Impact of Employee Empowerment on Business Performance: Critical Essay

This essay delves into the concept of employee empowerment and its effects on business performance through critical reasoning. It examines how providing employees with autonomy and involvement in decision-making can boost confidence, morale, and productivity. The essay explores the practices of employee empowerment, such as shared leadership visions and ethical values, using examples like Ooredoo Oman to illustrate successful implementation. It also addresses potential drawbacks, including increased labor costs, workplace conflicts, and the need for careful management to prevent misuse of power. The analysis highlights the importance of aligning empowerment strategies with individual capabilities and organizational goals to achieve optimal results and sustainable business performance, concluding that employee empowerment is an effective plan for boosting business performance because it is related to encouraging employees participation in decision making process.

CRITICAL
REASONING

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
CONCLUSION................................................................................................................................4
REFERENCES................................................................................................................................5

INTRODUCTION
Critical reasoning is the tool which helps the scholar in making logical argument on any
given topic. In this essay, the focus will be on discussing about employee empowerment and its
impact on the performance of business. Workers are an asset to the organisation and therefore it
is the core responsibility of management to ensure employee satisfaction and power. The essay
will outline practices which can assist enterprises in authorizing labours with relevant examples.
MAIN BODY
Employee empowerment is related to providing responsibility and autonomy to workers
in decision-making process. Enabling power to employees is the tool that assists firms in
developing confidence among workers for participating in new and productive activities of the
management. However, participation of employees indecision-making process helps the entity in
boosting performance because workers are the stakeholders who have an appropriate knowledge
regarding all factors of business environment. Apart from this, empowering employees is the
practice that assists management in establishing supervision at workplace (Fernandez and
Moldogaziev, 2012). However, these are long-term practice of organisation are related to
intensive approach for resource management.
Further, establishing employee empowerment at workplace helps the firm in
demonstrating value of people which is the basic thing that aids in boosting morale and
productivity. Apart from this, it can be said that enabling power to labourers helps the
entrepreneur in managing shared leading vision in relation to goals and direction.
In accordance to power and motivation, it can be argued that allowing workers to
participate in decision-making aid in gaining trust of people. For example, Ooredoo Oman, a
telecommunication company is a successful market leader which holds a competitive position
because of the ethical values and practices they focus on and making an adequate distribution of
authority among workers (Gill, Fitzgerald and Sharma, 2010). It is the practice which helps the
business in protecting interest of labourers working at different level of organisation. Moreover,
the management of firm believes that appropriate distribution of power and responsibility is the
only strategy which helps in boosting business performance. According to telecommunication
entity, employees are the key asset who holds crucial role in changing decision, policies and
practices.
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Apparently, empowerment of employee is related to different types of information for
decision-making which can be either beneficial or limitation to the entity. There are different
departments in an organisation for which monitoring becomes difficult. Therefore, to manage
uncertain situation, the company enables authority to employee where the person performs job
according to their interest and level of work. This management of power and responsibility is
related to empowerment of workers that aid in effective decision-making. For example, Ooredoo
Oman has implemented flat communication structure where every employee is interconnected to
each other and to management (Pelit, Öztürk and Arslantürk, 2011). Further, as per this structure
of organisation, workers holds power to share their opinion which can assist in decision-making.
However, seeking employee opinion is the practice in telecommunication which helps firm in
managing successful business performance in competitive world of communication industry.
In contrary, every change in organisation has its own pros and cons like empowering
employees’ helps in boosting working productivity but on the other hand, providing authority to
workers makes role of manager less clear which impacts the relationship between employer and
employee. Shared power and responsibilities leads to workplace conflicts and motivational
problems between staff members (Fernandez and Moldogaziev, 2013). Further, misuse of power
and decision-making leads to utilization of power in wrong way, which impact performance of
business. For example, in Ooredoo Oman, there is a conflict between employee and employer
then it is possible that both the parties make decision individually, for the sake of own interest.
This selfish decision-making process of supervisor and leads workers dissatisfaction become
turbulence for stability of internal business environment.
Apart from this, providing authorities to employees helps the organisation in increasing
their commitment which is an effective technique for both that is enterprise as well as workers. It
is the practice which aid in promoting security of work among staff members. The adequate
distribution of power is an strategy of boosting business performance because it helps in
reducing absenteeism (Men and Stacks, 2013). Punctual working of employee is another factor
that is effective for firm because it helps in easy management of workload without feeling the
workload pressure. In accordance to this, it can be said that it is important for enterprises to
distribute power among employees according to their ability and distribution technique can be
helpful in safe management of power and work.
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Nevertheless, the benefits of empowering employees can be argued because distribution
of power to workers increases labour management cost. In addition, it is the concept which is
effective for boosting business performance but on the other hand, it leads to inferiority complex
among staff members which increase the chance of workplace conflicts. For example, the
Ooredoo company believes in empowering employees in order to establish stable and positive
work environment but there are circumstances when the supervisor are asked to make employee
work over time to manage workload for individuals ends up making strict decision for staff
members. Apparently, this situation leads to conflict among leaders and workers because
according to them the person is misusing power. Thus, empowering employees sometimes leads
to mismanagement and instability in workplace environment.
Similarly, empowerment of employees and effective practice for setting standards and
enabling security among workers is important for an organisation to ensure workers satisfaction
and motivation. Dissatisfaction of any employee in company can hamper business performance
and productivity (Baird and Wang, 2010). In contrast, the distribution of authority to staff
members increases expenses for management because with increasing responsibility it is
important for the firm to enable extra facilities to empowered employee like, personal space at
workplace, flexibility of working hours, etc. As per the discussion, it has been analysed that it is
important for an enterprise to set certain solutions to manage safe empowerment plans where the
power distribution in organisation needs to be according to individual capability regardless of
any differences.
Enabling power to employees is a critical part for management because in this the
manager first needs to analyse the individuals who are capable of managing authority and
responsibility as per organisational functions. However, before empower employee type
company organise performance measurement with the helps of which the individuals are able to
analyse the employee who are mature enough to handle power. For example, Ooredoo Oman
Tele communication implements the use of 360 degree feedback method where the firm is able
to seek opinion of different people on employees. This feedback circle helps in analysing
individuals performance and ability to resist changes. However, with the feedback review the
management is able to analyse employee point view over their supervisors and peer colleagues
which helps the firm in modifying power of responsibility among workers. Further the
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distribution of authority among staff members is done by analysing individuals capability of
managing team and work hand in hand.
In contrast, it can be argued that empowering employees is an effective plan but on the
other hand holds the risk of workplace conflict. For managing workplace conflict and quality the
firm can organise collaborative meeting of employee who can help the management in selecting
common participants who are viable to manage authority (Fernandez and Moldogaziev, 2012).
Protecting interest of workers by seeking their opinion over change is the strategy which helps in
protecting interest of staff members and serving employees satisfaction. Apart from this, it is
important for the organisation to ensure that every staff member is connected to management.
Communication of staff and manager helps in resolving various problem at initial level of
disputes. Solving employees problem by establishing one to one discussion is the solution to
prevent conflicts due to empowerment of workers. Further, it helps in regulating check over
workers which assist in reducing chance of mismanagement, biased and unfair practices.
Hence, from the discussion, it has been outlined that empowering employees is an
effective plan for boosting business performance because it is related to encouraging employees
participation in decision making process (Gill, Fitzgerald and Sharma, 2010). Involvement of
workers in decision making plans is the technique which helps the firm in understanding the
needs of change as per consumer requirement. Further, increasing work productivity also helps
the company in managing successful performance and stability in internal organisational
functions.
CONCLUSION
The essay was based on critical reasoning where the discussion was based on
empowerment of employee. From the discussion it has been outlined that providing power to
employees is the strategy which assists firms in developing confidence of working among
workers. It is the practice which aid in boosting confidence of employee that is directly related to
enhanced business problems. Further the report outlined several example to demonstrate
effectiveness of study and concept of empowerment. Hence, the report concluded with analysing
solution to deal with problems of workers which arise due to empowerment plans of
organisations.
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REFERENCES
Books and Journals
Baird, K. and Wang, H., 2010. Employee empowerment: Extent of adoption and influential
factors. Personnel Review. 39(5). pp.574-599.
Fernandez, S. and Moldogaziev, T., 2012. Using employee empowerment to encourage
innovative behavior in the public sector. Journal of Public Administration Research and
Theory. 23(1). pp.155-187.
Fernandez, S. and Moldogaziev, T., 2013. Employee empowerment, employee attitudes, and
performance: Testing a causal model. Public Administration Review. 73(3). pp.490-506.
Gill, A., Fitzgerald, S. and Sharma, S., 2010. The relationship between transformational
leadership and employee desire for empowerment. International Journal of
Contemporary Hospitality Management. 22(2). pp.263-273.
Men, L.R. and Stacks, D.W., 2013. The impact of leadership style and employee empowerment
on perceived organizational reputation. Journal of Communication Management. 17(2).
pp.171-192.
Pelit, E., Öztürk, Y. and Arslantürk, Y., 2011. The effects of employee empowerment on
employee job satisfaction: A study on hotels in Turkey. International Journal of
Contemporary Hospitality Management. 23(6). pp.784-802.
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