Employee Empowerment

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A Study on the impact of Empowerment on the Performance of the Frontline Managers

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Employee Empowerment

  1. 1. A Study on the impact of Empowerment on the Performance of the Frontline Managers in NLC BLP Presented by: Harendhiraprasad M N (25019) Sivakumar P S (25051) Rajesh Soundararajan (25041) Surenderan E (25056) Dhivya K M (25016) Bhuvanambigai P (25011)
  2. 2. Empowerment & Performance <ul><li>Objectives of The Study </li></ul><ul><ul><li>To determine whether positive relationship exists between empowerment and work performance </li></ul></ul><ul><ul><li>To find the gap in empowerment expectations of the employees </li></ul></ul><ul><li>Scope </li></ul><ul><ul><li>Limited to NLC BLP </li></ul></ul><ul><ul><li>Only individual performance </li></ul></ul><ul><ul><li>Study of Operational level Management </li></ul></ul><ul><li>Significance </li></ul><ul><ul><li>PSU </li></ul></ul><ul><ul><li>Build empowered environment </li></ul></ul>
  3. 3. Research Design <ul><li>Sample size: 20 </li></ul><ul><li>Sample’s profile : </li></ul><ul><ul><li>Age : 25 to 35 years </li></ul></ul><ul><ul><li>Gender : Male </li></ul></ul><ul><ul><li>Occupation : Executive Engineers </li></ul></ul><ul><ul><li>Location : NLC, Barsingsar LP </li></ul></ul><ul><li>Variables </li></ul><ul><li>Empowerment is the independent variable </li></ul><ul><li>Performance is the dependent variable. </li></ul>
  4. 4. Methodology and Research Design <ul><li>Instrument </li></ul><ul><ul><li>Employee Empowerment evaluation questionnaire [1] . </li></ul></ul><ul><li>Data Set </li></ul><ul><ul><li>Primary data collected from Neyveli Lignite Corporation. </li></ul></ul>
  5. 5. Hypothesis Testing <ul><li>H0: Highly empowered employees show high levels of performance </li></ul><ul><li>H1: Empowerment does not affect an individual’s performance </li></ul><ul><li>Parameters Used </li></ul><ul><li>Participation in decision making </li></ul><ul><li>Perception of Immediate supervisor </li></ul><ul><li>Perceptions of higher management </li></ul><ul><li>Management of change </li></ul>
  6. 6. Findings <ul><li>Chi-Square Test Results </li></ul><ul><li>Chi square value, C = 0.971 </li></ul><ul><li>@ 5% level of significance C < 3.841 </li></ul><ul><li>Accepting H0, the null hypothesis </li></ul><ul><li>Correlation Coefficient Findings </li></ul><ul><li>Pearson’s correlation coefficient=0.166 </li></ul><ul><li>Spearman’s Rank correlation coefficient=0.25 </li></ul>
  7. 7. Findings-Gap analysis Factor Importance Effectiveness Difference=E-I Participation in decision making 3.92 3.55 -0.37 Perception of Immediate supervisor 3.72 3.77 0.05 Perceptions of higher management 3.70 3.11 -0.59 Management of change 3.97 3.23 -0.74
  8. 8. Conclusion & Managerial Implications <ul><li>There is a relationship between empowerment and individual’s performance. </li></ul><ul><li>The results of this study will help managers understand the role of empowerment in improving employee performance. </li></ul><ul><li>Understanding and fulfilling the gap in empowering the employees will improve productivity. </li></ul><ul><li>Suggested Measures </li></ul><ul><ul><li>Share information </li></ul></ul><ul><ul><li>Encourage dissent </li></ul></ul><ul><ul><li>Reward and recognize </li></ul></ul><ul><ul><li>Involve employees in decision-making </li></ul></ul>
  9. 9. Limitations & References <ul><li>Research Limitations </li></ul><ul><li>Size of the sample population </li></ul><ul><li>Bias on part of the employees </li></ul><ul><li>References </li></ul><ul><li>Impact Of Team Empowerment On Team Performance Case Of The Telecommunications Industry In Islamabad - International Review of Business Research Papers Vol. 4 No. 5 October-November 2008 </li></ul><ul><li>Taking empowerment to the next level: A multiple level model of empowerment, performance and satisfaction - Academy of Management Journal 2004, Vol. 47, No. 3, 332–349 </li></ul><ul><li>“ Employee empowerment evaluation kit” from Navran Associates </li></ul>
  10. 10. &quot;An empowered organization is one in which individuals have the knowledge, skill, desire, and opportunity to personally succeed in a way that leads to collective organizational success.&quot; --Stephen Covey

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