WHAT IS INCLUSIVE DECISION-MAKING?
Written by Ahmad Olawale
Inclusive decision-making is a collaborative approach that engages a diverse range of stakeholders in the decision-making process. In simpler terms, it’s when a government or organization actively involves different groups of people in important decisions, listens to their views, and lets those views shape the final outcome.
At its heart, it is not just a procedural exercise but also a transformative approach that empowers organizations to tap into their full potential by valuing diversity and embracing differing perspectives.
WHY IT MATTERS
How We Make Decisions (And Why We Get It Wrong):
To understand why inclusive decision-making is vital, it helps to look at how people naturally make decisions. Daniel Kahneman’s two-system theory reveals that System 1, the fast, intuitive thinker often leans on gut feelings and snap judgments, while System 2, the more deliberate, analytical side takes time to process information thoroughly. This means that without inclusive structures, decisions often default to the biases of the most powerful voices in the room.
The Problem with Homogeneous Groups:
Homogenous groups do not just share one another’s blind spots — they reinforce them. When decision-makers all think alike, errors compound rather than cancel out. In contrast, working with people who are different from you can challenge your brain to overcome its “stale” ways of thinking and sharpen its performance.
WHAT THE EVIDENCE SHOWS:
- Research by Cloverpop, based on an analysis of approximately 600 business decisions made by 200 different business teams over two years, found that inclusive decision-making leads to better business decisions up to 87% of the time, with decision outcomes improving by 60%.
- According to Deloitte data, diversity and inclusivity in a team setting improves decision-making quality by 20%, while inclusive leadership improves team performance by 17%. Organizations with more diverse executive teams are 21% more likely to achieve above-average profitability.
BENEFITS
- Inclusive decision-making results in higher quality outcomes. By incorporating diverse perspectives, decisions become more innovative and better aligned with the collective needs of the group or organization.
- By addressing concerns and perspectives beforehand, inclusive decision-making minimizes post-decision resistance, saving time and preventing issues from arising later.
- Having a diverse team allows for a wide range of experiences and backgrounds, which broadens the scope of ideas available.
- Employees in a diverse and inclusive company are 5.4 times as likely to want to stay for a long tenure, according to Great Place to Work research. When people feel their voices matter, commitment deepens.
- In the context of NGOs and community organizations, inclusive decision-making is particularly vital, as these organizations often work with marginalized communities. By ensuring that all voices are heard, they can create more equitable and sustainable outcomes.
BARRIER
In Inclusive decision-making, one significant barrier is the tendency for certain voices to dominate group discussions, leading to the marginalization of quieter voices or those from less privileged backgrounds.
Another barrier is the lack of awareness or understanding of inclusive practices. Some may not recognize the importance of diverse perspectives, or may feel uncomfortable engaging with individuals from different backgrounds due to cultural differences, language barriers, or simply a lack of experience in collaborative settings.
Additionally, a lack of resources would almost certainly prevent many people on lower incomes from taking part in consultation or planning events, even when organizers have the best intentions.
INCLUSIVE DECISION-MAKING BEYOND BUSINESS
The principles of inclusive decision-making extend well beyond business into governance, disability rights, and urban planning.
An estimated one billion people — 15% of the world’s population – experience disability, yet disabled people are largely excluded from society and face significant barriers to realizing their rights and being included in decisions that affect them.
When marginalized groups are left out of decisions that directly affect them, the results are not just ineffective—they are inequitable.
REFERENCES:
- Cloverpop (2017). Hacking Diversity with Inclusive Decision Making.
- Deloitte Insights (2018). Waiter, Is That Inclusion in My Soup?
- Kahneman, D. (2011). Thinking, Fast and Slow. Farrar, Straus and Giroux
- Obeya Association (2023). Inclusive Decision-Making: A Transformative Approach.
- fundsforNGOs. The Importance of Inclusive Decision-Making in NGO Collaborations.
- United Nations (2006). Convention on the Rights of Persons with Disabilities (CRPD).
- Oxford Academic / Community Development Journal (2022). Tree of Participation.
