1. THE BUSINESS BENEFITS OF MANAGEMENT AND LEADERSHIP DEVELOPMENT. THE BUSINESS BENEFITS OF MANAGEMENT & LEADERSHIP DEVELOPMENT, CMI, FEB 2012

2. The Business Benefits of Management and Leadership Development  Research based on:  Survey of 4496 people  Includes 302 CEOs and 550 HR managers  Focus groups  One to one interviews  Literature review  Case study interviews  Carried out in partnership with the HR consultancy Penna, written by researchers at Henley Business School

3. The link between MLD and Organisational Performance: “chain of impact”

4. THE SCALE OF THE PROBLEM. “ Nearly half of UK line managers are ineffective. ” 36%36% 43%43% Highly effective Effective Ineffective or highly ineffective21%21%...How effective is your line manager? Source: The Business Benefits of Management and Leadership Development, CMI, 2012 THE BUSINESS BENEFITS OF MANAGEMENT & LEADERSHIP DEVELOPMENT, CMI, FEB 2012

5. GOOD MANAGEMENT GETS GROWTH & PRODUCTIVITY. Investment in MLD leads to: OrganisationalPeople 23% Increase in performance 32% Increase in performance THE BUSINESS BENEFITS OF MANAGEMENT & LEADERSHIP DEVELOPMENT, CMI, FEB 2012

6. Relationship between organisational performance and management effectiveness

7. Key differences between low and high performing organisations Average annual spend on MLD: £1,414 per manager High performing organisations spend 36% more than low performing ones (£1,738 compared to £1,275) However they also do more to assess and integrate MLD – it is not just about financial commitment. Critical factors ̶ CEO/senior management commitment ̶ Aligned HR practices (performance management, competency frameworks, succession planning) ̶ Alignment between HR and business strategy ̶ Positive attitudes to MLD: committed, not sceptical ̶ Evaluation of MLD

8. Stronger MLD environment correlates with higher performance

9. Employee engagement and organisational performance are linked.

10. MISMATCH IN PROVISION? THE BUSINESS BENEFITS OF MANAGEMENT & LEADERSHIP DEVELOPMENT, CMI, FEB 2012

11. Effectiveness by management position

12. Top five reasons for investing in MLD (HR Directors and CEOs)

13. Top 4 competencies developed by professional management qualifications