Mind Tools Better Managers Annual Report 2024
Mind Tools Better Managers Annual Report 2024
Managers
Contents
1_ Foreword 3
2_ Introduction 4
7_ Summary 33
8_ Methodology 35
9_ Appendix 37
10 _ References 42
WE FOUND:
1
In the U.S., the number of people working remotely all the time has increased from 7% before the pandemic to 35% in 2023. Pew Research Center (2023) About a third of U.S. workers who can work
from home now do so all the time. Available at: https://www.pewresearch.org/short-reads/2023/03/30/about-a-third-of-us-workers-who-can-work-from-home-do-so-all-the-time/ (Accessed 19 May
2024) 2 Even though economic uncertainty has negatively affected recruitment in recent years, ED&I hiring continues to grow as a priority for employers. LinkedIn Talent Solutions (2023) The Future
of Recruiting. Available at: https://business.linkedin.com/content/dam/me/business/en-us/talent-solutions/resources/pdfs/future-of-recruiting-2023.pdf (Accessed 20 May 2024) 3 Between 2016
and 2022, 16% of the skills employers asked for shifted rapidly in response to technological advances. Institute for the Future of Work (2024) Old Skills, New Skills – what is changing in the UK labour
market? Available at: https://www.ifow.org/publications/old-skills-new-skills---what-is-changing-in-the-uk-labour-market (Accessed 20 May 2024)
Figure 1.
Top three requests from managers in 2024
1 2 3
I want to discover I want to know what
I want to acquire and
my strengths and my organization
enhance essential
weaknesses to identify thinks I should be
management skills
areas of improvement focusing on
Note. The number of managers reporting that each of the above requests would help them become a better manager was 41%, 40% and 39%, respectively.
4
Metzler, D. (2022) ‘How top managers utilize dynamic capabilities to digitally transform their business: Evidence from European firms Research-in-progress’, CONF-IRM 2022 Proceedings, 14. https://
aisel.aisnet.org/confirm2022/14/ 5 Heubeck, T. (2023) ‘Managerial capabilities as facilitators of digital transformation? Dynamic managerial capabilities as antecedents to digital business model
transformation and firm performance’, Digital Business, 3(1), pp. 1-19. https://doi.org/10.1016/j.digbus.2023.100053 6 Mistry, T. G., Hight, S. K., Okumus, F. and Terrah, A. (2021) ‘Managers from heaven:
how do hospitality employees describe good managers?’, International Hospitality Review, 36(1), pp. 2-24. https://doi.org/10.1108/IHR-09-2020-0055 7 Pham, T. V., Nghiem, T. T., Nguyen, L. M. T., Mai, T.
X. and Tran, T. (2019) ‘Exploring Key Competencies of Mid-Level Academic Managers in Higher Education in Vietnam’, Sustainability, 11, 6818. https://doi.org/10.3390/su11236818
80 %
At its core, management is about achieving goals “I became a manager
through others. Managers must have technical because I was good at my
competence, and our research suggests that up to 80% job, not because I wanted to
manage people.”
of managers are promoted because of it, but people
skills are equally essential.
Manager capabilities are intrinsically linked, yet we can
group them in meaningful ways. Consider responsibilities,
It is unhelpful to delegate a project to someone lacking
for example. Managers are responsible for:
commitment to its cause. It is challenging to solve
problems with people who aren’t getting along. And it
1. Setting expectations. Managers need the skills
can be difficult to make balanced decisions when you’re
to establish goals with realistic milestones, to
distracted by bad news.
communicate clearly and to delegate effectively.
Managers with higher emotional intelligence8 have 2. Motivating people. Managers need to build trusting
a greater impact on business outcomes (such as relationships, create inclusive working environments,
innovation and performance)9 and people outcomes acknowledge and address team challenges, and
(including motivation, retention, development, and recognize individual successes.
organizational commitment)10 than managers with lower 3. Developing people. Managers must know how
emotional intelligence. to listen on purpose, identify appropriate learning
opportunities and coach individuals to enhance their
Although skills associated with emotional intelligence skills, knowledge and performance.
can feel like they come more naturally to some
managers than others, they can be developed and
improved.11 And it’s noteworthy that managers care Through these capabilities and, importantly, because
about these skills. of the ways they interact with emotional intelligence,
managers make better decisions, teams are
Seven in ten managers agreed that empathy, self- psychologically safer, employees are happier, and
awareness/self-regulation or social sensitivity should organizations achieve more (see Figure 3).
sit among the top five most important capabilities for
managers in 2024 (see Figure 2).
Figure 2.
Managers value emotional intelligence skills
0 100
In a review of scientific studies, we identified 12 ways. Our framework for measuring manager capabilities
manager capabilities that have a significant impact on includes four groups, each containing three capabilities.
people outcomes (e.g., innovation and engagement), The first is emotional intelligence, which we define as
manager outcomes (e.g., decision making and one’s ability to recognize and understand other people’s
performance) and business outcomes (e.g., profitability emotions and to recognize and manage one’s own. The
and customer satisfaction). remaining capabilities are grouped in relation to the
responsibilities managers have to motivate, develop
Whilst manager capabilities are intrinsically linked, we and set expectations for other people.
discovered that they can be grouped in meaningful
Manager outcomes
Leadership effectiveness
Go beyond simply hearing Decision-making
Select, prioritize and
Active listening the words someone speaks Transparent communication summarize effectively Performance
Adaptability
Recommend development Develop clear paths with
Guidance opportunities Goal setting Problem solving
realistic milestones
Relationship building
Support others to realize Share responsibility for
Coaching their potential Delegation projects and tasks
Business outcomes
Develop Set
people expectations Business performance
Sales performance
Networking
Product/service quality
Business model
innovation
Boundary-spanning
exploration
Profitability
Customer satisfaction
Reputation
Note. For an overview of our key findings, see Table 2 in the Appendix.
12
Statista (2024) Market size of the global workplace training industry from 2007 to 2023, with a forecast for 2024. Available at: https://www.statista.com/statistics/738399/size-of-the-global-
workplace-training-market/ (Accessed 22 May 2024) 13 Training Magazine (2023) 2023 Training Industry Report. Available at: https://trainingmag.com/2023-training-industry-report/ (Accessed 22
May 2024) 14 West Monroe (2018) Companies are overlooking a primary area for growth and efficiency: Their managers. Available at: https://www.westmonroe.com/perspectives/report/companies-
are-overlooking-a-primary-area-for-growth-and-efficiency-their-managers (Accessed 8 May 2024)
50 %
“When I became a manager, 83%
my organization did not support
me with the transition (e.g., with
Note: Percentages refer to the number of managers (n = 1,861) who reported that
resources, formal courses or they “often” or “always” exhibited behaviors relevant to the above five capabilities
training).” in the last six months. Although the differences for active listening and establishing
trust appear small, all differences reported in this figure were statistically significant.
15
Milner, J., McCarthy, G. and Milner, T. (2018) ‘Training for the coaching leader: How organizations can support managers’, Journal of Management Development, 37(2), pp. 188-200. 16 Mind Tools for
Business (2023) Annual L&D Benchmark Report: Part One. Available at https://mindtoolsbusiness.com/research-and-reports/l-d-in-organizations-20-years-of-research (Accessed 10 July 2023) 17 Ibid.
18
Ladyshewsky, R. and Taplin, R. (2018) ‘The Interplay Between Organisational Learning Culture, The Manager as Coach, Self-Efficacy and Workload on Employee Work Engagement’, International
Journal of Evidence Based Coaching and Mentoring, 16(2), pp. 3-19. DOI: 10.24384/000483 19 LinkedIn Learning (2024) Workplace Learning Report. Available at: https://learning.linkedin.com/
resources/workplace-learning-report (Accessed 16 May 2024) 20 Park, S., McLean, G. N. and Yang, B. (2021) ‘Impact of managerial coaching skills on employee commitment: the role of personal
learning’, European Journal of Training and Development, 45 (8/9), pp. 814-831. https://doi.org/10.1108/EJTD-07-2020-0122
Note. We asked managers to rate themselves on the above capabilities and to estimate
the extent to which they had engaged with related behaviors for each capability in the
last six months. % (on the left) refer to the number of managers who think they are good
at each capability. % (on the right) refer to the number of managers who reported that
they “often” or “always” exhibited related behaviors. n = 1,861
21
Kleingeld, A., van Mierlo, H., and Arends, L. (2011) ‘The effect of goal setting on group performance: a meta-analysis’, The Journal of applied psychology, 96(6), pp. 1289–1304. https://doi.org/10.1037/
a0024315 22 Steinmann, B., Klug H. J. P., and Maier, G. W. (2018) ‘The Path Is the Goal: How Transformational Leaders Enhance Followers’ Job Attitudes and Proactive Behavior’, Frontiers in Psychology,
9, pp. 1-15. DOI: 10.3389/fpsyg.2018.02338 23 Ibid. 24 LinkedIn Learning (2024) Workplace Learning Report. Available at: https://learning.linkedin.com/resources/workplace-learning-report
(Accessed 16 May 2024)
From a managers’ perspective, 67% believe they are My manager does this My manager does not do this
25
Mind Tools for Business (2022) Learner Intelligence Report: Engaging with learning in the reimagined workplace. Available at https://mindtoolsbusiness.com/research-and-reports/
learnerintelligence-report-2022 (Accessed 28 March 2023) 26 Mind Tools for Business (2023) Annual L&D Benchmark Report: Part One. Available at https://mindtoolsbusiness.com/research-and-
reports/l-d-in-organizations-20-years-of-research (Accessed 10 July 2023) 27 ATD (2019) Effective Evaluation, Available at: https://www.td.org/magazines/td-magazine/make-sense-out-of-evaluation-
data (Accessed 21 May 2024)
58 %
Only around half of middle managers we surveyed said “I am pleased with the
they were pleased with the management and leadership management and leadership
training they had received. While controversial – certainly training I have received so far
in my career.”
as a measure of impact – we were curious to understand
if satisfaction matters. It does.
Satisfaction surveys (and happy sheets, in particular)
Since the mid-1900s, around the time Kirkpatrick get a bad rap. And it’s not fully justified. There’s
introduced his training evaluation model, organizations a considerable amount of research available
have been advised to look beyond the reactions of their demonstrating relationships between learner reactions
learners. A lot of L&D teams have listened but struggle and learning outcomes.
to make considerable changes.
A review of that research shows that satisfaction
Being able to evaluate impact is a skill L&D teams with learning improves both skill-based and factual
lack more of than any other, and 69% of organizations knowledge (albeit in small quantities and only in the
urgently need to be able to do this in house.26 As of short-term).28 But learning impact is about much more
2019, a substantial 83% of organizations were using than knowledge. It’s about behaviors, performance and
satisfaction surveys (or “happy sheets”) to evaluate business outcomes.
their learning programs – a method more popular than
anything else.27
26
Mind Tools for Business (2023) Annual L&D Benchmark Report: Part One. Available at https://mindtoolsbusiness.com/research-and-reports/l-d-in-organizations-20-years-of-research (Accessed 10
July 2023) 27 ATD (2019) Effective Evaluation, Available at: https://www.td.org/magazines/td-magazine/make-sense-out-of-evaluation-data (Accessed 21 May 2024) 28 For a review, see Sitzmann, T.,
Brown, K. G., Casper, W. J., Ely, K., and Zimmerman, R. D. (2008) ‘A review and meta-analysis of the nomological network of trainee reactions’, The Journal of applied psychology, 93(2), pp. 280–295.
https://doi.org/10.1037/0021-9010.93.2.280 29 Chen, P., and Chih, J. (2012) ‘The Relations between Learner Motivation and Satisfaction with Aspects of Management Training’, The International Journal
of Management, 29, 545. 30 Shahriar, A., Pathan, H., Mari, M.A., and Umrani, T. (2011) ‘The Extent of Satisfaction on the Key Factors that Affect Learner Motivation’, The International Journal of Academic
Research in Business and Social Sciences, 1(3), pp. 96-108.
71%
Recognition
57%
Note: Percentages refer to the number of managers (n = 1,861) who reported that
they “often” or “always” exhibited behaviors relevant to the above five capabilities in
the last six months. All differences reported in this figure were statistically significant.
Figure 9.
New managers want to discover their strengths and weaknesses more than mature managers
Tenure as a manager
“I want to
discover my Less than 1 year
strengths and 1–3 years
weaknesses”
3–5 years
5 years or more
39% Note. We asked managers, “What would help you become a better manager?”.
% refer to the number of managers who said that they wanted to discover their
strengths and weaknesses to identify areas of improvement in their managerial role,
split according to how long managers had managed people for. n = 2,001
46%
48%
51%
New managers wanted to discover their strengths With experience, managers develop a better
and weaknesses more than mature managers. understanding of what they’re good at. But only by
a factor of 1.12 after five or more years in the role.
Experience is important, but it’s not everything. It
is therefore necessary for organizations to identify
reliable ways to measure and track management
capabilities across a manager’s full career.
Managers willing to leave a business because of Self-direction goes a long way. If organizations
a lack of learning opportunities wanted to acquire want their managers to develop continuously, they
and enhance their skills more than managers willing could consider hiring or promoting managers with
to stay put. enthusiasm for learning. For managers already
in role, organizations should look for ways to
encourage self-directedness.
Compared with managers who said they were It matters what managers think about development
happy with the management training they had opportunities, and it’s important to ask them. By
received, unhappy managers were more likely to partnering with managers to understand more
ask for greater direction from their organization about their needs and interests, organizations can
about what they should be focusing on in their align learning programs to them and help managers
managerial role. to understand how their skills fit into the wider goals
of the business.
Note. The predictive value of each variable (i.e., tenure in role, valuing L&D and satisfaction with management training) on manager requests was analyzed using simple
linear regression. Each relationship outlined above was statistically significant with p-values less than .05, .05 and .01, respectively.
Figure 10.
Barriers to professional development
Half of managers reported that “too many competing priorities“ restricted them from improving in their role.
Note. Percentages refer to the number of managers who reported that the above issues restricted them frrom becoming a better manager at work. n = 2,001
31
Gartner (2023) Managers are cracking – And more training won’t help. Available at: https://www.gartner.com/en/human-resources/trends/managers-are-cracking-and-more-training-wont-help
(Accessed 20 April 2024)
Online learning
10%
platforms
Manager 63%
Colleague 32%
Professional networks/
19%
communities
Online learning
15%
platforms
Note. % refers to the number of managers who would rely on each resource/
approach to overcome the challenge/s presented in each scenario. n = 2,001
1 2 3
New managers are the most Managers of larger teams Managers in young
concerned about influencing (51 people or more) are 2.8 organizations are the least
others – 22% of managers who times more likely to struggle satisfied with the learning
have been in role for less than with building interpersonal content they have access
6 months identified “influencing relationships and maintaining to – 30% of managers in
up, down and across” as their networks than managers of organizations younger than
most significant challenge. smaller teams (50 people five years old agreed that
or fewer). uninspiring learning content
restricted them from improving
in their role.
32
Interviews were conducted remotely and online between November and December 2023 with 22 managers based in either the U.K. or U.S. We asked managers about the biggest challenges they
faced when they transitioned into the role and to rate them based on significance (i.e., from least to most challenging).
13%
16%
Conflict
14% management
Influencing
others
13% Prioritizing and delegating 10% Identifying skills for good management 9% Building team culture
Note. Managers ranked each challenge (on the left) and each topic of conversation (on the right) from least to most complex. % refers to the number of managers who
ranked each challenge/topic as the most complex. n = 2,001
33
McKinsey (2024) What matters most? Eight CEO priorities for 2024. Available at: https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/what-matters-most-eight-
ceo-priorities-for-2024 (Accessed 3 April 2024) 34 Deloitte Digital (2023) Hey bosses: Here’s what Gen Z actually wants at work. Available at: https://www.deloittedigital.com/content/dam/digital/
global/legacy/documents/blog/blog-20230323-hxsi-gen-z.pdf (Accessed 4 April 2024) 35 Gartner (2024) Top 5 HR Trends and Priorities for 2024. Available at: https://emt.gartnerweb.com/ngw/
globalassets/en/human-resources/documents/trends/hr-top-priorities-ebook-2024.pdf (Accessed 6 April 2024) 36 Catalyst (2021) The power of empathy in times of crisis and beyond. Available at:
https://www.catalyst.org/reports/empathy-work-strategy-crisis (Accessed 21 May 2024) 37 Whiteside, D. B. and Barclay, L. J. (2016) ‘The face of fairness: Self-awareness as a means to promote fairness
among managers with low empathy’, Journal of Business Ethics, 137(4), pp. 721-730. https://doi.org/10.1007/s10551-014-2357-7 38 Young, C. A., Haffejee, B., and Corsun, D. L. (2018) ‘Developing Cultural
Intelligence and Empathy Through Diversified Mentoring Relationships’, Journal of Management Education, 42(3), pp. 319-346. https://doi.org/10.1177/1052562917710687
Figure 13.
Managers recognize empathy as an important manager capability
0 100
39
Catalyst (2021) The power of empathy in times of crisis and beyond. Available at: https://www.catalyst.org/reports/empathy-work-strategy-crisis (Accessed 21 May 2024) 40 Ibid.
41
U.S. Bureau of Labor Statistics (2022) Jobs openings and labor turnover survey news release. Available at: https://www.bls.gov/news.release/archives/jolts_03092022.htm (Accessed 18 April 2024)
42
U.S. Bureau of Labor Statistics (2023) Jobs openings and labor turnover survey news release. Available at: https://www.bls.gov/news.release/archives/jolts_03082023.htm (Accessed 18 April
2024) 43 Pew Research Center (2022) Majority of workers who quit a job in 2021 cite low pay, no opportunities for advancement, feeling disrespected. Available at: https://www.pewresearch.org/short-
reads/2022/03/09/majority-of-workers-who-quit-a-job-in-2021-cite-low-pay-no-opportunities-for-advancement-feeling-disrespected/ (Accessed 19 May 2024) 44 KPMG (2023) Talent still the top issue
keeping business leaders up at night. Available at: https://home.kpmg/au/en/home/media/press-releases/2023/01/talent-still-top-issue-keeping-business-leaders-up-at-night-5-january-2023.html
(Accessed 16 January 2023) 45 Mind Tools for Business (2023) Leadership report: Turning pressures into opportunities. Available at https://mindtoolsbusiness.com/research-and-reports/turning-pressures-
into-opportunities (Accessed 4 July 2023) 46 LinkedIn Learning (2024) Workplace Learning Report. Available at: https://learning.linkedin.com/resources/workplace-learning-report (Accessed 16 May 2024)
47
Ibid. 48 INTOO (2024) Unlocking organizational success report 2024. Available at: https://resources.intoo.com/about-intoo/intoo-unlocking-organizational-success-report-2024 (Accessed 12 May 2024)
49
Culture Amp (2024) The biggest lie in HR: People quit bosses not companies. Available at: https://www.cultureamp.com/blog/biggest-lie-people-quit-bosses (Accessed 11 March 2024) 50 For a review
of research relevant to demographic shifts and generational diversity, see Mind Tools for Business (2023) Annual L&D Benchmark Report: Part Three. Available at: https://www.mindtools.com/business/
research/megatrends-reshaping-the-future/ (Accessed 10 March 2024)
51
INTOO (2024) Unlocking organizational success report 2024. Available at: https://resources.intoo.com/about-intoo/intoo-unlocking-organizational-success-report-2024 (Accessed 12 May 2024) 52
D’Amato, A. and Herzfeldt, R. (2008) ‘Learning orientation, organizational commitment and talent retention across generations: A study of European managers’, Journal of Managerial Psychology, 23(8), pp.
929-953. https://doi.org/10.1108/02683940810904402 53 See Figure 7 in Mind Tools for Business (2023) Annual L&D Benchmark Report: Part Three. Available at: https://www.mindtools.com/business/
research/megatrends-reshaping-the-future/ (Accessed 10 March 2024)
For a long time, HR professionals have believed that Perhaps, when measured crudely and without context,
people leave managers, not organizations. However, this estimate is accurate. But our review suggests that
recent research has argued that the number of this figure should at least be in the region of 29% (see
employees choosing to leave an organization because Figure 15).
of their manager could be as low as 12%.54
Figure 15.
Top four reasons employees quit jobs
Below we have summarized our review of the research identifying the most common reasons employees
quit (or intended to quit) their jobs in 2022 and 2023.
41%
McKinsey 36% 34% 26%
“Lack of career
n = 13,381, Global “Inadequate total “Uncaring and “Lack of workplace
development and
Retrospective compensation” uninspiring leaders” flexibility”
advancement”
Note. For each study summarized above, employees were asked about their decision to leave a previous job or why they would leave their current job. We have labelled
these research methods as ‘Retrospective’ and ‘Intent’, respectively. A full list of references for the research included in this table can be found at the end of this report.
54
Culture Amp (2024) The biggest lie in HR: People quit bosses not companies. Available at: https://www.cultureamp.com/blog/biggest-lie-people-quit-bosses (Accessed 11 March 2024)
Active listening 60 57 64 60 63
Acknowledgement* 56 53 53 57 59
Coaching 53 52 51 53 58
Openness* 50 49 47 51 53
Delegation 47 45 46 47 50
Recognition* 43 44 46 46 42
Clear articulation* 43 44 46 43 40
Empathy 43 42 44 41 40
Self-awareness/self-regulation 39 40 44 40 28
Vision setting* 27 26 24 31 26
Social sensitivity 19 25 17 18 17
Leveraging diversity* 15 25 15 12 17
Figure 17.
Young managers are asking for direction
Note. n = 2,001
In this report, we have shown how people-centric It’s unreasonable for organizations to assume that new
capabilities, like empathy, contribute to wider business managers will be qualified because they’re technically
goals, like employee retention. And how, when competent. It’s important to check that development
organizations commit to developing these capabilities in opportunities meet learning needs and expectations.
managers, they realize their potential. Managers who are And it’s essential to identify reliable ways to measure
supported with resources, formal courses and training the capabilities of managers – even for the most
are better coaches, goal setters and learning champions. experienced, there’s a self-reported difference of 13%
between the capabilities managers are good at and the
capabilities they think they’re good at.56
56
On average, 55% of managers who had been in role for more than five years agreed that they were “good” at the 12 capabilities included in our manager capability framework. When we asked
managers about their behaviors in the last six months (e.g., the extent to which they had “regularly checked in with their team about their development, career and aspirations” or “mediated their
feelings, so that they do not have a negative impact on others”), we found that managers had engaged in 68% of behaviors related to the same 12 capabilities. In other words, they were better than they
thought they were.
Cronbach’s alpha
Correlation
Linear and multiple regression
57
All figures, unless otherwise stated, are from YouGov Plc. Total sample size was 2,001 middle managers. Fieldwork was undertaken between 13th and 22nd March 2024. The survey was carried out online.
Below we have summarized some of the key scientific studies that have demonstrated relationships between
our 12 manager capabilities and core people-, manager- and business-outcomes.
Rahman & Castelli, 2013 Younger leaders are more empathetic than
older leaders. High empathy predicts leadership
effectiveness (in terms of motivation, openness,
communication, trust and adaptability) and
organizational performance (in terms of profit
Empathy and growth).
Dietz & Kleinlogel, 2014 Managers with higher empathy are more likely
to make decisions that are both morally and
economically optimal.
average-performing managers.
Yeow & Martin, 2013 Leaders who are trained to self-regulate are rated as
being more effective at their job and report higher
financial performance for their teams.
Social sensitivity
Trust
Brown et al., 2015 Employee-manager trust correlates with financial
performance, employee productivity and
product/service quality.
Guidance
Hollar et al., 2022 Recommending development opportunities improves
job satisfaction, retention and engagement.
Transparent
communication
Walden, Jung & When employees are provided with adequate and
Westerman, 2017 thorough information about their job performance and
workplace challenges, they are more committed to
the business and less likely to leave.
Kalogiannidis, 2020 Effective downward communication improves
employee performance in terms of work quality,
contribution to the business and self-directedness.
LinkedIn Learning, 2014 Employees with career goals are four times more
likely to engage with learning.
Goal setting
Crossley, Cooper & More proactive managers set more challenging goals,
Wernsing, 2013 which leads to higher sales performance.
Delegation
Zhang et al., 2017 Psychological empowerment mediates the positive
relationship between effective delegation and
feedback-seeking behaviors.
Note. A full list of references for the research included in this table can be found at the end of this report.
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