Success with modern leadership styles

Gone are the days when strict hierarchies dominated the world of work and employees treated their superiors with fear and awe.

At the top of modern companies today are leaders who encourage their employees to make their own decisions and take responsibility. Managers who see the entire company as a team and themselves as a team member. Managing directors who treat employees as equals, give them room to maneuver and know how to motivate them.

Modern management styles are the keyword. But what exactly is behind this? How does contemporary leadership differ from the leadership techniques of the past? What types of leadership are there and do they work just as well in practice as they do in theory?

Definition: What are modern leadership styles?

The demands on a company’s culture have changed and traditional management models are no longer compatible with the dynamics of the times, flat hierarchies, agile structures and flexible working time models. Instead of hierarchies and the exercise of power, management models are needed in which managers communicate clearly and transparently and involve employees in decisions and, ideally, delegate responsibility.

Modern managers are credible and authentic role models, gain the respect of employees through collegial behavior, live the company’s values, inspire trust and are more mentor and advisor than boss. This is the only way to motivate and retain young people of generations Y and Z in particular, but not just them, but all employees today.

What classic management models are there?

In sociology and philosophy, many clever people have dealt with various leadership techniques, for example Max Weber and Kurt Lewin. But before we go into detail, let’s take a look at the two basic approaches: In one, the leader focuses on the person and in the other leadership style focuses on performance and tasks.

Personal management technique

This management style focuses on the needs and expectations of employees. Employees are seen as true partners. Supervisors achieve this by giving praise and recognition, providing constant feedback and, above all, offering support in the event of problems and challenges.

Performance-based management technique

With this management style, the focus is on performance and the individual with their wishes and ideas takes a back seat. What counts is maximum competence, a high level of motivation, personal initiative, taking on as many tasks as possible and achieving sales targets as quickly as possible.

Then and now: an overview of management types

Most of us have encountered different types of leadership with different management methods in our professional lives. Our experiences range from autocratic superiors or authentic managers to chummy managers or particularly dominant bosses.
Almost a hundred years ago, sociologists and social psychologists tried to categorize the individual leadership styles and gave them names.

Kurt Lewin, for example, differentiated between authoritarian, democratic or cooperative and laissez-faire leadership styles. Max Weber, on the other hand, spoke of patriarchal, autocratic and charismatic leadership behavior. Some of these leadership styles are still relevant today and help define the world of work.
Other modern leadership styles have parallels to one or other of Lewin and Weber’s examples or require completely new definitions. The most important of these include

The agile leadership model

This modern management style is characterized by the high degree of responsibility and initiative given to employees and teams. Employees largely organize themselves and make decisions as a group. There is no longer a boss in the true sense of the word; instead, the boss is a team member and partner at eye level. The advantages of the agile management model are a high degree of flexibility and adaptability, which allows the company to react quickly to changing circumstances.

The coaching type of leader

In this modern management style, managers act as coaches rather than bosses. They develop their teams and each individual employee according to their skills and abilities – always with the aim of exploiting the maximum potential of the workforce. Managers give employees plenty of room for maneuver. Empathy and trust form the basis of this type of personnel management, which is particularly popular with creative employees.

The participative management style

The opinion of employees is clearly sought after in the participative management model. They get involved and play a key role in shaping the company environment, even if the final decision lies with their superiors. The more qualified the staff, the better this management technique works. Those who like to be led have no future here. Ideally, employees show a high level of motivation and willingness to perform thanks to their great opportunities for participation.

The virtual manager

What does leadership success look like in a purely digital corporate culture? Authoritarian or autocratic management methods won’t get you very far when all employees are working from home. Due to the physical distance and lack of personal interaction, there needs to be clear communication. Regular online meetings are just as important for smooth collaboration between team members as the use of collaboration tools. For a greater sense of togetherness and less potential for conflict, managers should involve their employees in decision-making processes as often as possible in an exclusively networked working environment and keep all processes transparent.

The future of work: modern management styles

Modern management styles should not be underestimated. After all, a modern corporate culture has a direct influence on the company’s success.
While it used to be taken for granted that employees would subordinate themselves to the demands and requirements of the working world, today it is increasingly the corporate environment that has to adapt to the wishes of employees. Good workers are rare. Managing directors who have built up a great, functioning team should do everything they can to keep it.

However, this can only be achieved with a new corporate culture including a modern management style that is characterized by empathy and mutual respect and trust.
This does not mean that managers should completely hand over all decisions. However, employees should be involved and, as part of the company, have a voice and influence on their direct working environment. If this kind of appreciation is lacking, employees will quickly leave – and there are currently enough alternatives.

This is an important enough reason, but it is often forgotten that companies with modern management styles are generally better positioned. This is because modern management styles fundamentally and sustainably bring with them a high level of employee motivation. And who doesn’t want that? Employees who feel that they are in good hands in the company are naturally more committed and productive and are even less likely to fall ill.

Modern management style: implementation and tips

Companies that want to succeed in the modern world will therefore have to rethink and change their management methods in the foreseeable future. Hierarchies and pressure to perform have had their day and tend to discourage employees from getting involved and committing to a job in the long term.

Changing to a modern management style is, of course, a process that does not happen overnight and affects many individual aspects of personnel management. However, even “old hands” at the top of a company should start to loosen up decision-making processes and discard autocratic behavior. A modern management style has many facets and can be implemented step by step as follows:

Collegial, cooperative leadership behavior

Treat your employees with respect and not with superiority. As a manager, you may have more power on paper, but you should not insist on this, but rather see yourself more as a team member or partner. This includes, for example, asking your employees for their opinions when decisions are to be made that affect the working environment and beyond.

Trust and tolerance

As a managing director and manager, you bear the greatest responsibility for the company. Nevertheless, give some of it to your employees. This kind of appreciation noticeably increases motivation, because trust is much more motivating than pressure and encourages employees to make the most of their skills. And apart from that, you may even prefer to come to your company every morning.

Authentic managers

Modern management style is not new wine for old wineskins and cannot be put on like a smart suit in the morning and taken off again in the evening.
What does the company stand for? What philosophy is practiced? It is important that you as the head exemplify the corporate culture, are convinced of it and demonstrate a personal attitude. This is the only way you can remain authentic and credible and manage to inspire the individual team members and get them excited about your goals.

More coach than boss

Every team needs a coach. Real strength has never been shown through the exercise of power, but has always been shown through support and willingness to help. As a modern type of leader, you advise and support your team, but don’t forget that it is sometimes better to part ways with individuals. You should communicate decisions like these with empathy, clearly and openly.

Being empathetic and not just showing empathy

Misanthropy is not a good prerequisite for leadership success. If you want to convince employees of yourself and the company, you should be seriously interested in team members growing with their tasks. Positive feedback should never be spared so that it comes back to superiors in equal measure.

Moving with the times

The world of work has changed and will continue to change. It is easier said than done, but it is important that you as a manager know about digital tools and agile structures and learn how to use them. This is the only way young employees will perceive you as modern, open and therefore future-proof.

Strong team spirit

One for all, all for one: it goes without saying that each individual team member should give his or her best. However, the overall performance as a team is much more important than it used to be. Promote diversity and team spirit in your company and benefit from effective collaboration between people with different skills and backgrounds.

Conclusion: modern management styles in companies

Even if modern leadership behavior initially requires a lot of work on your own personality, your own development is essential in order to lead in a sustainable way and remain attractive to employees. Not all changes can be implemented immediately or work in the respective corporate culture, but the development towards flat hierarchies and more responsibility for the team is the necessary step towards the future.

In addition to special management techniques that are based on empathy and flat hierarchies and promote employees’ own initiative and willingness to perform, open communication and transparent work organization are also important.

The modern personnel planning software Teamhero supports you in these tasks. It is tailored to the requirements of the digital working world and offers many advantages for managers. Whether you need an overview of the skills of individual team members, recording of working hours, absences and vacation days, recruitment or the creation of duty rosters, Teamhero guides you confidently and intuitively through personnel administration and payroll accounting.