These may either be wrong decisions, or decisions that do not maximize the organization's competitive advantage or effectiveness.
A positive correlation exists between management success and effective information needs assessment, gathering and use. Strategic use of information seems to be a critical success factor for successful management. For example, "excellent" chief executives of not-for-profit organizations provide critical decision-making information to their board of directors and tend to be adept at using information strategically (Lei, 2006). Another critical success factor is a clearly articulated sense of mission that serves as the focal point of commitment for board and staff and as the guidepost by which the organization evaluates its success and adjusts its course over time. This concurs with the theory of one prominent researcher that a clearly focused mission and adherence to it are key organizational success factors.
In summary, leadership must embrace the humane treatment of employees and their value to an organization. This comes through an understanding of oneself and how to guide employees and retrieve information for decision making through bi-directional communication. However, "No one would...
Effective communication occurs only if leaders understand and respect the exact information or idea that their employees transmit (Communication and leadership) and only if the leader is able to be understood and respected by others.
Bibliography
Communication and leadership. http://www.nwlink.com/~Donclark/leader/leadcom.html
Bryson, J.M. (2002). Strategic planning for public and non-profit organizations. San Francisco, Calif.: Jossey-Bass Publishers, 96.
Cockburn, I. (2004). Measuring competence? Exploring firm effects in pharmaceutical research. Strategic Management Journal 15 (special winter issue), 63-84.
Drucker, Peter F. (1994). Management: tasks, Responsibilities, practices. New York, N.Y.: Harper & Row, Publishers, 125.
Hitt, M.A., Ireland, R.D., and Hoskisson, R.E. (2005). Strategic management: Competitiveness and globalization (2nd ed.). St. Paul, MN: West.
Lei, D., Hitt, M.A., and Bettis, R. (2006). Dynamic core competencies through meta-learning and strategic context. Journal of Management, 22, 549-569.
