Decision Making
Decision-Making: Hats, Haircuts and Tattoos
Why most people slow themselves down, and how to stop doing it
Decision-making is one of the biggest hidden drains on business owners.
Not because decisions are hard, but because too many of them are treated as far more serious than they actually are.
Recently James Clear (author of Atomic Habits) shared an analogy that perfectly captures this problem. He described decisions as hats, haircuts and tattoos.
It’s simple, relatable, and incredibly useful once you start applying it properly.
Hat decisions: low risk, easy to change
Hat decisions are quick, reversible, low-consequence choices.
If it doesn’t work, you take the hat off and put a different one on.
In business, these include:
Trying a new type of LinkedIn post
Testing a slightly different quote format
Trialling a new internal process for a week
Saying yes to a low-risk opportunity
The mistake most people make is overthinking hat decisions. They spend days or weeks debating something that could be tested in hours.
Hat decisions should be made quickly, reviewed quickly, and changed without emotion.
Haircut decisions: visible, but recoverable
Haircut decisions sit in the middle. They matter, they’re noticeable, and they take time to play out, but they are still fixable.
If it’s not right, you live with it for a bit, tidy it up, or let it grow out.
Examples include:
Hiring or promoting someone
Committing to a 6–12 month marketing approach
Buying equipment or vehicles
Entering medium-term contracts
These decisions deserve thought, planning and input from others, but not endless delay. The key with haircut decisions is clear review points, so you can adjust rather than panic.
Tattoo decisions: long-term and identity-shaping
Tattoo decisions are high-impact, hard-to-reverse choices. They shape the direction of the business and, often, your life.
Examples include:
Taking on major debt
Selling equity or bringing in partners
Long-term contracts
Defining company values and culture
These are the decisions that should slow you down. They require challenge, reflection and time.
The question to ask here isn’t “Is this profitable?” — it’s:
“Who does this make us in five or ten years?”
Where people go wrong
Most problems come from one of two mistakes:
Treating hat decisions like tattoos (fear, overthinking, paralysis)
Treating tattoos like hats (rushed, emotional, poorly tested)
High-performing leaders aren’t better because they’re smarter, they’re better because they match the speed of the decision to the consequence of the decision.
A simple filter you can use
Before deciding anything, ask:
Is this a hat, a haircut or a tattoo?
How reversible is it?
How long will the consequences last if it goes wrong?
Then match your time, energy and consultation to the type of decision, not your anxiety about it.
Why this matters
Most of the progress you want in your business isn’t blocked by lack of knowledge. It’s blocked by hesitation.
You don’t need perfect decisions — you need momentum where risk is low and clarity where risk is high.
Get faster at hats.
Be deliberate with haircuts.
Slow right down for tattoos.
That balance is where real growth happens.
