PARTICIPATIVE DECISION-MAKING

Sarveer Kaur

Faculty, Surya School of Business Management

 Participative decision-making (PDM) is the extent to which employers allow or encourage employees to share or participate in organizational decision-making. PDM is one of many ways in which an organization can make decisions. Participative management (PM) is known by many names including shared leadership, employee empowerment, employee involvement, participative decision-making, dispersed leadership, open-book management, or industrial democracy. The basic concept involves any power-sharing arrangement in which workplace influence is shared among individuals who are otherwise hierarchical unequal’s. Such power-sharing arrangements may entail various employee involvement schemes resulting in co-determination of working conditions, problem solving, and decision-making. However, organizations benefit from the perceived motivational influences of employees. When employees participate in the decision-making process, they improve understanding and perceptions among colleagues and superiors, and enhance personnel value in the organization.The outcomes are various in PDM. In the aspect of employees, PDM refers to job satisfaction and performance, which are usually recognized as commitment and productivity. Decisions are made differently within organizations having diverse environments. A PDM style includes any type of decision transfer from a superior to their subordinates. Decision makers cannot be experts in all fields. In such situations, the decision maker delegates full or partial responsibility of decision-making for a particular area of concern, to the expert on the team for best management outcomes. The participative leader retains the responsibility of final compilation of the draft responses from all. Such delegation is work specific and singular. It depends on the decision maker to compile the expert reports for the final response. Advantages of this type of decision-making process makes the group members feel engaged in the process, more motivated and creative. In an autocratic participative decision-making style, similar to the collective style, the leader takes control of and responsibility for the final decision. The difference is that in an autocratic style, members of the organizations are not included and the final outcome is the responsibility of the leader. This is the best style to use in an emergency when an immediate decision is needed.   The primary aim of PDM is for the organization to benefit from the “perceived motivational effects of increased employee involvement”. In Surya World Institute Of Academic Excellence we can find that each and every task is performed as per rules of participative decision making. Suryauday was best example where different events were handled by faculties from different department and also by the interested students.

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