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Impact Of Employees Participation In Decision Making

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Discuss about the Impact of Employees Participation in Decision Making.



The involvement of employees in decision-making that is concerned with shared decision-making is described by participation of employees. It also describes the participation of employees as a combined decision-making between managers and assistants. As opined by Mowday, Porter and Steers (2013), it is a special form of entrustment in which the assistants achieve control as well as preference with respect to conduit the communication gap between the management and employees. It indicates to the degree of involvement of workers in the tactical planning activities of the workers. An organization can have deep or trivial participation of workers in decision-making. The participation of employees in decision-making has a positive impact on employee performance as it leads to potential innovation that in turn assist prospects and recognition in the organization.

Problem Statement 

The problem that is related to employee participation decision-making subsists in the industrial set-up is very divisive. Some industries practices participative decision-making and the government had also encouraged participative decision-making with the help of legislation. Conversely, there is some management writers who are of the opinion that participative decision-making do not exit and if it exits, it is not real. On the other hand, research into leadership style had rendered that desire of the workers for involvement in decision-making in several firms (Kaner 2014).

The problem mostly outlines the fact that participation though acquired has not been visibly acknowledged as well as its advantages. Some of the individuals feel that the decision-making procedure is the sole choice and as a result, it should be protected. However, some of the top management likes to stay aloof from its employees in order to build an all-imperative environment around them (Grant 2012).

Importance of study

The study is intended to provide information to the public on how Government journalists and other few chosen firms have fared in their practice of participative decision-making and its assistance to efficiency, thus improving organizational competence. It is predictable that this study will be helpful to the management by providing adequate insights into the benefits of employee participation in decision-making (Goetsch and Davis 2014)

Research Aim and Objectives 

The major aim and objective of the study is to investigate the impact of employee participation in decision making on employee performance. The following are the objectives of the study:

To study the impact of employee participation on employee performance

To discover methods to introduce effectual employee participation program in a firm

To conclude the challenges that is associated with participation of employees

What are the challenges that workers are likely to face while participating in decision-making?

What is the impact of employee participation in decision making on employee performance?

H0: Efficiency is not self-sufficient of employees participation in decision making

H1: Efficiency is self-sufficient of employees participation in decision making

Framework and Variables

Conceptual framework is mostly described as an investigative tool with several variation and concepts. The data related to real world are mostly captured with the help of strong conceptual framework. Economists to differentiate the behavior as well as incentive systems of companies and customers mostly use it. They also use it to present the concept of supply and demand with the help of graphical representation.

The graph indicates that climate for creativity and change is the independent variable whereas; creativity by employees is referred to as dependent variable. On the other hand, participation in decision-making and encouragement by managers to creativity are considered as independent variables. The model studies the direct and indirect impact of participation in decision-making and encouragement by managers to creativity on creativity of employees through climate for creativity and change (Sheppes et al. 2014).


Literature Review

As opined by Wagner III and Hollenbeck (2014), there are various advantages that are related to employee participation in decision-making. It raises the morale of an employee as well as enhances productivity. It also provides the employees with opportunities in order to use their intellectual that will lead to improved decision-making for the organization. Due to employee participation, resources that are requisite to monitor employee can be minimized thus diminished cost. The participation of an employee in an organization increases its point of view as well as provides assortment of perspectives. There are several evidences that shows that performance of employees increases with increase of employee participation in decision-making.

Every firm seeks to enhance their level of performance by providing learning opportunities to its employees. As a result, they require to perform at the level of each individual to enhance their performance of overall organizational. Efficiency is the performance measure encircling both productivity and effectiveness that posses a culture to encourage employee participation. As a result, employees are eager to get involved in decision-making procedure. The decision-making procedure mostly involves setting of goals and activities related to problem solving that in turn leads to higher performance. Productivity mostly gets increased through job satisfaction that also raises working competence at the time of implementation (Kyndt and Baert 2013).

Employee participation in decision-making is extremely situational and is mostly a matter of degree. As a result, it should not be considered of as a single procedure or vigorously but rather an overall range of procedure and behavior. As opined by Sonenshein et al. (2013), participation should be mostly described in terms of degree and direction. The degree of participation describes the overall involvement that each employee will have during completion and formulation. Leadership also influences the degree of labor participation in decision-making. Participation of employees in decision-making in labor place has revolved around the above-mentioned ideas. The participation of employees are praised by some individuals however; it is condemned by others. The intention of participation as with many leadership approaches is to inspire high efficiency and to maintain a satisfied workforce.


It can be concluded that participation by employees in decision-making has a favorable impact on the attitude, productivity and commitment of employees. As a result, participative decision-making should be viewed as an inevitable tool in any organization, such as private or public. On the basis of the research that has been conducted, it has been found that there is a significant connection between employee participation in decision-making as well as their performance towards the organization. If the organization augments participation of their employees in decision making which may lead to dedication, pool of thoughts, faithfulness, citizenship and faith towards the organization. In order to lead effective participation, the exertion control of employees should always lead to alteration of management as well as abandonment of proposed policies.



Goetsch, D.L. and Davis, S.B., 2014. Quality management for organizational excellence. pearson.

Grant, A.M., 2012. Giving time, time after time: Work design and sustained employee participation in corporate volunteering. Academy of Management Review, 37(4), pp.589-615.

Kaner, S., 2014. Facilitator's guide to participatory decision-making. John Wiley & Sons.

Kyndt, E. and Baert, H., 2013. Antecedents of Employees’ Involvement in Work-Related Learning A Systematic Review. Review of Educational Research, 83(2), pp.273-313.

Mowday, R.T., Porter, L.W. and Steers, R.M., 2013. Employee—organization linkages: The psychology of commitment, absenteeism, and turnover. Academic press.

Sheppes, G., Scheibe, S., Suri, G., Radu, P., Blechert, J. and Gross, J.J., 2014. Emotion regulation choice: a conceptual framework and supporting evidence. Journal of Experimental Psychology: General, 143(1), p.163.

Sonenshein, S., Dutton, J.E., Grant, A.M., Spreitzer, G.M. and Sutcliffe, K.M., 2013. Growing at work: Employees' interpretations of progressive self-change in organizations. Organization Science, 24(2), pp.552-570.

Wagner III, J.A. and Hollenbeck, J.R., 2014. Organizational behavior: Securing competitive advantage. Routledge.

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