Comment by asplake
It’s not either/or. No formal process or knowledge management system is so efficient that people won’t from time to time lack the context they need to make good decisions. Informal conversations made possible by seniors making themselves available and present makes up at least part of the shortfall. Moreover, informal conversations can benefit both parties. How many bad strategic decisions are made for want of on-the-ground context?
It’s a well-studied problem. See my recent book “Wholehearted: Engaging with Complexity in the Deliberately Adaptive Organisation”. Or if you prefer original sources to modern takes, note that Stafford Beer followed up Brain of the Firm with Heart of Enterprise. Between the two books, the most significant change in his Viable System Model was to address this issue.