Managers do not understand the skills and motivations of their staff, according to workplace psychologists.

According to research commissioned by workplace psychology firm OPP, 98% of managers claim they "know their people well". Yet only only 28% of healthcare employees agree with this, while it is even lower among IT staff (19%); sales and marketing staff (18%) and professional services staff (17%).

Robert McHenry, CEO at OPP, said: "Most worrying is how managers are completely ignorant of the situation. There is a massive misconception they know all there is to know about their employees."

The research also exposes flaws in management decisions. Two-thirds (66%) of managers say they would change past decisions if they could, while almost half (42%) say their people decisions are based on gut instincts.