Management Statistics and Facts in 2023

This is our list of useful management statistics.

Management statistics are figures used to measure an employee or company’s managerial performance. These reports come from sources like case studies, surveys, and experiments. Knowing these facts can help management teams identify workspace trends and patterns. This information is beneficial for employee and organizational efficiency.

This data relates to management skills, and much of this information is available in books on management.

Management statistics are similar to team building statistics, remote work statistics, and job satisfaction statistics. Staying updated on this information helps managers learn more about management versus leadership, team management skills, and top management tips.

We will continue to keep these statistics on management statistics updated as a helpful resource for you and your audience.

Management statistics [free to cite]

You can use this data in any content, including blog articles, social media, formal presentations, and internal communications. Please cite the source as TeamBuilding and link to https://teambuilding.com/blog/management-statistics.

1. Employee engagement improves workplace performance by 14%

According to Gallup’s Employee Engagement Survey, employee engagement improves workplace performance, primarily when they can communicate freely.

Gallup’s survey revealed the following:

Productivity increases by 14% when employees are enthusiastic about their roles.
A company would likely experience an 18% increase in sales when employees are actively dedicated to their roles and make efforts to ensure the company achieves success.
When there is an increase in productivity, companies are likely to have up to a 23% increase in profits.
There is a 13% increase in organizational participation.
Enthusiastic employees will likely make tremendous efforts to ensure quality customer service. Hence, customer loyalty and engagement increases by 10%.

Therefore, management teams should ensure employees are satisfied and emotionally connected to their jobs to ensure the company’s success.

2. 40% of employees would work harder if they felt appreciated at work.

According to Harvard Business Review, 82% of employees feel unrecognized for their efforts. Another 40% of employed Americans say they would put more energy into their work if their bosses appreciated them more often. This statistic shows that recognizing and appreciating your employees increases productivity, engagement, and performance by up to 14%. The feeling of recognition increases an employee’s job satisfaction. This action, in turn, reduces employee absenteeism, improves customer service, and helps you retain top talents.

3. Great organizational culture equals lower employee turnover

A report by Hays reveals that 47% of employees leave their jobs because of bad company culture. Great company culture is essential for growth because employees will likely stay permanently in workspaces where they feel valued and appreciated. This action ensures increased employee engagement, increased productivity, and less turnover rate. Google, for instance, is popular for its unique organizational culture that promotes learning, creativity, innovation, and collaboration in a healthy work environment. According to a report by Comparably, the company won 14 awards in 2022 and 18 in 2021. Hence, employees are less likely to leave due to Google’s encouraging work environment.

4. The cost of employee turnover is high for companies

If a popular or loved employee decides to leave, then it is almost inevitable that teammates will also consider leaving, which can be catastrophic for any company. Hence, many organizations are trying hard to reduce employee turnover rates because replacing an employee is two times more expensive than paying salaries. SHRM reveals that replacing an hourly worker costs an average of $1,500, which is ridiculously expensive and affects the company’s overall performance. In addition, the company experiences reduced productivity as no employees carry out these tasks, and management teams must spend valuable time hiring and training recruits. However, it is essential to understand that certain internal factors may be responsible for the increased turnover rate.

Some of these factors include:

Poor management: Employees are likely to leave if the management neglects their needs, plays favorites, and makes unnecessary or unrealistic demands. Leaving the job is inevitable if employees feel the manager constantly undermines their effort, especially to the detriment of their well-being.
Bad company culture: A company’s organizational culture determines the level of worker engagement. Employees will likely seek better options if you have a negative company culture.
No professional development: Google easily stands out because it ensures employees constantly learn new information to improve their skills. If an employee feels their current job does not offer an opportunity for professional development, then they are likely to leave.

It is important to address these factors to reduce employee turnover rates.

5. Engaged employees equals increased sales

According to Gallup’s State of the American Workplace, only 32% of US employees are actively engaged in 2022. If employees were more engaged, then there would be at least a 20% increase in sales. Employee engagement results in superb customer service. Excellent customer service significantly impacts a company. For example, a company with excellent service will likely inspire customer loyalty, increase sales, and ensure customer retention. According to Hubspot, 68% of customers are okay with paying more if a company offers excellent customer service. Additionally, Glance reports that acquiring a new customer is six to seven times more costly than retaining them. Also, 78% of customers back out of an intended purchase due to poor customer service. Focusing on maintaining employees’ happiness will reflect how they treat customers, increasing sales.

6. 69% of managers are uncomfortable communicating with employees

According to an online survey by Harry Poll for Interact studio, 69% of managers are uncomfortable communicating with employees. Many managers are uncomfortable with direct feedback because they fear hurting employees’ feelings. About 37% of these managers are uncomfortable giving direct feedback to their team due to worries about an adverse reaction, breeding antagonism, and resentment.

7. Only 15% of project managers handle a single project at a time

Project managers are easily overwhelmed with work, as many must handle two to five projects simultaneously. A report by RGPM states that only 15% of project managers get to run a single project at a time. This stat seems mind-boggling when you discover that 81% of these managers must handle two or more projects, even if they are less experienced. Fortunately, several project management tools help automate these work processes and help improve productivity.

8. Around 70% of employees are clamoring for remote working experience for increased productivity

According to Zippia, 66% of employees believe they are more productive when they work from home. Workers base this decision on the fact that 76% of these employees believe working from home reduces distractions from colleagues. Another 70% believe working from home reduces the stress of commuting to work daily, while 69% prefer the work-from-home experience to avoid office politics. More management teams are adopting a remote or hybrid work approach because of its flexibility. Less commuting time and fewer distractions ensure employees experience less stress or burnout, leading to increased productivity.

Aside from increased productivity, there are other reasons why management teams should adopt the work-from-home approach, including:

Companies will experience reduced operational costs since they must spend less on office supplies, furnishing, internet, and maintenance.
You will notice a reduction in the employee turnover rate. According to Network Depot, companies with remote work options have 25% lower employee turnover.
Remote work increases employee satisfaction. Network Depot reports that 74% of employees say that the benefits from remote work make them less likely to leave their company.

You can adapt the work-from-home opportunity to make your organization more desirable, as many employees seek flexible workspaces.

9. Multitasking reduces employee productivity by 40%

According to a Forbes report, multitasking reduces employee productivity by 40%, and only 2.5% of individuals can multitask without a decrease in productivity. Multitasking requires you to switch your attention between multiple tasks, increasing burnout, stress, and the chances of making errors, reducing the quality of your work.

Other disadvantages of multitasking include the following:

Inability to think outside the box: Multitasking affects creativity because you focus on several tasks simultaneously. Before long, you will need help to come up with new ideas.
Forgetfulness: You can easily forget important details when multitasking since your attention is divided. These forgotten details can affect the quality of your work, and it can be frustrating trying to fix them.
Tasks take longer: Although many believe multitasking quickens the time spent on tasks, that is false. Instead, multitasking slows you down because the time spent shuffling between tasks will likely be more than when you attend to each one individually.

Therefore, sticking to one task and finishing it before moving on to the next is advisable.

10. Companies that spend more on management training often outperform their goals by 15%

If you want to increase sales significantly, then you should ensure your sales managers get adequate training. Companies that invest more than 50% of their overall sales training budget on management training usually have better sales results, up to 15% more than those that do not. This sales management statistic is essential for sales managers who want to increase their company’s revenue. This information helps you create a more consistent sales approach, adjust these strategies where necessary, and ensure customer satisfaction.

11. 32% of employees wait over three months to get feedback from their supervisors

Officevibe gathered metrics from over 150 countries and 1,000 companies on employee engagement. Their studies found that 32% of employees reported waiting longer than three months to receive direct feedback from their managers. By only offering feedback quarterly or even annually, managers are not addressing workplace efficacy quickly enough. Receiving constructive criticism so long after completing a task means employees are less likely to remember the methods they used. In addition, workers may have already repeated these mistakes because managers had not told them they were doing a task incorrectly.

Further, the same study concluded that 96% of employees reported they liked receiving regular feedback. Overwhelmingly, teams appreciate regular communication with management. Consistent and helpful critiques encourage teams to learn new techniques, improve productivity, and create better results.

12. Nearly 30% of employees believe their manager lacks team building skills

According to the 2019 People Management Report by Predictive Index, nearly 30% of employees believe their manager lacks team building skills. Based on this report, most managers lack important team building skills like feedback, delegation, time management, and communication. This report poses a problem because managers should have team building skills aside from being able to execute projects. Therefore, companies should focus on providing team building training for managers to create and manage an effective team.

13. Managers receiving strength feedback are 8.9% more profitable than those who do not

In addition to giving feedback to employees, managers need to receive constructive criticism to be efficient. According to a study by Gallup, managers are 8.9% more profitable when they receive strength feedback from their superiors. Like other employees, managers need to know which techniques are effective and which are not to impact the company positively.

Additionally, managers who learn about these growth techniques can use their knowledge to boost team productivity. Therefore, managers as well as their employees can increase productivity and profitability.

14. 33.4% of employees believe their managers play favorites

Predictive Index’s 2019 People Management reports stated that 33.4% of employees believe their managers play favorites. A fundamental part of being a manager is ensuring fair and equal treatment for all employees. If certain employees think their manager treats others better than them, then there is bound to be a problem. First, favoritism in the workplace breeds antagonism and fosters a hostile work environment for the parties involved. Employees who feel sidelined would surely be less loyal to the company. This situation results in less job satisfaction and a high turnover rate. Therefore, managers should be self-aware and minimize giving preferential treatment.

15. Managers are responsible for employee engagement

Managers play an essential role in the company’s success or failure, and one of these roles is influencing employee engagement. According to Gallup, managers are responsible for 70% of the variance in employee engagement. Hence, a bad manager influences employee engagement negatively, leading to less productivity and poor outcomes. Most employees look up to their managers for guidance, and if they get none, disengagement might occur. The same situation occurs if the employees feel the manager cannot handle certain situations or tasks. Therefore, managers should focus on task performance and learn to communicate and build relationships with team members. Your team or employees want to see you show interest in their welfare. Managers should also focus on inclusion and ensure the whole team gets recognition and constructive feedback frequently.

16. 61% of companies provide project management training

Good management is equally essential for projects and employees. In 2020, Pulse surveyed firms on their project management techniques. Of those companies, 61% said they actively fund project management training.

Focusing on effective project management saves companies money in the long run. The same study reports that companies that do not value project management techniques report an average of 67% more of their projects failing. These failures cost companies heavily in financial and employee resources. When projects fail, firms lose out on investment capital. Additionally, work hours must shift to either adjust the project goals or start from scratch. Rather than accomplishing goals and moving toward new avenues, firms must then spend time rehashing old plans.

Check out this list of management training programs.

17. 91% of workers believe better time management will reduce their stress at work, but only 12% of workers use a dedicated time management system

Managing employees also means effectively managing their time. In a study by Timewatch, 91% of employees believe using better time management techniques will help reduce their workplace stress. However, only 12% of employees have implemented a time management strategy.

In addition, employees believe utilizing these resources will boost productivity, confidence, and focus. However, 67% of respondents claimed they were only willing to spend between 15 and 30 minutes a day on implementing better time management skills.

As a leader, you can offer resources to help your team use their time more effectively. Of the respondents who use time management resources, the most popular was time blocking, followed by the rapid planning method. Learning more about these methods and offering resources to your team may encourage them to implement these techniques into their workday.

Check out this list of time management tips.

How to cite these statistics

If you reuse this data or the accompanying infographic, then please include a link to https://teambuilding.com/blog/management-statistics.

We will update this resource with useful manager statistics and facts for your work.

Final Thoughts

Management statistics are essential in understanding how well a company and its employees perform. This list of management statistics covers employee management, including employee turnover rate, satisfaction, and engagement. We also highlight essential management statistics covering customer retention, satisfaction, and sales.

Knowing these statistics and facts will ensure management teams make informed decisions when creating strategies for a company’s success. These statistics are susceptible to change as time goes by. Hence, teams should be able to keep up with these ever-changing trends and adjust their strategies accordingly.

For more stats, check out our articles on quiet quitting statistics, employee engagement statistics, and employee turnover statistics.