Management styles THE TIMES 100

Leadership and management LeadershipManagement The act of establishing direction, purpose and the necessary capabilities among a group of people Leaders have certain qualities such as: Vision The ability to influence others Organising human and physical resources to achieve business aims and objectives Managers perform a range of functions such as: Setting objectives Co-ordinating activities Reviewing performance According to Peter Drucker: “Management is doing things right; leadership is doing the right things.”

THE TIMES 100 Autocratic (authoritarian) Features of autocratic management: The manager retains control and takes all the decisions There is little consultation with workers Subordinates are expected to obey instructions Benefits:Drawbacks: Autocratic management allows quick decisions to be made Often necessary during crisis situations Can ensure that the direction of the organisation remains in line with organisational objectives Workers may become dependent on the managers Little creativity is encouraged Employees may not be given the opportunity to express their ideas May lead to workers feeling ignored or demotivated

THE TIMES 100 Paternalistic Main Features of paternalistic management: Similar to autocratic management but the leader makes decisions based on the best interests of the workers Managers take most of the responsibility for decision making although there may be some consultation with workers Benefits:Drawbacks: Employees feel valued The workers may be persuaded that the decisions made are in their best interests Little scope for employees to make decisions There is still a ‘them and us’ culture with paternalistic management

THE TIMES 100 Democratic Features of democratic management: Employees are encouraged to participate in and influence decision making e.g. through suggestions schemes, quality circles and worker directors Information is shared with team members A single-status culture is encouraged Benefits:Drawbacks: Democratic management can gain commitment, especially during periods of change Employees are more likely to buy in to decisions Motivation may improve Decision making can become slower

THE TIMES 100 Laissez-faire Features of laissez-faire management: Little direction is given to the workers Broad guidelines may be provided but the day-to-day influence of managers is limited Subordinates are free to make decisions Benefits:Drawbacks: Useful for skilled, creative and well trained employees Can motivate workers as they have more control over their working lives Decision making can become very time consuming and may lack direction May lead to chaos if good team work, feedback and working relationships are not evident

THE TIMES 100 Factors affecting management style The personality of the manager The skills and abilities of the manager The history and culture of the organisation The type of industry Circumstances The nature of the tasks being carried out

THE TIMES 100 Style versatility Effective managers may have to adapt their management style to the changing situations in which they find themselves e.g. a usually democratic manager may need to use an autocratic management style during a crisis situation.

THE TIMES 100 McGregor’s Theory X & Y managers According to McGregor, managers can be grouped depending on how they view their workers. He called the two types of manager: Theory X managers – these link closely to autocratic management Theory Y managers – these link closely to democratic management

THE TIMES 100 Theory X & Y managers According to McGregor, Theory X managers think employees... According to McGregor, Theory Y managers think employees... are lazy and are only motivated by pay do not like work need to be controlled and directed to do things they don’t enjoy lack ambition enjoy work are motivated by a range of factors, not just money can think for themselves and make decisions relish responsibility are ambitious

THE TIMES 100 Management styles in context

THE TIMES 100 Importance of good management Why is effective leadership and management so important in the UK? Use the CMI case study to help you

THE TIMES 100 Management functions What are the key functions of managers according to theorist Henri Fayol? Use the case study to help you

THE TIMES 100 The role of CMI How does the Chartered Management Institute impact upon the quality of management in the UK? Use the CMI case study to help you

THE TIMES 100 Management styles Which management style might be most appropriate for highly skilled, trained and expert workers? Use the case study to help you

THE TIMES 100 Links to resources Management styles lesson suggestions and activities CMI case study CMI website