As HR professionals, we must equip our CEOs with compelling data that underscores the necessity of investing in manager and leadership development. Without it, the C-suite may overlook the importance of people development, leading to detrimental consequences for organizational growth. In reality, high-growth organizations can’t afford NOT to invest.
Whether you’re advocating for creating a manager academy training program or seeking to implement assessments like DISC throughout your organization, you need to be armed with hard data to make a compelling case. To assist you in this endeavor, we’ve curated a selection of impactful statistics outlining the costs, profitability, and ROI of various aspects of leadership development:
1. Poor Leadership
79% of people would seek new employment due to bad leadership. Source: Career Addict, ‘Why People Quit Their Jobs’, 2020.
2. Turnover and Talent Retention
34% of employees leave within the first year, primarily in the first 90 days. The top reason people leave (43%) is because the role doesn’t meet their expectations. Source: Forbes Advisor, Key HR Statistics And Trends In 2024, 2023
3. Manager Effectiveness
1 in 3 workers say their manager can’t lead a team. Source: The Society for Human Resources Management – SHRM, ‘The High Cost of a Toxic Workplace Culture’, 2019
4. Burnout
76% of HR leaders report that managers are overwhelmed by growing job responsibilities. Source: Gartner, ‘Top 5 HR Trends and Priorities for 2024’, 2023
5. Employee Engagement
Companies with highly engaged employees are 21% more profitable and 17% more productive. Source: Forbes Advisor, Key HR Statistics And Trends In 2024, 2023
Alongside these statistics, we’ve created graphics that you can easily incorporate into your presentation to your CEO. These statistics clearly illustrate effective leadership development’s profound impact on organizational outcomes. Convincing your CEO shouldn’t have to be complicated – let us help you with the data you need.
If you’d like to delve deeper into the subject, prominent HR reports from Gallup, SHRM, and Microsoft provide invaluable insights into the benefits of prioritizing leadership development initiatives.
- Gallup’s State of the Global Workplace report emphasizes the pivotal role of engaged leaders in driving employee productivity, retention, and overall satisfaction.
- SHRM’s State of the Workplace report delves into the financial implications of leadership development, demonstrating its direct correlation with increased profitability and business performance.
- Microsoft’s Future of Work report explores the evolving nature of leadership in the digital age, underscoring the importance of equipping leaders with the skills necessary to thrive in an ever-changing environment.
Ready to equip your CEO with the compelling data they need to prioritize leadership development initiatives? Click the button below to download our “Why Invest in Manager and Leadership Development?” fact sheet (no email required). With this invaluable resource at your disposal, you’ll be well-prepared to advocate for strategic investments in the future success of your organization.
