The dark side of transparency

Executives need to get smarter about when to open up and when to withhold information so they can enjoy the benefits of organizational transparency while mitigating its unintended consequences.

Transparency in the business world—think of buyers and sellers rating each other on eBay, Airbnb, and Uber—is generally considered a good thing. It accelerates information gathering, helps people coordinate their efforts, and makes those in positions of authority accountable to others.

What about transparency within organizations? Again, many emphasize the benefits of sharing information freely, as a way of empowering frontline employees and improving the quality and speed of decision making. For example, transparency is one of the key principles in the increasingly popular...

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http://www.mckinsey.com/business-functions/organization/our-insights/the-dark-side-of-transparency

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