Bad staffing can be when a company is short on qualified employees in certain divisions, or it can mean that they employ too many people in a certain division. When the firm has a complex managerial structure there is very little organization as to who is in charge of what. Some processes will have several managers overlooking the project and all making different decisions. Firing extra managers or directly assigning authority most easily corrects this problem. This problem can cause more harm than realized.
Poor management is another problem that can arise and cause great harm.
Sheer incompetence will greatly affect the company. When a manager neglects the core business of the firm there can be great danger. When there is only one person making all the decisions there can be problems. There is also for a balanced management team. The company also needs a strong middle management to implement the programs designed by top management.