140821management

UK Commission for Education and Skills (UKCES) recently published a wide-ranging report on the state of the UK labour market, according to Flip Chart Fairy Tales.

It noted that, while the UK has been good at keeping people in work, it has not grown as fast as other countries and its productivity has fallen. Some other countries, though, seem to have managed to grow, keep people employed and maintain productivity.

While acknowledging that there are a number of reasons for this, UKCES has some sharp words for Britain’s managers.

International comparisons of UK management capability are typically unfavourable, and suggest that poor management hinders UK competitiveness. Recent evidence shows that while we have many good managers, UK management capability is on average weaker than in countries such as the US, Germany, Japan and Sweden, and is likely to be a substantial factor in the productivity gap with these countries.

This is based on the findings of the World Management Survey (see previous post) which placed Britain at the top of the middling group but falling short of those countries with top quality management.

[In short,] the poorly managed firms drag a country’s score down and Britain has more than its fair share of them.

Given the spectacular rise in senior executive pay in the UK, and the fact that our managers are among some of the most highly paid in the world, you might wonder why our economy is a laggard when it comes to growth and productivity.

To find out why, read the article on Flip Chart Fairy Tales.

Follow me on Twitter: @MidWalesMike

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