What truly separates a “good” leader from a “great” one?
Often we think of great leaders as inspiring and motivating. While these are important qualities, new research recently reported in Harvard Business Review, tells us that great leaders aren’t just great motivators; they are expert talent allocators. Their secret sauce isn’t how hard they push their team, but how well they place them.
A critical responsibility for leaders is deciding who works on what—matching specific individuals to the roles and tasks where they fit best.
When managers use this “allocative power” effectively, the results are transformative. These “high-flyer” managers don’t just increase immediate output; they fundamentally alter the trajectory of their employees’ careers. Workers under these leaders see higher wage growth and increased productivity—benefits that often last long after they have moved on to other roles or even other companies.
To move beyond motivating and start effectively shaping careers, consider these three shifts in your management style:
- Prioritize the “Match”: Stop viewing roles as static boxes to be filled. Instead, treat every assignment as a matching problem. Regularly assess whether an employee’s unique skills are being utilized to their highest potential in their current tasks. If there is a mismatch, the “miserable” employee often isn’t a bad worker; they are simply in the wrong role.
- Encourage Internal Mobility: The best managers don’t hoard talent; they circulate it. Research shows that top leaders frequently facilitate cross-functional moves. By helping an employee transition to a different department where their skills are more relevant, you aren’t “losing” a team member—you are optimizing the organization’s greatest asset.
- Think Beyond Motivation: While morale matters, it is a byproduct of a good fit. When a person is perfectly matched to a role that challenges and utilizes their strengths, motivation often follows naturally.
In an era of rapid technological disruption and AI, the ability to reallocate and realign talent is more than a management skill—it is a competitive necessity. By focusing on placement over pressure, you don’t just improve your team’s productivity today; you build the foundation for their success tomorrow.
*Ideas for this blog taken from: Minni, V., “New Research on How the Best Managers Shape Employees Careers,” Harvard Business Review online, October 1, 2025.