The stupidity paradox is a term introduced from the works of Mats Alvesson, Professor of Business Administration Mats Alvesson at Lund University, Sweden and Andre Spicer, Professor of organisational behaviour, City University London. As per the theory, functional stupidity is a state where employees in an organisation perform as expected but never question if they are doing the right thing or not.
As per the authors, the stupidity paradox happens when companies that claim to be knowledge-based recruit smart, educated staff but end up doing dumb things.