A Case Of Procter And Gamble In Uk Management Essay

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April 20, 2013
ABSTRACT
The key objective of the research is to determine the impact of the employee empowerment on the job satisfaction. Though many researches have been carried out for elaborating the notion of employee empowerment, the academicians have not been successful in giving an agreed upon definition. The research would be carried out on the employees of the Procter & Gamble; employed in UK. The proposal consists of the several sections; the first section focuses upon the background of the study; the second section concentrates on the related literature and the theories given by the different authors; the third section focuses on determining the goals and objectives of the research as well as the formulation of the hypothesis; the fourth section includes the methodology of the research that would be espoused for gathering the data and then analyzing that in an effective manner; the fifth section emphasis upon the extent to which this research would add up to the existing knowledge of the readers; the last section includes the research limitations as well as the time schedule for conducting the research. Furthermore, the two important aspects of the employee empowerment i.e. behavioral and psychological have been taken into account to measure their collective impact on the job satisfaction. The questionnaire is developed by using the Likert scale as well as the other scales for measuring the job satisfaction of the employees. In addition, a sample of 1500 participants would be selected using the random sampling. The key limitation of this research is that it involves the employees of Procter & Gamble only as well as eliminates the variables stated in the literature. This study is believed to prove to be beneficial for the managers as it delivers information to the corporations in terms of augmenting job satisfaction and the impact of empowerment on job satisfaction.
Contents
BACKGROUND/ NEED FOR STUDY
The explanations of the notion of empowerment have fallen within a shared frame in numerous facets. In addition, in spite of a general frame being shaped there is no entirely approved upon description of empowerment. The point that empowerment of employees is diligently associated to management instruments and techniques, like job enrichment, motivation, communication, participative management, trust, training, delegation, and feedback, brands it indispensable to scrutinize the perception and its managerial aspect from diverse viewpoints. The researchers approaching the concept from the association and behavior side, like Hales and Klidas (1998), Cole (2003) and describe empowerment as partaking information, knowledge and power with dependents; Cunningham et al. (1996) demote the power to brand a verdict in a way that will cover personnel without the authority to make verdicts. Moreover, Conger and Kanungo (1988) designate empowerment as an inspirational notion associated to self-efficacy and describe empowerment as humanizing the sentiment of self-efficacy of personnel. Conger and Kanungo (1988) grasp that administrative executions for empowerment brand up only a trivial share of empowerment itself, and these applications will not be adequate only. The administrators, impresarios and academics in the field of administration consider the worker as the key resource carrying competitive advantage to corporations, and they are of the view that the empowerment and involvement of personnel is the key to the achievement of the organizations. When the concept of empowerment is scrutinized, it is perceived that empowerment does produce valuable consequences. When the components of personnel empowerment are inspected, it is highlighted that the idea will yield positive consequences for both personnel and establishments.( Carless, 2004).
The studies accompanied on worker empowerment expose that it provides growth to organizational pledge, performance, motivation and patron gratification. The investigations conducted so far have prodigiously put prominence on the association of behavioral and psychological empowerment with job satisfaction as distinct concepts. (Arvey et al, 1989). Though, when behavioral and psychological empowerment are pickled as a complete, their association with job satisfaction will be controlled in a more effectual and operative fashion, in that it is believed to be more ample.( Hardy & O’Sullivan,1998)
Employee empowerment is an extensive and widespread activity, and the manner that empowerment actions are practiced in accord with its components brings up an association between the job satisfaction and the tasks performed by the employees. (Koh & Lee, 2001) There has been sturdy prominence on the relation between job satisfaction and psychological empowerment in preceding studies. The behavioral empowerment, another aspect of empowerment requires expedient communications, an environment of conviction, and inspirational tools being delivered by companies direct a constructive influence in forming job satisfaction. (Bilgic¸1998) Taking empowerment as two distinct concepts, i.e. psychological and behavioral, will irradiate the association between "Job satisfaction" and "empowerment" in a more comprehensive way. In terms of the administrative facets, the key objective is the settings mandatory for empowerment. On the other hand, the discernment of the situations by personnel and how employees recognize themselves make up the psychological aspect of the empowerment. Therefore, this study would deliberate the two extents together in order to elaborate the association between job satisfaction and empowerment. (Mathieu, Gilson & Ruddy, 2006)
AIMS AND OBJECTIVES OF THE RESEARCH
The basic aim of the research is to determine the impact of empowering the employees on their level of job satisfaction. The objectives of the research are as follow;
Identify and analyze the extent of employee empowerment in P&G
Identify and analyze the level of job satisfaction in P&G
Integrate employee empowerment and job satisfaction
REVIEW OF RELATED STUDIES AND LITERATURE
Employee empowerment is basically giving the power to employees to make decisions themselves. Employee empowerment is becoming common part of organizational culture. However (Cole, 2003) has argued that most of the organizations have certain level of employee empowerment based upon the type of business and organizational structure. Hand (1993) concluded that employee empowerment motivates the employees to perform better and employees usually engage themselves more in their job. However the problems with employee empowerment are that employees have different power to make decisions when move from one level to another in organizational hierarchy. Many times it creates demotivation and dissatisfaction instead of job satisfaction. Employment empowerment also brings flexibility in operations of the companies (Mathieu et al, 2006). Blanchard (1996) empirically proved that better communication within the organization is necessary for success of the employee empowerment and bringing job satisfaction. Job satisfaction, on the other hand is broad phenomenon which is influenced by several factors. The most frequent outcome of job dissatisfaction is increase in employee turnover causing fatal consequences to the organization. Measuring job satisfaction provides feedback in terms of diagnosing potential problems as well as productivity issues (Flores & Rodrı´guez, 2008). New findings along with the new implementations make it necessary for management to employ them in order to be effective and efficient.
In spite of the fact that there have been various delineations on the concept of employee empowerment, there has been no complete accord on all aspects concerned. When the works on personnel empowerment is scrutinized, two central tactics can be observed. The one of the important dimension is the behavioral aspect, dealing with the top management’s role in empowering the employees.( Griffin, 2001). The other dimension is the psychological aspect, incorporating the discernment of employees in the direction of the comportment of managers and the situations prepared for them. Though, it is conceivable to see that some academics approach the subject from the viewpoint of the responsibilities and tasks of top management and the activities to be conducted by managers. Moreover, some researchers’ emphasis on how personnel distinguish the actions of empowerment, not on what top administration ought to do to execute empowerment. (Conger & Kanungo, 1988). Employee empowerment encompasses an extensive assortment of activities and the manner the empowerment activities are accomplished in accord with its components that were brought up, it is the association to the job satisfaction that the personnel will attain. Employee empowerment is believed to augment job satisfaction. For instance, He et al. (2010) display that employee empowerment has constructive influences on alleged amenity excellence and job satisfaction. There has been a sturdy importance on the association between job satisfaction and the psychological empowerment in the studies conducted. The element that empowerment is of prodigious standing and advantageous to establishments, is the emphasis of the researches in the field. When this phenomenon is observed within the perspective of P& G, it might be apprehended that the standing of empowerment becomes two-fold, in that the corporation delivers the products to the customers and at the same time; resolves their complaints or the issues that occur and require on-the-spot elucidations to stimulate customer and job satisfaction. (Hechanova, Alampay & Franco, 2006).
The effects and extension of new findings and their managerial implications as well as perceptions of managers by employees will yield clues to the operational use of new findings and implementations. The scope of this research has been limited to one of the largest consumer goods companies in the world; Procter and Gamble Inc. For a company engaged in consumer goods, it is extremely important to keep the employees satisfied as it helps to increase tacit knowledge in the company and make innovative products that can satisfy the customers in the best possible way. (Erstad, 1997) That is why it is necessary analyze the employee empowerment practices at P&G and job satisfaction among the employees in order to improve the performance of employees and company overall.
HYPOTHESIS
It has been deliberated that the studies of the psychological and behavioral empowerment carry the query of the degree of influence of psychological and behavioral empowerment on job satisfaction. In order to conduct a wide-ranging analysis and examination on the association between job satisfaction and empowerment, the notion of empowerment ought to be dealt with encircling both behavioral and psychological extents. Consequently, the two extents of empowerment ought to be taken into deliberation in determining the association with job satisfaction. Therefore, the hypothesis of the study is:
A combined execution of behavioral and psychological empowerment actions in Procter & Gamble influences the job satisfaction of personnel at an augmented degree than psychological and behavioral empowerment taken separately.
RESEARCH METHODOLOGY
As the whole research is concentrated on determining the impact of the empowerment on the Job satisfaction of the employees of the Procter & Gamble, the population of this study would entail the personnel of the P&G working in UK. Owing to the facts that the offices of the P&G are spread all over the UK and cover a massive geographical area and that the total number of personnel in the corporation is very high, a sample group would be selected. It is probable that access to all the prospective participants would have instigated glitches, and the cost and time constraints would have ascertained prohibitive. The method of the random sampling would be used and all the employees would be selected randomly. Such method facilitates the project and reduces the probability of subjectivity as all the employees have the equal chance to be included in the sample. Almost one thousand and five hundred questionnaires would be sent to the employees selected for the research process and it has been deliberated that the analysis would be conducted by keeping in consideration the response rate as well as the number of the questionnaires that would be sent back after filling them accurately to the team. And any inappropriately filled survey would be excluded from the research process. (Dobbs, 1993).
In order to gauge the behavioral empowerment, the empowerment scale advanced by Niehoff et al. (2001) is used. Additionally, a survey with twenty seven statements is shaped, stating to the scales of empowerment used in the researches in the literature and also mentioning to the data given in the associated literature. The survey includes statements about the dissemination of data and funds, authority and responsibility, reliability, participation and personnel support, motivation, job enrichment, communication, training, teamwork, rewarding, learning, and feedback. The concept cogency of the survey has been verified for the reason that the questionnaire is composed of the statements used in other researches in the literature. Also, in order to ascertain the personnel insights of psychological empowerment, the ‘psychological empowerment discernment’ inventory are used which was developed by Spreitzer (1995). The psychological empowerments’ inventory has 12 statements, containing 3 statements for each aspect and including labels like sufficiency, value, choice free will and impact. The surveys are formed in accord with the Likert scale in which 5 options are given to the participants; ranging from the "very high" to the "unsatisfactory", with each option given the points. The scale used to gauge the levels job satisfaction of the personnel is the ‘employee job satisfaction scale’ advanced by Weiss et al. (1967), with twenty extents gauging the job satisfaction. The MSQ (Minnesota Satisfaction Questionnaire) embraces more wide-ranging extents in contrast with other scales of job satisfaction. The measure was designed in a manner to ascertain the degree to which the personnel are gratified with the present settings of the P&G on a five-point Likert scale. In addition, the codes are allotted to each given option that facilitates the process of analyzing and obtaining the results from the findings. Moreover, the quantitative research is preferred over the qualitative research for the reason that it allows the large number of participants to be involved as well as ease the process of analysis. Also, it supports the researchers to conduct the process while being objective; thereby reducing the impact of biasedness or subjectivity. Moreover, the Quantitative research pursues explanatory laws while the qualitative research intents at detailed and thorough description as it gauges what it undertakes to be an inert certainty in hopes of evolving universal laws. The SPSS (Statistical Package of Social Sciences) would be used for scrutiny by smearing Independent Sample T-test, regression, and frequency distribution.
INCRESE IN READERS’ EXISTING KNOWLEDGE
The key goal of the study is to support the corporations in augmenting the job satisfaction of their employees as well as to comprehend the relation between the employee empowerment and the job satisfaction. It has been deliberated that in order to come across the demands of patrons as well as to satisfy them, it is imperative to empower the personnel so that they may be able to respond to the customers’ complaints and feedback spontaneously. Also, the performance of the employees is closely and directly connected to numerous factors including the way the amenity is delivered to the patrons, the working setting, his/her speed, knowledge, capability and abilities, power in terms of problem solving and etc. Activating executions envisioned for employee empowerment will significantly contribute to the corporations by delivering competitive advantages particularly in segments where personnel and employers encounter a ferocious rivalry. (Erstad, 1997)
Moreover, the given literature and other theories presented by the different authors provide a basis for the formation of the hypothesis. The corporations can deliberate the point that by empowering their employees or the personnel, they would be in the better position to reduce their costs as well as to increase the productivity of their staff. It is not only beneficial for the employees, but for the employers too. The study has put major emphasis on reflecting the two-fold benefits of the employee empowerment. It would support the readers in comprehending the in-depth and comprehensive knowledge as well as the literature related to the employee empowerment and its impact on the Job satisfaction. The methodology of the research is designed in the way that it facilitates the maximum input from the personnel of the P&G which forms the basis for delivering effective and valuable knowledge or information to the other companies who intend to utilize their Human resources at their maximum. In addition, the usage of the Likert scale and the Empowerment as well as the Job Satisfaction Scales has increased the validity of the study to a greater extent and it has aided the corporations of the present times to take the advantage from the study at the optimal level. Moreover, the study provides certain recommendations to the corporations or the establishments in order to take the advantage of their Human Resources. Based on the study, it is vital that managers ought to design the opportunities/facilities to be delivered in accord with the competences and needs of their personnel and ought to certify that all personnel are vigorously involved in all these progressions. This would deliver a lot of advantage in the long run for corporations to deliberate the expectations and opinions of personnel regarding implementation. To be gratified with the occasions’ empowerment will offer and to grasp that their ideas are deliberated in the decision making procedures will certainly advance the level of workers’ job satisfaction and his level of commitment to the organization.
The study has also deliberated the point that the nature of amenity delivery demands on-the-spot elucidations and receptiveness. Empowered personnel will be competent to use individual abilities and initiative to deliver on-the-spot way out and approachability, which are believed to improve amenity quality. Furthermore, the research has provided the corporations with certain valuable suggestions as to enhance their performance and productivity. Additionally, the Service excellence is certainly concerned with the way amenities are provided, job environment, and power of the personnel over explicit matters. (Koh &. Lee, 2001)
Authorizing the above-mentioned influences in line with the prospects of the personnel will be imitated in patron gratification as well as job satisfaction. In the contemporary world, the corporations encounter direct interaction with their patrons and therefore grievances are made to employees providing amenities. This could direct to anxiety, discomfort and skirmish from the perspective of personnel. At this point, the approach that administrators take in the direction of personnel is of great standing in terms of job satisfaction and motivation. In specific, customer contact amenity personnel play a boundary-spanning part in the FMCG industry where they interrelate with many entities from inside (fellow workers and administrators) and outside their establishments. Since exceptional patron service necessitates personnel to be empowered to make many amenity decisions autonomously and on the spot, abridged worker desire for empowerment does not errand the benefits of the corporations. Consequently, it is imperative to find approaches that can aid to advance employees’ longing for empowerment.
In addition, the study would help the corporations in realizing the need of employee empowerment at the workplace. Employee empowerment has an increased standing, particularly in the FMCG sector, where the companies consider their priority to gratify their customers in order to keep an edge over their competitors as well as to enhance their customer service facilities. In the FMCG sector, clienteles reasonably desire that their wants and needs are encountered as rapidly as possible. When empowered, the personnel will have the benefit of delivering the discontented patron with numerous replacements by using his/her creativity and personal abilities in rapid decision-making to answer to patrons as fast as possible. This study proposes that both extents of empowerment i.e. psychological and behavioral as well as the initiation of practices in accord with this will have a more influence on worker job satisfaction level.
In this respect, it can be concluded that this research will contribute to the associated works and to the manner employee empowerment actions are practiced in corporations, when administrators and academics aiming to conduct research into the focus consider both extents of empowerment instead of handling them separately and singly. Such methodology will deliver advantages in terms of having a sounder and stronger basis for both administrators and the linked literature. In brief, the employees of the corporations incline to have more auspicious work behavior and attitudes if they perceive satisfactory social associations in their workplace.
However, the study has revealed that the notion of empowerment is relative. It is a social concept nested in how the people assimilate discernments of personal control, a preemptive tactic to life and an empathetic of the socio-political setting. Therefore, empowerment can be observed contrarily across cultures and societies and therefore the accomplishment of empowerment as an administrative practice hinge on the suitable understanding of the socially based norms, values and principles apprehended by those who are being managed. (Cole & Diaz, 2003). Furthermore, measuring job satisfaction delivers feedback in rapports of identifying probable glitches as well as efficiency matters. New verdicts along with the novel executions make it essential for administration to employ them in order to be operative and competent. The impacts and leeway of new findings and their administrative inferences as well as discernments of managers by personnel will yield hints to the operative use of new verdicts and implementations.
Hence, it can be deliberated that the consumer goods industry is very drenched as well as competitive. This influence necessitates the corporations to keep an edge on the basis of learning curve, information and personnel knowledge. It can be accomplished by keeping the personnel contented and retain them for extended period of spell. (Hardy & O’Sullivan, 1998) Most of the international corporations have considerable number of personnel employed. Cost of employment and development of the personnel are great as well as the up surging number of personnel upsurges the necessity to delegate authority. This provides the basis that why it is significant to aid the corporations to keep the personnel contented. The significances of this study would be very constructive. This study will help the corporations to comprehend how significant it is to empower personnel and regulate the degree to which this empowerment would generate affirmative consequences.
LIMITATION
Though this study was steered in the Procter & Gamble, it can be suggested that all corporations, irrespective of their field, will certainly attain more effectual consequences by seeing both the psychological and behavioral extents of empowerment, instead of deliberating empowerment as a single object. The one important limitation is that the study took into consideration only one multinational corporation and the variables included in the research were different than the ones that were comprehended in the literature.
TIMETABLE
The research process would start in June 2013 and it has been anticipated that it would end on March 2014. It will take approximately 9 months for its completion.
PROPOSED THESIS STRUCTURE
The proposed thesis structure is as follow;
CHAPTER 1: The introduction to the subject as well as the explanation of the need of study
CHAPTER 2: Determining the aims and objectives of the study
CHAPTER 3: The relevant literature and theories
CHAPTER 4: The hypothesis that needs to be tested
CHAPTER 5: The Research Methodology
CHAPTER 6: Analysis of the findings and interpretation of results
CHAPTER 7: CONCLUSION AND IMPLICATIONS
GLOSSARY
TERMS
MEANING
Employee Attitude
Refers that how the employees behave at the workplace and displays their conduct.( Zidan,2012)
Employee Empowerment
Generating a work setting where the employees are permitted to make their own verdicts in precise work-related circumstances.(Potterfield,1999)
Job satisfaction
Level of contentment a person feels regarding his/her own job. (Zidan,2012)

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