Employee Empowerment and Organizational Effectiveness A Comparative Study of Public Private and Foreign Banks in Some North Indian States

Abstract

The concept of empowerment has gained a lot of attention in present times because of newlineits perceived benefits in the larger form of Industrial Democracy. With the thrust on human newlinerelations gaining ground in the last three decades or so, empowerment has been advocated as newlinea measure to achieve organizational goals effectively. Since the last two decades many newlinestudies have examined this concept from many perspectives. Researchers have approached newlinethe concept from psychological as well as socio-political perspective. While the newlinepsychological concept has been concretized to a large extent, socio structural empowerment newlineis presenting the empowerment theorists with a lot of opportunities and challenges. newlineThe purpose of this thesis was to examine the effects of both psychological newlineempowerment as well as structural empowerment on the organizational effectiveness of newlinebanks. Public sector banks, private sector banks and foreign banks were taken up for the newlinestudy to facilitate comparison on the basis of ownership of banks .Questionnaires were used newlineto assess the perceived levels of psychological, structural as well as organizational newlineeffectiveness of the employees. Competing Values framework was used to measure newlineorganizational effectiveness . newlineData was analysed using correlation, regression, ANOVA, factor analysis as well as newlinediscriminant analysis.All the three types of banks reported high perceived empowerment newlinelevels, however interbank variations were found between the three types of banks regarding newlinethe variables under study. While in the public and private banks organization and job centric newlinefactors could explain variations in effectiveness, in foreign banks individual factors were also newlinesignificant. It can be concluded that organizations need to identify a set of enabling newlineconditions to enhance the perception of empowerment in the employees. newline