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Behind every stay: How helpful is the influence of managers on employee retention

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Let’s state the obvious. The world of work has undergone a massive transformation globally in recent years. Traditional office-based work models are no longer the standard norm As businesses transition to hybrid work models, the influence of managers on employee retention is even more critical.

Before delving into more detail on the importance of direct managers, let’s first define what we mean by this term. A direct manager is responsible for supervising and managing a group of employees. They are often the main point of contact for employees when issues arise and play a crucial role in ensuring each employee they are managing is working to their full potential.

What are the factors behind the influence of managers on employee retention?

Bridging the gap: One of the key reasons these managers are so crucial is their ability to bridge the gap between employees and the organisation. This role becomes even more essential in a hybrid work environment where maintaining effective communication is vital. They ensure that employees understand the organisation’s goals and objectives, and role and purpose within the company. Regular feedback and support from these managers help employees feel engaged and connected to their work.

Well-being: Direct managers also play a vital role in supporting employee well-being. New ways of working do not remove the legal responsibilities of employers to pay attention to workplace health and safety. Managers are well-positioned to identify when employees are struggling with their workload or experiencing increased stress. They can offer support and guidance, such as providing access to mental health resources or adjusting an employee’s workload.

Team morale: Maintaining team morale is also critical to retention. Direct managers can provide opportunities for team building and socialising. Regular team meetings, social events, and other initiatives help create a sense of community and belonging, boosting morale and productivity.

Development and growth: Encouraging employee development and growth is also essential. Only some people can work from home. Also, some recent studies tell us that those working away from the office can become less visible and may be overlooked for new projects or promotions. Direct managers can overcome the perils of “out of sight, out of mind” and provide:

  • tailored training and development opportunities,
  • guidance in identifying strengths and weaknesses,
  • and direction on advancing careers within the organisation.

This manager role ensures fairness and recognition of course growth for all team members regardless of WFH or not.

The need for organisations to back their managers

However, it’s crucial to recognise that not all direct managers are great managers. Some have been promoted based on tenure and previous success in different roles. Some are simply the last man standing in a team. Research shows that mediocre management is the number one reason people leave companies. Managing people is a complex task, and the complexity is further amplified in a hybrid work environment. Therefore, businesses must provide support and resources to direct managers.

Just as dentists require specialist tools to treat patients, managers need the right tools to lead and support their employees effectively. You may be curious about our range of practical, customised tools to help your managers succeed. As a first step, why not try the assessment yourself here to see what it looks and feels like?

Employee retention – how critical is the role of the direct manager?

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As we traverse this new world of work, one key area that needs attention is the role of the Direct Manager.

There’s been a seismic shift in how people work in the last few years. Indeed, the pandemic has driven millions worldwide to recognise that the traditional office-based work model is no longer the standard norm.

Direct managers have always been necessary for the workplace. Still, their influence is even more critical now as many businesses have moved to a hybrid work model.

In this blog, we’ll explore why a direct manager is essential in this new world of work. And we’ll look at their impact on employee satisfaction, productivity and retention.

What does direct manager mean?

Before we explore the importance of direct managers, let’s define what we mean by this term.

A direct manager is responsible for supervising and managing a group of employees.

Direct managers are often the main point of contact for employees when issues arise and play a crucial role in ensuring employees are working to their full potential.

 

The Critical Importance of the Direct Manager in Employee Retention

Clear communication is vital for effective direct management

One main reason direct managers are so crucial is that they act as a bridge between employees and the organisation. Effective communication is vital in any workplace, even more so when working remotely.

Direct managers ensure employees understand both:

  • the organisation’s goals and objectives and their role and
  • purpose within the company.

They also provide regular feedback and support. Therefore, assisting employees in feeling engaged and connected to their work.

Supporting employee well-being is a crucial aspect of direct management

Direct management is also crucial in ensuring employees’ well-being, even when working from home. With a blur between work and personal life, employers must pay attention to their workplace health and safety responsibilities. Employees should feel valued and supported by their employer. A remote work environment highlights this. Employees may experience feelings of isolation and disconnection from their team and organisation.

Further, being well-positioned, direct line managers more quickly identify when employees struggle with their workload or face increased stress. They offer support and guidance, such as providing access to mental health resources or adjusting an employee’s workload.

Maintaining team morale is the responsibility of the direct manager

Working from home can sometimes be isolating. Ensuring that team morale remains high is paramount. Direct line managers play a vital role in this area. Examples are providing opportunities for team building and socialising, even if done virtually. Regular team meetings, social events, and other initiatives promote a sense of community and belonging among employees. All this boosts morale and productivity.

Encouraging development and growth is another important responsibility of the direct manager

Finally, direct managers are essential in helping employees to develop and grow within their roles. This responsibility needs more emphasis in a hybrid working world where employees may interact less with colleagues and managers.

Direct managers provide:

  • training and development opportunities
  • guidance to employees in identifying their strengths and weaknesses and
  • direction on advancing their careers within the organisation.

The significant impact of Mediocre Managers

Research from SEEK tells us that mediocre management is the number one reason people leave companies. Let’s face it, managing people is complex. Add to it the complexity of hybrid working – and the degree of difficulty goes up a few levels.

How to support Direct Managers?

In summary, direct line managers need all the help they can get.

Dentists need specialist tools to treat patients.

So too, managers need the right tools to lead and support their people in each of their roles.

 

At, Great People Inside we offer a fantastic, cost-effective range of customised online tools for each individual. Our tools include development suggestions and guidance.

Reach out for help to be in the presence of more Magnificent Managers in your organisation.

 

Five ways of reducing the risk of dropping employee retention

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Rate of Employee Retention

Employee retention is no doubt a key challenge. A recent study by Gartner states that the rate of employee turnover is likely to be up to 75% higher. And in addition, it takes 18% longer to fill any available jobs than pre-pandemic. Not to mention the annoying “quiet quitting” phenomenon, which is white-anting businesses too!

And the reasons why staff retention is affected?

The main reasons employees are leaving and affecting employee retention are:

  • inadequate salary,
  • deficient perks and benefits,
  • overworked,
  • lack of support,
  • career progression,
  • better work-life balance,
  • absence of recognition, and
  • unhappiness with management.

What can you do?

Whether we are trying to shift a few covid kilos or improve our qualifications doesn’t matter. There is never a single magic bullet. It’s usually a series of conscious actions and the discipline to implement them that results in the outcome we seek.

 

If you do not change direction, you may end up where you are heading.

– Lao Tzu

 

Let’s start from the very beginning

Getting back to the basics by reviewing your people processes is a perfect place to begin to improve staff retention in your organisation. Here are a few thought starters.

#1 Realistic Position previews

The talent competition is fierce and at an all-time high, so your recruitment process needs to be engaging, timely and professional. How you or your team handle the recruitment process can strongly influence the desire for a new player to choose to join your company or not.

Research shows that providing applicants with a realistic job preview during the recruitment process positively affects the retention of those new hires. Selling the job or the business as Utopia is not a good idea.

#2 Professional interviews to increase employee retention

When it comes to interview questions, “where do you see yourself in 5 years?” or “sell me that pen” are way past their use-by date. The objective of the initial interview is to confirm that skills and abilities align.

The goal of the second or final interview is to confirm fit. Is the applicant a good fit for the job? Equally important is for the candidate to verify if the job is a good fit for them.

It’s a lot less costly to retain people than hire new staff, and with retention as key focus, you need objective information to de-risk the selection process. Tools like our customisable psychometric GR8PI assessments will give you these critical candidate insights— insights that are impossible to glean at an interview.

#3 Socialise and onboard for retention

Early failure is often high among new employees, and hybrid work has added further complexity.

Onboarding aims to help your new team member understand how to be successful in their new job. First impressions count: you have one chance to make a great first impression when an employee starts with your company.

So, it’s best to ensure you have strategic onboarding and assimilation processes that can quickly help new people become embedded in your business and the role. And therefore, more likely to stay. Possible approaches here include:

  • shared and individualised learning experiences,
  • formal and informal activities that help people get to know one another, and
  • assigning experienced employees as role models or mentors for new staff.

#4 Managers are key to minimise staff turnover

Those first few weeks and months in a new employee’s job are critical, especially in the new hybrid world. A first-rate manager-employee relationship is vital in delivering the employee experience and connection to the business for retention.

Compounding the challenge, many managers have never received any formal people management training. Frequently, a person has made it to manager due to tenure, success in their previous role, or the desire to retain a person.

While these may be valid, today, managers need access to new tools to lead and manage their employees. Such tools help them foster career aspirations, well-being, and connection to the organisational culture.

#5 Training and development to improve employee retention

CFO to CEO: “What will we do if we train them and they leave?”

CEO to CFO: “What if we don’t and they stay?”

This conversation rings true today more than ever.

But not just any old training works. Sending your people to a one size fits all training course is just wasting money. Everyone learns differently, and unless you fully understand what training is appropriate for each employee, you will not achieve the outcomes.

A gap analysis can clearly highlight the specific deficiencies. Our customisable GR8PI suite of dimensions helps you identify gaps. By enabling you to benchmark and compare your staff at a glance, you can customise the thorough training needed across the various groups.

 

Elon Musk says, “Some people don’t like change, but you need to embrace change if the alternative is disaster”.

 

If you’d like some help in this area, please reach out or book a call to learn more.