Managing Uncertainty

If something is certain in this new world we are having to live in is the uncertainty that we are facing in most aspects of our lives. All of a sudden and without previous notice those things that we always took for granted are no longer where we always expected them to be or simply no longer exist.

And as certain as this uncertainty is we have no other option than to learn how to manage it and deal with it. But how do we do it? Some online research can provide you good and specialized materials on this subject. As a basic guide let’s review some basic points for this process.

First of all there are three points you need to interiorize:

1. You need to accept that change is happening and that you cannot stop it but rather need to be willing to deal with it;
2. You need to open your mind to be in an “always ready” mode, so you can adapt to change; and
3. You have to be willing to take action.

The whole process of managing uncertainty has to be understood as an strategic foresight exercise to figure out how to think about the future and its uncertainties. Here are some ideas about this process:

• Know your factual situation. You have to identify the factual points of your situation so that you know which are the factors on which your actions will need to take place.
• Identify as many possible scenarios as you can. While you cannot know what is going to happen you can think about the different situations that you may be facing regarding your personal situation, business or investment.
• Think possible solutions. Analyze your possible scenarios and think about the actions you would take to face them. Keep in mind that in some cases bailing out or taking actions to minimize loses may be part of the solutions to take.
• Eliminate obstacles. As a consequence of the three previous steps, define those actions that you can take to make your possible solutions more feasible. For instance, if you are in the process of selling a property, make sure you have at hand the corresponding zoning certificate, water availability letter, taxes compliance document and all of those items that will ease up your possible solutions.

Most of all, be always monitoring your situation and your environment so that you can constantly update your possible scenarios and solutions.

Written by Randall Sanchez

Randall Sanchez is an Attorney and Notary Public, founder and managing partner of the Sanchez and Associates Law Firm, based in the Southern Pacific Zone of Costa Rica. His practice is focused in real estate transactions and development and corporate law, to which he has been dedicated for 32 years.