The Top 10 soft skills of an effective manager

When you become a manager, you will be more involved in strategic decision making, but also responsible for other people’s performance. You may feel a little out of your comfort zone. Leadership or management skills are not usually taught but learnt on the job.  

An effective manager helps their team be productive and deliver a high quality of work. They are strategists who can see things from different perspectives, know how to leverage the strengths of their staff and can create a positive work environment.  

While technical skills are important, it is the soft skills that help managers build strong relationships, inspire collaboration and enhance the productivity of their team. Soft skills (also known as transferable skills) are skills that apply to any role or industry. In this blog, we will explain the top 10 soft skills of an effective manager and provide advice on how to put these skills into practise in the workplace.   

Here are the top 10 soft skills of an effective manager. 

1. Communication skills 

The CSIRO reports that communication skills have seen the fastest growth in demand among all skillsets in Australia, with an average annual increase of 15.7% since 2009. Effective communication provides clarity as each person can understand your expectations and how their work contributes to the whole organisation. It reduces time wastage, increases productivity and builds engagement and trust which in turn leads to employee retention.  

How can I improve my communication skills? 

Schedule regular team meetings to encourage communication and share information. In these meetings you can report on company plans, project status’, challenges, and solve problems and set goals together. Encourage your team to come to you with new ideas, concerns and questions. 

Schedule one-on-one meetings with each of your team members to discuss their specific tasks, goals, how they’re performing, which areas they need to improve and any other concerns. With any task you set, always give clear instructions and expectations. 

Effective communication means conveying information in a way that person understands. Do not assume everyone works in the same way. For example, one person may need detailed instructions and a working partner, but another would prefer to be given a few points and work independently. One person may prefer everything to be written down, while another is happy to have a quick meeting face-to-face. Learn how each your team members learn, receive instructions and their working styles. Adjust your communication style accordingly.   

2. Active listening skills 

Listening skills is your ability to accurately receive information. Active listening is the process of hearing to understand. It means being present, attentive and listening closely to what the other person is saying.  

How can I improve my active listening skills? 

When your team member is talking, try not to interject but let them finish what they want to say. Show that you’re actively listening by asking questions or summarising their ideas. Maintain eye contact, nod and smile to show them that you are interested in their responses. 

Your team (or other teams) may have a wealth of knowledge on how to improve things such as workflows, business operations, marketing and customer service. Ask for their opinions and consider each of their perspectives. Their collective knowledge will help you make more informed decisions. 

3. Empathy 

Empathy is the ability to identify and understand other people’s emotions. They can ‘read’ how people are feeling and know how to respond. It is closely linked with emotional intelligence.  Out of 34 essential workplace skills, emotional intelligence was found to be the strongest predictor of performance, accounting for 58% of success (World Economic Forum).  

How can I improve my level of empathy? 

Try to see things from other people’s perspectives and value each person you work with. Be open to their ideas, opinions, feedback and be willing to improve. Even in challenging periods, do not let yourself be controlled by emotions, but remain encouraging, understanding and compassionate.  

4. Critical thinking skills 

Critical thinking is when you evaluate different sources of information in a rational and logical way to make an informed decision. You are aware of your emotions and biases and put them aside when necessary.  

Critical thinking skills include analytical thinking, being open-minded to new ideas and information, problem-solving, reasoned judgement and reflective thinking. For example, you may be presented with a new business opportunity or a market change has affected next month’s budget and plans. This will require you to look at historical data, business resources or financial reports to help you decide the next course of action.  

How can I improve my critical thinking skills? 

When a problem arises, research and collect relevant information from a variety of sources such as data and team input. Identify which information is relevant and helpful. Encourage your team to ask questions, challenge the status quo and come up with creative solutions together. Look at different perspectives and weight up options to determine the best solution.  

After the project ends reflect on whether the solutions you implemented together resulted in solving the problem. Think about the pros and cons of the experience to improve your next critical thinking process. 

5. Conflict-resolution skills 

Conflicts can happen in the workplace. Common reasons include miscommunication, creative differences, competing goals and poor work habits and ethics. In fact, up to 42% of a manager’s time can be spent in resolving conflicts.  

An effective manager knows how to bring the team together to resolve disagreements between members and draft up ways to move forward. Effective conflict resolution will improve team dynamics, productivity, and increase morale as employees will feel valued and heard. 

How can I improve my conflict-resolution skills?  

See conflicts as opportunities for the team to understand each other’s perspectives and work styles better. Bring together the people who have a disagreement and encourage an honest conversation. Understand each person’s perspective and focus on finding solutions instead of laying blame. Set clear expectations and timelines to keep the resolution on track. Schedule regular check-ins to assess progress and make any adjustments. If a resolution cannot be met, contact your human resource department to find out the next best course of action.  

6. Coaching and mentoring 

Coaching is helping your employees improve their performance and skills in specific areas such as communication or critical thinking. Mentoring is providing guidance and support for your employee’s career development. An effective manager can motivate each person to deliver their best work to meet company objectives while helping them grow and achieve their career goals. 

How can I improve my coaching and mentoring skills? 

Build a positive and respectful relationship with each employee and get to know the strengths, weaknesses and aspirations of each person. Adapt your coaching style to your employee’s needs and preferences. Some may need more guidance, while others prefer to come up with ideas of their own.  

In regards to mentoring, schedule a meeting to discuss goals for their career development and ensure they are aligned with the company’s objectives. You can create a professional development plan. Review their progress and offer support.  

Throughout the year, provide constructive feedback that helps each person grow and encourage them to do the same for others. Give opportunities for your staff to develop their skills, learn from their experiences and mistakes, and develop confidence in decision-making. Give recognition and reward your team when they achieve milestones. 

7. Adaptability  

The business world changes at a fast pace and new challenges occur every day. Budgets can decrease, new government policies come into effect, or deadlines have been moved up by a week. A Harvard Business School (2020) survey revealed that 21% of 1,500 executives from over 90 countries said that adaptability was the most importance quality in a leader. People who were adaptable to change were 24% more likely to be employed (McKinsey 2021).    

How can I improve my adaptability skills? 

See change as an opportunity for growth. Brainstorm solutions with your team, then develop and implement an action plan. Don’t wait for change to happen, prepare for change so that when it occurs, you can quickly adapt and leverage any opportunities. Help your team to do the same, so when things shift, they are ready and resilient.  

8. Delegation skills 

You are not expected to do everything on your own. The more senior you become, the less involved you’ll be in doing the day-to-day tasks. Delegation is about entrusting tasks to your team members that will empower them, help them grow and build trust. You need to loosen control and increase accountability. Micromanaging or trying to control every process does not foster trust, but instead reduce your team’s confidence and increase their anxiety levels.  

How can I improve my delegation skills? 

View delegation as an opportunity to help your team develop your skills. Focus more on strategy and loosen control over more administrative tasks.  

Write out a list of every task or project you have this month. Cross out the high-value jobs (e.g. developing a marketing strategy for a new property development). The tasks left are the ones you delegate. Align each task with your team member’s strengths and career goals. For example, if a team member has shown good communication skills, assign them to run the next quarterly update on your behalf. This will provide them the opportunity to gain influence and build a relationship with the executive team.  

For each task, give clear instructions and expectations and answer any questions the person may have. Establish a timeline and review their progress.  

9. Time management skills 

Time is precious and limited and you need to use it productively. As a manager, you’re not only managing your own work, but people as well so your daily ‘to-do’ list will be long. Then there are meetings, checking emails and your phone, other people coming to you for a chat or advice which reduces your time further.  

How can I improve my time management skills?  

Each day, focus on high-priority tasks that drive results and delegate tasks that you can’t fit in your schedule. Block out time to complete specific tasks. Try to minimise distractions (e.g. limit personal phone use).  

Working smarter, not harder will also benefit your team. To enhance your team’s efficiency, conduct a time audit where you can ask questions such as:  

• What tasks are taking up most of your time? 

• How long does it take for a specific task? Is there a more efficient way of completing it? 

• Are there higher-value projects that we should be working on? 

• Are there repetitive, low-value or time-consuming tasks that can be done by other tools or technology?  

10. Problem-solving skills 

Your team will come to you for answers and discuss any concerns. You will need to handle difficult situations and overcome business challenges. Managers who can problem solve will help improve workflow efficiency, improve job satisfaction and team cohesion.  

How can I improve my problem-solving skills?  

First, you need to identify the problem and the source of it. For example, packages are not being shipped on time because there’s not enough staff in logistics. Talk to your team, other departments or conduct research to get different perspectives. Second, you need to find solutions. You can seek input from your team, manager or organise a brainstorming session with relevant stakeholders. Third, select the best solution and develop a plan of action. Fourth, Track, adjust and review the solution you implemented so that the problem does not recur.  

Develop your leadership skills and invest in your career. Our MBA will provide you with the expertise and practical skills to succeed in the world of business. Read our Ultimate Guide to doing an MBA in Australia to discover how an MBA can help advance your career.