Evaluating blockchain as a participatory organisational system: looking for transaction efficiency

Abstract

The article presents a decision‐making model that can be used with blockchain technology. Blockchain is used as an alternative transaction mechanism to authority and the market, where the decision is decentralised within the organisation. Thus, the process is parameterised around the acceptance or not of a project, depending on individual levels of expertise, consensus level and including deliberation time. In addition, commission and omission errors are also evaluated. We show that this technology should be imposed naturally because, at the same level of information, it can obtain better results than any other decision mechanism in a systematic way. In addition, the blockchain ensures that both commission errors and omission errors are reduced with decision times that do not increase the expected opportunity loss on omission errors.