Do you believe in every daily activity that we do, which involves analytical & critical thinking? From we wake up, we choose to hit the snooze button on our phone screen and decide to sleep again. Because we analyze that today is Friday, the traffic is good when we go to work or school. So, another minute of sleep will not go wrong. Make sense, right?

Let’s take that simple analogy to more advanced things, like business. There is a story, about a simple yet brilliant idea that involves the way you think critically & analytically. A story of a simple idea, an idea that changed the sales dynamic of a company!

The story is of the 1950s when a toothpaste company called for an open competition to suggest ideas that could boost their sales.

For many days they didn't get a proper idea until one fine day a man contacted them telling them that he has an idea that would cost them almost nothing to implement but would yield an immediate 40% increase in business.

He quoted $100,000 for the idea. Though the price was high & the company not getting any other idea, they decided to take the bait. After all, the legal procedures were completed & the money was transferred to the man. He gave them a small slip of paper written: “Make the hole bigger.”

Previously, the toothpaste tubes had a small opening of about 5 mm for squeezing out the paste. If you increase the diameter of the hole from 5mm to 6mm, the volume of paste squeezed out is increased by 40%. So, most users have to consume the tube much faster and hence need to buy more.

This very simple strategy left a big history and remarks to the company. In the fast-paced and complex world of business, the ability to think critically and analytically is a crucial skill that can make the difference between success and failure. Critical thinking and analytical thinking are two interrelated but distinct cognitive processes that play a vital role in decision-making, problem-solving, and overall business strategy.

Critical thinking is the process of objectively evaluating information, arguments, and ideas logically and systematically. It involves questioning assumptions, recognizing biases, and assessing the credibility and relevance of evidence. Critical thinkers strive to identify underlying patterns, connections, and implications to make informed judgments and decisions. In a business setting, critical thinking helps leaders and professionals assess risks, evaluate opportunities, and navigate complex challenges.

Analytical thinking, on the other hand, is a more focused cognitive process that involves breaking down a problem or situation into its parts and examining them systematically. It emphasizes data-driven decision-making by collecting, organizing, and analyzing relevant information to gain insights and solve problems effectively. Analytical thinkers are skilled at using tools and techniques such as data analysis, statistical modeling, and trend analysis to make informed business decisions.

Both critical thinking and analytical thinking are essential in the business world because they enable individuals and organizations to overcome biases, make sound judgments, and develop innovative solutions.

Critical thinking and analytical thinking are indispensable skills in the world of business. They empower individuals to make informed decisions, solve complex problems, and drive innovation. By cultivating these thinking skills within organizations, businesses can gain a competitive advantage, adapt to change, and thrive in today's dynamic and challenging business landscape. Contact us to consult your business further.

Author :
Prima Pradipta