Why People Skills Are Essential for Managers to Drive Inclusion & Business Success

More and more, we hear about managers excelling in their technical roles yet struggling with the people skills that truly define great leadership. Often referred to as ‘soft skills’ – we prefer the term ‘essential skills’ because they are critical for embedding inclusion, driving engagement, and boosting productivity.

Most leadership and management programmes focus heavily on strategy, operations, and performance metrics but what about the human element of leadership? The ability to communicate effectively, navigate tough conversations, and create inclusive cultures is just as crucial, yet often overlooked in traditional training.

The Leadership Skills Gap: What the Data Tells Us

A survey of 3,000 managers and 3,000 employees for Unmind’s Closing the Leadership Skills Gap report revealed:

  • 58% of employees believe their manager would benefit from additional training to improve their management skills
  • 35% of employees have left a job due to a bad manager
  • 40% of managers feel their organisation does not provide enough training for them to manage effectively
  • 47% of managers believe the lack of formal management training contributes to lost productivity

These findings highlight a critical gap – leaders are expected to inspire, support, and empower their teams, yet many lack the training to do so effectively. Investing in leadership development isn’t just beneficial for employees; it’s a business imperative that enhances team performance, innovation, and long-term success.

10 Business Benefits of Prioritising People Skills in Leadership Development

1. Motivation & Engagement

Managers who actively develop their teams create a culture of engagement and motivation, leading to higher productivity and job satisfaction.

2. Conflict Resolution

Strong conflict resolution skills help managers minimise disruptions and foster a harmonious, collaborative work environment.

3.  Empowerment

Effective managers delegate strategically, empowering employees to take ownership of their work and develop their skills.

4. Clear Communication

Transparent, open communication ensures alignment on goals and creates an environment where employees feel safe to contribute, challenge ideas, and innovate.

5. Collaboration & Trust

Trust-building managers create psychological safety, allowing teams to take risks, share ideas, and work more effectively together.

6. Performance Management & Professional Growth

By adopting equitable approaches to performance management, managers nurture talent, encourage development, and foster long-term success.

7. Increased Productivity & Innovation

Well-managed teams operate more efficiently, while a supportive workplace fuels creativity and innovation.

8. Improved Employee Engagement & Retention

When managers receive the right training, employee satisfaction increases, leading to lower turnover and stronger retention.

9. Better Financial Performance

Studies show that investing in middle managers leads to significant improvements in business performance and profitability.

10. Stronger Organisational Culture

Managers shape company culture—their leadership style influences whether workplaces are inclusive, engaging, and high-performing.

 

Future-Proofing Leadership

The workplace is evolving, and so must our approach to leadership. Equipping managers with essential people skills isn’t just about improving individual performance—it’s about building resilient, innovative, and inclusive organisations.


To learn more about how 50:50 Future can support your managers’ development, download our leadership brochure here:

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