Employee Management | 11 mins read

An Inside Look into Employee Management

an inside look into employee management
Mary Kate Morrow

By Mary Kate Morrow

What is Employee Management?

The term employee management is commonplace in the business world which is unsurprising when considering that human capital is the most valuable resource a company possesses. Employee management is defined in many different ways, covering a wide range of functions, activities, and processes.

One common definition of employee management is in regards to maintaining and sustaining employee performance through utilizing a variety of strategies and procedures. Another definition of employee management is the interactions, measurements, and monitoring of direct reports performed by a management employee.

Yet another definition of employee management encompasses procedures that aim to increase the productivity, motivation, and performance of team members on staff. Employee management is crucial for everything from increasing bottom line profitability to achieving business goals successfully.

In fact, employee management comprises everything from the acquisition of new hires to the performance of employee exit interviews. From employee engagement levels to employee development initiatives, there are many skills that make up successful management professionals.

There is a wide range of performance management skills that can be learned and developed through education and experience. Management skills to look out for include-

1. Problem Solving

Senior management professionals recognize how important problem solving skills are for properly executing their role. Not only should a management employee be able to identify an issue, but they must be able to identify a solution.

Oftentimes managers must consider a wide range of issues at the same time and make sure that their ultimate decision is both well informed and effective. It is important that employees feel that their senior management professionals are great problem solvers.

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2. Interpersonal Skills

A successful manager will make sure that their employees feel valued and heard. If a manager is unable to work collaboratively with team members both company culture and bottom line profitability are negatively impacted.

Properly managing employees requires interpersonal skills that include the ability to effectively communicate with each team member individually.

3. Motivational Capacity

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Most managers will utilize a mixture of extrinsic and intrinsic motivational techniques to keep employees motivated in the workplace. When employees feel motivated, both employee engagement levels and the overall company culture are positively influenced.

Senior management can even utilize their motivational talent in order to impress stakeholders and investors.

The 4 Functions of Employee Management

Henri Fayol first defined the main elements of management. Contemporarily, the 4 primary functions of employee management consist of organizing, controlling, leading, and planning.

Understanding what each of these 4 main functions consists of can help with managing employees more effectively. The 4 functions of employee management consist of-

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1. Organizing

A great manager helps to give employees direction and keep them organized. There are many ways that organizing plays into the managerial role, from project management of teams to performance management of individual employees.

Project management examples of when organizational skills are necessary include any time that a manager must redistribute tasks amongst team members in order to meet a project deadline. Additionally, management can improve employee engagement levels by making sure that each team member is assigned to the correct roles and tasks.

When employees know that their manager will best utilize their specific skillsets, education, and experience, both managers and their employees feel more organized and efficient.

2. Controlling

Although the word often has negative implications or associations, control is a primary function of effective employee management. While micromanaging is not effective, managing employees necessitates a certain level of quality control.

A great management system encompasses not only individual employee performance management but additionally monitors the quality of work produced.

3. Leading

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Any senior management professional knows that leadership is key to effective employee management. Proper leadership requires confidence when delegating team members their tasks every day and supervising long term employee development objectives.

Leadership is required for both smaller scale interactions and throughout large scale initiatives. For example, a growing business may require more extensive people management skills than every day managing necessitates.

Alternatively, everyday workforce management may focus primarily on helping employees with their daily tasks.

4. Planning

Successful businesses are those that create great objectives and accomplish them. A primary responsibility of senior management is to help form and meet established company objectives.

In order to plan and accomplish objectives, human capital and other resources must be expertly managed. Many tools help management employees accomplish company objectives including management software and management system programs.

Proper planning encompasses a wide range of managerial skills, from performance management to time tracking capabilities. For example, during project management a management employee may need to keep a team member on course through both time tracking along with consistent employee performance feedback.

Beyond managing employees individually, planning responsibilities extend to sharing project timelines and company objective progress with stakeholders and other team members in high leadership positions.

How to Improve Employee Management

There are many best practice tips available for improving employee management capabilities in the workplace. These tips range from opening communication to investing in management software programs.

5 best practice tips for improving employee management include-

1. Opening Communication

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Case studies show that 81% of employees would accept a role at a company where open communication is valued over alternative perks. However, case studies have also shown that a mere 15% of employees are currently satisfied with their own company's communications with them.

Thankfully, there are many ways that management can give employees more opportunities to communicate effectively. Many already present workplace tools help communication including social media and management software chat functions.

A proper management system also includes other tools to assist in communication efforts including consistent employee engagement surveys and promoting a management employee open door policy.

2. Building Trust

Trust is an essential component for improving employee management capabilities, with employees who trust their leaders 1200% more likely to be invested fully in their role. Unfortunately, case studies show that a mere 46% of employees feel satisfied with the trust their managers have in them.

There are various techniques to help employees feel that management trusts them more. Prominent managerial mistakes that damage trust includes micromanagement and personal social media account monitoring.

Proactive managerial techniques for building trust include making sure to keep employees informed about business affairs and appropriately dispensing feedback.

3. Assisting Employee Development

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72% of employees feel that their management is uninterested in their individual career growth. A shocking 32% of employees that quit their job cite a lack of employee development opportunities as their primary reason for resigning.

Many companies lure new hires with lofty promises of employee development opportunities and a company culture of continual growth. Too often, new hires join a company ready to grow and are disappointed to find that employee development was a hollow HR management promise.

Employee development is necessary for maintaining employee engagement and sustaining a company culture that is human capital focused. From one on one performance management appointments to occasional outside conferences, there are many ways that small business owners and senior management professionals alike can provide their staff members with employee development opportunities.

4. Setting Objectives

Nothing brings a team together like working towards a common goal. Although personal employee development goals are important, company objectives must also be considered a top priority.

Ideally, personal employee development goals and company wide objectives can intersect. In this scenario, employees feel that they are working to benefit themselves individually and the company concurrently, which can majorly increase employee engagement levels in addition to the entire company culture overall.

5. Software Investment

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Employee management software offers a business owner or management employee with a comprehensive management system in a centralized place. Many management software programs even have their own social media type communication platform to encourage employee participation.

Management software is a great space for employees to interact not only with other team members but also senior management personnel. When employees feel excited to utilize a management system platform, company culture and employee engagement levels are both positively influenced.

The bottom line is that employee management software offers many outstanding benefits for either a small business or large corporation.

What is Employee Management Software?

Due to all the benefits that it provides businesses, employee management software is becoming increasingly popular. Built in tools help managers make sure that everything from time tracking to long term company objectives are accomplished efficiently and effectively.

Employee management tools and software include-

1. Performance Monitoring

A management employee can only physically be at one place at one time. Employee performance monitoring tools are immensely helpful for keeping employees accounted for and on track.

Performance tools help managers make sure that tasks are completed in a timely fashion. For example, built in time tracking tools can show exactly how long employees worked on a specific project.

2. HR Management

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Human resources management software is a great tool to help with many common HR functions including onboarding new hires and long term performance management initiatives. HR management software is also an excellent tool to help manage employee data and keep information organized.

3. File Sharing

A management system must make sure that employees are provided access to up to date documents. File sharing tools are extremely helpful for keeping documents secure and accessible via cloud based platforms.

File sharing tools are beneficial for project management as they support the ability of employees to work with one another collaboratively.

4. Project Management

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Project management tools are primarily used to manage projects and the employees working on them. With just a few clicks, managers can perform a range of project management functions, from designating tasks to rescheduling activities.

With mobile accessibility, employees know they can check in on the project at virtually any time. Easy accessibility and real time updates help keep employees accountable and increase employee engagement levels.

5. Employee Communication

With so many different communication channels available, team members and even senior management professions may feel overwhelmed. Instead of having multiple conversations happening concurrently on different platforms such as through social media or company email, communication can occur in one centralized location.

Many communication platforms offer intergration capabilities with other platforms in order to further simplify workplace communications.

5 Benefits of Employee Management Systems

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Whether the responsibility is assigned to a business owner, human resources professional, or management employee, or shared collaboratively, managing employees may be simplified with the right tools and software. There are substantial benefits of investing in and implementing management system tools.

5 benefits of utilizing a management system include-

1. Employee Engagement

Case studies reflect that 70% of employees are unengaged in the workplace. Through a management system and employee development tools, low engagement rates can be combatted.

When a team member feels invested in and valued, their employee engagement rates are positively influenced, and the entire company culture is benefitted.

2. Data Security

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From social security numbers to bank account information, employee data is crucial to safeguard. Unfortunately, human resources databases are a common target for internet hackers.

From data encryption to authentication prompts protecting employee data, human resources can keep employees safe and secure.

3. Compliance Adherence

Workforce management systems provide easy access and reference for human resources professionals and business owners alike. The ability to produce information upon request is invaluable for avoiding potential litigation and compliance violations.

Some workforce management programs will even proactively notify human resources professionals when certifications or compliance documents are close to expiration.

4. Data Analytics

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Human resources professionals and managers are increasingly looking to employee data for guidance and insights. Data analytics and metrics are helpful for a wide range of HR functions from identifying the source of high employee turnover to understanding how new hires are best onboarded.

Some management software can create engaging graphs and reports with just a few clicks. With these reports in hand, senior management professionals can confidently enter stakeholder or investor meetings.

5. Workforce Management

A primary objective of workforce management is to make sure that processes are efficient and effective. An employee management system helps to avoid repetitive or unnecessary administrative tasks.

Utilizing a management system to automate tasks decreases human error and increases employee engagement levels.


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  • The ability to manage employees effectively requires many skillsets ranging from problem solving to interpersonal communication skills.
  • Employees need a leader that they can trust, additional tips to improve employee management include supporting employee development and opening communication channels.
  • Employee management software has built in tools that assist with time tracking and employee performance monitoring.
  • A management system simplifies and streamlines everything from data analytics to compliance adherence.

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