Self-Justification and Organizational Project Commitment
Self-justification is an underlying motive for decision makers who remain committed to failing projects. However, as Steinkuhler et al. (2014) indirect, it may also be described as an indirect cause of escalation of commitment. The way in which justification is manifested in the decision making process requires the medium of new cognitive constructs that assist the decision maker in the process of renewing commitment. These constructs can consist of selective perception, sunk cost effect, and over-optimism. In many cases, these are not isolated constructs but work in tandem to help bring about the justification which the decision maker wishes to evince regarding the project. This paper will summarize the study by Steinkuhler et al. (2014) and show how the construct of selective perception has been utilized by the international organization known as the SSPX -- a fraternal priestly Society within the Catholic Church -- as it has attempted to remain committed to a controversial course of action that some of leaders and decision makers within the organization have opposed. It will discuss the effects of this escalation of commitment as a result of selective perception and offer a recommendation for what the Society could do in order to rectify the situation which has resulted in a fracturing of the Order.
The Study
Steinkuhler et al. (2014) show that self-justification is an indirect driver of commitment escalation in failing projects. Determining whether to abandon a project that is not succeeding in the business world is a challenging one for executives, though as the researchers point out the common tendency is to stick with the project and become "locked in" even though it means "throwing good money after bad" (Steinkuhler et al., 2014, p. 67). Thus, the escalation of commitment occurs -- but self-justification is a root cause for it in the first place.
In their study, Steinkuhler et al. (2014) provide an overview of the literature related to escalation of commitment, identifying Staw (1976) as the first academic to discuss the subject. As a corollary, self-justification is viewed as a direct cause -- but it is the argument of Steinkuhler et al. that it is actually an indirect cause because it triggers "other cognitive processes" that hamper the executive's ability to cut ties with a failing project (p. 67). In order to justify the self, the executive's thought processes change: selective perception is affected, sunk cost effect is produced and overoptimism results -- and these three cognitive processes are what result in the escalation of commitment: the self-justification is only an indirect motivator; the other three variables are what directly lead to commitment escalation.
The researchers examine their theory by studying the venture capitalist world of business, as it is an environment in which decision-makers must routinely decide whether or not to abandon a project that is not succeeding. At the same time, they explain what is meant by self-justification, selective perception, sunk cost, and over-optimism.
The idea of self-justification is that when one embarks on a project, having deemed it a good idea, there is the tendency to remain committed to it and to commit ever more resources to it even when it shows to be failing, because the ego of the person wants to be proven correct in the end: this is what is meant by self-justification. The commitment stems from the decision maker wanting to be able to justify himself in the end by having a project that succeeds. Admitting failure would be to admit that one was wrong.
The concept of selective perception is one in which "blinders" so to speak are put on. That is, the decision maker only sees that portion of the data that he wants to see and ignores the rest. "Biased belief updates," for example, are one way in which selective perception is manifested in the business world (Steinkuhler et al., 2014, p. 194). Instead of new updates informing beliefs, initial beliefs inform the evaluation. There is no real evaluation or modification taking place. It is a system in which bias on the part of the decider is rooted in the first assessment and does not incorporate new information or possibility for developing understanding.
Sunk cost effect is described as money, time and energy being so invested in a project that it cannot be retrieved -- therefore, project managers are more likely to continue on with the course of action, seeing that one might as well continue on...
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