Question

A team must decide whether to adopt a new procedure for submitting expense claims. Team members have decided to continue their discussion until all team members have aired their opinions and, ultimately, agree. What method for reaching group decisions is this team using?

a. Majority
b. Consensus
c. Authority rule with discussion
d. Averaging

Answer 1

The team is using consensus, which seeks universal agreement among members and allows for thorough discussion until a mutually acceptable decision is reached.

Step-by-step explanation:

The method for reaching group decisions where team members decide to continue their discussion until all have aired their opinions and ultimately agree is called consensus. Unlike majority or plurality voting, where decisions are made when more than 50% of the participants vote for an option, or a supermajority rule, which could require a 60%, 67%, or even 75% vote for a decision, consensus seeks unity and collective agreement. This method ensures that everyone is heard, and the final decision is acceptable to all, even though it may result in higher transaction costs due to the time and effort it takes to reach agreement.