¶ … capable managers make bad decisions? What individual managers improve decision-Making skills? Part 2: Using knowledge Management, write a page, formal written answer question .
There is a wide array of reasons that competent managers sometimes make the wrong decisions. First of all, it is useful to try and define these terms. A competent manager refers to a manager who has knowledge, both theoretical and practical. Usually, he has also shown his competency in practice in the past, in other situations. A wrong/bad decision is a decision that affects the company or the company's objectives, ranging from maximizing its profits to its share price.
One of the reasons why a competent manager makes a bad decision is the situation itself. The situation may prove so difficult and so complex that all the knowledge and competency that the manager has is not useful in solving it. Faced with this situation, the manager usually makes a decision, from the ones that he thinks he has available. Since his knowledge is limited, as compared to the overall complexity of the situation, the decision is a bad one.
Another case is that the manager does not have all the elements to help him make the right decision. His decision appears incomplete, in a similar manner as to the one previously presented. In both cases, the appropriate way of action is for him to improve his knowledge by (1) ensuring that he includes more subordinates in the loop when gathering information; (2) holding more meetings and getting more information from different layers of the organization etc. All these are done with the purpose of having the manager be more informed and knowledgeable.
Simply put, the decision may not have been made at the right time. If the decision was late, then it does not reflect the new situation on the ground and is, again, not correct.
Part 2
First of all, it is essential for managers to involve subordinates in the control process because subordinates are often more in touch with working level issues within the organization. From a time management perspective, organization managers need to deal, as a priority, with the decision making process, but also with functions of management such as control. In order to ensure proper control, information and feedback is very important and this can be best provided by subordinates, by people who are in touch, on a day-to-day basis, with the realities of the working process.
Second, consulting and involving subordinates also ensures a reasonable objectivity in the control process. If, for example, the control process reflects the performance of individual workers, ensuring an open channel of communication with them allows the manager to make objective decisions related to their performance, including because he has an open channel for feedback as well. The employee can thus report back, add arguments to the control process etc.
In a globalized world and for companies that have an international presence, this becomes particularly useful as a form of feedback and information in the control process. Ensuring control over long distances needs to be done in a way that is relevant and efficient. Passing along some of this responsibility…
