Earlier in the year, Provoke Insights worked with HR Powerhouse, Insperity to conduct a study exploring managerial effectiveness and how it impacts overall business performance. The result? A striking disconnect between how executives, managers, and frontinline employees view leadership peformance, and the impact it has on company culture, retention, and results.

Based on a nationwide survey of 1,000 U.S employees conducted by Provoke Insights, containing the opinions of 300 frontline employees, 300 managers with direct reports, 200 executives, and 200 human resources professionals, the study, Cracking the Code on Manager Impact: Closing the Gap Between Perception and Performance, reveals that almost half of executives believe their bosses are doing an excellent job, but only one in five frontline employees agree. Even managers themselves aren’t as confident, with just 34% saying their performance exceeds expectations.

What’s Holding Managers Back?

The study identifies three key barriers preventing managers from reaching their full potential:

1. Overwhelming Workloads: Competing demand makes it hard for managers to focus on being a strong leader that people look up to.
2. Administrative Overload: When administrative tasks take up more than 20% of their time, the risk of burnout skyrockets.
3. Lack of Preparation: Many first-time managers are promoted without proper training or leadership development.

The Payoff

When managers are set up for success, entire organizations benefit. The study found that:

• Companies with high-performing managers are twice as liikely to report overall business sucess.
• Employees with exceptional managers are four times more likely to align with company goals.
• Employees are also five times more likely to describe their workplace culture as healthy and thriving.

Strong managers don’t just oversee teams, they build alignment, foster culture, and create an atmosphere where everyone can excel.

How to Close the Gap

To bridge the divide between perception and performance, Insperity and Provoke Insights identified five key practices that drive strong leadership and better business outcomes:

1. Communication: Create open communication between leaders and employees.
2. Development: Invest in coaching, feedback, and ongoing learning.
3. Empowerment: Provide clarity, resources, and trust to help employees lead their work.
4. Recognition: Celebrate wins and acknowledge how each employee contributes meaningfully.
5. Culture-Building: Foster an inclusive, values-driven workplace where employees feel connected, no matter their background.

Why it Matters

Overall, the message is clear: Managers are the backbone of business performance.

When companies invest in their development and remove unnecessary barriers, they unlock higher engagement, stronger culture, and long-term success.

For a deeper look at the data download the full report, Cracking the Code on Manager Impact: Closing the Gap Between Perception and Performance, here.