Have you ever watched someone solve a problem and asked them, “How did you know what to do?” No matter their answer was, the real reason people can solve problems they’ve never encountered before is their skill in critical thinking.

Critical thinking involves carefully evaluating information and using it to make a logical decision. You use critical thinking in your life, even if you don’t realize it. A Customer Service Manager uses critical thinking to make changes based on customer satisfaction surveys. A carpenter uses critical thinking to choose the design and wood type for a building project.

Parents use critical thinking to raise their children when they decide what parenting advice works best for them and their children.Critical thinking is a key skill that involves every area of your life. Your ability to think critically affects every decision you make. Understanding the steps of critical thinking can help you build your skills to overcome life’s challenges.

Step One: Analyze

The first step in critical thinking is to analyze the data or information you currently have available. What do you already know about the situation? What similar experiences have you had that can help you solve this problem?

Asking questions helps you determine if you have enough information or need to gather more.When you look at the data, consider whether or not it is the right information for the situation. You will need to interpret or judge how valuable the information is. If you don’t have enough information or the information isn’t useful, you may need to do more research.Once you have all the data you need, look for patterns that bring the information together to solve the problem. A good example is a challenge of buying a new car.

You may already have information and experience with previous cars you’ve owned. Researching the latest models adds to your data. Information about race cars isn’t useful if you are looking for a family vehicle. Comparing gas mileage, seating room, and price shows you a pattern of the type of vehicle that will work best for you.

Step Two: Communication

Life’s challenges often involve a group of people, not only yourself. Communication is the next step in critical thinking when you are working with a group. How you communicate the data you’ve gathered makes a difference in how well you can solve the issue.Communication may involve collaboration and teamwork with other people involved in the situation. Part of critical thinking lies in analyzing the people you are working with and the data they provide.

Communicating effectively through teamwork keeps everyone focused and builds trust toward the solution.Practicing how you present and explain your data, and combining it with other’s input, allows you to use the best data to solve the problem. According to Indeed, a leading job search engine, employers value critical thinkers who can work together as a team to help a business grow.

Step Three: Creativity

Critical thinking wouldn’t be necessary if all of life’s answers were already available. Instead, people encounter new challenges and need critical thinking to overcome them. Creativity helps you apply the data you have to a new situation and find a solution that you weren’t aware of before.Curiosity is an element of creativity. People who like to take things apart to see how they work and people who study subjects that are new and interesting to them learn new information and skills.

Their curiosity about how and why things work builds their knowledge base and allows them to look for new solutions. Curiosity causes people to look for new solutions and new ways of doing things.The twin to curiosity is predictability. Critical thinking involves having enough data to make a logical decision about how something might work, based on the usefulness of the data and previous knowledge of similar situations.

Creativity is trying a new flavor of tea. Predictability is believing that a sweetly flavored tea will be more enjoyable than a sour flavor.

Step Four: Problem Solving

The first three steps of critical thinking lead to solving a problem. Critical thinking requires paying attention to details when trying a solution. You will need to evaluate the solution during each step of the process to ensure your solution is working the way you intended. If you’re working with a group, you may need to clarify parts of the process to help everyone reach the solution. Critical thinking involves making decisions and adjustments until you achieve success.

The steps of critical thinking help you develop this key life skill. Critical thinking is needed in every aspect of life. Understanding how to think critically helps you succeed in new and exciting ways.