Lead, Don’t Dictate: Fostering Employee Autonomy

Lead, Don’t Dictate: Fostering Employee Autonomy

In November 2023, many MNCs and big corporate giants mandated a three-day office work week, while Infosys required its employees to come in 10 days a month. Similarly, another global giant instructed its Indian staff to be in the office thrice weekly. These directives followed numerous reminders from project managers, HR, and team leaders about in-office attendance. The company even warned of termination for non-compliance, emphasizing that in-person interaction is crucial for effective collaboration and team spirit, which they believe cannot be fully achieved via online platforms.

However, this approach overlooks a critical question: Why are employees reluctant to return to the office?

Reflecting on The Great Resignation (in past times), we see that employees re-evaluated what is truly important to them, resulting in mass resignations. The core reason for this shift is a desire for a better work environment. It’s not solely about flexibility—though that’s part of it—but rather a broader expectation for autonomy at work.

What is Employee Autonomy?

Many workers have been leaving their jobs due to a lack of autonomy and excessive control by employers. Data reveals that 54% of men and 66% of women experience low to medium autonomy in their roles. This lack of autonomy, especially heightened by the pandemic, has led many to seek employment where they can have more control over their work, according to McKinsey.

High turnover rates due to these issues are detrimental to businesses. Replacing an employee can take up to two years before the new hire matches the previous employee’s productivity levels. To counter these problems, companies need to adopt strategies that enhance employee autonomy. Understanding how employees perceive their autonomy and their sense of control is the first step.

Degrees of Employee Autonomy

A recent study of over 23,000 employees shows that 54% of men and 66% of women report having low to medium autonomy at work. What if the key to innovation and productivity isn't just about sales or numbers but also allowing employees to 
make decisions? This is a key differentiator between startups and larger, traditional corporations. Research indicates that around 80% of startup employees 
feel they have high autonomy, compared to just 35% in larger organizations. 
This sense of control often translates into a 5.2% productivity increase and 
80% higher employee engagement.

As companies grow, maintaining autonomy becomes more challenging. The need for structured processes and additional management layers often reduces the autonomy that initially fueled the company’s success. Tech giants, for example, thrived on flexibility and decentralized decision-making in their early stages but struggled to maintain the same level of employee satisfaction and innovation as they scaled.

Different sectors also exhibit varying levels of employee autonomy. The technology sector often provides high autonomy, while manufacturing and retail typically offer lower autonomy, impacting job satisfaction and turnover rates. Financial services tend to strike a balance with moderate autonomy levels.

Understanding Autonomy Levels

  • Low Autonomy (Rule-Following): In some industries, employees face roles with low autonomy, adhering strictly to established protocols with little room for personal initiative. These employees receive specific instructions and follow strict guidelines, focusing on the “how” and “when” of task execution.
  • Shared Autonomy (Boundaries): Many organizations adopt a balanced approach, giving employees control over their processes while requiring approval for major decisions. This shared autonomy allows employees to manage the “how” of their tasks within defined boundaries, aligning with organizational goals while maintaining oversight to mitigate risks. Strategic thinking and decision-making training help employees develop the necessary skills for greater autonomy over time.
  • High Autonomy (Self-Directed): High-performing organizations excel by trusting employees to set and achieve their objectives independently. Employees operate within specific parameters but can choose methods and make decisions, resulting in higher engagement, motivation, and superior performance.

So, how can Employee Autonomy be increased?

Contrary to the belief that autonomy means a lack of structure, it actually involves trusting employees to work within established guidelines. Leaders must provide the necessary tools, resources, and training, maintain open communication, and ensure that company culture supports increased autonomy.

Dimensions of Employee Autonomy

  • Job Autonomy: Allowing employees to control their tasks, prioritize projects, and develop skills fostering a culture of accountability and innovation.
  • Location Autonomy: Offering choices about where employees work signals trust-based management. Organizations should evaluate which roles require in-person collaboration and which can be performed remotely.
  • Time Autonomy: Flexibility in work hours, rather than rigid schedules, enhances work-life balance and job satisfaction. Shifting focus from hours worked to results achieved can lead to better outcomes.
  • Process Autonomy: Empowering employees to choose their methods promotes innovation, engagement, and efficiency.

Is Your Autonomy Level Low?

Suppose a job offers minimal freedom regarding how, what, and when tasks are performed; autonomy is likely low. Excessive micromanagement can diminish motivation and engagement, indicating a lack of autonomy.

Research shows that 79% of autonomous employees are engaged, compared to 34% in larger organizations. Understanding the dynamics of autonomy is crucial.

According to Self-Determination Theory (SDT), autonomy, competence, and relationships are fundamental psychological needs that drive motivation and well-being.

Edward L. Deci and Richard M. Ryan

Organizations can foster a culture where employees feel empowered and motivated by addressing these needs.

Employee Autonomy is now a necessity in the evolving workplace. Employees seek flexibility, control, and autonomy, and companies that don’t adapt risk, high turnover and diminished productivity.

HRMS Software like HRM Mitra enables this shift. HRM Mitra empowers employees and HR teams by automating tasks and providing real-time insights. It streamlines processes, offers location and time autonomy, and enhances employee satisfaction, driving better results and innovation while ensuring effective collaboration and oversight. Effective collaboration and oversight are ensured, making HRM Mitra HRMS Software – a key partner in enhancing employee potential.