One of the most effective ways to lead a highly effective team of people is to make sure that everyone on your team is happy. When you have happy, energetic employees that strive to be on top of their game, this will in turn create satisfied customers and financial prosperity.

Sounds easy enough, but creating a happy team takes effort and commitment on your part. These 5 essential habits will guide you toward a much happier team and, with effort, a profitable bottom line that will make you very happy.

1. Don't be too rigid.

While certain things in any business have to be completed on a fixed deadline, and some positions (particularly customer-facing ones) must be staffed on a strict schedule, many other things do not. Be as flexible as you can be with your employees' schedules while ensuring that the things that must be done on a deadline are.

2. Respect is everything.

Everyone knows the boss who thinks he or she has to always be the know it all in meetings or other business situations. They discount the ideas and opinions of their employees -- resulting in some very unhappy people. Don't be Mr. or Ms Know It All. Instead, demonstrate to your team that you respect them and their opinions and that you aren't taking them for granted.

3. Appreciation is at the core.

Everyone wants to be appreciated and thanked for a job well done. We all feel tremendous pride and satisfaction when our boss singles us out for praise -- even a simple "thank you" can do wonders. Make employee appreciation a key part of your leadership style.

4. Build bridges of trust.

Trust is earned when members of your team demonstrate that they can do their work consistently and well over a period of time. However, trust is a two-way street. As your employees do the good work that earns them trust, you as a leader must also give it without reservation. Hold your people accountable for outcomes, but trust them to find the best way to get there.

5. Let them know how they're doing (the good and the bad).

Feedback is the breakfast of champions. As a leader, one of the most important things you can do to create a happy team of people is to provide each and every one of your employees with honest and timely feedback. And not just for the things they do wrong. Catch your people doing something right. They will be happy (and extremely motivated) when you do.