1. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-1 Chapter 8 Empowerment and Participation

2. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-2 THE NATURE OF EMPOWERMENT AND PARTICIPATION What Is Empowerment ? Empowerment 1.Job mastery 2.Accountability 3.Role models 4.Reinforcement and persuasion 5.Emotional support

3. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-3 THE NATURE OF EMPOWERMENT AND PARTICIPATION Figure 8-1 The process of empowerment

4. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-4 THE NATURE OF EMPOWERMENT AND PARTICIPATION What Is Participation ? Participation Involvement Motivation to Contribute Acceptance of Responsibility Why Is Participation Popular ? Ethical imperative Benefits of Participation

5. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-5 HOW PARTICIPATION WORKS The Participative Process The Impact on Managerial Power Leader-Member Exchange Leader-member exchange model Two Views of Power

6. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-6 HOW PARTICIPATION WORKS Figure 8-4 Two views of power and influence

7. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-7 HOW PARTICIPATION WORKS Prerequisites for Participation - Major prerequisites are 1.Time to participate 2.Benefits of participation should be greater than the costs 3.Relevant and interesting 4.Ability to participate 5.Mutually able to communicate 6.Neither party should feel that its position is threatened 7.Within the group’s area of job freedom Area of job freedom

8. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-8 HOW PARTICIPATION WORKS Contingency Factors Differing Employee Needs for Participation Underparticipation Overparticipation Responsibilities of Employees and Manager

9. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-9 PROGRAMS FOR PARTICIPATION Figure 8-8 Selected types of participative programs

10. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-10 PROGRAMS FOR PARTICIPATION Participative management Suggestion Programs Quality Emphasis Quality Circles Total Quality Management (TQM) Self-Managing Teams Employee Ownership Plans

11. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-11 IMPORTANT CONSIDERATIONS IN PARTICIPATION Labor Union Attitudes toward Participation Limitations of Participation Managerial Concern about Participation Concluding Thoughts

12. McGraw-Hill/Irwin © 2002 The McGraw-Hill Companies, Inc., All Rights Reserved. 8-12 Questions