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There are many different approaches to management. Some will work, while others won’t. The best way to find out what works for you is by studying the top ten managers in history and those that have been successful today.
There is no “one best style of management” and there are many different styles. This article will discuss the top 10 best management styles, why they work, and which ones to avoid. Read more in detail here: is there one best style of management why or why not.
A management style is a concise description that summarizes unique managerial activities. Hundreds of theoretical theories exist to explain what makes a successful manager or leader, most of which are based on personality or temperament attributes like directness, empathy, adaptability, and agility. For particular circumstances and company kinds, certain management styles are more suited than others.
When it comes to management, we at Fit Small Business think that there is no such thing as a “one size fits all” leadership approach. As a result, we contacted business executives and educators for their opinions.
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The finest management techniques for small company owners are as follows:
1. Management Style: Strategic
In terms of the company’s and brand’s vision, strategic managers concentrate on the broad picture, the long term. They not only express their goal, but they also actively seek opinions on how to get there. They get buy-in from managers, employees, and consumers by including them in the planning process.
Once the vision has been conveyed to people who will carry it out, strategic managers are often ‘hands-off.’ They are the polar opposite of micromanagers in that, after a vision has been established and communicated, they prefer to trust their colleagues’ progress toward those objectives.
The Benefits and Drawbacks of Strategic Management
- This approach has the advantage of effectively communicating and assisting workers in buying into the company’s vision, brand, and strategy. Employees are eager to join the team.
- One disadvantage of this approach is that it occasionally overlooks the finer points, such as putting in place processes to track progress toward targets.
How Do You Know If Your Management Style Is Strategic?
Many entrepreneurs are strategic by nature. If you were bureaucratic, you would never have started a company and exposed yourself to so many ‘unknowns.’ Most firms benefit from having at least one strategic leader at the head, which is often the owner. This leadership style may be perfect for you if you are visionary, can identify potential, and can chart out a path to get there. However, you must also be skilled at interacting with and listening to people who may assist you — consumers, marketers, and advisers.
You must be exceptional at not just articulating your vision but also delegating, because if you start micromanaging how your people accomplish it, the excitement they have for what they do will be squelched. Because being strategic and being very detail focused don’t often go hand in hand, you may want to engage with a business coach or hire a detail-minded individual, project manager, or a staff member that enjoys getting into the weeds to complement your strategic leadership style. That individual can keep you informed and alert you if things start to slip behind schedule.
“Strategic leadership is the most successful style
for small business owners due to the high number of confusing situations in a growing organization where the meaning of certain events needs to be communicated to employees. Strategic leaders can assess a complicated situation and then communicate an interpretation that assists employees with making sense of the confusion without alienating them.”
— Elizabeth Minei, Eminei Consulting LLC consultant and Baruch College assistant professor
“As the owner of a small business, it’s easy to get stuck
in day-to-day operations. I put a lot of trust in the people I’ve hired to manage each team, and give them the authority to make their own decisions to lead their teams. This leadership style is ideal where there’s a great deal of trust and when you’ve had the chance to hire great people. I’ve been fortunate to work in that kind of environment, but if I didn’t trust my team or they didn’t trust me, that would be a major roadblock.”
— Triangle Pest Control owner Donnie Shelton
2. Management Style of Servant
Servant management, often known as servant leadership, is a spiritual management style in which the company leader serves not just their clients but also their staff. Managers that utilize this approach are concerned about their staff on a personal level.
A servant leader, for example, views himself as someone who meets the requirements of his or her workers so that they may be successful in their jobs. A servant leader’s actions reveals that his people are his most valuable assets, and he prioritizes them, understanding that if he meets their needs, he will meet the requirements of his customers, and the firm will grow.
The Benefits and Drawbacks of Servant Leadership
- Employees and consumers will feel acknowledged and their demands will be satisfied as a result of this approach.
- One disadvantage of this approach is that unethical personnel may take advantage of you.
How Do You Know If Servant Leadership Is Right For You?
This approach works effectively in service-oriented organizations, such as healthcare, home services, or consultancy, where you want all staff to follow your lead while dealing with customers. It also works effectively at non-profits when everyone is working toward a shared goal, such as feeding the poor or campaigning for elderly citizens.
Servant leadership is a management style that encourages you to go all in, acting ethically and values-wise outside of work just as you do at work. This may be the perfect leadership style for you if you are naturally empathic, a good listener, and concerned about your workers’ physical and mental well-being. Here are some quotes from servant leaders:
“The leadership style present in the most successful
small businesses is servant leadership. The only time I’ve seen servant leadership backfire is in extremely rare instances where what is expected (culturally) is an autocrat.”
– Blue Corona CEO Ben Landers
“I believe the single greatest trait of a leader in a
small organization is a servant mindset. Understand the needs of the team, recognize the tensions and stresses of individuals, foster their growth, and protect them from the unnecessaries. Those belong to you. If you walk into the office every day with the attitude of, ‘How can I make someone’s life better today?’ you will achieve tremendous things as a team. Nothing is more important than the team.”
— Jim Hume, Phire Group’s Owner and Principal
3. Leadership Style: Transformational
Leading transformations, implementing innovation, and staying ahead of the curve are all part of transformational management. This kind of manager understands that no matter how well they prepare, things will change, and they not only anticipate these changes, but also lead their company through them, even if it means changing their business model.
The Benefits and Drawbacks of a Transformational Management Approach
- This design has the advantage of being futuristic, adaptable, and original, which means it will likely stay relevant as the market develops.
- One disadvantage of this approach is that the existing quo and institutional knowledge have value, and some people may be unwilling to adapt – they may even abandon ship if too much change occurs too quickly.
How Can You Tell If A Transformational Leadership Style Is Right For You?
This management style may fit you if you like new ideas, are a lover of innovation, and are often on the leading edge of your sector. It works well at startups when there is a lot of change. Biomedical, web-based marketing, and engineering are just a few of the fields that are ripe for innovation. Are there new technologies or methods you may employ to achieve a competitive advantage, even if you’re a lumber company? In reality, traditional service industries such as plumbing must adapt to new technologies such as reverse osmosis and tankless water heaters. The only way to keep them and other industry-disruptive enterprises relevant is to use transformational management. Here’s what company owners that use this style had to say.
“The great thing about transformational leadership
is that you are always on the brink of change. You’re never stagnant nor do you allow others to remain complacent.”
— Jennifer Waterman, In Purpose On Purpose, LLC consultant
“The reason why that style of leadership is good for
small business is that business is developing. You do not know from one month to the next, what you’ll be doing in the future, one year from the next, and so it is best to be very fluid in your management style.”
Triton Technologies’ CEO, Trave Harmon
4. Management Style: Lead by Example
When bringing new workers on board or preparing staff for future leadership positions, many successful small company owners and department heads use a management approach known as leading by example. The emphasis is on’setting an example’ for your staff by modeling the conduct you want them to follow.
This method, which is also known as coaching or training, may be utilized in any field, from customer service, where you want your employees to show strong listening, empathy, and problem-solving abilities, to contracting, where you want your employees to follow your lead in terms of quality and safety.
The Benefits and Drawbacks of a Management Style that Leads by Example
- This style has the advantage of being simple. You have the freedom to be yourself.
- One disadvantage of this approach is that your staff will replicate your errors and blunders. You must ensure that your business’s work ethics are exhibited, and that you do not act in ways that you would not want your workers to imitate.
How Do You Know If Your Management Style Is Right For You?
This technique is suited you if you have the temperament, talents, expertise, and abilities that you want your workers to learn from. It lets you to show how to accomplish job duties in the best possible way, much as a coach or trainer would. It may be used in any industry where your workers aren’t necessarily specialists and need to learn from you. Even if you hire subject matter specialists, your personal style may inspire them to be more kind, empathic, patient, or customer-focused — or to display any other behavior you’d want to see become ingrained in your company’s culture.
“While growing from a team of 4 to a team of 14, we
quickly figured out that leading by example was the best way to manage. When your team sees that you, the founder-owner, do things properly, they will follow suit. They will go beyond merely being a member of a team and will take ownership in their role at the organization. If you show your team that you care, they will care too. However, this management style can be dangerous if you like to micromanage. You run the danger of taking on too many tasks, so it is important to remember that you’re there to delegate.”
— Blanca Valbuena, Social Draft Co-Founder
“I have found it most effective to show my employees
how a given task should be done, rather than just giving orders. By demonstrating that you are an expert at what you are asking them to do and are there to help, it will often result in more respect and productivity from your staff. It’s impossible to deny that the work ethic of an entrepreneur is contagious; if you work hard for them, they are more likely to return the favor and work hard for you.”
Founder, Source Capital Funding, Inc., Sacha Ferrandi
5. Management Style: Collaborative
The premise behind collaborative management is that two brains are better than one. Managers that use this approach exchange ideas and challenges, and encourage workers of all levels and job titles to contribute to the company’s growth by expressing their views, worries, recommendations, and solutions.
When a leader uses this approach, he or she preserves decision-making power while giving far greater weight and credit to other people’s thoughts and ideas. This approach may be utilized in any firm if planning time is available. It’s not a good idea in an emergency-based organization, such as a surgical team, where an expert must make and execute judgments swiftly.
The Benefits and Drawbacks of Collaborative Management
- This management style has the advantage of making workers feel that they are a “part of” the company, encouraging them to give their best ideas and be their best selves at work.
- One disadvantage of this approach is that not all employee ideas are excellent, and you must be an expert in facilitation to avoid wounded emotions if you decide to go a different path.
How Do You Know If Collaborative Leadership Is Right For You?
This technique may work best to inspire workers to offer their energy, passion, and ideas to the firm if you operate in a highly creative profession like advertising, soap manufacturing, or real estate sales. This is referred to by one firm owner as the ‘Team-Member’ management style, in which all workers are on a same level. Furthermore, if you’ve employed industry specialists to work for you, as in many technology-based businesses, where you need ‘all brains’ to contribute to your company’s success and everyone in the company is equally competent to participate, this method is ideal.
“Open information sharing with employees and partners
makes us smarter, faster, and allows us to provide greater value to our clients. (However), the collaborative leadership style may foster too many trying to lead the group, and not enough members willing to take a backseat and just do what it takes to get the job done. Regardless, the power that a collaborative approach brings to small businesses far outweighs the downsides.”
— Tara Phelan, Owner & Consultant, Outside the Box
“You are not the CEO of Google and if you act like it
people don’t want to work for you. Be a team member. Your employees will work harder and be happier if you are on the same level as them.”
— Mark Tuchscherer, Geeks Chicago’s CEO
6. Authentic Leadership Style
People in your business may be themselves when you use an authentic management style, whether that means exhibiting amazing talents or having a quirky personality. When a leader acts in a genuine way, rather than ‘acting’ like a manager, it helps people to relax and be themselves as well.
Although comparable to leading by example, the leader who manages with authenticity produces a healthy, honest, open culture, akin to that of a family or group of friends. It requires self-awareness and works best in close-knit groups.
The Benefits and Drawbacks of an Authentic Management Style
- The openness of this approach is one of its advantages; everyone is aware of and appreciates what others have to offer.
- One disadvantage of this approach is that it may alienate workers who are uncomfortable with openness or desire a degree of separation between their personal and professional life.
How Do You Know If Authentic Leadership Is Right For You?
This personality type is ideal for those who are outgoing, open, and truthful. This may be your management style if you like talking to people, learning about them, and bringing out the best in them. It focuses less on bottom-line measurements and more on finding your team’s strengths and abilities. Managers that are authentic are self-aware and honest about their strengths and flaws. They give people the freedom to be ‘human,’ to be creative, and to bring their ‘full’ selves to work. Authentic managers get results by matching a person’s fundamental capabilities to the work position.
“The ONE true leadership style which works for me is
doing as I tell my employees to do – being real and authentic, with compassion, humor and playfulness – even and especially in stressful situations. Controlling does not work! I need to allow my employees to take on their own projects, become creative, and make their own mistakes.”
— Karen Hartman, Owner & Marketing Director, ShoomKloom
7. Leadership Style: Authoritative
The typical management style that comes to mind when thinking of a firm owner as “the boss” is authoritative management. Experts that know how to achieve corporate goals often employ it. Authoritative managers have a clear idea of what they want and how to get it done. Managers that have this personality have a tendency to be direct and to the point.
The Benefits and Drawbacks of an Authoritative Management Style
- This approach has the advantage of getting things done. It is goal-oriented, and the management is ultimately responsible.
- One disadvantage of this approach is that it does not allow for much feedback, does not solicit input, and often leaves some of the finest ‘thinking’ behind.
How Can You Tell If Your Management Style Is Authoritative?
You’re in the ideal position to lead, advise, and offer feedback to your staff if you’re the company’s founder. Let’s imagine you’ve spent your whole career in the telecom industry and now want to start your own radio station. You hire young, inexperienced employees to assist you. From how the programming schedule is set up to a power backup plan in the event of a power outage, you’ll want to establish explicit expectations. Your staff are watching you and want to learn from you, therefore you need to be in command.
This management style is used by a wide range of small organizations, from independent insurance agency to small industrial firms. However, when your company grows and you hire more professionals, you may need to consider alternative options for accomplishing your goals.
“I am a coach for C-Level execs as well as entrepreneurs
and helping them find their voice as a leader is important. I tell them the same thing I tell parents–be authoritative as opposed to being authoritarian. Set expectations and rules, support them when needed, and reinforce behavior you like to see. Doing anything less means they are missing one of the main points of having employees; they micromanage and wind up doing a great deal of the work themselves.”
— Darien Wellness Executive Coach David Ezell
8. Management Style of Autonomy
The autonomy management style emphasizes professionalism and trust. It is the polar opposite of micromanagement in that it does not rely on metrics or project plans to complete tasks. Employees are instead expected to manage their own workload. It works well in sectors that employ qualified experts or independent contractors who do not require’management.’
The Benefits and Drawbacks of Autonomous Management
- One advantage of this approach is that specialists have complete control over their working environment.
- One disadvantage of this approach is that it makes recruiting more difficult. Hiring professional employees is crucial, and you may need to partner with a staffing business to guarantee that your company hires top-performing licensed professionals.
How Do You Know If Autonomous Management Is For You?
This is an useful management style for businesses that rely on 1099 employees, consultants, or licensed professionals. You may work in a legal company, a notary service, a mortgage brokerage, or a medical clinic, where your staff are certified professionals who understand it, know what they’re doing, have certification to show it, and don’t need much in the way of training or day-to-day job guidance.
“Giving your employees the autonomy to work without
constant reassurances or checks gives you the time to get the important things done right. Not only this, but it also gives your staff the confidence and time to work in a way that they know will work – helping both you and the business to achieve more.
I’ve discovered that allowing staff to perform their tasks without interruption allows me to get a lot more done, and the firm has expanded far quicker than it could have if I’d been expressing my opinion at every turn.”
– Sean Mallon, Bizdaq CEO
9. Management Style based on Effort
Effort-based management focuses on the work that has been completed (what) rather than the processes that have been followed (how). This approach may utilize project management software to keep track of critical dates, deliverables, quality, and resources, as well as some kind of back-end quality control.
The Benefits and Drawbacks of Effort-Based Management
- Employees are driven by the projects they work on, and in certain situations, they may pick what they want to work on, which is a perk of this method.
- Quality assurance and metrics are required to guarantee that all projects are allocated and managed within schedule, money, and client limitations, which is a disadvantage of this approach.
How Can You Tell If An Effort-Based Management Approach Is Right For You?
This approach may suit you best if you operate in an industry where projects are the norm, such as marketing campaigns, technological deployments, or specialized manufacturing. Project leaders reporting to you would offer you with frequent reports on project progress and relieve you of day-to-day operations. This may be the ideal method if your company handles several and complicated projects with matrixed reporting linkages. Here’s what one business leader had to say about it:
“We’ve taken project-based leadership mechanisms
and transformed it into our own style. When we receive a project from a client, there’s usually a queue in which it funnels to a central repository. An employee can choose whatever project he/she wants to engage in, harnessing the productivity of the employee. It’s up to the employee to assess the life-cycle of the project and determine what elements he/she will need to complete the project,. This type of style isn’t without faults of course. Drawbacks would be working to actually develop the skills they (employees) need to achieve day to day and monthly tasks you’re looking for.”
– Reginald Swift, RubixLX’s Founder and CEO
10. Effective Parental Management
The company owner or manager is positioned as the ‘head of the family’ in a good parent management approach. It’s understandable for family-owned enterprises or small businesses to treat all of its workers like family members, regardless of their employment titles or ties.
The Benefits and Drawbacks of a Good Parenting Style
- Employees who are treated as persons rather than merely as employees benefit from this management style, and they are typically driven to assist the organization accomplish its objectives.
- This technique has the disadvantage of working best in very small organizations, and it may not function well when your company grows and you no longer have the time to get to know each person.
How Can You Tell If You Have A Good Parenting Style?
Because of the near proximity and close-knit structure of your work environment, this model may work effectively if you have a very small firm where all workers are co-located in a shared office space. Let’s imagine you own a coffee shop, a retail boutique, or a computer repair business, and you consider your staff to be like family. This might be the ideal look for you. Here’s what one entrepreneur and business coach had to say:
“The best leadership style for small business is
Good Parent. Leadership and parenting are analogous because you have more power and are responsible for the wellbeing of the whole business family. Since caring about your followers is the number one predictor of leadership success, you always show the kids you care about them, but hold them accountable for their contribution to the business family so they don’t become spoiled and hurt the whole family. There is no situation in which this style doesn’t work best.”
— Terry “Doc” Dockery, Ph.D., President & Business Transformation Coach, The Business Psychology Company & Program Director, CEO Roundtables, Kennesaw State University Shore Entrepreneurship Center
Special Mention! Cersei Lannister’s Leadership Style
The Cersei Lannister style is a straightforward style that demands you to adopt a competitive, ‘winner takes all’ attitude to your company, according to a media savvy contributor. It’s also referred to as a top-down or traditional management approach.
The Benefits and Drawbacks of Cersei Lannister’s Management Style
- One advantage of this approach is that it gets things done by rallying the team behind the goal of outperforming the competition.
- This leadership style has a disadvantage in that it is not for the faint of heart, and others may be put off by your “anything goes” leadership style.
How Can You Tell If Cersei Lannister’s Leadership Style Is Right For You?
This leadership style could work if your company is in a highly competitive market, such as telecommunications, or if your major concentration is outbound sales. Consider the following ideas from a company owner:
“The best leadership style for small business owners
is absolutely the ‘Cersei Lannister (Game Of Thrones) style’! This approach dominates all others because as a small business owner you bear the ultimate responsibility for mastering your competitive landscape and industry rivalries. To not only survive, but thrive, you must develop and execute this leadership style to dominate your competition. This leadership strategy is not ideal in a business that wishes to continue the status quo.”
Founder of Virtual CFO Advisors, Gerald Ratigan, CMA, CPA
Worst Leadership Styles
We discovered and wanted to include some of the worst management styles demonstrated by managers when studying the greatest management styles for small company owners, such as:
1. Management Style: Laissez-faire
These bosses are unconcerned about how their staff perform, offering little supervision, feedback, or assistance. As staff are allowed to sort things out on their own, this may result in more expenses, worse quality, and dissatisfied consumers.
2. ‘All-knowing’ Management Methodology
These supervisors act as though their personnel lack knowledge and abilities. They often express their opinions when they are not required, insulting and discouraging everyone save the most entry-level workers and, as a result, possibly increasing attrition.
3. Micromanagerial Leadership Style
These bosses are always keeping an eye on their staff and looking over their shoulders. They offer employees little to no control over how they do their tasks.
4. Management Style: Autocratic
This approach, sometimes known as “my way or the highway,” entails following processes to the letter, notwithstanding common sense. A small number of very detail-oriented workers may be ready to put up with this manner, but the majority of employees will find the workplace suffocating, and morale will suffer as a result.
If you’ve ever found yourself sliding into one of these ineffective management styles, we strongly advise you to study our list of the greatest management styles above and choose a more effective strategy – both for yourself and for the good of your company.
Choose the best management or leadership style for you.
Many training and consulting companies provide tools to assist you figure out your personality or temperament type, which are based on an old paradigm that defines four key characteristics. Your management style is said to be determined by a mix of these characteristics. Of course, you may use hundreds of well-researched academic and commercial models, such as Myers-Briggs, with proven assessment tools and consulting services to enhance your management style and build leadership abilities in your employees. To understand more about yourself, search for personality ‘test’ or ‘quiz’ on your Facebook profile.
The following are some websites that I’ve used to assess management abilities, increase leadership skills, and teach people in management:
- Lominger – Tools and consulting to measure your and your team’s leadership abilities.
- Gallup – Identifying managerial strengths via books, research, and survey techniques.
- Management by Strengths is a simple approach and survey instrument for evaluating management strengths.
- Situational Leadership – A management paradigm in which leaders adjust their approach depending on the circumstance.
- Management models used by IT and project managers for management communication are known as model-netics.
The Bottom Line: The Most Effective Management Styles
As you may have surmised, there is no such thing as a one-size-fits-all approach to corporate management. Identifying your personality features, temperament, and business requirements is the first step in developing the optimal management style. And, regardless of your personality or natural style, as a sentient entity, you have the ability to modify your conduct. Choosing a leadership style that best fits your company and personality, on the other hand, is a chance to improve your interpersonal skills and self-awareness in a manner that helps your people perform (and flourish) and guarantees your company grows. The examples given above are a nice place to begin. Wishing you the best of luck on your adventure. In the comments section below, let us know what works best for you…
Check out Monday.com, which allows you to plan, organize, and monitor tasks all in one visual, collaborative area, making team and project management a snap. For a free trial, go here.
Monday may be found at monday.com.
The “management styles quiz” is a quiz that allows users to find out their best management style. The quiz includes 10 questions and provides the user with a code after they answer each question. The code can be entered into the website to see which management style they are most similar to.
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