The Middle Management Squeeze. Solving the Most Pressurized Role in Business_LB.pdf

A well-crafted vision at the top will only translate into results if managers on the ground understand it, believe in it, and have the tools to execute. When these professionals are overwhelmed, they may default to compliance rather than engagement, eroding the company’s ability to thrive in shifting markets.
Eric Hannelius, CEO of Pepper Pay, highlights the necessity of rethinking how businesses support middle management: “The manager role is no longer about relaying instructions. It’s about shaping clarity in environments that are inherently uncertain. Companies that want sustainable growth must give managers autonomy, tools, and support to act as true leaders rather than bottlenecks.”

1. The Middle Management Squeeze. Solving the Most Pressurized Role
in Business

Middle managers are often described as the connective tissue of organizations —
essential for translating strategy into execution while balancing the needs of executives
and employees. Yet in today’s corporate environment, their role has become one of the
most pressurized in business. From handling shifting expectations about work culture to
navigating uncertain economic conditions, middle managers frequently operate under
immense strain. Addressing this challenge is a matter of fairness to these professionals
and a strategic necessity for companies seeking resilience and growth.
The unique pressure on middle management.
Several forces are converging to heighten the strain on middle managers. First,
organizational structures are flattening as companies attempt to streamline decision-
making. This often removes layers above and below managers, leaving them with
heavier spans of control and responsibility for broader teams.
Second, the pace of business change — driven by technology shifts, new compliance
demands, and evolving customer expectations — requires managers to adapt
constantly while ensuring their teams remain productive. Research shows that middle
managers now spend nearly 50% of their time on administrative coordination, leaving
less room for strategic input or meaningful coaching of employees. This imbalance
reduces job satisfaction and hampers organizational performance.
Third, middle managers often face cultural tensions. They are tasked with enforcing
policies while also serving as advocates for their teams. In an era where employee
expectations include flexibility, transparency, and a sense of purpose, managers are
frequently caught in the middle of competing priorities.

2. Why the squeeze matters for business outcomes.
Companies underestimate the strategic importance of middle managers at their own
risk. These professionals shape the employee experience directly: they are the ones
who deliver feedback, oversee development, and influence whether teams feel engaged
or disconnected. In a competitive labor market, disengaged managers can translate into
disengaged teams, which in turn leads to turnover, reduced innovation, and slower
adaptation to change.
Moreover, middle managers serve as interpreters of executive strategy. A well-crafted
vision at the top will only translate into results if managers on the ground understand it,
believe in it, and have the tools to execute. When these professionals are overwhelmed,
they may default to compliance rather than engagement, eroding the company’s ability
to thrive in shifting markets.
Eric Hannelius, CEO of Pepper Pay, highlights the necessity of rethinking how
businesses support middle management: “The manager role is no longer about relaying
instructions. It’s about shaping clarity in environments that are inherently uncertain.
Companies that want sustainable growth must give managers autonomy, tools, and
support to act as true leaders rather than bottlenecks.”

Eric Hannelius emphasizes that managers need more than directives. They need
genuine empowerment. This means access to training, technology that reduces
unnecessary complexity, and the trust of leadership to make decisions closer to the
front line.
Solving the squeeze: new strategies for a sustainable role.
Addressing middle management challenges requires a shift in both organizational
design and cultural priorities. Companies are experimenting with new approaches to
rebalance expectations and enable managers to focus on leadership rather than
overload.
One important step is reengineering workflows to reduce administrative burden. With
automation and AI-enabled tools, managers can focus less on tracking processes and
more on coaching and decision-making. For example, automated performance
dashboards allow managers to spend their time on interpreting insights and guiding
teams instead of compiling reports.
Another strategy is rethinking training. Traditional leadership programs often focus on
executive-level skills, while middle managers need practical coaching on conflict
resolution, remote team leadership, and change management. Investing in targeted
development acknowledges the unique pressures they face and equips them with
confidence.
Finally, organizations must redefine accountability. Instead of measuring managers
solely on immediate team performance, companies should assess their ability to build
engagement, reduce turnover, and prepare employees for advancement. These are
long-term contributions that directly affect organizational health.
Building resilience through support.

3. The most effective way to relieve the squeeze is to treat middle management as a role
of leverage rather than constraint. Companies that elevate their managers’ capabilities
often experience measurable gains in innovation speed, employee engagement, and
customer satisfaction.
Eric Hannelius underscores this point: “Supporting managers isn’t an HR initiative, it’s a
strategic decision. Middle management is where trust and execution are built every day.
If we want organizations to move quickly without losing their coherence, then managers
must have the bandwidth and authority to lead with confidence.”
The middle management squeeze is not a passing challenge; it is a structural reality of
today’s business environment. But it can be solved when companies reframe the role as
one of leadership and invest accordingly. Empowered managers serve as amplifiers of
strategy, catalysts for culture, and enablers of adaptability. For business leaders,
addressing their pressure is not about easing individual strain. It is about strengthening
the foundation on which sustainable performance is built.