This document discusses the concept of employee empowerment in detail and explores the managerial and leadership skills required to empower employees. It also highlights the benefits of employee empowerment in contemporary business organizations.
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Employee Empowerment MANAGING AND LEADING PEOPLE – 954293 1
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Employee Empowerment Table of Contents Introduction.......................................................................................................................3 Employee Empowerment...................................................................................................3 Managerial Leadership Skills and Competencies................................................................5 Conclusion.......................................................................................................................10 Bibliography....................................................................................................................11 2
Employee Empowerment Introduction Human resource management has become an important part of contemporary business organizations and human resources working in a company are considered to be the greatest asset for that company. Contemporary business organizations are heavily relying upon their human resources in order to achieve organisational goals and objectives and are ensuring that the human resources are managed in the best possible manner so that their performance levels can be optimised(Noe, et al., 2017). An importantconceptthat has emergedin the past decade hasbeen the concept of empowering the employees in the workplace. Employee empowerment is a concept in human resource management that allows an organisation to provide its employees with the tools and resources that are necessary for them to take a confident decision on their own and without anybody supervising them(Choi, et al., 2016).Employee empowerment has been found to have a positive impact on employee job attributes, such as motivation levels, job satisfaction, job and organisational commitment, etc. As a result, modern business organizations are trying their best to empower their employees and achieve the benefits associated with it. In this report, we will discuss the concept of employee empowerment in detail and talk about the managerial and leadership skills and competencies that are required for empowering the employees. Employee Empowerment Employee empowerment has been defined as the process of providing a certain degree of autonomy and responsibility to the employees for making decisions regarding specific organisational tasks(Hanaysha & Tahir, 2016).Employee empowerment allows business decisions to be taken at the lower level of the organisation as the lower level employees have a unique view of the issues and problems pertaining to a task. Modern business organizations are trying their best to empower their employees in the workplace as it can have a number of benefits for the organisation and also on certain employee attributes. Certain benefits of employee empowerment are discussed below: First of all, empowering the employees can greatly help a business organisation in increasing job engagement levels amongst the employees. When an organisation has a workforce that is 3
Employee Empowerment highly engaged in its work, it is able to offer better services to its customers and is also able to make the business a better place. Secondly, employeeempowermentcan be beneficialfor a companyin improvingits workplace culture and becoming an employer of choice for talented candidates. When an organisation empower its employees, it can naturally attract talented employees because the candidates that need to be instructed to do something will obviously go to other companies. Slowly and steadily, talented employees start to take a notice of the empowerment levels that an organisation can offer and will be attracted to such a company. Ultimately, having a talented pool of employees will improve the entire work culture of business organisations as well(Mitrefinch, 2017). Thirdly, employee empowerment can have a huge impact on the productivity levels of an organisation. In a study carried out by Zenger Folkman, it was discovered that only 4% of the employees were willing enough to make extra efforts where employee empowerment levels were low. On the other hand, in business organizations where employee empowerment levels were significantly high, 67% of the employees were willing enough to provide an extra effort to their organizations in achieving their goals and objectives(Folkman, 2017). Fourthly, the process of problem solving boosts up to a great level. According to a survey commissioned by LivePerson, 82% of the responding customers felt that the prime factor for great customer services was that their problems were getting resolved within no time. When employees are empowered in the workplace, they can take quick decisions to solve customer problems when they approach them with their issues. As a result, a company can assure higher quality customer care services to its customers and also increase the speed of problem solving by empowering its employees(The Rtiz Carlton, 2015). Lastly, empowered employees have been found to have greater levels of job satisfaction because they know that their seniors trust them and are offering them a complete chance to develop their skills and competencies. Employee empowerment makes the employees feel more confident at work and can also have a positive impact on their performance levels (Leonard, 2019). 4
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Employee Empowerment Managerial Leadership Skills and Competencies Managers of leaders of an organisation are the people who are responsible for getting work done from the other employees. It takes several years for a person to reach a managerial position and to attain the skills and the competencies that are required to efficiently deal with human resources and their problems and to keep them motivated at all times. Every manager or a leader has his or her own way of dealing with their co-workers and juniors and their behaviour in a workplace is governed by the skills or the competencies that they have achieved over a period of time. A lot of people have tried to generalise the skills and competencies that are required to become a leader or a manger but in actual, the skills or competencies required to become a manager can vary on the basis of the nature of the job of a person. Employee empowerment may have its benefits for the employers as well as for the employees but it takes a lot of careful planning to authorize the employees to take important business decisions. Further, it is important for the leaders or the managers of business organisations to possess the skills and competencies that are required to promote empowerment amongst the employees. Certain skills and competencies that are required to empower the employees are discussed below: Emotional Intelligence: Emotional intelligence is defined as the ability of a person to understand and deal with his or her own emotions and the emotions of the people around him or her. Emotional intelligence has gained a lot of important in the business world as business organizations are trying to provide the best workplace conditions to their employees. Having high emotional intelligence is one of the most important qualities that all leaders and managers should possess(Maritato, 2014). Leaders and managers with high emotional intelligence are able to understand the emotions and demands of their subordinates in a better way, which enables them to provide their employees with the right work and job conditions. Removing barriers from the work routines of the employees and dealing with their psychological problems can also be possible when leaders and managers of a business organisation have high emotional intelligence(McKeown & Bates, 2013).As a result, the employees feel motivated to work for their leaders and 5
Employee Empowerment managers and feel empowered to take the right decision when their managers and leaders place their trust in them. On the other hand, if the managers or the leaders of an organisation are not emotionally intelligent, it might become difficult for them to understand the emotions of the employees and judge the barriers that prevent the employees from performing their job duties and responsibilities properly. As a result, the employees experience problems while performing their job duties and responsibilities and are not able to feel empowered while at work(Kirsch, 2018). Openness to New Ideas: Openness to new ideas is the ability of a manager or a leader to invite his or her employees to offer an input and to find out innovative solutions to for business problems. Openness is a personalitytraitwhichcategorisesthedegreetowhichanindividualdemandsnew experiences in his life. Some people have a great demand for new experiences while the others like to stay in their own comfort zone and are not open to new experiences in their lives. In context with the topic, openness to new ideas is one of the most important skill or competency that a manager or a leader should possess in order to be able to empower his or her employees. In business organizations where the managers or the leaders are more open to new ideas and invite their juniors to come up with innovative solutions, the level of employee empowerment is significantly better. In certain cases, where the managers are not open to new ideas, leaders or the managers can demotivate their juniors by not listening to their ideas, which adversely impacts employee empowerment levels(Heathfield, 2019).Further, if a manager listens to the ideas of his co-workers or juniors and does nothing about them, employee empowerment still suffers. Therefore, being open to new ideas and inviting the employees to participate in the decision making process is an important managerial skill that can help in fostering employee empowerment in the workforce. Delegation of Authority: Delegation of authority is a concept that is largely related with employee empowerment. In simple words, delegation of authority in a business context means to distribute the decision making power in the lower levels of the organisation. Managers and leaders in the modern business world, who have the ability to delegate authority amongst their juniors are able to increase employee empowerment levels. If a manager or a leader is not competent enough to 6
Employee Empowerment delegate a certain degree of authority to the lower levels, he or she is more likely to reverse a decision taken by a junior, which reduces employee morale and the employees feel less empowered in such cases. It is also noteworthy here that a manager or a leader should also be competent enough to judge the calibre of his or her juniors and assess whether they have the skills or the competencies required to take a business decision on their own(Grossman, 2016).Authorityshouldonlybedelegatedtolowerlevelsiftheemployeesare knowledgeable enough to make a sound decision. Therefore, the ability of a leader or a manager to delegate authority amongst his or her followers can have a huge impact on employee empowerment levels. Fostering Open Communication: Even in the modern business world, there are a large number of business organizations that are still using a top-down communication system. A top-down communication system promotes flow of information and knowledge from higher level job positions to lower level job positions and employees working at lower levels do not have much to say in the business of the organisation(Lister, 2017). Oneofthebeststrategiesthatcanhelpmanagersandleadersinfosteringanopen communication channel is to leave their office door open. Keeping the door open can motivate the employees to get in touch with the managers and leaders whenever they feel like. Implementing an open door policy can do wonders in the workplace and in empowering the employees(Daisyme, 2017). Irrespective of how competent or knowledgeable a leader or manager is, without being competentenough to foster open communication amongst the employeesit is almost impossible to promote employee empowerment in a workplace. Organisational leaders and managers should possess the skills to promote an open communication channel in the workplace so that the employees have a defined system to share their thoughts and ideas with their seniors. Furthermore, even the managers or the leaders have to excel in communication skillssothattheycancommunicateeffectivelywiththeemployees.Havinggood communication skills assures that the managers and leaders are able to communicate their expectations to the employees and are able to understand the input that they have to offer to the business(Heibutzki, 2018). 7
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Employee Empowerment Coaching: Playing the role of a manager or a leader is not an easy task. Managers and leaders of business organizations are expected to be highly professional in their jobs as they are required to get work done by managing a large number of staff members. Without being a good coach, a manager or a leader cannot empower his or her employees to take decisions on their own. Coaching skills require a manager or a leader of an organisation to be in a constant touch with their subordinates and to help them in developing their skills and competencies over a period of time(Crowe Associates Ltd, n.d.). Leaders and managers of business organizations have to be great coaches in order to foster empowerment in the workplace. Many people argue that managers and leaders cannot be coaches in a workplace as they have a certain degree of authority to exercise but the modern day business world is demanding them to be competent coaches rather than following the command and control tradition. A manager or a leader who has good coaching skills will always be able to work by collaborating with the employees rather than controlling them. Such mangers always talk less and listen to their employees more, which makes the employees feel that they are being valued(A Lean Journey, 2015).They ask frequent questions and offer specific feedback to the employees rather than judging them or refraining them from thinking out of the box. Simply put, good coaching skills in a manager or a leader allow him or her to delegate more authority to the employees by being nice to them. Ultimately,apositiveworkplaceenvironmentisfosteredbysuchmanagersandthe employees themselves feel empowered while working with such managers and leaders. Recognize, Reward and Encourage: A lot of leaders and managers complain about the stagnant condition of their employees but they do little in helping them grow. Many leaders and managers also believe that money and promotion opportunities are enough to keep the employees motivated and to get them to advance. Incompetent managers often forget that the best behaviour amongst the employees can only be promoted by recognising the right behaviour and by rewarding the employees for behaving in a particular manner(Daum, n.d.).Managers and leaders who are able to recognize and reward the efforts of their employees are able to achieve high levels of employee empowerment. Without these competencies, it can become difficult for managers 8
Employee Empowerment or leaders to connect with their employees and to motivate them to take some important decisions on their own. Risk Taking and Problem Solving Skills: Empowering the employees to take business decisions without any supervision can only be possible if a manager or a leader in an organisation has risk taking skills and competencies. Employee empowerment can sometimes prove to have a negative effect on the business if an employee makes a wrong choice or decision. In such a situation, it is important for managers and leaders to understand the situation of their subordinates and to assist them in correcting the damage that they might have done(Lotich, 2015).Dealing such a situation with aggression or humiliating an employee for taking a wrong business decision can not only have an adverse impact on the morale of that very employee but also on the other employees. Employees might perceive that they will be punished for making a wrong decision and they might not feel empowered at all. If an organisational manager or leader avoids taking risks, he or she would always demand his or her subordinates to ask for permission before executing a plan in the workplace. Working under such leaders, the employee would never feel empowered and would always look for the approval of their leader or the manager before finalising anything(Lotich, 2015). Therefore, it is important that managers and leaders of modern business organizations are competent enough to take risks and deal with situations that might occur as a result of employee empowerment. Accountability: Last, but not the least, holding the employees accountable for the job that they are hired for is a very important managerial competency that can lead to high employee empowerment in a workplace. It is important for leaders and managers of modern business organizations to be able to assess the calibre of their subordinates and clearly define and communicate their job duties and responsibilities to them. Once the employees are aware about their duties and responsibilities, it is then that a manager or a leader should make them feel accountable for the work or the tasks assigned to them. Holding employees accountable for getting things done or achieving a particular target motivatesthemtoworkharderandalsoincreasesempowermentamongstthem.The 9
Employee Empowerment employees develop a perception that their manager or their leader has placed his or her trust in them and is expecting them to fulfil a task or an assignment. When an employee is given accountability by his or her manager or leader, they become less likely to blame others for failure and put in the best of their efforts to get the work done. Employees who demand accountability are often found to have a willingness to take ownership for the outcomes of their actions, behaviour and attitude(Johnson, 2015).Therefore, without a manager or a leader being competent enough to hold his or her subordinates accountable for the work that they do, it can become impossible to foster employee empowerment in the modern day business organizations. Conclusion Employeeemplowermentisamoderndayconceptinthefieldofhumanresource management, which can have a lot of benefits for an organisation and for the employees as well. It can help the employees in developing themselves and performing better while it allows business organizations to provide a better workplace culture to their employees. Leaders and managers of modern day business organizations have a huge role to play in the process of employee empowerment. It is only through their skills and competencies that an organisation can empower its employees to take their own decisions. Easy-to-go managers and leaders, who trust their employees, are emotionally intelligent, prefer open and clear cut communication, etc. are always able to keep their employees happy and make them feel accountable for their work, which ultimately leads to employee empowerment. On the other hand, tough managers and leaders, who do not trust their employees and believe that they are the supreme power in the organisation, are never able to keep their employees motivated and employeesworking under themoftenfind itdifficulttotake decisionswithouttheir permission. Therefore, the skills and competencies discussed above should definitely be developed by leaders and managers who believe in the concept of employee empowerment. 10
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Employee Empowerment Bibliography A Lean Journey, 2015.Empowering Employees is About Coaching Not Managing.[Online] Available at: http://www.aleanjourney.com/2015/04/empowering-employees-is-about- coaching.html[Accessed April 2019]. Choi, S., Goh, C., Adam, M. & Tan, O., 2016. Transformational leadership, empowerment, and job satisfaction: the mediating role of employee empowerment.Human resources for health,14(1), p. 73. Crowe Associates Ltd, n.d.Coaching skills for Managers.[Online] Available at: http://www.crowe-associates.co.uk/hr-practice/manager-as-coach/ [Accessed April 2019]. Daisyme, P., 2017.The key to a happy and productive employees is making sure that they feel important in their role. Here are 10 tips to empower your staff..[Online] Available at: https://www.business.com/articles/trust-the-process-10-tips-to-empower-and- encourage-your-staff/[Accessed 12 April 2019]. Daum, K., n.d.8 Tips for Empowering Employees.[Online] Available at: https://www.inc.com/kevin-daum/8-tips-for-empowering-employees.html [Accessed April 2019]. Folkman, J., 2017.The 6 Key Secrets To Increasing Empowerment In Your Team.[Online] Available at: https://www.forbes.com/sites/joefolkman/2017/03/02/the-6-key-secrets-to- increasing-empowerment-in-your-team/#3b4c6ff277a6 [Accessed April 2019]. Grossman, D., 2016.The Benefits of Delegation and Why Most Leaders Under-Delegate. [Online] Available at: https://www.yourthoughtpartner.com/blog/the-benefits-of-delegation- and-why-most-leaders-under-delegate[Accessed April 2019]. 11
Employee Empowerment Hanaysha, J. & Tahir, P., 2016. Examining the effects of employee empowerment, teamwork, and employee training on job satisfaction.Procedia-Social and Behavioral Sciences , Volume 219, pp. 272-282. Heathfield, S. M., 2019.Empowering Employees to Make Decisions.[Online] Available at: https://www.thebalancecareers.com/failing-to-empower-employees-to-make- decisions-1918506[Accessed 13 April 2019]. Heibutzki, R., 2018.Why Is Effective Communication Important in Management?.[Online] Available at: https://work.chron.com/effective-communication-important-management- 27001.html[Accessed April 2019]. Johnson, A., 2015.How to use accountability to empower your employees.[Online] Available at: https://www.bizjournals.com/bizjournals/how-to/growth-strategies/2015/09/ how-to-use-accountability-to-empower-employees.html [Accessed 14 April 2019]. Kirsch, J., 2018.Emotional Intelligence for Leaders.[Online] Available at: https://trainingindustry.com/articles/leadership/emotional-intelligence-for- leaders/[Accessed April 2019]. Leonard, K., 2019.What Are the Benefits of Employee Empowerment?.[Online] Available at: https://smallbusiness.chron.com/benefits-employee-empowerment-1177.html [Accessed 14 April 2019]. Lister, J., 2017.What Is Top-Down Communication?.[Online] Available at: https://bizfluent.com/info-10052725-topdown-communication.html [Accessed April 2019]. Lotich, P., 2015.12 Essential Competencies Every Manager Should Master.[Online] Available at: https://thethrivingsmallbusiness.com/manager-competencies/ [Accessed April 2019]. 12
Employee Empowerment Lotich, P., 2015.13 Characteristics of an Employee Empowered Culture.[Online] Available at: https://thethrivingsmallbusiness.com/empowerment-a-leadership-competency/ [Accessed April 2019]. Maritato, M., 2014. Empower your team through emotional intelligence.Leadership, Skill Development, 5 May. McKeown, A. & Bates, J., 2013. Emotional intelligent leadership: Findings from a study of public library branch managers in Northern Ireland.Library Management,34(6/7), pp. 462- 485. Mitrefinch, 2017.8 BENEFITS OF EMBRACING EMPLOYEE EMPOWERMENT IN THE WORKPLACE.[Online] Available at: https://mitrefinch.com/blog/employee-empowerment- in-the-workplace/[Accessed 14 April 2019]. Noe, R., Hollenbeck, J., Gerhart, B. & Wright, P., 2017.Human resource management: Gaining a competitive advantage.New York: McGraw-Hill Education. The Rtiz Carlton, 2015.EMPLOYEE ENGAGEMENT.[Online] Available at: http://ritzcarltonleadershipcenter.com/2015/11/seven-advantages-of-employee- empowerment/[Accessed 14 April 2019]. 13