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Personnel management

Methods, definition and styles

Whether a team is goal-oriented and works together harmoniously is largely decided by employee management. This is by no means an easy task, but with a little practice and concrete recommendations, as a good leader, you can learn how to lead your own team effectively.

But first, it's extremely important to understand what employee management and development really mean – and what they do not. This basic knowledge is absolutely necessary in order to select the appropriate methods for your own employee management from various strategies and techniques and to use them in a targeted manner for the success of the company.

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Definition of management:
What is it and what constitutes good employee management?

Employee management is generally understood to mean the targeted influence of managers on individual employees and groups of employees in order to achieve a specific, predetermined goal.

Management represents what you as a manager probably understand as leadership management on a daily basis: You act as a motivator, a godfather/godmother, a mentor and as a supporters in one person and in different roles, without counteracting the company's goals. A good manager who is entrusted with the management of employees can therefore harmoniously combine both target aspects, i.e., the further development and management of employees as well as the company.

It is also a fact that good management influences the behaviour and working methods of employees. So employee management is also about development. Basically, managers should pursue the following goals:

  • Increasing employee motivation

  • Creating a sustainable atmosphere of loyalty in the team or department

  • Increasing the personal motivation of each team member 

  • Promoting professional and personal development, including improving the skills and competencies of employees

  • Improving overall productivity in the company

  • Optimising the existing working atmosphere

Leading employees and managing employees: What is the difference?

In addition to appreciative communication, as a boss or leader, you should be able to effectively plan and delegate to achieve the best results for your team and department.

(Organisational) management is merely a formal position or function of a person. (Systematic) management, on the other hand, is disconnected from the official position and receives its legitimacy from the leaders of the respective team. However, it is perfect when a personality combines both roles.

So, if you are only looking for someone to lead (or manage), make sure that you choose someone who has the right combination of skills and qualities. The prerequisite for this is that the respective person has an engaging and motivating charisma, promotes the communication of all participants and creates a fruitful working environment for all – in which respect is not lip service, but part of the corporate culture. Otherwise, you may end up with a department that is organisationally well managed by a manager, but lacks the necessary leadership skills and motivation. And this is exactly what is essential to anchor successful management and development in companies and to encourage better team performance.

Direct and indirect employee leadership:
Two sides of the same coin

The management of your employees can take many different forms. But all management styles fall into one of two categories: direct and indirect management.

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  2. Direct employee management is about the concrete, situational and individual implementation of methods and measures by the manager in the field of relationships with their own employees. These include motivation, inspiration, communication, evaluation, criticism and praise. The manager intervenes in a supportive manner so that employees can effectively perform their tasks on the job.

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  4. Indirect management, on the other hand, refers to all overarching framework conditions of employee management in the company. Criteria and guidelines such as management styles, appraisal and promotion policies set by management. Indirect management sets the general tone and direction in which a company should operate.

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Successful personnel management These three styles are most commonly used

You have probably encountered these rather extreme management styles in your professional life: the supervisor with a tendency to withdraw completely or one having a pronounced desire for control.

Of course, there are also styles that lie between these extremes. But basically three types or styles of leadership and development can be identified.

In the authoritarian or hierarchical management style, managers make decisions without involving their own employees. This style is characterised by control, command and correction. Employees do not have any leeway for their own decisions here. The advantages are obvious: Decisions are made very quickly and internal processes are unambiguously regulated. However, the disadvantages and problems that arise from this outweigh and can damage the climate in the long term. This is because the independent action and thinking of employees is forgotten and a climate of dissatisfaction takes hold in the company, which certainly deters applicants – and possible terminations/resignations entail.

In the authoritarian or hierarchical management style, managers make decisions without involving their own employees. This style is characterised by control, command and correction. Employees do not have any leeway for their own decisions here. The advantages are obvious: Decisions are made very quickly and internal processes are unambiguously regulated. However, the disadvantages and problems that arise from this outweigh and can damage the climate in the long term. This is because the independent action and thinking of employees is forgotten and a climate of dissatisfaction takes hold in the company, which certainly deters applicants – and possible terminations/resignations entail.


The laissez-faire management style is a good way to let employees decide freely which of their tasks they choose and consequently tackle. The team always acts flexibly and can optimally position itself according to strengths and weaknesses. Managers are relieved of tasks and thus unburdened. However, this management style also has disadvantages that cannot be ignored. One of the greatest dangers is that structures and relationships can develop chaotically if employees do not have a contact person or internal conflicts are not resolved. In addition, the further development of a team or a department can no longer be driven forward if a manager who leads the team is missing. And certain employees who need leadership could lose orientation and abuse the freedoms granted – even unconsciously.

The laissez-faire management style is a good way to let employees decide freely which of their tasks they choose and consequently tackle. The team always acts flexibly and can optimally position itself according to strengths and weaknesses. Managers are relieved of tasks and thus unburdened. However, this management style also has disadvantages that cannot be ignored. One of the greatest dangers is that structures and relationships can develop chaotically if employees do not have a contact person or internal conflicts are not resolved. In addition, the further development of a team or a department can no longer be driven forward if a manager who leads the team is missing. And certain employees who need leadership could lose orientation and abuse the freedoms granted – even unconsciously.


The cooperative management style enables and encourages employees, for example, through regular feedback and employee appraisals, to work independently, to make decisions and to address conflicts openly. The aim is to motivate employees and strengthen the company or team together. This type of management is so advantageous because, in addition to increased employee motivation, it leads to a division of responsibility. However, a disadvantage of cooperative management is that the decision-making processes can be very time-consuming. In many companies, this problem can lead to a stop in further development. In addition, success ultimately heavily depends on the commitment of each individual employee.

The cooperative management style enables and encourages employees, for example, through regular feedback and employee appraisals, to work independently, to make decisions and to address conflicts openly. The aim is to motivate employees and strengthen the company or team together. This type of management is so advantageous because, in addition to increased employee motivation, it leads to a division of responsibility. However, a disadvantage of cooperative management is that the decision-making processes can be very time-consuming. In many companies, this problem can lead to a stop in further development. In addition, success ultimately heavily depends on the commitment of each individual employee.


To avoid management mistakes, we have four tips for you:

Give your employees time

Appreciation and respect are also expressed in opportunities – and how much space and attention you give your employees. Listen actively and take the team's problems seriously. In the best case, you already have a solution ready.

Be authoritative

Nothing is worse for employees in the vote than unreliable statements that remain in the realm of the imponderable and unclear. The following applies: Show your colours and speak plainly. Pay attention to your wording and do not use convoluted terms, but clearly communicate goals, responsibilities and problem-solving measures.

Make decisions

Executives and bosses often shy away from (unpleasant) decisions. Be binding here as well and do not wait too long. The fact that you sometimes get it wrong with a decision is (unfortunately) part of your business – and your role.

Give your employees creative freedom

Do you suffer from control mania? All too understandable if things are not yet running properly in your company or team. Yet going into micromanagement is the wrong direction to take. Learn to delegate (better) to employees you have developed for this purpose.

Conclusion: Choose the right style for your company when it comes to employee management – and make long-term decisions

In today's rapidly changing world of work, the most successful leaders are those who are able to align their employee management style with their needs. In particular, the cooperative management style offers a number of advantages in terms of employee satisfaction and development.

By involving your colleagues in decision-making processes, you create a basis of trust and a climate of personal responsibility. And this in turn leads to more motivation and productivity in the job. Furthermore, cooperative management fosters a climate of trust and open communication, which is imperative for effective teamwork. The ability to adapt and change has become a key competence – not only for employees, but increasingly also for companies.