This chapter of the book "The Functions of the Executive," by Chester I. Barnard (1938), explores the climate of concrete decisions as they occur in organizations. Barnard considers the principles of the decisive process as it actually takes place from the organizational viewpoint. The acts of decision are characteristic of organization behavior as contrasted with individual behavior. Every effort that is a constituent of organization, that is, every coördinated coöperative effort, may involve two acts of decisions: organization decisions and personal decisions. The personal decisions cannot ordinarily be delegated to others, whereas organization decisions can often if not always be delegated. While the circumstances surrounding the making of concrete decisions are of indefinitely large variety, Barnard focuses on three general conditions: the occasions of decision, the evidences of decision, and the environment of decision.