15 Reasons Why Organizations Need People Managers

Managers are important because they play a pivotal role in the success and growth of an organization. During the turnaround of IBM in the 1990s for example, CEO Louis Gerstner implemented strategic changes that revitalized the company. His focus on organizational culture establishment and management planning was crucial in transforming IBM’s fortunes.  Similarly, Satya Nadella’s leadership at Microsoft has been marked by a renewed emphasis on innovation and collaboration, leading to a significant increase in the company’s market value

Effective managers handle management planning, ensuring that all projects and tasks are well-structured and aligned with the organization’s goals. They also oversee “resource allocation,” making sure that both human and material resources are used efficiently to maximize productivity. Additionally, managers are key to “organizational culture establishment,” fostering an environment that promotes values, ethics, and a sense of community.

Managers face challenges such as balancing workloads, managing team dynamics, and maintaining morale during difficult times. This combination of strategic oversight and people management underscores the critical importance of managers in any organization. Below are 15 Reasons Why Organizations Need People Managers:

1. Setting Goals
2. Organizing Teams
3. Providing Accountability
4. Improving Staffing
5. Facilitating Communication
6. Prioritizing Work
7. Coaching and Developing Teammates
8. Using Resources
9. Planning Team Actions
10. Maintaining Momentum
11. Providing Stability
12. Acting as Unblockers
13. Motivating Through Mentorship
14. Setting the Workplace Tone
15. Thinking About the Big Picture

1. Setting Goals

In an organization, managers set goals to guide the team toward achieving strategic objectives. Setting goals is crucial because it provides direction and benchmarks for measuring success. Traditionally, goal setting was more top-down, while in modern contexts, it often involves collaborative input. Practical Managers use SMART criteria (Specific, Measurable, Achievable, Relevant, Time-bound) to set clear goals. Clear goals align team efforts, enhance focus, and drive higher performance.

According to a study by Locke and Latham in 2002 titled “Building a practically useful theory of goal setting and task motivation”, specific and challenging goals lead to higher performance. Peter Drucker, the father of modern management, emphasized goal-setting through his Management by Objectives (MBO) approach. Lack of goal setting lead to confusion and reduced productivity. With goals set, the next step is Organizing Teams.

Setting Goals effectively

2. Organizing Teams

Managers organize teams to ensure the right people are in the right roles. Effective team organization is essential for maximizing productivity and efficiency. Traditionally, teams were organized hierarchically, while modern contexts favor more flexible and cross-functional teams. Managers use skills assessments and team-building exercises to organize teams effectively. Well-organized teams work more cohesively and achieve better results.

A study by Katzenbach and Smith in 1993 titled “The Discipline of Teams”, found that high-performing teams are well-organized and have clear roles. Henry Mintzberg’s work on organizational structures highlights the importance of team organization. Antonym Cases: Poor team organization lead to inefficiencies and conflicts. Transition: With teams organized, the next focus is Providing Accountability.

3. Providing Accountability

Managers ensure accountability by holding team members responsible for their tasks and outcomes. Accountability is vital for maintaining standards and achieving goals. In traditional contexts, accountability was enforced through strict supervision, while modern approaches favor mutual accountability within teams. Managers use performance reviews and regular check-ins to enforce accountability. Accountability improves reliability and trust within the team.

A study titled “The Relationship between Leadership and Accountability: A Review and Synthesis of the Research” by Pedro Novo Melo, Adelaide Martins, and Manuel Pereira (2023), reviews the literature on leadership and accountability, emphasizing the role of leaders in promoting accountability within organizations. Douglas McGregor’s Theory X and Theory Y explore different approaches to managing accountability. Lack of accountability lead to missed deadlines and poor performance. With accountability in place, the next step is Improving Staffing.

Providing Accountability with mcgregor's Theory X and Y

4. Improving Staffing

Managers improve staffing by recruiting and retaining the best talent. Importance: Quality staffing is crucial for building a capable and motivated team. Role in Traditional vs. Modern Contexts: Traditionally, staffing was reactive, while modern approaches are more proactive and strategic. Managers use data-driven recruitment methods and employee development programs. Effective staffing ensures that the organization has the right skills and capabilities.

A study by Hausknecht, J.P., & Wright, P.M. (2022, in their chapter “Organizational Strategy and Staffing,” Hausknecht and Wright discuss how strategic human resource management (SHRM) practices, including staffing, align with organizational goals to enhance performance. They emphasize the importance of fit and flexibility in staffing systems to meet strategic needs. Jim Collins’ “Good to Great” emphasizes the importance of getting the right people on the bus. Poor staffing lead to skills gaps and high turnover. With improved staffing, the next focus is Facilitating Communication.

5. Facilitating Communication

 Managers facilitate communication to ensure clear and effective information exchange. Communication is essential for collaboration and problem-solving. Traditionally, communication was more formal and hierarchical, while modern approaches favor open and transparent communication.

Managers use regular meetings, feedback systems, and collaboration tools to facilitate communication. Effective communication improves teamwork and reduces misunderstandings. A study by McKinsey in 20124 found that effective communication increase team performance by 25%. Chester Barnard emphasized the importance of communication in his book “The Functions of the Executive”. Poor communication lead to conflicts and inefficiencies. With communication facilitated, the next step is Prioritizing Work.

benefits of Facilitating Communication

6. Prioritizing Work

Managers prioritize work to ensure that critical tasks are completed first. Prioritization is crucial for managing time and resources effectively. Traditionally, prioritization was based on managerial discretion, while modern approaches use data and collaboration. Managers use tools like the Eisenhower Matrix and project management software. Effective prioritization leads to better time management and higher productivity.

A study titled “Getting Your Team to Do More Than Meet Deadlines” by Charlotte Blank, Laura M. Giurge, Laurel Newman, and Ashley Whillans (2019). This study, also from Harvard Business Review, explores how managers help employees prioritize tasks by setting aside proactive time for important but non-urgent work. Stephen Covey’s “First Things First” provides insights into effective prioritization. Lack of prioritization lead to missed deadlines and burnout. With work prioritized, the next focus is Coaching and Developing Teammates.

7. Coaching and Developing Teammates

Managers coach and develop their teammates to enhance their skills and performance. Continuous development is crucial for maintaining a competitive edge. Traditionally, coaching was top-down, while modern approaches favor mentorship and peer coaching. Managers use regular feedback, training programs, and personal development plans. Effective coaching leads to skill enhancement and career growth.

A study titled “Leading Like a Coach: A Research-Based Approach to Bringing Out the Best in Your Team” by Jonathan H. Westover, PhD (2023). This article explores how leaders apply coaching principles to enhance employee engagement, development, and performance. It emphasizes empowering employees through questioning rather than directives and providing ongoing feedback. John Whitmore’s “Coaching for Performance” is a seminal work on coaching. Lack of development opportunities lead to stagnation and disengagement. With teammates developed, the next step is Using Resources.

why Coaching And Developing Teammates matters

8. Using Resources

Managers use resources efficiently to maximize productivity and minimize waste. Efficient resource use is crucial for cost management and sustainability. Traditionally, resource use was managed through budgets, while modern approaches use data analytics. Managers use resource planning tools and lean management techniques. Efficient resource use leads to cost savings and higher output.

A study titled “10 Best Practices for Effective Resource Management” by Stella Inabo (2024),  from Float discusses various strategies managers use to plan, allocate, and track resources effectively. It emphasizes the importance of understanding team capacity and minimizing context switching to enhance productivity. W. Edwards Deming’s principles of quality management emphasize efficient resource use. Inefficient resource use lead to waste and increased costs.  With resources used effectively, the next focus is Planning Team Actions

9. Planning Team Actions

Planning team actions involves developing detailed strategies and plans for team projects and tasks, ensuring alignment with organizational goals. Planning team action is crucial for maintaining direction and coherence in an organization, helping teams stay focused on their objectives. Traditionally, managers followed rigid planning methods, whereas modern contexts favor agile and flexible approaches.

Managers use tools like Gantt charts, project management software, and regular planning meetings to organize tasks. Effective planning leads to improved efficiency, clear objectives, and timely project completion. A study by the Project Management Institute in 2017 found that organizations that emphasize strategic planning report 38% more successful projects. Henry Gantt, known for Gantt charts, contributed significantly to project planning methods. Lack of planning lead to chaos, missed deadlines, and project failure. Planning lays the foundation, but maintaining progress is equally important in ensuring success.

10. Maintaining Momentum

Maintaining momentum is keeping the team engaged and motivated throughout a project. Momentum is vital for sustaining productivity and driving projects to completion. Traditionally, maintaining momentum relied on hierarchical supervision, while modern approaches focus on team autonomy and continuous engagement. Managers use regular check-ins, milestone celebrations, and motivational incentives to keep the team on track. Consistent momentum results in high productivity, reduced burnout, and timely project delivery.

According to a study titled “Leading Organizational Change by a Momentum Management Perspective” by Runtian Jing and Yunan Zhao (2023), This chapter from the Handbook of Chinese Management discusses how managing momentum significantly enhance the success rate of change initiatives. It emphasizes strategies like momentum-seizing, momentum-entraining, and momentum-creating, which help organizations align their actions with favorable conditions. Simon Sinek, with his concept of the “Golden Circle,” emphasizes continuous engagement and motivation. Without sustained momentum, projects stagnate, leading to delays and decreased morale. While maintaining momentum, providing stability is essential for a reliable work environment.

Maintaining Momentum

11. Providing Stability

Providing stability involves creating a secure and predictable environment where employees feel safe to perform their tasks. Stability is crucial for employee confidence, reducing anxiety, and fostering a productive work atmosphere. Traditionally, stability was provided through rigid structures, whereas modern contexts blend flexibility with consistency. Managers establish clear protocols, regular schedules, and transparent communication channels. A stable environment leads to increased job satisfaction, higher retention rates, and consistent performance. Scientific Proof: The American Psychological Association reported in 2023 titled “2023 Work in America Survey

Workplaces as engines of psychological health and well-being” that consistently highlight that a stable and supportive work environment significantly enhances employee mental health and productivity. Stephen Covey’s principles of trust and stability in “The 7 Habits of Highly Effective People.” Instability lead to high turnover, stress, and decreased productivity. Stability provides the groundwork, but removing obstacles is necessary for smooth operations.

12. Acting as Unblockers

Acting as unblockers involves identifying and removing obstacles that hinder team progress. Acting as unblockers is important for ensuring that team members work efficiently without unnecessary interruptions. Traditionally, managers relied on hierarchical problem-solving, while modern approaches emphasize team collaboration. Managers use regular feedback sessions, open-door policies, and issue tracking systems to address and remove blocks. Removing obstacles leads to smoother workflows, higher efficiency, and timely project completion.

A study titled “The Importance of Managers: 3 Key Benefits” by Kat Boogaard (2024). Published by Culture Amp, this article highlights that managers boost employee motivation and confidence by acting as unblockers. It notes that when employees have a great manager, they score 27% higher on motivation.  Elon Musk’s approach to open communication and problem-solving at SpaceX and Tesla. Unresolved obstacles cause delays, frustration, and lower morale. Once blocks are removed, motivating through mentorship ensures continuous growth and development.

Acting As Unblockers Copy

13. Motivating Through Mentorship

Motivating through mentorship involves guiding employees through personal and professional growth. Mentorship is important for developing skills, fostering loyalty, and enhancing job satisfaction. Traditionally, mentorship was informal and ad-hoc, while modern contexts involve structured mentorship programs. Managers hold regular one-on-one meetings, provide career development resources, and offer constructive feedback. 

Effective mentorship leads to higher employee engagement, skill development, and career advancement. According to a 2019 survey by CNBC and SurveyMonkey, 91% of workers who have a mentor report being satisfied with their jobs. This survey highlights the significant positive impact mentorship has on job satisfaction and overall employee well-being. Sheryl Sandberg’s mentorship and leadership at Facebook. Lack of mentorship leads to stagnation and low job satisfaction. Mentorship fosters growth while setting the workplace tone creates an environment of respect and collaboration.

14. Setting the Workplace Tone

Setting the workplace tone involves establishing the cultural and ethical standards for the organization. Setting tone is crucial for creating a positive work environment and aligning team behavior with organizational values. Traditionally, workplace tone was set by top-down directives, while modern approaches encourage collective input and inclusivity. Managers lead by example, communicate core values, and recognize positive behaviors.  A positive workplace tone results in higher morale, better teamwork, and a strong organizational identity.

A research titled “Effective Leadership Tone for Organizational Success” by Accounting Insights Team (2024),  discusses how the right leadership tone fosters organizational success by enhancing communication and shaping a positive workplace culture. It emphasizes that leaders who demonstrate integrity and transparency cultivate an environment where employees feel valued and respected. Tony Hsieh’s cultural leadership at Zappos is proof of this. A negative workplace tone lead to conflicts, low morale, and reduced productivity. Setting the right tone is essential, but thinking about the big picture ensures long-term vision and success.

15. Thinking About the Big Picture

Thinking about the big picture involves understanding the broader context and long-term vision of the organization, beyond day-to-day tasks. Having a big picture is crucial for guiding strategic decisions, ensuring that all actions align with the organization’s overall goals and mission. Traditionally, managers focused on maintaining efficiency and productivity within their departments. In modern contexts, they must also consider global trends, technological advancements, and market shifts to stay competitive and innovative. Managers engage in strategic planning sessions, conduct SWOT (Strengths, Weaknesses, Opportunities, Threats) analyses, and stay informed about industry developments.

Regularly reviewing and adjusting long-term plans ensures alignment with the big picture. When managers think about the big picture, they better align team efforts with organizational objectives. This leads to more cohesive and motivated teams, ultimately improving overall performance. A study titled “How Leaders Can Focus on the Big Picture” by Elsbeth Johnson (2016). Published in the Harvard Business Review, this article discusses how leaders who focus on the big picture avoid micromanagement and foster a more strategic approach to leadership. It emphasizes that big-picture thinking helps align team efforts with the organization’s long-term goals.

Notable leaders like Steve Jobs and Elon Musk are renowned for their big-picture thinking, which has driven significant innovation and growth in their respective companies. Focusing solely on short-term tasks without considering the broader context lead to fragmented efforts and missed opportunities. It also result in teams feeling disconnected from the organization’s vision, impacting morale and performance.

Thinking About The Big Picture Recovered

In what ways do managers organize and lead teams effectively?

Managers lead and organize teams effectively by playing a crucial role in seeing the big picture and implementing it through strategic organization and leadership. They ensure that team activities align with the organization’s long-term vision. According to a study by Peter Drucker in “Management: Tasks, Responsibilities, Practices” (1973), managers who excel in people management planning enhance team performance.

Through “Essential Steps for Strategic People Management Planning,” managers set clear goals, delegate tasks efficiently, and provide continuous feedback. By fostering a collaborative environment and addressing team dynamics proactively, they improve overall team performance and job satisfaction. Renowned management experts like Peter Drucker have emphasized the importance of strategic planning in effective people management. Balancing strategic vision with tactical execution, managers guide their teams towards achieving both short-term and long-term objectives, ultimately contributing to organizational success.

What methods do managers use to prioritize tasks for their teams?

To prioritize tasks for their teams, managers often use the Eisenhower Matrix, which categorizes tasks based on their urgency and importance. This method helps managers identify which tasks need immediate attention and which is scheduled for later or delegated. Additionally, effective delegation is crucial, ensuring that tasks are assigned to team members best suited for them. This approach maximizes productivity and allows managers to focus on strategic priorities.

For instance, the Eisenhower Matrix is widely recognized as an effective tool for improving productivity and task management by helping individuals and teams prioritize tasks based on urgency and importance. By clearly defining and delegating tasks, managers help their teams stay focused and motivated, ultimately driving better business outcomes. Effective task prioritization also reduces stress and confusion among employees, fostering a more organized and productive work environment.

Managers Use Prioritizing Tasks For Their Teams

What is the significance of managers in using resources efficiently?

The significance of managers in using resources efficiently is that they ensure the optimal utilization of both human and material assets to achieve organizational goals. By effectively allocating resources, managers maximize productivity, reduce waste, and control costs. Efficient resource allocation involves prioritizing tasks, delegating responsibilities appropriately, and ensuring that team members have the necessary tools and support to perform their roles.

Through “Strategies To Master Resource Allocation In People Management,” managers ensure that resources are used effectively, aligning with strategies like Defining Your Project Scope, Taking Stock of Your Resources, and Prioritizing Projects to drive better performance and achieve strategic objectives. Proper resource management leads to improved team performance, higher employee satisfaction, and greater organizational success

How do managers boost employee motivation?

Managers boost employee motivation by creating a supportive work environment, recognizing achievements, and providing opportunities for growth. Employee motivation is the drive that compels individuals to achieve their goals and perform at their best. Managers play a crucial role in fostering this motivation by setting clear expectations, offering constructive feedback, and ensuring that employees feel valued and appreciated.

According to a study by the Chartered Institute of Personnel and Development (CIPD) in 2021, titled “Work Motivation: An Evidence Review,” motivated employees are more likely to be engaged, productive, and satisfied with their work. By implementing strategies such as goal-setting, rewards, and professional development, managers significantly enhance employee motivation and, consequently, organizational performance. This research underscores the importance of effective managerial practices in cultivating a motivated and high-performing workforce.

Are managers responsible for coaching and developing their teammates?

Yes, managers are responsible for coaching and developing their teammates. This responsibility is crucial for enhancing team performance and individual growth. According to a study by the Harvard Business Review in March 2022, titled “Effective Employee Development Starts with Managers” emphasizes that employee surveys show workers are more likely to stay with companies that invest in their development.

Managers play a crucial role in driving employee retention and engagement by actively participating in employee training and development. Effective coaching involves providing regular feedback, identifying development opportunities, and fostering a culture of continuous learning. This not only benefits the employees but also contributes to the overall success of the organization. By prioritizing coaching and development, managers play a pivotal role in building a skilled, motivated, and high-performing team.

How do managers influence positive employee habits and behaviors?

Managers influence positive employee habits and behaviors by fostering a supportive and engaging organizational culture. Positive employee behaviors, such as collaboration, innovation, and proactive communication, are often a reflection of the workplace environment. According to a study by McKinsey in 2023, titled “The State of Organizations” identifies ten key shifts transforming organizations, including the importance of leadership in fostering a positive work environment.

Managers promoting values like open communication and mutual respect significantly impact employee behavior and contribute to the overall success of the organization.  This is highlighted in the document “Things to Know About Organizational Culture: Definition, Benefits and Impact on Management,” which emphasizes the role of managers in shaping and maintaining a positive work culture, aligning with Schein’s Model of Organizational Culture, particularly in fostering a supportive culture and collaborative culture.

How Do Managers Influence Positive Employee Habits And Behaviors Copy

Do managers help set the workplace tone and culture?

Yes, managers do help set the workplace tone and culture. They play a crucial role in establishing and maintaining the values, behaviors, and atmosphere within an organization. According to a study, titled “The Culture Effect: Why a Positive Workplace Culture is the New Currency” by the Society for Human Resource Management (SHRM), published in 2021, shows that 53% of working Americans who left a job due to workplace culture cited their relationship with their manager as the reason, also 94% of people managers agree that a positive workplace culture creates a resilient team of employees, 97% of executives believe their actions directly impact workplace culture.

This influence is significant as managers directly impact how employees perceive their work environment. By modeling desired behaviors, promoting open communication, and fostering a positive and inclusive atmosphere, managers shape a productive and supportive workplace culture. This, in turn, leads to higher employee satisfaction, reduced turnover, and improved organizational performance.

What are the challenges managers face in managing teams?

The challenges managers face in managing teams are multifaceted and impact both first-time managers and seasoned professionals. One major challenge is establishing a clear vision and strategy for the team. Without a coherent direction, teams struggle to align their efforts with organizational goals. Effective communication is another critical challenge; managers must convey expectations clearly, provide constructive feedback, and foster an environment where open dialogue is encouraged.

Supporting career development and performance is also essential but challenging, as it requires continuous investment in employee growth and managing diverse performance levels. The challenges, as highlighted in the document “Challenges in People Management (and How to Overcome Them),” , reflect issues such as strategy development, communication barriers, and career development hurdles, which are essential for navigating the complexity of team management. Addressing the key areas enables managers enhance team cohesion, productivity, and overall organizational success.