A quality management team is an extremely important component of any thriving business. Most organizations will experience high turnover and a dent in their bottom line if they don’t exert energy creating mangers who can motivate and lead their teams to success. In fact, a recent study found that over 50 percent of employees have quit their job to get away from their manager or direct supervisor.
Obviously, this alarming data highlights the fact that management is extremely important to employee satisfaction and a company’s overall well-being. However, there are some situations where effective management is absolutely essential and simply cannot be overlooked. These five business situations dive even deeper into the importance of effective management strategies:
1- Crisis Situations
Crisis situations require a clear-headed and clearly defined leader who is able to guide the team through a challenging time. Most often, this process falls on professionals in a management role. Management Training Institute said, “Managers must have the ability to effectively communicate urgency while still maintaining composure on the outside.” This is a particularly difficult balance to achieve, but it is extremely important when navigating a crisis situation. Followers want to know their leader is capable and able to make good decisions. This creates trust and confidence and will motivate the team to rise above any conflict or struggle. However, this quality doesn’t come naturally for most people. Managers must practice strategies for managing stress and assuring their subordinates so that they can quickly and effectively execute these strategies under pressure.
2- During Department Rivalry
No organization will be successful if departments can’t work together. Managers need to be able to coach their team through any rivalries, grudges, or communication issues that might be negatively impacting results. To do this, mangers must have the respect and trust of their subordinates. Managers must continually build rapport with their subordinates and must have the interpersonal skills to connect feuding teams. Leaders are extremely important in this scenario as productivity and profitability could suffer otherwise.
3- When Onboarding New Employees
Managers are an extremely important piece of the onboarding process. A recent study found that over 20 percent of new hires quit after the first 90 days. This data can be attributed to a variety of factors, but poor management is definitely a contributor. As we’ve already seen, managers play a huge role in an employee’s satisfaction with the company and their overall outlook on their work so the onboarding process is a crucial stage for managers. The first day of work can be an intimidating time for a new employee so managers must be proactive about providing a good experience and a welcoming environment. Managers risk turnover and frustration if they don’t have a strategy for retaining top talent.
4- During a Decline in Performance
While Human Resources teams generally handle the performance review process, managers are often asked to address poor performance before any more formal steps are taken. Managers who are unprepared for this tough conversation may find themselves with a resentful team, low performance numbers, and a slap on the wrist from their own supervisor. This delicate process requires understanding, humility, and some knowledge about human psychology and behavior. Strategies vary greatly from person to person so managers must do their research and address the issues on an individualized basis. Unfortunately, poor management and a lack of strategy could result in a continued decrease in performance, turnover, and low overall standards for the team.
5- While Implementing Change
Change is difficult. It is exceptionally difficult in larger organizations where most employees do not have a say in the decision-making process. The change message can get lost if management is not proactive about implementing the message in a strategic and thoughtful way. Management must be in sync with the rollout and must understand how the rest of the organization wants and needs to receive information. A lack of planning during change implementation can lead to employee resentment and burnout.
These are just a few of the most critical moments for management teams across the globe. Obviously, managers serve as the backbone for most organizations. Companies who want to thrive and grow should consider this fact and invest in the training and development of their management teams.
