What does open-book management entail?

Open-book management is a practice where an organization shares vital financial and operational information with all employees, not just top management or shareholders. The philosophy behind this approach is to create transparency within the organization, instill a sense of ownership among employees, and empower them to make informed decisions that align with the company's goals. By sharing critical data, employees can better understand how their roles impact the overall success of the organization, which can lead to increased engagement, productivity, and motivation.

Sharing this information helps to foster a culture of trust and collaboration, encouraging employees to contribute ideas and solutions that can ultimately improve the business's performance. This approach contrasts sharply with the notion of restricting financial information, which can lead to distrust and a lack of alignment between employees and management.