Case: Extraction of Natural Gas
You are the leader of a local council planning committee and you are aware that a planning application for fracking has recently been received. This involves the extraction of natural gas from under the ground using water pressure. You realize that allowing this project to go ahead could lead to the creation of many new local jobs but that the situation will require very careful handling because of the controversial nature of the process. Huge amounts of water are required on site to enable the process to work and there is also the possibility of chemical pollution, subsidence and even earth tremors.
You have to weigh up the economic benefits of allowing the application against the environmental concerns. There are eight other members in the committee, to assist you, but they have different opinions on the desirability of the project. Environmental protesters have already begun to arrive so you and your committee need to arrive at a speedy decision.
Analysis and Recommendation
Using the problem requirements, decision rules, and leadership styles of the Normative Decision Model, indicate which decision style(s) would be most appropriate.
1. What type of problem is it: group or individual?
2. Contingency factors:
Is there a quality requirement?
How important is the commitment of subordinates to the decision?
Does the leader have enough information to make a high-quality decision?
Is the problem clear and structured?
Is employee acceptance of the decision needed for its implementation?
Will subordinates accept the decision if the leader makes it by himself or herself?
Do subordinates share the organization's goals for the problem?
Is there conflict among subordinates (are they cohesive) regarding the problem?
3. What are acceptable decision styles? Why?
4. What are unacceptable decision styles? Why?