How to Decentralize Decision-Making

Most decisions within organizations are still being made hierarchically. This can create frustration and resistance when the people concerned by these decisions feel like they were not consulted (which may indeed be the case). On the other hand, a decision-making process that always strives for consensus can be time-consuming, not to mention that the last word often ends up being given to a person with authority when a consensus can’t be reached.

To make better decisions in a more efficient way, Dennis Bakke of AES Corporation implemented the Advice Process: anyone within the organization, regardless of their role, can make important decisions that concern them, as long as they consult relevant stakeholders. This helps make the people consulted feel valued, and the decision-maker (who isn’t necessarily a manager) feel empowered.

The Advice Process creates a sense of community within the organization, fosters more creativity and generates better decisions. Initiative and humility are valued, and hierarchy is transcended as no one holds power over anyone. With this way of doing things, decisions are made for the benefit of the organization and all its members!

 

WHEN?
  • You want to experiment with different decision-making processes.
  • You want to empower your team to make quick and efficient decisions.
  • You truly want to give your employees more autonomy.

 

HOW?
  • You want to experiment with different decision-making processes.
  • You want to empower your team to make quick and efficient decisions.
  • You truly want to give your employees more autonomy.

 

TO LEARN MORE

 

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