It’s not surprising that finance managers have a lot on their plates when leading a team of finance and accounting employees, due to changes in the industry on an almost daily basis. This can lead to stress and an overwhelming feeling. When this happens, some financial managers might make mistakes at the office. Some mistakes involve the handling of personnel, while other mistakes involve investments of clients and the company.
Today, we will discuss five common financial manager mistakes and what you can do to avoid them.
1. Making Decisions Based on Old Performance Reviews
A very common financial manager mistake is that of making decisions about personnel based on old performance reviews. This is especially a poor decision when a new employee is promoted into the management position and then uses old employee reviews to make personnel decisions. The data from the previous reviews reflects on the performance of the old manager instead of the employees who were evaluated.
2. Treating All Employees the Same Way
Financial managers who treat all of their employees the same way will struggle leading a group of employees. We are not talking about being fair to everyone, but how managers motivate and stimulate their employees to perform well at work. Each employee is different, which is why financial managers must motivate their employees on an individual basis. In order to avoid this mistake, financial managers need to understand the strengths of their employees.
3. Failing to Communicate
Communication is a major part of the business world, but some financial managers have trouble communicating with their employees. Each manager is different, which means that each one has their own way of communicating. Not everyone will agree on how communication should be handled, but when their is a breakdown in the system, it can lead to major issues among employees and other managers within the company. Managers and employees must learn about each other’s styles so they can communicate effectively.
4. Not Assessing Properly
Financial managers might have trouble assessing employees and other issues at the office. This is a major mistake that can be fatal if not fixed immediately. Managers are hired to fix problems with employees, problems with other managers and issues within the organization. When a new manager is hired, they must meet with each employee individually to learn how they operate, what their strengths are and get some input from them about the company in order to succeed in the position.
#5 Failing to Show Curiosity
Some of the most successful financial managers are curious ones. They have no trouble with asking questions of their employees or their own manager. Many managers fail to ask questions because they view it as a sign of weakness. This cannot be further from the truth. Questions help managers learn about issues and determine what needs to be fixed.
If you work in the financial sector, be sure to avoid the five mistakes outlined above the next time you are promoted to a management position.