Natia Surmanidze

School of Business Technology and Education, Ilia State University,

Georgia

Natia.surmanidze@iliauni.edu.ge 

ORCID 0000-0003-2116-657

The impact of micromanagement on employee development, innovation, and career growth in the banking sector

Zurab Mushkudiani

School of Business, Social Science and Humanities, Georgian International University (GIU),

Georgia

Zurab.mushkudiani@giu.edu.ge

ORCID 0000-0003-0987-3564

Tea Bezhanishvili

School of Business and Administrative Studies, The University of Georgia,

Georgia

Tea.bezhanishvili@ug.edu.ge  

ORCID 0000-0003-2116-657

Abstract. Micromanagement is a prevalent managerial practice that can significantly influence employee development, innovation, and career growth, particularly in regulated industries like banking. This study examines the impact of micromanagement on employee motivation, creativity, and professional advancement within the banking sector. Utilizing a quantitative approach, data were collected through a structured questionnaire administered to 392 employees across four major banks in Georgia, representing various organizational roles. Statistical analysis using SPSS tested the relationships between micromanagement and employee outcomes. The findings indicate that while micromanagement may offer short-term benefits by providing guidance to new employees, it ultimately restricts autonomy, hampers innovation, and negatively affects long-term career growth. Employees subjected to excessive control exhibit lower engagement, diminished productivity, and reduced creative output. The study highlights the need for a balanced management approach that ensures regulatory compliance while fostering employee independence and innovation. These findings contribute to management theory by illustrating the nuanced effects of micromanagement on organizational performance. In practice, they offer valuable insights for banking sector leaders, emphasizing the importance of adopting a flexible, empowering leadership style to enhance workforce motivation and creativity. This research provides a unique perspective on how micromanagement functions as both a supportive and restrictive force in high-stakes industries.

Received: April, 2025

1st Revision: March, 2026

Accepted: May, 2026

DOI: 10.14254/2071-8330.2026/19-2/11

JEL Classification: M12, J24, L21

Keywords: micromanagement, employee development, innovation, banking sector, career growth, employee engagement, management style, organizational performance, motivation, workplace creativity