What Are Disadvantages Of management by exception?


1 Answers

Shane Richardson Profile
Firstly it is always a good idea to define what management by exception actually is.

According to, management by exception is:

• "A policy by which management devotes its time to investigating only those situations in which actual results differ significantly from planned results."

This basically means that the management will only be concerned with anything abnormal and not on plan - so will not pay close attention to the everyday running of a company and any minor issues that can crop up.

This strategy is often used as a form of time management when priorities need to be decided. Although it means the greater needs of a company are always dealt with, there are certainly some drawbacks to such an approach.

The major disadvantages of management by exception are as follows:

• Small issues may be overlooked and these can turn into more serious problems later down the line
• Staff may not feel valued if their concerns are not addressed or even looked into
• Staff may feel completely isolated from the management due to no real interaction
• Management may lose touch with everyday matters of the business

Although there are certainly some advantages to management by exception it is also flawed in several key areas and so is not suitable for many forms of businesses.

Management by exception should be used when there is not enough staff or time to concentrate on every issue within the business and so the concerns need to be quickly prioritized.

Answer Question