Category: BLOG, Employee Engagement.

Understanding People Management and Its Benefits

People management involves acquiring, optimizing, and retaining talent. A well-managed team has morale, optimal performance, and good relationships.

The relationship between employees, managers, and executives can make or break a company. Without nurturing and empowerment, skilled employees leave for better working conditions. More than 60% of companies admit that it’s harder to retain employees than hire them.

As the saying goes, employees don’t leave companies; they leave their managers. Some people disagree with the statement, and in some cases, rightly so. However, statistics show that most employee motivation comes directly from the managers. Motivated employees are more productive, creative and about 87% less likely to quit.

Richard Branson, founder of The Virgin Group

Clients do not come first. Employees come first. If you take care of your employees, they will take care of the clients.

Richard Branson, founder of The Virgin Group

These facts highlight the importance of people management skills in any organization. Let’s discuss people management, why it’s essential, and what specific skills are necessary to succeed with people management.

What is People Management?

People management or person management is essentially about building solid relationships at work. It includes training, guiding, and motivating employees to enhance productivity and performance.

Leaders with such skills have excellent relationships with team members. The skills required are easy to learn and enhance through practice and experience.

Benefits of Effective People Management

Leaders such as chief people officers use people management skills to ensure effective workflows. These skills help employees grow in how they relate with each other, work, and behave to benefit the business.

  • Workplace Morale
  • Low morale leads to low engagement, low job satisfaction, high burnout, and high employee turnover. Having the right people management strategies enhances work satisfaction. It also helps the team take ownership of their duties.

  • Increased Productivity
  • People management is about coordinating teams to enhance efficiency and productivity. It starts by hiring the right people, training them well, and collaborating with them.

Benefits of Effective People Management

1. Motivation

In any organization, motivation is the key to success. Motivation involves other aspects besides financial incentives. The methods to inspire motivation are diverse, and vary depending on factors such as the type of work environment and employee profiles.

Leaders are crucial to motivation, as they can make employees feel comfortable enough to be creative.

2. Communication

Communication is an essential aspect of people management. Workplace communication should be clear, accessible, and impartial. It’s best to maintain proper communication channels, with space for contributions and suggestions.

3. Teamwork

Effective teamwork requires all members to understand their roles and align them with the company’s goals. The best way to achieve this is through effective communication, transparent goal tracking, training, and collaboration.

If you’re looking for an OKR software solution to help you transparently manage and track your team’s goals, look no further than Profit.co! Sign up for a free trial today and see how this powerful tool can help motivate your team.

4. Knowledge and Development

Analyzing employee skills and knowledge helps identify every team member’s strengths and weaknesses. In areas where some skills are lacking, the company will know exactly where to focus the training.

The 5 Key People Management Skills

Dr. Travis Bradberry, the cofounder of the emotional intelligence training software TalentSmart, stresses the importance of these people management skills. If you want your best employees to stay, it’s essential to be mindful of how you treat them.
“Good employees are tough, but their talent gives them many options. You have to make them want to work with you.”

Some essential skills you need for influential people management are:

1. Active Listening

How leaders communicate with employees determines the relationship between them. Before responding, it’s essential to listen actively, even when you disagree with the views presented.

Active listening doesn’t come naturally to everyone, but it’s easy to learn. Non-verbal cues help to show your engagement and understanding.

How to Develop Active Listening skills?

  • Encourage questions from employees during discussions and be considerate
  • Understand the other person(s) perspective before you respond
  • Be mindful of your body language

2. Empowering Employees

Empowering employees involves helping them acquire new skills to increase productivity. It also allows them to choose what’s best for them within your company.

Empowering your team builds trust and shows you’re confident in their abilities. Every person’s contribution will ensure positive outcomes and sustainability.

How to Empower Employees?

  • Offer team members independence on assignments
  • Provide adequate support for challenging projects
  • Provide constructive feedback
  • Allow room to adjust standard processes and workflows to enhance productivity.
  • Ensure enough training, resources, and development opportunities

3. Flexibility

Effective people management requires knowing when to be firm or flexible. Flexibility means accommodating what team members need to perform tasks effectively. Some examples are flexible schedules, remote work, and flexible personal workflows.

Every team member has unique qualities and ways of performing their duties. There’s no single way to manage your whole team. You have to understand them individually to provide the right environment for them.

You can analyze the individual’s process and make suggestions or revisions to optimize efficiency. It boosts productivity, loyalty, and trust.

How to Demonstrate Flexibility?

  • Try to see the end game or bigger picture by noticing things from their perspective.
  • Demonstrate genuine understanding and support during a crisis
  • Offer one-on-one communication where necessary

4. Trust

Trust requires you to believe in your teams’ abilities to finish tasks correctly and on time. They need to know that their leaders have faith in their work and support them.

You can establish trust with your employees by performing your duties and availing yourself when asked for help. Try offering constructive criticism to help enhance work quality and skills.

How to Build Trust

  • Keep any promises you make and be realistic about expectations.
  • Avoid micromanaging, give your team time and space to finish tasks
  • Offer support on challenging tasks when the risks are reasonable
  • Back up your decisions with data and transparent explanations

5. Leadership Skills

An influential people manager can lead a team towards growth, progress, and success. They need to provide motivation, engagement and boost team performance to achieve the business goals.

Leaders should manifest confidence, optimism, and decisiveness to set good examples for the team. It’s how employees develop respect to follow their leaders.

How to Improve Leadership Skills?

  • Be resilient and companionable.
  • Set an appropriate example and be a role model in your behavior
  • In case of mistakes, take responsibility without losing enthusiasm and hope
  • Inspire your team by reminding them of the goals and purpose

How to Develop and Improve General People Management Skills?

As a leader, understanding your employees and management style will help you apply your people management skills. It’s a skill set like any other, so you can learn, practice, and master these skills.

First, identify your strengths and areas that need improvement. It’s the best way to nurture specific people management skills.

Some practical tips for managers are:

a) Select Particular Skills to Work on

There are many skills involved in people management. Pick one skill, learn more about it and determine how to apply the knowledge at work.

b) Sign Up for a Professional Course

If your company doesn’t have a training program, find out if you can get sponsorship to take the course online or another institution.

c) Ask for Feedback and Suggestions from Other Managers

It helps to hear how other leaders implement their people management skills. Talking to people in similar roles enables you to understand how to grab opportunities to practice.

People management is an essential part of your business regardless of your industry or even the size of your business. Follow these tips in order to reap the benefits of proper people management.

Additionally, consider implementing an OKR management software such as Profit.co to help transparently track goals, communicate with your team, and take aligned action whether you’re working in an office or completely remote. Schedule a free demo with our OKR experts to see how Profit.co can help you succeed!

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