The Cost of Ineffective Mid-Management 

When leaders talk about performance, the focus often goes to the top and bottom of the org chart—the executives setting direction and the frontline teams getting the work done. But the real difference-maker in whether people stay, grow, and perform isn’t at the top or the bottom. It’s in the middle: the managers. 

Previous McKinsey research found that workplace relationships account for 39% of employees’ job satisfaction.1 And relationships with management, in particular, account for 86% of workers’ satisfaction with their interpersonal ties at work. In other words, the quality of the manager and employee relationship isn’t just “nice to have”, it’s the single biggest driver of how people experience their work. 

Mid-managers are often the most undervalued group in an organization. They’re expected to carry out leadership’s vision, communicate company changes and news to employees, and at the same time advocate for and manage their people on behalf of leadership. They sit in this tough middle space, juggling competing priorities from above and below. Yet their efforts are often overlooked, and when they struggle, the impact shows up fast. 

Why Mid-Managers Become Ineffective 

Most mid-managers don’t start off ineffective. In fact, many are promoted because they were great at their individual contributor roles. The problem is, once they move into management, organizations rarely set them up for success. 

• Lack of Training
  •  Managers are expected to coach, lead, and inspire, but they’re rarely given the leadership training to do it well. Assuming they will just figure it out leaves gaps in skills like communication, conflict resolution, and performance coaching. 

• Managers Are Stuck in the Menial 
  • Research shows nearly half of a mid-manager’s time is spent on non-managerial work.2 On average, managers devote almost a full day each week to administrative tasks, while spending less than one-third of their time on actual talent and people management. Even within that smaller slice of time, most of the focus is on coaching and development rather than critical tasks like recruiting, feedback, or performance management. The result? They’re stretched thin, reactive, and unable to fully deliver on the leadership role their teams need. 

• Burnout from competing demands 
  • Mid-level managers are often overloaded, responsible not only for their own performance but also for the success or failure of their teams.3 They absorb pressure from both employees and executives, and when results slip, they carry the frustration from all sides. It’s no surprise that 55% of people managers say they often feel caught in the middle, having to constantly justify between leadership’s strategic vision and the day-to-day realities their teams face.4 

• Turnover Risk 
  • Burnout has real consequences. People can only handle so much stress before it impacts their health and loyalty.5 Even mid-level managers who enjoy their jobs report that many plan to leave within the next two years. When a mid-manager walks out the door, the cost to the company is enormous: lost knowledge, disrupted teams, and the challenge of replacing someone in a role that’s already tough to fill. 

• Lack of Recognition 
  • Executives get the credit for vision, frontline employees get recognized for execution, but mid-managers often carry the weight invisibly. Over time, the lack of visibility erodes motivation and engagement. 

The Cost of Ineffective Mid-Managers 

Lack of training, heavy admin work, burnout, and little recognition don’t just hurt managers—they hurt the business. The consequences are bigger than most leaders realize. 

• Turnover & Retention 
  • People don’t leave companies, they leave managers. One ineffective manager can cause a ripple effect of turnover across their team. Replacing even a single employee can cost 50–200% of their salary, plus the lost knowledge and the hit to morale.6 When it’s top talent walking out the door, that cost is even steeper. 

• Lost Productivity 
  • When managers are unclear or reactive, their teams feel it. Projects stall, priorities constantly shift, and employees spend more time redoing work than moving forward. Even the strongest employees struggle to perform without clear direction and support. 

• Engagement & Culture 
  • Gallup’s research shows managers account for 70% of the variance in employee engagement. 7That means one disengaged or ineffective manager can drain the energy of an entire team. Culture doesn’t collapse overnight—it erodes through daily interactions with leadership. 

• Strategic Execution 
  • Mid-managers are the bridge between leadership’s vision and the reality on the ground. If they don’t turn strategy into clear, actionable direction for their teams, communication gets lost in the middle. Employees are left unsure of priorities, projects stall, and execution breaks down. Over time, this gap creates frustration on both sides; leaders feel their strategies aren’t being carried out, and employees feel left in the dark.

The bottom line? Ineffective mid-managers drain a business of its people, its productivity, and its momentum. The longer leaders wait to address it, the higher the cost climbs. 

Setting Mid-Managers Up for Success 

Middle managers are critical in driving your business forward and can cost your company significantly when ineffective. They need the right training, support, and recognition to thrive. 

• Invest in Real Leadership Development 
  • Leadership development is not just for top executives; organizations should invest in them for middle managers as well. Providing them training on coaching, communication, conflict resolution, and performance management. These are skills that set them and their teams up for long-term success. 

• Give Managers Back Their Time 
  • Almost half of a mid-manager’s week is swallowed up by administrative and individual contributor work. On average, managers spend less than a third of their time on actual people leadership, and even that is often focused only on coaching and development rather than performance or recruiting tasks.8 If organizations want stronger managers, they need to reduce the admin load and give them more space to focus on their people. 

• Reward Them in the Right Ways 
  • That doesn’t mean managers want less responsibility. In fact, research shows they value increased autonomy, new responsibilities, and learning opportunities as much as bonuses or raises.9 Nearly six in ten report being rewarded with more responsibility, and about half say they’ve been given greater autonomy or financial incentives. The problem is when those “rewards” just mean piling on additional tasks without support. Organizations should be intentional: free managers from low-value admin work so they have the time and energy to take on higher-value leadership responsibilities that actually develop their people and drive results. 

• Equip Them With Data and Insights 
  • This is where psychometric tools like the Predictive Index (PI) change the game. With behavioral assessment tools like the Predictive Index, managers don’t have to guess how to lead their teams effectively. They get behavioral insights on what drives their employees, how to flex their style, and how to communicate in ways that land. That makes leadership less about trial-and-error and more about intentional, data-backed management. 

• Recognize and Elevate the Role 
  • Mid-managers carry enormous influence but often operate without visibility. Recognize them as the culture carriers and strategy translators they are. Reward not only their results but also the growth and promotions of their team members—that’s how you build a strong talent pipeline. 

Where Tools Like the Predictive Index Fit In 

Beyond training, time, and recognition, managers need tools that make leading people more effective. Behavioral assessments like the Predictive Index (PI) provide that clarity. PI helps organizations understand how people naturally work and collaborate, giving managers insights they can actually use in the moments that matter.10 

With PI, organizations and managers can: 

• Hire and promote with confidence by identifying whether someone is naturally suited for a management role before they step into it. This helps prevent the costly mistake of promoting strong individual contributors into leadership positions they aren’t equipped for. 

• Strengthen relationships by showing managers how their team members prefer to communicate, what motivates them, and where they thrive. 

• Develop as leaders by giving managers self-awareness of their own style and strategies to flex in different situations. 

• Build stronger teams by surfacing where dynamics support collaboration and where friction may be holding people back. 

Instead of relying on trial and error, managers gain data-driven insight that helps them lead with more intention. That translates into clearer communication, stronger engagement, and tighter alignment between leadership’s vision and day-to-day execution 

What We See in Our Work 

At ClearPath, our People Strategy team has seen firsthand how costly ineffective mid-management can be for organizations. When managers aren’t set up for success, the ripple effects show up everywhere: higher turnover, stalled projects, disengaged employees, and even frustrated executives who feel their strategies aren’t reaching the front lines. 

The flip side is also true. When companies invest in supporting their mid-managers with training, recognition, and tools like the Predictive Index, the results are immediate and noticeable. Teams become more engaged, leaders gain confidence, and the business sees stronger execution. 

The reality is, mid-managers are often overlooked until something breaks. But the most successful organizations recognize them as the backbone of culture, execution, and growth, and they make sure those managers have what they need to thrive. 

Final Thought 

Mid-managers are not just a rung on the org chart. They’re the ones who translate vision into daily reality, shape employee experiences, and hold teams together. Yet too often, they’re undervalued, under-supported, and overlooked until the costs become impossible to ignore. 

The truth is, ineffective middle management drains a business of its people, productivity, and momentum. But with the right investments, training, recognition, and tools like the Predictive Index, companies can turn this “weak spot” into one of their greatest strengths. 

For organizations serious about growth, culture, and retention, supporting mid-managers isn’t optional. It’s one of the fastest, most impactful ways to unlock potential at every level of the business. Our People Strategy team has helped many clients strengthen their mid-management layer—reach out if you’d like to explore how we can help your organization do the same. 

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1.  Emily Field, Bryan Hancock, Marino Mugayar-Baldocchi, and Bill Schaninger, “Stop Wasting Your Most Precious Resource: Middle Managers,” McKinsey, March 10, 2023, accessed October 2, 2025, https://www.mckinsey.com/capabilities/people-and-organizational-performance/our-insights/stop-wasting-your-most-precious-resource-middle-managers ??
2. Ibid  ??
3. Field et al., “Stop Wasting Your Most Precious Resource.”  ??
4. “Training Tips for Middle Managers,” HRMorning, accessed October 2, 2025, https://www.hrmorning.com/articles/training-tips-middle-managers/  ??
5. CMOE, “Is Ineffective Mid-Level Management Impacting Your Team’s Productivity?” CMOE Blog, accessed October 2, 2025, https://cmoe.com/blog/ineffective-mid-level-management-and-your-teams-productivity/. ??
6. Carol Warner, “The Real Cost of Employee Turnover Now,” HRMorning, April 23, 2025, accessed October 2, 2025, https://www.hrmorning.com/articles/real-cost-employee-turnover/  ??
7. Randall Beck and Jim Harter, “Managers Account for 70% of Variance in Employee Engagement,” Gallup Business Journal, April 21, 2015, accessed October 2, 2025, https://news.gallup.com/businessjournal/182792/managers-account-variance-employee-engagement.aspx  ??
8. Field et al., “Stop Wasting Your Most Precious Resource.”  ??
9. Ibid ??
10. Managing. The Predictive Index. (2025, July 1). https://www.predictiveindex.com/software/managing/ ??