Micromanagement in the C-Suite: How to Spot it and What Boards Should Do About It
Debbie Morrison • September 12, 2023

It's no secret that micromanagement is often seen as the bane of innovation and creativity in companies. From entry-level employees to middle managers, the stifling nature of micromanagement is a frequently lamented phenomenon. However, one area where this management style is often overlooked, yet perilously influential, is in the C-suite. If you think micromanagement is problematic at lower levels, its impact at the top tier of management can be exponentially more damaging.


1. Why Micromanagement in the C-Suite Matters

Micromanagement within the C-suite affects strategic decisions, company culture, and the overall direction of the organisation. When a CEO or CFO begins to dwell on minutiae, it signals to the rest of the organisation that they don't trust their teams or processes. Such a mindset, inevitably, trickles down.


According to a recent study by
Accountemps found that as many as 59% of people have been managed by a micromanager at some point in their career. Of the people who reported working for a micromanager, 68% said it had decreased their morale, and 55% claimed it had hurt their productivity. A 2019 Gallup poll found that employees who feel they are micromanaged are 28% more likely to consider leaving their job. While this figure pertains to the broad spectrum of the workforce, consider the ramifications at the executive level: senior leadership disengagement, or worse, top talents abandoning ship, could prove catastrophic.


2. Spotting the Signs of Micromanagement in the C-Suite

Often, micromanagement at the c-suite level is subtle and masked as "due diligence" or "deep involvement." Here are some warning signs to be on the lookout for:

  • Incessant Detail-Orientation: It’s one thing for a CEO to understand the finer points of a project, but if they’re demanding daily updates on tasks that are typically managed several levels down, it's a red flag.
  • Decisional Bottlenecks: If most decisions, including the less significant ones, are pending top leadership's input, it hampers agility.
  • High Executive Turnover: While numerous factors can contribute to turnover, an abnormally high rate within senior ranks might suggest a challenging work environment spearheaded by micromanagement.
  • Frequent Bypassing of Hierarchies: If the CEO is consistently reaching out directly to middle management or entry-level employees, bypassing the respective heads, it may signal trust issues with senior leaders.


3. The Underlying Causes

Before diving into solutions, it's crucial to grasp the root causes. For the C-suite, the pressures are immense. Stakeholders, investors, and market dynamics require a finger-on-the-pulse approach. Still, when micromanagement sets in, it often stems from:

  • Insecurity: Whether due to prior failures, perceived threats from team members, or personal insecurities, some executives might use micromanagement as a defence mechanism.
  • Lack of Trust in the Team: Perhaps arising from past experiences, the inability to trust can lead executives to take everything upon themselves.
  • Perfectionism: An often-praised trait that, when taken to extremes, becomes counterproductive.


4. What Boards Should Do About It

Boards of Directors, given their governance role, have both the responsibility and authority to address C-suite micromanagement.

  • Open Dialogue: Initiate conversations with the concerned executive, aiming to understand their perspective. Instead of accusations, frame it as a shared responsibility to ensure the company’s success.
  • 360-Degree Feedback: Implement a system where senior leaders receive anonymous feedback from their peers, subordinates, and even board members. Such systems, as revealed by a Harvard Business Review study, can help executives recognize and address their micromanaging tendencies.
  • Leadership Coaching: Consider bringing in executive coaches. They offer external perspectives and can provide tools and strategies to shift from micromanagement to macro leadership.
  • Redesign Decision Frameworks: If an executive is involved in too many decisions, it might be time to reassess which issues require C-suite intervention and which can be delegated.

5. A Glimpse into a Macro-Leadership Future

As we march into an era that lauds agile management, AI-driven decisions, and a focus on company culture, the tolerance for micromanagement, especially in the C-suite, shrinks. 


A
2021 Deloitte study suggests that organisations adopting AI for decision-making processes outpace their competitors by 11% in terms of growth. This translates to a straightforward principle: empower systems and people, and the dividends will be palpable.


The strategic altitude that C-suite executives should operate at doesn't afford the luxury of micromanagement. It's a costly endeavour, both in terms of time and the potential quashing of innovative sparks. For boards and stakeholders, recognising and addressing this issue isn't just about fostering a pleasant work environment—it's a crucial move to ensure the organisation's robust, sustainable growth.


By John Elliott June 6, 2025
On paper, they were fully resourced. No complaints logged. No formal red flags. Delivery metrics holding steady. But behind closed doors, the signs were there. Delays. Fatigue. Silence in meetings where pushback used to live. And a growing sense that key people were leaning out, emotionally, if not yet physically. When the cracks finally showed, the conclusion was predictable: “We need more people.” But that wasn’t the real problem. The problem was trust. And most organisations never see it until it’s too late. The Hidden Cost of Disengagement In Gallup’s 2023 global workplace report , only 23% of employees worldwide reported being actively engaged at work. A staggering 59% identified as “quiet quitting”, psychologically detached, going through the motions, doing only what their job description demands. Source: Gallup Global Workplace Report 2023 Disengagement is expensive. But it’s also quiet. It doesn’t show up on a balance sheet. It doesn’t send a Slack message. Disengagement isn’t new, just silenced. And in executive teams, it looks different. It looks like polite agreement in strategy meetings. It looks like leaders shielding their teams from unrealistic demands, instead of confronting the system causing them. It looks like performance metrics still being met… while people emotionally check out. The issue isn’t always capability. It’s safety. Psychological, political, and professional. Many senior leaders don’t raise concerns, not because the problem isn’t real, but because they don’t believe they’ll be heard, supported, or protected if they do. And this is where the failure begins. The Leadership Lie No One Talks About We talk a lot about leadership capability. About experience, commercial acumen, execution strength. But we don’t talk enough about context. Every leadership hire walks into a culture they didn’t create. They inherit unwritten rules, quiet alliances, and legacy power structures. If those dynamics are broken, or if trust is fractured at the top, no amount of capability will compensate. According to a 2022 Deloitte mid-market survey, 64% of executives said culture was their top strategic priority. But only 27% said they actually measured it in a meaningful way. We say culture matters. But we rarely structure around it. And so new leaders walk in with pressure to perform, but little real insight into what the role will cost them emotionally, politically, or personally. We Don’t Hire for Trust. And It Shows. In executive search, the conversation is often dominated by pedigree and “fit.” But fit is often a euphemism for sameness. And sameness doesn't build trust, it maintains comfort. We rarely ask: Does this leader know how to build trust vertically and horizontally? Can they operate in a low-trust environment without becoming complicit? Will they challenge inherited silence, or unconsciously uphold it? Instead, we hire for confidence and clarity, traits that often mask what’s broken, rather than reveal it. And when those hires fail? We call it a mismatch. Or we cite the usual: “lack of alignment,” “wasn’t the right time,” “they didn’t land well with the team.” But the truth is often uglier: They were never set up to succeed. And no one told them until it was too late. The Cultural Infrastructure Is Missing One of the most damaging myths in leadership hiring is that great leaders will “make it work.” That if they’re tough enough, experienced enough, skilled enough, they’ll overcome any organisational dysfunction. But high-performance isn’t just personal. It’s systemic. It requires psychological safety. A clear mandate. The backing to make hard decisions. The freedom to speak the truth before it becomes a PR problem. When that infrastructure isn’t there, when the real power dynamics are unspoken, good leaders stop speaking too. And the silence spreads. What Trust Breakdown Really Looks Like Often, the signs of a trust breakdown don’t show up in dramatic ways. They surface subtly in patterns of underperformance that are easy to misread or excuse. You start to notice project delays, but no one flags the root cause. Teams keep things moving, quietly compensating for the bottlenecks rather than surfacing them. Not because they’re careless, but because they’ve learned that early honesty doesn’t always earn support. New leaders hesitate to make bold calls. Not because they lack conviction, but because the last time they did, they were left exposed. Board reports look flawless. Metrics track nicely. But spend five minutes on the floor, and the energy tells a different story. These are not resource issues. They’re relationship issues. And the data backs it. According to Gallup’s 2023 State of the Global Workplace report , just 23% of employees worldwide are actively engaged. Worse, around 60% are “quiet quitting.” That’s not just disengagement. It’s people doing only what’s safe, only what’s required, because trust has quietly eroded. Gallup also found that managers account for 70% of the variance in team engagement, a staggering figure that reinforces just how pivotal leadership trust is. When people don’t feel psychologically safe, they shut down. Not dramatically. Quietly. Invisibly. What’s breaking isn’t the org chart. It’s the ability to speak plainly and be heard. And by the time it’s visible? The damage is already done, and someone calls for a restructure. “Low engagement is estimated to cost the global economy $8.8 trillion, 9% of global GDP.” Gallup, State of the Global Workplace 2023 So What’s the Real Takeaway? If you’re seeing performance issues, before you jump to headcount, ask a different question: Do the leaders in this business feel safe enough to tell the truth? Because if they don’t, the data you’re reading isn’t real. And if they do, but you’re not acting on it, then they’ll stop telling you. Leadership doesn’t fail in obvious ways anymore. It fails in the gap between what people know and what they’re allowed to say. And the price of that silence? Missed opportunity. Reputational damage. Cultural decay. Sometimes, the problem isn’t who you hired. It’s what you’ve made it unsafe to say.
By John Elliott May 27, 2025
Why Culture Decay in FMCG Is a Silent Threat to Performance It doesn’t start with resignations. It starts with something much quieter. A head of operations stops raising small problems in weekly meetings. A sales lead no longer defends a risky new SKU. A team member who used to push ideas now just delivers what they’re asked. Nothing breaks. Nothing explodes. It just... slows. And from the outside, everything still looks fine. The illusion of stability In food and beverage manufacturing, where teams run lean and pressure is constant, performance often becomes the proxy for culture. If products are shipping, if margins are intact, if reviews are clean, the assumption is: we're good. But that assumption is dangerous. According to Gallup's 2023 global workplace report, only 23% of employees worldwide are actively engaged, while a staggering 59% are "quiet quitting ", doing just enough to get by, with no emotional investment. And in Australia? Engagement has declined three years in a row. In a mid-market FMCG business, those numbers rarely show up on dashboards. But they show up in other ways: New ideas stall at the concept phase Team members stop challenging assumptions Execution becomes rigid instead of agile Everyone is "aligned" but no one is energised And by the time the board sees a drop in revenue, the belief that once drove the business is already gone. The emotional cost of cultural silence One thing we don’t talk about enough is what this does to leadership. When energy drains, leaders often become isolated. Not because they want to be, but because the organisation has lost the instinct to challenge, question, or stretch. I’ve seen CEOs second-guessing themselves in rooms full of agreement. Seen GMs miss red flags because nobody wanted to be "the problem". Seen founders mistake quiet delivery for deep buy-in. The emotional toll of unspoken disengagement is real. You’re surrounded by people doing their jobs. But no one’s really in it with you. And eventually, leaders stop stretching too. We train people to disengage without realising it Here’s the contradiction that most organisations won’t admit: We say we want initiative, but we reward obedience. The safest people get promoted The optimists get extra work The truth-tellers get labelled difficult So people learn to conserve energy. They learn not to challenge ideas that won’t land. They learn not to flag risks that won’t be heard. And over time, they stop showing up with their full selves. This isn't resistance. It's protection. And it becomes the default when innovation is punished, risk isn't buffered, and "alignment" becomes code for silence. Boards rarely see it in time Boards don’t ask about belief. They ask about performance. But belief is what drives performance. When culture begins to fade, it doesn't look like chaos. It looks like calm. It looks like compliance. But underneath, the organisation is hollowing out. By the time a board notices the energy is gone, it’s often because the financials have turned, and by then, the people who could've helped reverse the trend have already left. In a 2022 Deloitte study on mid-market leadership, 64% of executives said culture was their top priority, yet only 27% said they measured it with any rigour . If you don’t track it, you won’t protect it. And if you don’t protect it, don’t be surprised when it disappears. The real risk: you might not get it back Here’s what no one likes to admit: Not all cultures recover. You can try rebrands. You can run engagement campaigns. You can roll out leadership frameworks and off-sites and feedback platforms. But if belief has been neglected for too long, the quiet ones you depended on, the culture carriers, the stretchers, the informal leaders, they’re already checked out. Some have left. Some are still there physically but not emotionally. And some have started coaching others to play it safe. Once that happens, you're not rebuilding. You're replacing. So what do you do? Don’t listen for noise. Listen for absence. Absence of challenge. Absence of stretch. Absence of belief. Ask yourself: When was the last time someone in the business pushed back? Not rudely, but bravely? When did someone offer an idea that made others uncomfortable? When did a leader admit they were unsure and ask for help? Those are your indicators. Because healthy culture isn’t silent. It’s alive. It vibrates with tension, disagreement, contribution and care. If everything looks fine, but no one’s really leaning in? That’s your problem. And by the time it shows up in the numbers,t might already be too late.