Middle Managers Outlook: Australia Overview of Findings October 2008

Size: px
Start display at page:

Download "Middle Managers Outlook: Australia Overview of Findings October 2008"

Transcription

1 Middle Managers Outlook: Australia Overview of Findings October 2008 Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

2 Background / Methodology In October 2008, Accenture commissioned International Communications Research (ICR) to conduct the fifth annual study to assess middle managers outlook on their current job situations A total of 159 web-based interviews were conducted in Australia among a panel of full-time workers who consider themselves to be middle managers The margin of error for this sample of middle managers is +/-7.77 percent at the 95 percent confidence level 2

3 Summary of Findings Middle Management Satisfaction Roughly one-half of middle managers surveyed in Australia are highly satisfied (extremely or very) with working at their current organizations, just over one-third report being somewhat satisfied but only one-in-seven is dissatisfied Among middle managers who are not highly satisfied with their current job almost one-half report their job dissatisfaction stems from lack of prospects or advancement and insufficient pay or benefits. Only three-in-ten or fewer mention other specific reasons for job dissatisfaction. Less than one-in-five middle managers are dissatisfied with their jobs due to: a lack of fit with the company culture, a dislike for the job, not agreeing with the company s values, concerns about downsizing, a dislike for their boss, or an increase in workload In Australia, roughly two-in-five middle managers are most frustrated by not getting credit for the work they do, insufficient compensation, and an increasing workload About three-in-five middle managers in Australia would consider another job, but are not actively looking. Another onein-six is actively looking for a new job. Among those who desire a new job half mention they are seeking better pay or benefits, followed by just over one-third who feel it is the lack of prospects or advancement at their current companies Roughly eight-in-ten middle managers in Australia cite salary / compensation as the most important thing when considering another job, followed by interesting or challenging work. Three-in-five are looking for flexible work hours. About two-in-five or slightly fewer middle managers look for: formal training, a supervisor who will coach, an employer s reputation, and an opportunity to telecommute Effect of Economic Conditions Overall, three-in- five middle managers in Australia feel the state of the economy is having some effect on their jobrelated decisions, with the largest proportion saying that they would like a new job but they will stay in their current position until the economy improves. About one-in-five is taking steps to improve the security of their jobs, such as working harder or longer hours. Notably, over two-in-five Australian middle managers say the economy is not affecting their job 3

4 Summary of Findings (cont d) Effect of Economic Conditions (cont d) Just over one-half of middle managers in Australia say the economy is having some effect on their work environment. The largest proportion within this group feels the effect is negative, specifically that people are concerned about losing their jobs and that morale is down. Just under half say the economy is having no effect on their work environment, primarily stating that their companies are performing well and the environment is positive Slightly less than one-in-five middle managers in Australia say their employers have taken steps to help employees cope with the weak economy, but just under half feel their employers could do more to help employees cope with the weak economy Only 13% of middle managers in Australia have recently been asked to deliver difficult news to staff members such as layoffs, cuts in salary/benefits, etc. Among these middle managers, more than half feel upper management or human resources should have helped, particularly supervisors. Two-in-five of these middle managers feel it was appropriate for them to deliver the news themselves Management Experience / Challenges: Managing Multiple Generations Almost all of the middle managers surveyed in Australia feel their direct reports have an average to high level of commitment to the company Over half of middle managers in Australia feel the older generations are more committed to their company and their jobs than the younger generations. Less than one-in-ten feel the younger generations are more committed Almost three in-five middle managers feel the top areas where generational differences are observed are in work ethic and values, and roughly half cite motivation and communication styles as the next top differences About one-third of middle managers in Australia find it only somewhat difficult to manage a staff comprised of people from multiple generations, while almost two-thirds find it not at all difficult 4

5 Summary of Findings (cont d) Management Experience / Challenges: Managing Multiple Generations (cont d) When asked about the most challenging generations to work with or manage, more than half deem the Generation Y / Millennial group as the most challenging group; one-quarter say it is the Generation X group, and one-in-five says it is the Baby Boomer group Overall, about half of middle managers in Australia feel that the Generation Y / Millennial group has unrealistic expectations when it comes to work, particularly with regards to advancement, salary, and balancing work and personal time. They also feel that they spend too much time with personal undertakings online. Three-in-ten, however, feel they are the most technically savvy and bring a fresh perspective to the workplace Only about one-in-five middle managers has ever received training or guidance on how to manage different generations Management Experience / Challenges: Impact of Globalization One-in-five middle managers surveyed in Australia have a proportion of colleagues and/or direct reports who live in another country. Among these middle managers, nearly half say these colleagues / direct reports are in two countries, and almost another quarter say they are in three countries Three-fourths of Australian middle managers with colleagues or direct reports in other countries feel it is only somewhat difficult to work with or manage employees in other countries. Among the greatest challenges middle managers are faced with while working with or managing employees in other countries are language barriers, cultural differences, and dealing with differences in business experience/acumen Management Support / Training When asked to rate the management training received from their companies, three-in-five Australian middle managers surveyed feel it is either good or fair. One-in-ten feels the training is excellent, but slightly more than that feel it is poor. Another 15% say they receive no training from their companies 5

6 Summary of Findings (cont d) Management Support / Training (cont d) Almost seven-in-ten middle managers feel the support they receive from their own supervisors is good or fair; but, onein-five feel this support is excellent. Only one-in-ten deem this type of support as poor, and only 4% say it is non-existent Human resource departments in Australia are predominantly rated as good or fair in terms of supporting middle managers to manage their staff s performance and in terms of supporting them to develop their staff. Just under one-inten middle managers say this support is excellent in both areas Most middle managers in Australia receive formal performance reviews from their supervisors or upper management; the majority of these are done annually, and one-third receive them more frequently. Three-quarters of middle managers who receive formal performance reviews say their performance is measured against objectives that are determined prior to the review Most middle managers also provide formal performance reviews for their direct reports; these reviews are likeliest done annually or twice a year. Two-thirds of middle managers who do receive formal reviews say they are formally evaluated on how well they manage and develop their staff Just under three-in-four Australian middle managers surveyed receive informal recognition from their supervisors for doing a job well. Three-in-four agree (strongly or somewhat) that the informal feedback they receive is more valuable than their formal reviews. About two-in-five middle managers each either receive informal feedback and it helps them to improve their performance, or rarely receive such feedback but they would like to Most middle managers in Australia provide their direct reports with informal recognition for doing a good job and with informal feedback to help them improve their performance 6

7 Detailed Findings Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

8 Middle Management Satisfaction Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

9 Satisfaction with Current Organization Roughly one-half (48%) of middle managers in Australia are extremely or very satisfied with working at their current organizations, just over one-third are somewhat satisfied and only one-in-seven is dissatisfied (14%) Dissatisfied 14% Not very satisfied 11% Not at all satisfied 3% Extremely satisfied 15% Highly Satisfied 48% Somewhat satisfied 38% Very satisfied 33% Q7: How satisfied are you with working at your current organization? Base: Full-time middle managers in Australia (n=159) 9

10 Reasons for Job Dissatisfaction Job dissatisfaction stems primarily from lack of prospects or advancement (47%) and insufficient pay or benefits (46%) Only three-in-ten or fewer mention other specific reasons for job dissatisfaction Less than one-in-five middle managers are dissatisfied with their jobs due to: a lack of fit with the company culture a dislike for the job not agreeing with the company s values concerns about downsizing a dislike for their boss an increase in workload Lack of prospects / advancement Insufficient pay / benefits Inability to balance w ork-life Unable to telecommute I'm not challenged Insufficient training / development Inflexible w ork hours Increase in w orkload I don't like my boss 30% 27% 27% 25% 23% 18% 18% 47% 46% Concerns about dow nsizing 17% Don't agree w ith company's values 15% I don't like the job 15% Don't fit w ith company culture 13% None of these 2% Q7a: Which of the following contribute to your job dissatisfaction? Base: Full-time middle managers in Australia not currently extremely or very satisfied with their jobs (n=83) 10

11 Most Frustrating Aspects of the Job In Australia, middle managers are most frustrated by not getting credit for the work they do (44%), insufficient compensation, and an increasing workload (38% each) Significantly more males are frustrated by insufficient compensation than their female counterparts (45% vs. 29% female) Not getting credit for work I do 44% Unable to telecommute 22% Insufficient compensation 38% Males 45% Females 29% Meeting supervisor's needs/ demands 20% Increasing workload 38% Insufficient training 19% Less support to get job done effectively 35% Managing direct reports 19% Not supported by supervisor 28% Increased use of temps 16% Balancing my time between work and personal 28% Inflexible work hours 15% Expected to be available outside work hours 28% Determinants for compensation not clear 11% No clear career path 27% Working across different time zones 8% Spending too many hours in meetings 27% None 8% Q9: Some aspects of most jobs can be frustrating to the worker. Please indicate which of the following you find most frustrating about your job. Base: Full-time middle managers in Australia (n=159) 11

12 Actively/Considering New Job About three-in-five middle managers in Australia would consider another job, but are not actively looking (62%). Another 17% are actively looking for a new job Significantly more who have been with their companies for less than 5 years are currently looking (25% vs. 9% 5 + years) The top reason for a desire to find a new job is for better pay or benefits (53%), followed by a lack of prospects or advancement at their current companies (35%) B etter pay / benefits at o ther co mpany Lack o f pro spects / advancement B etter training / develo pment at o ther co mpany N o t challenged Inability to balance wo rk-life C o ncerns abo ut co mpany do wnsizing 35% 21% 20% 19% 17% 53% Not interested in new job 21% Inflexible wo rk ho urs Increase in wo rklo ad 17% 16% 79% Unable to teleco mmute 14% Actively looking 17% Would consider but not actively looking 62% D o n t like my bo ss D o n't agree with co mpany values D o n't like the jo b I'm in D o n't fit co mpany culture 14% 12% 12% 8% N o ne o f these 11% Q8: Which of the following statements best describes your current job situation? Q8a: Which of the following contribute to your desire to find a new job? Q8 base: Full-time middle managers in Australia (n=159) Q8a base: Full-time middle managers in Australia who would consider/or are looking for another job (n=125) 12

13 Look for in a Job Middle managers in Australia cite salary / compensation as the most important thing when considering another job (86%), followed by interesting or challenging work (77%) Salary is most important to significantly more older middle managers (92% ages 45+ vs. 79% < age 45) Three-in-five are looking for flexible work hours (59%) About two-in-five or slightly fewer middle managers look for: Formal training Significantly more important to those in companies for <5 years (52% vs. 32% 5+ years) and those in companies <500 employees (49% vs. 34% 500+ employees) A supervisor who will coach Significantly more important to those in companies <500 employees (46% vs. 30% 500+ employees) An employer s reputation Significantly more important to those in companies for <5 years (46% vs. 28% 5+ years) An opportunity to telecommute Salary / compensation Interesting / challenging work Flexible work hours Formal training Supervisor w ho w ill coach Employer's reputation Opportunity to telecommute Benefits i.e. health insurance Social atmosphere Opportunity to travel Presitigious company name Opportunity to gain global experience Commitment to environment 59% 42% 38% 37% 36% 31% 30% 23% 21% 20% 16% 77% 86% Corporate social responsibility 15% Q8b: Hypothetically speaking, let s say you are currently looking for a job, what are the most important things you look for in a job? None of these 1% Base: Full-time middle managers in Australia (n=159) 13

14 Effect of Economic Conditions Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

15 Effect of Economy on Job-Related Decisions Overall, middle managers in Australia feel the state of the economy is having some effect on their job-related decisions, with the largest proportion mentioning risk related reasons, mainly saying that they would like a new job but they will stay in their current position until the economy improves Overall, the effect of economy is felt more strongly among those who desire a new job ((69% would consider a new job; 67% of those actively looking vs. 12% not looking for a new job) About one-in-five is taking steps to improve the security of their jobs, such as working harder or longer hours Notably, over two-in-five Australian middle managers say the economy is not affecting their job Economy is having some effect (net) Risk (subnet) Would like new job, but am more secure in current job until economy improves Wouldn't take new job b/c of risk of layoff as new employee I'm taking steps to improve security of my job (i.e. working harder, longer hours) Looking for new job b/c concerned about downsizing at company I am not doing anything differently / Economy not affecting my job 9% 18% 10% 31% 39% 43% 57% <age 31 24% Ages 31+ 5% < 5 years 15% 5+ years 5% Q1: How is the current state of the economy affecting your job-related decisions? Base: Full-time middle managers in Australia (n=159) 15

16 Economy s Effect on Work Environment Just over one-half of middle managers in Australia say the economy is having some effect on their work environment (55%) Male middle managers are significantly more likely to feel the effect (65% vs. 42% females) The largest proportion within this group feels the effect is negative (44%), specifically that people are concerned about losing their jobs and that morale is down Again a negative effect is perceived by significantly more male middle managers (52% vs. 33% females) particularly about the low morale (34% vs. 17% females) Significantly more managers in companies for less than 5 years feel the effect is regarding low morale (35% vs. 19% 5+ years) Just under half say the economy is having no effect on their work environment, primarily stating that their companies are performing well and the environment is positive (28%) Female middle managers are significantly more likely to say there has been no effect (58% vs. 36% males) particularly that their companies are performing well (38% vs. 22% males) Economy having some effect (net) Economy having negative effect (subnet) People are concerned they could lose their jobs Morale is down Older generations seem more affected Younger generations seem more affected Economy having no effect (net) Company is performing and environment is positive State of economy has no effect on my work environment 55% 44% 29% 27% 18% 7% 45% 28% 16% Q4: How is the state of the economy affecting your work environment? Base: Full-time middle managers in Australia (n=159) 16

17 Employer Steps to Deal with Weak Economy Slightly less than one-in-five middle managers in Australia say their employers have taken steps to help employees cope with the weak economy, but just under half feel their employers could do more to help employees cope with the weak economy Significantly more who are not highly satisfied feel their employers could do more to help employees cope with a weak economy (58% vs. 32% highly satisfied), as well as more of those who are currently looking for another job (78% vs. 48% considering and 12% not interested) Employer Taken Steps to Help Employees Cope with a Weak Economy? Economy is not weak 14% Yes 18% Do You Think Employer Could do More to Help Employees Cope With a Weak Economy? Economy is not weak 12% Yes 45% No 69% No 43% Q2: Has your employer taken any steps to help employees cope with the weak economy? Q3: Do you think your employer could do more to help employees cope with the weak economy? Base: Full-time middle managers in Australia (n=159) 17

18 Economic Cutbacks Only 13% of middle managers in Australia have recently been asked to deliver difficult news to staff members such as layoffs, cuts in salary/benefits, etc. Among these middle managers*, more than half feel upper management or human resources should have helped, particularly supervisors. Two-in-five of these middle managers feel it was appropriate for them to deliver the news themselves Felt upper mgmt / HR should have helped (net) I felt my supervisor should have delivered news 38% 57% Not applicable 12% I felt HR should have delivered news 29% Yes 13% No 75% Appropriate for me to deliver the news 43% Q5: Have you recently been asked to deliver difficult news to members of your staff, such as layoffs, cuts in salary/benefits, etc.? Q6: Which of the following best represents how you feel about delivering difficult news to members of your staff? I received training / guidance to deliver news 29% *Caution: Small base size Q5 base: Full-time middle managers in Australia (n=159) Q6 base: Full-time middle managers in Australia who have recently been asked to deliver difficult news (n=21*) 18

19 Management Experience / Challenges: Managing Multiple Generations Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

20 Direct Report Level of Commitment The majority of middle managers feel their direct reports have an average to high level of commitment to the company (96%), while less than 5% rate their direct reports level of commitment as low There are no differences across the age groups in terms of perceptions of direct reports level of commitment (see table below) Significantly more female middle managers say their direct reports commitment level is high (high/ or very high) (73% vs. 53% males), while significantly more males say it is average (42% vs. 23% females) RESPONDENT AGE GROUPS Low 2% Very low 2% Very high 11% Age 30 or younger Ages 31 to 44 Age 45 or older (n=25*) (n=42) (n=68) Average 34% High 62% a b c High (net) 56% 52% 69% Very high 20% 7% 10% High 36% 45% 59% Average 32% 45% 28% Low (net) 12% 2% 3% High 50% Low 8% -- 2% Very low 4% 2% 2% Lettered percentages are significantly greater than corresponding column at a 95% level of confidence Q10: In general, how would you describe your direct reports level of commitment to the company and their jobs? *Caution: Small base size Base: Full-time middle managers in Australia with direct reports (n=135) 20

21 Generational Level of Commitment Over half of middle managers in Australia feel the older generations are more committed to their company and their jobs than the younger generations This is particularly true among older middle managers (see table below) Less than one-in-ten feel the younger generations are more committed Significantly more younger middle managers (under age 31) agree with this statement (see table below) No discernable difference 36% Younger generations more committed 8% Not applicable 3% Older generations more committed 54% Older generations tend to be more committed Younger generations tend to be more committed No discernable difference RESPONDENT AGE GROUPS Age 30 or younger Ages 31 to 44 Age 45 or older (n=29*) (n=51) (n=79) a b c 38% 55% 60% a 21% c 8% 3% 41% 33% 35% Not applicable -- 4% 3% Q14: Which of the following statements best describes your experience with colleagues and/or direct reports? Lettered percentages are significantly greater than corresponding column at a 95% level of confidence *Caution: Small base size Base: Full-time middle managers in Australia (n=159) 21

22 Observed Differences Among Generations The top areas where generational differences are observed are in work ethic (57%) and values (53%) Motivation (50%) and communication styles (47%) are the next top differences noted Significantly more who are not highly satisfied mention motivation (60% vs. 40% highly satisfied) Those with companies for <5 years are significantly more likely to mention communication styles (56% vs. 37% 5+ years) Across these eleven areas, five areas show significant differences across respondent age groups, specifically among older middle managers work ethic, values, loyalty, respect for authority and work-life balance: RESPONDENT AGE GROUPS Values Loyalty Age 30 or younger 35% 41% Ages 31 to 44 51% 35% Age 45 or older (n=29*) (n=51) (n=79) Difference in: a b c Work ethic 48% 45% 67% b 61% a 54% b Respect for authority 28% 37% 56% ab Expectations about worklife balance 7% 35% a 42% a Lettered percentages are significantly greater than corresponding column at a 95% level of confidence Q17: In which of the following areas do you observe differences among colleagues or direct reports from different generations? Differences in Work ethic Values Motivation Communication styles Loyalty to the company Respect for authority Expectations about career advancement Technical savvy Salary expectations Expectations about work-life balance Expectations about flexible w ork options None of these 3% 25% 46% 45% 38% 33% 53% 50% 47% 45% 43% 57% *Caution: Small base size Base: Full-time middle managers in Australia (n=159) 22

23 Difficulty Managing Different Generations About one-third of middle managers in Australia find it only somewhat difficult to manage a staff comprised of people from multiple generations, while almost two-thirds find it not at all difficult By age, significantly more middle managers ages 45+ feel this type of management is not at all difficult (see table below) Somewhat difficult 32% Level of Difficulty Managing Generational Staff Level of Difficulty Managing Generational Staff RESPONDENT AGE GROUPS Age 30 or younger Ages 31 to 44 Age 45 or older (n=25*) (n=42) (n=68) a b c Very difficult 2% Not applicable 7% Not at all difficult 60% Very difficult -- 2% 2% Somewhat difficult 40% 41% 24% Not at all difficult 48% 48% 72% ab Not applicable 12% 10% 3% Lettered percentages are significantly greater than corresponding column at a 95% level of confidence Q13: How difficult do you find managing a staff made up of people from multiple generations? *Caution: Small base size Q13 base: Full time middle managers with direct reports (n=135) 23

24 Most Challenging Generation to Work With/Manage When asked about the most challenging generations to work with or manage, more than half deem the Generation Y / Millennial group as the most challenging group (55%); one-quarter say it is the Generation X group, and one-in-five says it is the Baby Boomer group Most Difficult Generation to Work With / Manage Most Difficult Generation to Work With / Manage Baby Boomers 20% Silent Gen 3% RESPONDENT AGE GROUPS Age 30 or younger Ages 31 to 44 Age 45 or older (n=29*) (n=51) (n=79) a b c Gen X 23% Gen Y or Millenials 55% Gen Y / Millennials 45% 57% 58% Gen X 17% 16% 29% Baby Boomers 35% c 24% 11% Silent Generation 3% 4% 1% Lettered percentages are significantly greater than corresponding column at a 95% level of confidence Q15: Which of the generations are most challenging to work with or manage? (Silent generation 66 years of age or older, Baby Boomers 45 65, Gen X 31 44, Gen Y or Millenials ) *Caution: Small base size Q15 base: Full-time middle managers in Australia (n=159) 24

25 Experience Working With / Managing Gen Y / Millennials Overall, middle managers feel that the Generation Y / Millennial group has unrealistic expectations when it comes to work, particularly with regards to advancement, salary, and balancing work and personal time They also feel that they spend too much time with personal undertakings online Three-in-ten, however, feel they are the most technically savvy and bring a fresh perspective to the workplace Across these twelve areas, four areas show significant differences across respondent age groups: Have unrealistic expectations about advancement Have unrealistic salary expectations Have unrealistic expectations about work-life balance RESPONDENT AGE GROUPS Age 30 or younger 21% 21% Ages 31 to 44 51% a 57% a Lettered percentages are significantly greater than corresponding column at a 95% level of confidence Q16: Which of the following describes your experience working with or managing Gen Y/Millennials? Age 45 or older (n=29*) (n=51) (n=79) a b c 62% a 48% a 14% 53% a 51% a Learn a lot from them 28% b 2% 14% b Unrealistic expectations about advancement Unrealistic salary expectations Unrealistic expectations about w ork-life balance Spend too much time on personal undertakings online Most technically savvy Bring fresh perspective to workplace Have innovative, creative ideas Enthusiastic about their jobs Very productive They require more recognition They require more feedback I learn a lot from them None of these 3% 15% 13% 30% 30% 24% 19% 15% 23% 51% 46% 45% 44% *Caution: Small base size Base: Full-time middle managers in Australia (n=159) 25

26 Received Training on How to Manage Different Generations Only about one-in-five middle managers has ever received training or guidance on how to manage different generations (19%) By age, significantly more in the 31 to 44 age group have received training 81% 93% 75% 81% No Yes 19% 7% 26% <age 31 19% TOTAL Age 30 or younger Ages 31 to 44 Age 45 or older Q18: Have you ever received any training or guidance for how to manage different generations, for example, how to treat Gen Y / Millennials? indicates significantly greater/less than corresponding percentages at a 95% level of confidence Base: Full-time middle managers in the Australia (n=159) 26

27 Management Experience / Challenges: Impact of Globalization Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

28 Global Office Experience One-in-five middle managers surveyed in Australia have a proportion of colleagues and/or direct reports who live in another country Among these middle managers, nearly half (47%) say these colleagues / direct reports are in two countries, and another 22% say they are in three countries 0% 80% Two countries 47% 1% to 25% 11% Three countries 22% 26% to 50% 4% 1% or more = 20% Four countries Five countries 3% 9% 3 or more = 53% 51% to 75% 3% Six countries 6% 76% to 100% 2% Q19: What percentage of your colleagues and/or direct reports work and live in a country other than the one in which you work and live? Q20: Thinking about the colleagues and/or direct reports you work with or manage, how many different countries are represented? Seven or more countries 13% Q19 base: Full-time middle managers in Australia (n=159) Q20 base: Full-time middle managers in Australia with direct reports or colleagues in other countries (n=32) 28

29 Global Office Experience The majority of Australian middle managers with colleagues or direct reports in other countries feel it is only somewhat difficult (78%) to work with or manage employees in other countries Among the greatest challenges middle managers are faced with while working with or managing employees in other countries are language barriers, cultural differences, and dealing with differences in business experience/acumen Not at all difficult 16% Very difficult 6% Challenges: Language barriers Cultural differences Dealing with differences in business experience/ acumen Dealing with too many time zones when scheduling Inability to meet face-to-face regularly 50% 47% 47% 34% 31% Managing differences in career aspirations 25% Somewhat difficult 78% Q21: How difficult do you find working with or managing employees located in different countries? Q22: What are the greatest challenges you encounter working with or managing employees in different countries? Understanding the legal / HR policies Do not experience challenges 6% 22% Base: Full-time middle managers in Australia with direct reports or colleagues in other countries (n=32) 29

30 Management Support / Training Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

31 Rating of Management Support Overall When asked to rate the management training received from their companies, three-in-five Australian middle managers surveyed feel it is either good (33%) or fair (28%) One-in-ten feels the training is excellent (10%), but slightly more than that feel it is poor (15%) Another 15% say they receive no training from their companies Non-existent 15% Excellent 10% As may be expected, significantly more who are highly satisfied in their current organization and those not interested in another job rate the management training as either excellent or good: Poor 15% Good 33% Highly satisfied 62% Not highly satisfied 27% Looking / considering 38% Not interested 62% Fair 28% Q24: In general, how would you rate the management training you receive from your company? Base: Full-time middle managers in Australia (n=159) 31

32 Rating of Management Support in Terms of Direct Reports Rating of support from supervisors is similar to the overall training from the company: most middle managers feel the support they receive from their own supervisors is good (42%) or fair (25%); but, one-in-five feel this support is excellent (19%) Only one-in-ten deem this type of support as poor, and only 4% say it is non-existent Non-existent 4% Poor 10% Excellent 19% Good 42% As may be expected, significantly more who are highly satisfied in their current organization and those not interested in another job rate their supervisors support as either excellent or good: Highly satisfied 75% Not highly satisfied 47% Looking / considering 55% Not interested 79% Fair 25% Q23: In general, how would you rate the support your own supervisor provides to you in your efforts to manage your direct reports? Base: Full-time middle managers in Australia (n=159) 32

33 HR Support Human resource departments in Australia are predominantly rated as good or fair in terms of supporting middle managers to manage their staff s performance (64% good/fair) and in terms of supporting them to develop their staff (63% good/fair) Significantly more male middle managers rate HR support as fair in terms of managing their staff s performance (41% vs. 21% females) Just under one-in-ten middle managers say this support is excellent in both areas Rating of Company s HR Practices and Tools in Terms of Supporting You in Managing Your Staff s Performance Nonexistent 6% Excellent 8% Developing Your Staff Nonexistent 5% Excellent 7% Poor 22% Good 31% Poor 24% Good 27% Fair 33% Q33: How would you rate your company s Human Resources practices and tools in terms of supporting you in managing your staff s performance? Q34: How would you rate your company s Human Resources practices and tools in terms of supporting you in developing your staff? Fair 36% Base: Full-time middle managers in Australia with direct reports (n=135) 33

34 Formal Performance Reviews Most middle managers in Australia receive formal performance reviews from their supervisors or upper management (81%); the majority of these are done annually (48%), and one-third receive them more frequently Significantly more in larger companies receive performance reviews (89% 500+ employees vs. 74% <500 employees) Three-quarters of middle managers who receive formal performance reviews say their performance is measured against objectives that are determined prior to the review (75%) Frequency of Receiving Formal Performance Reviews Do Your Formal Performance Reviews Measure Your Performance Against Objectives Set in Advance? Never 19% No 25% Annually 48% 81% Yes 75% Twice a year 27% More than twice a year 6% Q25: How frequently do you receive formal performance reviews from your immediate supervisor/or upper management? Q27b: Do your formal performance reviews measure your performance against objectives that are set in advance? Q25 base: Full-time middle managers in Australia (n=159) Q27b Full time middle managers who receive formal reviews (n=129) 34

35 Providing Direct Reports with Formal Performance Reviews Most middle managers provide formal performance reviews for their direct reports; these reviews are likeliest done annually (41%) or twice a year (29%) Significantly more in larger companies also provide performance reviews (92% 500+ employees vs. 73% <500 employees) Two-thirds of middle managers who do receive formal reviews say they are formally evaluated on how well they manage and develop their staff (68%) Frequency of Providing Formal Performance Reviews for Direct Reports Are You Formally Evaluated on How Well You Manage and Develop Your Staff? Never 18% Annually 41% 82% No 32% Yes 68% Twice a year 29% More than twice a year 13% Q26: How regularly do you provide direct reports with formal performance reviews? Q27a: Are you formally evaluated on how well you manage and develop your staff? Q26 base: Full-time middle managers in Australia with direct reports (n=135) Q27a base: Full-time middle managers in Australia with direct reports who receive formal reviews (n=110) 35

36 Informal Recognition Respondent Just under three-in-four Australian middle managers surveyed do receive informal recognition from their supervisors for doing a job well (72%); this is especially true of those who are highly satisfied with their jobs (84%) Three-in-four agree (strongly or somewhat) that the informal feedback they receive is more valuable than their formal reviews (76%); significantly more female middle managers (35%) and those who are highly satisfied (37%) strongly agree with this statement About two-in-five middle managers each either receive informal feedback and it helps them to improve their performance, or rarely receive such feedback but they would like to; those who receive this feedback and it helps them are most likely to be under age 45, highly satisfied, and not looking for another job Informal Recognition You Receive from Your Immediate Supervisors / Upper Mgmt for Job Well Done Regular recognition for job well done Recognition, but not enough Do not receive, but would like to Do not receive, and do not require it 4% 24% 38% 34% Receive Recognition 72% The informal feedback I receive is more valuable than my formal reviews Strongly agree Somewhat agree Somewhat disagree Strongly disagree Not applicable 4% 6% 14% 26% 50% Agree 76% Informal Feedback You Receive from Your Supervisors / Upper Mgmt to Help You Improve Your Performance Regular feedback, helps my performance Regular feedback, but doesn't help performance Rarely receive, but would like to Rarely receive, and prefer it that way 8% 16% 39% 38% Q28: Which of the following best describes the informal recognition you receive from your immediate supervisors or upper management for a job well done? Q29: How much do you agree or disagree with this statement: The informal feedback I receive is more valuable than my formal reviews. Q31: Which of the following best describes the informal but constructive feedback you receive from supervisors or upper management to help you improve your performance? Base: Full-time middle managers in Australia (n=159) 36

37 Informal Recognition Direct Reports Most middle managers in Australia provide their direct reports with informal recognition for doing a good job (90%) and with informal feedback to help them improve their performance (89%) The vast majority of older middle managers provide their direct reports with informal recognition for a job well done (97% ages 45+ vs. 84% <age 45) Provide Direct Reports with Informal, Recognition for a Good Job No 10% Provide Direct Reports with Informal, Constructive Feedback No 11% Yes 90% Yes 89% Q30: Do you provide your direct reports with informal recognition when they do a good job? Q32: Do you provide your direct reports with informal, constructive feedback to help them improve their performance? Base: Full-time middle managers in Australia with direct reports (n=135) 37

38 Demographic Profile Accenture, its logo, and High Performance Delivered are trademarks of Accenture.

39 Demographic Profile These middle managers tend to be male (59%), about 43 years of age (average), with medium income (67%) They are likely to have worked in their current job for 7 years, on average They are likeliest to work in companies with less than 500 employees (53%), but about one-in-four works at large companies (5000+ employees) Total Middle Managers (n=159) Gender Men 59% Women 42% Age 30 or younger 18% % Total Middle Managers (n=159) Years in Current Job < 3 years 32% 3 < 5 years 19% 5 < 10 years 25% 10 < 15 years 9% 15+ years 14% % 55 or older 15% Average Company Employee Size 7 years Average Income 43 years <100 employees 33% 100 < % High (Over $75K US) 13% Medium ($35K-$75K US) 67% Low (<$35K US) 14% 500 < % 1000 < % % *country currency was converted to equal US amounts shown above 39

40 Demographic Profile (cont d) On average, these middle managers have 17 direct reports Direct reports are more likely to be in the Generation X or Generation Y / Millennial groups, followed by the Baby Boomer group These middle managers work in a variety of industries, with public service, retail, and health & life sciences being the most common Total Middle Managers (n=159) Middle Mgmt Staff Level No staff 12% 1 to 4 direct reports 28% 5 to 9 direct reports 21% 10 to 25 direct reports 23% 26 or more direct reports 14% Average 15 Industry* Public service 15% Retail 8% Health & life sciences 6% Direct Reports in Each Age Category (Avg %) 2008 TOTAL RESPONDENT AGE GROUPS Age 30 or younger Ages 31 to 44 Age 45 or older (n=135) (n=25*) (n=42) (n=68) a b c Gen Y or Millennials 35% 44% 31% 35% Gen X 34% 36% 41% c 29% Baby Boomers 27% 18% 24% 33% a Silent Generation 3% 1% 4% 3% Lettered percentages are significantly greater than corresponding column at a 95% level of confidence Other industries 70% *Note: mentions of 5% or more depicted in table for Industry *Caution: Small base size 40