“Hanging out” with employees can lead to dangerous situations and possible trouble. Some employees that you do not hang out with may feel that you, as the manger, are “playing favorites” with the employees that are your “friends.” Others may feel that the relationship is inappropriate because it blurs the line between personal and business relationships.
Regardless of the danger of developing a friendship (I know it sounds funny, but it can be a problem), managers that are liked will be more effective, not because of some extraordinary management skill, but because the employees will be more willing to take the extra step, go the extra mile, work a little bit harder or longer, and treat the customers better. A positive work environment creates a positive employee. Positive employees treat customers better!
All of these advantages lead to more money for your company through increased sales, lower payroll costs, and better reputation through increased customer service. Have a competent, well-liked manager and your business will prosper.

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