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HRM Review Magazine:
Employee Empowerment Strategies
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The term empowerment has been referred to as the managerial buzzword of the early 1990s. It is often considered as a panacea for all organizational problems. Contrary to the popular notion that the manager has to suitably empower the people who report to him, it comes from within the individual. The formulation and implementation of empowerment strategies have been shown as important components of managerial and organizational effectiveness. Empowerment strategies must be initiated by the top management, keeping in mind, the employee and management concerns.

 
 
 

The new millennium is characterized by all-pervading rapid changes in the external environment. These changes have given rise to a more egalitarian society with democratic values. As a result, organizations are gradually becoming delayered with the blurring of the boundary between the superior and the subordinates. This leads to `empowerment', i.e., enabling or authorizing an individual to think, behave, take action, control work and make decisions in autonomous ways. Generally, this term connotes something that one individual does for another, i.e., usually the manager has to bestow empowerment on the people who report to him.

Empowerment has become a buzzword in the arena of management. It is often portrayed as a panacea for all organizational ills. Empowerment strategies, when properly implemented, can result in organizational effectiveness. While empowerment is considered almost similar to delegated authority, there are two characteristics of empowerment which make it unique. These are: (1) the personnel are encouraged to use their own initiatives, and (2) the employees are given not just authority, but resources as well so that they are able to make a decision and ensure that it is implemented. The basic conditions for empowerment to be embedded in the organizational culture and become operational are: belief in the individual's abilities, interpersonal trust, a genuine concern for people, participation, innovation and access to information.

Various empowerment initiatives may be adopted by organizations. For example, Springfield Remanufacturing Company imbibed the "Open Book Management" (OBC) culture. Employees were empowered to participate in each and every decision taken by the management. The OBM culture calls for total employee participation, who were also given free access to the company's monthly financial reports. This ultimately led to employee satisfaction and profitability for the organization.

 
 
 

HRM Review Magazine, Managerial Buzzword, Empowerment Strategies, Open Book Management, OBM, Tata Consultancy Services, TCS, Economic Value Added, EVA, Workplace Empowerment, Global Business Environment, Organizational Commitment, Decision-Making, Organizational Objectives, Empowerment Strategies.