In yesterdayโs iBsing pioneers call we focused on decision-making in S&OP.
The decision-making process can be described in 5 steps:
1. ๐๐ง๐ข๐ญ๐ข๐๐ญ๐ ๐๐ก๐๐ง๐ ๐ โ typically the change is triggered by a โtensionโ, when the current perception of the business situation is not aligned with the expectation. We talk about the โHuman Sensor Networkโ, because each employee can recognise such disconnects and initiate a change.
2. ๐๐ง๐๐๐ซ๐ฌ๐ญ๐๐ง๐ ๐๐ซ๐ข๐ฏ๐๐ซ๐ฌ ๐๐ง๐ ๐ฐ๐จ๐ซ๐ค โ moving away from emotions and using facts and analysis to understand the vision and target condition for the change
3. ๐๐๐ฏ๐๐ฅ๐จ๐ฉ ๐จ๐ฉ๐ญ๐ข๐จ๐ง๐ฌ โ identify several options towards the target condition
4. ๐
๐ข๐ง๐ ๐๐จ๐ง๐ฌ๐๐ง๐ญ โ choose one option and make sure there are no valid objections (in conflict with the agreed accountabilities of a department)ย against the final decision
5. ๐๐๐๐ซ๐ง ๐๐ฌ ๐ ๐ญ๐๐๐ฆ โ regular governance to reflect on decisions where the current organisational set upย showed shortcomings and improve the framework accordingly
We realised, that the first step might be the most difficult one, and ๐๐ฎ๐ฉ๐ฉ๐ฅ๐ฒ ๐๐ก๐๐ข๐ง ๐ฉ๐ซ๐จ๐๐๐ฌ๐ฌ๐ข๐จ๐ง๐๐ฅ๐ฌ ๐๐ซ๐ oftenย not ๐ญ๐ซ๐๐ข๐ง๐๐ to master the first step.
Special thanks to all participants and toย Timo Bezjakย for providing a lot of valuable suggestions how to improve cross-functional decision-making based on Sociocracy 3.0 (https://sociocracy30.org/), a social technology to help organizations build agility and resilience.