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The Making of an Empowered Workforce:
 Demystifying a Case of Practicing Indian
              Organisation




                 M M Bagali, PhD
               Jain university, India
             sanbag@rediffmail.com
             www.jainuniversity.ac.in
agenda




• Why such study in empowerment area
• How and what this company uniquely practiced
• Lessons to learn
the thinking



• How can HR be innovatively developed, managed and
  nurtured
• Crystallizing the reasons as to “WHY TOP COMPANIES” are
  different
• To explore conditions that makes workplace empowered
the studies
• Pati,1997        • Barnes and Kaftans,
• Sengupta and       1970, 1985
  Shaikh,1997      • Myron Eichen,1989
• Venkatachalam,   • Marjorie Reynolds,
  1998               1991
• Dwivedi,1998     • Michael Quarrey,
• Mohapatra,1998     1992
• Tripathy,1999    • Cyndy Payne,1993
                   • Bo Burlingham, 1999
work of prominence

• 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

• Kantar, R. M , 1977, 1979, 1989,1995

• Lawler, E. E III , 1986, 1988, 1992, 1994, 1995
the impressions
Adi Godrej,
Chairman and MD, Godrej Soaps ltd,1992
          “It has opened my eyes in best people management practices”

Ricardo F Semler,
Chairman, SEMCO, Brazil, 1994
          “I have seen an exceptionally empowerment practiced at workplace”

Sri Sharadrao Pawar,
Ex-CM, present Cabinet Minister, GOI,1997
          “Congrats for good work done in people management strategies”




Thus, Polyhydron Private Limited -PPL : A Case
the work
Workers Empowerment :
A Study of Polyhydron Private Limited,
Belgaum, Karnataka State, India
Established in 1981-82




                     Address: # 80, Machhe Industrial Estate,Machhe, Belgaum- 590014,Karnataka State
                                              website: www.polyhydron.com
Theoretical and Conceptual framework

                                                    E M POWER M E N T
                                                   em-pow-er-ment (im-pau [-] r-ment)

                                                Oxford English Dictionary says, to empower is
                                                         “to authorize, to enable”



The need for research work                            Rosabeth Moss Kanter (1977)
                                                  Professor at Harvard Business School,
HR is crucial and empowerment                        Ernest L. Arbuckle Professorship
systems and practices are important
components
                                        “giving power to people who operate at an advantage in
To look at the Renaissance Strategies                    the organization success”
for Creating High Performance
Workforce and workplace                                 Bowen and Lawler (1992)
                                        Director, the Centre for Effective Organization, University
                                                            of Southern California,
Thus, an enquiry into        various    “ Complete Power to make decisions that influence
empowerment systems              and
                                                 organizational direction and performance”
practices
why an enquiry
                                             o   The syntax of empowerment is simple… give
                                                 people the freedom and power at
                                                 workplace, they will surely grow the
                                                 organization responsibly [Let us look at the
                                                 concept ]

                                             o   What are the areas and dimensions of
essentially, empowerment                         practicing empowerment

•   an environment where absolute            o   What are the limitations one faces, when
    control is given up, allowing everyone       you empower employees
    make decisions, set goals, accomplish
    results and receive rewards

•   it liberates people from constraints     research objectives
    such as checking with the boss before       to understand factors that contribute to
    taking actions                               empowerment--the systems, practices,
                                                 policy and the leadership
•   decision-making      authority     and
    responsibility    percolates      from
    managers to the employees at the            understand the impact of empowering
    lowest rung, and to everyone, per se         employees at workplace
participation




Total 73   Responded 60
areas of enquiry


Accountability / Bureaucracy / Culture / Leadership/
Management Style and approach / Structure / liberty /
Communication / Decision Making / Discipline/ Ethos /
Industrial Democracy / Knowledge Sharing / Ownership
Culture / Organizational Health / Power Distribution/
Responsibility Sharing / Transparency / Information sharing
/ Degree of trust & loyalty……….
data collection
The format of Data collection from Employees




                                                Pre Pilot
                                               Observation



            Observed the                                                  Pooling all the
              System                                                       responses




                           Questionnaire                          Discussion
                                                                  with CEO
                           Administered

                                                  Case-by-
                                                    Case
                                                 discussion
The format of Data collection from CEO / MD



  Observed the                                               Pooling all
    system                                                  responses in
                                                             presence of
                                                                 all

          Discussion                                  Back to
           with CEO                                    CEO




                        System/        Case by case    •        An in-formal observation over a period
                       Practices        discussion
                       interface

                                                       •        Discussion with CEO at one-one level

                                                       •        The opinions of CEO and system interfaced

                                                                All the collected data of CEO through opinions were
                                                                observed, verified case by case with each employees

                                                       •        The opinions / views of employees were put back to CEO /
                                                                MD for discussion, and

                                                       •        Open House
what we saw at ppl



•   Estd                                1981-82
•   Conventional way of Management      1982-1988
•   Visit to SEMCO, Sau Paulo, Brazil   1988
•   Changed People practices            1988-1996
•   Empowered People practices          1996 onwards
what we saw at ppl

empowerment@work: the making of an empowered workforce

Conventional                    Present

Do what is told                 Do what is required
Liberty misused                 Liberty made use to fullest extent
Not my job attitude             Its everyone's job
Commitment level low            High commitment
Boundary defined                No Boundary
Lack of scope for improvement   High scope for improvement
Various committees / councils   Never a designated committee
Trust level low                 Trust is core
Supervised work                 No Supervision
Freedom restricted              More freedom / liberty
Closed behavior                 Transparent behavior
Apply for leave / off           Decide on leave / off
empowerment@workplace


•The HR practices
•The Culture
•The Leadership, and the
•The Traits
the culture
                                  •Value given to Human beings

                                  •Each is accountable / responsible for his
                                  actions and can’t blame others

the hr practices                  •All information is open and shared
Complete Freedom
Total Transparency                •Each is boss in himself
Complete Shared Responsibility
                                  •Common rooms are shared
Accountability for ones actions
Liberty to decide course of       •Suggestions are given regularly and open
actions
Involvement / Participation       •Management is open to ideas and more
Transparent feedback              information sharing
Delegated authority
                                  •Every one can have own objectives, mission,
No hidden Agenda                  and goals;
Complete Autonomy
Power to take decisions           •No Security or guard
employee traits
                                                  Open and Transparent
                                                     Positive Approach
                                                    No defined mind set
                                                        Free from Bias
leadership                                        No scapegoat attitude
Freedom to do work in one’s own way                  High Commitment
No Supervision/ Foreman                                      Disciplined
No Bureaucratic and Administrative interference             Trustworthy
No Red-tapism                                          Enjoys the work
Sharing Common Platform                              Loyal and Truthful
Trusting each persons actions                       Work that extra mile
No restrictions for new inventions
One can fail, no punishment
Suggestions are part of daily work
Accepts critics
Open House
language@workplace



My door is open to you
Let us all discuss on the idea
Your problem / issue is our concern
Let us join hands together
Kindly teach me the new technique
Let us all announce your achievement
outcome of such practices

•   Engagement with Organsiation
•   Production and products
•   Profits and Income Generating
•   Turnover and loyalty
•   Reputation and Customers
•   Market Standing
•   NO IR issues
•   Employer BRANDING
drawbacks
•   Why power to me
•   Is it the game plan of management
•   Its not my job to have power
•   Its not my job to decide
•   I am not the right person to have power
•   My me as leader and decision maker
Ideas for practices: lessons to learn
•First ‘No’ RULE              Don’t hold unto data
•Platform for Empowerment /   Informal Relations
create conditions for         Create Opportunity
empowerment                   Desired Future
•Prioritise the area          Education the gains
•Attitudinal Surveys          Time to empower or not to
•Accountability                  empower
•Define the Purpose           Can’t empower areas
•Open Door Policy and         Don’t impose empowerment
Transparency                  Power of Empowerment
•Ownership Culture            Fun at workplace
academic discussion
•   OB                         advantage corporate
•   HR practices
•   HRM / SHRM                 • CEO
•   Leadership                 • HR Chief
•   Organizational Change      • Chief Peoples Officer
•   Restructuring / OD         • Dean and Directors of
•   Sociology of Culture         MBA
•   Change Management          • MDP’s
Endorsement on the Work

David Ang, MSHRI
Executive Director,
Singapore Human Resources Institute, Singapore
A Talk to Senior Practising HR Managers of Singapore


   The presentation (your paper) was informative and interesting. They have
   learned insights on the aspects and benefits of employee empowerment. The talk
   was timely, as organizations have to give their employees both authority and
   responsibility to inspire renewed commitment, innovation and initiative.

(19th Sep, 2003 / Through Personal Letter)
questions asked
•   Each are accountable for their action & can’t blame others
•   I am made part of organization & take part in Organisation development process
•   There is red tapesim & more bureaucracy
•   I can permit visitors, if I feel so, without any ones consent
•   One is responsible for ones actions
•   Management is open to ideas & more information sharing
•   An open line of communication follows in each team
•   I can openly give feed back of my boss action
•   Management feed back is always subjective
•   I am also involved in decision-making process at all level
•   I know who appraises me, when, how
•   I can promise the customers on behalf of management
thank you
sanbag@rediffmail.com / sanbagsanbag@rediffmail.com
Harvard Business Review
            HBR, July-August, 2010, p:57



When workers are made to feel empowered,
      the whole organization wins



            Roger L MARTIN,
      Dean, Rotman School of Management
         University of Toronto, Canada
PPL
Present                                                   mm bagali
    Professor, HR and Management,                   sanbag@rediffmail.com
    Jain University, India
Work History
    Research Officer, PRC,Dharwad
    Director, MBA program, KLE Sy - IMSR, Hubli
    Director, PGDM / MBA program, CIMR, Indore
    Dean, MBA program, IASMS, Blore,
    Dean, MBA program, Acharya Institute of Engg, Blore
    Dean, MBA program, Horizon Group, Bangalore
Education
•   Global HR Certification
•   Advanced FDP – Mgt- XLRI
•   PhD in Social Work (area: PMIR); PhD in Management (area: HR)
•   16+ years of HR Teaching
MM Bagali, HR, MBA, HRM, HRD, Research , Empowerment 2012

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MM Bagali, HR, MBA, HRM, HRD, Research , Empowerment 2012

  • 1. The Making of an Empowered Workforce: Demystifying a Case of Practicing Indian Organisation M M Bagali, PhD Jain university, India sanbag@rediffmail.com www.jainuniversity.ac.in
  • 2. agenda • Why such study in empowerment area • How and what this company uniquely practiced • Lessons to learn
  • 3. the thinking • How can HR be innovatively developed, managed and nurtured • Crystallizing the reasons as to “WHY TOP COMPANIES” are different • To explore conditions that makes workplace empowered
  • 4. the studies • Pati,1997 • Barnes and Kaftans, • Sengupta and 1970, 1985 Shaikh,1997 • Myron Eichen,1989 • Venkatachalam, • Marjorie Reynolds, 1998 1991 • Dwivedi,1998 • Michael Quarrey, • Mohapatra,1998 1992 • Tripathy,1999 • Cyndy Payne,1993 • Bo Burlingham, 1999
  • 5. work of prominence • 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 • Kantar, R. M , 1977, 1979, 1989,1995 • Lawler, E. E III , 1986, 1988, 1992, 1994, 1995
  • 6. the impressions Adi Godrej, Chairman and MD, Godrej Soaps ltd,1992 “It has opened my eyes in best people management practices” Ricardo F Semler, Chairman, SEMCO, Brazil, 1994 “I have seen an exceptionally empowerment practiced at workplace” Sri Sharadrao Pawar, Ex-CM, present Cabinet Minister, GOI,1997 “Congrats for good work done in people management strategies” Thus, Polyhydron Private Limited -PPL : A Case
  • 7. the work Workers Empowerment : A Study of Polyhydron Private Limited, Belgaum, Karnataka State, India Established in 1981-82 Address: # 80, Machhe Industrial Estate,Machhe, Belgaum- 590014,Karnataka State website: www.polyhydron.com
  • 8. Theoretical and Conceptual framework E M POWER M E N T em-pow-er-ment (im-pau [-] r-ment) Oxford English Dictionary says, to empower is “to authorize, to enable” The need for research work Rosabeth Moss Kanter (1977) Professor at Harvard Business School, HR is crucial and empowerment Ernest L. Arbuckle Professorship systems and practices are important components “giving power to people who operate at an advantage in To look at the Renaissance Strategies the organization success” for Creating High Performance Workforce and workplace Bowen and Lawler (1992) Director, the Centre for Effective Organization, University of Southern California, Thus, an enquiry into various “ Complete Power to make decisions that influence empowerment systems and organizational direction and performance” practices
  • 9. why an enquiry o The syntax of empowerment is simple… give people the freedom and power at workplace, they will surely grow the organization responsibly [Let us look at the concept ] o What are the areas and dimensions of essentially, empowerment practicing empowerment • an environment where absolute o What are the limitations one faces, when control is given up, allowing everyone you empower employees make decisions, set goals, accomplish results and receive rewards • it liberates people from constraints research objectives such as checking with the boss before  to understand factors that contribute to taking actions empowerment--the systems, practices, policy and the leadership • decision-making authority and responsibility percolates from managers to the employees at the  understand the impact of empowering lowest rung, and to everyone, per se employees at workplace
  • 10. participation Total 73 Responded 60
  • 11. areas of enquiry Accountability / Bureaucracy / Culture / Leadership/ Management Style and approach / Structure / liberty / Communication / Decision Making / Discipline/ Ethos / Industrial Democracy / Knowledge Sharing / Ownership Culture / Organizational Health / Power Distribution/ Responsibility Sharing / Transparency / Information sharing / Degree of trust & loyalty……….
  • 12. data collection The format of Data collection from Employees Pre Pilot Observation Observed the Pooling all the System responses Questionnaire Discussion with CEO Administered Case-by- Case discussion
  • 13. The format of Data collection from CEO / MD Observed the Pooling all system responses in presence of all Discussion Back to with CEO CEO System/ Case by case • An in-formal observation over a period Practices discussion interface • Discussion with CEO at one-one level • The opinions of CEO and system interfaced All the collected data of CEO through opinions were observed, verified case by case with each employees • The opinions / views of employees were put back to CEO / MD for discussion, and • Open House
  • 14. what we saw at ppl • Estd 1981-82 • Conventional way of Management 1982-1988 • Visit to SEMCO, Sau Paulo, Brazil 1988 • Changed People practices 1988-1996 • Empowered People practices 1996 onwards
  • 15. what we saw at ppl empowerment@work: the making of an empowered workforce Conventional Present Do what is told Do what is required Liberty misused Liberty made use to fullest extent Not my job attitude Its everyone's job Commitment level low High commitment Boundary defined No Boundary Lack of scope for improvement High scope for improvement Various committees / councils Never a designated committee Trust level low Trust is core Supervised work No Supervision Freedom restricted More freedom / liberty Closed behavior Transparent behavior Apply for leave / off Decide on leave / off
  • 16. empowerment@workplace •The HR practices •The Culture •The Leadership, and the •The Traits
  • 17. the culture •Value given to Human beings •Each is accountable / responsible for his actions and can’t blame others the hr practices •All information is open and shared Complete Freedom Total Transparency •Each is boss in himself Complete Shared Responsibility •Common rooms are shared Accountability for ones actions Liberty to decide course of •Suggestions are given regularly and open actions Involvement / Participation •Management is open to ideas and more Transparent feedback information sharing Delegated authority •Every one can have own objectives, mission, No hidden Agenda and goals; Complete Autonomy Power to take decisions •No Security or guard
  • 18. employee traits Open and Transparent Positive Approach No defined mind set Free from Bias leadership No scapegoat attitude Freedom to do work in one’s own way High Commitment No Supervision/ Foreman Disciplined No Bureaucratic and Administrative interference Trustworthy No Red-tapism Enjoys the work Sharing Common Platform Loyal and Truthful Trusting each persons actions Work that extra mile No restrictions for new inventions One can fail, no punishment Suggestions are part of daily work Accepts critics Open House
  • 19. language@workplace My door is open to you Let us all discuss on the idea Your problem / issue is our concern Let us join hands together Kindly teach me the new technique Let us all announce your achievement
  • 20. outcome of such practices • Engagement with Organsiation • Production and products • Profits and Income Generating • Turnover and loyalty • Reputation and Customers • Market Standing • NO IR issues • Employer BRANDING
  • 21. drawbacks • Why power to me • Is it the game plan of management • Its not my job to have power • Its not my job to decide • I am not the right person to have power • My me as leader and decision maker
  • 22. Ideas for practices: lessons to learn •First ‘No’ RULE Don’t hold unto data •Platform for Empowerment / Informal Relations create conditions for Create Opportunity empowerment Desired Future •Prioritise the area Education the gains •Attitudinal Surveys Time to empower or not to •Accountability empower •Define the Purpose Can’t empower areas •Open Door Policy and Don’t impose empowerment Transparency Power of Empowerment •Ownership Culture Fun at workplace
  • 23. academic discussion • OB advantage corporate • HR practices • HRM / SHRM • CEO • Leadership • HR Chief • Organizational Change • Chief Peoples Officer • Restructuring / OD • Dean and Directors of • Sociology of Culture MBA • Change Management • MDP’s
  • 24. Endorsement on the Work David Ang, MSHRI Executive Director, Singapore Human Resources Institute, Singapore A Talk to Senior Practising HR Managers of Singapore The presentation (your paper) was informative and interesting. They have learned insights on the aspects and benefits of employee empowerment. The talk was timely, as organizations have to give their employees both authority and responsibility to inspire renewed commitment, innovation and initiative. (19th Sep, 2003 / Through Personal Letter)
  • 25. questions asked • Each are accountable for their action & can’t blame others • I am made part of organization & take part in Organisation development process • There is red tapesim & more bureaucracy • I can permit visitors, if I feel so, without any ones consent • One is responsible for ones actions • Management is open to ideas & more information sharing • An open line of communication follows in each team • I can openly give feed back of my boss action • Management feed back is always subjective • I am also involved in decision-making process at all level • I know who appraises me, when, how • I can promise the customers on behalf of management
  • 26. thank you sanbag@rediffmail.com / sanbagsanbag@rediffmail.com
  • 27. Harvard Business Review HBR, July-August, 2010, p:57 When workers are made to feel empowered, the whole organization wins Roger L MARTIN, Dean, Rotman School of Management University of Toronto, Canada
  • 28. PPL
  • 29. Present mm bagali Professor, HR and Management, sanbag@rediffmail.com Jain University, India Work History Research Officer, PRC,Dharwad Director, MBA program, KLE Sy - IMSR, Hubli Director, PGDM / MBA program, CIMR, Indore Dean, MBA program, IASMS, Blore, Dean, MBA program, Acharya Institute of Engg, Blore Dean, MBA program, Horizon Group, Bangalore Education • Global HR Certification • Advanced FDP – Mgt- XLRI • PhD in Social Work (area: PMIR); PhD in Management (area: HR) • 16+ years of HR Teaching