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Strategy

Decision tree

Make decisions, solve problems, and predict outcomes

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Decision tree large

About the decision tree template

Decision trees facilitate discussion and understanding of complex problems. Their format makes them easy to interpret — giving you a way to explore non-linear relationships and choose among a set of predicted outcomes.

Try this template for any number of scenarios — such as analyzing new pricing models, evaluating which features will improve user engagement, or identifying product marketing activities to pursue. Visually representing the factors to consider can help you make quicker, more informed decisions.

Share the whiteboard with your team and encourage folks to ask questions and identify gaps in thinking. Validate that the final decision aligns with your product strategy and roadmap.

Best practices

Visualize potential choices and outcomes to improve your decision-making.

  1. State the problem Clearly define the decision that needs to be made so everyone understands what you want to achieve or solve for.

  2. Evaluate options Create branches and nodes to capture possible options or next steps. Assess the probability of each outcome — tying value or revenue to them if possible. A commonly used formula is: (First possible outcome x Likelihood of outcome) + (Second possible outcome x Likelihood of outcome) = Cost.

  3. Make a decision Compare the different outcomes and decide which path you want to pursue. Summarize your recommendations and explain the thinking behind your decision.

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