Failure to Delegate and Loss of Control
This paper provides an explanation for the frequently observed phenomenon of â€œinefficient micromanagementâ€ . I show that a supervisor may get comprehensively involved into activities of a subordinate although a better option of delegation is available. This inefficiency persists in the absence of conflict of preferences and even as the cost of delegation becomes zero. The paper also demonstrates that imposing constraints on communication with a subordinate can be beneficial for a superior.
|Date of creation:||Oct 2004|
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- Neil Bruce & Michael Waldman, 1986.
"The Rotten-Kid Theorem Meets the Samaritan's Dilemma,"
650, Queen's University, Department of Economics.
- Neil Bruce & Michael Waldman, 1990. "The Rotten-Kid Theorem Meets the Samaritan's Dilemma," The Quarterly Journal of Economics, Oxford University Press, vol. 105(1), pages 155-165.
- Neil Bruce & Michael Waldman, 1986. "The Rotten-Kid Theorem Meets the Samaritan's Dilemma," UCLA Economics Working Papers 402, UCLA Department of Economics.
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