Reading 19 Cognitively skilled organizational decision making: Making senses deciding

Introduction The aim of this chapter is to bring the organizational cognition approach to decision making together with a sensemaking perspective on deciding, to develop a more integrative understanding of how people “do decision making” It begins by positioning this approach within decision-making research. It then explains the concepts of sensemaking and deciding, and sense reading and sense wrighting; explores why such skills are critical to the processes of organizational decision making; and finally, why this is an important area for future research.

Decision making research: Most research has investigated decision making from ‘information processing’ perspective There has been a focus on the role of heuristic and biases with less attention to developing a more sociological or sensemaking perspective, concerned with how managers socially construct their organizational worlds and their competitive environment Decision-makers face a dilemma over whether to exploit current information or to explore the environment further

Decision making research: A sensemaking perspective pays attention to how people “deal with” constraints imposed by their information processing limitations and their organizational context, delving into the socio-political nature of organizations to show that the answer to better decision making does not necessary lie with the provision of greater quantities of more accurate, objective and timely data.

Sensemaking and deciding: Sensemaking is namely making something sensible. It is a social process of meaning construction and reconstruction that enables individuals through interacting with others to collectively create, maintain and interpret the world. It also focus on disaster and inquiry sensemaking This does show how people and stakeholder groups position themselves to have their account of events accepted over the accounts of others, revealing the importance of understanding the role of agency in decision making.

Sensemaking and deciding: To achieve this, individuals within groups engage in skilful sensegiving, stage management and front and backstage activity so they can refashion the signals coming from other players and draw others into their agenda. Sensegiving is a process of attempting to influence the sensemaking and making construction of others toward a preferred redefinition of social reality. It is useful because it introduces agency, adding a political dimension

Sensemaking and deciding: It is very important to have integration with more sociological approaches, as it introduces a focus on the process of social interaction The sensemaking perspective is concerned with the process of decision making process. It is a dual, cyclical and ongoing process of sensereading and sensewrigthing to better describe the aspect of skilled practice that is the focus of attention and to clarify the relationship between sensemaking and sensegiving.

Sensereading and Sensewrighting: The intertwined concepts of framing, sensegiving, sensereading and sensewrighting are all related to the resources, process and meaning of power effects in organizational decision making Framing: shaping the meaning of a subject and sharing it with others. Sensegiving: attempts to influence sensemaking and construction of meaning toward a preferred redefinition of social reality Sensereading: perception of circumstances and aligning of interpretation Sensewrighting: inheriting, shaping and reflecting the understanding of the world.

Sensereading and Sensewrighting In tradition, of sensemaking, image theory suggests that decision makers use their image (a individual store of knowledge) to set standards that guide decisions about goals and plans. In image theory: a frame consists of the principles, goals and plans and is used to set standards that influence decisions

Skill practitioners The way CEO or others behave during deciding in term the range of random responses through ongoing senswrighting and sensereading , it is important to stay with the argument that people cannot dive sense per se. Leaders may be able to limit the range of alternative senses available to others , so as to increase the likehood that they can ultimately achieve some alignment in interpretations .

Skill practitioners Three types of power to help make sense of influencing Resources power :- is to do with overt decision making , enacted through the use of resources , such funds , information ( hire, fire, reward). Process power :- In addition , those who control the agendas of meeting ,for example, are able to draw on process power so that other actors are effectively prevented from participating and therefore influencing decision making

Skill practitioners 3. Meaning power:-is to do symbolic power and the use of symbols , rituals, language and co-option ,for example, to shape perception cognition and preferences,

For further information, Read reading 19 for Block 3