What Is Manager Effectiveness?

Manager effectiveness is the ability of a manager to empower and support employees, ensuring they remain satisfied, engaged, and productive. Being an effective manager involves motivating, communicating, listening, and rewarding direct reports effectively. An effective manager is also skilled in planning, establishing goals, and engaging and motivating employees to achieve these goals.

Why is manager effectiveness important?

Manager effectiveness is important because it has a direct impact on the happiness, engagement, and productivity of employees within a company. Every organization is made up of groups of employees that are part of teams, departments, or divisions. Managers are responsible for these individual groups’ success. Their role is critical in ensuring company success. 

An effective manager paves the way for the success of their direct reports—providing resources and removing or minimizing barriers that could challenge their success. 

What are the benefits of manager effectiveness?

The benefits of manager effectiveness include:

• Increased productivity and employee engagement

• Reduced attrition

• The creation of a positive work environment and culture 

Managers, as leaders, often set the tone in the organization. Their effectiveness creates a healthy work environment where employees feel respected, know that their voices are heard, and feel that their efforts are appreciated.

What makes an effective manager?

Effective managers engage and empower their teams through their own work ethics and positive role modeling. Their positive support should both identify and acknowledge areas of employee strength, and provide constructive feedback on opportunities for improvement. 

Confidence is a key trait of an effective manager—both confidence in their own effectiveness and in the potential of their teams.

To reap optimum benefits from managerial performance, it’s important to measure manager effectiveness. 

How is manager effectiveness measured?

Manager effectiveness can be measured by looking at various metrics such as employee engagement scores, productivity, promotions, absenteeism, and turnover. In addition to these metrics, asking critical questions about the manager's relationship with their employees and their ability to retain top performers can provide insights into their effectiveness.

Unfortunately, new manager effectiveness research indicates that managers are more stressed than they used to be—a risk that can minimize their effectiveness.  

How can manager effectiveness be improved?

Improving manager effectiveness starts with being able to measure it in an ongoing manner. This gives organizations the information they need to identify opportunities for improvement. 

Improving manager effectiveness involves: 

• Good communication

• Celebrating milestones and top performers

• Leading by example 

• Setting SMART goals  

• Being open to improvement. 

It’s an ongoing process of continuous improvement that helps ensure that employees across the organization are satisfied, motivated, loyal, and poised for maximum success. 

Read more on manager effectiveness:    

• 6 Insider Tips for Unlocking Manager Effectiveness From the Experts

• Nine Must-Have Manager Effectiveness Metrics

• Leverage People Analytics To Improve Manager Effectiveness