Essential Skills #1 Critical Thinking

Critical thinking, Communication skills, Collaboration and Creativity - the 4Cs of the skills considered most essential in the next few years. 

In a 2022 survey*, the key drivers for identifying these specific "4Cs" were: the pace of change in business today (91%); global competitiveness (87%); the nature of how work is being carried out today (78%); and the way organisations are now structured (66%).

Productivity in the UK decreased during the Covid period and has since stalled, lagging behind that of France, Germany, Italy and the US. A large number of skilled people left employment during the pandemic and have not returned to the UK workforce. The challenges UK organisations face today are enormous: increasing global competition, emerging markets, rising energy costs, burgeoning health-care costs, technology, a shifting political and economic landscape, and staff retention difficulties. In that context, employees need to be able to think fast and act smart—often in situations that are uncertain, complex and new. That makes these 4C skills in the workforce a critical requirement.

In the first of a series of articles we are addressing each of the 4Cs in turn: beginning with the much ignored skill of critical thinking.

Why is critical thinking important?

Effective critical thinking skills are essential for organisational success. In our increasingly knowledge-based economy, developing employee skills to solve problems and make decisions in a structured, analytical way, and then to act decisively and well, is a key need. Critical thinking skills enable:

1.     Problem-solving: allowing employees to identify and analyse problems, assess different solutions, and determine the most effective course of action.

2.     Decision-making: enabling employees to evaluate information and make informed decisions based on evidence and logical reasoning.

3.     Innovation: encouraging employees to think creatively and to develop innovative solutions to business challenges.

4.     Collaboration: promoting collaboration and communication among team members, as employees share ideas, provide constructive feedback, and work together to solve problems.

5.     Risk management: helping employees to identify potential risks and develop strategies to mitigate them, reducing the likelihood of negative outcomes.

6.     Customer service: enabling employees to understand and respond to customer needs and concerns, providing better service and improving customer satisfaction.

Overall, critical thinking skills are a valuable asset for any business. Investing in the development of critical thinking skills can lead to improved performance, increased productivity, and greater success in the marketplace.

In practice, several factors can get in the way of people thinking critically, including:

1.     Assumptions: People often make assumptions based on their past experiences, beliefs, and biases. These assumptions can limit their ability to consider new ideas and perspectives and can interfere with critical thinking.

2.     Emotions: Strong emotions such as fear, anger, or anxiety can cloud people's judgment and prevent them from thinking rationally and objectively.

3.     Lack of information: Critical thinking requires accurate and relevant information. When people lack information or have access only to limited or biased information, they may not be able to think critically about a situation.

4.     Confirmation bias: People often seek out information that confirms their existing beliefs and ignore evidence that contradicts them. This confirmation bias can interfere with critical thinking by preventing people from considering alternative viewpoints.

5.     Groupthink: Groupthink occurs when people prioritise conformity and consensus over critical thinking and independent analysis. This can happen in group settings where people are afraid to challenge the group's ideas or where there is a strong leader who dominates the decision-making process. This is a particularly pertinent problem today.

6.     Lack of practice: Critical thinking is a skill that requires practice and development over time. If people do not have the opportunity to practice critical thinking, they may not develop the skills necessary to think critically when faced with complex problems or decisions.

Overall, people need to be aware of these potential barriers to critical thinking and work to overcome them through practice, self-reflection, and a commitment to intellectual honesty and open-mindedness.

As with the other 4C skills, critical thinking requires know-how, emotional intelligence and practice, to fully develop. Coaching and training is highly effective in the development of these skills.

If you would like to develop critical thinking effectiveness in your organisation, get in touch to see how coaching can help: email enquiries@managingchange.org.uk

• American Management Association, 2022