Jo Why Lee

London - United Kingdom

    Management Style of Financial Companys and Why It Work

    May 30, 2014

    Financial Management

    If you want to be a successful manager in your workplace one of the best things you can do is look at what other successful managers have done. One of the best places to find an effective management style is within Financial Companies, especially private equity firms such as  as Anacap Financial Partners  these companies tend to have highly motivated employees and turn high profits in their fiscal years, so what are those management styles and how do they work? Let’s take a look at the 3 most effective styles and when is the best time to use them.

    The directive style: This style of management is also referred to as coercive and its main goal is to get immediate compliance from employees within the company.

    This style of management includes:

    ·         The “Do it the way I tell you to do it” form of managing

    ·         Is a manager who closely controls employees

    Motivates employees using discipline and ultimatums

    It works when:

    ·         There is a crisis on hand that needs immediate attending.

    ·         When deviating from the plan poses a risk

    Does not work when:

    ·         Employees have not been developed properly and have not been properly trained

    ·         Employees are highly skilled in a specific crisis area, they can feel micromanaged

    The Authoritative style: This style is also referred to as the visionary style and has a goal of long-term direction for employees.

    This style of management includes:

    ·         Being a firm but fair manager

    ·         Gives employees a very clear direction to move in

    ·         Motivates through feedback on task performance

    It works when:

    ·         Clear directions and standards are needed

    ·         The leader is a credible one who has the trust of the team

    Does not work when:

    Employees have not been developed well enough and need firmer guidance.

    The leader does not have the trust of the team. Without trust your team will not follow your vision of how things should be done.

    The Affiliative style: This style has a goal of creating a workplace that offers harmony between employees on a team as well as between employees and the management.

    This style of management includes:

    ·         A people first and task after that manager

    ·         A manager who tends to avoid conflicts, and works on personal relationships with employees

    ·         Motivates by keeping their team happy and encouraging them

    It works when:

    ·         It is used with other styles of management

    ·         General routine tasks need to be followed

    ·         Counselling employees and helping them

    ·         Managing conflict between employees

    Does not work when:

    Employees have poor performance

    During Crisis situations

    The key to an effective manager is to be able to use all these styles and make them work as a whole. Every employee, team and situation is going to be different. Most management in financial companies understands that you have to be flexible in your style of management and use a variety of tactics to get the best out of every employee. If more companies used this motto we would see more productive employees and companies doing better financially.

    Read Jo's other blog entries >

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