Your Leaders Set the Tone. Did Anyone Teach Them How?

Most business owners didn’t start their business because they wanted to manage people. They started it because they were good at something. The best sparky on the tools. The best salesperson in the room. The one who could fix what nobody else could figure out.
That’s how most SMEs get built, around a person who is exceptional at the thing the business does.
And then the business grows. Suddenly there’s a team. And the same pattern repeats itself one level down: your best technician becomes a supervisor. Your best consultant becomes a team leader. Someone has to run the floor, the site, the shift, so the person who’s best at the job gets the nod.
Nobody stops to ask whether being brilliant at the job is the same skill as leading the people doing it.
It isn’t. And that gap is quietly shaping the culture of almost every growing business in Australia.
The “accidental manager” is the rule, not the exception
This isn’t a hunch, it’s one of the most consistently replicated findings in workplace research. In landmark research conducted with YouGov, the Chartered Management Institute found that 82% of new managers step into the role with no formal management or leadership training. They’re simply expected to figure it out.
The flow-on effect is significant. Gallup research has found that managers account for around 70% of the variance in team engagement, meaning the single biggest lever on whether your people are switched on or checked out isn’t pay, or perks, or the mission statement on the wall. It’s whoever they report to. And a substantial body of workplace research consistently finds that a large share of employees have left a job at some point specifically to get away from their manager.
None of this means your supervisors and managers are bad at their jobs. It means they were never taught a different job, the one they’re now actually doing.
What this looks like on the ground
We recently worked with a growing electrical services business facing a familiar pattern. Turnover was creeping up. A couple of strong, long tenured supervisors, promoted from the tools because they were excellent technically, were struggling to deal with the people aspect of the role. Feedback conversations were either avoided altogether or handled so bluntly they did more damage than good. The owner was still being pulled into disputes that a competent frontline leader should have been able to resolve.
None of this was because the supervisors lacked ability. It was because nobody had ever taught them how to give feedback, hold a difficult conversation, or understand how their own communication style landed on different people in their team.
The starting point wasn’t a training day. It was a proper diagnostic, a culture survey alongside structured interviews with the supervisors themselves, to understand where the real gaps sat before designing anything. From there, a structured leadership program was built around the business’s actual context: understanding leadership style and impact through DISC profiling, the fundamentals of setting clear expectations and accountability, structured approaches to feedback and difficult conversations, and how daily leadership habits connect directly to culture and results.
Six months on, the supervisors are leading with noticeably more confidence. Fewer issues are escalating to the owner’s desk. And the team around them is starting to feel the difference, because culture isn’t set by a policy document. It’s set by whoever is standing in front of the team every day.
Leadership capability is an asset. Treat it like one.
Most businesses invest carefully in the equipment, systems and processes that keep operations running. Leadership capability rarely gets the same treatment, even though it’s arguably a more critical asset. It determines whether your best people stay or leave. Whether your culture holds together as you grow, or starts to fray the moment you’re not in the room. Whether the business can genuinely run without you, or stays dependent on you personally resolving every people issue that lands.
Leaving leadership to chance isn’t a neutral decision. It’s a decision to let culture form by accident, one unprepared conversation at a time.
Build leaders who strengthen the business around them
Benchmark Talent’s Leadership Development Program is a structured, practical program for SME leaders at any stage: new managers stepping into leadership for the first time, experienced leaders sharpening their impact, or leadership teams that need to pull in the same direction.
It’s grounded in real self-awareness, including DISC profiling, so your leaders finish with tools they’ll actually use, not concepts they’ll forget by Monday.
Book a discovery call to talk about developing the leaders your business is depending on.
Written by Donna Benjamin, Practice Lead, Benchmark Talent Advisory, August 2026
Sources: Chartered Management Institute and YouGov, research on “accidental managers,” 2023; Gallup research on manager impact on employee engagement. Client example anonymised and de-identified.