Today’s managers expect the workforce to be more creative and full of innovative ideas because it is fundamentally innovation and creativity that is valued the most in the present age and provides the contemporary organizations with competitive advantage. Empowerment of the workforce reduces the cost of business as top management finds help from the existing human resources. In this paper, I argue that empowerment is a tool with which an organization’s efficiency and effectiveness can be improved. This paper starts over by first explaining the topic of the paper and discussing the concept of empowerment. This is followed by a discussion of the reasons why empowerment should be considered as a tool of improving an organization’s efficiency and effectiveness. The first reason is that empowerment increases an organization’s tendency to be creative and innovative in the design of its products and/or services. The second reason is that empowerment puts the workers in a position where they can actually play their individualistic and collective role in the growth and prosperity of the organization. The third reason is that empowerment creates a healthy psychology of workers at the workplace that is a pre-requisite of the utilization of full potential on the part of the workers.
An organization’s success is measured by two main factors. its efficiency and its effectiveness. The efficiency of an organization can be understood as the productivity of the organization or the useful work that was achieved by the organization as it had intended to. On the other hand, the effectiveness of an organization can be understood as its power, weight, or influence that it may use to achieve its goals. Different organizations have different goals and accordingly, the effectiveness of an organization is measured from the level to which the goals have been achieved.