Conversation Starter – Participative Management as a means of Employee Empowerment

Surabhi Sathe - 23 Sept 2011

Employee Empowerment is a buzz word today! We have come a long way in last 100 years that organizations no longer discuss about its relevance (whether required or not) but only about its implementation (how?). Employee Empowerment can be formally defined as:

“Employee empowerment means that management vests decision making or approval authority in employees where, traditionally, such authority was managerial prerogative.”

- J. Gandz

Despite all the buzz, when we look around, we see few organizations who can boast of having 100% achievement in Employee Empowerment targets. Where then is the gap between theory and practice? In this blog, we will be looking at Participative Management as a means of empowering the employee. The idea is to start a conversation – please participate by way of comments.

Participative Management involves sharing information with employees and involving them in decision-making. Employees are encouraged to run their own departments and make decisions regarding policies and processes.

It has often been promoted as the quick cure for poor morale and low productivity. It is not, however, appropriate in every organization and at every level. Resistance to change, Workers tendency to deviate, one stop solution, Size of the organization, Abuse of authority, Misunderstanding participation may lead to its failure.

For effective Participative Management, employees must have the skills and abilities to participate. Employees must have the technical background, communication skills, and intelligence to make decisions and communicate those decisions effectively. The organization's culture and structure must support employee involvement and the issues in which employees get involved must be relevant to them.

Goals of Participative Management

• To provide fast solutions to business problems;
• To provide growth opportunities for employees
• To lower organizational costs while allowing the manager to work on multiple projects

Ways to achieve Empowerment through Participation

Pros & Cons of Participative Management

Employee Empowerment as OUTCOME for Participative Management

By definition, employee empowerment is a direct outcome of Participative Management. Empowerment involves delegating the decision-making authority regarding the action to be taken on a task that is considered to be important to both the manager and employee. Employee empowerment is a style of management that puts managers in the role of coach, adviser, sponsor, or facilitator. Decision-making is being pushed down to the lowest levels of the organization. Employee’s say in decision making increases and if it can be implemented organization wide it is termed as participative management.

Theories for Management that relate to Employee Empowerment

Self-Managed Teams

The managers need to be in the role of guide facilitator and mentors of their team. The norms suggested in Participative Management can be implemented more effectively where SMT i.e. Self Managed Teams can be formed as work groups. The roles of managers/supervisors and team members prescribed in SMTs are in alignment with the objectives of Participative Management.

Theory Y

Participation can be increased by increasing work ownership. This can be attained by removing conditions of powerlessness. Theory Y leaders with transformational leadership skills of motivation, inspiration and delegation are required to facilitate effective decision making and change. Also leadership Theory Y can very well establish the role of a facilitator while including the employees in decision making and believing in them by implementing and rewarding them.

Theory Z

As far as the Participative Management processes are concerned they fall under Theory Z developed by William Ouchi. Theory Z combines elements of both U.S. and Japanese management styles and is sometimes called Japanese Management. It assumes that the best management style involves employees at all levels of the organization.

Instances from personal and professional life

There are relevant social and political aspects as well of the theory and practice of Participative Management leading to empowerment. The recent public movement of Anna Hazare is all about the governed asking for active participation in governance. It can also be related to one’s personal life. The best way to obtain your children’s cooperation on matters of discipline is by inviting the children to make the ground rules. Adherence to those rules is maximum when children are part of the decision making process.

Points to Ponder

• If Managers are not fully honest, involved and committed, they may end up creating a system with loopholes. The perception of our Legal system being full of such loopholes is a glaring example! What do you think?
• When do practitioners tend to circumvent the system? IMO, this happens when ownership of the vision is not taken and self-interests are given priority over organization’s interests. The person is lacking the contributor’s consciousness. Vision can be manifested effortlessly if it is shared and includes everyone. Please reflect!!
• Are PM practices purposefully designed not to give workers a significant role in decision making vs. Is PM created to secure or enhance employee contribution to the organization?
• Are definitions of empowerment to employees, managers and organization different?
• In short as far as empowerment of employees is concerned IS PM viable or not?

“As we look ahead into the next century, leaders will be those who empower others” – Bill Gates