Almost a decade ago, I had an experience that really stuck with me. I was advising a newly hired chief financial officer with oversight over a $3.1 billion budget and over 300 people reporting into her division. I had asked her to prepare a nine-minute speech that would really rally people behind her. And there they were, all 300 souls gathered wide-eyed in the ballroom at their all-hands meeting.

There is a clear and direct connection between effective leadership and team performance. Gallup’s 2024 State of the Global Workplace report underscores this relationship, revealing that managers account for a staggering 70 percent of the variance in team employee engagement. Yet, with only 23 percent of global employees actively engaged, the statistics paint a picture of poor leadership.

Over the past decade, workplace leaders have preached about the importance of employee engagement. But as a leadership consultant, I have found that very few organizations actually take employee engagement seriously. It’s time leaders admit it. The moment has come when leaders must stop pretending we care about engagement. Let’s quit asking workers to fill out surveys that everyone knows are insincere, “check-the-box” activities

The research is clear: Employee recognition—when done well—has huge payoffs. According to the data we collect on leaders across industries, every measure of morale, productivity, performance, customer satisfaction, and employee retention soars when managers regularly provide recognition

Matt Dailey, a software engineer for a data management company, was managing a team with an engineer who wasn’t performing well. This was clear to Dailey—and to the employee. Yet, as I describe in my new book Mastering Community, Dailey said he “wasn’t bridging the gap of how to make the situation better.” His team missed their deadline.