The way a business is managed is a factor that greatly affects the success of a company. Managers handle the people in the company; and the way they handle the employees, in turn, affects the company itself. A manager could either follow a participative view or an autocratic view.

A manager following an autocratic view of power follows only his personal scrutiny of things; he does not share his power by accepting the views of the employees under him. On the other hand, a manager who follows the participative view of power is more employee friendly compared to and autocratic manager. He entertains the points-of-view of the employees he manages and the employees are said to be participating in the management of the business. This managerial approach will give the employees an air of importance and in turn, each employee will feel responsible for the company itself. This care for the betterment of the organization will greatly improve the company.

This participative approach in management is useful for many companies (however, it does not imply that it is helpful to all types of companies). For this, it should be noted that managers should always be updated of the best possible managerial approach with respect to the approach’s appropriateness to the business.