The 4 Management Styles: Which One Will Help Your Facility Succeed?

Managers play a crucial role in healthcare facilities' success. A great manager leads a productive team, who are then engaged, motivated, provide quality care, and improve patient satisfaction. But there is more than one way to manage a team. Dropstat explores the different leadership styles in management and how to find the one that works best for your facility.
Management styles - Dropstat

A manager is there to ensure the company runs at optimum capacity. A manager’s role is crucial in areas like budgeting, organizational structuring, and staffing. For a manager to reach these goals successfully, they need to analyze and adjust their management style to be most effective for their company’s needs.

What Is Management Style?

It’s the method the manager chooses to reach the company’s aims. The way a manager runs operations will depend on the type of company and the jobs required, the personality traits of the manager, how he was educated, and the employees’ personalities. Knowing the different types of management styles and choosing the one most suited to your manager and company is an important first step in running a successful business.

Businesses that use the right management style will have far more engaging, committed and productive employees.

Do your managers have an effective leadership style?

Looking at the different types of management styles is helpful to determine how your business is currently run and if there is a more effective technique to adopt. A typical management style that many companies were using was micromanaging their employees. Dr. Jennifer Hunt, a physician executive and leadership coach, claims this is “the least effective (method) and is being replaced by more team-oriented styles focused on delegating and empowering”. Managers who micromanage their staff, risk alienating employees and will have a work environment with little or no trust. This often increases employee dissatisfaction and burnout.

Some warning signs of an ineffective manager:

  • Demand for control
  • Lack of integrity
  • Apathy
  • Unethical behavior
  • Inability to communicate effectively
  • Little or no investment in employees

Did You know? Managers impact employee performance by up to 70% - Dropstat

4 Types of Management Styles – What Works Best for Your Facility?

Look at the following four management styles to determine which style best complements your managers’ strengths so they can lead their teams most effectively.

1. Coaching management style

A coaching leader strives to improve their employees’ long-term professional development. They are passionate about bringing out their employees’ potential and watching them grow. They will motivate their employees with growth opportunities by giving them more responsibility or a promotion. As they expand, the company expands too. A coach manager has a two-fold job. They must oversee their employees’ personal development while simultaneously keeping the team unified, as promoting individual staff can make others jealous.

Pros

  • The manager recognizes the individual employee for what they can contribute to the team.
  • Motivated employees – since they are offered promotions or greater responsibility to further their professional development.

Cons

  • An ununified team – the competition created by the rewards may lead to a competitive environment that is toxic for team unity.
  • Since the focus is often on long-term goals, the manager may become short-sighted on decisions and projects that are more immediate.

When to use this style: This is your best bet to build on your employees’ natural strengths for long term results. This works only when employees are ready to listen and open to change.

2. Autocratic management style

This management style is also famously known as authoritarian leadership. Tread with caution with this one. Although it can help keep things running smoothly and effectively, there is also the danger of becoming a micromanager and pushing team members away. Managers with this style are usually imposing, overbearing and can be stifling.

Pros

  • Quick decision-making – The process is much smoother since the leader is the only one with any say.
  • Effective handling of crises- it is well known that too many cooks spoil the broth. Having a leader who makes the decisions can be beneficial for short-term issues.
  • It relieves employees of work stress – Autocratic leaders run a tight ship which means that all of the company’s problems and decisions lie on their shoulders alone, thereby reducing employee responsibility and stress.

Cons

  • Disregarded employees – since it’s a one-man show, employees are often not recognized for their skills and value in the company. This leads to low morale and raises employee turnover to a whopping 78%!
  • Depending on the leader’s results is a show of incompetence. Since employees feel their managers’ control, they display less confidence and weaker decision-making skills.

When to use this style: This style is mainly suited when error-free performance is crucial for company decisions and issues with deadlines. This is not recommended in healthcare facilities where nurses have to make big decisions independently, and since you want to keep the nurse turnover to a minimum.

Only about 33% of employees feel engaged at work - Dropstat

3. Democratic management style

In democratic management, all the team members participate in the decision-making process before the manager makes a final decision. The culture in the company promotes that the employees’ suggestions and ideas are valued. The company management is a joint effort with the team boosting the employee morale and their relationship with the manager. This is a big contrast to the autocratic style.

Pros

  • It builds trust between managers and employees, which contributes to positive results.
  • Allowing team members to voice their opinions leads to more open communication and better problem-solving.

Cons

  • Consulting staff may become a time-consuming process
  • If the boss shows favoritism to some employees, this may backfire on the manager and lead to resentment and distrust.

When to use this style: Democratic leadership works best when team members already possess the skill and passion for their role and are enthusiastic about contributing their part to the team’s efforts.

4. Transformational management style

Managers using this leadership style get their company moving by being on the alert for new and innovative ideas and ways to expand. They want to see their team members going past their comfort zones frequently.
Pros

  • Ongoing growth – managers like this constantly push themselves and their team members past the status quo. They are on high alert for new
    opportunities and ways to succeed.
  • A motivated and happy team results in more productivity.

Cons

  • Pushing employees too much can result in them getting burnt out.
  • The desire to be new and innovative can cause the company to find itself in more projects than it can handle.

When to use this style: If you want to change your team’s outlook to a broader focus on the future and unite to reach a common goal.

Transformational leaders in healthcare enjoy the highest productivity levels and job satisfaction rates - Dropstat

The best leadership style in management for healthcare facilities

Transformational leadership is a management style that works well in the healthcare industry. With its revolving regulations, constant technological advancement, and ethics, it’s essential to have a manager who can adapt rapidly.

But any management style that helps:

  • retain organization
  • Adapt to constant changes and be future-oriented
  • Keep a respectful yet energetic and positive atmosphere

would be a safe bet to use in a healthcare facility.

How to choose the management style in your company wisely

When choosing the management style in your facility, these are 3 points to consider:

  1. Your managers’ personality, work experience, and skills – you can ask your manager to take a personality quiz to learn more about his strengths and weaknesses.
  2. The needs of your team – are they experienced or unskilled. In the healthcare industry, the nurses are trained and often very skilled. This will significantly impact the management style that you choose.
  3. Your business culture – The culture of your team is very important to how your manager leads them. The culture in the healthcare industry is constantly changing and advancing. In such a culture, the transformation method would be the most effective.

Being a manager is a tough job. Your manager can’t always be perfect in every situation. However, being aware of the best management style in your healthcare setting and making small changes, if necessary, will make a big difference for your employees and your business’s success.

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Dropstat empowers healthcare facilities to have autonomy over the use of their own staffing resources to increase quality of care while decreasing cost of care. 

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