A Glimpse into the Open Book Management Style in Business

Management styles have changed significantly since the “Booming '80s”. They've even changed enough in just the last eight to ten years and open book management is perhaps an anecdote to these older management styles. This style of management can greatly improve morale among employees and bring back the passion and vision they once felt towards the company.

You see, when employees don't or can't know what is going on behind the scenes, they can sometimes feel frustrated and alienated from their work. With the advent of the Internet and lightning fast electronic communication, it is becoming harder and harder for employees to grasp what is needed or wanted from their employers. Employers are trying to communicate their needs faster and hoping the employee can fill in the gaps themselves, when just the opposite is needed, more communication and information. Millions of business owners and corporations are having this same problem.

What exactly is open book management? It is the concept of being completely open with all employees about the company for which they are working. Each employee is encouraged to review the company’s books and participate in financial planning and business strategies. It's a process that involves each employee as an integral part of the business, almost as an equal business partner in the enterprise. It is also a management style that benefits those who wish to learn the business end of the details and is great on the job training in business. A lot of female-based organizations have been doing this for years. This could be because open book management style is a natural inclination in this gender and involves actually building relationships with fellow employees. However, lately it knows no boundaries.

It was mentioned earlier that this style of management greatly improves employee morale. It has been shown that this type of management makes employees more willing to help each other even if it involves something they are not usually assigned to do. It increases the mentality of we are all in this together so let's get the job done. It has also been shown to reduce the numbers of employees who call in sick, because it holds the employees more accountable. All this can greatly benefit the corporation overall by increasing the profits through harder working, more accountable employees who are willing to do whatever it takes to get it done.

Because of many new things in the workplace this open management technique is actually very useful in today's business world. Individual employees are more likely to be making their own decisions regarding matters because of the faster pace of office environments these days. Computers make work more efficient and therefore more can get done by each individual employee, having open book management helps each employee know exactly what is going on overall and assist them in making the most efficient use of their time.

Another phenomena that has occurred is less managers in businesses now than there used to be. With fewer managers and less time to divide over more tasks, individual employees must make split second decisions and do not always have time to consult with a manager. Open book management style helps the employee have more confidence in any decision he or she may make. Building relationships within the company can help immensely when it comes to profitability. With strong internal relationships it is easier and more likely a business will be able to build quality and strong relationships with its customers. Open book management encourages this type of relationship building.

Here are a few tips on making this management style work the best for you and your company. First of all remember to have real conversations with employees, build relationships, not the typical boss giving the employee a speech. Second be prepared for miscommunication, it can still happen to the best of us. If you are prepared than it is easier to get back on track and find solutions. Third ask questions, lots of them, ask ones that you don't know the answer to. It will make the employee feel more valuable when he or she is able to help you. Employee boards are also a great idea.

Strategic communication is a good idea also; managers need to be willing to take responsibility for 60% of the conversations. Lastly empower your employees, make sure they feel responsible for part of the company whether it fails or succeeds, accountability and some authority will make each employee feel valued and therefore work harder to reach the common goal. In the end open book management can definitely improve the overall quality of the business. By making everyone feel equally involved, each employee can take pride in the success of the business. When they feel pride their passion will increase and the possibilities are endless.