Employee empowerment works at small companies too

Citation

(2007), "Employee empowerment works at small companies too", Human Resource Management International Digest, Vol. 15 No. 2. https://doi.org/10.1108/hrmid.2007.04415bad.012

Employee empowerment works at small companies too

Employee empowerment works at small companies too

Marshall R., Talbott J., Bukovinsky D. Strategic Finance (USA), September 2006, Vol. 88 No. 3, Start page: 34 (5 pages)

Purpose – To describe a formal employee empowerment programme at a US company. Design/methodology/approach – Explains why the company suggestion box was replaced with the WISE (workplace improvements suggested by employees) programme which encouraged employees with ideas to implement them; and gave public recognition and prizes. Reports that in three years WISE considered 450 ideas (most from a small segment of workers), saved over $275,000 and raised employee morale. Describes five categories of these ideas: safety, quality, workplace organization/cleanliness, cost saving and process improvement. Stresses that formal procedures and rules force managers to support the programme, contrasts this with another company where employee empowerment failed and recognizes that workers need full information, encouragement and the freedom to make decisions in order to make their best contribution. Points out that although empowered employees sometimes make bad decisions so do managers; and that the benefits of empowerment far outweigh the risk. Originality/value – Provides a detailed example of a successful employee empowerment programme.Reference: 35AY403

Keywords: Business policy, Employees, Empowerment, Ideas generation, United States of America