The Impact of Empowered Employees on Corporate Value

The global competitive environment is and will become more brutal for corporations this century. Most corporations, however, fail to recognize and empower their most important assets: employees. The hypothesis of this article is that those corporations that truly exhibit employee empowerment through emphasizing meaningful communication, willingness to serve, and common purpose will have statistically more favorable financial and/or investment results than corporations lacking employee empowerment. This hypothesis has been substantiated and the conclusion made clear for corporate executives: Empower employees or accept substandard financial results and possible elimination as a competitive force.

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