PGBM 02

MBA BUSINESS ADMINISTRATION

Managing & Leading People

ASSESSMENT: Analyse the managerial and leadership skills and competencies which are
required to empower employees within modern organisations.

Prepared for: Dr. Mukunda Kumar / Allison Abbott

Prepared by : Hazem Mohsen Ibrahim Mohamed Moustafa Ali

Student Number : Bg91nj / SCSJ1500134

Date of submission : 6/5/2019

Word Count: 2,846

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 UNIVERSITY OF SUNDERLAND

ASSESSMENT COVER SHEET / FEEDBACK FORM

MBA
Student ID: Bg91nj / SCSJ1500134 Student Name: Hazem Mohsen Ibrahim Mohamed
Moustafa Ali
Module Name: Managing and Leading People Module Code: PGBM02

Centre / College: SEGi College Subang Jaya Due Date: 7/5/2019 Hand in Date: 6/5/2019

Assessment Title: Analyse the managerial and leadership skills and competencies which are required to
empower employees within modern organisations.
Learning Outcomes Assessed:

Learning Feedback relating learning outcomes assessed and assessment criteria given Mark:
Outcomes to students:
Assessed:

Areas for Commendation:

Areas for Improvement:

General Comments:

Assessors Signature: Overall Mark (subject to ratification Moderators Signature:

by the assessment board)

Students Signature: (you must sign this declaring that it is all your own work and all sources of information
have been referenced)

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 TABLE OF CONTENT Page No.

1.0 Introduction…………………………………………………………………………… 1

2.0 Concept Defining of Empowerment…………………………………………………. 1

3.0 Effective factors in the process of employees’ empowerment……………………... 3

4.0 Managerial and Leadership Skills & Competencies to Empower Employees in 3

Workplace……………………………………………………………………………..

5.0 Conclusion ……………………………………………………………………………. 7

Reference

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1.0 Introduction

Employees are basic pillars in today’s organizations in terms of performance, productivity

and overall development of a company. Employees play a very important role in a company’s
framework, activities and development (Krishantha, 2018). The growth and development of
any company relies mainly of the proper utilization of the manpower aspects contributing to
the company. Human Recognition is considered a strategic element to maintain the
availability and survival of any organization in today’s world. Increasing respect towards
employees results in organizational changes and developments (Durden, 2018).

In order to cause success in an organization, Human Resource Empowerment is a highly

efficient tool that increases employee’s commitment and motivation towards their day to day
tasks. Ensuring the commitment of employee’s in their workplace became a goal for every
company due to the rapidly increasing competition in various markets; therefore, companies
try to empower their employees to retain them as long term talent in the company (Cesário
and Chambel, 2017).

One of the main goals for any organization is to develop employee commitment as it results
in maintaining its existence and survival. According to Vida & Vilte (2012), In order to
achieve organizational goals, companies will need to gain employee’s high commitment and
loyalty. Employees tend to become loyal and committed to a specific company when they
feel involved and empowered within the organization. This report discusses and analyse the
major managerial and leadership skills and competencies required in empowering employees
within a modern organizations.

2.0 Concept Defining of Empowerment

The process of creating collection of required capacity in employees to enable them to add
value, play a role and have responsibilities in an organization efficiently and effectively is
referred to as Human Resource Empowerment (Ganjinia, Gilaninia and Sharami, 2013)
According to (Fernandez and Moldogaziev, 2013), the process of empowering employees
will result in developing feelings of motivation which will help the employees gain authority
and control and apply critical knowledge and skills in dealing with Day to Day work tasks or
dealing and managing customers. The main aim is developing an empowerment programme
is to give power and authority to employees through their managers or company management
which will develop sense of responsibility towards the company. Empowered employees will
eventually improve their recognitions, status and performance. According to (Wadhwa &
Verghese, 2015), Empowered employees will tend to develop positivity and aim to provide
their best efforts at the workplace which will also influence other employees in the company
positively. Moreover, Ripley & Ripley (1992) stated that motivation in several aspects will be
increased due to empowerment including: routine work, job satisfaction, loyalty and
productivity, as well as reduces the turnover intentions among them. According to (Meyerson
& Dewettinck, 2012), Empowerment of Employees at workplace has been recognised as an
essential factor in organizational success and it has been recognized as a direct factor in
improving employee performance, enhance job satisfaction and organizational commitment.

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Several studies have concluded that empowerment had a positive effect on job satisfaction
(Raza, Mahmood, Owais, & Raza, 2015; Wadhwa & Verghese, 2015) and organizational
commitment (Gholami, Soltanahmadi, Pashavi, & Nekouei, 2013)

According to Laschinger, Finegan, and Shamian (2002), In order to achieve a better

organizational effectiveness, organizations needs to develop an environment and culture that
encourage and improve the applications of empowerment in workplace which will result in a
positive impact on employees’ commitment and motivation towards the organization.

2.1 Empowerment Approaches

Empowerment is categorized under two concept; Mechanical Approach and Organic

approach. Empowerment approached are defined and explained below.

2.1.1 Mechanical Approach

Mechanical Approach refers to empowerment through delegation by top management to

employees which however sets limits and boundaries to employees and increases managerial
control (Boula 1994).

The Empowerment process in this approach is designed to develop a clear vision with goals
and specific tasks to be achieved in the organization set by the top management. Top
management will offer the needed information and resources for the employees to perform
their tasks and process improvement.

2.1.2 Organic Approach

Empowerment based on Organic approach starts from bottom to top whereby employees are
committed and capable of achieving goals and processing their role in the organization.
Therefore, in this approach, Empowerment is not carried out by managers or top management
but employee’s mind-set and committed towards their role in the organization empowers
them. However, the management of an organization can provide a required platform for
empowerment of employees. (Spritzer 1995)

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3.0 Effective factors in the process of employees’ empowerment

According to Steven, Danielle, and Sylvie (1999), Employee empowerment is an essential

factor for any organization to grow and succeed; however, there is several factors that help
top management execute a health empowerment plan. This includes setting specific
objectives and responsibilities so that employees are aware of their role and duties towards
the organization. Organizations need to provide job enrichment and promotions to employees
to keep them motivated and rewarded on their performance. Managers needs to create an
organizational belonging atmosphere where employees can feel respected and appreciated as
well as assisted if they face any problems.

Moreover, a company need to create positive environment and healthy relationship among
staff consisting of trust, sincerity and honesty which will result in productive motivational
atmosphere among employees. This will also encourage participation and teamwork which
will result in involvement of employees in decision making and cooperation. Another factor
includes communication, transparency and clarity among managers and employees. Working
environment also contributes to the success of employee engagement; organization should
provide events and activities to reduce stress, workload and tension on employees. Lastly,
managers must develop the skills, knowledge and information of their employees in order for
them to develop and be able to take over new tasks and positions through trainings and
mentorship (Khan, 2009).

4.0 Managerial and Leadership Skills & Competencies to Empower Employees in

Workplace

In most of the organizations, Managers have a dual responsibility as they are in charge of
both the organization and the organization’s employees. According to Obioma Ejimabo,
(2015), leadership is the ability to empower other employees in the workplace to develop new
management or human system to effectively achieve change through decision making and
organizational goals.

On the other hand, Business functions carried out for various means are the mission of
Management. It can be summarized that management is a skill to deal with tasks or things
while leadership is mainly developed to deal with employees in workplace. Budgeting,
projects and business affairs can be directed by managers while empowering employees can
only be directed by leaders.

4.1 Goal Setting

In order to be an effective leader, setting clear goals is a very important step to achieve.
Leadership takes place in operationalizing the process of achieving goals as teamwork rather
than just setting goals. The ability to set goals as a team is an important leadership skill as it
motivates employees, encourages compliance, adds accountability to employees and sets plan
for the future. Moreover, Goals set by leaders should fit into the SMART criteria whereby it’s
specific, measurable, and realistic enough to be attainable (Starks, 2015).

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4.2 Time Management

Time management is considered to be the art of using time effectively to accomplish specific
tasks efficiently. Managing time allows leaders to assign time to all tasks and activities based
on priority. Since time is always limited, Time management will allow leaders to make the
best out of their time. Time management is a major aspect in any leader as it plays important
role in organization effectiveness. Time management includes: Effective planning which is
the ability to prepare a list of tasks that need to be accomplished in specific time frame.
Setting realistic goals and targets based on the time as well a setting deadlines for tasks to be
accomplished. Obtaining a time management skill will allow leaders to prioritize tasks based
on urgency and ability to achieved targets. Time management will also create a mind-set of
spending the right time on right activity (Porta, Anderson and Steele, 2013).

4.3 Team Building

One of the main leadership skills that can enhance any manager’s skillsets is the ability to
create a teamwork atmosphere in an organization. Managers who are able to work in teams
enjoy several benefits when they are able to create teamwork behaviour in organization
(Mattson, 2017). This includes employee’s accountability and involvement as everyone will
have the right to influence the decision making and understand the results and consequences
as well as allow employees to contribute with knowledge and ideas on how work is done or
how a task can be accomplished. Leaders will need to create a purpose, empower employees
to take roles within a group and motivate them to do their jobs as well as praise them when
goals are achieved or tasks are accomplished. Moreover, Leaders will need to encourage open
discussion and brainstorming among team in decision making process. Leaders should be
open to hearing new ideas and new ways of thinking and executing tasks (Kelly, 2015).

4.4 Empowerment of soft skills

Leaders need to obtain the ability to empower employee’s soft skills in order to enhance the
employee’s performance overtime. The ability to develop employees will keep them
motivated and committed to contribute to the organization. Leaders need to understand the
level of employees and plan how they can develop accordingly. Empowering employees’ soft
skills includes: Adaptability & Flexibility, Motivation, Managing Responsibility, Time
Management, Communication skills, Team working, Conflict management, Service skill,
Decision making, Problem solving, Creativity and innovation, and Critical thinking. When
leaders empower these skills in their employees, it will result in a better motivated work
culture and environment as employees will since their personal development. In long term,
leaders will be ability to create new leaders in the organization who can positively influence
other employees to develop and perform better which will have a positive impact on the
organization (Rihal, 2017).

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4.5 Communication

Communication is the utmost essential key for a successful leadership (Towler 2003). A
leader is an individual with a specific set of skills that enables him to step forward and be in
charge or mentor a team who are inexperience and lack skills. Leader will try to coach and
train his team by motivating, mentoring and guiding employees to achieve their individual,
team, and organizational targets. A great leader must be a great communicator as they are
always required to communicate with other individuals or team to inculcate values, missions
and task into other employees. Communicating efficiently will then result in their team
appreciating and following them as leaders. Leaders have the ability to communicate with
passions and ambitions when mentoring, guiding, or delivering an idea to others. Leaders
who lack good communication skill with not be able to deliver the message or idea to the
audience; therefore, the purpose of communication will not be achieved. Listening and pay
attention to details is also a factor that enhance the communication skills of a leader as
through listening leaders will be able to analyse and observe details that can represent the
person’s or group behaviour, feelings, attitude, ideas, and perception and will be able to
communicate with them based on the situations (Luthra, and Dahiya, 2015).

Best leaders and managers are the ones who are able to communicate effectively to encourage
and stimulate their team and employees. This results in spread of responsibility, commitment,
discipline and work ethics across team members and employees. Therefore, employees feel
empowered and responsible. Communication will allow leaders to empower their team or
employees more efficient and effective as employees will appreciate the leader’s effort and
will be willing to follow him.

4.6 Teamwork Competency

The ability to work in team and create a teamwork atmosphere is very important competency
that leaders need to obtain; Team work is the ability to work with others on specific goals or
targets. Leaders need to make sure all the team is involved and actively participating to
achieve the goals. Creating a teamwork atmosphere will increase employee’s responsibility
and accountability as well as contribution towards a specific goal (Ratcliffe, 2016)

4.7 Multicultural Competency

In order to work and communicate with people from different cultures, Multicultural
competency is required as it gives you the ability to understand and accept other cultures and
behaviours. Leaders are responsible of ensuring diversity in their organization and respect of
other people around them. Diversity is very broad as it could be one’s ability, race, ethnicity,
religion, gender, or sexual orientation. Such diversity should not build barriers between
employee and managers or leaders that might affect relationship or communication (Lopez,
2015)

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4.8 Self-Management Competency

Leaders need to have a proper self-management competency which will allow them to be
more productive in workplace therefore have a better impact on their team. Self-management
includes the ability to solve problems, stress relief, efficient communication, efficient time
management, and healthy behaviours. All these factors will have a positive impact on leaders
and their team to develop and empower them (Steyn & Staden, 2018).

4.9 Emotional Intelligence

Emotional intelligence is very important competency that leaders need to obtain in a

modernized workplace. As of 2019, Gen Y and Z are already a part of the work force of any
organization and leaders need to be able to absorb them efficiently to have positive outcomes
in terms of performance and commitment. Leaders need to be able to recognize other
employee’s moods and emotions as it is very important to respect other’s emotion and mood
as well as consult them if they are facing any problems. Leaders need to build an emotional
understand and relationship between individual of the team as this enhance trust and respect
between each other. Leaders need to obtain empathy towards their team and understand their
emotional feelings as well as to be sensitive towards their emotions. Leaders need to obtain
self-regulation and control which is the ability to take decision based on critical thinking and
not emotional feelings as well as redirect disruptive moods and to suspend judgment. Lastly,
Leaders need to have an effective social skill that help them manage relationship and build
networks and connections as well as the ability to create links and find common ground and
interests (Gleeson, 2015).

4.10 Leadership Style

Different leadership styles have different kinds of outcomes with direct or indirect effect on
the employee behaviour and attitude within the organisations.

The outcomes of every leadership style are different from one another with different direct
and indirect effects on the behaviours and attitude of employees within an organization.
Transformational leadership, based on previous studies, have been proven to have a positive
impact on employee performance, engagement, and retention within an organization, On the
other hand, Transactional leadership showed a negative impact on the employees and
organization’s performance in the long term. Creativity of employees, motivation, self-
efficacy, and performance of the organization were positively influenced by adapting a
transformational leadership style. All these factors will result in a healthy empowering
environment for employees to develop and grow within an organization. (Gong, Huang, &
Farh, 2009; ; Bronkhorst, Steijn, & Vermeeren, 2015; Vasilagos, Polychroniou, & Maroudas,
2017) However, Job satisfaction was enhanced through transactional leadership in comaprion
with transformational leadership (Boamah, Laschinger, Wong, & Clarke, 2018).

By adopting a transformational leadership style, leaders help employees adapt to

organizational changes in a competitive and challenging situation (Bommer, Rubin, &
Baldwin, 2004; Vasilagos et al., 2017; Kark, et al., 2018).

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Hence, adapting to either transactional or transformational leadership style will have different
impact on both employees and organization.

Aside, the least effective leadership style is considered the laissez-faire leadership style as it
has been found that laissez-faire leadership style has a negative impact on employees or the
followers’ performance, commitment, development and productivity in workplace.

However, it is hard to conclude which leadership style has a better impact on employee
empowerment as each employee have his own behaviours and habits which might require
different leadership style. Yet, with the leader’s skills and competency, it is easy to analyse
and predict which method and style would have a positive impact on employee empowerment
towards a team or an individual. Leadership style that can allow employees to have certain
degree of impendence and responsibility to take decisions on their specific organizational
tasks will have a better impact on the empowerment process.

5.0 CONCLUSION

Empowerment of employees is a strategy connected with several effective benefits for any
organizational long-term success and development. Employee empowerment fundamental
principle is providing employees with authority, freedom, flexibility, and confidence to take
decisions and solve problems within the organization. This results with an energized,
motivated, committed, and capable employee which contributes to the overall success of the
organization. The outcomes of empowering employees is mainly increased productivity and
work quality, increases satisfaction, enhance collaboration among employees, reduce
organizational cost, and create a health exciting working culture that contribute positively to
the growth of the organization. Organizations with all these benefits will be able to achieve a
competitive advantage and to bolster its bottom line. However, for a successful employee
empowerment strategy, organization need to assure that leaders have the right skillset and
competency to empower employees correctly through setting smart goals, effective time
management, team work, employee development, healthy communication, and healthy
relationship among employees and leaders.

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