Firstly, welcome to the crew who joined this week! 🎉 You are now part of a cult of folks helping to ideate and grow their tech startups together.

ICYMI 📚

If you are new here or just plain missed some of our previous sends, here is your quick catch up section.

• So, What Does A Chief Of Staff Actually Do. The Pandora's Box of startup roles. We deep dive into the Chief of Staff.

• The Job Description Of A CEO. Five roles to rule them all. The most detailed CEO job description to date.

• Innovation Via Customer Obsession. Jeff Bezos, Founder & Ex-CEO at Amazon.

PARTNERS 🎯

AI is here, and it’s going to revolutionize CRM.

Attio has spoken with 50+ GTM leaders who believe that CRMs in the AI era will:

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Attio is committed to building all of the above, leading the way in the CRM revolution.

Read more of Attio’s vision for the future of CRM.

THE DEEP DIVE 👀

The Four Type Of Managers & How To Manage Them

Managing people is not for everyone. And managing managers is certainly not for the faint of heart. How your managers behave, the way in which they lead and whether or not they hit their goals reverberates through the entire company. If I was to sum it up very simply, it would be that if your managers suck, your company probably does too.

Today we are going to take a deep dive into the manager. We will look at managers ranging from the Kendall Roy, to everyone’s favourite in Ted Lasso. The goal is to find out who they are, what archetype they identify with and how, or in some cases, if, we can help them. Let’s dive in.

Welch’s Performance x Values Matrix

The infamous Jack Welch was one of the most successful CEOs in history. One of the first true rockstar leaders. It’s not surprising as he was able to raise GE’s market cap from $14 billion to $410 billion dollars by the time he left.

It’s a very simple framework. Managers are marked as either a ‘yes’ or a ‘no’ on two elements: do they hit their goals, and do they add to the culture. The four possible combinations span the breadth of managerial excellence, or lack-thereof.

Let’s take a look at each one individually now, and try to figure out what to do with each of them.

The Star Manager

The Star Manager is one who excels in both performance and culture. They crush their goals while building a positive, engaging, and supportive work environment for their teams. These managers are priceless.

Benefits of a Star Manager

If you want high employee morale, low turnover, and strong business results overall, you want to recruit, develop and nurture Star Managers. They create a beautiful work environment where employees feel valued and motivated.

How to work with a Star Manager

• Provide opportunities for growth. Advanced training, industry conferences, executive education. Support their development. This will help them stay ahead of trends and continue to excel in their role.

• Autonomy and empowerment. Give the autonomy to make decisions and lead their teams without too much oversight. Trust their judgment, and give them the freedom to innovate.

• Recognition and rewards. This can be through formal awards, public acknowledgments, bonuses, or promotions. Consistent recognition helps maintain their motivation and engagement.

• Give challenging assignments. Assign them to high-impact projects or strategic initiatives. This will put their skills to the test and provide opportunities for growth.

• Mentorship and coaching roles. Encourage them to take on mentorship or coaching roles within the company. Put their expertise to work developing other leaders. This will also reinforce their own leadership skills and satisfaction.

Once you know you have one of these managers on your hands you need to keep them happy. Give them raises before they ask for it, offer them extra equity and create buy in whichever way you can.

Hell, give them a kidney if they ask for it. You will kick yourself if you lose a true star.

The Nice Manager

This next manager is tough. Nice Managers are those who create a positive culture but struggle with hitting business targets. You know the type—everybody loves them but they add very little strategic value. Their teams may be happy and loyal. But they lack results.

And worst of all. Getting rid of them means the culture will take a hit. Having a Nice Manager on your team can be a real ball-ache.

Challenges of a Nice Manager

Despite high employee satisfaction, the big challenge is the potential for long-term performance issues. Lots of smiling faces and plummeting market cap. Over time, unless you can fix it, this will ultimately lead to strategic failures across your company.

How to work with a Nice Manager

• Performance coaching. Give targeted feedback to improve their understanding and execution of your performance metrics.

• Goal setting. Help them set clear, achievable goals and create action plans to meet those targets.

• Coaching on critical conversations. Provide training and role-playing exercises to build their confidence in delivering constructive feedback and having difficult discussions when needed. Help them find a style that's authentic and comfortable.

• Performance management systems. Use systems that track progress and provide real-time feedback. This will provide visibility and help ensure they stay on track.

• Skill development. Offer training programs focused on developing their strategic thinking and decision-making abilities.

• Accountability partnerships. Pair them with a mentor or a more results-driven manager to provide guidance. Hold them accountable for meeting performance objectives.

This type of manager will challenge you as a leader, especially if you are high on empathy. You will forever see the bright side. ‘If only they can figure it out’ you’ll tell yourself. And maybe they will. With the right amount of support you can move this person from a nice manager to star, but not always.

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The Taskmaster

A lot of pundits would say that the most famous example of this management style is Elon Musk. And after reading Walter Isaacson’s recently biography, I find it hard to disagree.

Tech startups with a ‘growth at all costs’ mentality have managers who fit this profile. They deliver results but create a stressful work environment. In a simpler framing; a shit place to work.

Yes, Elon is an example of someone who has conquered the business world with this management style. But for every Elon, there are a thousand managers working on less innovative, world-changing products that simply just lose the team and tank their company operating in this way.

Impact of a Taskmaster

Having a demanding manager can lead to high turnover, employee burnout, and potential long-term brand damage. Having said that, if you can get them aligned to the company’s values, they become an asset. They can move straight from a problem to the ultimate solution for you and your team.

How to work with a Taskmaster

• Model good leadership. Lead by example. Demonstrate empathy, effective communication, and a commitment to work-life balance in your own leadership style. This sets the tone for the entire organisation.

• Provide coaching and training. Offer the manager guidance, coaching, and training to develop their leadership and interpersonal skills. Focus on empathy, communication, and giving constructive feedback.

• Address issues promptly. If the manager's behaviour is impacting the team or not aligning with your values, address it promptly. Give specific feedback and outline the changes needed in their approach.

• Celebrate good leadership. When the manager shows good leadership behaviours and their team is performing well, acknowledge and celebrate those successes. Positive reinforcement.

• Align incentives. Build performance metrics and incentives that include team performance, employee satisfaction, and retention. This encourages a more balanced approach to leadership.

Remember, as a leader, fostering a positive culture and retaining top talent is your job. By actively managing and developing all leaders, including demanding ones, you make sure the entire organisation is aligned and set up for success.

1761, London Stock Exchange

There was a term that rose to prominence in the 18th century at the London Stock Exchange, to refer to a stockbroker who defaulted on his debts. First heard in writing in 1761, it bemoaned someone who had fallen behind. The laggard. He who was failing. A person of ill-repute. 

_{*The following image actually has nothing to do with the London Stock Exchange. Looks like it does though right?}

The term was ‘The Lame Duck’. In the literal sense, the term refers to a duck which is unable to keep up with its flock, making it a target for predators. This will be the unfortunate moniker of our final manager archetype.

The Lame Duck

When working with a Lame Duck, there will have been a time when you thought they were going to work out. A hot recruit you have bought in from outside, with all the potential in the world. But then it all started to move in the wrong direction.

And then one day you wake up and you realise; ‘Holy shit Bob is a Lame Duck.’ If and when that day comes, you know what has to be done. Speak with HR, follow the processes, but for God’s sake get that person out of our organisation as fast as possible.

Consequences of a Lame Duck

The presence of this manager type can lead to low employee engagement, high turnover, a decline in overall business health, not to mention a lowering of the organisation’s standards as a whole.

How to work with a Lame Duck

• Intensive coaching: Give focused coaching sessions addressing specific deficiencies. Set clear, achievable milestones with frequent feedback loops and hope for improvement.

• Performance Improvement Plan: Put them on a performance improvement plan (PIP) with defined goals, timelines, and metrics for success. Oversee their progress and provide support along the way.

• Reassignment or termination: If there’s no significant improvement, consider reassigning them to roles that are better suited to their skills. If reassignment isn’t an option you need to let them go.

Our final management archetype, is in many ways, the easiest to manage. If you have a lame duck on your hands, and you’ve done what you can but you cannot help them, there is only one thing left to do. It’s time to send them waddling off into the sunset.

Good vs bad managers, the data

As we move towards the end of today’s piece, I would be silly to not add some data to the conversation. The Predictive Index conducted a 2018 people management study in which 5,103 employee took part. The research highlighted a number of things. First and foremost, that great bosses give just the right amount of feedback.

It also showed that people’s energy towards their job was hugely affected/effected (I can never tell) by how they viewed their manager. It was also really important that their managers were not only respected, but liked.

Another key finding was that bad managers, typically, are self-centred and also lack any self-awareness. But other studies have shown that although bad management can have a real impact on retention—it’s leadership that matters more. Take a look at these stats from Culture Amp.

So it’s clear, managers are important, but leadership even more so. Interestingly, the most important thing that trumped all was development opportunities. Culture Amp's research shows that employees without access to consistent development opportunities are 2x more likely to leave within a year.

Summary

Managing people is hard. Whether it’s your new VP of Engineering, a decade-long rusted on CFO, or the reluctant but true Heir to the Kingdom of Gondor, you need experience stewarding people through different stages of their careers.

Some leaders might start out looking like deadbeats, but go on to do great things. Others will take time to understand and fit your culture. And then there are those whom you love but simply refuse to hit their goals.

No matter what it is, it’s your job to fix it. Your job to enable people, and to help them get the best out of themselves. For your sake, for the company and most importantly, for them.

Hopefully our edition today gave you some things to think about when assessing your team and building for the future.

How you can apply this

• Categorise your managers: Objectively rate your managers based on their goal attainment and cultural impact and decide on which archetype they fit.

• Tailor your approach: Build plans for your managers all the way from how you will empower and reward your best, to how you will work with your lame ducks.

• Model the right behaviours: Consistently demonstrate the leadership behaviours you want to see in your managers. Align incentives to encourage balanced management approaches that value both results and people.

• Prioritise growth: Make developing your employees a top priority. Providing exciting growth opportunities for the team has an outsized impact on retention and engagement. Invest heavily here.

• Embrace the journey: Remember that a manager's growth is not always a straight line. Someone may start slow but become a star with the right guidance and support. Your job is to enable your managers' success and help them reach their full potential

Extra reading

• How to Make Employee Development Part of Your Culture, Lattice - April, 2022

• 20 management books to read, monday blog - January, 2023

• How to give effective feedback, Culture Amp - March, 2024

TWEET WRAP 🐣

TOOLS WE USE 🛠️

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