Best practices in leading decision-making teams
Best practices in leading decision-making teams
7 minutes
Decision making is one of the most important functions in an organisation. In an ever-changing VUCA landscape, every choice counts — especially for critical business outcomes.
Hence, decision-making is best done with the right people. With the right team made up of the right people, you take in different skills and perspectives into the process. With diversity and experience, you and your team can solve problems and create strong, unified and well-informed resolutions.
Leading this unique team requires more than just assembling like-minded people and having table discussions. As this group may call for a different approach compared to others, here are some best practices to help you get started.
An immediate answer to this question is “to solve a problem”. Yet, to build an effective unit means understanding its deeper overall purpose.
Clarify the intention behind forming the team. Set a strong foundation for the group’s purpose by asking the following questions: What is the intention behind creating this team? What goals should they be able to achieve?
Choosing who will be part of it calls for more than identifying who you think will work well together. Instead, consider what the goals and target achievements are.
Then, identify who best fits the team with the RAPID framework below:
R – Who should be recommending alternatives?
A – Who has to agree to the decision?
P – Who will perform the actions needed?
I – Who is the right person to introduce hard data/facts to the team?
D – Who should make the final decision?
While it’s often said that more heads are better than one, having too many voices in the room can actually hinder a team’s effectiveness.
Research from Bain & Company reveals that decision-making teams work best with no more than seven members. In fact, for every additional person added beyond that, team effectiveness drops by roughly 10%.
Keeping the group lean not only helps ensure you’re selecting the right people but also reduces the risk of decision paralysis — a possible side effect when there are too many people involved and too many perspectives to consider.
Different perspectives and personalities can add incredible value to a team. However, if disagreements are not guided properly, they can also create tension and stall progress for your group.
Rather than allowing conflicting views to shut each other down, create a structure for your discussions. A good example of this would be the Disney Creative Strategy where one mindset at a time is encouraged and everyone can contribute without interruptions.
While quick consensus or leaning on the majority may seem like an efficient way to move forward, it often leads to shallow discussions and overlooked insights.
To truly unlock your team’s potential, create space for a variety of voices. A well-rounded group can spot blind spots others miss, but only if everyone feels empowered to speak up. Pay attention to who dominates the conversation, who tends to go along with the group and who might be holding back. Be on the lookout for other members who seem like they may have something to say. Likely, they noticed something that could greatly influence the final outcome.
Leading a decision-making team isn’t just about finding the best solution — it’s about making sure everyone is on board with it. Once the options have been explored and a path forward is chosen, gaining buy-in from the people who will carry it out is essential for real impact.
As Erik Larson puts it in 3 Best Practices for High-Performance Decision-Making Teams, “Team decisions are high-quality decisions.” But even the best option will fall flat without the commitment and support of the team behind it. That’s why clear, purposeful communication is so important. When leaders take the time to explain the “why” behind the final resolution and acknowledge each person’s input, they not only build understanding but also reinforce a sense of ownership. This helps turn agreement into genuine commitment — making the difference between a decision that’s made and one that actually moves things forward.
The business landscape is constantly evolving with fresh innovations, unconventional methods and new trends.
In this fast-paced environment, applying best practices can enhance the effectiveness and timeliness of every move. A responsive and agile decision-making group is key to sustaining momentum, making it one of the most critical drivers of long-term organisational success.
Landry, L. (2020). Why managers should invovle their team in the decision-making process. Harvard Business School Online. Retrieved from https://online.hbs.edu/blog/post/team-decision-making
