this post was submitted on 21 Dec 2023
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These sorts of decisions can become more understandable when we incorporate the idea that corporate politics and management structure play a huge role in decision making. If the director of the division charged with building the software is close with the CTO or c-suite, they’re going to give that person the job and just make the numbers fit by adjusting the projections.
This is what’s referred to as the “agency problem” - that the people designated to act as the agents of others (whether you consider the others to be shareholders or employees) instead make the decisions based on the benefit to themselves, that’s a conflict of interest based on level of selection.
And in three years when it turns into a disaster, the director will have moved on to a new role or new company.