Final answer:
Hiring capable managers is crucial for a successful strategy execution in an organization. They influence skill development, allocation of resources, decision-making and help maintain a positive work environment.
Step-by-step explanation:
The statement that hiring capable managers is important in building an organization capable of proficient strategy execution is True. Capable managers are essential for the development of the human capital within a firm.
They not only help in hiring the right personnel but continue to train and develop the staff to maximize the investment made in the hiring process. Managers also significantly influence their subordinates by providing opportunities for skill development and can impact decisions regarding raises and promotions through their recommendations.
Firms that are established and have a likely profitable strategy may have information about their products, revenues, costs, and profits more readily available to the public. This transparency can attract outside investors like bondholders and shareholders who don't necessarily know the managers personally.
However, the presence of competent managers is still crucial as they have a powerful impact on their subordinates and are key contributors to nurturing the company's growth by leveraging individual strengths and working towards the organization's broader goals.
Strengths-based management suggests focusing on individuals' talents, and while its impact on organization performance is debated, it highlights the importance of managerial insight into team members' abilities. Meanwhile, the traditional hierarchy of manager-employee relationships is shifting towards a more cooperative and mutually beneficial two-way street.
Effective managers foster positive working relationships and support employee contributions to the organization's goals.