I agree with you that Terzic is a better selection for Bayern Munich than Kompany. But, if I'm not mistaken, Kompany was appointed as Bayern Munich's head coach before Terzic announced his departure from Dortmund after a fantastic season with a Champions League final. I don't believe Terzic has any misunderstandings with Dortmund, there was news from Fabrizio Romano about a new deal with Dortmund after the Champions League final, but he may have decided to part ways because they failed to win the Champions League, or Dortmund did not provide him with the players he required to compete for a league title.
Terzic, on the other hand did not receive any offers from other clubs and decided to leave. Bayern Munich believes Kompany has the potential to develop this team, we shouldn't underestimate him at this point, Kompany could prove us wrong next season by winning the league title. Of course, with the talented players Bayern Munich is signing right now, they will win the league title next season.
Arguably Terzic would have been a better manager. But all the slander Kompany is getting is because his team was relegated, and that’s it. Yes, it’s a huge factor for any manager’s profile, but there are definitely a lot of other things that should be taken into account, and the Bayern board did exactly that when they were trying to look for a new manager.
If Terzic made himself available before Bayern went for Kompany, things could have been different. But eliminating the idea of Bayern succeeding is simply stupid because we haven’t seen anything from Kompany with a good squad like Bayern’s. Let’s wait and see and then ponder.