Option Based Consultation
The option-based consultation model, developed by IPA training and development director Derek Luckhust, is becoming more relevant as employers worry about sharing sensitive information; who makes important decisions; and how much time it takes to develop robust structures for information and consultation.
Such issues are of concern, even for organisations that already have a staff forum or recognised trade union. Often consultation takes place only after a decision to implement business change has been reached – which is not true consultation.
Identifying the need for change
Option-based consultation does what is says on the tin. When the need for business change is identified, managers consider a number of options to meet that need. Extremely rarely is a decision taken without evaluating choices, and all cases have at least two – do something or do nothing.
Employees generally have little idea about the options their managers have considered – in a redundancy situation for example it is often the case that empoyees believe the redundancies are the business objective, rather than the consequence of it.
Such circumstances make it difficult to gain buy-in to any change process.
It is also rare for employee representatives to be included at the early stage of the decision making process, resulting in a feeling of fait accompli when talks start about how to implement the decision. By this stage it is too late for representatives to influence the decision arrived at.
Looking at the options
It is important to begin consultation with staff representatives before one option is selected as the way forward – ideally as soon as a business objective is identified. Of course, this has implications for managers in sharing potentially sensitive information, and in doing so they should clearly establish everyone’s responsibilities for the protection of confidential information. Employee and trade union representatives must be aware that disclosure of confidential information is not acceptable and in the IPA’s experience disclosures of this sort rarely happen.
A real opportunity to influence
Because employee representatives are involved in discussions before the final decision, they have a real opportunity to influence the outcome. After the decision has been made there are two possible outcomes – agreement or disagreement – often the latter. Footballers find it impossible to get a referee to change their mind after a decsions, however unjust. The psychology in the consultation process is no different; once managers have make a decision, changing it is almost impossible unless industrial muscle is used (and this is often un unsuccessful tactic).
The discipline of stating the business objectives, with their rationale, is a good one for managers. In response, employee representatives who are unhappy with the options of the table can always suggest alternatives. This presents them with a greater challenge than just saying “no”. but they must think carefully about an other further options that may be more palatable to employees.
This point in the process should facilitate a shared understanding of the need for change and the various ways to consider making. There may not be agreement – nor is that necessary – but a clear grasp of why something must change is fundamental to the success of the process.
If the representatives do not understand or agree with the business case, they should challenge it. Management should also challenge them to come up with alternatives. The aim is to produce a healthy, mature and courteous discussion, seeking to achieve the organisation’s needs while taking into account the views and concerns of its staff.
Making the decision
With all of this information about the options and the employees’ representatives‘ views to hand, management then has the responsibility to make the decision. For this process is not about removing the right of managers to make decisions – in fact it firmly establishes this right.
More importantly, it extends the right of the representatives – they need to have a full and clear explanation of why a decision has been made and why other options have been rejected. This is a key communication tool for the representatives; they may not buy-in to every decision, but they will be able to explain the reasoning with authority to their constituents or members. The importance of such authority should not be under-estimated in helping to create a more open, transparent and trusting culture.
Consulting on communication
Communicating with constituents or members is an integral part of the consultation process. Depending in the issue under discussion, this might take early on, by canvassing views and reporting back. Alternatively, the consultation process might require total confidentiality until an announcement is made (perhaps jointly). All parties have a shared interest in making sure communication is delivered effectively, so this too should be included in the consultation.
Reaping the benefits
Option-based consultation will also achieve real business benefits through improved decision-making – and by removing the gap between decision-makers and those they affect. This model can work equally well in a unionised or non-unionised environment, provided the representatives are trained in the skills and behaviours needed to make the process work properly.
Training for managers is equally important and may require a change in attitudes. It should mean feeling more comfortable in engaging in the consultation process much earlier – so that in turn the change process is more effective. Training for trade union representatives may also require a change of attitude and the development of a greater ability to influence.
This model is vital for underpinning partnership working. While a number of partnership agreements separate some issues that will be dealt with through partnership working from others to be dealt with in a more traditional industrial relations framework, option-based consultation offers the potential for all issues to be looked at in partnership – even pay discussions can be brought into the equation.
Essential steps of trust
The option-based consultation model is essential if staff councils and forums are not to be perceived merely as communication tools for management. A reluctance to share sensitive data may be understandable, but it also illustrates a lack of trust that will eventually negate the benefits of any consultation process. Equally,a process that consults only about ways of implementing a decision will not reap the benefits that a growing number of studies suggest can be achieved.
Putting this model into practice can require a leap of faith from people on both sides of the consultation table – particularly if they have been training in different disciplines and behaviours from those necessary to make option-based consultation a success. The IPA endeavours to help those organisation prepared to make the leap.
For more information on how option based consultation could help your organisation, contact our Training and Development Director, Derek Luckhurst.
