LEADERSHIP: Is Management Development Still Important in Business?

Business organizations that employ more than 1 person usually have a manager or senior person that makes decisions for the betterment of the operation. Customer driven businesses especially rely on managers or supervisors to make real time decisions that can directly impact costs and profitability. With such power and influence within the organization, it is a real question as to why, according to a recent survey by Josh Bershin, a little over half of the companies surveyed spend just $500 on developing their managers. That means a large portion of the businesses do not invest any resources into upskilling and look at leadership development as a luxury item. With a direct link and even more direct influence over critical frontline teams, businesses that invest time and money into leadership development will see longer term positive impacts to the bottom line.

Managing in the Traditional Sense

Businesses that are customer facing and rely on traffic to drive revenue will most likely have some type of management within the business. Managerial titles vary but near the front end of the businesses, leadership could be known as team leader, keyholder, supervisor or simply, manager. Traditional management functions fall into 2 distinct categories:

  • Business operations
  • Human resources

Managers and supervisors are usually tasked with maintaining the operational side of the business which can include things like identifying opportunities for improvement in process or execution, analyzing simple data sets to discover potential room for improvement and delivering results that are target based. Managers would also assist in completing operational to-do lists and projects. Managing the businesses human assets also fall upon managers. Along with delegating tasks in a traditional sense, managers must also be able to motivate their teams to achieve set goals and targets. Both functions of management require advanced skill sets that cover specifics within the business, as well as universal management techniques. Leaders with well rounded work experiences as well advanced skills are in a better position to get more from their teams and ultimately, improve the business for the long term.

Modern Management Styles for a Modern Labor Pool

Traditional management concepts and styles still very much apply in the business world but over time, humans have evolved and the old style strict delegator may see less output from their team than a leader who embraces a more progressive approach. Great managers start with great listening skills and can quickly assess ‘the pulse’ of their team. Managers who use open and engaging communication to build a culture of ownership will see benefits in efficiency and productivity from their team. Problem solving skills and the ability to pivot when needed are also strong and necessary traits for high performing managers. The role of manager has changed drastically from the one who reads jobs off a handwritten to-do list. Managers in this era should be considered support systems for frontline teams and are necessary to keep the business moving in the right direction. This highlights the importance of leadership skills, development and the need to ‘build better managers’.

Leading the Leaders

Managers play a critical role in business, especially in customer focused organization. While specific and business related training is deployed to new hires and frontline staff, managerial development has fallen to the wayside. Managers and supervisors are individuals that are capable of learning advanced skills that can help them do their jobs more productively. Advanced training in organizational and communication skills will translate into more accurate work results and increased productivity from the manager and their teams. Upskilling with business specific training will benefit managers by having a more thorough understanding of the business itself. Managers are also capable of taking on more responsibilities and learning other facets of the business can increase their presence in different areas. Investing in training and development for managers will drive that valuable sense of ownership and increase job satisfaction which will have immediate and positive impacts on frontline team output.

The Bottom Line

Training the trainers is a cliche in the business world but certainly applies when it comes to leadership development. Businesses remain focused on supporting frontline teams, a critical part of the operation, but miss opportunities for great managers to reach the next level. Investing time and resources in developing management and potential frontline team members will positively impact the business in the long term by building a solid and capable management layer. Upskilling managers will also show benefits in efficiency and productivity as certain skill sets could be learned that greatly improve organizational and operational abilities. Highly trained leadership will also solidify succession planning, eliminating and reducing potential gaps in operations.