Management Style Flashcards
(25 cards)
Management Style
- Refers to the way management gets things done
- Relates to other people in the organisation
Management Theory
‘Boss-centred’ style - employees are not involved in the decision making.
‘Employee-centred’ style - employees have significant input.
Management
Group of people who plan, lead and control in an organisation to achieve outcomes.
Without: No personnel, systems or infrastructure to make things run smoothly
External Factors
Broad factors outside the business that have an indirect influence: economy, law regulations, environment
Operating factors have more direct impact: consumers, suppliers and competition.
Internal Factors
Exists inside the building: policies and regulations, staff skill levels, resources, work processes, management structure
Management Structure
The way a business organises its staff and resources.
Autocratic (or authoritarian style)
- Decision making and the work situation is controlled from top management
- TELLS staff what decision it has made
- Suits a hierarchical centralised management structure
Advantages of Autocratic
- Little uncertainty in business practices
- Employees’ roles and expectations are clearly defined
Disadvantages of Autocratic
- Lack of staff input, ideas are not encouraged or shared
- Job dissatisfaction
- Absenteeism
- Staff turnover
Persuasive Style
- Management communicate its decisions thoroughly and effectively to staff
- SELLS decisions to staff
- Management makes all the decisions
- Explanation and reasoning
Advantages of Persuasive
- Time efficiency
- Little uncertainty
- Clear definitions of roles and responsibilities
- Creating trust and support
Disadvantages of Persuasive
- Job dissatisfaction
- Low motivation
Consultative Style
- Employee-centred management
- CONSULTS staff during the decision-making process
- Recognises the importance of good relationship between staff and management
- Ask staff input
- Final decision rests with the manager
Advantages of Consultative
- Access to ideas their staff may have on the business (new processes or procedures)
- Staff enjoys some ownership
- Increased commitment, loyalty and motivation
Disadvantages of Consultative
- Time consuming & Expensive
- Staff can be confused
- Feel less valued if opinions aren’t incorporated in the final decision
- Can slow down the implementation of necessary change
Participative Style
- Management JOINS with staff to make group decisions
- One of the most effective
- Manager encourages staff to join in the decision-making process
- Authority is often delegated
- Considered ‘cumbersome’ if used when rapid change is needed
Advantages of Participative
- Staff moral high
- Employees feel more valued and have trust and faith towards their organisation
- Motivation and Productivity
- Decrease of Staff Turnover
Disadvantages of Participative
- Time consuming
- Potential for conflict through different perspectives
- Can lose direction in management’s decision making
Laissez Faire Style
- Viewed as a high degree of delegation of authority
- Employees assume total responsibility for the control of all workplace operations
- Staff are left alone to decide objectives, solve problems and make their own ideas
- Effective when staff are highly skilled and don’t need much supervision
Advantages of Laissez Faire
- Encourages creativity and motivation
- Good communication
- Team work; openly discussed
Disadvantages of Laissez Faire
- Lack of authority can lead to insecurity among staff
- Employees can lose a sense of direction due to the lack of monitoring and the accountability
Situational/Contingency Approach
- Manage uses the style that is best suited to a particular situation
- Constraints: time, resources, staffing
- Subordinates; their characteristics, skill level, values, expectations
- Manager’s personality, values and skills
- External and internal environment.
Example of Authoritarian Style in the business
Authoritarian Style could be adopted with new or un-skilled employees in the organisation
Example of Participative Style in the business
Participative Style can be used with a group of highly experienced and motivated employees who are capable of running projects alone.
