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Shadow Management: An Analysis of How Informal Power Structures Influence Decision -Making in Today’s Organisations

Okwu, Oroma, Gabriel, Otonye Linda, PhD, Gabriel, JMO, PhD

Abstract

This study investigates the influence of informal power structures on decision-making processes in organisations, and examines the moderating role of shadow management in this relationship. Anchored on the Resource-Based View (RBV), Power and Politics Theory, and Agency Theory, the research synthesizes extant literature on the predictor, criterion, and moderating variables. The review reveals a significant positive association between informal power structures and decision making, further moderated by shadow management. It concludes that informal networks enhance organizational decision-making efficacy, while shadow management critically shapes this dynamic. The study recommends that organizations systematically recognize and integrate shadow management analysis into strategic assessments and governance frameworks.

Keywords

Decision MakingInformal PowerStructuresShadowManagement

References

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