What problems do you think might arise in extreme programming teams where many management decisions are devolved to the team members?

What will be an ideal response?

While the notion of devolving management decisions to the team is attractive in
terms of motivation, there are two types of problem that can arise:
1. Decisions are liable to be primarily influenced by technical considerations
rather than business decisions. This is natural given the type of people on an
XP team – it is difficult for them to take a business perspective.
2. Because of the focus on rapid iteration, management decisions tend to be
short-term and pay insufficient attention to long-term issues. While this is in
keeping with the XP philosophy, there is sometimes a need for a more
detached, longer-term perspective which can be taken by a manager.
I assume here that management decisions on e.g. the performance of team members
are not taken by the team. Given the close knit nature of XP teams, it is difficult for
the team to take decisions that censure individual team members.