6 Ways To Spot An Ineffective Management Team

A strong business needs strong management to keep it that way. If there’s a problem with management, chances are there’s also a problem with the business, or soon will be.

And just as businesses don’t go bad overnight, a management team doesn’t become ineffective all of a sudden.


As a business owner, investor, or advisor to businesses, here are 6 telltale signs to look out for…

  1. A chairman or company founder who’s reluctant to (or refuses to) delegate authority
  2. A weak board of directors who are non-participative, ineffective or unskilled
  3. Risks of dishonesty or fraud being undetected, unreported or ignored
  4. A management team with no feeling of vested ownership in the business
  5. A management team without the necessary skills
  6. Succession issues that could put the company in danger of collapsing. For example, would there be a leadership void if the Chairman or founder suddenly became incapacitated?

If you see any of these signs in a management team you’re working in or advising, and you’re unsure of how to address the issue in an appropriate way, get in touch with our office or just message Mitch or Chad via LinkedIn, and we’d be happy to provide some guidance, gleaned from helping many management teams restructure and turn things around.