©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Newstrom 12/e PPT ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Empowerment and Participation Chapter Eight Empowerment and Participation ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Chapter Objectives To understand: The nature of empowerment and its prerequisites The participative process Servant leadership Benefits of participation Types of participative programs Limitations of participation ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Nature of Empowerment and Participation Powerlessness Causes Low Self-esteem Imposter phenomenon Empowerment is any process that provides greater autonomy to employees through: Sharing of relevant information Control over factors affecting job performance ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Nature of Empowerment and Participation Broad Approaches to Empowerment Job mastery Control Role models Social reinforcement and persuasion Emotional support ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Nature of Empowerment and Participation Behavioral Tools Mutual goal setting Job feedback Modeling Contingent reward systems Participative management ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

The Process of Empowerment ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved What is Participation? Participation is… Involvement (ego) Contribution (creativity) Responsibility (builds teamwork) ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Why is Participation Popular? Participation leads to… Improved performance Higher job satisfaction Spirit Desire Expectations Ethical imperatives ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Benefits of Participation Higher output Better quality Creativity Innovation Higher motivation Reduced turnover and absences Better communication Benefits may emerge slowly. ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

The Participative Process ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

The Impact on Managerial Power Leader-Member Exchange Reciprocal relationships develop High-quality relationship results in greater decision influence Participative managers retain final authority ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Two View of Power ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Prerequisites for Participation Adequate time to participate Potential benefits greater than costs Relevance to employee interests Adequate employee abilities Mutual ability to communicate No feeling of threat to either party Restriction to the area of job freedom ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Contingency Factors Emotional intelligence Differing employee needs for participation Responsibilities of employees and manager ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Expectations of Employees All employees should agree to… Be responsible for their actions Operate within organizational policies Be contributing team members Respect and try to use the perspectives of others Be dependable and ethical Demonstrate responsible self-leadership ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Expectations of Managers Responsibilities of managers… Identifying the issues to be addressed Specifying the level of involvement desired Providing relevant information Providing relevant training Allocating fair rewards ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Programs for Participation ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Limitations of Participation Negative Forces Affecting Participation Theory X beliefs and assumptions Lack of support from higher levels Manager fear of lost power, status, and control Lack of adequate training Problems encountered in early stages Substantial efforts needed to implement ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

Placing the needs of others above one’s own self-interest Servant Leadership Placing the needs of others above one’s own self-interest ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Servant Leadership Key Behaviors Listen actively and empathetically Engage in introspection to better understand one’s own attitudes and feelings Treat others as equals, with respect Engage in dialogue/paraphrasing to ensure understanding Affirm the worth and contributions of others Admit mistakes and ask for help Build trust by articulating values and acting consistently with them ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved

©2007 The McGraw-Hill Companies, Inc., All Rights Reserved Concluding Thoughts In spite of limitations, participation is generally successful Employee demand for power and use of their talent will not go away The need for participation is a basic human drive Participation adds meaning to work Leaders must devote long-range effort toward promoting participation ©2007 The McGraw-Hill Companies, Inc., All Rights Reserved