A company is a bad simulation of a hyperintelligent single decision maker. The best possible decisions would happen if somehow one person could be omniscient ab

A company is a bad simulation of a hyperintelligent single decision maker. The best possible decisions would happen if somehow one person could be omniscient about all the things that happen in a company, and had the mental bandwidth to decide everything. Since that's impossible, we simulate this by a network of nodes (humans) linked using a very low bandwidth communications channel (speech and it's representations). Each node has finite capacity and can only bear in mind a certain number of considerations. There are a number of well known failure modes. For example: One node is delegated a decision affecting matters they don't understand (HR person has to buy computers for Devs) To render the financial situation comprehensible to central nodes, it is simplified by binning costs into budgets. For example, HR budget pays for laptops, engineering budget pays Dev salaries. Decisions are made to optimize each budget separately, so HR budget is optimised by buying cheap laptops, without reference to the fact that this makes engineering less efficient.