Wednesday, August 29, 2012

Gillian Stamp on Effective Decision-Making

I found an interesting chart on Gillian Stamp's blog.


Effective Decision-Making


The chart illustrates two observations
  • "Organizational well-being depends on the interplay between challenges and decision-making capabilities."
  • "Where challenges exceed capabilities, financial and human costs rise; where capabilities exceed challenges, resources are wasted."


Stamp sees decision-making primarily as an individual activity, and seeks to understand the conditions for effective decision-making by individuals within organizations. She is particularly concerned about levels of individual stress and anxiety caused by a mismatch betwen individual capability and individual responsibility, and advocates a process she calls Career Path Appreciation to improve the alignment between capability and responsibility over the course of an individual's career.

Similar thinking could be applied to the collective decision-making capability of groups, teams and whole organizations. The collective capabilities for decision-making need to match the scale of the challenges facing the organization, and we might reasonably expect some symptoms of anxiety to manifest themselves in organizations that are under-endowed or over-endowed with organizational intelligence. (For a detailed account of organizational anxiety and its symptoms, see Larry Hirschhorn's Workplace Within.) 


Gillian Stamp and Colin Stamp, The Individual, the Organisation and the Path to Mutual Appreciation (dated 2004) There is another version here without the diagrams https://www.bioss.com/gillian-stamp/the-individual-the-organisation-and-the-path-to-mutual-appreciation/

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