Employee Empowerment as a Catalyst for Business Growth

MX Bites / December 14, 2023

The power of the workplace truly lies in the strength of the employees at work. Therefore, employee empowerment is important for the long-term success of any business. Not only does it improve the outcome of the business, but it also influences employee retention and engagement. According to the LinkedIn 2023 Workplace Learning Report, about 94% of employees affirm that they will stay longer at a company that invests in them. This shows that a lot of employees are not only on their jobs for the pay; they also prioritize getting experience and growing to an appreciable point in their careers.

Unfortunately, a lot of companies don’t understand the impact of empowering employees, and this has led to a decline in business growth and high employee attrition. Business owners need to understand that employees are pillars, and how well the company thrives is dependent on the strength of the pillars. Therefore, this article seeks to expand the concept of employee empowerment and how crucial it is to the success of any company.

What is employee empowerment?

Employee empowerment refers to the act of providing employees with the necessary training, tools, support, and resources for them to perform well in their roles and contribute to the success of the company. It is the process of giving employees the authority, autonomy, and responsibility to make decisions and carry out actions that are consistent with their roles and duties. 

Employee empowerment is based on the notion that when workers at all levels of an organization are allowed the freedom to use their talents, expertise, and creativity, they can positively impact the company’s performance.

How Employee Empowerment Influences Business Growth

Empowering employees is equivalent to giving them authority and influence in their space. It validates their strengths, fuels them, and energizes them to give back to the company to bring about growth and development. Following are the ways employee empowerment can influence the growth of an organization:

• Improved Decision-making: It becomes a problem when the only authorized person to make decisions in the organization is the CEO or business owner. Not only does it slow down the work process, but it also leads to inaccuracy in decision-making. This is because a single person does not make the best and most accurate decisions, but rather a number of informed people who can make comparisons and draw intelligent conclusions. The swiftness in decision-making it brings is also an edge in this business era where fast decision-making is essential for staying ahead of the competition.
• Builds trust in employees: When organizations invest in their employees, it boosts their confidence in them and gives the business owner the liberty to go on with more crucial aspects of their business without worrying about supervising them. Therefore, work is distributed according to their different capabilities without fear of failure. The business leaders are also at liberty to make moves that facilitate business growth.
• Spurs creativity and innovation: When people are placed in positions of responsibility without supervision, it breeds new dimensions of creativity in them. Innovations arise from the fact that they are compelled to solve every issue they come across on their own, without the assistance of a higher authority. When innovation is prevalent in the workplace, progress is visible, and people are motivated to interact with the company.
• Encourages employee satisfaction and retention: Empowered employees are satisfied employees. When business owners show that they trust their employees by placing them in positions that require innovation and strategic decision-making, it boosts their sense of importance and satisfaction. Hence, they are more motivated to stay longer in the organization, putting in their best to ensure that it keeps growing to attain global relevance.
• Improved customer interaction: When a positive aura is prevalent in the workplace, it naturally flows to the customers. Empowered employees are confident about making decisions about the customer experience and boost the employee-customer relationship. The positive energy customers feel in the workplace encourages them to become regular customers and create brand awareness through referrals.

Conclusions

Employee empowerment is a bedrock for global influence and an essential initiative for gaining a competitive edge. When a reduction in productivity exists in the workplace, then it’s an issue with weak staff and a call to action to empower employees with the necessary training, resources, and tools necessary to help them perform at their best. When this is put in place, sporadic business growth is ensured, and this energy flows to the customers, who are motivated to build trust in the company. Therefore, both business growth and growth in the customer base are achieved.