Why Do Businesses Hire the Wrong General Manager?

Why Do Businesses Hire the Wrong General Manager?
By samara-albadri

Sep 21 — 2026

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Hiring a General Manager is one of the most important decisions a business will make. The right person can improve commercial performance, strengthen delivery, develop leadership teams, and create a platform for sustainable growth. The wrong person can have the opposite effect, even when they appear to have an exceptional CV.

In the power generation sector, we regularly see businesses appoint experienced General Managers who have delivered impressive results elsewhere, only for progress to stall within the first year.

It’s not because they lack ability. More often, it’ is’s because the hiring process focused on experience rather than context. A CV tells you what someone has achieved. It rarely explains the environment in which those results were delivered. Understanding that difference is often what separates a successful appointment from an expensive leadership reset.

Success always has context

One of the biggest mistakes businesses make is assuming that strong results automatically transfer into a different organisation.

A General Manager may have doubled revenue, expanded into new markets, or significantly improved profitability. Those achievements matter, but they only tell part of the story.

The more important question is how those results were achieved.

Did they inherit an experienced leadership team with established processes and strong financial backing? Or were they responsible for building the business, developing systems, recruiting people, and creating growth from the ground up?

Without understanding the operating context behind the achievements, it becomes difficult to assess whether that experience matches the challenges your business is facing today.

Delivery expectations are often never discussed

Many General Manager appointments begin with both parties believing they are aligned.

Unfortunately, they’re often aligned on the job title rather than the day-to-day reality of the role.

Some businesses need a strategic leader who will focus on long-term growth, market expansion, and organisational development. Others need someone who is comfortable solving operational issues every day while simultaneously leading the business.

Those expectations are very different.

Unless there is a structured conversation about how the role should be split between strategy, operations, commercial leadership, and people management, disappointment becomes almost inevitable.

The issue is not capability, but usually a lack of alignment before the appointment is made.

Culture has a bigger impact than experience

Leadership style influences every decision a General Manager makes.

Some leaders perform exceptionally well in highly structured organisations with mature processes, clear governance, and multiple management layers.

Others thrive in entrepreneurial businesses where decisions are made quickly, priorities change regularly, and leaders are expected to build processes while delivering results.

Neither approach is inherently better.

Problems arise when businesses recruit for experience but overlook whether that leadership style fits the organisation they are joining.

A highly process-driven leader may struggle in a fast-moving owner-managed business. Equally, an entrepreneurial leader may become frustrated in an organisation that values structure, governance, and formal decision-making.

Cultural alignment is often the difference between a leader succeeding and one becoming disengaged within the first twelve months.

Commercial ownership matters more than many businesses realise

General Managers are increasingly expected to deliver commercial outcomes, not simply operational oversight.

That means taking ownership of revenue, profitability, pricing strategy, operational efficiency, customer relationships, and long-term business performance.

Many candidates have influenced these areas without ever owning them directly.

There’re a significant difference between contributing to commercial performance and being fully accountable for profit and loss.

If a business expects a General Manager to improve margins, drive growth, and make commercial decisions every day, the assessment process needs to establish whether they have previously held that level of accountability.

Without end-to-end ownership of commercial performance, the transition into a General Manager role can become much more difficult.

A CV should start the conversation, not finish it

CVs remain an important part of any hiring process, but they should never become the primary decision-making tool.

The strongest hiring processes look beyond job titles and achievements.

  • They explore operating environments.
  • They examine leadership behaviours.
  • They validate commercial ownership.
  • They assess decision-making under pressure.
  • They test cultural alignment.

Only then does a complete picture begin to emerge.

How structured executive search reduces hiring risk

Structured executive search is designed to answer the questions a CV cannot.

Rather than identifying experienced candidates, the process validates whether someone is capable of succeeding within the specific environment they are joining.

That typically includes:

Understanding the operating environment

The search begins by defining exactly what the business needs over the next 3 to 5 years rather than simply producing another job description.

Defining success before approaching the market

Clear expectations are agreed around growth, leadership, operational delivery, culture, and commercial performance so every candidate is assessed against the same criteria.

Assessing leadership capability, not just experience

Candidates are evaluated on how they have delivered results, the environments they have operated within, and the level of accountability they have genuinely held.

Testing cultural alignment

The assessment explores whether a candidate’s leadership style complements the organisation rather than matching their technical experience.

Validating commercial ownership

Strong General Managers demonstrate ownership of outcomes rather than participation in them. The process distinguishes between influence and accountability.

The cost of hiring the wrong General Manager

Replacing a senior leader is rarely limited to recruitment costs.

The wider impact often includes delayed growth, reduced employee confidence, inconsistent decision-making, slower project delivery, weakened customer relationships, and lost commercial opportunities.

These costs are rarely recorded as recruitment costs, but they’re often far greater than the investment required to get the appointment right in the first place.

Hiring a General Manager is about far more than finding someone with an impressive career history.

The businesses that consistently make successful appointments look beyond achievements and focus on context, leadership style, commercial ownership, and cultural alignment.

A strong CV may open the door, but it should never be the reason someone is hired.

The best long-term appointments are made through a structured process that tests whether a leader can succeed in your business, not just whether they succeeded in someone else’s.

If you’re planning to hire a General Manager, now is the time to define what success really looks like before you approach the market. Every business has different commercial goals, leadership challenges, and cultural dynamics, which means there is no universal blueprint for the role.

If you’d like to discuss the current leadership market, benchmark your requirements, or understand how to assess General Manager candidates beyond their CV, book a call with us. We’ll help you define the role, identify the leadership qualities that matter most for your business, and build a process that gives you the best chance of making the right long-term appointment.

Book a call today to discuss your General Manager hiring plans.