D. Read the text and say what management style you prefer and why?

As a manager, you need to understand what the common business management styles are (autocratic, paternalistic, democratic, and passive). And you need to understand what your style is, and how that style affects business results.

Autocratic. The manager makes all the decisions; a "command and control" (militaristic) management style; focus is on business; doesn't want any people to get in the way; quick decisions; one way communication (from the top down). The cost is in high employee turn-over as employees find this style difficult, and stressful.

Paternalistic. The manager prefers to make all decisions (or most of them) but focuses on what's best for employees. The benefit is that employees feel the business is taking care of them. The cost is that employees don't take care of business - they are uninvolved, have little at risk and expect the “boss” to make all the decisions.

Democratic. The manager wants input from the whole 'team' and majority rules. Often good decisions are made and employees feel involved in the business (the benefit to this style) but the process is very slow and you can't always make everyone happy. Strong two-way communication.

Passive or “laissez-faire” (lets you do your own thing). The manager is disengaged and often hard to find. This type of abdication is often considered by the manager to be delegation. The benefit is that employees often step forward and learn in this environment. The cost is that the direction is scattered and there can be numerous false starts because there is no real manager. Can work in an environment of creative types (independent) or highly technical (such as engineers).

Managers typically use more than one style, depending on the situation. If brainstorming creative new product ideas is today’s focus, then the manager may want to use a democratic or passive style. If a decision about keeping or firing an under-performing employee must be made, the manager may need to use an autocratic or paternalistic style.

Reading 3: Basic Management Skills