find out why and see how you can demonstrate that you have this ability.

Examples of Critical Thinking

The circumstances that demand critical thinking vary from industry to industry. Some examples include:

• A triage nurse analyzes the cases at hand and decides the order by which the patients should be treated.
• A plumber evaluates the materials that would best suit a particular job.
• An attorney reviews the evidence and devises a strategy to win a case or to decide whether to settle out of court.
• A manager analyzes customer feedback forms and uses this information to develop a customer service training session for employees.

Why Do Employers Value Critical Thinking Skills?

Employers want job candidates who can evaluate a situation using logical thought and offer the best solution.

Someone with critical thinking skills can be trusted to make decisions independently, and will not need constant handholding.

Hiring a critical thinker means that micromanaging won't be required. Critical thinking abilities are among the most sought-after skills in almost every industry and workplace. You can demonstrate critical thinking by using related keywords in your resume and cover letter and during your interview.

How to Demonstrate Critical Thinking in a Job Search

If critical thinking is a key phrase in the job listings you are applying for, be sure to emphasize your critical thinking skills throughout your job search.

Add Keywords to Your Resume

You can use critical thinking keywords (analytical, problem solving, creativity, etc.) in your resume. When describing your work history, include top critical thinking skills that accurately describe you. You can also include them in your resume summary, if you have one.

For example, your summary might read, “Marketing Associate with five years of experience in project management. Skilled in conducting thorough market research and competitor analysis to assess market trends and client needs, and to develop appropriate acquisition tactics.”

Mention Skills in Your Cover Letter

Include these critical thinking skills in your cover letter. In the body of your letter, mention one or two of these skills, and give specific examples of times when you have demonstrated them at work. Think about times when you had to analyze or evaluate materials to solve a problem.

Show the Interviewer Your Skills

You can use these skill words in an interview. Discuss a time when you were faced with a particular problem or challenge at work and explain how you applied critical thinking to solve it.

Some interviewers will give you a hypothetical scenario or problem, and ask you to use critical thinking skills to solve it. In this case, explain your thought process thoroughly to the interviewer. He or she is typically more focused on how you arrive at your solution rather than the solution itself. The interviewer wants to see you analyze and evaluate (key parts of critical thinking) the given scenario or problem.

Of course, each job will require different skills and experiences, so make sure you read the job description carefully and focus on the skills listed by the employer.

Top Critical Thinking Skills

Keep these in-demand skills in mind as you refine your critical thinking practice —whether for work or school.

Part of critical thinking is the ability to carefully examine something, whether it is a problem, a set of data, or a text. People with analytical skills can examine information, understand what it means, and properly explain to others the implications of that information.

• Asking Thoughtful Questions
• Data Analysis
• Interpretation
• Questioning Evidence
• Recognizing Patterns

Communication

Often, you will need to share your conclusions with your employers or with a group of classmates or colleagues. You need to be able to communicate with others to share your ideas effectively. You might also need to engage in critical thinking in a group. In this case, you will need to work with others and communicate effectively to figure out solutions to complex problems.

• Active Listening
• Collaboration
• Explanation
• Interpersonal
• Presentation
• Verbal Communication
• Written Communication

Critical thinking often involves creativity and innovation. You might need to spot patterns in the information you are looking at or come up with a solution that no one else has thought of before. All of this involves a creative eye that can take a different approach from all other approaches.

• Flexibility
• Conceptualization
• Imagination
• Drawing Connections
• Synthesizing

Open-Mindedness

To think critically, you need to be able to put aside any assumptions or judgments and merely analyze the information you receive. You need to be objective, evaluating ideas without bias.

• Objectivity
• Observation

Problem-Solving

Problem-solving is another critical thinking skill that involves analyzing a problem, generating and implementing a solution, and assessing the success of the plan. Employers don’t simply want employees who can think about information critically. They also need to be able to come up with practical solutions.

• Attention to Detail
• Clarification
• Decision Making
• Groundedness
• Identifying Patterns

More Critical Thinking Skills

• Inductive Reasoning
• Deductive Reasoning
• Noticing Outliers
• Adaptability
• Emotional Intelligence
• Brainstorming
• Optimization
• Restructuring
• Integration
• Strategic Planning
• Project Management
• Ongoing Improvement
• Causal Relationships
• Case Analysis
• Diagnostics
• SWOT Analysis
• Business Intelligence
• Quantitative Data Management
• Qualitative Data Management
• Risk Management
• Scientific Method
• Consumer Behavior

Key Takeaways

• Demonstrate you have critical thinking skills by adding relevant keywords to your resume.
• Mention pertinent critical thinking skills in your cover letter, too, and include an example of a time when you demonstrated them at work.
• Finally, highlight critical thinking skills during your interview. For instance, you might discuss a time when you were faced with a challenge at work and explain how you applied critical thinking skills to solve it.

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What Critical Thinking Is—And 7 Ways to Improve Yours

Making a hire. Debugging a website glitch. Deciding how to tell your boss they have a stain on their shirt.

All of these tasks, and more, require critical thinking skills. And whether you think you have them or not, they’re critical (see what we did there?) for your career—here’s why.

What is critical thinking and why is it so important?

Critical thinking “requires us to give a second thought to our own interpretations” as we’re making a decision or trying to understand a given situation, Constance Dierickx , a clinical psychologist and decision-making coach for CEOs and executives, told The Muse.

There are three steps to critical thinking, according to Lily Drabkin, a graduate student specializing in organizational psychology who facilitates a class called “Developing Critical Thinkers” at Columbia University:

• Becoming aware of our assumptions : This is the process of tuning into what we’re believing or thinking, otherwise known as metacognition.
• Researching our assumptions: This is the process of checking our assumptions using a wide range of sources. “Generally, it can be helpful to involve other people who can help us see ourselves in our actions from unfamiliar perspectives,” Drabkin said.
• Testing our analysis: This step involves putting our research into action to see if it’s accurate, as well as being open to our initial assumptions being wrong and ready to change our perspective.

Critical thinking is beneficial for building relationships, starting or pivoting your career, or even just doing your everyday job. It’s also a highly-sought-after skill in job seekers. “You want someone who has good critical thinking skills because they're not going to be an attention sponge,” Muse career coach Yolanda Owens said. “They're going to be able to figure things out and…be more resourceful.”

Here are two other ways it’s helpful to be good at critical thinking:

Critical thinking leads to better decision-making

Owens pointed out that good critical thinkers always seek to understand the “why.” “When they can do that, they're better problem solvers,” she said. “It really helps people analyze situations and viewpoints.”

Critical thinking can also prevent you from having knee-jerk reactions that backfire in the long run, Dierickx said. “Decisions based on critical thinking are more likely to be ones that we feel confident about,” Drabkin added.

Critical thinking makes you look smart

Dierickx said when we use critical thinking, we have more proof to back up our statements or decisions, making it easier to influence and earn the respect of others.

“You build up a reputation as somebody who's a reliable thinker,” Dierickx said. “It makes you stand out because in most organizations, a lot of people say the same things.”

7 ways to improve your critical thinking skills

The following habits are worth incorporating into your daily routine—that is, if you want to impress your colleagues and avoid falling into a spiral of poor choices.

1. Ask questions

Good critical thinkers, Owens said, aren’t afraid to ask others when they’re unsure about something. This allows them to have as much information in front of them as possible before making a decision. It also ensures they’re never so confident in their assumptions that they ignore better options.

2. Practice reflection

Dierickx advised baking time for reflection into your day, particularly after an emotional situation is resolved or a big project is completed. Consider:

• What was the context?
• What was I thinking and feeling in the moment?
• What were other people thinking and feeling in the moment?
• What could I have done differently knowing what I know now?

It can be helpful, too, to loop in someone you trust or admire for feedback on how you handled it and what they would have done differently.

3. Be open to change

Owens and Dierickx agreed that people who are open minded have more success when it comes to critical thinking. “My biggest pet peeve is when people say, ‘Well, we've always done it that way.’ Don't become that person,” Owens said. “There's always an alternate way to do something, and understanding that your way is not always the only way or the right way to do something.”

Dierickx advised being “willing to let go of what you believed was true yesterday in the face of new evidence.”

“We need to be certain and uncertain,” she added. “You can't be so certain that you never question. That's not critical thinking. That's blind ignorance.”

4. Build a diverse network

You’ll never learn to think critically if you’re only faced with perspectives that mimic your own. So make the effort to surround yourself with people of different backgrounds, expertise, interests, and viewpoints and actively seek out their advice, feedback, and ideas on a regular basis.

“Learning from peers is one of the most important ways that adults learn something, which is great actually for critical thinking, because critical thinking skills are often learned in conversation,” Drabkin said.

“Even if there might be somebody whose views you disagree with, it's still helpful to hear them out,” she added.

5. Get good at active listening

When you’ve developed a diverse network of friends, colleagues, and mentors, it’s important that you’re really engaged with what they’re saying to you so you can leverage those insights for your own critical thinking.

Here’s our guide to becoming an active listener , or someone who listens with intent and strategy (and most definitely doesn’t scroll on their phone while chatting with others).

6. Read and study widely

Just as it’s important to interact with different types of people to get better at critical thinking, Dierickx said, it’s also important to take in new information outside your profession or area of expertise.

She suggested setting aside time in your schedule to read scholarly articles or books on topics you’re not as familiar with or even ideas you disagree with.

Similarly, she said, it can be helpful to take on new hobbies or study up on activities that are unfamiliar.

7. Take on stretch assignments

Critical thinking can come into play when you put yourself outside your comfort zone, and there’s no better way to do that than to tackle something new and different in your job.

That isn’t to say that you should raise your hand to lead an important project without understanding what it requires or flagging to your boss where your knowledge gaps are. But you should be open to being the dumbest person in the room or having your skill set and confidence questioned by other people and new ideas.

How to show off your critical thinking skills in the job search

Employers value critical thinkers because they’re often autonomous, innovative, and enjoyable to work with, so it’s key to incorporate examples of your critical thinking in action at several points in your job search process.

In a resume or cover letter

Job search wisdom states your resume bullets and cover letter should focus on your accomplishments instead of your duties. Owens added this is a great way to imply you’re a good critical thinker on paper.

She suggested including not just ways that you moved the needle or added value but “how you made those types of decisions, or what it was that influenced you to do things the way that you've done them.”

In a job interview

Critical thinking skills are frequently assessed by employers through behavioral questions , skills tests, and case studies. Owens said when approaching any job assessment, think out loud—“not just necessarily telling them your answer, but helping them understand how you got to the answer.”

And don’t be afraid to ask follow-up questions before providing a response. “Ask for some context as to why they're asking you that question so you can understand the type of example you need to give them in order to frame your answers,” Owens said. “And that's all part of critical thinking—knowing what questions to ask or knowing that you have to ask a question in order to be able to come up with a solution.”

Drabkin noted that part of critical thinking is seeing beyond what’s in front of you. In an interview, this could mean looking for and pointing out gaps in a job or team where you could be a unique asset. “Finding that and demonstrating that will show your interviewer and show the company that you have these critical thinking skills because you're able to analyze the role in a way that maybe they haven't,” she said.

Critical thinking

Episode 154: How to think well and reflect objectively on the ideas, opinions and arguments of others.

Critical thinking is a key skill for HR and all people professionals – it's the ability to think well and to reflect objectively on the ideas, opinions and arguments of others. It can help us solve complex problems and make better decisions, bringing clarity to confusion and increasing our potential to succeed when others look to us and our teams for answers that work.

Listen to Warren Howlett and Tim Coburn discussing why critical thinking is important, and how you can learn to reason well.

Duration: 00:21:35

Philippa Lamb: In May we recorded a podcast about evidence-based decision making and how to recognise and understand all those factors that play into the choices and decisions we make at work every day. One of the central skills you need to do that is critical thinking and today we’re going to dig into what it is and how you can learn to reason well and independently.

Warren Howlett has been looking into this for the CIPD and here he is explaining why he thinks critical thinking is a key skill for HR.

Warren Howlett: Critical thinking is the ability to think well and to critically reflect on the ideas, opinions and arguments of others. There are three key parts to critical thinking for people professionals. The first of those is critiquing the ideas, opinions and arguments of others. The second of those is how they construct arguments and opinions themselves that they are communicating to others. And the third piece is to identify when others are using critical thinking techniques that impact how that people professional is making a case or building an argument making a business case.

And a really good example of that I think is, as a people professional, if we just think back, was there a time when you were in a meeting where you've done a lot of prep work, you've done your homework for a sound case for a people practice or an investment and you've gone into the room having already spoken to stakeholders beforehand, you've done all of that work, and yet when you’re in the room somehow the business case didn’t land and a lot of the conversation was spent talking about something else that was unrelated or perhaps that was someone in the room using their critical thinking skills to appeal to history, perhaps they were talking about something that didn’t work in the past, that may even be unrelated. Perhaps it’s a red herring and actually they're talking about things that are completely unrelated to the case that you’re making that actually distract the conversation in the moment.

And it’s really important for people professionals to be able to identify when this would be happening in the room. After the meeting is far too late. We actually get a relatively small number of opportunities where we are in those types of situations, perhaps with the executive team that may only meet once a month, to actually make a case. So it’s really important that people professionals are on a level playing field with many of the line leaders who will have gone on leadership development programmes, perhaps they’ve had legal training, and lawyers tend to be particularly good at aspects of critical thinking. And so it’s really about people professionals actually being on a level playing field with those in the room, being able to reflect critically on the ideas, arguments and opinions of others to be able to make good, sound, logical cases themselves, and to identify when in the room somebody may be actually using critical thinking technique or perhaps we would call them common errors, common errors in critical thinking, to distract from the conversation that's being had in the room.

PL: And if people listening to this and thinking yeah that's landing with me, I see exactly what he's talking about, how do they develop that critical thinking ability?

WH: So I think there are some quick wins and some longer term development pieces. I think that constructing logical, sound arguments, takes some coaching and some practice. So it takes a bit of time to do. I think that identifying common errors is something that can be done quite quickly. Some of those are very obvious. So for example, personal attack. If you’re under personal attack in a meeting where someone is questioning your credibility and whether you should actually be in the room, that's fairly obvious. But things like, as I mentioned, appeals to history, red herrings, whether someone is being selective in using evidence, these are all common errors of which there are 30 or so. And actually just being aware of what those common errors are, could be incredibly powerful for you as a people professional when you are going into conversations and looking for investments, helping to make decisions.

PL: It’s subtle isn't it? It’s about learning to listen really carefully?

WH: Absolutely. And I think identifying what you want to do as a response. I think that's actually probably the trickiest thing once you start to get the hang of it because you need to be able to really call out when this is actually happening in a room but without necessarily assuming someone’s intent. So it could very well be the case that someone has the intent to derail the conversation, to stop or delay a decision around an investment or a case that you were trying to make, or to even manipulate the room, that's all possible. But it could also be very well that they just happen to be very good at critical thinking, they’ve perhaps had some training or development in the past and it’s part of their DNA, it’s part of their systems one thinking, they do it automatically and subconsciously without thinking.

PL: It sits side by side, does it, with? We talked about evidence-based decision making in a recent podcast, it’s in the same arena isn't it?

WH: Absolutely, yes. That's a very good point. So the critical thinking aspect of our New Profession Map on which it is a focus area, is part of the analytics and creating value section in our core knowledge, and much of the evidence-based practice work also sits in that area and evidence-based practice is about asking good questions and that is a key aspect of critical thinking.

PL: Tim Coburn has over 20 years’ experience with the BBC, Motorola and Rolls Royce where he was Global Head of Talent and Global Head of L&D. That is where his interest in critical thinking began and now he's working with the CIPD to develop a course for members. So Tim thanks for joining us and I should say at this point we’re recording this podcast in CIPD's offices in Victoria in Central London and it is a particularly noisy day here today so you can hear a bit of noises off but I think we’ll crack on anyway. Tim shall we start with critical thinking - what is it? How would you define it?

Tim Coburn: Critical thinking is the ability to think well, to think clearly, to take into account a number of diverse considerations and to reach conclusions which engage and take other people with you. It has a particular relevance in today’s world particularly because lots of the problems that we encounter are actually familiar to us and we can deal with those with our intuition. But there are some problems, perhaps more so these days, that require a bit more thought. They’re more complex, they’re unfamiliar and they need new ways of thinking.

PL: What sort of things are you talking about?

TC: The most obvious example is digital transformation, the rise of artificial intelligence and machine learning, has actually displaced human capacity. A lot of our basic thinking can be done for us. This means that human beings actually are able, they have the capacity, to move to, if you like, a more intellectual higher ground where they can do some thinking that's required to address the more complex, perhaps value-based, concerns that we have in the world. And critical thinking I think has a particular part to play in helping us address those more complex issues.

PL: That's interesting. So yes the more demanding decision making, the more collaborative decision making? Because there's more of that now as well isn't there?

TC: Well there is and actually the history of critical thinking has tended to lead us to think that it’s associated with individual ability, individual excellence. It’s deeply embedded in the world of philosophy and in academia and in our educational system and we develop it as an, if you like, underpinning, transferable skill in our educational lives. But actually in today’s world we now know that collective intelligence outperforms individual intelligence or IQ, particularly in problem solving issues. So what we are starting to find is that actually the problems that we encounter in today’s world are better addressed in groups using collaborative and conversational intelligence more so than leaving it up to the expert to come up with the answer.

PL: That's interesting. So obviously that's going to be most people’s experience of work now, as you say lots of people in a room trying to solve something. I know that you've been interested in this for a long time, where did it start for you?

TC: Well actually it started during my corporate career when I was Head of Learning at Rolls Royce and one of our HR directors, the most senior HR director in the company at the time, came to me and said, ‘We deal, as an HR community with highly intelligent, some of the world’s best engineers working on some of the world’s leading aerospace technologies and sometimes, as HR business partners and directors and advisers, we need to get stuck into conversations with people who can be quite intimidating because of their intellectual ability. So for us as an HR community we need a way to engage in strategic conversations with our internal business partners. Can you come up with something that would help us? We think it might be in the area of critical thinking.’ I hadn’t heard that request before.

PL: Fascinating yeah.

TC: And this was around about 2006, 2007, so long before the contemporary interest in critical thinking has come to light. Anyway, so the request was from HR for some assistance to help them in collaboration with their business leaders and I came up with a way of helping them develop that ability.

PL: And what was that?

TC: It was a one-day workshop in critical thinking skills. And for me as a learning designer by background, I did my own subject matter research into what critical thinking is, translated it into an experiential learning workshop and the senior HR business partners, HR directors, took part in a workshop which equipped them with the skills that they wanted to be able to use in conversation with their clients.

PL: That will be a familiar conundrum to a lot of people working in a lot of different sectors, this idea that you have to engage on a serious level with people who do work, you don't actually understand.

TC: Exactly.

PL: And don't really need to understand.

PL: But you still need to engage with them to get things done. So how did that go down?

TC: It went down very well. The feedback was extremely positive and to just build on your observation that it equips people to engage with experts when we don't have subject matter knowledge ourselves, but it helps us in two ways. It helps us both engage but it also helps us to facilitate their thinking. So one of the roles that HR is often drawn into is the facilitation of meetings, particularly when there are difficult complex or strategic issues to address and HR is often turned to as can you facilitate the meeting? And on the one hand you could do that by standing with a flipchart and using the pen and saying, ‘What do you want me to write down?’

But we can be a lot more proactive than that and most HR practitioners are. And what we often do is come up with a structured process which helps the business leaders themselves do their thinking in a more robust, structured way and critical thinking adds value to that. So for example, just to go into critical thinking a little bit, it gives us broadly three things in my view. First of all it gives us a set of standards or principles, a set of quality criteria, by which we can judge both our thinking and the output of our thinking, the proposals, solutions or ideas that come from it. The second thing it gives us are a set of what are known as common errors. It sounds a little bit like jargon but actually these common errors have been around for many, many years and you'll probably find resources on the internet where there are up to 300 common errors.

PL: What sort of things?

TC: Well things like, the most simple of which would be what is known as hasty generalisation, which we all know as ‘umping to conclusions’ And we all have a tendency, based on prior experience or prior observation, that we think we know what to do in a certain situation, or what the answer should be.

PL: You reach for the familiar?

TC: Yeah and so we go for that and sometimes without questioning the assumptions or beliefs or inferences that are being made at the same time. So hasty generalisation is an example of a common error. So a more complex one would be one that's known as necessary and sufficient conditions. So we might be attending to an argument or a debate, development of a proposal, in which we start to think we’ve got a good solution that seems like one we could implement and would work, but actually it might only be fulfilling some but not all of the necessary conditions for it to succeed. And so if we went ahead with that we would be committing the error of necessary but not sufficient conditions.

Another example would be, and these will sound much more familiar especially in the world of work, they’re known as the appeals generally as a category, and one that's often used in the world of work is appeal to history, which we would automatically recognise as oh that must mean something like we’ve always done it this way so that's how we should do it now. And we’ll have heard a lot of that in organisations. Another is appeal to popularity. So consensus is right, right? okay? Well actually sometimes, no it isn't, because the people contributing to the consensus of opinion may not have access to all the knowledge that we should be bringing to bear to a particular situation.

The immediate question now becomes if your curiosity is enlightened by this you’d be saying, ‘So what would it do for me to know about these common errors?’ So what it would do is give you a set of lenses or ways of listening in to important business conversations. And being able to notice and pick out errors that are being made in the quality of conversation that was taking place. And it would equip you to ask questions that would bring to light the error and lead to a solution.

PL: And the third point?

TC: Yeah the third point is, once we’re aware of the common errors and the principles or standards by which we judge the quality of our thinking, is the ability to hold conversations and be persuasive in discussion with colleagues. It’s all very well having very good individual, independent thinking, but unless you’re able to engage and persuade and take other people with you then your individual idea isn't going to add much value in a corporate setting. So corporate organisations, by definition, are collaborative. We get things done by working together. So if anybody has a good idea and want to persuade others critical thinking actually gives you the armoury of persuasion and one of the huge advantages to HR is that it actually reinforces the role and contribution that HR can make to the business agenda.

PL: So going back to Rolls Royce where you first started playing with this concept, you came up with this course and people went on the course, presumably your HR partners were delighted with it. What about the people on the other side of the table? What about the expert people within the organisation? Did they see a difference in the quality of interactions?

TC: Well of course this is the golden ticket question, and I want to say ‘Yes of course!’ but actually as we all know in the domain of behavioural change, it takes time.

PL: Did they resist it?

TC: Not at all. I think, and the feedback from colleagues was that they slowly experimented with asking a different set of questions or making a different set of suggestions in the discussions that they were taking part in and they felt more confident about being able to add value. They felt more competent in having a new skill, a different skill, and in fact some of the feedback that came after a few weeks and months was, you know what people are starting to say, ‘Where did you get the ability to ask those questions from?’

PL: That's pleasing.

TC: So that was the kind of indicative feedback that in the world of learning and development we often treat with a bit more respect than the tick sheet at the end of the workshop, or indeed personal testimony. What we like is testimony from customers or colleagues who've engaged and noticed a change in behaviour. And that was the evidence that made me think, when I was working at Rolls Royce, that this actually was having an impact that really added value, particularly to HR people.

PL: So that worked really well. Presumably you’ve put that into play in other organisations now?

TC: Yes, so since that time I started to work as an independent consultant around about five years ago, and there are two or three areas of interest that I have pursued. And one of which is working with executive teams in which I'm often asked to design and facilitate meetings that will help senior leaders make strategic decisions and at the same time learn how to be better as a high performing team. And one of the methods or tools that I've introduced into that setting is critical thinking. So for example I was working with a financial services organisation and particularly with their IT leadership team and they were looking to introduce new technologies in their journey towards digital transformation. So the agenda for the two days was mostly about project planning and implementation but they had asked me to introduce new skills that they might also use to better effect, and critical thinking was one of those so I integrated the development of these new skills with the challenges that they were addressing. And to me this is the perfect way of enabling people to learn a new behaviour if you attach it to a real issue that they believe is absolutely relevant, top of their agenda.

PL: So they’re properly engaged with it.

TC: And then equip them with skills they can use to address that challenge more effectively proves to be very, very compelling for participants. The kind of things I included in that were an introduction to the critical thinking standards or principles by which a good argument or a good proposal can be developed: an awareness of the common errors that can often be made and how to spot them and how to ask questions that challenge them. And the third dimension is to have conversations as a team using the principles of collective intelligence.

Now I should say here, because the astute listener will be thinking how is collective intelligence part of critical thinking? Well, we all know that critical thinking began about 3,000 years ago with Socrates and the research into collective intelligence wasn’t done at that time. But if we are going to teach or provide critical thinking in today’s world, then we need to take account of the innovations in the way human beings think that have also happened in more recent years. And emotional intelligence, we wouldn’t think in today’s world of tackling a problem without being empathetic or compassionate or caring or being ethical. Our attunement to these principles comes from the great work in the domain of emotional intelligence. And we can attach that to critical thinking. In the same way we can attach the recent research into collective intelligence into critical thinking for today’s world.

PL: So it’s becoming more complicated.

TC: Well I think it is and I think the high ground, if I can call it that, for human beings is to accept that our behaviour is being disrupted by technology. In other words we don't need to do some of the things that technology can now do for us. It’s taken away our need to do routine thinking but actually gives us capacity to do more complex, innovative thinking. And I think critical thinking is one of the key skills that HR practitioners and business leaders could equally be able to use in this area.

PL: And here’s Warren on how the CIPD can help you to develop this vital skill.

WH: We have some free resources that will be available on our CIPD learning platform. So we’re building that in parallel to the New Profession Map. So there will be an area of CIPD learning for analytics and creating value, and part of that will be on critical thinking. So that will be available as a resource for free to all of our members. And we are also building a short course around critical thinking which I am doing with Tim Coburn. And we are looking to pilot that in Q4 of this year.

PL: Thanks to Tim and to Warren and while you wait for the new CIPD resources why not take a look at the Profession Map to see where critical thinking fits in. You'll find it on the CIPD site.

Now after presenting over 150 monthly podcasts for the CIPD, I'm going to hand over the series to a new presenter in January. So listen out for a new voice and insightful conversations in 2020. The team will be taking a well-earned break in December. In the meantime my name is Philippa Lamb and on behalf of the series producers Lucy Greenwell and Becky Jacobs, and me, thanks for listening.

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Critical Thinking Is About Asking Better Questions

• John Coleman

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.

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

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POWERING WORKPLACE PERFORMANCE

1 may, 2022, critical thinking and decision making in business.

What is critical thinking?

Critical thinking is the ability to reflect deeply, analyse and interpret information, and make considered decisions. It is the opposite of making snap decisions and following gut feelings. A critical thinker can synthesise information to problem-solve, collaborate, strategise, assess risk and deal with uncertain or ambiguous situations.

The Role of Critical Thinking in Business Decision Making

With new technologies and increased global interconnectedness, business has become more complex over the past few decades. Making sense of this world and making the right decisions involves a great deal of critical thinking. Making informed, rational decisions based on all available information rather than assumptions and feelings is important across all sectors and roles.

Why is critical thinking so important to business decision making?

Critical thinking and decision making in business is an essential element of success. This is evidenced by a recent DeakinCo.’s report The Business Return on Learning and Development , developed in partnership with Deloitte Access Economics, which found that critical thinking is one of the top five skills gaps in Australia.

Helps your team think beyond conventional ideas and bias

Rather than accepting how things ‘have always been’, critical thinkers question assumptions and look for new solutions. This also leads them to investigate their own biases so that they can actively challenge them and work to overcome them.

Fosters a culture of creativity and innovation

Critical thinking is closely tied to creativity. Both involve questioning assumptions and gaining new perspectives, and lead to innovative solutions. In an organisation where critical thinking is promoted, creativity and innovation become part of the culture.

Helps your business predict risks before they even happen

Another aspect of critical thinking is the ability to predict risk and come up with solutions and mitigation measures. Critical thinkers are able to infer possibilities based on the information given and make predictions about outcomes, which informs their risk assessment and strategy.

Helps your business solve complex problems with no clear solution

If there was always an obvious right answer to every problem, you probably wouldn’t need to worry about your team’s critical thinking skills as much. However, most of the issues businesses encounter are complex and need a critical thinker to tease apart. 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 critical thinking and problem solving in the workplace.

Reflecting on the outcome of a recent project

Thinking critically about outcomes, why they occurred, what can be improved, and identifying the most important lessons learned are an essential aspect of good project management.

Analysing how to improve a process

Following on from that, this kind of analytical thinking and ability to reflect can also be applied to more general processes. Improving processes also involves innovation and creativity, two central elements of critical thinking.

Prioritising tasks under time and resource constraints

Knowing what’s most important and what needs to be done now rather than later is vital for every employee. The more tasks arise, the more complex this process becomes, and the more critical thinking is required to make the right choices.

Making decisions about employees

When hiring new talents, deciding who to promote, and how to manage a team, it is vital that leaders and HR professionals are able to objectively judge a situation, question their own biases and make rational decisions. This is one of the many reasons why critical thinking in management is a need, not a want.

Launching a completely new strategy

Risk assessment, predicting outcomes, establishing priorities, evaluating the alternatives to the solutions proposed, and anticipating problems are all part of designing a new strategy.

How to encourage critical thinking in your business

While it is a soft skill that can sometimes be hard to grasp, critical thinking skills can be taught and fostered by creating conducive environments and engaging employees directly.

Implement brainstorming sessions

Brainstorming frees people up to express their ideas, increases creativity, and can help teach them to approach problems from all angles.

Give employees the freedom to discuss

Discussion fosters exchange, challenges assumptions and allows employees to recognise that their own perspective may be limited. While discussing, they will be practising their critical thinking skills.

Use data-driven decision making

Implementing data-driven decision making in your organisation invites your employees to take decisions more carefully, consider all the facts and become more data literate.

Review and reflect on performance and project outcomes

Have frequent, structured discussions about performance and project outcomes, where you encourage team members to share their own reflections. This fosters growth and increases your staff’s ability to think critically about their performance and decision making.

Invest in developing critical thinking skills

Like all other skills, critical thinking can be taught and improved. DeakinCo.’s soft skills courses focus on teaching critical thinking as well as many adjacent skills like problem solving, self management, and collaboration, taught by experts.

Learn how DeakinCo. helps business promote critical thinking.

Through our corporate training offers, we can tailor our programs to your organisation. From our soft skill courses to our technical skills training courses all the way to implementing your day-to-day employee training programs, there is a solution for every business. Promoting critical thinking in your organisation can be easy when you have expert support.

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Critical thinking models: definition, benefits, and skills

In the age of memes and misinformation, critical thinking is a must. It's a crucial skill to differentiate between what may be true or false and develop (and explain) reasons for your beliefs.

The hardest part of critical thinking is knowing when to do it. Most of the time, it's easier to accept things as fact rather than to dig deeper to reach a conscious conclusion. This happens for various reasons. The most common being the ease of following the crowd and the fact it would be rather cumbersome to think critically about every single thing in the world!

How then do we know what to think critically about? How do we get the right answers, and how do we know they're correct? This is where a critical thinking model comes in. In this article, we’ll share three critical thinking models, essential critical reasoning skills, and why improving your critical thinking process is a good idea.

What Is Critical Thinking?

"Critical thinking is reasonable and reflective thinking focused on deciding what to believe or do.” This is how renowned professor and author Robert Hugh Ennis defines it. Put another way, the definition of critical thinking is careful consideration and analysis of information to reach a rational conclusion or decision. We practice critical thinking to inform—and own—our beliefs and actions and ensure they truly align with our values and intentions.

That said, critical thinking is not our natural way of thinking . Most of us are never aware of our brain's metacognitive actions, conceptualizations, or synthesis. Instead, we rely on habits, patterns, and competencies from past experiences to understand and interact with the world. While this may save us time and effort, it doesn’t always provide the best results—and often results in fallacies.

What Are Critical Thinking Models?

A critical thinking model provides the structure for practicing this type of thinking. It helps us notice our own thinking biases and allows us to try viewing the world objectively all while providing guidelines for asking the right questions, reaching logical conclusions, and explaining how we did it.

3 Critical Thinking Models That Are Useful in Everyday Life

There are thousands of critical thinking models for almost any subject or discipline. Let’s take a look at three models of critical thinking we find useful in everyday life.

Proximate vs. Root Cause

The proximate vs. root cause critical thinking model encourages people to discover the primary cause of an event. A proximate cause is closest to the observed result or immediately responsible for it. In contrast, the root cause is the actual cause of the result. Both are causes of the event, but the root cause is the main cause, while the proximate cause is the immediate next cause.

This mental model forces you to look beyond obvious reasons to determine the core reason for impact. It helps with innovative problem-solving, so instead of relying on “Band-Aid solutions” or improving currently-existing solutions, you uncover the root of the matter and create something altogether new.

Example: You've gained a lot of weight since March 2021. Upon investigation, you may draw the following inferences:

• Proximate cause: You burn fewer calories than you consume (moving less and eating more due to boredom or food accessibility), thus the weight gain.
• Root cause: Your habits changed because of the lifestyle change from working at the office to working from home.

When you know the root cause of an issue, you can begin to deal with it to reduce the odds of recurrence. In this case, change your habits to fit the work-from-home lifestyle better. The proximate vs. root cause model improves your critical thinking ability and helps formulate a proper understanding of issues before working on them.

Cognitive Bias

Cognitive bias is a tendency to think in ways that can lead to deviations from rationality and objectivity. We all have cognitive biases. This error in thinking happens because of our tendency to process and interpret information swiftly, which can affect our decision-making and the eventual outcome of a situation.

Example: A soccer player scores a goal. In his mind, that means he's a great player. But if he had missed, he would reason that it was because the grass was wet. In self-serving bias, the tendency is to claim more responsibility for successes than failures. In other words: if there's a success, it's because I did something right. If there's a failure, it's something else's fault, not mine.

When you only pay attention or engage with news sources, stories, and conversations that confirm your worldview, you limit yourself from other perspectives and opinions that may be good for you without realizing it. Being aware of your own cognitive bias allows you to create some distance between how you expect the world to be and become more open to how it actually is on any given day.

The human brain is a powerful machine, but it has its limitations. One of them is neglecting facts and evidence to make sense of the world quickly and easily. This habit of mind may allow us to make faster decisions, but it doesn't serve us optimally. When unchecked, cognitive biases hinder fair-mindedness, inclusion, and impartiality.

Hanlon's Razor

"Never attribute to malice that which is adequately explained by incompetence."

Hanlon's Razor promotes good thinking and teaches us not to assume the worst intentions about people's actions without investigation. It helps regulate our emotions and improve relationships and decision-making. It also helps us develop empathy by giving others the benefit of the doubt and not assuming negative intent with evidence.

Example: You get to work earlier than usual on a Monday morning and notice your things scattered around. This must mean someone used your office! You immediately think a certain coworker did this to annoy you. But when you pause and consider, you realize that a coworker may have used your office during the weekend because it was vacant and they forgot their keys at home.

The stories we tell ourselves about why things happen the way they do are rarely true. It's worth spending some time to objectively view situations and choose a positive narrative that leads to better outcomes in our mental and emotional health and relationships.

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Critical Thinking Skills and Their Benefits

Critical thinking skills are useful for everyone. They help us think coherently and make advancements with our personal and professional goals. Some of the benefits you can gain from critical thinking are:

• Greater reflective thinking and self-awareness
• Ability to audit new information
• Better interpersonal relationships
• More creative thinking and problem-solving skills
• Expanded open-mindedness
• Improved communication and presentation skills
• Freedom from past experiences and attachments

To gain these types of benefits, it’s important to practice the critical thinking skills listed below.

1. Observation

Observation is the foundation for critical thinking. It’s the ability to notice and predict opportunities, problems, and solutions. Taking the time to observe helps you process information better. Positive habits like meditating, journaling, and active listening will help you improve your observation skills.

2. Analysis

After observing, it's time to analyze the information. Analyzing helps you gain a clearer grasp of the situation at hand. Ask questions that help you get a clearer picture of the subject and get to the root cause or reason. For example, if you’re analyzing a controversial tweet you read, you may ask questions such as:

• Who wrote this?
• What is it about?
• When was it written?
• Why did they write it? Do they have a hidden agenda?
• How sound is the premise?
• What if this tweet was altered to send a misleading message?

These questions help you break your subject into rational bits and consider the relationship between each one and the whole.

3. Inference

Inference is the ability to draw conclusions from the information you've analyzed and other relevant data. It's a higher-level critical thinking skill that helps you reach careful decisions rather than hastily drawn (and likely biased) conclusions.

4. Communication

Once you have a solid foundation for your beliefs, communicating your theory is the next essential part of critical thinking. Share your point of view and get feedback from others to know if it holds up. You can improve your communication skills by participating in thematic forum discussions and sharing your research and insights with others in your community, both online and offline.

5. Problem-solving

Problem-solving is one of the main reasons for critical thinking. The end goal of critical thinking is using your new conclusion to close gaps and solve problems. You start by identifying your viewpoint, analyzing relevant information, and deciding on the right solution for a particular scenario. You can improve your problem-solving skills by self-learning the subject at hand and considering hidden, alternative outcomes.

Tap Into the Power of Critical Thinking

Becoming a critical thinker is challenging but oh-so worth it. It leads to continuous growth in all areas of your life: better relationships, confidence, and problem-solving skills. Critical thinking helps us overcome familiar patterns and ways of thinking, opening us to new perspectives.

To improve your critical thinking, spend time honing the five crucial critical thinking skills: observation, analysis, inference, communication, and problem-solving. Have fun with the process as you pay more attention to your beliefs and experiences and other people's perspectives and experiences as well.

You can use critical thinking models to guide your critical thinking journey, prompting you to realize when to pause and ask questions and when to accept the answers you have and move on. For example, in today’s age of misinformation, you may learn that it’s almost always counterproductive to engage with news and information from unknown sources.

Critical thinking is needed to remove scales from our eyes and improve our knowledge and experience of the world, but it’s also important to know when to turn our attention to focus on a new subject and move on.

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• What Is Critical Thinking? | Definition & Examples

What Is Critical Thinking? | Definition & Examples

Published on May 30, 2022 by Eoghan Ryan . Revised on May 31, 2023.

Critical thinking is the ability to effectively analyze information and form a judgment .

To think critically, you must be aware of your own biases and assumptions when encountering information, and apply consistent standards when evaluating sources .

Critical thinking skills help you to:

• Identify credible sources
• Evaluate and respond to arguments
• Assess alternative viewpoints
• Test hypotheses against relevant criteria

Table of contents

Why is critical thinking important, critical thinking examples, how to think critically, other interesting articles, frequently asked questions about critical thinking.

Critical thinking is important for making judgments about sources of information and forming your own arguments. It emphasizes a rational, objective, and self-aware approach that can help you to identify credible sources and strengthen your conclusions.

Critical thinking is important in all disciplines and throughout all stages of the research process . The types of evidence used in the sciences and in the humanities may differ, but critical thinking skills are relevant to both.

In academic writing , critical thinking can help you to determine whether a source:

• Is free from research bias
• Provides evidence to support its research findings
• Considers alternative viewpoints

Outside of academia, critical thinking goes hand in hand with information literacy to help you form opinions rationally and engage independently and critically with popular media.

Prevent plagiarism. Run a free check.

Critical thinking can help you to identify reliable sources of information that you can cite in your research paper . It can also guide your own research methods and inform your own arguments.

Outside of academia, critical thinking can help you to be aware of both your own and others’ biases and assumptions.

Academic examples

However, when you compare the findings of the study with other current research, you determine that the results seem improbable. You analyze the paper again, consulting the sources it cites.

You notice that the research was funded by the pharmaceutical company that created the treatment. Because of this, you view its results skeptically and determine that more independent research is necessary to confirm or refute them. Example: Poor critical thinking in an academic context You’re researching a paper on the impact wireless technology has had on developing countries that previously did not have large-scale communications infrastructure. You read an article that seems to confirm your hypothesis: the impact is mainly positive. Rather than evaluating the research methodology, you accept the findings uncritically.

Nonacademic examples

However, you decide to compare this review article with consumer reviews on a different site. You find that these reviews are not as positive. Some customers have had problems installing the alarm, and some have noted that it activates for no apparent reason.

You revisit the original review article. You notice that the words “sponsored content” appear in small print under the article title. Based on this, you conclude that the review is advertising and is therefore not an unbiased source. Example: Poor critical thinking in a nonacademic context You support a candidate in an upcoming election. You visit an online news site affiliated with their political party and read an article that criticizes their opponent. The article claims that the opponent is inexperienced in politics. You accept this without evidence, because it fits your preconceptions about the opponent.

There is no single way to think critically. How you engage with information will depend on the type of source you’re using and the information you need.

However, you can engage with sources in a systematic and critical way by asking certain questions when you encounter information. Like the CRAAP test , these questions focus on the currency , relevance , authority , accuracy , and purpose of a source of information.

When encountering information, ask:

• Who is the author? Are they an expert in their field?
• What do they say? Is their argument clear? Can you summarize it?
• When did they say this? Is the source current?
• Where is the information published? Is it an academic article? Is it peer-reviewed ?
• Why did the author publish it? What is their motivation?
• How do they make their argument? Is it backed up by evidence? Does it rely on opinion, speculation, or appeals to emotion ? Do they address alternative arguments?

Critical thinking also involves being aware of your own biases, not only those of others. When you make an argument or draw your own conclusions, you can ask similar questions about your own writing:

• Am I only considering evidence that supports my preconceptions?
• Is my argument expressed clearly and backed up with credible sources?
• Would I be convinced by this argument coming from someone else?

If you want to know more about ChatGPT, AI tools , citation , and plagiarism , make sure to check out some of our other articles with explanations and examples.

• ChatGPT vs human editor
• ChatGPT citations
• Is ChatGPT trustworthy?
• Using ChatGPT for your studies
• What is ChatGPT?
• Chicago style
• Paraphrasing

 Plagiarism

• Types of plagiarism
• Self-plagiarism
• Avoiding plagiarism
• Academic integrity
• Consequences of plagiarism
• Common knowledge

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Critical thinking refers to the ability to evaluate information and to be aware of biases or assumptions, including your own.

Like information literacy , it involves evaluating arguments, identifying and solving problems in an objective and systematic way, and clearly communicating your ideas.

Critical thinking skills include the ability to:

You can assess information and arguments critically by asking certain questions about the source. You can use the CRAAP test , focusing on the currency , relevance , authority , accuracy , and purpose of a source of information.

Ask questions such as:

• Who is the author? Are they an expert?
• How do they make their argument? Is it backed up by evidence?

A credible source should pass the CRAAP test  and follow these guidelines:

• The information should be up to date and current.
• The author and publication should be a trusted authority on the subject you are researching.
• The sources the author cited should be easy to find, clear, and unbiased.
• For a web source, the URL and layout should signify that it is trustworthy.

Information literacy refers to a broad range of skills, including the ability to find, evaluate, and use sources of information effectively.

Being information literate means that you:

• Know how to find credible sources
• Use relevant sources to inform your research
• Understand what constitutes plagiarism
• Know how to cite your sources correctly

Confirmation bias is the tendency to search, interpret, and recall information in a way that aligns with our pre-existing values, opinions, or beliefs. It refers to the ability to recollect information best when it amplifies what we already believe. Relatedly, we tend to forget information that contradicts our opinions.

Although selective recall is a component of confirmation bias, it should not be confused with recall bias.

On the other hand, recall bias refers to the differences in the ability between study participants to recall past events when self-reporting is used. This difference in accuracy or completeness of recollection is not related to beliefs or opinions. Rather, recall bias relates to other factors, such as the length of the recall period, age, and the characteristics of the disease under investigation.

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Defining Critical Thinking

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Critical thinking: definition and how to improve its skills

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Critical thinking is based on the observation and analysis of facts and evidences to return rational, skeptical and unbiased judgments.   

This type of thinking involves a series of skills that can be created but also improved, as we will see throughout this article in which we will begin by defining the concept and end with tips to build and improve the skills related to critical thinking.

What is critical thinking?

Critical thinking is a discipline based on the ability of people to observe, elucidate and analyze information, facts and evidences in order to judge or decide if it is right or wrong.

It goes beyond mere curiosity, simple knowledge or analysis of any kind of fact or information.

People who develop this type of outlook are able to logically connect ideas and defend them with weighty opinions that ultimately help them make better decisions.

How to build and improve critical thinking skills?

Building and improving critical thinking skills involves focusing on a number of abilities and capacities .

To begin the critical thinking process all ideas must be open and all options must be understood as much as possible.

Even the dumbest or craziest idea can end up being the gateway to the most intelligent and successful conclusion.

The problem with having an open mind is that it is the most difficult path and often involves a greater challenge and effort. It is well known that the easy thing to do is to go with the obvious and the commonly accepted but this has no place in critical thinking.

By contrast, it is helpful not to make hasty decisions and to weigh the problem in its entirety after a first moment of awareness.

Finally, practicing active listening will help you to receive feedback from others and to understand other points of view that may help you as a reference.

Impartiality

An important point in the critical thinking process is the development of the ability to identify biases and maintain an impartial view in evaluations.

To improve this aspect it is advisable to have tools to be able to identify and recognize the prejudices and biases you have and try to leave them completely aside when thinking about the solution.

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Observation

Observation allows you to see each and every detail , no matter how small, subtle or inconsequential they may be or seem to be.

Behind the superficial information hides a universe of data, sources and experiences that help you make the best decision.

One of the pillars of critical thinking is objectivity. This forces you to base your value judgments on established facts that you will have gathered after a correct research process. 

At this point in the process you should also be clear about the influencing factors to be taken into account and those that can be left out.

Remember that your research is not only about gathering a good amount of information that puts the maximum number of options, variables or situations on the table. 

For the information to be of quality, it must be based on reliable and trustworthy sources.

If the information you have to collect is based on the comments and opinions of third parties, try to exercise quality control but without interference. 

To do this, ask open-ended questions that bring all the nuances to the table and at the same time serve to sift out possible biases.

With the research process completed, it is time to analyze the sources and information gathered.

At this point, your analytical skills will help you to discard what does not conform to unconventional thinking, to prioritize among the information that is of value, to identify possible trends and to draw your own conclusions.

One of the skills that characterize a person with critical thinking is their ability to recognize patterns and connections between all the pieces of information they handle in their research.

This allows them to draw conclusions of great relevance on which to base their predictions with weighty foundations.

Analytical thinking is sometimes confused with critical thinking. The former only uses facts and data, while the latter incorporates other nuances such as emotions, experiences or opinions.

One of the problems with critical thinking is that it can be developed to infinity and beyond. You can always keep looking for new avenues of investigation and new lines of argument by stretching inference to limits that may not be necessary.

At this point it is important to clarify that inference is the process of drawing conclusions from initial premises or hypotheses.

Knowing when to stop the research and thinking process and move on to the next stage in which you put into practice the actions considered appropriate is necessary.

Communication

The information you collect in your research is not top secret material. On the contrary, your knowledge sharing with other people who are involved in the next steps of the process is so important.

Think that your analytical ability to extract the information and your conclusions can serve to guide others .

Problem solving

It is important to note at this point that critical thinking can be aimed at solving a problem but can also be used to simply answer questions or even to identify areas for improvement in certain situations. 

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Write below what you are looking for

Tim van Gelder

Epistemology is everywhere.

Business , Critical Thinking , Education , Research , Teaching

Defining “Critical Thinking” for Business

I’ve had the following abstract accepted for a presentation at a conference in December at the University of Melbourne,  Higher Education Research & the Student Learning Experience in Business .

A Pragmatic Definition of Critical Thinking for Business

This presentation will lay out a pragmatic definition of critical thinking.  It doesn’t purport to be the definitive characterization of what critical thinking is. Rather, it is offered as a convenient framework for understanding the nature and scope of critical thinking, which may be useful for purposes such as developing a dedicated subject in critical thinking for business, improving the teaching of critical thinking within existing subjects, or evaluating the effectiveness of a business course in developing critical thinking.

The definition is constructed around five commitments:

• First, the essence of critical thinking is correct or accurate judgement. That is, to think critically is to think in ways that are conducive to being “more right more often” when making judgements.
• Second, “being more right more often” can be achieved through the skillful application of general thinking methods or techniques.
• Third, these techniques range on a spectrum from the simple and easily acquired to technical methods which require special training.
• Fourth, for all but the simplest of methods, there are degrees of mastery in application of these techniques.
• Fifth, there are many different kinds of judgements made in business, including decision making, prediction, estimation, (causal) explanation, and attribution of responsibility. For each major type of judgement, there are typical pitfalls, and a range of critical thinking methods which can help people avoid or compensate for those pitfalls.

These commitments enable us to define a kind of three-dimensional chart representing the critical thinking competency of any individual. Along one (categorical) axis is the various kinds of judgements (decision making, etc.). Another axis represents the spectrum from simple through to advanced critical thinking methods. Particular methods can then be placed in appropriate “boxes” in the grid defined by these axes. A person will have a degree of mastery of the methods in each box; this can be represented on a third dimension. A person’s critical thinking competency is thus a distinctive “landscape” formed by the varying levels of mastery.

This characterisation is tailoring, for business, a more general pragmatic approach to understanding critical thinking.  About a year ago I developed this approach in preparation for a workshop in the US on development of a test of critical thinking for intelligence analysts; my role in the workshop was to lay out a general framework for understanding what critical thinking is.   That approach was described in a manuscript Dimensions of Critical Thinking .

I’m also supporting a team from the University of Sydney Business School, who have had the following abstract accepted:

Evaluating critical thinking skill gains in a business subject

Helen Parker, Leanne Piggott, Lyn Carson University of Sydney Business School Tim van Gelder University of Melbourne and Austhink Consulting

Critical thinking (CT) is one of the most valued attributes of business school graduates, and many business school subjects claim to enhance it. These subjects frequently implement pedagogical strategies of various kinds aimed at improving CT skills. Rarely however are these efforts accompanied by any rigorous evaluation of CT skill gains. But without such evaluation, it is difficult to answer questions such as:

• Are our students’ CT skills in fact improving? By how much?
• Are those skills improving more than they would have even without our special CT instruction?
• Are the marginal gains worth the cost?
• Are our attempts to improve our instruction from semester to semester making any difference?

These kinds of questions are particularly relevant to the University of Sydney Business School, which has an entire subject dedicated to improving CT (BUSS5000 – Critical Thinking in Business), enrolling some 800 students per semester. Consequently, in 2013, the Business School embarked on a large-scale, multi-year evaluation program. The evaluation is based on pre- and post-testing using an independent objective test (the Halpern Critical Thinking Assessment), whose coverage overlaps with the range of critical thinking skills taught in the subject. This presentation will give an overview of the approach it has adopted. It will discuss some of the challenges and pitfalls in the testing process, and how to interpret results. Finally, it will present data and insights from the first semester of full-scale evaluation. The session should be of interest to anyone interested in evaluating CT skills, or more generally in how business school education can enhance CT.

There’s an obvious complementarity between these two topics.

One thought on “ Defining “Critical Thinking” for Business ”

Add Comment

In the attached, some thoughts about your abstract.

Best from Windsor,

Ralph Dr. Ralph H. Johnson, FRSC Senior Research Fellow, Center for Research in Reasoning, Argumentation and Rhetoric, & Professor Emeritus, Department of Philosophy University of Windsor, Windsor, ON N9B3P4

t. 519.253-3000, Ext 2339 f. 519-971-3681

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critical thinking

Definition of critical thinking

Examples of critical thinking in a sentence.

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'critical thinking.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

1815, in the meaning defined at sense 1

Dictionary Entries Near critical thinking

critical temperature

critical value

Cite this Entry

“Critical thinking.” Merriam-Webster.com Dictionary , Merriam-Webster, https://www.merriam-webster.com/dictionary/critical%20thinking. Accessed 3 Sep. 2024.

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Definition of Critical Thinking:

Description:

Critical thinking refers to the intellectual process of analyzing, evaluating, and interpreting information and arguments in a systematic and objective manner. It involves the careful examination of facts, evidence, and reasoning to form rational and well-informed judgments.

Components:

Critical thinking includes several essential components:

• Analysis: The ability to break down complex information into its constituent parts and examine them systematically.
• Evaluation: The capacity to assess the credibility, accuracy, and reliability of information and arguments.
• Inference: The skill to draw logical and reasoned conclusions based on available evidence.
• Interpretation: The aptitude to comprehend and explain the meaning and significance of information and evidence.
• Explanation: The capability to clarify and justify one’s own thought processes and reasoning, explicitly stating the underlying assumptions and principles.
• Self-regulation: The discipline to monitor one’s own thinking, recognizing and challenging biases, prejudices, and assumptions.
• Open-mindedness: The willingness to consider alternative viewpoints, perspectives, and hypotheses without prejudice or preconceived notions.

Importance:

Critical thinking plays a vital role in various aspects of life, including education, personal and professional relationships, problem-solving, decision-making, and understanding complex issues. It enables individuals to think independently, make informed judgments, evaluate the reliability of information, and develop well-reasoned arguments.

Developing and applying critical thinking skills can lead to numerous benefits, such as:

• Improved problem-solving abilities and decision-making skills.
• Enhanced communication and argumentation skills.
• Strengthened comprehension and interpretation of information.
• Increased objectivity and rationality in thinking.
• Heightened creativity and innovation.
• Reduced vulnerability to manipulation and misinformation.
• Greater self-awareness and personal growth.

The Fed has been 'shaken' from its path by a softening labor market and will deliver steeper rate cuts as a result, JPMorgan says

• The Fed is shifting from its gradualist stance on rate cuts amid uncertain labor-market data, JPMorgan says.
• While the uncertainty makes rate cuts clear in the near term, it widens possibilities for next year.
• JPMorgan expects 100 basis points of rate cuts by the end of the year.

The Federal Reserve is being forced to shift from its gradualist stance on rate cuts by the weakening of the US labor market, JPMorgan says.

Labor demand has softened, unemployment has risen, and supply has increased alongside gains in productivity.

That makes for an "odd combination of rising concerns about a US slide into recession alongside financial market optimism about the future path of business sector performance," JPMorgan said in a note on Tuesday.

The bank said that as a result of that rising uncertainty, the Fed seemed to be changing course, shifting from a gradualist attitude toward a fear of cutting interest rates too late.

At the Fed's Jackson Hole conference last week, its chair, Jerome Powell, gave a clear indication that the Fed plans to cut rates next month.

"The time has come for policy to adjust," he said. "The direction of travel is clear, and the timing and pace of rate cuts will depend on incoming data, the evolving outlook, and the balance of risks."

That confidence breaks from typically reserved commentary from the Fed and Powell, who previously reiterated the need for more data on inflation and unemployment before any decisions on rate cuts could be made.

Powell's speech confirmed a "shift in risk bias has taken place and that the Fed does not want to see labor conditions ease further," the JPMorgan analysts said.

"Last week's communications—from the FOMC minutes and Chair Powell's Jackson Hole speech—confirm that the Fed has been shaken and should deliver a roughly 100bp step-down in rates by the end of this year," the analysts added.

With just three meetings left this year, that would mean the Fed would abandon smaller moves of 25 basis points and enact a larger 50-basis-point cut in at least one of the remaining meetings.

Related stories

That prediction is roughly in line with expectations, with odds strongly in favor of rate cuts between 75 and 125 basis points by the end of the Fed's December meeting, according to CME's FedWatch tool .

Investors are pricing in a 25-basis-point cut in September, with smaller odds for 50 basis points.

And while the present labor-market uncertainty makes rate cuts clear in the near future, it widens possibilities for next year, the JPMorgan analysts said.

Next year's rate-cut potential relies on how labor-market uncertainties are resolved, resulting in a "significant two-sided risk," the analysts said.

"There is an elevated risk that weak labor demand pushes the US economy towards recession, an outcome that would produce a cumulative Fed rate cut of at least 300bp. Through significant financial market transmission it would likely accelerate easing elsewhere," the JPMorgan note said.

"At the same time, a growth boost from an early dose of easing to offset risks that didn't materialize, could combine with positive supply side outcomes to generate reaccelerating labor demand next year," the analysts added.

Watch: What happens when the US debt reaches critical levels?

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