The Influence of Leadership Empowerment Behavior on Organizational Performance

Abstract

Employee empowerment is an expression frequently used in today's executive circles and it has gained importance in the management policies and practices. The purpose of this study is to determine the conditions under which leaders of organization lend hand in empowerment implementation and sustain its level as per the cultural context of that particular organization and then its overall impact on organizational performance. Data is collected from a sample of 300 middle managers through structured questionnaire and interviews. Results indicate positively significant relationship of employee empowerment sustainability to supervisory support, capable authorities, trust, task clarity, responsibility, co-operative relationships, teamwork, and motivation. Global weighted indices are obtained through the application of Analytical Hierarchical Process (AHP). Results show that the potential or the well-managed factors in sport industry include authorities' competence, professional attitude, and the concern for the development of their employees. Whereas the potential factors for textile sector are competence, trustworthiness, and abilities of higher authorities. The potential factors for automobiles industry are depicted by competence, hard work of higher authorities, and trustworthiness on their departmental managers. In Pakistan, however, mostly authorities work with directive management instead of providing their employees with added control and discretion over task, rewards and empowerment training. Originality of this study uses multidimensional AHP technique to prioritize factors that influence the leadership empowerment behavior on organizational performance in different business settings within the context of Pakistan.