Consensus or autonomy: how leaders can make better decisions

One paradox we face as leaders is how difficult decisions get made effectively with our teams – we know it’s helpful to gather perspectives to inform better decisions and yet we are also supposed to be bold and act decisively – so which is it?    I think the answer is in the choices we make between these two polarities to fit the situation at hand.

I recall taking on a new leadership role at the beginning of the 2008 financial crisis.  Our top customers just announced order cancellations that would last a full year.  Our supply chain was delivering material like a freight train and we relied on highly specialized skill sets to build complex equipment.  This was no time for consensus, we needed to act urgently, hold to our values and I had to be decisive.  Gahhh, it was painful and yet looking back it was the foundation of a highly cohesive and high performing team.

There are many cases where an autocratic style probably would not work well, and more consensus is needed.  Think major organizational transformations, risky technology development, new business models.  These require more stakeholder engagement, creative perspectives, and deep commitment from an inspired team.  Consensus here means the cooperative process where everyone in the team contributes to develop and agree to support a decision in the best interest of their top team.  This is not the same as unanimity where all members must agree.  Consensus requires the team to constructively debate and share ideas and know when to come to a point of decision.  Cohesiveness of the team is a key objective. 

Choose consensus building when …

  • There are many stakeholders and perspectives will benefit a complex problem

  • People are motivated to participate

  • The team has authority to make decisions and will be affected by them

  • Creative solutions are needed

  • High level of commitment is needed beyond the initial decision

  • When building strategic goals, purpose or to prioritize value sets

Warning signs consensus building has gone too far:

  • It’s unclear who the decision maker is

  • Decisions are taking too long or looking like unanimous consent

  • Driving disengagement because of the delay in getting to a decision

  • Backchannelling or “meetings after the meeting” start to occur

  • Decisions are delayed to the point where choices start being removed by time moving on

Choose more autonomous decision making when …

  • There is an unwillingness to participate or cooperate. This can happen when the team is not cohesive enough to align to agreed-upon norms or objectives

  • The team currently has low trust or a lack of commitment

  • Time is limited or there is an emergency - act now

  • The situation is high risk and uncertain: Needed information is not available and small forward moving actions would be helpful to mitigate risks or gather information that will help inform next steps

  • Sometimes volatile, chaotic situations call for a bold decision to pause and wait for the situation to evolve

  • People are polarized on issues or values

  • The decision is low stakes and simple – move on 

Warning signs that autonomy has gone too far:

  • Beware of the dirty yes

  • There is a lack of innovation and more powerful solutions are needed

  • You are the bottleneck to decisions and solving most of the problems 

So, which is better, consensus or autonomy? It depends on the situation. Regardless of the way we arrive at decisions there are characteristics of good decisions.  Well made decisions come from high integrity by being aligned to values and stated objectives while exploring options. People around you can understand what is important about the decision and the team is clear on their role, actions, and time frame. Finally, the decision considers critical timelines and is risk appropriate ensuring buy-in, even from those that initially disagree or are negatively impacted. 

Autonomous decision making tends to be best matched with simple high risk or low risk situations to act swiftly or when team cohesion isn’t possible.  Consensus tends to be best matched for situations with complexity, ambiguity, engagement, and innovation.  In the end, the right answer is likely somewhere between the two polarities.

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Moving from permacrisis to permachoice