Bad management forces talented staff away from SMEs

Bad management practices are driving talented employees away from the workplace according to new research, and at a time when firms can ill-afford to lose staff.

A study by YouGov, carried out on behalf of HR firm MHR, found that 80% of employees said they experienced some sort of poor management during their career.

They cited micro-management, bullying and aggressive behaviour among their bad experiences, with 73% saying it forced them to consider their future at the company.

Of that figure, 55% quit their job as a result, creating numerous issues for the small businesses concerned.

Poor managers were also described as lacking the necessary people skills, being inexperienced, and failing to communicate properly.

Others said there was a complete disregard for mental health in the workplace, with some respondents even suggesting that their employer had been directly responsible for a negative impact on their mental health.

Alongside the effects that poor management can have on employees, it will also negatively impact on the business itself in the long term.

Employee morale will drop, which has a knock-on effect on job satisfaction and productivity, with the latter potentially leading to reduced sales or a decline in development activity.

The reputation of the company can also be hit, especially if knowledge of poor management practices become known by those outside of the business - this can also make it difficult to recruit new talent as individuals do not view the company as a place where they want to work.

A failure to address some of these failings may ultimately cause a business to stagnate, while drops in productivity and morale may hit the bottom line.

While a range of alternative finance methods do exist to support those facing difficulties, other businesses want to consider if they can improve their working practices.

Reorganisation doesn't need to be a burden though, so in cases where the structure needs to be changed or new entities created, solvent restructuring processes could be used.

By streamlining business practices it should be possible to remove some of the burden placed on managers, allowing them to devote more time to ensuring good processes are followed.

The key for businesses is to prepare and train their staff in the right way to ensure they are fully prepared for what they may have to deal with.

By Phil Smith


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