Different Management Styles For Employee and Organizational Growth!

Different Management Styles For Employee and Organizational Growth!

Management Styles

From my experience, I have found that proper management styles contribute to the organization’s continued growth. They help solve organizational problems, enhance employee satisfaction and loyalty and increase productivity. Eventually, an organization benefits from its satisfied customers and higher returns on investment.

On the other hand, if an organization adopts an incorrect management structure, it may lead to tensions between employees and their managers, resulting in lower employee morale and depleting productivity. This will cost an organization direction in reaching its goals.

Therefore, an organization must exercise caution while adopting a management style or a blend of them. It is clear that no single management style can suit all situations. So, by making a calculated shift in a company’s management style, an employee can become an effective manager and help the company achieve its intended dividends.

Having said that, let us discuss a few management styles.

Autocratic: Here, managers decide and enforce their decision on their employees. They neither have a two-way communication with employees, nor do they invest any trust in their employees. This can be demotivating to employees. However, it suits situations where organizations have to take quick decisions and control a large number of employees without requisite expertise.

Paternalistic: Paternalistic managers pay attention to the employees’ social and recreational needs while making decisions. They give directions to employees, making the information flow from top to bottom. Here, they take employee feedback.

This management style is very effective in keeping up employee morale. It can be deployed to regain employee loyalty when it is endangered because of autocratic enforcements. However, it does not empower employees to work independently, but makes them dependent on the manager.

Democratic: In this management style, everyone is involved in the decision making process. Communication flows in a two-way direction, thereby improving job satisfaction and productivity. Employees feel they are part of the process and are motivated to live up to the company’s expectations. However, this process slows down decision-making since a consensus is usually taken from all employees. At times, therefore, managers may not be able to implement the best decisions. Therefore, as managers, one needs to have a judicious mixture of these strategies for better results.

Employees start observing a manager’s management style the moment they step in to the office. They learn the organizational culture and observe the relations between employees and managers and among employees. They also take note of company policies.

All these impact their understanding of the company and its management style. This understanding can either motivate them to play a proactive role in the organization’s advancement or make them develop a reactive attitude where they do only as they are directed to.

Do share your thoughts on the same.

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  • In our research, we have found even more style variations than those listed in your post. Some of your readers may be interested in a free tool at our site that allows managers to self-assess their style. After completing a 20-minute questionnaire, participants will receive a personal report describing the strengths and limitations of their style, along with suggestions for how to manage even more effectively. At the moment, we are also using this questionnaire for a research study on gender differences in management styles. If you would like to take part, you can find the survey at:


  • David A Resnik

    Asma, you are so right! The size of an organization can also amplify the unintended effects, when a supervisor uses an inappropriate style to deliver the message. I differentiate between the actions of an individual and an entire organization, but the organization’s culture and workplace environment can be quite toxic and hostile, if managers are not aware of this issue.

    There is a vast amount of academic literature on leadership and management that supports and greatly elaborates on your comments. In particular I would recommend James M. Kouzes and Barry Z. Posner’s classic The Leadership Challenge, originally published in the late 1980s. It is now in its third edition (2002) and has sold over one million copies worldwide. John Kotter and Henry Mintzberg have published extensively on the distinction between leadership and management (and dozens of others), which I would argue should be considered in any proper discussion of these styles.

    I found it amazing to learn how damaging the effects of some of the best intentions can be, when the wrong style is used. Kouzes and Posner reiterate that a leader’s credibility is critically dependent on certain factors, of which how s/he delivers the message. There are other significant styles that are important to this sort of discussion, such as servant-leadership, participatory, pacesetting, situational, and leading-by-example, to name just a few.

    I would also recommend the interested reader to delve into the topic of organizational culture or corporate culture, as this is another major aspect of your comment as I see it. All of these concepts are so much more significant in a smaller organization or group, as so many academics have documented.

    Here are some relevant and classic references that I would recommend to get started in learning about this field.

    Brief, A. P., & Weiss, H. M. (2002). Organizational behavior: Affect in the workplace. Annual Review of Psychology 53(1), 279-307.

    Burton, G. E., Pathak, D. S., & Zigli, R. M. (1977). The effects of organizational communication on job satisfaction and motivation factors for management. Journal of Management 2(2), 17-25.

    Collins, J. (2001). Good to great: Why some companies make the leap . . . and others don’t. New York: HarperCollins Publishers Inc.

    Connor, D. R. (1998). Leading at the edge of chaos: How to create the nimble organization. New York: John Wiley & Sons, Inc.

    Deming, W. E. (1997). Out of the crisis. Cambridge, MA: MIT Center for Advanced Engineering Study. (Original work published 1982)

    Drucker, P. F. (1985). Management: Tasks, responsibilities, practices. New York: Harper & Row, Publishers. (Original work published 1973)

    Heifitz, Ronald A. and Laurie, Donald L. (2003). The work of leadership. In Business leadership: A Jossey-Bass reader. [Chapter 31]. Jossey-Bass Publishers. San Francisco.

    Kotter, J. P. (1996). Leading change. Boston: Harvard Business School Press.

    Kotter, J. P. (1999). John Kotter on what leaders really do. Boston: Harvard Business School Press.

    Kouzes, J.M. and Posner, B.Z. (2002). The Leadership Challenge. 3rd edition. San Francisco. Jossey-Bass.

    Lawler, E. E., III, & Worley, C. G. (2006). Built to change: How to achieve sustained organizational effectiveness. San Francisco: Jossey-Bass.

    Peters, T. (1988). Thriving on chaos: Handbook for a management revolution. New York: Harper & Row Publishers, Inc. (Originally published 1987)

    Peters, T., & Waterman, R. H., Jr. (1982). In search of excellence: Lessons from America’s best-run companies. New York: Harper & Row, Publishers, Inc.

    Schein, E. H. (2004). Organizational culture and leadership (3rd ed.). San Francisco: Jossey-Bass.

    Senge, P. M. (2006). The fifth discipline: The art & practice of the learning organization (3rd ed.). New York: Doubleday Business (formerly Currency/Doubleday).

    Trompenaars, F., & Hampden-Turner, C. (1998). Riding the waves of culture: Understanding diversity in global business (2nd ed.). New York: McGraw-Hill.

    Vroom, V. H. (1976). Can leaders learn to lead? Organizational Dynamics, 4(3), 17-28.

    Vroom, V. H. & Deci, E. L. (1970). Management and Motivation. Baltimore, MD: Penguin Books.

  • Geri Grossman • Yes, Asma, different styles of management do indeed affect organizational growth. In my 30+ years as a Human Resource executive and executive/leadership coach, I have observed that employees leave managers more often than they leave (good organizations). Leadership/Management styles that support the organization’s vision, mission and values, through a coaching and participatory approach (creating an environment where people can do their best work) typically retain talent whereas leaders and managers whose behaviors reflect more of an authoritarian approach or too much of an amiable, friendly approach (reluctant to give performance feedback when needed) result in turnover, low productivity, and the loss of discretionary energy when needed. Lots have been written about the six leadership styles and their impact on organizational climate.

    Some research suggests that as much as 28% improvement in revenues and profits can be attributed to a leader’s style of management.

    Much of my work as an executive coach is to help leaders be even more effective by developing agility in their leadership style. I am certified in the Hay Assessments, Inventory of Leadership Styles and Emotional Intelligence (which accounts for as much as 80% – 90% of a leader’s success) and can attest to the fact that when leader’s demonstrate self-awareness, self-management, social awareness and relationship management, their effectiveness is substantially enhanced. Hope this addresses your question, Asma.

    Geri Grossman, President and Founder of

  • Dave Marsay

    Recent trends have been towards being ‘objective’, ‘measureable’ and ‘accountable’, which tends to squeeze out the judgment needed to support long-term thinking. Hence growth has tended to be led by numbers or products rather than any greater vision. Historically one would hope to see more innovation coming out of the recession. This seems to cut across your categorisation.

  • Quynh Nguyen

    Since I am not a manager, I’d like to offer my observations as follows. An organization could at times be too large a body for an employee to experience the impact first hand. A department is more closely related to an employee’s well being and therefore directly affects his contributions/output. For me, a manager who listens to his employees’ input but makes decisions for his department and demonstrates hands-on skills at the same time earns my respect and motivates me the most, as the result. Consequently, well run departments will propel as well as support the organization’s growth.

  • Vishal V. Kale

    Differing styles of management definitely impact organisational growth. What is most worrying is that the impact is not related to attrition alone, but is felt across the entire spectrum. Operations, Day-to-day activities, Decisions etc are all impacted.

    If people face a manager whose style they do not like: they either quit and move on, or simply adapt to the manager. The organisation simply loses out in both scenarios! In the former case, a resource is lost, his knowledge is lost, the expense on his training is lost. In the latter, the positive value additions, the potentiality of the new employee is lost and the company gets another employee who is a mirror image of the boss. Fresh ideas are the victim… you get only photocopies of the department heads, and most – if not all – discussion/freshness/ideas/new avenues are lost

    Personally, my style has always been employee empowerment. I prefer to have thinking people under me, not automatons. It makes my task easier, simple as that. In fact, I have had great learnings that way… and it has enriched my knowledge base, my skill levels. I always keep in mind that my task is to manage the team.. they have their own tasks. I have to enable them to deliver – be it sales, operations or clerical staff. Further, this way, team members can come up to me with ideas without any fear. As a matter of fact, this has lead to several learnings and achievements too.

    This trust comes back in the form of task ownership, comraderie, a healthy atmosphere, fearless market / performance feedback, low attrition and rapid implementation And to my own surprise, more than 50 – 60% of my reports have tended to respond to this treatment. In 2 branches, that percentage is around 90%!

    To my mind, no organisation can grow if its employees do not grow.

  • Management (read leadership) styles do have a significant affect on an organization’s growth, or lack of growth. But that doesn’t mean that one style is always better than another. In thirty years of leadership training and experience I’ve learned that management style must be situational. Not all styles are appropriate in all situations. For instance, the military or emergency services (for example fire/police) might benefit from participative or democratic styles, but there will always be times when an autocratic style is necessary.

    Likewise, a new leader in a troubled organization might need to adopt an authoritarian style to fix problems, but then progress to other styles as the situation improves.

    In a final example, in large organizations I’ve found it may be necessary to use one style for one part of the organization and a different style in a different part.

    Hersey and Blanchard’s “Situational Leadership” is an excellent source as is the work of Blake and Mouton.

    One important note that too many leaders forget. While leadership style may be situational, personal values, morals, and integrity are not!


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  • Trent Kluse

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  • Dawn Layden

    In the past I worked for two different tax preparation firms. Both had two completely different management styles. One was a mixture of the paternalistic and democratic and the last company used the autocratic style you talk about. From my experiences, employee reactions to each style are as you describe. Everyone I worked with, including myself, at the first firm loved coming to work everyday and worked together as a team to get the job done and did the best job they could. The last firm I worked at, employees were not happy myself included. I began applying for other jobs and did get one right after tax season. Several other employees have decided not to return the next year. It is really hard to come tot work and do the best job possible when you are not being treated with respect. I will be taking with me what I have learned between the two management styles to my new job where I will be able to utilize the positive things I have learned.
    Thank you for the information you shared. I found it interesting and valuable.