Case Studies

Research on defensive decision-making suggests between 20% and 50% of business decisions are defensive. Risk frameworks need to challenge decision-making processes effectively while also protecting decision-makers when well-made decisions lead to bad outcomes. Risk teams need to help the business define what “fairness” looks like for decision-makers at every level of seniority.

Risk frameworks are often oblivious to power dynamics, instead focusing on the robustness of the decision-making methodology and its application. This can undermine the effectiveness of risk assessments, particularly with respect to change initiatives where the impact of power dynamics is often elevated.

Case study of 3M, looking at how individual and group dynamics suppressed concerns around forever chemicals, and what lessons this may hold for risk strategy more generally.