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When Consensus Hurts the Company

March 16, 2015 | Felipe A. Csaszar, Alfredo Enrione | Strategy

How do managers "decide how to decide"? Boards and management teams often try to gain consensus, but that's not always the best course. Research offers insights into when consensus building is the right way to go and when it isn't — and how leaders can determine the best form of decision making for a given situation. "By prompting a rule on how the decision will be made — by unanimity, majority or delegation — you can significantly influence what will be decided," note the authors.

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