Pep had signed with Bayern in the beginning/middle of their treble winning season. Keep in mind Bayern were off the back of a not so impressive Neverkusen season and didn't look like one of the greatest sides in football history til around the Juve-Bayern fixture. Pep Gourdiola was the most sought after name in football at the time, signing him only seems like a poor decision with the benefit of hindsight.
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Guordiola was the most sought after name in football around the time that Bayern signed them. It's a bit harsh to say that signing him didn't make sense as you all were in the middle of ur treble season.