How Are Decisions Made?

1. How Are Decisions Made? Unit 4.4

2. What are the different styles of leadership? • What impact does the management style have on staff morale and motivation? • What is effective management: • Identify the qualities/characteristics of a good manager • Identify the main roles of a manager? By the end of this unit you will understand …

3. There are 3 main leadership styles: • Autocratic Style • Democratic Style • Laissez-faire Style Different Management Styles

4. Autocratic Style • This occurs when managers tell people what to do and expect their orders to be followed. • There is little or no consultation between management and workers. • Decision-making is tightly controlled.

5. Democratic Style • A democratic management style means that managers do consult others before making decisions. • This could involve a senior manager discussing an issue with junior managers. • It could also involve managers asking other workers for their opinions before reaching decisions.

6. Laissez-faire Style • This involves the minimum of managerial direction. • It probably works best in workplaces where creativity would be stifled by strict managerial control (e.g. designers) • However, it does not mean that people can do what they like when they like!

7. Autocratic Style • Workers in some businesses might feel frustrated and unable to use their initiative • Likely to lead to low morale and little motivation • However, in some organisations (such as the Army) this style of leadership is felt to be vital Impact of Management Styles on Morale and Motivation

8. Democratic Style • If carried out properly, this management style should make workers feel part of the decision making • They should feel their ideas are important and acknowledged • Therefore, morale and motivation should be high Impact of Management Styles on Morale and Motivation

9. Democratic Style • However, if workers feel managers are approaching them for ideas because they have none of their own – it will lead to lack of respect and give a perception of poor leadership • Therefore, this will have a negative effect on morale and motivation Impact of Management Styles on Morale and Motivation

10. Laissez-faire Style • This relaxed management style will not work in all industries • Most workers need clear leadership and guidance • This style may work well in creative industries e.g. advertising and film making Impact of Management Styles on Morale and Motivation

11. Advantages/Disadvantages

12. Many modern organisations encourage employees to work together in teams • Team spirit/working together can encourage and motivate staff • Better ideas • Shared responsibility can improve staff morale Team-Working

13. Effective Management Involves: credit • Controlling • Leading • Planning • Budgeting • Evaluating

14. Qualities/Characteristics of Effective Leadership/Management Leadership qualities Planning/decision making skills credit Communication skills Interpersonal skills Listening skills Organisational skills Budgeting skills Motivational skills Std Grade BM - U4.4

15. credit Main Roles of a Manager