The way we perceive and make sense of our environment is the backbone of the decision-making process. Decision-making is reflected in our actions and further, in our outcomes. The better we understand how the brain works, the less we are exposed to making biased decision, that may affect businesses and our relationships.

But how is our brain thinking when we are exposed to data?  

Analytical thinking is the process of breaking down complex or large blocks of data into smaller and more digestible structures. In analytical thinking we use a step-by-step method to make sense of a problem or situation and further break down the data into smaller structures, in order to draw conclusions. We are then seeking to identify known patterns and establish causes and effects within the data, to connect the data into a bigger picture. In the end we draw a conclusion based on available facts. Therefore, analytical thinking is as a linear and step-by-step breakdown process.

On a different view, critical thinking is the process of evaluating and interpreting the data we are exposed to. In critical thinking, we draw conclusions based on our unique perception of the data, filtering the data based on what is or seems to be relevant for us. We make assessments by combining the new (data) with our existing data. Ultimately, reflecting on that, we are forming a sound judgement that merges scientific evidence with our common sense and logic.

An obvious difference between both thinking systems is that analytical thinking involves breaking down complex data into smaller structures, while critical thinking involves taking outside knowledge into account while evaluating the data.

Since our knowledge of the world is purely subjective, much of our thinking, if left to itself, becomes biased, distorted, or uninformed. In problem solving, looking at details and not taking for granted everything that seems right, helps a biased-free decision making process, consequent actions, and outcomes.

Although thinking is an essential activity for human beings, the business ventures that we start and the strategies we design depend precisely on the quality of our thought and our overall perception of the world.