Open-book Management definition
Open-book management is a management approach whereby employees are provided with company financial information to enable them to make better business decisions.
Open-book management is underlined by the theory that workers are more motivated and productive when they are treated as business partners – who traditionally have access to financial data – rather than employees.
While the traditional approach focuses on financial data, open-book management can provide employees with other forms of data on business performance – the differentiation is between data they need to perform their job effectively, and data they can use to make decisions based on where the company is and where the company needs to be.
