Document Type

Closed Project

Publication Date

Spring 2010


Antonie Jetter

Course Title

Human Side of Technology Management

Course Number

ETM 519/619


Organizational change, Reengineering (Management), Employee empowerment -- Effect on company performance


This paper presents the findings of literature review on employee empowerment including the controversy around it and determines how empowerment is linked to company performance. Does employee empowerment have a positive, negative or mixed impact on company performance? Many authors have differing opinions on the definition, application and organizational impact. Among the authors is Ricardo Semler who claims that his organization’s success is attributed to the extreme application of employee empowerment. Ricardo Semler claims that radical employee empowerment leads to profitable organization. Is empowerment a measurable process and can it be a key performance matrix of the organization? If it is, how is employee empowerment achieved and how is it measured? The findings will show that empowerment is a complex word that carries many different meanings. Moreover, finding consistent measures is impossible because the concept of human-resources employee empowerment is not only complex, it is controversial. However, the findings also show that employee empowerment has a positive impact on employee motivation and happier employees which suggests leads to increased performance.


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