BUSINESS DECISION MAKING ADMN2167 Conflict and Consensus

1. BUSINESS DECISION MAKINGADMN2167Conflict and Consensus Professor: Bob Carpenter

2. Decisions, Conflict and Consensus • Decisions • Leading the Decision Process • Functional Conflict • Managing Conflict • Building Consensus • Deciding how to decide

3. Decisions …. • …making choices • ….choosing alternatives with uncertainty • …probability of outcomes • … the Paradox of Choice

4. Decisions …. • …a commitment to action

5. Decision Making Myths • The chief executive decides • Decisions are made in the room • Decisions are intellectual exercises • Managers analyze and then decide • Managers decide and then act

6. The Absence of dissent • Have you ever censored your views in a meeting? • Have you ever offered a polite nod as a proposal is put forward and yet harboured doubts? • Have you immediately begun to devise ways to frustrate or reverse the intent of a decision?

7. Decision Discussions. • Objectivity vs. Subjectivity • Quantitative vs. Qualitative • The role of emotions in decision making

8. Conflict and Consensus + + Conflict Decision Quality Organizational performance - + Consensus Implementation Effectiveness

9. Conflict • con·flict •    [v. kuhn-flikt; n. kon-flikt]  • verb (used without object)1.to come into collision or disagreement; be contradictory, atvariance, or in opposition; clash: The account of oneeyewitness conflicted with that of the other. My classconflicts with my going to the concert. • 2.to fight or contend; do battle.

10. Conflict Noun 3..a fight, battle, or struggle, . 4.controversy; quarrel:  5.discord of action, feeling, or effect; antagonism oropposition, as of interests or principles: a conflict of ideas. 6.a striking together; collision. 7.incompatibility or interference, as of one idea, desire, event,or activity with another: a conflict in the schedule.

11. Conflict May be Cognitive OR Affective

12. Perils of Conflict and Dissent + + Leader Actions Cognitive Conflict Assumptive Testing Crtical Evaluation Decision Quality - + Affective Conflict Commitment And Shared Understanding Implementation Effectiveness

13. What is consensus? • Consensus decision-making is a decision-making process that not only seeks the agreement of most participants, but also to resolve or mitigate the objections of the minority to achieve the most agreeable decision. Consensus is usually defined as meaning both general agreement, and the process of getting to such agreement.

14. The Aims of Consensus Decision-Making • Inclusive • Participatory • Cooperative • Egalatarian • Solution Oriented

15. Process of consensus • Discussion of the item • Formation of a proposal • Call for consensus • Identification and addressing of concerns • Modification of proposal

16. Consensus Decision-Making Process Discussion Proposal Consensus N Y Concerns raised Revised Proposal Consensus achieved Blocked Stand aside Action

17. What if its not unanimous? • Unanimity minus1- takes 2 to block. Single individual may be made the ongoing monitor. • Unanimity minus 2 – pair cannot block but may be given time to convince a third • Unanimity minus 3- closer to rough unanimity when total is only 10 • Rough unanimity – not defined but left to the judgment of the working chair.

18. When consensus cannot be reached • Declare reservations – may choose to express concerns and group may modify words. • Stand aside- may be person with strong personal feelings or who does not understand the issues. • Block- implies that the delegate feels that the decision violates the mission of the organization or endangers it or its members.

19. Consensus vs. Voting • Voting competitive vs. cooperative • Majority rule dis-empowers minority • The “tyranny of majority” exacerbates partisanship and reduces cohesion. • Voting reduces the commitment of the minority to the decision

20. Criticisms of consensus • Preserves status quo • Susceptible to disruption-may reward the least accommodating group members • Abilene paradox – end up with decision that nobody wants • Time consuming