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The Positive Effects of Good Decision-Making
How do you make decisions?
by Ron Strieker
May 7, 2009
Successful leaders make good decisions.
They have the capacity to clearly understand the situation and what is required. Additionally, they
have a clear sense of who they are and how their decisions affect others. In a highly regarded
Harvard Review article on executive decision-making, Ken Brosseau and his colleagues demonstrated
the link between how senior-level executives tend to make decisions differently than other staff.
They identified two general categories of decision-making:
Public, which they associated with leadership style
Private, which defined the executive's operating style
Brosseau's research showed that executives who were able to better understand the reasons
behind their decisions made higher quality decisions, and were able to move up in the organization
to greater levels of responsibility. Those who were not able to increase the level of complexity in
their decision-making remained at lower levels and were not to advance. Let's take a closer look at
these dimensions and the implications for leadership, team dynamics and organizational cultural
development.
The Importance of Good Decision-Making
When you boil things down, executives essentially do two very important things each day.
They communicate on a broad spectrum of issues with a wide variety of individuals and they solve
problems throughout the day. Both of these key processes have important consequences for the people
they lead and the organization as a whole. Decisions are the core of these two important processes.
When the decisions are sound, the culture prospers. When the decisions are of poor quality everyone
suffers. Michael Colenso in his book Kaizen Strategies for Successful Organizational Change makes
clear links between the process of change, the implications for the organization and quality.
Inherent in all of these processes, is the quality of the decisions that shape the future of the
organization and the people that work there.
So, how does this decision-making process work?
Understanding How You Make Decisions
According to Brosseau and his colleagues, individuals make decisions in the following
manner.
Decisive: This is a fast-moving, action-oriented and focused style. The
style places great emphasis on efficiency and practicality. People are generally viewed as
quick-thinking, productive, and reliable. When in Decisive mode they want to make decisions, put
them into action and move on to other things.
Flexible: This is also a fast-moving, action-oriented style. But, unlike the
Decisive style, the Flexible style is geared to adapting rapidly to change. People who use this
style are viewed as fast, agreeable and highly responsive to changing circumstances. When in
Flexible mode, they generally make fast decisions that they will quickly modify to the changing
situation.
Hierarchic: This is a methodical and analytic style that puts energy into
thinking through things carefully. People who use this style place a great deal of importance on
quality and doing things in the best possible way. Thoroughness and logic are very important to the
Hierarchic style. Once high quality decisions have been made they are seldom abandoned unless
superior alternatives present themselves. The Hierarchic style values competence and expertise.
Integrative: This is also a highly analytic style. However, compared to the
Hierarchic style, the Integrative style is much more exploratory and attracted to new ideas and
possibilities. People who are Integrative tend to be drawn to groups and teams because of the
diversity of information and ideas that are available. When using the Integrative style, people
seldom do things the same way twice, preferring instead to try out new ideas and methods.
Systemic: This method is highly analytical, very thorough and
global-thinking. People who use this style make decisions once they have a full grasp of the "big
picture" surrounding the situation. Once they turn their attention to action, they search for
strategies that deal with the immediate situation before them, as well as, the larger context
surrounding the issues. They make decisions that are intended to satisfy many criteria and multiple
priorities.
According to Brosseau, we all have dominant styles that we generally use in all situations,
which may change depending upon the situational context. For instance, we may use a certain style
when leading others in a public forum and a different style when working alone or privately with a
small familiar group. The importance here is to know how decisions are made and refine and perfect
this style when working with others. This knowledge becomes the basis for leadership, team
development and cultural change.
Decision-Making and Emotional Intelligence
In addition to Brosseau's work, emotional intelligence research has provided great insights
into the non-cognitive realm of how we think and what we do each day. Daniel Goleman has received a
great deal of credit for clarifying our "Emotional IQ". His research identified four stages of
emotional maturity covering self-awareness, self-management, social awareness and social skill. In
each of these stages an individual develops the emotional capacity to be more effective in life.
Again, there are clear links to decision-making. In a Harvard Review article on What Makes a
Leader, Goleman argues that leaders get results across six different dimensions. In each of these
categories decisions are be made according to a different style, which has parallels with
Brosseau's work.
Relationship of Emotional Intelligence to Decision Styles
| Leadership Style | Description | Decision Style |
| Coercive | Demand immediate compliance | Decisive |
| Authoritative | Mobilize towards a vision | Systemic |
| Affiliative | Creates harmony and builds emotional bonds | Intergrative |
| Democratic | Forges consensus through participation | Flexible |
| Pacesetting | Sets high standards for performance | Hierarchic |
| Coaching | Develops people for the future | Combination of All |
Again, leaders who are emotionally mature and take into consideration the context of their decisions will get the results they are looking for. Understanding and knowledge in these two key areas of decision-making and emotional intelligence are keys to leadership success.
Implications for Upward Mobility
As we continue to understand the relationship between decision-making styles and emotional maturity, there are also implications for organizational upward mobility. Leaders who move up in the organization are able to work calmly in a complex landscape. They are able to navigate the "noise" in the environment and use it to their advantage.
Generally, leaders who are able to utilize the Hierarchic, Integrative and Systemic styles in public are better suited to move to positions of higher authority. Flexible and Decisive styles are more typical of lower management and supervisory roles. Additionally, leaders who develop their emotional IQ will also rise within the organization. Goleman calls it "going to the gym" where work on the four stages of emotional maturity goes on each day. Executives who do this will progressively enhance and develop their emotional fitness and leadership capacity.
A Final Word
Leaders who understand the relationship of how they make decisions and emotional maturity will continue to be successful in their organizations. They will benefit personally as will the teams they lead. This in turn will create an organizational culture and work environment that promotes engagement in effective decisions that generate positive personal growth and healthy bottom-lines.
Ron is the Managing Principal for CMI, International, Inc. an Atlanta-based firm. CMI is part of CPI, a talent management partnership consisting of 65 partners worldwide. Ron is currently teaching at the Coles Business School at Kennesaw State University in the Executive MBA program, delivering a program that certifies managers to be internal coaches and also serves on the advisory board. He received his Ph.D. from Southern Illinois University in Educational Psychology.




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