Rethinking the Org Chart: Why Successful Companies Avoid Overloading Managers
In today’s business climate, reorganizations have become the norm rather than the exception. Companies shift structure to respond to market changes, streamline costs, adopt new technologies, or realign with strategy. But while the headlines focus on job cuts or new leadership, one critical factor often overlooked in the success or failure of a reorganization is managerial span of control: the number of direct reports assigned to each manager.
When companies get this wrong, they risk derailing even the best-planned structural change. When they get it right, the results include faster decision-making, improved employee engagement, and better execution of strategic goals.
So how do the most successful companies handle this delicate balance during a reorg?
The Pitfalls of Overloading Managers
The pressure to do more with less can tempt organizations to increase the number of employees reporting directly to each manager. After all, fewer managers mean lower salary overhead, less bureaucracy, and theoretically, a leaner, faster organization.
But research consistently shows that increasing a manager’s span of control beyond a certain point leads to declining effectiveness, both for the manager and their team.
According to a comprehensive study by Bain & Company, companies with top-quartile performance in productivity and employee engagement tend to cap manager spans at no more than 7 to 10 direct reports, depending on the complexity of the work and the level of autonomy of the team.
Beyond this range, several problems begin to surface:
- Decreased coaching and development time: With too many direct reports, managers struggle to provide regular feedback or support individual growth.
- Slower decision-making: Managers become bottlenecks as more team members wait for approvals or guidance.
- Increased burnout: Overloaded managers report higher levels of stress, disengagement, and turnover.
- Reduced innovation: Less time for strategic thinking means less opportunity to solve problems creatively or improve team performance.
Harvard Business Review echoes this concern, noting that “as spans widen, the average quality of management and leadership drops,” especially in knowledge-driven or high-complexity work environments.
Span of Control: One Size Doesn’t Fit All
So what’s the right number? The answer depends on context, and smart companies know that not all roles, teams, or business units require the same structure.
Key variables include:
- Task complexity: Teams doing routine, repeatable work (like call centers or transactional processing) can operate effectively with spans as wide as 15-20 direct reports. In contrast, research and development teams often require narrower spans due to higher collaboration and oversight needs.
- Employee experience: Highly experienced, autonomous employees require less hands-on supervision, allowing for broader spans.
- Manager capability: Not all managers are equally equipped to handle large teams. Leadership training, experience, and support systems (like team leads or AI tools) can influence optimal span.
- Organizational culture: Companies with strong cultures of self-management and clear accountability structures may tolerate wider spans without performance drops.
A 2023 McKinsey report emphasizes this variability, stating, “Leading companies tailor spans of control by role and level, not by arbitrary benchmarks.”
Case in Point: Reorg Success Stories
Let’s look at a few organizations that have successfully navigated reorgs by paying close attention to managerial spans:
1. Microsoft
During Satya Nadella’s early tenure as CEO, Microsoft underwent a major organizational overhaul to break down silos and improve collaboration. A key part of the strategy was flattening the org, but not indiscriminately. Nadella emphasized “clarity of purpose” and invested heavily in leadership development to ensure managers were ready to handle broader spans only where appropriate.
The result? Productivity rose, engagement improved, and innovation accelerated across product teams.
2. Procter & Gamble (P&G)
P&G restructured in the early 2010s to reduce costs and improve agility. Rather than simply cutting layers, the company also reassessed manager-to-employee ratios by function. In areas like finance, where standard processes prevail, spans increased. In innovation and marketing roles, they were kept tight to preserve creativity and oversight. The tailored approach helped P&G maintain performance through a major shift.
3. Spotify
Famous for its “squad” model, Spotify empowers small autonomous teams with clear leadership support. Managers, often called Chapter Leads, have limited spans to ensure close mentorship and skill development within specific technical domains. This model has supported Spotify’s growth while preserving agility and innovation.
Practical Guidance for Leaders Planning a Reorg
If your company is considering, or currently navigating, a reorganization, here are five evidence-based principles to keep in mind:
1. Start with the work, not the structure
Begin by analyzing the actual tasks teams are responsible for. How complex is the work? How interdependent are the roles? What level of oversight is needed? Design the structure around the needs of the work, not arbitrary span targets.
2. Avoid flattening without a function
Flattening layers can reduce costs, but it can also create chaos if not executed thoughtfully. Ensure that wider spans are matched with the right capabilities, tools, and cultural support.
3. Invest in manager readiness
If you do decide to widen spans, ensure your managers are trained in time management, delegation, coaching, and the use of technology. Even experienced managers can falter without support.
4. Use data to monitor and adjust
Keep track of KPIs like employee engagement, turnover, decision speed, and manager satisfaction post-reorg. These can provide early warning signs if spans are too wide or teams are struggling.
5. Communicate clearly and consistently
Structural changes can breed uncertainty. Communicate not just what is changing, but why, and how it will improve the experience for both managers and their teams.
Structure Should Enable Strategy
A reorganization is not just a reshuffling of boxes on an org chart, it’s an opportunity to realign your workforce with your business goals. But even the most visionary strategy will falter if leaders are overwhelmed, disengaged, or unsupported.
As the research shows, successful reorgs pay close attention to the human factor. Avoiding overly wide spans of control is not about bureaucracy; it’s about enabling leaders to lead.
Chief Financial Officer ABOUT THE COMPANY Oregon Beverage Recycling Cooperative (OBRC) is the industry steward of Oregon’s nationally recognized beverage container redemption program. We help keep Oregon beautiful by providing outstanding services to our partner distributors, retailers and to the public for the recovery, reuse, and recycling of beverage containers. OBRC serves as a not-for-profit statewide operator with full vertical integration, making the co-op a major employer and providing more than 500 clean economy jobs in Oregon. Through our statewide fleet operations, OBRC collects more than 2 billion containers annually for recycling across a network of 2,000+ retail stores, 27 redemption centers, 90+ bag drop locations, and transports them for counting, sorting, and processing across 6 statewide processing centers, preparing these containers for Grade-A domestic recycling. At a dime per container, the value of refunds adds up fast. This requires speed and accurate reimbursements for retailers and payments directly to consumers and nonprofits. OBRC manages the flow of deposits and container refunds, paying out over $200 million annually to Oregon consumers. No similar system in America has consumers and the beverage industry is working so closely together to achieve outstanding results, and Oregon’s Bottle Bill is popular with consumers. OBRC is proud to serve as the industry steward of Oregon’s Bottle Bill, ensuring Oregon’s beverage container redemption program continues to produce positive results for Oregonians and inspiring positive change beyond our borders as a model program across the globe. THE ROLE As a strategic business partner to the CEO, this financial leader collaborates with the executive team to provide finance and accounting support for companywide operational departments and other partnerships. Drive business performance by influencing and executing strategies that further OBRC’s mission statement. RESPONSIBILITIES Advise in an active and supportive manner to the CEO, Board of Directors, and other executive team members on strategic plans with a focus on controlling costs and meeting budget goals. Lead the Finance and Accounting team to provide and interpret financial information to improve performance, efficiency, and decision-making across all departments. Influence executive decisions with data and respectful challenges to the status quo. Ensure sound financial management and control practices, including internal financial reporting, internal controls, audit and tax compliance, accounting, strategic and operational financial planning and analysis, budget preparation and reporting, management reporting, as well as insurance and risk management. Direct and manage the treasury function, including planning and forecasting cash flows and maintaining the primary relationship with banking partners. Partner with Human Resources in overseeing and managing employee retirement benefit plans and other benefit plans, including health insurance, life, and disability insurance. Manage OBRC patron relationships and lead the team members in monitoring and signing up new cooperative patrons. Successfully monitor the monthly reporting process by patrons to ensure compliance with service agreements. Consult and lead business departments during the annual budgeting process and any required forecasting to support capital and business development projects. Provide timely and accurate analyses of budgets, financial reports and financial trends. Ensure data systems can meet the company’s business objectives. Compare actual performance against forecast and recommend corrective action when actual performance is significantly unexpected. Provide monthly internal reports and periodic reforecasting of the current year’s financial and business plans. Oversee OBRC’s Loss Prevention Department, which emphasizes asset protection on a companywide basis and security at specified BottleDrop locations. Review legal documents and manage legal challenges in collaboration with the CEO/COO and legal counsel. Supervise and manage a team of employees, including recruitment and hiring of staff, performance management, discipline, and terminations. Other duties as determined by business needs. EDUCATION & EXPERIENCE A bachelor’s degree in finance, business, or other related fields is required. An MBA or an advanced degree is preferred. 15+ years of progressively responsible financial leadership experience required, with a preference for prior public accounting experience. At least 3 of those years should have been in a CFO or financial executive leadership role. CPA is preferred. REQUIREMENTS – KNOWLEDGE, SKILLS, AND ABILITIES Strong verbal and written communication skills; ability to break down complex analysis and communicate effectively to all levels of both internal and external partners. Demonstrated leadership ability, confidence, executive presence, and ability to motivate accounting and other employees. Self-starter who works with a sense of urgency. Strong organization skills with exceptional attention to detail, with a high level of accuracy. Proficiency and professional knowledge of MS Word, MS Excel, and Outlook. Adaptability, and the ability to approach changes and problems with curiosity, humor with the ability to change course. Technical financial knowledge, including cash-flow management, reporting, and analysis. Strong interpersonal skills to listen to understand different perspectives and motivations. Ability to assess a business problem quickly and identify solutions that address the root cause. Ability to delegate tasks and support the team by being hands-on during periods of high need. Ability to effectively manage people and performance to deliver improved team performance. Experience with coaching and mentoring direct reports and assisting with conflict resolution. Interested in Learning More? 180one has been retained by OBRC to manage this search. If interested in learning more about the opportunity, please contact Tom Haley / 503-334-1350 / tom@180one.com .
Senior Director of Investor Relations ABOUT THE COMPANY As a leader in the global active lifestyle apparel, footwear, accessories and equipment industry, Columbia Sportswear Company has assembled a portfolio of brands dedicated to connecting active people with their passions. In addition to the Columbia brand, Columbia Sportswear Company also owns the Mountain Hardwear, SOREL and prAna brands. Founded in 1938 as a small hat company in Portland, Oregon, Columbia Sportswear Company today has grown into an industry icon with $3 billion in annual sales. As a global company, its brands are now sold in approximately 90 countries. Based in Portland, Oregon, the company is dedicated to making no-nonsense apparel, footwear and accessories to keep consumers warm, dry, cool, and protected, no matter what. Defined by its innovative gear, Pacific Northwest heritage, irreverent spirit and family business ethos, Columbia’s products continue to gain worldwide recognition, enabling them to unlock the outdoors for everyone. THE ROLE The Senior Director - Investor Relations (“the Director”) is part of Columbia Sportswear Company’s (CSC) global finance organization and supports CSC’s senior leadership team optimally positioning the Company to create shareholder value. The primary goal of the Director is to educate and update current and prospective shareholders and investment analysts about our business strategies, trends, risks, financial results, financial outlook, and other relevant matters. Building and maintaining constructive relationships between CSC and the investment community is essential to success in this position. The Director works to successfully lead CSC’s investor relations and financial communications program supporting quarterly earnings releases and other shareholder and investor events including CSC’s annual shareholder meeting, non-deal roadshows, one-on-one meetings, investor conferences and other similar events. Additionally, the Director is responsible for analyzing and interpreting financial, operational, and other related performance metrics for the Company, its competitors, and other market players to prepare financial and other material press releases, presentations, talking points, Q&A documents and other key messages. This position is also responsible for the Company’s competitive intelligence program. This includes researching and analyzing business and financial shifts and trends impacting our customers, competitors, suppliers and other stakeholders in our industry and then communicating these insights to senior leaders and commercial business units. RESPONSIBILITIES Leads in the planning, preparation, drafting and distribution of investor relations related documents, including quarterly earnings releases, earnings release script, CFO commentary, Q&A documents, key messages and talking points. Builds and maintains relationships with sell side analyst community, and assists with communications between the Company and the investment community. Conducts investor targeting for investor conferences, non-deal roadshows, and other investor meetings. Maintains and updates investor relations calendar, including scheduling investor/analyst calls, earnings conference calls, investor conferences, non-deal roadshows and onsite meetings. Develops a thorough understanding of the Company by regularly engaging with business and financial leaders to understand the Company’s business strategies, initiatives, risks, regulatory environment, financial plans and other significant matters relevant to investors. Creates and updates investor relations presentations for use in communicating with the investment community as well as similar financial presentation materials for internal use to the Company’s worldwide employee base. Manages Investor Relations portion of the Company’s website, including the creating and updating of content. Support finance and legal with reporting obligations including quarterly and annual SEC filings, and other reporting commitments. Manage creation of the Annual Report to Shareholders and partner with legal on the creation of the Proxy Statement and execution of the Annual Shareholder meeting. Monitors competitor and market information obtained from analyst reports and media sources; compiles relevant information into summaries for distribution to CSC’s senior leadership team and other relevant stakeholders. EDUCATION, EXPERIENCE & SKILLS REQUIRED Undergraduate degree in Finance, Business, Accounting, Communications or related field, MBA, or CPA a plus. At least ten years of broad business experience in multiple disciplines such as investor relations, investment banking or sell-side or buy-side research. Expert level of knowledge related to investor relations and SEC disclosure regulations, accounting practices, international business, and financial markets. High degree of financial literacy with attention to detail and accuracy. Excellent interpersonal, oral, and written communication skills, including presentation skills. High degree of organization and efficiency with demonstrated attention to detail. Demonstrated accountability and ability to meet deadlines. Ability to work both independently and collaboratively. Dynamic and disciplined thinker with intellectual horsepower. Highest ethical standards, integrity, authenticity, credibility, and character. Professional demeanor and ability to interact with persuasiveness and confidence. Impeccable judgement and maturity. JOB SCOPE Position is highly complex and frequently involves new and varied work situations. Performs duties under little supervision. Determines his/her own practices and procedures and contributes to the development of new ones (company-wide). Decisions are made within general company policy and legal guidelines. Mistakes/errors may result in the dissemination of incorrect information, which may impact investor relations. Ability to work under pressure and respond to intense questioning related to CSC’s financial position. Able to prioritize workload and manage multiple projects independently. Ability to problem solve, analyze/understand complex finance and accounting issues, and financial statement relationships. Able to read, retain and explain internal and external information on CSC’s business and the dynamics of markets and competitors. Communicate with investors and balance their need-to-know against company disclosure policies. Some travel is required. INTERPERSONAL CONTACTS Contacts are with others both inside and outside the organization, including significant engagement with the external investment community. Interactions usually involve information exchange of confidential and sensitive information. Interested in Learning More? 180one has been retained by Columbia Sportswear to manage this search. If interested in learning more about the opportunity, please contact Lisa Heffernan / 971.256.3076/ lisa@180one.com .
In today’s hyper-competitive business environment, retaining top talent has become one of the most pressing challenges for organizations of all sizes. According to recent data, 76% of private company executives consider talent retention a key to remaining competitive , and for good reason. The cost of replacing an employee can reach up to two times their annual salary, not to mention the loss of institutional knowledge, customer relationships, and team morale that often follows. Yet despite leaders recognizing its importance, 51% of employees are actively looking for or open to a new opportunity . This means that roughly half of your workforce could walk out the door at any time if they find a better offer, stronger culture, or more growth potential. In such a landscape, retention isn’t just an HR function; it’s a strategic imperative. Below, we explore the key drivers of employee retention and how companies can build a culture that keeps their best people engaged, loyal, and thriving. 1. Build a Culture of Recognition and Trust People don’t just work for paychecks—they work for appreciation. Studies show that 71% of employees would be less likely to leave if they were recognized more frequently . Recognition goes far beyond annual awards or performance reviews; it’s about cultivating a daily culture of appreciation. When employees feel that their contributions are valued, they’re more motivated, more loyal, and more invested in the company’s success. But recognition must be genuine and consistent. It can take many forms: a manager’s public praise in a meeting, a peer-to-peer “thank you” program, or even a personalized message from leadership. Recognition reinforces belonging, and belonging drives engagement. However, appreciation alone isn’t enough if leaders fail to act on employee feedback. When organizations solicit feedback but do nothing with it, it creates frustration and mistrust. Employees start to believe leadership doesn’t listen, which erodes morale. Transparency about what’s being done with feedback, whether changes are implemented or not, is essential to maintaining trust and retention. 2. Strengthen Leadership and Management Quality It’s often said that people don’t quit jobs, they quit managers. The data support this: seven out of ten workers who quit their jobs do so because of a bad manager . Poor management can take many forms, micromanagement, lack of communication, inconsistent expectations, or insufficient support. Whatever the cause, bad management destroys engagement faster than almost any other factor. To retain your best talent, invest in developing your leaders. Provide training on emotional intelligence, communication, and conflict resolution. Encourage managers to hold regular one-on-ones that focus on coaching rather than just task management. Good leaders inspire people to stay and grow; bad ones drive them away. Organizations that prioritize leadership development send a clear message: we care about your experience here, not just your output. 3. Make Onboarding an Experience, not a Process The employee experience starts on day one. A strong onboarding program sets the tone for engagement, connection, and retention. Research shows that 69% of employees are more likely to stay for at least three years after a great onboarding experience . That’s a powerful return on investment for something many companies still treat as a checklist exercise. Effective onboarding goes beyond paperwork and orientation. It integrates new hires into the company culture, connects them with mentors, and helps them understand how their role contributes to the organization’s mission. The first 90 days are critical; employees decide whether they see a long-term future with the company based largely on this period. Investing in structured, meaningful onboarding experiences pays dividends in loyalty, productivity, and morale. 4. Offer Continuous Learning and Career Growth In an era of rapid technological change, professional development is not just a perk; it’s a necessity. 94% of employees say they would stay longer if they had more learning opportunities. That statistic should grab every executive’s attention. Employees want to grow, evolve, and feel like they are moving forward in their careers. Creating a culture of continuous learning means offering access to courses, mentorship programs, cross-departmental projects, and leadership pathways. It also means making learning accessible through digital platforms, lunch-and-learns, or sponsorships for certifications. Career stagnation is one of the biggest drivers of turnover. When employees see no path upward, they start looking outward. Companies that invest in developing their people not only improve retention but also future-proof their workforce for tomorrow’s challenges. 5. Align Compensation with Value While culture, recognition, and growth matter deeply, compensation remains a critical factor. Fifty-six percent of employees say compensation is a top reason they would consider leaving . Fair pay isn’t just about keeping up with competitors; it’s about showing employees they are valued. This doesn’t always mean being the highest-paying employer in your market, but it does mean being competitive and transparent. Regular salary benchmarking, performance-based bonuses, and clear communication about pay structures build trust and loyalty. Additionally, benefits play a huge role. Health insurance, retirement contributions, flexible work arrangements, and mental health resources are all part of the total compensation package employees evaluate when deciding whether to stay. 6. Foster a Sense of Purpose and Belonging Employees today are looking for more than just a job; they’re looking for meaning. They want to know if their work has purpose and that their company stands for something beyond profit. This is especially true for younger generations entering the workforce. Creating purpose means connecting daily tasks to the broader mission and impact of the organization. When employees understand how their work contributes to something bigger, whether it’s serving customers, improving communities, or driving innovation, they’re more likely to stay committed and engaged. Belonging also plays a major role. Inclusive cultures where diverse voices are valued foster higher engagement and retention. Employees should feel they can bring their authentic selves to work without fear of judgment or exclusion. 7. Use Data to Drive Retention Strategy Retention isn’t a guessing game; it’s measurable. Use employee engagement surveys, turnover data, and stay interviews to understand why people stay and why they leave. Look for patterns by department, manager, or tenure. Once you identify the drivers of turnover, act quickly. Whether it’s improving communication, adjusting workloads, or rethinking career paths, data-driven decisions allow you to focus resources where they’ll have the greatest impact. Remember: what gets measured gets improved. Retaining top talent isn’t just an HR initiative - it’s a company-wide commitment. From executives to front-line managers, every leader has a role to play in creating an environment where people feel valued, supported, and inspired to stay. In the end, companies that treat employees as their most valuable asset - and act accordingly- will not only retain their best talent but also attract more of it. In a world where skilled workers have more choices than ever, the organizations that win will be those that make people want to stay.
