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Discuss the benefits and risks of empowering employees within a business. - Leaving Cert Business - Question A - 2012

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Discuss the benefits and risks of empowering employees within a business.

Worked Solution & Example Answer:Discuss the benefits and risks of empowering employees within a business. - Leaving Cert Business - Question A - 2012

Step 1

Benefits of empowering employees

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Answer

  1. Quicker Decision Making: Empowering employees gives them the authority to make decisions, leading to faster and more efficient resolutions in business operations.

  2. Increased Responsiveness: Employees become more responsive to customer needs as they are encouraged to utilize their skills in addressing issues, which improves customer satisfaction.

  3. Enhanced Motivation: Empowered employees often experience increased job satisfaction and motivation, which can lead to better workplace morale and loyalty.

  4. Readiness for Advancement: When employees feel empowered, they may be better prepared for promotions, as they take on more responsibilities and develop new skills.

  5. Focus on Strategic Goals: Management can allocate more time to strategic planning when employees handle lower-level decision-making.

Step 2

Risks of empowering employees

99%

104 rated

Answer

  1. Inadequate Training: If empowerment is implemented without proper training, employees may make poor decisions, leading to errors that can harm the business.

  2. Overwhelming Responsibilities: Increased responsibilities can lead to employee dissatisfaction, especially if they feel unprepared to meet the demands.

  3. Loss of Control: Managers may find it challenging to maintain oversight and control, which can create confusion and inconsistency in decision-making.

  4. Conflict Potential: There is a risk of conflict arising between managers and employees due to differing views on authority and responsibility.

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