Is Consensus Team Decision Better

Is Consensus Team Decision Making Better?

Some organizations function with high importance on individual decision-making, while others focus on collaboration and group decision-making practices. I think either approach can work. It depends on the type of decision that should be made. You may value choosing a dictator if you are selecting a venue for a children’s party. But if the decision includes a strategy that your organization will take in purchasing another company or deciding a divestiture, the commitment of people involved is imperative. Collaboration would offer team members responsibilities for achieving change. Per Robbins and Judge (2013), groups generate more complete information and knowledge.

Conversely, decisions may be hard to accomplish in groups. Sometimes sensitive issues do not get carefully considered. Personalities may also interfere with coherent argument. A good example is corporate reorganization. Most CEOs restructure their organizations in the first two years of their tenure. Fewer of these moves produce meaningful improvement in performance. Chrysler reorganized three times in the 36 months to its sale to Fiat. Each time management claimed reorganization would turn around the ailing automaker. Each time, no turnaround materialized (Mankins, 2013).

Leaving big decisions up to a single individual does not consider the perspectives of others. An organization has no voice if the decision-maker acts irresponsibly or fails to explore all options in a decision. An individual, especially one in power or who stands to gain financially, may have conflicts of interest in his decisions.

So when is consensus team decision making a good thing for organizations?

References

Campbell, Andrew. (2009). Why good leaders make bad decisions. Retrieved July 21, 2014, from http://blogs.hbr.org/2013/11/making-decisions-together-when-you-dont-agree-on-whats-important/

HBR IdeaCast. (2012, March 22) Making decisions in groups. Retrieved July...