Most businesses require a leading body to instruct the direction of the company. This usually refers to assigning specific tasks to employees, taking charge of operations so everything runs smoothly and making sure targets are met. There are different types of management styles that cater towards different types of businesses. Each management offers its unique benefits. This blog will go through the different styles and help you decide which suits and tailors to your business best.
Visionary Management Style
This type of looks ahead towards the future and motivates employees with a charismatic attitude. Leaders who practice this style tend to use methods of persuasion, and are excellent at articulating where they see the business heading. Forecasting is very important in this regard, as it helps determine the action plan of the business and what steps to take in order to reach targets.
Democratic Management Style
This style like the name, mimics democratic principles whereby everyone has a say. Although democratic management has one leader who takes final responsibility for decision, the whole team is able to contribute ideas. It allows the leader to capitalize on their employees’ individual talents and strengths, while also benefiting from the power of the whole. This is an effective management style in many areas, such as private businesses and government. Democratic leaders keep the lines of communication open and allow others to participate in decision-making.
Coaching Management Style
Coaching is characterised by lending support, encouragement and guidance to employees. These types of leaders often bring out the best in the team and help individuals reach their potential. This is usually done by implementing goals and targets. As a result, this management style produces a culture of high performance and is very effective in creating collaboration and empowerment.
Autocratic and Laissez-Faire Management Style
Autocratic management is where a single body/individual makes all the decisions for the business. It involves little if any input from other group members. Leaders rarely take on advice and typically base all their decisions on their own personal judgment.
On the other hand, Laissez-Faire is the direct opposite of autocratic. Laissez-faire leaders make few decisions and allow their staff to choose appropriate workplace solutions. Usually this style is most effective when working with highly skilled individuals- since most employees are designated tasks and expected to know what they are doing with little supervision.
If you are a business that requires management advice, here are Carrington Blake Accountancy we offer tailored advice about which style is most financially beneficial for you. Contact us today to find out further information about our accountancy services and how we can help.