ORGANIZATIONAL BEHAVIOR Chapter 8 Empowerment and Participation Finance

ORGANIZATIONAL BEHAVIOR Chapter 8 Empowerment and Participation Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

OBJECTIVES LEARNING AFTER STUDYING THIS CHAPTER, YOU SHOULD BE ABLE TO UNDERSTAND: 1. The nature of empowerment and its prerequisites 2. The participative process 3. Benefits of participation 4. Types of participative programs 5. Limitations of participation Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Nature of Empowerment and Participation: Empowerment: is any process that provides greater autonomy to employees through § Sharing of relevant information § Control over factors affecting job performance Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Nature of Empowerment and Participation (Contd. ): Five Broad Approaches to Empowerment: 1. Job mastery: Proper training, coaching, and guided experience that will result in initial successes 2. Control: Giving them discretion over job performance and then holding them accountable for outcomes. 3. Role models: Allowing them to observe peers who already perform successfully on the job. 4. Social reinforcement and persuasion: Giving praise, encouragement and verbal feedback designed to raise self confidence 5. Emotional support: Providing reduction of stress and anxiety through better role definition, task assistance and honest caring. Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Nature of Empowerment and Participation (Contd. ): Figure 8 -1 The process of empowerment Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

What is Participation? Participation: is the mental and emotional involvement of people in group situations that encourages them to contribute to group goals and share responsibility for them. It identifies three important ideas • Involvement: Participation means meaningful involvement rather than mere muscular activity. • Motivation to Contribute: It motivate people to contribute. • Acceptance of Responsibility: Participation encourages people to accept responsibility in their group’s activities. Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Why Is Participation Popular? Participation leads to • • • Improved performance Higher job satisfaction Spirit Desire Expectations Ethical imperatives Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Benefits of Participation: • • Higher output Better quality Creativity Innovation Higher motivation Reduced turnover and absences Better communication Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

The Participative Process: Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Prerequisites for Participation : 1. 2. 3. 4. 5. 6. 7. 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 Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Contingency Factors : q. Emotional intelligence q. Differing employee needs for participation q. Responsibilities of employees and manager Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Expectations of Employees: All employees should agree to… üBe responsible for their actions üOperate within organizational policies üBe contributing team members üRespect and try to use the perspectives of others üBe dependable and ethical üDemonstrate responsible self-leadership Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

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 Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Programs for Participation: • Figure 8 -8 Selected types of participative programs Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

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 Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU

Questions Finance & Banking Jahangirnagar University Mahfuza Khatun Lecturer, F & B, JU