Marketplace · Wednesday, September 2, 2026
Organizational psychologist Bob Sutton suggests that reducing middle management layers can eliminate bottlenecks, but acknowledges the often-unseen work these managers perform. Experts like Julia Daar note that such cuts can shift decision-making upwards and may not guarantee long-term cost savings if not managed carefully.
“When you've got the wrong middle managers in the wrong places, they can gum up the works.”
“Instead of decision-making moving down, closer to the front line, things move up towards the CEO.”
“If you don't, you will make a temporary shift in the cost base. But you might equally add that back in terms of contractors, new hires in the subsequent years.”