Management Theories

Business: AQA A Level (2023 Specification), topic 2.1.2

Tannenbaum and Schmidt's Theories on Management

Theorists Tannenbaum and Schmidt also propose their own theory about different styles of management & leadership. They show this on their 'management continuum'.

The management continuum

The management continuum

Left of the continuum

Left of the continuum

  • At the far left of the continuum, managers maintain full authority and decision making power.
  • At the far left of the continuum, managers communicate such decisions to employees who have to comply.
  • The left of the continuum is similar to an approach of autocratic leadership.
Right of the continuum

Right of the continuum

  • At the far right of the continuum, employees are given authority and decision making power.
  • The right of the continuum is similar to an approach of democratic leadership.
Stages on the continuum

Stages on the continuum

  • Towards the left of the continuum, employees are still informed of decisions, though will be involved in discussions to provide employee buy-in.
  • Towards the centre-left of the continuum, employees are invited to question and debate ideas, though overall authority is still maintained by the manager.
  • Towards the centre of the continuum, employees are given an opportunity to inform and challenge decisions and their views may be considered and taken into consideration.
  • Towards the centre-right of the continuum, employees are actively asked questions and are encouraged to make contributions.
  • Towards the right of the continuum, employees are given defined freedom to contribute and make decisions.
Changing styles of leadership

Changing styles of leadership

  • If there is a state of emergency, managers and leaders may prefer to retain all decision making and authority.
  • If managers and leaders require communication to be fast, for example in cases of emergency, like BP’s Deepwater Horizon oil spill which killed 11 people in 2010, a position on the left of the continuum may be appropriate.
  • If employees’ views are valued, managers and leaders may adopt a position on the right of the continuum so that these views can be gathered from employees.

Test yourself on Management Theories

  • When will democratic leaders switch to an autocratic style of leadership?

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