Page 76 - (DK) The Business Book

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DISSENT ADDS SPICE,

SPIRIT, AND AN

INVIGORATING QUALITY

BEWARE THE YES-MEN

or many employees,
IN CONTEXT working within an

FOCUS If managers F organization means forever
are only brought saying “yes.” Fearful of losing their
Behavioral management
good news... jobs, eager to please, and ambitious
KEY DATES for promotion, subordinates are
1992 Indian economist Abhijit often happy to pass on good news,
V Banerjee looks at how but reluctant to deliver bad news.
decision makers refer to the This might be good for their
choices made by previous manager’s ego but it can be
damaging for the business—if
decision makers for guidance,
...they are forced to make bad news is hidden, managers lack
in his book A Simple Model of
decisions based on incomplete vital information and can make
Herd Behavior.
or inaccurate information. bad decisions as a consequence.
1993 US economist Canice This can happen at the highest
Prendergast writes A Theory of levels with catastrophic results.
Yes Men, identifying the A Financial Services Report in
tendency of subordinates to 2012 on the Royal Bank of Scotland
agree with their superiors (RBS) suggested that the bank’s
as a “market failure.” failure in 2008 was, in part, due to
Leaders should beware
“a lack of effective challenge by the
1997 US psycholinguistics “the yes-men”
and embrace constructive board and senior managers to the
expert Suzette Elgin writes
conflict in their companies. CEO’s proposals, resulting in risks
How to Disagree without Being
being overlooked and strategic
Disagreeable.
mistakes being made.”
2000s Leadership theory
encourages leaders to embrace A tolerant business culture
constructive conflict as a Being an effective leader involves
recognizing that it is impossible to
healthy, and necessary, part
Sometimes “no” be right all of the time. Seeking,
of the business environment.
is ultimately more and graciously accepting, critical
useful than “yes.” feedback from trusted colleagues
can help maintain a balanced
perspective. The challenge for