MM Bagali, HR, HRM, HRD, research, Empowerment, PhD......Christ University.....aug 2013 abstract.....

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The Making of an Empowered Workforce:
Demystifying a Case of Practicing Indian Organisation
M M Bagali, PhD in HR
Professor of Management and Strategic Human Resources,
Coordinating, Research in Management,
JAIN University,
319 / 17TH CROSS / 25TH MAIN / 6th PHASE / JP NAGAR,
Jain University/ Bengalore -560 078 / India
Tel: 80 43430400 / Fax: 080 26532730
mm.bagali@jainuniversity.ac.in
http://in.linkedin.com/in/mmbagali
Abstract
Demystifying POWER of Empowerment: A Case of well designed HR practices
During turbulent days, organizations are increasingly seen to innovate
ways to manage business. One of these innovations is in the area of
developing and managing potentials of human resources, which often results
in achieving a sustained organizational growth. The question is how to
develop HR towards global standards. On the other, various strategies are
being adopted by business organizations in this regard. One also sees a
paradigm shift from an approach understood as ‘welfare approach’ to that
of an approach commonly known as the ‘empowerment approach’. This approach
of employee empowerment has seen interesting outcomes and hence has been
accepted almost all across the world. Management experts have placed a lot
of stress on the need for empowering workforce in organization.
Empowerment is seen as investing power and vesting full authority with
almost every employee in an organisation, which enables employees to do
what needs to be done rather than do what they are told to do. Empowerment
as a strategy has been successfully practiced in the west. Its role still
needs to be viewed in the Indian context.
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But, do organizations in India have changed their deep-seated mind set in
empowering employees and giving complete liberty and freedom to decide
organisation destiny. The answers could vary. But, too many companies ask
workers to act like owners without truly giving them the authority to do
so. Thus, the study demystifies the power of empowerment.
The Study:
The present work is an empirical study of an Indian Organisation in the
experiment of employee empowerment by an entrepreneur, per se. It
highlights some unique strategies adopted for managing human resources
whose efforts have paid large dividends to the company. The business
organisation has succeeded in achieving global standards in its output.
The workforce is committed as well as efficient.
This work makes an attempt to advocate the cause of employee empowerment
and calls upon practitioners to shift their practices towards
orientation to empowerment with the assumptions that: Individual and
organizational achievements can be gained through sense of belonging; a
sense of organizational life through climate shapes behavior and moulds
positive attitude towards organizational growth; access to information
about the mission, value, goals and objectives of an organisation is
positively related to empowerment; and empowerment at workplace makes
leaders redundant.
Method of Study:
Infact, this study has examined a variety of angles and images in
practicing employee empowerment and has tried to understand the fallouts
of such practices at Polyhydron Private Limited (PPL), an engineering
organization (1981), manufacturing Radial pistons pumps, Hand operated DVC
and Pressure switches. The virtues which the study tested included the
sense of accountability; trustworthiness; bureaucratic approach; building
commitment in workforce; communication system; degree of freedom;
management styles and ethos; feedback system; climate of honesty;
industrial democracy; knowledge sharing; leadership approach; ownership
culture; participative approach; climate of politics; power distribution;
work relationships; responsibility sharing; shared values; etc.
Empowerment was found to be a phenomenon, which is not independent. The
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research saw various shades of organizational ethos and practices that
lead to empowerment with the strong belief that if an
The Results:
The company has been following innovative practices in development and
management of its human resources. In the words of an employee … ‘we all
dream of excellence, we all think of excellence and we all deliver
excellence’. Excellence in this organisation has become an accepted way of
life and every individual strives to achieve it because of the prevailing
empowered culture.
Empowerment is not only sharing responsibility and power, but on the
macro level includes other systems, practices and ethos, which forms
vital components of empowerment process. A macro observation on these
systems leaves the impression that the style of functioning adopted by
PPL organisation is something unique and truly note-worthy, particularly
when one sees it in the Indian context. The common attitude of the labour
community that ‘we are paid to work’ is an obstacle to such practices.
But, the trends, as seen in this organisation were just the reverse. This
has been possible as the management approached the issue of empowerment
from the point of view of entire organisation and developed a system.
One may, therefore conclude that, if empowerment has to come through, the
organisation has to adopt a system that will embrace the entire
organisation.
The experiment has come a long way. Today, the results of such efforts
are far reaching. The organisation can safely boast of having highly
motivated and committed workforce; it has employees who handle their
responsibilities professionally; capable to take independent decisions; a
low employee turnover; and a disciplined-confident workforce with open
and transparent behavior. The industrial climate is also free from
disputes. All these practices make for the good image organisation
carries today in the market.
Contribution of the work: Setting New HR Way:
The study has been undertaken to come out with concrete practices and
paradigms for overall enhancement and development of human resources and
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organisation as a whole. Infact, a) a holistic approach to study
empowerment practices in creating high performance work force has been
the core attempt throughout the study, with the development of valid
tool; b) several valid empowering areas have been identified to put to
practice on larger canvas with standardized empowerment scale; c) there
has been an attempt made to draw up theories, development of model and
how empowerment should be practiced step by step. The model specifies the
priority area of instituting empowerment in developing global standard
strategies & practices; d) how to create a challenging and satisfying
work environment; and e) what defines a good culture and identified which
work place culture actually worked.
End Note:
Empowerment system at workplace is an important contribution to
organizational effectiveness and growth. It is mental and emotional
involvement of employees that encourages them to contribute to goals by
sharing equal responsibility. It has numerous limitations, but, when its
pre-requisites are met and the amount and type used reasonably fit the
situation, it offers potential for higher productivity, greater job
satisfaction, constant growth, continuous improvement and other
innumerable long-term benefits. A structure, procedure, institutional
framework for such empowering practice requires careful and balanced
study on MACRO level. The present study has answered several questions in
creating a World Class Organization, a High Performing Workforce and
crystallizing the reasons …… “WHY TOP” performing companies are
different. Thus, the case study demystifies the power of empowerment.
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Teaching Notes for the Case in Empowerment
The Making of an Empowered Workforce:
Demystifying a Case of Practicing Indian Organisation
M M Bagali, PhD in HR
Professor of Management and Strategic Human Resources,
Coordinating, Research in Management,
JAIN University,
319 / 17TH CROSS / 25TH MAIN / 6th PHASE / JP NAGAR,
Jain University/ Bengalore -560 078 / India
Tel: 80 43430400 / Fax: 080 26532730
mm.bagali@jainuniversity.ac.in
http://in.linkedin.com/in/mmbagali
Address: # 80, Machhe Industrial Estate,Machhe, Belgaum- 590014,Karnataka State
website: www.polyhydron.com
Abstract:
Experience has shown that developing human resources often
results in achieving a sustained organizational growth.
Various strategies are being adopted by business organizations
in this regard. One also sees a paradigm shift from an
approach understood as ‘welfare approach’ to that of an
approach commonly known as the ‘empowerment approach’. This
approach of employee empowerment has seen interesting outcomes
and hence has been accepted almost all across the world. This
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case is an empirical study of an Indian industry. It
highlights some unique strategies adopted for managing human
resources in this industry. The efforts have paid large
dividends to the company. The workforce is committed as well
as efficient. The business organization has succeeded and has
been able to achieve global standards. The study makes an
attempt to advocate the cause of employee empowerment and
calls upon practitioners to shift their practices towards
employee empowerment. The study also makes an attempt to
demystify the concept of employee empowerment. On the macro
level, the methods followed by the organisation studied would
be considered revolutionary anywhere in the world and even
more so in India. Infact, one sometimes wonders how the whole
effort did not end in chaos. The company has apparently
succeeded in developing a work force and a leadership almost
devoid of the foibles of most other humans.
Key words:
Empowerment, High performance work systems, Leadership,
Ownership culture
Goals of the Case:
The goal of the present case discussion is to drive in
understanding the importance of Employee Empowerment. Further,
how can such practices be undertaken and what should be the
methodology. Finally, to prepare the HR Manager / Executive to
look at empowerment as the big step for People Management, per
se.
Pedagogical Objectives of the Case:
1. To understand the importance of people management
2. How can HR be innovatively developed, managed and
nurtured
3. Crystallizing the reasons as to “Why top companies” are
different
4. To explore and analyze conditions that makes workplace
empowered
5. The role of HR / CEO in changing the workplace towards
empowerment
Methodology:
The present case is part of Micro Strategic HR Practices, OB
area, Leadership, Organizational Change, Sociology of Culture,
Change Management, for creating an empowered place to work.
1. This case has to be used at HR course, both at junior
level and senior level management course.
2. After giving an introduction about the subject HR, its
implication and the importance of HR in corporate success,
this case may be introduced at multiple levels at junior
level. Few sessions about HR practices at different
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organisations as base for understanding the concept will be
the apt approach.
3. This case may run for 4 -5 hrs with a sixe group of 3-4
students in the class. The class may be given to read some
initial material on HR, HR Practices, and Leadership, great
place to work practices, and some present practices in
Corporate. For this, the material could be from Indian
Organisation like Infosys, WIPRO, HUL (HLL), et al.
4. Then the issue of empowerment can be discussed, with a
briefing on what empowerment is all about, the scope of
empowerment in different angles and practices of empowerment.
The material and literature from the work done by Foundation
for Enterprise Development – FED, and Beyster Institute for
Entrepreneurial Employee Ownership , USA; Argyris, Chris
(1998):“Empowerment: The Emperor’s new Clothes”, Harvard
Business Review, May-June, pp: 98 -105 ; Lawler, E. E III ,
work which are published in 1986, 1988, 1992, 1994, 1995;
Kantar, R. M , work which are published in 1977, 1979,
1989,1995, will be of use to students.
5. Each student group may come-up with points on HR
practices, empowerment strategies, and can thorough some light
on the articles published. What these research work says on
the concept and how is that the organisation under the preview
of the study.
6. At senior level, the case can be taken at Strategic HR
paper (course). While dealing with SHRM and HR Leadership,
the case can be discussed at length, with pros & cons of such
practices while empowering employees. The Research work in the
area can be as reference sources and understanding eth
concept.
7. The case can also be discussed in OB course, in areas
like Leadership, and group dynamics. While, empowering,
through analysis of employee behavior change towards
empowerment, what difficulties the company may undergo in such
exercise, the resistance from the employees for new practices
may be discussed. Since, such practice of empowerment also
brings some level of anxiety and uncertainty, how employee
behavior effects can be discussed. While, the case also
focuses on organizational change, from the traditional style
of functioning to an empowered way, how people change to new
culture can be focused. As it is learnt that, while
introducing new culture practices, the resistance is high and
how leadership matters can be discussed and the role of HR
Leadership.
8. The case can be part of MDPs, if that is taken at
Executive Training Program for CEOs, HR Chiefs, and also for
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Dean and Directors` of B-Schools, if they are looking for
Empowerment Practices in their Organisation. Lessons on
Empowered Leadership will be an added discussion.
Assignment and Pre-preparations:
Assignment and small level projects in the area of HR
practices, leadership, and culture change could be done before
the case is introduced to the audience (students). Literature
on the reported companies practicing innovative HR would be
ideal. Meeting people and HR chief while having discussion
would give a concept idea and taking this case forward.
Reading Material and Source of Collecting Case Material:
To have understanding about the concept and make discussion
more interactive, reading on the subject would be apt, and
mentioned sources would guide:
Bailey, Roy (1995): How to empower people at work, UK;
Management Books Ltd
Block, Peter (1987): The Empowered Manager, Jossey-Bass:
San Francisco
Bowen, David. E., and Lawler, E E III (1992): “The
empowerment of service workers: What, Why, How and When”,
Sloan Management Review, Spring, 33(2), Pp: 31-39
Dive, Brain (2002): The Healthy Organisation: A
Revolutionary Approach to People and Management, UK; Kogan
Page
Eichen, Myron (1989): Employee Ownership in a Capital
Intensive company, USA: Brook tree Corporation
Questions to prepare for in-class discussion:
What is your definition of Empowerment?
What are the traits that need to be developed in employees?
How to create an Empowerment culture and strategies in
Organisation (the steps involved)?
The area (scope) of Empowerment practices (the boundaries to
be defined)
What is the out-come of Empowerment (How to measure the
after-math of such practices)?
Questions Professor can use to open the Discussion:
What is not Empowerment? What do we mean when we say we want
to empower people?
How should the CEO and the leadership be, viz: style, traits
and characteristics?
What are the training and development programme in area of
Empowerment subject be focused (Can training be given to
understand the system, if so, how)?
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What are Ethical Management and the relation with
Empowerment?
How to develop Human Resources and Organisation in the
present Millennium through Employee Empowerment, per se?
Questions to advance discussion during the sessions:
What should be the degree of freedom in an empowered
organisation?
What are the characteristics of an empowered person?
Do we really need empowered people?
Do we really want empowered people?
How do people develop a sense of empowerment?
What organizational characteristics facilitate employee
empowerment?
What can leaders do to facilitate employee empowerment?
Suggested Sequence and Time Frame for the case discussion
Few sessions on the concept along with the best HR practices
should open the discussion. Open class discussion on what they
feel about the concept after a reading on the literature will
lead the subject forward.
After having an understanding about the concept and reading,
class can be divided into 3-4 students team. The case may
initially commence with the theory part on empowerment. Than
what the Organization did, followed by the time line it took,
and an effort to understand all that contributed to
empowerment--the systems, practices, policy or the leadership.
The student’s discussion should look at the differentiating
strategies between the various human resource strategies
adopted in empowering employees and how these strategies
differed from other management practices.
The case may take full length of 4-5 sessions (double timed)
to come to an understanding about the entire empowerment
exercise. The methodology would be discussion and presentation
(ppt)
Bibliography to use:
Argyris, Chris (1998): “Empowerment: The Emperor’s new
Clothes”, Harvard Business Review, May-June, Pp: 98 -105
Kantar, R. M (1977): Men and Women of the Corporation. NY:
Basic Books
(1979):” Power failures in Management Circuits”, Harvard
Business Review, July-Aug, Pp: 40-55
(1989): “The New Managerial Work”, Harvard Business Review,
November-December: Pp: 85-92.
(1989): When Giants Learn to Dance, NY: Simon and Schuster.
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(1989): When Giants learn to dance: Mastering the challenge
of strategy, investment and careers in the 1990s, N. York;
Simon and Schuster.
(1995): World Class: Thriving locally in the Global Economy,
NY; Touchstone Rockefeller Center
(2003): “Leadership and the Psychology of Turnarounds”,
Harvard Business Review, June, Pp: 48-57
Lawler, E. E III (1986): High involvement Management. San
Francisco, CA; Jossey – Bass
(1988): “Choosing an involvement strategy”, Academy of
Management Executive, 2: Pp: 197-204
(1992): The ultimate advantage: Creating the high Involvement
Organisation, San Francisco: Jossey-Bass
(1994): “TQM and Employee empowerment: Are they compatible?
Academy of Management Executive, 8(1): Pp: 68-76
Lawler, E E., III and Bowen, D E (1995) “Empowering Service
Employees”, Sloan Management Review, Summer, Pp: 73-84
Lawler, E. E. III., Ledford, G. E. Jr., and Mohrman, S. A
(1989): Employee Involvement in America-A Study of
contemporary practice, Houston: American Productivity and
Quality Center
Marty O’Neill (1999): Empowerment through Ownership, USA:
Foundation for Enterprise Development and Beyster Institute
for Entrepreneurial Employee Ownership
Michael Quarrey (1992): Empower employees through information
sharing: Foundation Conference USA: Foundation for Enterprise
Development and Beyster Institute for Entrepreneurial Employee
Ownership June
Pell, Arthur, R (1998): Guide to Managing people, India;
Prentice Hall
Reynolds, M (1999):Ownership Philosophy as part of Employee
Empowerment, USA, Foundation for Enterprise Development and
Beyster Institute for Entrepreneurial Employee Ownership
Smith, Jane (1996): Empowering people: How to bring out the
best in your Work force, UK, Kogan Page
Smilor, R (1996): Leadership in an Entrepreneurial Company,
USA, Centre for Entrepreneurial Leadership, Research Centre
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End Note:
But, one thing is clear. At this particular time in history,
with thousands of our major organisations facing global
challenges & some even unable to cope in managing to the
extent needed, it is little wonder that organisational
anxiety about future will be much wide spread in our country
in the days to come. Expert and I are of the belief that
organisation must foster Empowerment or become extinct. We
are likely to see more efforts of empowerment in the future.
I am put at end by stating, “there is nothing Indian
organisations need more at this moment than a true
RENAISSANCE strategy towards Human resource development &
management at every level. Empowerment and empowering
employees in organisation is the answer.
mm.bagali@jainuniversity.ac.in
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