adeel and taufeeque

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    EMPLOYEE

    EMPOWERMENT

    by- ADEEL RAHMAN 10 MBA-46

    & TAUFEEQUE AHMAD 10MBA-48

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    * definition

    * BENEFITS

    * FLIPSIDE

    *EMPLOYEE EMPOWERMENT AT TOYOTA

    AND TATA

    *CONCLUSION

    OVERVIEW

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    It could be defined as controlled transfer of authorityto make decisions and take actions.

    The decision-making authority can range fromoffering suggestions to exercising veto power

    over management decisions.

    Possible areas include: how jobs are to be performed,working conditions, company policies, work hours,

    peer review, and how supervisors are evaluating.

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    Benefits of Empowerment

    Employees view themselves as Owners of thebusiness

    Improved productivity

    Creativity & Innovation Customer-focus Faster decision-making Organizational learning Making full use of Human resources- Engaging the mind of every employee

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    Flip side of Empowerment

    Egotism/arrogance:

    -Problems in delegating.

    -employee avoid reporting about their workand feedback can be taken negatively Security:

    - threat of leaking of organization information.

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    Risk:

    -equal chance of success and failure.

    -workers often lack the expertise to execute anenterprise.

    Industrial democracy:

    -misuse of power by labor unions and workers.

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    TOYOTA

    Toyota Motor Company empowers its employees toidentify and help remedy problems occurring during

    product assembly. An automobile coming off Toyota'sassembly line with a paint defect is seen as anopportunity to delve into the root cause of the defect,as opposed to merely fixing the defect and passing iton to distributors for resale.

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    At Toyota solutions of day to day problems aregenerated from the front lines, this further enhances

    the potential for productivity improvements byreducing the attitude that solutions are "passed down

    from above."

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    A number of different human resource managementprograms are available that grant employee

    empowerment to some extent. A number of these are - Informal participative decision-making

    programs

    Job enrichment Continuous improvement

    Self-managed work teams.

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    Informal Participative

    Decision-making Programs At Toyota informal participative decision-

    making programs involve managers and

    subordinates making joint decisions on a dailybasis. The amount of authority variesdepending on such situational factors as

    decision complexity and the importance of

    employee acceptance of the decision.

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    Job Enrichment

    Job enrichment aims to redesign jobs to be moreintrinsically rewarding. Certain jobcharacteristics help managers to buildenrichment into jobs. These characteristicsinclude: Skill variety Task identity Task significance Autonomy

    Feedback

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    Continuous Improvement

    - Often referred to as Total QualityManagement, these programs empower workersto trace product or service problems to their root

    causes and redesign production processes toeliminate them using various problem-solving

    and statistical techniques.

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    Self-Managed Work Teams

    Self-managed work teams are assigned forcarrying out tasks having characteristics whichincludes:

    Technical skills

    Interpersonal skills

    Administrative skills

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    TATA

    what exercise is to the body,employment is to mind and

    moral-Henry David Thoreau

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    Incubating innovations during

    workshops

    - during employees workshops, TATAsemployees are encouraged to generate ideas andsuggestion.

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    Tejaswini project- a remarkable empowerment scheme that hasseen women become operators and drivers of

    heavy duty machinery and vehicles.

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    Maitreea friendship and support network

    - add values to an employees professional lifelike courses in advanced English, etiquette and

    effective communication.

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    Tata management training centre-designed to prepare young managers for seniorpositions in Tata companies.

    a measure of the importance the Tata group

    gives to its biggest asset- its people.

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    Voluntary activities

    -at Tata chemicals, employees participate in

    community development initiative with their ownproject.

    -employees at Tata feels that it has boosted theirconfidence levels and improved their ability to

    handle responsibility

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    *

    Conclusion

    Employee empowerment is transfer ofauthority in a controlled manner

    Its benefits outweighs its flipsides It has been successfully implemented at

    Tata and Toyota

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