Leader and manager development are topping the list of organizational priorities. And if we’re being honest, we’re not entirely surprised.

We know that managers play a critical role in fostering high-performing teams and driving organizational success. Yet, ineffective managers are becoming increasingly common in the workplace—but the reasons driving this trend probably aren’t what you think. 

Keep reading as we dive into the impact of poor managers and break down some of the underlying factors that contribute to ineffective management.

The rise of ineffective managers

The workplace has a management problem. Recent research has found that nearly three in four employees think that their direct manager is ineffective.

But we can’t entirely put the blame on managers either. Being a middle manager can be really tricky. 

The way we work has significantly shifted over the last few years. Technology has increased the prominence of dispersed workplaces, businesses are contending with unpredictable markets, and employee priorities and expectations are changing.

This has left managers stuck in the middle and scrambling to adjust to the new normal. 

The average manager has found themselves saddled with 51% more responsibility than they can effectively manage. And this doesn’t even account for the mental gymnastics that can come with balancing the demands and expectations of both their teams and senior leaders. 

‍Nearly three-quarters of middle managers are experiencing burnout. In fact, the challenges that come with being a manager have accumulated so drastically, that despite career progression being an employee priority, 36% of workers no longer want to even take on a managerial role.

“Most managers were people who'd been promoted into the seat because they were the most senior person in the team. Their level of learning was not spectacular in the first place. And suddenly we thrust them into a much different environment where they were being asked to deal with a lot of things simultaneously. [...] Those issues really brought to the forefront the need to think about what we do to enable managers, not through just one off training and resources, but day to day, week to week sets of capabilities for them.” - Brian Elliott, Co-founder, Future Forum; Author of "How the Future Works”; Former Slack & Google Executive

The impact of ineffective management on an organization 

Strong management is critical for cultivating a high-performing team.

While ineffective employees aren’t ideal in any circumstance, the impact of an ineffective manager goes far beyond themselves and even their immediate team.

When managers fail to lead effectively, it can have consequences for your organization—and your bottom line. Here’s how. 

Employee productivity 

Productive employees produce higher-quality work more efficiently. On the one hand, this boosts business performance. But it also reduces employee burnout and helps them feel like they’re making a positive contribution to the business.

Effective managers are able to foster a positive work environment and unlock employee productivity. They support their team by promoting collaboration, helping prioritize business-critical tasks, and creating growth opportunities that help employees upskill. 

Poor management can cause these productivity boosters to fall through the cracks, which can quickly impact key talent metrics, such as retention and promotion. 

The difference is so drastic, that employees who report to effective managers are 15.4 time more likely to be high performers.

Employee morale

Managers are the first line of defense when it comes to employee morale. They’re the ones responsible for creating a safe space for employees and working with them on a daily basis so they can reach their full potential.

When managers are ineffective, employees end up feeling unsupported and undervalued.

But it goes beyond just day-to-day tasks. A UKG study found that 70% of people said their managers had a greater impact on their mental health—even more than their doctor (51%) or therapist (41%). While it’s unfair to put the full burden of employee mental well-being entirely on managers, it’s worth recognizing the huge impact that managers have on employee morale. 

Team and departmental alignment

Companies ranking high in organizational alignment are more likely to outperform their competitors.

When employees and teams have a clear understanding of organizational goals, they can better collaborate and work toward them together. 

Middle managers in particular have a unique role when it comes to company alignment. They’re responsible for clearly communicating company visions and objectives that have been shared with them, so everyone on the team can understand their role. But at the same time, they aren’t necessarily part of the senior leadership conversations that give them the full context of why decisions are made.

If managers aren’t able to bridge the gap effectively, it’s nearly impossible for employees to get on the same page as the rest of the company.

Employee retention

They say people don’t leave bad jobs, they leave bad managers. 

Of course, there are other reasons that can cause employees to become a flight risk. But when over half of employees have quit their jobs at one point or another because of their direct manager, it’s clear that manager effectiveness plays a critical role in retaining key talent.

Employee engagement

Managers are attributed to 70% of team engagement. When employees don’t feel supported by their managers, they’re unlikely to be engaged in their work. Employee engagement has been shown to impact everything from employee performance to job satisfaction. 

Companies with more engaged employees are proven to be 23% more profitable than their less-engaged competition. This is particularly crucial during times of disruption, when maintaining employee engagement and well-being is paramount for continued growth and productivity. Ineffective managers can directly hinder organizational success by failing to keep their teams motivated and engaged.

7 signs of ineffective managers in the workplace

Poor management inevitably reflects in key business outcomes. However, there are ways to identify managers in your organization who may be underperforming, so you can course-correct sooner rather than later. 

Here are some tell-tale traits of ineffective managers in the modern workplace. 

1. Constant micromanagement: Poor managers tend to lack trust in their team and have a tendency to control employee work and decision-making, which can be frustrating for employees. 

2. Lack of communication: Ineffective managers often don’t provide feedback or communicate critical information with their teams. Disengaged managers have been shown to communicate with their teams as little as 53% of the time. 

3. Inadequate delegation skills: When managers hold on to unnecessary tasks, it reduces their own performance and puts them at risk of burnout. It also stifles the development and growth of employees on their teams.

4. Lack of alignment with company vision: When managers don’t understand or don’t align with company objectives and values, it’s unlikely that they’re able to empower their team to effectively contribute to organizational goals.

5. Limited connection within the company and their team: If managers work in a silo themselves—it’s unlikely for their team to build relationships with their peers that allow them to work together toward common goals. 

6. Poor adaptability and agility: When managers struggle to adapt to change, it’s difficult for them to help their teams pivot in a meaningful way when the unexpected occurs.

7. Lack of empathy: People managers need to be able to support the people on their teams. If they are unable—or unwilling—to listen to or understand the perspectives of their employees, it can reduce trust and transparency within the team.

Fortunately, there are many ways to upskill managers and address the challenges that can cause them to exhibit these traits.

Read more: The 10 Management Skills that Distinguish Effective Managers

5 causes of ineffective management (and how to solve them)

71 percent of managers say their company doesn't support their efforts to become a better people leader. 

While there might be some truth to this stat, we’d like to propose a different theory.

It’s not that companies don’t want their managers to become better. (In fact, companies spend $60B on leadership programs every year.) Rather, it’s that they aren’t effectively addressing the root causes of ineffective management, causing managerial issues to persist in the workplace.

Let’s look at some of the causes that might be impacting your managers’ ability to lead effectively. 

1. Institutional knowledge deficit

Unstructured or qualitative data held by experienced team members makes up 80% of a company's data. 

A manager who has all the skills and experience—particularly if they’re new to the company—often still lacks the organizational context to be truly effective. Without access to institutional knowledge, it can cause them to make suboptimal decisions, repeat past mistakes,  or waste valuable time trying to figure out what they don’t know.

Even when an employee is promoted within the organization, if they aren’t connected with the right people, they can find themselves in the same situation. They might possess their own institutional knowledge, but it might not be the right insights to help them lead their team. 

When knowledge flows freely between the right teams and managers, you foster better alignment on company goals, enhance collaboration, and ensure critical information is never lost.

‍Solution: Make an organizational effort to ensure that people managers are intentionally connected with their peers or more experienced leaders. This will break down silos, accelerate their learning and development, and ultimately, drive better business outcomes.

By fostering a culture of knowledge sharing, you create a space where management tips and best practices flow freely, enhancing the effectiveness of every leader.Not only does it bolster the effectiveness of all managers, but it reduces the risk that critical knowledge is lost when existing managers switch roles or leave the company.

‍READ MORE: Institutional Knowledge: Driving Knowledge Sharing Through Meaningful Employee Connections

2. Disconnection and disengagement

Lack of connection in the workforce can quickly lead to miscommunications and silos that hinder productivity and performance. 

Even though managers speak with their teams on a daily basis, it can be easy for them to feel isolated. 

Middle managers are in a tricky spot where they’re stuck balancing the demands of their teams and those superior to them. This can make it challenging to find the support and guidance that they need to thrive in their role as managers. A UK study found that 32% of senior managers are often or always lonely—2x higher than the average. 

“Historically, some of us have viewed networks as a nice to have, maybe even important to have. But I think what is changing and what is required of today is to actually see networks as a critical way to solve business challenges and get your work done. [...] Today, I think networks can actually serve as a fundamental way for you to be effective and solve problems.” - Catherine Brown, Founder, Taybridge Leaders, Director, Leadership Programs, Netflix

The more people managers feel disconnected, the  less likely they are to be engaged and motivated. Over time, these walls get built up even higher, further isolating them from their team and the rest of the organization. 

‍Solution: Rather than leaving connections to chance, you can strategically connect middle managers with peers outside of their immediate team through targeted mentorship and networking initiatives. These networks provide valuable social learning opportunities and give  managers the support they need to navigate the unique challenges of people leadership.

Additionally, it also exposes managers to different perspectives and provides them with insights to better understand the overall business, enabling them to lead more effectively and better support their own team. 

3. Lack of proper onboarding

Onboarding shouldn’t be strictly reserved for brand-new hires. Even the highest-performing employees need to  be onboarded into a new role—including managers.

One survey found that only 45% of managers received training when they were hired or promoted. An even larger number (71%) never received manager-specific training afterward.

When managers step into a new role, they often lack the context that their predecessors may have had. From inconsistent leadership styles or poor insight into existing workflows, the cultural and organizational knowledge gap makes it difficult to transition into the role without prolonged periods of low productivity. 

‍Solution: To set managers up for success from day one, onboarding should go beyond technical processes. Aim to integrate new managers into company and leadership culture, while  connecting them with the relationships and resources they need to effectively lead their team.

‍READ MORE: The Risks of Poor Onboarding (And How Social Integration Helps)

4. Management skills gap

Many first-time managers are hired for their performance and success as individual contributors. And a large percentage of managers (82%) have accidentally fallen into the role, meaning they have little management experience or expertise.

But high-performing employees don’t always translate into high-performing managers.

Gallup research has found that only about one in 10 people have the natural talent to manage, leaving most managers with a skills gap. 

While many leadership skills can be developed through traditional management training, it often lacks the company-specific nuance that helps close the gaps for each individual manager and within your organization. And to make matters even more complicated, the rapidly evolving work landscape means that the skills that make for effective leaders continue to evolve. 

‍Solution: It’s important to prioritize developing your managers’ leadership skills through a blend  of formats—including social learning experiences like 1:1 mentorship, networking, and group sessions. Social learning—the kind of learning that happens through developmental relationships and interactions with others—creates a more personalized experience and ensures that managers are connected with the right people to develop the skills they need to be successful.

Customized curriculums and conversation guides can ensure that you’re targeting specific manager effectiveness skills and business outcomes.   

“Don't be afraid to get really tactical with people, especially with frontline managers. The amount of people who don't know how to run a good one-on-one is astounding. [...] Training people on some of the basics can go a long way and giving them the content and materials. You've got to build communities around this in two forms: Managers have to have communities where they can turn to each other, as well as to you for support.” - Brian Elliott, Co-founder, Future Forum; Author of "How the Future Works”; Former Slack & Google Executive

5. Inability to lead through change

The last few years have made it abundantly clear that the only constant in the workplace is change, and change leadership has quickly become a top priority for organizations. 

Skilled managers are more likely to champion change and build resilient teams. And managers who don’t have the skills to effectively lead their teams through change will struggle to keep their teams engaged and motivated through transformation.

Whether your business is undergoing a merger, acquisition, layoff, restructure, or even rapid growth, change can be challenging for employees. This is where effective change leadership skills become crucial.

Change leadership empowers organizations to embrace change as an opportunity, not a threat. By proactively managing transitions, fostering trust through transparency, and cultivating a culture of innovation, skilled managers can successfully navigate change in their teams, drive progress, and create a more engaged and adaptable workforce.

“We're being faced with so many different changes on a daily basis. Sometimes it can seem like the goal posts keep shifting over and over again. Even though we know that is true and unlikely to change, the way people are feeling about those changes can absolutely be influenced..” - Catherine Brown, Founder, Taybridge Leadership, Director, Leadership Programs, Netflix

Solution: While change leadership requires a specialized skill set, developing these skills in your managers follows a familiar path, similar to other career development initiatives. 

Effective strategies include providing targeted training and development programs that focus on change leadership models and communication skills. These programs are most effective when paired with experiential opportunities like mentorship and networking, allowing leaders to practice and refine their skills in real-world scenarios. 

By fostering mentorship relationships and expanding professional networks, you equip managers with the resources and experience they need to navigate change, build engagement, and ultimately drive organizational success.

How to help managers develop the connections they need to thrive 

There are many different factors that contribute to ineffective management. But there’s one thing that can address multiple challenges and boost management success: facilitating intentional employee connections to cultivate essential soft skills and transfer institutional knowledge. 

10KC helps you develop effective managers through essential workplace relationships and knowledge sharing at scale. With 10KC you can: 

• Create purposeful connections at scale: Connect managers and future leaders with seasoned leaders, peers, and subject matter experts so they can learn the way they do best—from other people.

• Promote knowledge transfer: Facilitate structured social learning experiences to ensure the right conversations are being had, so managers are getting the context and institutional knowledge they need to effectively lead their teams.

• Develop effective management skills: Build and assign managers to targeted learning pathways that are directly tied to key business outcomes.

• Measure the impact of every connection: Track employee connections to identify silos and make sure that employees are having the conversations that bridge your management skills gaps.

Creating intentional opportunities for managers to expand their internal network can boost everything from engagement to competency. It equips them with the right relationships and resources they need to elevate their management skills, build high-performing teams, and drive organizational success.