Effect Of Employee Empowerment On Organizational Performance: The Case Of Ethiopian Airlines In-Flight Catering Employees

Abstract

Empowerment is the most popular concept in modern management and organizational applications for increasing employees' decisional authority and supporting their personal development. Organizations design empowerment systems to encourage their employees to perform in the most effective way. The general objective of this study was to investigate the effect of employee empowerment on organizational performance in the case of Ethiopian Airlines inflight catering employees. To achieve the study objectives, the researcher developed and distributed questionnaires and collected and analyzed the data with SPSS version 20. Using simple random techniques, 241 employees were chosen from a population of 604 strategic unit employees, and 219 questionnaires were collected, yielding a 90.9% response rate. The adopted research type was descriptive and inferential analysis. The research was based on primary and secondary data. The research approach applied for this study was both quantitative and qualitative. An ANOVA analysis was used to compare the effects of employee empowerment factors. Correlation and regression were also used to analyze the relationship and its effect between employee empowerment and organizational performance. Based on the analysis, there is a positive and high degree of correlation between employee empowerment factors and organizational performance. In the multiple linear regression equation, employee recognition and rewards has the highest beta coefficient, which has a great influence on predicting organizational performance. The study recommends that Ethiopian Airlines inflight catering management increase the level of employee empowerment because contributions by empowered employees are thought to have a significant impact on business productivity, revenue, and the overall effectiveness of the organization