One of the many risks of making a decision and implementation is failure. How does a company handle a bad decision? When do you identify a bad decision and how do you make it work after all?
I will first look at when decisions are discovered to be bad:
- Unfortunately, most of the time this happens after the fact. No executive would deliberately made a mad decision and let it pass forward. They would risk loosing their job.
- A bad decisions could be identified after the fact by some of the following criteria: poor sales, increased inventory, defective product, faulty manufacturing process, improper market research...
- There could be come cases where a decision was controversial, and was let to pass through almost as a test. Executives knew that the decision might not be the best one, but they allowed it in order to experiment (such as in a test market).
How do they handle bad decision?
- One way could be damage control in the press. If a faulty product was released due to bad design, the company could hold a press conference announcing the problem, and holding a product ...
626 words to explain the risks of a bad decision in business and how to pick up pieces after one.