Why Aren’t Companies Investing In Their Leaders When The Costs of Doing Nothing is a Direct Hit to the Bottom Line?

According to the latest research by Gallup at Work, poor management and the resulting loss of

productivity from disengaged employees costs the global economy $8.8 trillion, or 9% of the

global GDP. Improving management practices is one of the simplest ways to enhance

productivity in organizations, yet few companies invest in management and leadership

development.

What's even more surprising, is that most managers receive minimal feedback on their

performance. Less than half of U.S. employees (42%) report having the chance to formally

provide feedback to their manager, and only 24% have rated their manager’s performance

formally. Additionally, only about a third (36%) of managers receive feedback from their peers

through a formal process according to the Gallop report.

Many managers acknowledge their need for growth. They admit they have not reached an

advanced or expert level in engaging their team or managing performance, and six in ten

managers say they are not proficient in developing employees and helping them create career

paths.

To help managers cultivate highly productive teams, Gallup conducted a study comparing

manager's perceptions of their leadership with employees' experiences of being managed.

The study found that both managers and employees rated baseline management expectations

highly. These behaviors, such as being responsive, approachable, informed, and providing

resources, are transactional and easier to deliver but have the lowest correlation with

employee engagement. This indicates they are less likely to improve performance compared to

other key behaviors.

The weaknesses identified by both managers and employees revolve around effective coaching

and leadership. The study reveals that while managers excel at basic tasks, they struggle with

four out of the five most important behaviors that drive employee engagement. These

behaviors are forward-looking and crucial for improvement and require self-awareness and

understanding of the value of emotional intelligence.

Managers require development, feedback, and support to manage people effectively and

foster highly productive teams. The engagement, performance, and retention of their

workforce depend on it.? Organizations need to invest in their people leaders to intentionally

develop managers into effective leaders.

So why aren’t they?

#investinleaders #coacthingleaders #emotionalintelligence #executivecoaching #unlocvisionaryleadership??