Measuring manager effectiveness: How to evaluate and accelerate manager success
4-minute read
These days, the need for effective managers has shifted from nice-to-have to really, absolutely, definitely must-have. But how can we measure manager effectiveness?
At LifeLabs Learning, we help over 2,000 of the world’s most influential companies hit their goals faster by equipping their managers with the most important skills they need to succeed. Again and again, we’ve found that the clearer these organizations are about what success means for their managers, the faster and easier it is for managers to reach these goals (and for us to help them get there quickly).
Why Measure
Without a clear, tangible, and aligned definition of management success, it is impossible for manager performance or development to be strategic. Imagine trying to pick the right path to walk without having a destination in mind. You’ll waste precious time and energy wandering in circles and feel lost all along the way. In the same way, companies and employees waste already scarce resources when they don’t have a shared definition of success for their managers.
When success metrics are well-defined, managers are more focused, effective, and quicker to develop essential skills. It also becomes easier to hire new managers and evaluate the effectiveness of the managers you already have.
How to Measure
Good metrics don’t need to be perfect metrics, but they must be measurable with at least some degree of objectivity. They should ideally combine input measures that managers can directly control (e.g., holding weekly one-on-ones) with output measures they can influence through their efforts (e.g., employee engagement). They should be sensitive enough to catch problems early. And there should be a small number of metrics to measure so that managers can prioritize their efforts and energy. Three key metrics consistently tracked will yield better focus and outcomes than many messy metrics.
For best results, engage your managers and individual contributors to define or refine your manager success metrics.
Questions to guide you and your team to set good metrics:
What results would show us that managers are fulfilling the purpose of their role?
What or who is best poised to assess their results or work quality?
What indicators can help us catch and address problems early?
If someone were a truly great or very bad manager, how could we tell?
What results are within the manager’s control? What results can they influence?
Here are some sample manager success metrics for inspiration:
X% of team members meet their success metrics on a monthly basis or have a performance improvement plan in place.
Why this metric? Our success metrics are an early indicator of whether we’re on track to reach our goals. Monitoring this metric allows you and your team to catch and address problems early and celebrate success.
X% completion and on-time-rate of manager standards: weekly one-on-one, monthly metrics checks, quarterly celebrations and strategic planning.
Why this metric? These behavioral standards are the best predictors of great team outcomes. While you can’t take total responsibility for your team’s performance and engagement, you do have full control over your commitment to our company-wide manager standards.
X% of team members agree with each of the following engagement survey questions, as measured in our quarterly survey:
I know what is expected of me at work.
I have the resources I need to do my work well.
At work, I have the opportunity to do what I do best every day.
In the last 7 days, my manager has recognized me for doing good work.
My manager seems to care about me as a person.
My manager encourages my development at work.
When I share my thoughts with my manager, my opinions seem to count.
In the last month, my manager has talked to me about my progress.
In the last three months, I’ve had opportunities to learn and grow.
Why these metrics? Gallup’s global research has found that these questions are significant predictors of engagement and performance.
Other metrics to consider: speed to results, % of goals achieved, employee retention, customer satisfaction, manager self-assessment, and manager 180- or 360-degree assessment.
What You Can Do Right Away
Develop or refine your metrics by seeking input from a diverse group of managers and individual contributors.
Document the metrics in an easy-to-access spot, like your manager job description. Be sure to highlight these metrics during manager hiring, onboarding, and performance assessment.
Create a metric-check ritual across your organization. While it’s already helpful to simply define management metrics, it’s even more helpful to actually use them! Collaborate with your employees to select a metric-check process and cadence that works well for your organization. For example: a monthly 1-on-1 or a quarterly survey.
Want to help your managers become highly effective faster? Contact LifeLabs Learning!
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