Viw Magazine


  • Written by Brandon Cagle

Running a business is hard enough without having to worry about how to manage it. But understanding the different management styles for running a business and how to determine which one is best suited to your business can be a huge help. By determining what works best for you and your team members you can make better decisions that will ultimately lead to success!

The way that a business is managed and the management style an owner chooses has a huge impact on how successful it will be. In this article, we will discuss 4 main management styles: autocratic leadership, democratic leadership, and laissez-faire, and Participative leadership style.

What is a management style and what are the different types of styles?

A management style is described as a way that various business owners go about running their business such as making decisions, planning, and organizing work, and how they exercise authority in the workplace.

Different businesses and organizations will require different management styles, depending on the industry they are in and their size. However, when it comes to running a business there is no one single best style. The most important thing for any business owner or leader is to identify what works best with your employees so that you can get them motivated and work towards common goals.

Autocratic Leadership - This style of leadership is all about doing things your way and getting them done as quickly as possible. It can often be the best fit for smaller businesses, but it might become more difficult to manage if you are managing a larger workforce or company. You will need to make decisions without too much input from others on what you think is best for the company while also being able to manage employees who may want more freedom in certain aspects of their jobs.

Democratic Leadership - This management style might seem like it would be similar to autocratic leadership, but rather than one person making all of the important decisions and telling others what needs to get done you allow your team member's input on certain things. You might have a team of managers who all get to vote on some decisions for the business, or you may even want employees to be able to share their ideas with one another and come up with solutions together so that everyone is happy with what they are doing.

Laissez-Faire Leadership - This type of management style isn't really one that relies on leadership or even managers at all. It's about trusting your employees to do their jobs well without being told what needs to be done by someone higher up the chain of command. The only real guidance you offer is when it comes time for promotions and bonuses, but otherwise, people are expected to manage themselves as they see fit rather than having a boss.

Participative Leadership - This management style allows for employees to actively participate in making decisions and following certain procedures as they see fit, but the actual leadership is still done by those who are higher up on the totem pole than them. It really relies on effective communication between yourself as the leader and your employees so that everyone knows what is expected of them and what to do when things go wrong.

How can you determine which type of management style to use for your business?

A lot of it will depend on the type of business you are running, but if your employees work better with more freedom and input then participative leadership is the best fit. However, this style might not be as effective for larger or busier companies that need their managers to do a little bit more handholding than what is needed in smaller businesses. You should also consider what your company's core values are and who you want to attract as employees. For example, if most of the people you hire tend to be younger or more tech-savvy then they will probably respond better to a participative management style because it allows them freedom in their jobs without too much oversight from someone else. If there is one thing that is certain, it is that you should never try to use autocratic leadership in a business because employees will not respond well to being bossed around all the time.

How does your management style influence your company culture?

It's important for every business owner or leader to understand how their personal management styles affect the overall company culture they are trying to build. Many people have a tendency to lean towards one management style over the other, but it is important for you to try and get a feel for what works best with your employees when it comes down to day-to-day tasks in order to maintain company morale and productivity levels. If an employee's main concern with their job is not feeling like they have a say in how things are done, then you will need to do everything that you can to make them feel like their opinions matter. On the other hand, if an employee constantly comes up with new and inventive ways of doing specific tasks and seems unhappy about following routine procedures over and over again then it might be time for you as a manager to consider switching things up a bit.

Ultimately, the type of management style you decide to go with is dependent on your business and how you want it to run. Keep in mind that you’re not committed to one type of style throughout, it's always great to test out a few and see how it impacts your employees as well as the business. Another option is creating your own management style that is a blend of the various styles we have mentioned in this article. The goal is to have a successful business that brings out the best in your team and adds value to your business in the future.

Author Bio

Brandon Cagle - LinkedIn Profile

A leader in the valuation industry, Brandon Cagle is one of Brisbane’s finest property valuers. With decades of experience in the Queensland property market, Brandon uses his expertise to complete valuations across residential, commercial, and industrial property types, and is adept at valuating more specialised properties or purposes. Brandon is certified and registered with the Australian Property Institute (API).


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