Is Your Management Style Assisting or Hurting Your Business?

Many times business owners can have significant differences in management styles that can deter the growth of both the employees and the business.

Employees can have differing needs that require differing methods of management as well. Problems arise when the management style of a business owner does not match the needs of the employees.

There are two basic management styles that are also broken down into more minor categories, the Autocratic Management Style and the Permissive Management Style. An Autocratic Management Style is one in which the business owner makes all decisions unilaterally. In other words, the business owner is the "boss" period and doesn't value input from employees. The business owner's word is law. The Permissive Management Style allows employees to take part in business decisions. A rather considerable degree of autonomy on the part of employees is encouraged in this management style.

If a business owner possesses an Autocratic Management Style, and the employees and/or type of business would benefit more from a Permissive Management Style, problems will arise, and vice versa.

Management styles may also be "situational", in other words, should be changed depending upon the needs and growth of the business, as well as the differing situations that may occur.

How then can a business owner know if their overall "approach" or management style is hurting or assisting their business? Easy: Results.

The results of the business, in all facets of the business, will dictate which management style is needed, or if a business owner needs to amend their management style. If a business is doing well financially, if clients are routinely satisfied, if employees are happy, are all indications that the management style of the business owner is appropriate. Discontentment and loss of business would be indicators that the approach is incorrect.

An example of this will explain this principle further:

Karen R. successfully managed her own business for several years. She employed a rather Permissive Management Style, allowing the employees plenty of input, with a rather "family style" atmosphere developing. The employees were very much engaged in the business and considered the business "their own" as well, leading to much devotion on their parts.

However, as the business grew, so did the demands of the clients. It became imperative for Karen R. to change her management style to the Authoritative Management Style, as she needed to quickly enforce parameters, and complete projects. There simply was no time for discussion among the employees, and no time for multiple approaches to each project.

This led to much discontent on the part of the employees, and they needed to be reminded that their opinions were no longer welcomed repeatedly, which left Karen R. frazzled and stressed too.

The solution: Karen R. engaged a series of psychological tests for both herself and her employees, as initially she had no clue what was wrong or how to relieve the problems. This test revealed that she was being somewhat "overly authoritative" in her approach, and also that her employees were "too expectant" in their demands that she include them in decisions. A compromise was reached, and Karen R., now allows some "input" from the employees, but retains the right to make a decision unilaterally. This combination of Authoritative/Permissive Management Styles has led to the relief of the stress within her organization, and has also led to increased happiness and productivity on the part of the employees.

Without a good knowledge of their own management styles, or psychological approaches to business, business owners can set themselves up for problems. They may be so difficult in their approach, and so set in their ways, that they in essence, would not put up with this behavior if they worked for themselves. Or they can be so passive, and so permissive, that they become "doormats" for the employees, thus not achieving enough control over the business. Karen R. above is a good example. Her Authoritative Management Style, when adopted, became much too rigid for the growth of the business, and this was because of her perceived "need" for control in a business that was growing rather rapidly. Because she herself felt somewhat overwhelmed by the growth, she tended to approach the employees, with an attitude that was too strict and unrelenting.

Assessment of situations, along with psychological tests administered to all within a business, if problems arise, can go a long way towards alleviating the problems. These tests are generally available online or from Human Resource providers.

Business owners can't rectify a problem or their own behaviors or that of their employees, unless they know specifically what these problems are. Insight into themselves and others, will assist business owners into successful resolution of all problems as they occur. Knowledge of behaviors and knowledge of management styles, can prevent problems in management problems before they happen.

Vishal P. Rao is the owner of: http://www.work-at-home-forum.com/ An online community of people who work at home.

---

Dissenion Down On The Cubicle Farm

How content and satisfied are American employees? Not very!According to... Read More

Ten Top Ways for Managers to Motivate Their People

So to help start the ball rolling, here are ten... Read More

Diversity Training: The Worst Possible Reasons to Request Executive Funding

You're on your organization's diversity committee. You have the best... Read More

A Man and His Razor

It is vain to do with more what can be... Read More

Motivation - You Get What You Reward

There's a programme currently running on BBC Television in the... Read More

Office Politics

Office politics! It's just another way of saying: "The employees... Read More

Good Idea Generation ? A Process

It seems incongruous that good idea generation can be a... Read More

Managing Creativity

Creativity Starts Here!The ability of an organisation to create new... Read More

How To Use Outsourcing To Beat Your Competition

Outsourcing is when you hire outside professionals or services to... Read More

Hold Your Applause!

It's amazing what you can accomplish if you don't care... Read More

Why Soft Skills?

The industrial age is over. Organizations still stuck in the... Read More

Listening Strategically

Usually, we're most interested in communicating outwardly; getting our messages... Read More

Turbo Charge Your Career With The Most Powerful Leadership Tool Of All: The Leadership Talk: Part 2

In Part One, I described the Leadership Talk and how... Read More

Prioritise Your Day - Keep Focus - Win!

Whether you run your own business or manage a team,... Read More

Creative and Innovative Culture, Change Management ? Three Easy Tests

Creativity can be defined as problem identification and idea generation... Read More

Competencies for HR Professionals in Knowledge-based Industry with Reference to IT, ITES-BPOs

Introduction"High performing HR function affects bottom line nearly 10%"- A... Read More

Business Innovation ? the Value of Work Processes

Creativity can be defined as problem identification and idea generation... Read More

Why Businesses Fail - And What You Can Do About It!

Have you unintentionally set your business up for failure?No one... Read More

Training Adults, Not Teaching Children

Adults are vulnerable to personal and professional embarrassment from poor... Read More

Planning a Productive Retreat

What value is there in leadership or team-building retreats? Just... Read More

The Ivory Tower Syndrome

"His cardinal mistake is that he isolates himself, and allows... Read More

Creativity and Innovation Management ? Money Doesnt Do It

Creativity can be defined as problem identification and idea generation... Read More

Project Managment: Land the Plane Stop Doing and Start Succeeding

We all spend time on planning vacations. If it's not... Read More

This Old Business

Not long ago I was asked to come out and... Read More

Hiring a Book Keeping Service

Whether you choose to do your own books and accounting... Read More

Is It Worth To Outsource? How One Can Outsource Wisely

Recent trends in software development market show that it is... Read More

Innovation Management ? what are the practical impediments?

Creativity can be defined as problem identification and idea generation... Read More

Assessing Managers for International Competence

How do you select staff for international assignments? It's an... Read More

The Seven Cs: Partnership Danger Signs - Conflict Becoming the Norm ? Part 1

A series of articles exploring the seven critical areas that... Read More

The Thick Line Between Buddy and Boss

Q: One of my key employees is giving me trouble.... Read More

Action Learning: Its More Than OJT

For centuries companies have used on-the-job training (OJT). OJT works... Read More

Lateral Thinking, Logical Thinking, Applied Creativity

Certain processes enhance creative output and others enhance innovative output.... Read More

Delegation for Business Leaders - How Letting Go Works

A leader's role is to focus on those areas of... Read More