THE INFLUENCE OF GENERATIONAL DIVERSITY IN SHAPING CORPORATE DECISION-MAKING – A SYSTEMATIC LITERATURE REVIEW

Abstract

Corporate decision-making acts as the foundation of organizational effectiveness, shaping long-term performance, innovation and strategic direction. In today’s multigenerational workforce, understanding how generational cohorts impact decision-making has become crucial for corporate executives, policymakers and academics equally. The research problem in this study is the scattered and inconclusive nature of the available literature on the correlation between generational cohorts and corporate decision-making. Although several studies have been conducted on generational differences in values and behaviours at workplace, few studies have systematically reviewed evidence on their direct impact on decision-making processes and organizational outcomes. Thus, this study seeks to synthesis the existing empirical and theoretical evidence to analyse how decision-making dynamics, leadership styles, ethical considerations and strategic orientation are influenced by generational cohorts. The methodology used in this paper is systematic literature review using a sample of 60 publications published in the period of 2015 – 2025 in this context. The results indicate that generational cohorts do have a role to play in the corporate decision-making process, however this impact is dependent upon the culture within the organization and industry environment. The Baby Boomers and Generation X focus on stability and hierarchical structures, whereas Millennials and Gen Z are more inclusive, agile, and ethically responsible. Furthermore, it is apparent that generational diversity can foster innovation and creative problem-solving in group decision-making but if not managed well, it may also raise the likelihood of conflicts. The study concludes with providing insights for practitioners to utilize multigenerational strengths, implement inclusive governance frameworks and establish leadership tactics that reflect morale and social values of younger generations, and also for academics to conduct future research by differentiating between generational and age effects through longitudinal designs and focus on executive-level decision-making.