Francke said best practice standards of management and leadership are essential to unlocking growth. She cited CMI research, which proves that appropriate management leadership development increases organisational performance by 23% and people performance by 32%. In contrast, bad management costs the UK £19 billion every year.
“A huge 77% of CEOs are cutting management and leadership development spend,” she said. “But if they increased it by even one point, it would be like hiring 25 extra people.”
In the UK, only one in five managers is qualified, whereas four out of five think they should be. And 64% of organisations say they have no need to train staff in management.
Francke said even those companies that are providing some training to managers are giving them the wrong tools, as short courses and conferences are far less effective than professional bodies’ qualifications, longer programmes and coaching.
“If you don’t properly train people when you promote them to manager, you are setting them up to fail,” she said. “Good management development is more important than ever. It builds businesses and boosts wellbeing.”