Loan Think

Being Proactive Versus Being Reactive

We’ve all heard the benefits and virtues of being proactive in various situations. A major benefit of exercising proactive behavior is early recognition, and anticipation, of problems, obstacles or challenges that might need to be addressed to accomplish one’s goal(s). Doing so enables us to discuss these issues and endeavor to address them early enough to find viable solutions.

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Furthermore, when we’re not proactive, invariably we are forced at some point to become reactive. Trust me, being proactive has been proven to be more effective (not to mention less stressful) than engaging in reactive behavior. However, proactive activity does not always ensure a favorable outcome.

I recently had occasion to apply my own principle about being proactive. I did all the right things by identifying several irregularities contained in a specific transaction. You see, another one of my 6,012 philosophies (I’m sure you remember the other 6,011) is I believe in identifying what’s wrong or different about a transaction—then I offer solutions or suggestions that I believe will mitigate the outcome. Obviously, no one can be precisely on target all the time, nor should we expect the participating parties would accept our recommended solutions. But, I can assure you; it is a far more productive approach than not addressing a problem and hoping it goes unnoticed.

So, moving on with my recent experience, I identified a specific problem and offered the most intelligent solution to solve the problem. I also asked the other parties to this transaction if they were in agreement with this suggestion that would overcome the transactions challenges. After careful consideration, all parties agreed it was a viable alternative to the task at hand and that it was perfectly acceptable.

Wrong! The transaction went right down to the closing table and some genius noticed a discrepancy that was the cause of my concern at the inception. Although all parties had agreed with the recommendation I offered initially, everyone (other than myself) agreed that it would not solve the obstacle in front of us. A week later, we all agreed on another alternative that was accepted and the transaction finally closed.

This still does not negate the fact that even the most intuitive, proactive person may not overcome a cause for concern. That, however, is not the moral of this story. Being proactive will invariably save a lot of grief in most of life’s encounters. That fact that an action does not produce positive results, all of the time, is not a valid reason for not utilizing the action. The benefits of being proactive far outweigh the possibility of a problem further on in the transaction or relationship.

Here’s another way to view being proactive: Most of us can usually identify all those items or situations that will make a transaction or relationship end successfully. The prudent person, will instead, address what could go wrong—not what can go right.

Once you’ve recognized those obstacles that might occur, you can wisely set out to find solutions and/or alternatives that would satisfy all parties to the transaction—before the item becomes a an impediment to reach the end goal. Please note that this method of recognizing what’s wrong with a situation is not just relegated to business transactions—being proactive, instead of reactive, should also be a consideration in our personal relationships. Take the time in your business and personal relationships to fly over a situation, at 50,000 feet, and take a long view of what’s below you.

Stephen Greenberg is CEO of Synergistic Associates Inc. He can be contacted at steveg@synergisticassoc.com or 954-757-6585.

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