How Workforce Friction Affects Job Productivity
Workspan Daily
August 28, 2025

Widespread organizational challenges are hurting productivity in the workplace, according to a report by Dayforce, a global human capital management company.

In a survey of more than 6,000 workers, people managers and executives from six countries, 88% of the respondents reported there was friction in their environment, such as

  • Ineffective communication (41%)
  • Overly complicated processes (25%)
  • Lack of resources (23%)

“Technology disruption and a fluid operating environment are creating friction across organizations, leading to frustrated employees and wasted time and resources,” Steve Holdridge, Dayforce’s president and chief operating officer, said in a statement about the findings. “Tackling this complexity crisis requires them to reduce friction caused by poor communication and mismatched technology and to align worker skills with defined roles. For leaders, this means creating clear goals, delivering proper skills training and equipping their people with the tools they need to do the work they’re meant to do.” 


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Recognizing Friction in Your Organization

The Dayforce report identified four types of friction for organizations to address:

  • Staffing. Almost two-thirds (65%) of surveyed workers said that when someone calls in sick at their organization, there is often no one to cover their work.
  • Agility. More than half (51%) of respondents said they could add more value to their organization in a different role, but only 43% said their organization has a structured process of upskilling or reskilling employees.
  • Change. More than half (52%) of respondents said organizational changes negatively impact employee efficiency, and only 44% said their organization is good or very good at communicating change.
  • Technology. More than two-thirds (69%) of respondents said their organization uses too many technology platforms, while nearly the same amount (66%) agreed adopting new technologies at work often reduces efficiency instead of improving it.

“Friction in the workplace can easily trigger a ‘survive’ response from the workforce — feelings of anxiety, uncertainty and stress,” said Vanessa Akhtar, a managing director and head of consulting at consulting firm Kotter.

Not only are there downsides — such as high turnover, lower productivity, extended timelines and missed outcomes — but organizations also are much more likely to miss out on opportunities, she said.

“It’s important to reduce friction — what we often call ‘noise’ in the system — to allow more space and energy for employees,” Akhtar said.

For example, Akhtar is currently working with an organization that is looking to leverage artificial intelligence (AI) to streamline manual tasks. Recently, all teams were tasked to complete an executive update deck for a new leader.

“One team immediately jumped on the opportunity to use AI to accelerate their first draft, while another team — experiencing a lot of friction in their environment right now — didn’t even think to capitalize on the benefits of AI in this instance,” she said. “Instead, they spent countless hours manually completing the update, sending versions back and forth late into the night. Other examples may include missed opportunities around product innovations, new ways to serve customers and opportunities to implement new solutions that decrease defects on a manufacturing line.”

When workforce friction becomes unhealthy, it can negatively impact trust, culture, well-being, relationships, retention and the organization’s reputation, added Kathleen Schulz, an organizational well-being and global innovation leader at Gallagher, a risk management and consulting firm.

“Issues around changing economic conditions, personality clashes and politically driven disagreements can all contribute to friction, but the driving issue is around communication,” she said.

Schulz advised employers to utilize surveys and other listening strategies — such as focus groups, exit and stay interviews, and information from employee resource groups — to gather honest feedback about workplace dynamics, leadership and team collaboration.

She also noted employers should watch for behavioral factors that may indicate friction or conflict such as:

  • Cynicism
  • Negativity
  • Frustration
  • Blaming
  • Passive aggressiveness
  • Spreading gossip
  • An unwillingness to share information or contribute during meetings
  • Increased absenteeism

Talk to employees at various levels of the organization, and audit common areas of friction, said Akhtar.

For example, employers may ask questions such as:

  • What’s getting in the way of doing your job more effectively?
  • What workarounds have employees put in place to make sure they can get things done?
  • How many reports are being generated every week or month? What portion of those are actually being used?
  • How long does it take to get decisions made, and what might be slowing that process down?
  • What does your technology stack look like? Are there outdated or duplicative systems?

And, pay close attention to side conversations and body language before, during and after meetings to get a sense of what is creating frustration or confusion for people, Akhtar said.


“By understanding interpersonal conflict and friction [centers on] poor communication and misunderstandings, total rewards professionals can focus on this area and start enhancing manager effectiveness, as their behavior is a multiplier within an organization.”
— Kathleen Schulz, organizational well-being and global innovation leader, Gallagher


How to Reduce Friction

According to Akhtar, total rewards professionals play a role in reducing workplace friction, but they can’t do it all on their own.

“Friction can come from so many directions,” she explained. “Those closest to the work and closest to the source of friction have to play a role in reducing it.”

For example, if you are trying to address agility friction, Akhtar said the most important step is to leverage internal skills that are being overlooked, and create the space, opportunity and invitation for employees to raise their hands.

“Be clear on what you are hoping to accomplish and where you need help, then ask for volunteers who are willing to step up,” she said. “The first time you do this, you might not get that many hands raised if stepping outside your ‘day job’ is countercultural. But, once a few people are willing to step outside the box, and they have a good experience, others start to take notice. Over time, you will likely see a groundswell of people raising their hands.”

The Dayforce report also offered several strategies to address workplace friction within its four categories:

  • Employ workforce planning technology and consider contingent workers to improve staffing flexibility.
  • Create defined career paths and development opportunities to improve agility and retention.
  • Prioritize communication during change management. Akhtar said organizations can invest in building skills around change and adaptability at all levels of the organization — not just a small group of leaders — and help reframe change as an opportunity, not a crisis.
  • Utilize fewer platforms to make adoption smoother and get people back to focusing on high-value tasks.

Additionally, Schulz emphasized more training for managers. She mentioned Gallagher research found 29% of surveyed workers said conflict within their organization was consistently addressed, and only 17% agreed their leaders were well-equipped to manage conflict in a positive way.

“Workplace conflict that is not addressed, or addressed inconsistently, can lead to more conflict,” Schulz said. “By understanding interpersonal conflict and friction [centers on] poor communication and misunderstandings, total rewards professionals can focus on this area and start enhancing manager effectiveness, as their behavior is a multiplier within an organization.”

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