Risks

The main risk here is that you get it wrong: that you assess a person's needs incorrectly and thus manage that person incorrectly. There's an easy solution: talk to the person and find out what could be done differently to maximize performance.

Peripherally, there is another risk, which is that you try so hard to accommodate people that you end up jumping through hoops to keep them happy. Make sure that an employee's stated needs are legitimate, and that people are not just trying to take advantage of you. This is primarily a question of applying good judgment: think your employees' requests through. If you just accept everything they say, you're probably being led by the nose. By the same token, though, you shouldn't automatically reject everything they say, either.

There is of course a degree of risk in not thinking this question through at all; if you expect a high level of conformity to your own way of doing things, your employees will be less productive, less happy, less motivated...