Achieving Business Excellence, Role of Empowerment V. N. Choudhary, - - PDF document

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Achieving Business Excellence, Role of Empowerment V. N. Choudhary, - - PDF document

Achieving Business Excellence, Role of Empowerment V. N. Choudhary, V. N. Choudhary, E.D. (B.E.), NTPC Limited, 19 th February, 2010 Coverage Objective About Excellence About Excellence About Empowerment Empowerment thorough


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Achieving Business Excellence, Role of Empowerment

  • V. N. Choudhary,
  • V. N. Choudhary,

E.D. (B.E.), NTPC Limited,

19th February, 2010

Coverage

Objective About Excellence

About Excellence

About Empowerment Empowerment thorough Business Excellence

Models

Obstacles of Empowerment

Ch i i f E d P l

Characteristics of Empowered Peoples Conclusions

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Objectives

To highlight the role of empowerment through

To highlight the role of empowerment through various Business Excellence Models leading to Inclusive Sustainable Growth to the satisfaction of Stakeholders.

Questions we must ask Empowerment Leads to Excellence

1.

What is relationship between empowerment and business excellence?

2.

What do we mean by Empowerment of people? y p p p

3.

What are the characteristics of empowered people?

4.

Do we need empower people?

5.

Do we really want empowered people?

6.

How do people develop sense of empowerment?

7.

How can Leaders facilitate empowerment?

8.

What is the characteristics of Organisation which f ili ? facilitates empowerment?

9.

What are the frameworks of excellence which incorporate empowerment?

10.

What are important similarities in models with emphasis

  • n empowerment?

11.

How these models help in empowerment?

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What is Excellence

Outstanding practice in managing the organisation and achieving results based on a set of Functional Concepts which include: Concepts which include:

Achieving Balanced Results, Adding Value for Customers, Leading with Vision, Inspiration & Integrity, Managing by Processes,

d h h l

Succeeding through People, Nurturing Creativity & innovation, Building Partnerships, Taking Responsibility for a Sustainable Future.

What is Empowerment

The vesting of employees with necessary skills,

knowledge, information and authorities in such a way as to enable them to take all actions necessary to produce the specified outputs in the most effective and efficiency way.

A periodic setting of clear targets gives the necessary

guidance within the framework of the overall

  • bjectives of the organisation.
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Types of Empowerment

Two types of empowerment: yp p

  • Individual level
  • Group level

Individual level empowerment:

Degree of control exercised by individual employees over work setting.

Group level empowerment:

Amount of control exercised by the group as a whole over the work setting.

Two Approaches of Empowerment

  • A. Conventional view
  • B. Alternative view

Start at Top Clarify Organizational

vision, mission, values

Specify clearly roles, tasks Rewards and responsibility Delegation of power Start at Bottom & Middle Understand need of

employees

Set Model Behavior of

empowered employees

Team building & co‐ Delegation of power Accountability for Result

g

  • perative behavior or

group work

Fully trust people to

perform

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Requirements for Empowerment

Impose a structure on Employees, e.g. D.O.P. Performance Management Process

l d l

Policy guidelines Teams with strong leaders in place of hierarchy Self managing teams Relevant Training Scheme Appropriate Reward Schemes Skills to work collaboratively Knowledge to be empowered Problem Solving skills Understanding of Performance organisation

Steps for Empowerment

Sharing of Information

Sharing of Information

Organisation Structure change Team Development Training Opportunities Reward for Risks & Initiatives Emotional Support System

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Cycle of Empowerment

Reinforcement Learning & Growth Punishment for mistakes Increased Confidence Innovative Outcome New Pattern Of actions Empowerment of Self & Others Disenchantment Disempowerment/ Disruption Of actions Redefinition

  • f Self

& role New Experiences & Perspectives Self & Others Returns to old behavior & feel more disempowered

Elements of Empowerment:

Main elements of empowerment are as follows:

  • Self – sufficiency or Competence

It th t i bl f f i ti l It means that one is capable of performing a particular task. Employees will not accept responsibility for making decisions until they are confident of their abilities.

  • Meaningfulness

It means the feeling that the task is valuable both to the

  • rganization and to oneself
  • rganization and to oneself.
  • Personal control
  • Impact

It refers to the belief that one has an influence on decisions of the organization.

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Approaches to Empowerment

Job Mastery Job Mastery Control Role models Social Reinforcement & Persuasion Emotional Support

Importance of Empowerment

Knowledge workers Knowledge workers Cut throat competition Speed and flexibility Globalization Human resource development

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Different Excellence Models Propagating Empowerment

EFQM Excellence Model.

EFQM Excellence Model.

Malcolm Baldrige Excellence Model. Deming Prize.

Australian Business Excellence Framework.

The EFQM Excellence Model

Leadership Processes, Products & Services Key Results People Results Customer Results People Strategy Enablers Results Society Results Partnerships and Resources Learning, Creativity & Innovation

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Empowerment in EFQM Model

Sub Clause 1d: Leaders reinforce a culture of excellence with

the organization’s people.

Sub Clause 3b: People’s knowledge and capabilities are

developed. p

Sub Clause 3c: People are aligned, involved and empowered. Sub Clause 3d: People communicate effectively throughout

the organization.

Sub Clause 3e: People are rewarded, recognized and cared

for.

Sub Clause 4a: Partners & suppliers are managed for

sustainable benefits.

Sub Clause 5e: Customer relationships are managed and

enhanced.

Baldrige Criteria for Performance Excellence

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  • visionary leadership
  • customer-driven excellence
  • rganizational and personal learning

Core Values and Concepts

  • Results Orientation
  • Customer Focus
  • Leadership and Constancy of

P

  • valuing employees and partners
  • agility
  • focus on the future
  • managing for innovation
  • management by fact
  • social responsibility

Purpose

  • Management by Processes and Facts
  • People Development and

Involvement

  • Continuous Learning, Innovation and

Improvement p y

  • focus on results and creating value
  • systems perspective

Baldrige

  • Partnership Development
  • Corporate Social Responsibility

EFQM

Obstacles of Empowerment

Depends on fundamental beliefs Personal orientation Risk – averse Hesitation to take Initiative Lack of emotional support Incongruent Organizational Culture

Love for Authority Love for Authority Fear of Retribution by superiors Fear of Retribution by subordinates Dependency of Subordinates

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Making Empowerment Effective

Impact Impact Competence Meaningfulness Choice

Characteristics of Empowered People

Sense of self determination Meaning Competence Competence Impact Empowered middle level see themselves as more

effective in their work as innovative as less fearful while trying something new as transformational in Leadership ability

i d i fl ‐ engaging upward influence. ‐ making quantum changes. ‐ as charismatic due to strong sense of meaning. ‐ as change agent of organisation. ‐ as empowered and beneficial to organisation.

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Examples of Empowerment

Empowerment in Critical Decisions. Empowerment in Improvement Activities. p p

Group Work. Problem Solving through Quality Circles. Performance Improvement Teams. Task Force. Individual improvement efforts.

Creating Environment for Innovative Work. RTI ACT Building partnership with suppliers &customers

Conclusions

It is not possible to empower others if I am not feeling empowered. Question one should ask about ones own area of work: Q

Am I continuously working to clarify sense of strategic

direction or vision?

Am I continuously working to clarify regarding discipline

and control, roles, goals, tasks and line of authority?

Am I continuously striving for participation and

involvement?

Am I working continuously to resolve conflicts among

people? Contd..

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Do I have a sense of meaning and task alignment?

To what extent and what can be done to increase it?

To what extent do I have sense of impact,

influence, power and how to increase it?

How can I increase sense of competence &

confidence to execute my works.

How to increase my self determination and choice

y power? It is not checklist but continuously pursued effort.

Acknowledgement

EFQM Model. EFQM Model. Malcolm Baldrige Model. Deming Award. Australian Business Excellence Framework. ILO American Management Association,Organisational Dynamics,vol26/2

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