Effects From Increasing Autonomy For Employees

Abstract

This thesis describes the effects of higher levels of autonomy on employee’s work outcomes with help of a conceptual framework aligned with Self-Determination Theory and Organizational Support Theory. Thus, in the contemporary and stiff business environment, employee’s discretion is now considered more and more as an effective and potent tool necessary in the drive towards making employees more content, motivated and ultimately productive members of the organization. This particular research sets out to act as a response to the following question; ‘How does autonomy affect employees’ well-being and organizational performance?

Hypothesizing based on the SDT, this research focuses on the autonomy as a key factor for their intrinsic motivation, examining how the execution of autonomy meets the psychological needs of competence and relatedness and thus enhances the level of engagement and productivity. Likewise, in relation to autonomy, the moderation role of perceived organizational support (POS) is examined by using OST to explain how the affiliation works. The theory postulates that in the event that, subordinates feel supported in an organization, they will do the same to the organization by giving it their best by working harder than they used to.

The empirical component of this study involves a mixed-methods approach, which entails both qualitative interviews and quantitative surveys to obtain sufficient data from the selected employees in different industries. Finally, interviews gave more detailed and qualitative responses concerning specific experience and perception of autonomy, while surveys gave quantitatively validated and perhaps more general support to these conclusions.

In a way, this thesis adds to the existing literature because although SDT and OST are both dealt with individually in the literature, this thesis combines the two theories in order to give insights into the advantages of employee autonomy. It provides specific suggestions for managers and organizations desiring to operate in such a way as to support autonomy and encourage high levels of motivation and performance. Future research directions include longitudinal studies to examine the long-term effects of autonomy on organizational outcomes and exploring the role of individual differences in moderating these effects.