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Abstract
The study examined the relationship between employee empowerment and organizational productivity. In this research, the survey research design was adopted, based on this, the study was designed to focus on Ken Saro-Wiwa Polytechnic, Bori, Rivers State.The population of the study is 100, the Taro Yemens formula was used to determine the sample size use of 80. Findings amongst others revealed that employee training head to organizational productivity and employee compensation leads to organizational productivity. Based on the findings of the study, we recommended amongst others that managers should allow employees to be independent and autonomous in doing their Job, managers should also compensate employees in monetary terms for the work they had performed and managers should ensure that employees are subjected to regular training and development to help them acquire required skills needed for their job.
Table of Contents
Cover Page i
Declaration iii
Certification iv
Dedication v
Acknowledgments vi
Abstract vii
List of Tables x
List of Figures xi
CHAPTER 1 1
INTRODUCTION 1
1.1 Background of the Study 1
1.2 Statement of the Problems 5
1.3 Objectives of the Study 6
1.4 Research Questions 6
1.5 Research Hypotheses 7
1.6 Significance of the Study 7
1.7 Scope and Delimitation of the Study 8
1.8 Definition of Terms 9
CHAPTER 2 11
LITERATURE REVIEW 11
2.1 Conceptual Review 11
2.1.1 Concept of Employee Empowerment 11
2.1.2 Dimensions of Employee Empowerment 14
2.1.3 Organizational productivity 15
2.1.4 Measures of Organizational productivity 17
2.1.5 Employee Empowerment and Organizational Productivity 20
2.2 Theoretical Framework 23
2.2.1 Social Exchange Theory 23
2.2.1 Kanter’s Theory of Empowerment 24
2.3 Empirical review 25
CHAPTER 3 31
RESEARCH METHODOLOGY 31
3.1 Research Design 31
3.2 Population of the Study 32
3.3 Sample and Sampling Techniques 32
3.4 Methods of Data Collection 33
3.5 Method of Data Analysis 35
3.6 Questionnaire Design 35
3.7 Data Analytical Techniques 35
3.8 Reliability and Validity 36
CHAPTER 4 38
DATA PRESENTATION AND ANALYSIS 38
4.1 Data Collection and Presentation 38
4.2 Data Analysis 39
4.3 Testing of Hypothesis 43
4.4 Discussion of Findings 48
CHAPTER 5 50
SUMMARY, CONCLUSION AND RECOMMENDATIONS 50
5.1 Summary 50
5.2 Conclusion 50
5.3 Recommendations 51
References 53
Appendix I 59
Appendix II 60
List of Tables
Table 4.1: Questionnaire Administration and Retrieval 38
Table 4.2: showing the age of respondents 39
Table 4.3: Showing the Gender/Sex of Respondents 40
Table 4.4: Showing the Educational Qualification of the Respondents 40
Table 4.5: Showing the Marital Status of Respondents 41
Table 4.6: If job autonomy associate with organizational productivity. 41
Table 4.7: If tanning is related with organizational productivity. 42
Table 4.8: If employee compensation lead to organizational productivity. 42
List of Figures
Fig. 1: A Conceptual Framework Showing the Relationship between Employee Empowerment and Organizational productivity. 11
CHAPTER 1
INTRODUCTION
1.1 Background of the Study
Productivity involves goal attainment. It is the successful transfer of input to output at the lowest possible cost. Productivity implies both efficiency and effectiveness.
The above definition is two-tie. The first involves a set of result or performance. Performing or accomplishing a set of result refers to the effectiveness in reaching a mission, a planned achievement or a needed value without serious regard for the cost incurred in the process. Certainly, accomplishing a set of result is by far the most important focus of the productive concept because without it there is no productivity. The second part involves consuming resources without which achievements are not likely to happen and productivity cannot exist. It specifies the number type and level of resources needed, e.g. plant capacity, cost, raw materials, personnel, facilities, capital, technology. How well these resources are brought together refers to the efficiency of achieving results with minimum exposure of the resources. High productivity suggests minimum use of resources. One construct that can enhance organizational productivity is employee empowerment.
One way an organization can achieve organizational productivity is through employee empowerment. Hage and Lorensen (2005) label empowerment as an “enabling process or objects occurs from a point of allocation of possessions and prospects which boost decision making to accomplish change”.
Asgarsani, Duostdar and Rostumi (2013) noted that the concept of employee empowerment pre-dates the industrial revolution an era characterized by employees or craftsmen producing goods that are entirely under the control of management. Since the early 1920s, Taylor’s opinion of breaking tasks into smaller units to be undertaken by employee, deciding how best to accomplish the task resulted in high productivity in an organization. Prior to Taylor’s “intervention”, the dominant organizational practices were downsizing, externalizations of jobs, flattering of organizational levels – all of which resulted to declining work force loyalty, commitment, satisfaction and over all organizational performance. These trends in employee organization’s relationship necessitated a closer look at the human resource architecture, leading to a consensus among scholars and practitioners that the growth and development as well as the competitive structure of an organization depends largely on human resource empowerment.
The decision making component of the proxy variables is that which provides the employee the ability to participate in the day-to-day running of the organization. According to Yong and Choi (2009), Peter etal (2002) points out that decision making overlaps autonomy as critical to analysis of decision making is an analysis of team performance through which autonomous decision making are central to team performance. According to Kariuku (2014) firms are organized around teams, highly formalized but decision making were at the top in organizations. Empowerment is let go off right to take certain decisions, on the other hand some managers may perhaps feel vulnerable by a loss of authority or a lesser capacity to control (McCrimmon 2010). A range of factors contribute to efficient empowerment. The business culture for instance has to shore up the procedure of empowerment; it will not work when a manager feel vulnerable.
To empower means to give power to. Power, however, has several meanings. In a legal sense, power means authority, so that empowerment can mean authorization (Kenneth W. Thomas 1990). However, power also means energy. Thus, to empower also means to energize. This latter meaning best captures the present motivational usage of the term. The word empowerment refers to the motivational content of this new paradigm of management. As leadership expert Daniel Goleman points out “the Employee is a basic molecule of distributed leadership and basic unit in which you can change norms throughout the organization.” In the past, the organizational researchers has focused their work on empowering management practice, including delegation of decision making from higher organizational levels to lower levels and increasing access to information and resources for individuals at lower levels (Blau and Alba 1986).
Empowering employee to take critical decision on matters of interest have the tendency to enhance performance of an organization. According to Zeitharnl, Bitner and Grembler (2009), it is a company responsibility to give employees the tool needed to make decisions using their common sense to enable them solves problems of every day task without involving their managers. Through this, employee empowerment is important to the organizational change process as it fulfills the individual’s need for a sense of control.
Rappaport and Seidman (2003) suggested that empowerment is more than a mere process solution and prevention. This form of a “duty structure” in which powers are concentrated at the top of the pyramid and flows to lower levels provides no opportunity for optimal use of intellectual resources and creativity of employees. As a consequence, there is little or no self-determination, lack of mastery of work schedules, meaningless work and dishonesty by the employee to work towards the attainment of organization’s goals and objectives to result to organization’s performance. It is based on this premise that the study seek to identify the problem that delineate organizations activity to empower employees.The study is determined to examine relationship between employee empowerment and organizational productivityin Ken Saro-Wiwa Polytechnic, Bori.
1.2 Statement of the Problems
In view of the fierce competition and the increasingdemand from customers, it has become necessary tosearch for factors that contribute to the successof multinational firms to maintain theirsurvival and sustain their competitiveness. This is due tothe important role of this sector in the Nigerian economy. Additionally, through reviewing the previous literature, it seems that there is a lack of studies that measured therole of employees’ empowerment in achieving organizational productivity. However, Emerson, (2012) have discovered that many managers don’t really recognize the significance of employee empowerment and its effect on the organizational productivity. Managers that are recognize with their capacity to resolve problems and take decisions may perhaps be unable to find a most important basis of their identity and work satisfaction that if they over empower workforce. Cultures that shore up empowerment support mangers to be catalysts, facilitators, coaches‟ enablers and developers of others rather than simply decision making powers.
The problems that led to this study are lack of job autonomy as employees are not allowed to work independently, lack of employee training and development and inadequate/poor compensation management strategies adopted by Ken Saro-Wiwa Polytechnic, Bori.
There are many reasons for choosing this industry in particular. First, the education sector is one of the most prominent sectors in Nigeria making it highly competitive. It is also facing a rapidly changing environment (Achi & Ayache, 2001). These facts render this industry as an abundant ground for researchers to be studied. Moreover, the Ken Saro-Wiwa Polytechnic, Boriaims to retain the employees and ensure their commitment to the organization due to the high costs of turnover, recruiting, and training new employees.
1.3 Objectives of the Study
The main objective of the study is to examine relationship between employee empowerment and organizational productivity in Ken Saro-Wiwa Polytechnic, Bori.The specific objectives are as follow:
1. To examine the extent to which job autonomy associate with organizational productivity.
2. To examine the extent to which training is related with organizational productivity
3. To examine the extent to which compensation leads to organizational productivity.
1.4 Research Questions
1. To what extent does job autonomy associate with organizational productivity?
2. To what extent does tanning is related with organizational productivity?
3. Does employee compensation lead to organizational productivity?
1.5 Research Hypotheses
The following research hypotheses were formulated to guide the study;
HO1: There is no significant relationship between job autonomy and organizational productivity.
HO2: There is no significant relationship between tanningand organizational productivity.
HO3: There is no significant relationship between employee compensation and organizational productivity.
1.6 Significance of the Study
This study evaluates the impact of Employee empowerment on Organizational success and determines to what extent it is successful in both local and foreign organizations.
Presently, many multinational firms are attracted towards the, Nigeria market. It will be useful for Nigerian working environment for those multinational firms too.
This paper tries to make the Employee leaders and top management realize the importance of Employee empowerment as a means enhancing organizational. It is hoped that business corporate companies at the corporate level will take advantage of this research and will apply this approach for Employees. This study suggests that organizations following the Employee empowerment approach can gain advantages. Employee empowerment can enhance both quantity and quality of Employees work. The study will be useful for Employee leaders and Employee members in building of the empowered Employees. The study will provide guidelines for project/Employee leaders in the development of Employees work. Findings of this research will provide empirical data for Employee leaders, top management, and Employee members to help them create an empowered environment for better Organizational success. Creativity and innovation will be promoted in Employee-based environment because of cross fertilization of ideas. The empowerment concept will help allay concerns about employee freedom and will help to motivate the employees.
1.7 Scope and Delimitation of the Study
The content scope of the study is limited to the following heading:
Content Scope: The content scope of this study involves employee’s empowerment and organizational productivity. Basically this forms of two vulnerable namely employee empowerment and organizational productivity. The independence variable is employee’s empowerment measured by its dimension job autonomy, compensation, training, while the dependent variable is organizational productivity measured by effectiveness, profitability and market share.
Geographical Scope: This study is delimited to selected Ken Saro-Wiwa Polytechnic, Bori, Rivers State.
Uses of Analysis: Is the type of Ken Saro-Wiwa Polytechnic, Bori, Rivers State which are the individuals. The scope of this study is carried out to ascertain between employees empowerment and organizational productivity.
The study was limited by the following:
The level of frankness in response to questions by the respondents is quite doubtful.
Finance: Accessing fund for the research work was difficult and this limited the quality of research activity.
Time: The time allocated to the research work was not sufficient to give room for further intensive work on the field of study.
Organization Policy: Policies of the organization limited the level of information received. The personnel of the firms were not willing to give information, stating that it was against the organization’s policy.
1.8 Definition of Terms
Employee empowerment: It is giving employees a certain degree of autonomy and responsibility for decisionmaking regarding their specific organizational tasks.
Organizational productivity:Organizational productivity is a measure by how well a company meets the individual objectives of its business plan.
Profitability: Profitability is the state of yielding financial profit or gain. It is often measured by price to earnings ratio.
Job Autonomy: Job autonomy is considered as a core characteristic of work and has been widely studied by a number of scholars
Training: Training is considered one of the major areas of the Human Resource Management that leads to effective usage of the human resources.
Compensation: Compensation is the systematic approach of offering monetary value for individuals in exchange for work they had performed.
Profitability: It is the state of yielding financial profit or gain. It is often measured by price to earnings ratio.
Innovativeness: Innovation is more than coming up with good ideas, it also includes making these ideas work technically and commercially.