You are on page 1of 2

ORGANIZATIONAL CULTURE

Why So Many “Open


Secrets” Go Unexposed
From glitches with key projects to
instances of harassment, serious
work-related issues often remain hidden
from management even when they’re
common knowledge among the rank
and file. That’s surprising in view of
research showing that employees are experiences a diffusion of responsibil- FINANCE
more confident about bringing up prob- ity—the sense that he or she need not
lems when peers share their perspective,
conferring a certain safety in numbers.
take on any risks associated with bring-
ing it up. The effect is heightened when
The Industries in Which
New research offers an explanation:
When people know that others are aware
other observers are seen as having a
strong relationship with management
Artificial Intelligence Start-
of an issue and could sound the alarm, a and thus being well positioned to break Ups Are Being Funded
version of the “bystander effect” kicks the silence.
A global survey found that financial
in. The phenomenon, first described Managers can counter this tendency, services and retail receive the largest
after the infamous 1964 murder of Kitty the researchers say. “Paradoxically, shares of total investment in AI start-ups,
while transportation/logistics and
Genovese, holds that the more witnesses positive organizational practices that consumer packaged goods trail the pack.
there are to an emergency, the less likely encourage wide sharing of information
any one person is to intervene. Research- and the formation of strong relational 0% 10 20 30
ers theorized that it might apply to ties between managers and employees Financial
services
corporate life—and a series of studies might inadvertently…make employees
support that idea. experience diffusion of responsibility,” Retail
In the first, 132 employees of a they write. “Managers can reduce
Media and
Fortune 500 electronics company were such diffusion…by making employees entertainment
surveyed about how often they spoke feel that they each can make a unique High tech
and telecom
up about work-related problems. The contribution to the group, irrespective
more that employees believed problems of whether their peers have similar Professional
services
were also known to teammates, the less informational access to work issues.”
willing they were to go to managers. Explicitly rewarding individual acts of Education
Follow-up experiments confirmed the courage, they add, can also get people
Health care
finding. In one, university students who off the sidelines.
thought they were the only ones aware Transportation
and logistics
of an issue with campus transportation ABOUT THE RESEARCH “The Voice
were 2.5 times as likely as others to say Bystander Effect: How Information Consumer
packaged goods
they would speak to the administration. Redundancy Inhibits Employee Voice,”
When multiple individuals know about by Insiya Hussain et al. (Academy of Source: “The Business of AI Startups,” by James E. Bessen et al.
(Boston University School of Law, Law and Economics Research
a problem, the researchers say, each Management Journal, 2018) Paper No. 18-28, 2018)

30 Harvard Business Review


May–June 2019
Copyright 2019 Harvard Business Publishing. All Rights Reserved. Additional restrictions
may apply including the use of this content as assigned course material. Please consult your
institution's librarian about any restrictions that might apply under the license with your
institution. For more information and teaching resources from Harvard Business Publishing
including Harvard Business School Cases, eLearning products, and business simulations
please visit hbsp.harvard.edu.

You might also like