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Do³±czy³: 29 Pa¼ 2024
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 Wys³any: Wto Pa¼ 29, 2024 09:50 Temat postu: Personnel management styles in a company: which one is bette |
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Douglas McGregor, an American social psychologist, published a book in 1960 called The Human Side of Enterprise, in which he described two types of personnel management. They are based on Theories X and Y:
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X says that people are lazy, do not want to work - they need to be forced and controlled;
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Y states that people want to work and practice self-control - they are easily motivated.
Based on these theories, two styles of personnel management were proposed: authoritarian and democratic.
Other experts later developed McGregor's theories and proposed other styles. Today, the most commonly used classification is authoritarian, democratic, comradely, individual and universal styles. Let's figure out what their differences are and which one is better to use.
1. Authoritarian style of personnel management
It is often associated with the saying "I am the boss, you are the fool." Management in the company is built on the principles of strict discipline, unquestioning obedience to management and centralization of power.
In an authoritarian management style, managers make all decisions on their own based on management accounting data , without listening to or asking for the opinions of their subordinates. Most often, they are accustomed to regulating all processes and demand strict discipline from their subordinates. Responsibilities are strictly distributed, and the company has a clear and understandable hierarchy.
If a manager uses only an authoritarian management style, he can be harsh in his judgments and unresponsive to criticism. There are only two rules in the company: first, the boss is always right, second, see point one. This is a kind of dictatorship, which is justified in some situations.
Motivation of personnel in an authoritarian management style is based on punishments and fines. They are received for the slightest deviations from algorithms or failure to meet established KPIs (key performance indicators).
Communication in the company is only vertical: the manager sets tasks and accepts their implementation without discussing the nuances with subordinates. Because of this, it is difficult for employees to convey something to management, even if it is important for the further development of the company. Managers who practice an authoritarian style do not communicate with staff not only at work - they are not interested in their personal qualities, problems, successes.
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Pros of an authoritarian management style
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Iron discipline. Employees know that they will not be forgiven for mistakes and sloppiness, so they strictly follow the managers' requirements. Thanks to this, force majeure events such as missed project deadlines or defective production rarely occur.
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Stability. Even in stressful situations and during a crisis, the company continues to operate because everyone strictly follows the manager's instructions and does not discuss further actions at planning meetings.
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Transparent business processes. Managers always know what employees are doing and what is happening in the company as a whole. Due to discipline and transparency, a characteristic feature of the authoritarian management style is the high speed of task execution.
Disadvantages of an authoritarian management style
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High turnover. Not everyone is ready to work under a dictator, so companies with an authoritarian management style have a high percentage of dismissals. Usually, the most talented ones leave - those who are cramped within the framework of job responsibilities and instructions.
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Feedback issues. Due to vertical communication, important information for the company may take a long time to reach the manager or may not reach him at all. This may negatively affect the development of the enterprise as a whole.
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Rejection of ideas. The authoritarian style suppresses employee initiatives - they are not used to sharing ideas with management. Therefore, the company has been working for many years "as usual", although some business processes may be ineffective.
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Lack of development. With ideas stifled and feedback problematic, employees simply perform their job duties. They do not learn new things and do not develop, which is necessary for the further development of the entire business.
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Low Commitment. Due to fines and punishments, employees are motivated to do exactly what is required of them. Workers strictly follow job descriptions and are not ready to do anything more for the benefit of the company.
2. Democratic style of personnel management
Democratic (democratic) style is the complete opposite of authoritarian. The staff also obeys the manager and power is centralized, but there is free communication in the team.
Managers control not so much the processes themselves as the result. They provide the staff with everything they need to work, while employees have relative freedom of action. Managers act more as coordinators and can distribute tasks, taking into account the desires and competencies of employees, and help if necessary, but not do the work for specialists.
Managers who use a democratic management style are willing to listen to ideas and suggestions from employees. They hold planning meetings or communicate with employees personally, take feedback into account, and strive to make everyone feel comfortable.
Democratic leaders are usually sociable and friendly, but in stressful situations they are capable of demanding strict discipline and unquestioning obedience.
Methods of personnel motivation in a democratic management style are related to incentives. Usually, companies introduce KPIs and reward for their implementation, additionally working on corporate training, career growth, employee development and other methods of non-material motivation.
Communications in the company are horizontal — employees of different departments easily exchange information and can ask for it from the management. Communication is businesslike, but free. Also, managers with a democratic style usually welcome informal communication between colleagues and hold events to unite the team: organize corporate parties, celebrate holidays, buy board games for the office. Examples of communications for PlanFact were given by Elena Mironova , CEO of Eaton in Russia and Kazakhstan:
“I would call our management style democratic with elements of creativity. It is definitely not possible to say that we practice an authoritarian style. This does not correspond to our business model, and in general, in a modern company operating in the high-tech sector, directive management can do more harm than good. With a democratic style, management relies on horizontal connections in the company and teamwork.
Let me give you an example: our team works with three groups of partners. There are different people in each area who convey the key success factors to the management. Senior management cannot know how to work with each type of client, so it cannot be authoritarian. Accordingly, in the management we encourage the involvement of specialists.
Eaton’s corporate culture plays a special role in shaping the management style. Horizontal connections website development service are especially important to us. We are part of the Eastern European division of Eaton, which has the same three areas of work with partners as we have in Russia. Accordingly, managers of all three areas have, so to speak, a “peer” who does the same work, but at the international level. We establish communication between the division in Russia and the head office, constantly exchanging experience, ideas and knowledge. This allows us to quickly improve business processes, and employees to develop, using practices from different countries of the world.
Another example of horizontal communications is the corporate E-Star program. This is our platform that allows any employee to express their gratitude to another for a good idea, successful completion of a task, achievement of a goal, etc. When an employee gives someone an E-Star, this is seen by the managers of both. Such assessments are encouraged, sometimes financially. On the one hand, this helps us “catch” good ideas and practices, on the other hand, it increases the loyalty of the company's employees, satisfaction with their activities, and stimulates positive assessments by employees of each other. In general, 82% of employees throughout the Eaton Corporation are involved in the E-Star program, and during the experiment it has borne fruit. According to our calculations, the probability of program participants leaving the company is two times less than that of those who are not included in it.”
The Pros of a Democratic Management Style
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Forming a team of like-minded people. With a democratic management style, it is easy to assemble a team that will share the views of the management and strive to develop the company - it will be easier to increase profits or enter new markets.
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Low staff turnover. If an employee shares the company's values, he will not leave because of a dictatorship, as with an authoritarian style. Workers usually feel comfortable in companies with democratic leaders, so they "hold on" to their jobs.
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Wide development opportunities. The management listens to ideas and suggestions that can bring profit to the company. That is why startups usually use a democratic style - the opinion of the team allows you to look at the situation more broadly.
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Reduced chance of errors. Collective brainstorming is more effective because it is free of subjectivity. Thanks to the discussion, managers can objectively assess the situation and make the right decision.
Disadvantages of a democratic management style
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Long discussions. The more people involved in important discussions, the longer they can last: someone will find a possible problem, someone will argue for changing the whole concept. Without discipline, this threatens to miss deadlines.
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Possible anarchy. Employees may view democratic management as a sign of weakness and try to work on their own terms. To prevent this, the manager must be moderately strict.
3. Affable style of personnel management
A loyal form of democratic style. It is difficult to identify a clear hierarchy in companies that use it. Discipline problems often arise.
Adherents of the comradely management style freely discuss the internal affairs of the company with subordinates, sometimes even if it is not necessary. They welcome informal communication not only within the team, but also with themselves. They can set tasks and help subordinates to complete them, while employees have maximum freedom of action.
A manager who uses a friendly management style is a "guy". Employees can easily delegate some of their work to him, ask for a couple of days off while keeping their salary, or have a beer after work.
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