Poor Management Leads to Failure

by Megan Bullard on November 18, 2009

Ineffective managers contribute to the decline of productivity in the workplace worldwide. Their contributions include the dreaded 80-hour work week, discouragement of initiative and creative thinking, opposition to risk-taking, massive turnover, and the ultimate failure of many organizations.

This scenario is repeated, often in scandalously public ways, year after year. One astonishing collapse of a poorly run company earlier this decade included a customer service vice-president who did not exist, even though his name appeared at the bottom of the company’s form letters. The business received so many complaints that it made up the name so that no one had to deal one-on-one with dissatisfied customers.

“Thirty percent of workers who plan to leave their current jobs would change their minds if they were able to work under a different boss or management team.”

According to a recent study by Happy Worker, “Thirty percent of workers who plan to leave their current jobs would change their minds if they were able to work under a different boss or management team.” Despite this startling statistic, organizations with poor management can survive for years or even decades. How is this possible?

First, many poorly managed organizations provide important goods and services, things that a majority of the population needs or wants. Significant details, such as proper managerial attributes, can often be overlooked when the organization’s product is in high demand.

Second, underdeveloped managers are well versed in reactionary management, particularly if an important deadline is drawing near. They throw more people and hours at a problem rather than managing proactively, and this forces others to bear the burden.

Third, companies reward poor managers for finishing projects on time. This positive reinforcement ensures that nothing changes. Lack of change also sends a discouraging message to employees. Managers who only have the deadline in mind overlook the necessity of planning, creative thinking, and the value of diverse input from employees.

Groupthink occurs when a group of individuals acts as one body rather than sharing multiple ideas and opinions. Anti-groupthink makes companies innovative and profitable. These commonly overlooked details form the foundation for a healthy and productive work environment.

Poor operation causes high turnover.

Unfortunately, employees who might offer innovative solutions to a troubled business will either fall in lockstep with poor management or will be lost to competing companies who appreciate their ideas. Poor operation causes high turnover. In most areas of commerce, poorly managed organizations cannot compete.
This failure might occur in stages, making it less evident than a disastrous failure, but failure is inevitable without effective management.

Signs of an Incompetent Manager

Organizational leaders who are paying attention to detail should act quickly if they detect any symptoms of incompetence. Incompetent managers:

• Discourage decision-making by failing to make decisions themselves, or by refusing to own up to a decision if it might result in criticism
• Prevent the completion of tasks because they are unable to delegate for fear of being outperformed
React to problems instead of creating an organized plan
Disengage employees and eventually cause disjointedness within the team
• Communicate ineffectively
• Hinder development within themselves and their employees, which inevitably stunts the overall productivity of the company

Finding managerial solutions requires that business leaders identify the big picture and meticulously analyze details.

Providing leadership to managers is not always easy, but it is always essential. Finding managerial solutions requires that business leaders identify the big picture and meticulously analyze details. A solid management foundation will ensure that an organization will continue to maximize productivity.

Post to Twitter

Subscribe Now

If you enjoyed this post, you will definitely enjoy our others. Subscribe to the feed to get instantly updated for our upcoming posts that will help you manage better.

Profiles International

If you've learned from our blog posts, visit our Resource Library to access all of our thought provoking studies and reports.

Leave a Comment

Previous post: Promoting With Purpose

Next post: Demolishing the Functional Silo