Last quarter I promoted two engineering managers.
Manager A was our strongest technical contributor—built internal tools that 3x’d team velocity, mentored juniors on architecture patterns, and consistently delivered complex features ahead of schedule.
Manager B had good technical skills but wasn’t the sharpest architect in the room. What set them apart: they developed three engineers who are now ready for senior roles, ran 1:1s that people actually looked forward to, and built the kind of team culture where people don’t leave.
Guess which one our promotion committee initially ranked higher?
The Research Caught Up to What We Already Know
I’ve been thinking about this a lot since reading the 2026 engineering leadership research. The data is clear:
- McKinsey found companies investing in leadership development are 2.4x more likely to hit performance targets
- High-empathy organizations achieve 56% higher revenue growth than peers
- Teams led with empathy are 8.5x more engaged than average
- 92% of hiring managers now consider soft skills equally or more important than technical skills
Engineering leaders are re-evaluating what makes teams effective: mentorship, curiosity, emotional intelligence, and empathy are rising in importance. Technical depth is becoming table stakes, not the differentiator.
As one study put it: “Companies are emphasizing adaptability and cross-functional thinking above pure coding prowess—empathy for making complex decisions involving human workers and AI agents is now the key factor that drives engineering success.”
The Promotion Paradox
Here’s what keeps me up at night: our IC track still rewards engineers who scale via tools and automation. Build a script that saves 100 hours? Promotion-worthy. Ship a feature with AI-assisted velocity? Promotion-worthy.
But our management track requires completely different capabilities that we barely measure—coaching effectiveness, team retention, cross-functional collaboration, developing future leaders.
The brutal truth? At my EdTech company, we almost promoted someone who optimized for their own productivity over building team capability. They automated themselves into efficiency. But they hadn’t developed a single engineer ready for the next level.
Meanwhile, the manager who spent hours coaching, who ran retrospectives that actually changed how we worked, who created psychological safety so people could fail fast and learn—that person doesn’t have a portfolio of “I built X tool that saved Y hours.”
Their impact is in other people’s growth. And we almost missed it.
What Are We Actually Measuring?
I pushed back on our promotion committee. Here’s what I asked them to consider:
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For IC → Manager transitions: Are we promoting people because they built tools that scale, or because they demonstrate the ability to develop others?
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For Manager → Senior Manager/Director: Are we evaluating based on their team’s velocity, or based on how many future leaders they’ve developed?
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For leadership roles: Do we value leaders who “stay technical” and contribute code, or leaders who create environments where their teams do their best work?
The committee’s first instinct was to weight technical contributions heavily. Because that’s what we can measure. Story points, deploy frequency, code quality metrics, tool adoption.
But retention? Team engagement? Cross-functional collaboration? Number of direct reports ready for promotion? Those are harder to quantify—so we ignore them.
The AI Shift Makes This Urgent
Here’s why this matters now and not five years ago: AI is handling more of the coding. The value of “being the best coder in the room” is declining. The value of “building teams that navigate ambiguity, collaborate across functions, and develop the next generation of leaders” is skyrocketing.
If we keep promoting people based on 2020 criteria—technical depth, tool building, individual velocity—we’re going to build leadership teams optimized for a world that no longer exists.
So Here’s My Question
Look at your last three engineering promotions—especially IC to Manager, or Manager to Senior Manager.
What did your promotion rubric actually reward?
- Technical contributions and tools built?
- Number of features shipped or velocity improvements?
- Team outcomes: retention, engagement, reports ready for promotion?
- Coaching effectiveness and leadership demonstrated?
I’m not saying technical skills don’t matter. They absolutely do. But if someone can’t coach, can’t build psychological safety, can’t develop others—are we really setting them up to succeed as leaders?
And if your best people-developer doesn’t have a stack of “I automated X process” examples, are they getting overlooked?
Because based on the research, we’re leaving a 2.4x performance multiplier and 56% revenue growth on the table if we keep promoting the wrong people into leadership.
How is your company thinking about this?