Organizational Change and Development
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Question 1: What are the benefits of change to ACAS, UK?
ACAS is a non departmental organization in the UK which provides advisory, conciliation and arbitration services to most organization. Organizational change occurs when a firm experiences changes in its overall strategy for success. Therefore, organizational change refers to the transformations which an organization undergoes in its business strategies by adding or removing key practices or operations or undergoing a transformation in the nature under which it operates. The changes are achieved when an organization evolves through certain life cycles which may be regarded as restructuring, reorganization or turn around.
With the businesses today reaching the new levels of advanced technology, organization change is inevitable. In addition, organizations need to change the way it approaches changes within its business environment and when to implement the changes in the business itself. There are many benefits of change to ACAS, U.K. There are many ways the organization provides support for public sector organizations which seek to undergo change. ACAS, U.K understands that, in the next coming years, the public sector bodies and their employees will experience many challenges. ACAS, U.K, is a public body in itself and is recognized as an authority in change management and employment relations. ACAS, U.K provide support to NHS organizations, local government, central government, and trade unions. Therefore in order to support change initiatives in these organizations, it is essential to talk to ACAS, U.K with confidence since it is able to help an organization and the workforce to obtain better solutions.
The benefits of ACAS services to organizations are diverse, for instance;
Change is important in organizations, but the manner in which it is initiated may vary. Change initiatives can be forced upon firms by external forces or just happen as a result of the realization that the organization bay be falling behind the times. Therefore, change management is very beneficial to ACAS, U.K.
Change makes an organization competitive
Through change, the organization can become very competitive with her rivals and develop new products or come up with new skills that will enhance improved productivity. Therefore, change initiatives in the organization will enable change management team to deal with any new proposed direction. In addition, change will help the company realize the importance of the change so that it can embrace it and move foreword. It benefits the employees because it allows the application of new opportunity to try something new and gain new skills. In addition, the organization can keep constantly changing to provide a competitive edge against its competitors who will be troubled by guessing what the organization is up to (Theodore, 1976).
The Organization can respond quickly to customer demands
Change can enhance the organization’s visibility by anticipating change to support long-term as well as short term competitive strategy. On the other hand, change can increase speed by allowing the organization to make adjustments in response to changes in market demand. It can also enhance flexibility by making rapid adjustments to respond to changes in the market. Change can also allow for scalability through expanding and contracting projects, workforce, and workload as required by the organization. Change initiatives will enable the customers to have ever increasing and often unpredictable expectations. Through change, it is east to anticipate the client’s needs and make plans a head through collecting and analyzing complete information concerned with their buying patterns. Therefore, through change initiatives, the organization can provide critical information that can critically assist in forecasting what clients will need (Stephen, 2001).
Retention of employees
Change initiatives will benefit the organization when it enhances job satisfaction; hence this improves employee retention. In case the organization is not ready to adopt new changes, the current workforce will get bored with the monotony, and this may increase turnover rates, or the intent to leave the organization, in order to seek for new opportunities that may seem more challenging. With new ideas and ventures, employees will get attracted and have a feeling that they are getting into a fresh venture; hence will be more willing to work for the company as a result of enthusiasm of the new venture. Therefore, this will ensure that job satisfaction and morale are increased.
Provide a way to anticipate new challenges and respond to this efficiently
When the organization adopts change, employees will get an opportunity to tackle emerging challenges that arises from adopting organizational change. In addition, ACAS will also have the opportunity to tackle new challenges with the new and expanded market in which they operate in.
Acquisition of new clientele
Change within the organization can simply enhance the client’s appeal to more potential customers and may even influence customers loyal to the company’s rivals.
Change can allow sharing of ideas
Incase of a merger, the company will be able to increase talent in the workforce, and this will allow for the creation of new ideas from the different bits that employees may present to the organization. This will make the organization come up with more products which may be appealing to consumers.
Change initiatives in the organization will enable works to develop new concepts that will provide equal opportunity to the employees based on their capabilities and not as a result of gender differences.
Change Help to contain cost associated with the change
When the organization implements change, sometimes this may result into risks of disrupting productivity and making the company accrue many costs. However, by properly managing change within the organization, it is possible to reduce the incidents that may negatively affect the efficiency; hence, assist in maintaining the productivity of the company. Therefore, when change process is managed appropriately, workers will be successful throughout the change process and instill confidence in them which can control the costs associated with change.
Change is very beneficial to organizations especially in gap analysis. It may enable the organization to identify existing skills, competencies as well as, resources. An honest assessment of change will allow for alignment of existing skills set, resources and competencies of employees, processes and technologies with organizational goals.
Question 2: What are the techniques of change to ACAS, UK?
Organizations must be able to adapt to change; however, managing change may be a daunting task to most organizations since employees get accustomed to one way of doing things. On the other hand, change can result into stress for many people. One of the proven techniques of managing change is the gradual introduction of the change initiatives. Therefore, by introducing new techniques, procedures as well as responsibilities, the shock of the new initiative will be reduced.
Techniques/strategies of change
Education and Communication
Teaching people about change is an effective strategy than to stay in workplace environments where the changes initiatives are resisted. Employees should be taught how to embrace change and how to be logical in improving the processes and the entire organization. Therefore, education and communication is the most important way to overcome any resistance to any change initiative by teaching people about the desired changes beforehand. Education and training are good strategies that enable individuals to see the logic in the change effort by minimizing any errors on the impacts of change at the workplace. The best way to offer education is through presentations, communications as well as full-on training sessions (Collins & Guetzkow, 1964).
Education gives team members the power to change. Through education, it is important what new skills will be necessary to effectively implement the desired changes and train. It is vital to ensure that employees fell confident and comfortable with their new roles hence, they will be less likely to become discouraged by their new roles or responsibilities. By creating an education or training plan ahead of time, employees will be adapt the necessary speed and assist in making the transition. Communication is an important method of managing change in an organization. It is important to schedule meetings with team members to discuss the new requirements. In addition, keeping open communication structure throughout the change process will enable team members to come up with questions without having negative feelings of being out of line.
Participation and involvement
In all organizations, employees form the most important pillar and are the most valuable asset that contributes to organizational success. The involvement of employees in the daily operations of an organization motivates them and enables them to contribute more effectively. Employee involvement is a process that involves participation, communication as well as decision making, which contributes to democracy and employee motivation. It is a commitment of the employees towards organizational values and the willingness to assist each other in order to achieve the desired organizational needs. In addition, employee involvement enhances an environment where employees have a continuous impact on decisions and actions that affect their roles. Therefore, when employees are involved in any change initiative in an organization, they become more likely to adapt into the desired change rather that oppose or resist the desired changes. Hence, this is a vital process which is likely to minimize any resistance in order to enable people adapt to the change (Myers & Lamm, 1976).
Facilitation and support
Facilitation and support is another important way that can be applied in organizations to deal with problems of resistance to change. Facilitation and support is a process that might include the provision of training in the acquisition of new skills of providing employee’s time off after demanding a period or simply listening and providing emotional support to team members. Facilitation and support is the best method when fear and anxiety lie at the heart of resistance. At times, seasoned HR professionals often overlook or ignore resistance to change. In addition, where there is no adequate time and money, this approach is more likely to fail.
Negotiation and agreement
Negotiation and agreement is another beneficial approach to deal with resistance to change. It provides incentives to active or potential resistors to change. For example, if an organizational management may provide higher wage in return for the rule change, this may increase an individual's pension benefits, as a result of return for early retirement. Through negotiation and agreement, managers may provide incentives which may allow employees not to resist change. This approach may achieve through allowing the resistors to change to veto the elements which may be threatening in order to avoid having experienced the change effort. In addition, negotiation and agreement is a better approach in circumstances where the resistors to change happen to be in power.
Manipulation and cooption
In most organizations, managers do not like admitting to apply this tactic. This is an attempt to influence employees. However, engaging those who are neutral or opposed to change in group discussions and involved in ingratiating behavior will alter the perspectives and cause resistance to change. Co-option involves patronizing and bringing employees to change management and planning for the sake of appearances instead of substantive contribution. It involves the selection of leaders to participate in the change effort by assigning the leaders a symbolic role in decision making without threatening the change effort.
Forms of manipulation may negatively influence the process of change to a greater extent. When managers act as manipulators their ability to apply the needed approaches such as education and communication, participation and involvement which may the career of the managers may be hindered. Some managers do manipulate others successfully, especially when the other approaches are not feasible. For instance, when there is no alternative or appropriate time to support or involve employees without power or other resources to negotiate, coerce or co-adopt them. Therefore, HR professional opt to manipulate the channels for information in order to scare people into thinking that there is a crisis which only be achieved through change.
This process involves the application of potential threats or force on the resistors of change. In some circumstance, people may be forced to accept the change process by threatening those who resist change with undesirable consequences. This is an important strategy which may be applied when the desired changes have to be speedily enforced, especially when the changes are of a temporary nature or when the person initiating change is of considerable power. However, coercion may make people angry and resort to mean behavior in the long-run. Other examples of coercion includes are the threats of transfer, loss of promotion, negative performance evaluations, as well as poor recommendation letters.
In most cases involving change, the reaction of people may be negative or positive. However, the positive reaction assists the management in facilitating the change process within the organization. On the other hand, a negative reaction creates resistance to the introduction of the change process. However, the core factors of resistance to change are economic and social as a result of the need of security due the status as well as the authority apprehensions. The resistance to change can be grouped as individual and organizational. Therefore, in order to overcome resistance to change, HR professional must understand the common causes of resistance; hence calling for effective resistance to change using the mentioned strategies to confront the problem of change.
Question 3: What are the difficulties and challenges of Virtual Work Group?
Many organizations are currently embracing the concept of virtual work groups. The term refers to an independent group of individuals who predominantly use technology to communicate, collaborate and share information to coordinate their efforts to accomplish a common goal or work related objective. These individuals use technologies such as e-mails, shared data bases and are mandated by company policy and employment requirements. There are many opportunities of virtual teams to the operation of an organization. The virtual teams enable an organization to adapt very fast to the global economy; they also make a company to leverage talent from a large network of people hence increasing the diversity of perspectives. Other advantages include the reduction of travel cost and mandatory relocation, improve work life balance and employee job satisfaction as well as, decrease opportunity costs. Effective virtual teams share team objectives, have knowledge of what to do, and possess equipment on what to do, have the ability to do it, and finally the desire to do what.
Difficulties and challenges of VWG
VWG face the following difficulties and challenges. There are common conflicts and uneven knowledge dissemination. There could be mistrust for example in e-mail lags. Other challenges include misinterpretation, relaxed inhibitions since reaching consensus is not easy. Other challenges include a longer duration in decision making. Other factors that make VWG difficult are language barriers, distance, differences in time-zone, cultural diversity and communication styles. In addition, as the trends of the virtual teams spread, the effectiveness of the global workforce could be reduced. This challenge of communication is more aggravated when physical interaction is removed.
Senior managers may become uncomfortable when they lead teams virtually. Other challenges include insufficient time to built team relationships, problems with speed and decision making approaches, differences in leadership styles and team members who do not participate. All these combined makes conflict resolution and decision making expressing opinions, delivering quality output and generating innovative ideas more difficult. The most cited challenge cited is the inability to read verbal cues, lack of collegiality, and the difficulty in establishing a rapport of trust combined with a sense of isolation. As explained earlier, differences in time zones, language barriers, differences in local laws and customs affect the VWG.
Misreading face to face cues is a challenge to the VWG. It is a challenge which is built on building team relationships since face-to face interactions was considered important in building team relationships. However, the future generation will be comfortable in using virtual technology. Therefore, since the use of virtual teams is on the increase globally, it is necessary to introduce training on this field since it is only way forward and organizations need to establish the best way to work. However, the conflicts may be resolved through e-mails or videoconferencing by asking questions.
Conflicts may also occur when the tools which are used are not matched with the task. This may cause some team members to complain that other team members may be applying instant messaging to resolve conflicts when resolution is never reached.
The major factor in Virtual Work Groups is the predominant use of technology. VWG ensure that the team coordinates the project tasks, measures performance, provides formative and motivational feedback, ensures equality in information distribution, comprehends local issues affecting the organization, build trust, and communicates without the application of verbal cues. The HR professional should be proactive by recognizing the trends of the VWG trends in the organization. In addition, he should be strategic by planning and implementing policies and procedures which are supportive and can institutionalize the virtual team. Furthermore, he should ensure that the team members have competencies, skills and technologies which are required to achieve success.
In order to resolve the challenges and difficulties of the VWG, it was observed that online training and support could greatly assist. Other suggestion is that the teams working across different time zones could rotate the time of their virtual meetings in order to avoid the inconveniences to team members. On the other hand, building team relationships through trust could be enhanced through contact with other members since it still it is an opportunity for improved virtual communication techniques. Therefore, the key to managing successful virtual teams is through communication. Lack of good communication it is not possible for teams to function effectively.
Topic: Norms and Conformity
Question 4: Factors of a successful team the Belbin ways?
There are nine team roles which were identified by Belbin, but he categorized them into three distinct categories which are action oriented, people oriented, as well as, though oriented. All the team roles are associated with typical behavioral and interpersonal strengths. Belbin team roles can assist in ensuring that the necessary team roles address potential behavioral tensions or weaknesses among team members. This is beneficial since it allows the team members can create a more balanced team. In addition, it can assist people to understand their roles within a given team so that the organization develops the strengths and manages the weaknesses.
Action oriented roles
a. Shaper: - these are individuals who challenge an organization to improve. The shapers are usually extroverted people who like stimulating others, question their norms, and looks for best ways to solve issues. In addition, they shake things up to ensure that possibilities are considered and that an organization does not become complacent. In addition, they see obstacles as existing challenges and have the courage to push on when others feel like quitting. However, the potential weaknesses of the shapers are that they may be argumentative and may offend people’s feelings.
b. Implementers: - These are individuals in organization who make things done through turning to team members’ ideas into practical actions and plans. Implementers are individuals who work systematically and efficiently and are also well organized. Thus, in an organization, these are individual’s who may be counted on to make a work done.
c. CF: - Completer- finisher:- In an organization, these are individuals who ensure that projects are completed by ensuring that no errors and omissions are left through paying attention on to the smallest of the details. In addition, these are individuals who ensure that the deadlines are met and sure that jobs are completed on time.
d. Coordinator: - These are individuals who take on the traditional team leader. They guide the team to achieve the best direction are often good listeners and naturally able to recognize the value that each team member bring to the table. Coordinators are good natured and delegate their tasks effectively. However, coordinators have potential weaknesses since they may delegate away too much responsibility and may be manipulative to team members.
e. TW- Team Worker: - are individuals who give support and ensure that individuals within the team work together effectively. Their duty is to fill roles as mediators and is flexible, diplomatic, as well as, perspective. Team workers are popular individuals who have the capacity in their own right and prioritize team cohesion by helping people get along. However, their weakness is that these individuals may tend to be indecisive in their positions during discussions as well as decision making.
f. RI-Resource Investigators:- In an organization, these are individuals who are innovative and curious. Resource innovators explore available options, develop contacts, and are available to negotiate for resources on behalf of the team members. These individuals are also enthusiastic team members who collaborate with external stakeholders in order to help team members in accomplishing their objectives. They also exhibit outgoing characteristics and are often extroverted. Team members are often receptive to resource investigators and their ideas.
g. Plant (PL): - this refers to creative innovators who brings new ideas and approaches to an organization. These people are introverted and prefer working exclusively since they have novel ideas, they may be impractical at times. In some cases, the plants are poor communicators and tend to ignore certain parameters and constraints.
h. Monitor-Evaluator (ME): - These are individuals who function best in analyzing and evaluating ideas which other team members come up with. They carefully analyze the advantages and disadvantages of all the alternatives before making a decision. They are referred to as critical thinkers and are very strategic in their roles; however, they may be poor innovators who may not solve events.
i. Specialists (SP): - These are individuals who possess specialized knowledge needed to execute a Job. Specialists are individuals who have pride in their skills and necessary abilities. Their role is aimed at maintaining their professional status. In an organization, the work of specialists is to be committed fully in their field of expertise. However, their contribution may be limited to their contribution.
The four elements of the Belbin’s team roles include leadership, generation of ideas, social skills, as well as, activity.
A leader has the responsibility to create great teams. Thus, a successful leader should ensure that he makes an effort to learn and practice skills, knowledge and understanding. An efficient leader must also have communication skills, build effective teams, and become a risk taker. On the other hand, an effective leader should be motivating to the team members and inspire them to enhance team spirit through enhancing job satisfaction. A good leader should be able to delegate his tasks and should be in a position to empower employees. Another important element of good leadership is setting goals and vision for the team members; therefore, an affective leader should understand the needs of the team members.
This is concerned with gathering vital information from the team members, such as, through brain storming. Under this process, leaders should involve employees in idea generation and should not be dominant to team members.
Within successful teams, there are various different relationships between individuals who share a work environment. There may be numerous problems that can negatively influence the health and emotional well-being of employees. Therefore, it is important to show the following social skills at the workplace. For instance, employees should have sensitivity that translates into high attentive listening abilities, have confidence in communication, and be inquisitive by asking appropriate questions that will allow for easy interaction with team members, influence others to reconsider their opposing decisions, show respect to others, cooperate with others to enhance the cohesive structure which is a perquisite for a successful team, and show generous attitude to others to buoy their tasks as well as career undertakings.
iv. Activity: - this is important to achieve success in a team. Having an activity can enable team members enhance cohesiveness within the group by enabling team members to understand one another by doing the same work together in order to achieve organizational goals. Having an activity make team members to feel good about one another and get to understand each other better.
Extrovert roles: this are undertaken by outward looking individuals whose main orientation is not within the team for instance the shapers, resource investigators, chairman, plant,
Introvert roles: The introvert roles are executed by inward looking people who are basically concerned with relations and task within the group. These includes the monitor-evaluator, the team worker, company worker, the completer finisher,
The ideas brought by Belbin are applied by most organizations since they make sense and are practical. The tools can be applied to identify the individual; prefer roles and assist team members to apply the best approach of each role. The concept functions best when applied openly within a team or a cross an organization. Therefore, the preferences of each individual can only be considered crucial when they are understood by other team members. A role can be identified as a form of team building if it reinforces the fact that every team member is contributing something new to the team. Therefore, all team members need each other for the team to be successful.
Question 5: What are the methods of upward communication?
Communication refers to imparting information, ideas or understanding and involves any type of behavior which results in exchange of facts, ideas, opinions and emotions between individuals. The information of facts as well as figures which are related to the varied facts and figures related to varied aspects of business activities and required in transmitting information needed to impart the idea. When the managers have to transmit information down the lines of authority, it is also important for information continues emanating from levels below them, which is the communication channel used to push information flow upwards. It is referred to as upward flow of communication. There are various advantages of upward flow of communication.
Employee suggestion schemes
Employee suggestion schemes are formal projects which are established employees to communicate their ideas to managers on how the working methods may be improved. The employees get reward if their ideas are beneficial and deemed acceptable for implementation. In an organization, the employee suggestion schemes may be in the form of electronics or paper based. In project teams, these tools are used to bring individual together on a regular basis to discuss issues relating to the organization’s work but may also involve wider questions concerning the vision and mission f the organization. The suggestion schemes may also be used to come up with an excellent review of an operation.
Grievance systems are procedures which are formal communication between managers and employees, and are designed for grievance settlement. The procedures vary in different organizations and may include open door policy or step ladder policy. In the step ladder policy, the aggrieved employee must follow a step by step procedure in order to get his or her grievances solved. Therefore, when an employee is confronted with any grievance, the issue is presented to the manager or to the front line managers. However, when the employee is not satisfied with the decision of the manager, the grievance is forwarded to the departmental head. When it fails, the matter is forwarded to the chief executive, and incase of any failure, the matter is forwarded for arbitration (Vidmar & Burdeny, 1971).
Open door policy
Under the open door policy, the employee who is aggrieved has the freedom to meet the chief executives in order to get his or her grievances solved. This is an important policy which operates well in small organizations. However, in bigger firms, top executives are always having other commitments. On the other hand, it is believed that this approach is more suitable for executives, since operational staff may be shy to approach the top level management.
Employee attitude surveys are important upward channel of communication from the staff to the organizational leaders. Employee surveys are used to obtain some important information on employee perception of fairness, training opportunities, pay systems. Therefore, they can provide leaders with early warning issues before they aggravate into major employee relation difficulties. In addition, they can assist managers to make internal comparisons of employee morale as well as behavior across a number of department sites. In addition, they provide views of the employee information on specific HR practices, for instance operation of the disciplinary and grievance procedures. Finally, they provide employees, in particular undertakings or establishments with rights to information and consultation on various organizational or business issues. In some organizations, work councils provides for a compulsory information exchange and cooperation negotiations between employees and employers or any other representative elected by the employees. Cooperation between the employees and employees may be arranged in the form of a joint committee which involves employer and employee representatives and may cover different work related issues.
Work councils are permanent representatives set up on the basis of law or collective agreements charged with the role of promoting cooperation within an organization for the benefit of the organization itself, as well as employees, by enhancing good and stable workplace environment, improving welfare and security of employees and their understanding of the organizational operation, finance as well as, competitiveness. In some situations, the work councils dispose of budgetary prerogatives, and their role is extended to participation in welfare issues for workers, their families, and is organized by the organization (Shaw, 1976). They have the right of co-determination, and participation in the management of the organization. In addition, they are informed on a regular basis on the progress of the establishment, including employee matters and developments within the sectors affecting them. They also implement and monitor labor laws, social security, employment and health regulations and conditions of work establishments through agreements, customs and practice. They are also charged with taking appropriate steps in a situation where the regulation aforementioned is not respected by the employer. The work councils are work place employee representatives or participative structures which is an important definitive feature of industrial relations.
Upward communication is important since it provides feedback to the management. Therefore, it allows management to ascertain whether the directives provided lower status which should be understood properly and also obtains vital information on what the employee think on organizational policies. It also allows for out-let for the sent-up operations since it provides employees with opportunities to forward their grievances to the management. In this form of communication, employees have constructive suggestion which is able to promote the welfare of the organization. On the other hand, it allows for an easier introduction of new schemes without antagonizing the employees.
Question 6: What is “Risky Shift” phenomenon and why does it occurs in teams?
The term is used to refer to the tendency for group members to taker more risks than an individual within a group would have experienced if they had been faced with the same problem alone. Baumeister and Bushman (2008) observed that there were inconsistencies in the introduction of the term. However, it correlated well with the basic principles or group think which refers to a method of thinking where people strive for unanimity to override their motivations. There is a possibility for group members to take opposing views whereby by one opposing view will be to lean towards the idea of conservatism. However, there may be inconsistencies since the group environment could encourage anti-social behavior; however, it would be unfair if the group members do not behave in the same manner; hence, the emotional bonds which are created within the group may decrease the anxiety within the group and the actual risk of the situation. In an organization, the presence of risk takers may influence the decisions of other team members within the group.
Stoner (1961) made a suggestion that when people are in groups; they tend to arrive at decisions which involve greater risks than when they are at an individual level. Later this became to be known as the risky shift phenomenon (Shaw, 1976). Therefore, it refers to a tendency for decisions made in a group to be less conservative than the decisions made by the average group member. In other words, the risky shift refers to a form of group polarization, or the tendency of group members to make a decision on a more intense action than would rather be suggested by an average of their individual judgments.
This followed an experiment on risks and group decisions where the experiment involved the administration of a choice dilemma questionnaire. In the questionnaire, there were twelve different situations, which were described and each of the questions required a dilemma to be resolved in order to come up with a suitable decision. The study process involved three stages and two experimental conditions (Shaw, 1976). In addition, the experiments of this type were regarded as repeated measure experiments and for the risky shift, it was revealed that individuals tend to come up with more risky decisions after a group discussion and the group also have a tendency of arriving at risky decisions than individuals. Following this experimentation, there have been a number of discussions as well as explanations which have been put regarding this phenomenon. These explanations include
a. Responsibility diffusion: In this context it is argued that, within a group, individuals tend to have less responsibility. In addition, individuals may be in a position to avoid personal responsibility for any anticipated failure. For instance, there are comments that an individual may make such as, I understood that it would not work, but other group members would insist on adopting the approach. Such arguments are extremely familiar in most group discussions. In addition, after a re-examination of the original data it was found out that some f the original questions resulted into group responses, which were rather considered more cautious than individual ones. Thus, an assumption can be made that there may be exaggeration effect at work, instead of a unidirectional shift in risk taking.
b. Cultural values: in other words, the risky shift phenomenon may be better explained in terms of the existing cultural values that surrounds a group. Fore instance, if a group is composed of individuals for whom the risk is a normal part of life, then perhaps the group members will tend to favor the approach in their collective decision making.
c. Rational decision making: in some cases, it is possible that a group is able to utilize the talents of its group members in the discussion process. This condition enhances the opportunity of the group members to evaluate the arguments fully and come up with a more fully informed decision than an individual would be capable of doing.
The risky shift phenomenon has been used to predict that group members are happier to live with uncertainty than at the individual level; however, the main cause of the risky shift phenomenon or the worries which regards the generality of the phenomenon or point of interest is that individuals may be manipulated in when making decisions. Therefore, it is the perceptual process which must be examined to assist in guiding or educating individuals on how to arrive at better decisions.