Middle managers' wasted time costs Australia USD $15.5bn

Australian middle managers in frontline industries spend an average of 6.5 weeks a year on low-value or unnecessary tasks. The lost time carries an estimated annual cost of USD $15.5 billion across the economy, according to research commissioned by workplace technology firm SafetyCulture.

The study surveyed 1,000 middle managers in construction, manufacturing, retail, hospitality, transport and logistics, and energy and resources. It focused on managers responsible for day-to-day operations at sites such as plants, facilities, stores and venues, and who have direct reports.

Managers identified email overload, staff rostering and duplicate data entry across systems as the most time-consuming tasks that added the least value. The report described these activities as a drag on productivity and a barrier to more strategic work, including process improvement and performance management.

The cost estimate combined average weekly wages, reported time lost and the number of middle managers across the industries surveyed. It assumed an eight-hour day and a five-day week.

Sector breakdown

Construction recorded the largest estimated annual cost from wasted management time at USD $4.5 billion, followed by manufacturing at USD $3.8 billion. Hospitality was next at USD $2.6 billion, then retail at USD $2.5 billion.

Transport and logistics accounted for an estimated USD $1.5 billion, while energy and resources recorded USD $772 million.

The findings point to persistent inefficiencies in industries that rely heavily on frontline workforces and tight operational coordination. SafetyCulture argued that managers are often pushed into reactive work that crowds out continuous improvement.

"Middle managers are often the glue holding workplaces together by keeping people, processes, and performance aligned. But too many are stuck firefighting or buried in admin instead of driving improvement. When we free them up to focus on what really matters, businesses see the results immediately in the form of smoother operations, stronger teams, and better customer outcomes," said Phil Goldie, Global Head of Sales, SafetyCulture.

Ideas not implemented

The research found a gap between the number of managers who say they have improvement ideas and the number who see them put into practice. Almost all respondents (98%) said they had ideas that could improve their organisation, but only 62% said those ideas had been implemented.

One commonly cited reason was organisational culture and decision-making: 35% said senior leadership was not receptive to ideas from managers.

The report also examined the impact of rejected suggestions on manager sentiment. Among managers who had an idea rejected, 48% said certain processes remained wasteful or inefficient. Another 35% said the experience left them feeling disempowered, and 33% said it reduced their trust in senior leadership.

SafetyCulture positioned middle managers as a key source of operational insight because they work close to frontline conditions and understand how problems affect the wider business. This proximity, it said, helps managers identify recurring issues and propose practical changes grounded in daily operations.

"The insight we're missing from middle managers is huge, because they see the problems firsthand and often know the fix. The challenge for leaders is to create a culture that listens, acts, and closes the loop on feedback. When that happens, inefficiency turns into improvement, and improvement turns into profit," said Goldie.

Research method

The study was conducted online by YouGov and covered managers aged 18 and over in the selected industries, excluding sole traders. Findings were reported as unweighted results.

SafetyCulture operates a mobile-first workplace operations platform used by more than 2 million workers globally. It provides tools for frontline teams and management visibility into day-to-day operations, with a focus on safety, quality and operational efficiency.

The findings are likely to sharpen attention on the administrative load borne by middle managers and the systems that create duplicate work. They also raise questions about how large employers capture and act on operational feedback, particularly in sectors facing cost pressures, labour constraints and complex compliance requirements.

SafetyCulture plans to continue publishing its annual Feedback from the Field research series, with future editions expected to track whether organisations reduce low-value work and improve the rate at which manager-led ideas are implemented.