What term refers to the phenomenon where harmony in decision-making can lead to irrational outcomes?

The phenomenon where harmony in decision-making can lead to irrational outcomes is best described by the term groupthink. Groupthink occurs when a cohesive group prioritizes consensus and harmony over critical thinking, resulting in flawed decision-making. This often involves suppressing dissenting viewpoints, overlooking alternative solutions, and minimizing any potential risks associated with a decision.

Groupthink can lead to poor outcomes because members may feel pressured to conform to the prevailing opinion, leading to a lack of thorough analysis or discussion. The desire to maintain group cohesion can thus inhibit creativity and critical evaluation of ideas, often resulting in decisions that are not the most rational or effective.

In contrast, the other terms listed relate to different concepts. Transactive memory focuses on how groups share and manage information. Focalism refers to the tendency to focus too heavily on a specific aspect of an event while ignoring others. Availability cascade describes a situation where a belief gains more credibility through its repeated exposure, regardless of its factual accuracy. These concepts do not specifically address the irrational outcomes of decision-making arising from a desire for group unity like groupthink does.