Decision Theory within the Global Marketplace
Module 7: Managing Group Dynamics in a Decision Environment: Part 2
MGT672
Table of ContentsTools
- Module Introduction
- 1. Knowledge Sharing in Saudi Arabian Organizations
- 2. Crowdsourcing
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Module Introduction
Readings
Required
- Review Chapter 10 in Judgment in Managerial Decision Making
- Buchanan, J. (2012). Think different?. Conference Board Review, 49(4), 52-58.
- Zhang, D. S., Lowry, P. B., Zhou, L., & Fu, X. L. (2007). The impact of individualism--collectivism, social presence, and group diversity on group decision making under majority influence. Journal of Management Information Systems, 23(4), 53-80.
Recommended
- Chen, J., & Kyaw-Phyo, L. (2012). User satisfaction with group decision making process and outcome. Journal of Computer Information Systems, 52(4), 30-39.
For Your Success
Module 7 continues the exploration of group dynamics. We will examine the use of technology in decision-making using crowdsourcing.
It is important always that you review your returned Critical Thinking Assignments and read the feedback left to you; then keep the feedback from each assignment in mind as you compose your next paper. In preparation for your third Critical Thinking Assignment, which is due this week, be sure to review the required readings and look at some of the recommended sources for insights into group dynamics and the impact groups have on decision-making. There is also a Live Session with your faculty this week. You are encouraged to participate.
Learning Outcomes
- Evaluate group dynamics in decision-making.
- Assess group behaviors in decision-making.
- Evaluate group decision-making processes.
1. Knowledge Sharing in Saudi Arabian Organizations
In 2014, Elaimi and Persaud performed a study to examine the influence of organizational considerations on the knowledge-sharing behavior of firms in Saudi Arabia. In the study it was discovered that Saudi firms are not fully explaining the benefits of knowledge sharing. As such, the results of the study suggested that if Saudi firms want to promote effective knowledge-sharing behavior they need to implement proactive policies to foster knowledge sharing among employees through incentives, training, and top management recognition in order to provide incentive. Further, as suggested by Barak, Herscoviz, Kaberman, and Dori (2009), knowledge is also a strategic resource for an organization and a source of power and advantage for the employees who possess it. Further, as the intangible asset of all firms, knowledge has to be carefully managed because it plays a vital role in organizational performance and is considered critical for global success (Robinson, et al., 2005).
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Moreover, Saudi organizations that encourage employees to share knowledge tend to create a knowledge-sharing culture (Alatawi, Dwivedi, Williams, & Rana, 2014). As a result, organizational initiatives are enhanced and are in a better position to help organizations improve their products and services or even solve some of the most difficult problems. As suggested by the study, Saudi Arabia is in many ways similar to other Arab states in terms of religion, tribes, and cultural norms (Alatawi et al., 2014). As such, similarities of other surrounding countries can provide clear understanding of the importance of cultural knowledge sharing, top management support, and knowledge-sharing practices within an effective knowledge-sharing organization in the Middle East (Alatawi et al., 2014, p. 6).
Regardless of the geographical context, effective organizational leaders understand the importance of knowledge sharing and building a knowledge-sharing culture within a given organization. As noted by Alatawi et. al (2014), the study of knowledge sharing has been a bit limited in Saudi Arabia, but further research has been initiated to bring about understanding of the importance of such shared knowledge within the context of Saudi Arabian firms (p.1). Current studies reveal that if Saudi firms want to promote effective knowledge-sharing behavior, then they need to go beyond merely providing technology. They should provide employee incentives and also implement proactive policies to help foster knowledge sharing throughout the organization so as to assist organizational leaders in making companywide decisions that have a direct impact on organizational performance (Alatawi, Dwivedi, Williams, & Rana, 2014; Argote, & Ingram, 2000; Argote, McEvily, & Reagans, 2003).
A relatively recent phenomenon has harnessed the power of the masses in order to retrieve knowledge and information from the public at large. Such information gained from the general public or targeted area has proven to be a powerful form of mining data and harvesting good ideas in order to overcome problems. Organizational leaders and entrepreneurs have taken advantage of such information, which has proven to be of great benefit. Such a mode of knowledge sharing and retrieval has been identified as crowdsourcing. This term was coined in reaction to the dynamics of groups who solve problems within online communities.
Crowdsourcing
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Crowdsourcing is a term that was first introduced in Wired magazine by Jeff Howe. Howe (as cited in Butterfield, 2013) used the term “crowdsourcing” to explain the way groups solve problems in online communities (visitors to blogs or websites). It is used when a member of an organization broadcasts a problem and asks others (the crowd) for solutions. The impetus behind the use of crowdsourcing is that by using technology to reach millions of people, new ideas can be generated to solve problems and make decisions. As with the group decision-making process, crowdsourcing ideas are gathered and considered in order to generate plausible solutions to problems. See how crowdsourcing works in six easy steps:
Step 1 Company Has a Problem
Company Has a Problem
Step 2 Company Broadcasts the Problem Online
Company Broadcasts the Problem Online
Step 3 The Online “Crowd” Submits Solutions
The Online “Crowd” Submits Solutions
Step 4 The Crowd and Company Vet Solutions Jointly
The Crowd and Company Vet Solutions Jointly
Step 5 Company Rewards Winning Solvers
Company Rewards Winning Solvers
Step 6 Company and Community Profit
(Source:
Company and Community Profit
(Source:
A visit to Challenge.gov illustrates how the U.S. government uses crowdsourcing. Take a few minutes to visit this website and explore some of the problems the U.S. government is attempting to resolve.
Crowdsourcing has been criticized for several reasons. Some organizational leaders are reluctant to use the “crowd” since decisions made as a result of the use of crowdsourcing may change the direction of the organization. In addition, some problems may not attract enough of a “crowd” to actually generate solutions. Butterfield suggested that the use of crowdsourcing may be good for the organization as solutions achieved can lead to increased profits but bad for the crowd members as there is little recognition or benefit for them.
Conclusion
Regardless of its weak points, crowdsourcing has been established as a highly effective means of harvesting ideas, opinions, and possible solutions by harnessing the power of the masses. There has been some criticism of such an approach, but if managed correctly, organizations can greatly benefit from such knowledge sharing. While such an approach is a relatively new phenomenon, organizational leaders should see the value and benefit of crowdsourcing and the important information that can be gained by an organization seeking to solve its problems and overcome various challenges through the sharing of knowledge and ideas.
Check Your Understanding
Compare the statement on the front side of the card with the answer on the back.
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References
Alatawi, F. M., Dwivedi, Y. K., Williams, M. D., & Rana, N. P. (2014). Conceptual model for examining knowledge management system (KMS) adoption in public sector organizations in Saudi Arabia. Paper presented at tGov Workshop ’12, London, UK. Retrieved from
KMS_ADOPTION_IN_PUBLIC_SECTOR_ORGANIZATIONS_IN_SAUDI_ARABIA
Argote, L., & Ingram, P. (2000). Knowledge transfer: A basis for competitive advantage in firms. Organizational Behavior and Human Decision Processes, 82(1), 150-169.
Argote, L., McEvily, B., & Reagans, R. (2003). Managing knowledge in organizations: An integrative framework and review of emerging themes. Management Science, 49(4), 571-582.
Barak, M., Herscoviz, O., Kaberman, Z., & Dori, Y. J. (2009). MOSAICA: A web2.0 based system for the preservation and presentation of cultural heritage.Computers & Education, 53(3), 841-852.
Butterfield, J. (2013) Problem solving and decision making (2nd ed.). Independence, KY: Cengage Publishers.
Elaimi, K. & Persaud, A. (2014). The impact of organizational factors and web 2.0 technologies on knowledge sharing in Saudi Arabian firms.The Journal of Human Resource and Adult Learning,10(2), 30-40.
Robinson, H. S., Carrillo, P. M., Anumba, C. J., & Al-Ghassani, A. M. (2005). Knowledge management practices in large construction organisations.Engineering, Construction and Architectural Management, 12(5), 431-445.