We use a formal leveling rubric to evaluate levels. This is used across all market-facing roles, other than sales reps. To summarize a few of the key differences across levels:
SENIOR MANAGER
- A Senior Manager independent works cross-functionally; a Manager does not.
- A Senior Manager can independently update their task list to reflect company/department goals; a Manager cannot without help.
- A Senior Manager can independently learn and reflect industry best practice; a Manager has to be trained.
- A Senior Manager can deliver feedback; a Manager cannot.
- A Senior Manager can work with colleagues cross-functionally to share tasks according to expertise; a Manager cannot identify new ways to share tasks.
DIRECTOR
- A Director works with departmental leadership to develop processes and partnerships for cross-functional work; a Senior Manager only works within existing structures.
- A Director turns strategic goals into tasks shared across their team/department and can aggregate tasks into a project delivery; a Senior Manager works at task level.
- A Director can motivate, engage and coach teammates; a Senior Manager does not have this skill or expectation.
- A Director proactively seeks and uses industry best practices; a Senior Manager can use this information independently but may not seek it.
- A Director learns and reflects differences across geographies and cultures; a Senior Manager may not operate outside their regional office.
- A Director defines and gains approval for initiatives that can deliver company/department goals; a Senior Manager works from a task list that flows from such initiatives.
- A Director can evaluate talent performance and assist in placing staff in appropriate roles, even if the individual does not have direct reports at this time; a Senior Manager is not expected to have talent management skills.
In general, I would not consider giving someone a director title if they haven't managed staff before; they're just not experienced enough. This doesn't mean they'll have a team here (which describes me--I'm in an IC role now and have managed people in the past).
Something I look at when interviewing people: Someone who is talking about their work exclusively at a task level ("I wrote a great white paper") is probably a Manager, possibly Senior. Someone who can connect that to the strategy ("I needed to increase demand, so I wrote a white paper which provided the necessary increase") is a Senior Manager/Director.
There's a lot more to think about in this discussion--just some of my key notes.