Organisational transparency – sharing information freely with your company’s employees – is said to empower people to make better, faster decisions. However, executives need to take steps to avoid the potential pitfalls, write Julian Birkinshaw and Dan Cable for McKinsey Quarterly.
Today, technology allows executives to share information widely for almost no cost. Sharing information can bring about positive results, but there are also potential downsides: information overload resulting in procrastination, less creativity, and issues surrounding the sharing of individual performance and pay levels.
Here are the three main areas where transparency can create problems and some measures you can take to avoid oversharing.