Organizations have long seen middle management as ripe for cutting whenever times get tight, and the current moment is no exception. This is a costly mistake.
economy might be softening, many companies announced layoffs aimed at curbing expenses, with middle management a common target. Cutting such jobs hastily or too deeply can be a costly mistake. Over the past several years of advising clients and researching workforce trends, we’ve seen that this vital organizational layer often gets severely depleted.
Middle managers can make a huge difference in a firm’s ability to attract talent. They, far more than their higher-ups or their colleagues in HR, can craft individualized working arrangements that will enhance recruitment, retention, and diversity while facilitating high-value work. Consider the case of Julia, a highly qualified recent graduate who interviewed at two investment firms. David, the hiring manager at one, was shocked when she turned down his six-figure offer.
As work becomes ever more dynamic, other hiring practices need to evolve. HR can ensure that policies are consistent, fair, and legal. But only managers understand their individual departments deeply enough to see gaps between old and new realities and identify which policies need to change.
Just as important, skilled managers understand that their employees are people with rich, deep lives and show concern not just for their work but also for their hopes and dreams. Such managers recognize that if someone is underperforming, it’s rarely because that individual doesn’t care; it’s usually because the job is a poor fit or because of personal pressures. When the former is the case, managers can scan the company horizon for something more suitable.
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