The One-Three-One Methodology

Decision-making is at the heart of every business. Whether you’re tackling a new growth initiative, evaluating potential acquisitions, or solving operational bottlenecks, how you make decisions can make or break your success. Enter the one-three-one methodology: a simple yet powerful framework designed to help businesses identify challenges, evaluate solutions, and take decisive action.

In this article, we’ll explore how this approach works and how you can apply it to tackle complex problems and drive growth.

1. What is the One-Three-One Framework?

The one-three-one methodology is a structured approach to decision-making. It emphasizes thorough analysis, multiple perspectives, and clear action plans. The name stems from its core process:

• One Challenge: Clearly define the central issue or opportunity.

• Three Solutions: Identify at least three viable paths to address the issue.

• One Recommendation: Propose the best course of action based on analysis.

Originating from corporate decision-making models, this framework has been adopted by entrepreneurs and business leaders as a way to simplify complex choices without sacrificing depth or creativity.

2. Breaking Down the Framework

Step 1: Define One Challenge
A well-defined problem is half-solved. The first step is to identify and clearly articulate the issue you’re addressing. Avoid vague goals like “grow the business” or “improve operations.” Instead, focus on specific challenges. For example:

• How can we grow revenue from $1.5M to $35M in three years?

• What is the best way to structure our pricing to attract high-value clients?

• How can we enter a new market without diluting our brand?

This clarity ensures that every subsequent step is aligned with solving the right problem.

Step 2: Generate Three Solutions
Why three? It’s the Goldilocks number: not too few to feel constrained, but not so many that it leads to analysis paralysis. Brainstorm multiple paths to address the challenge. For example:

• Option 1: Raise capital to fund rapid expansion.

• Option 2: Form a strategic partnership with an established player in the market.

• Option 3: Focus on premium pricing and verticalization to maximize margins.

Each option should be distinct, viable, and aligned with your resources and objectives.

Step 3: Recommend One Action
After evaluating the pros and cons of each solution, narrow your focus to one clear recommendation. The goal is to synthesize all the information and select the most practical, impactful, and achievable strategy. Share your rationale to foster alignment among stakeholders.

3. The Power of the Framework in Action

Consider a case study: A business consulting firm faced the challenge of growing a client’s revenue from $1.5M to $35M within three years. Using the one-three-one methodology, they outlined:

• Challenge: Achieve a $35M revenue target with a 30% profit margin.

• Solutions:

  • Raise $5M in capital to fund aggressive marketing and hiring.

  • Partner with a major industry player to access new customers.

  • Streamline operations, reduce offerings, and focus exclusively on high-ticket services.

• Recommendation: Focus on high-ticket services, which provided the highest ROI with the least operational complexity.

This approach not only clarified the path forward but also encouraged buy-in from stakeholders by showcasing multiple possibilities and backing the final decision with analysis.

4. Why the One-Three-One Methodology Works

Encourages Research: Requiring three solutions pushes teams to explore options thoroughly rather than defaulting to the first idea.
Fosters Creativity: Brainstorming multiple paths often leads to innovative strategies that might otherwise go unnoticed.
Promotes Alignment: Presenting a clear recommendation alongside alternatives builds confidence in decision-making and reduces second-guessing.

5. Applying One-Three-One in Your Business

To implement this framework:

1. Start Small: Use the one-three-one methodology for a specific, contained issue to familiarize your team with the process.

2. Build a Culture of Options: Encourage team members to always present multiple solutions when raising challenges.

3. Document Decisions: Keep a record of the challenge, solutions, and rationale for the recommendation. This provides a roadmap for future reference.

What Does It All Mean?

The one-three-one methodology simplifies complex decisions by focusing on clarity, creativity, and action. It’s a powerful tool for tackling ambitious goals, navigating growth challenges, and aligning teams.

As you plan your next big move, consider adopting this framework. With one well-defined challenge, three innovative solutions, and one actionable recommendation, you’ll have a roadmap for success—one decision at a time.

On The Business Lunch Podcast: Beyond Expertise: Hiring Leaders for Growth - Listen on Apple Podcasts I Spotify 

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