An international compensation consulting firm recently conducted a survey of 207 organizations regarding their compensation communications practices. They found that nearly 40% of companies that utilize salary range structures do not share salary range information with employees. Twenty-two percent limit information to an employee’s own salary range and ranges for other jobs within the career family. Only 13% are transparent about their organization’s pay plan.
According to an article in the October, 2016 edition of Harvard Business Review titled “Why Leadership Training Fails – and What to Do About It”, American companies spend $160 billion on employee training and education. Included in this figure are billions of dollars spent on leadership skills development. Yet, when asked if such programs have a lasting impact on long-term success, many CEO’s say “No”. Why are these programs so ineffective?
Which came first, the chicken or the egg? We could ask a similar question about an organization’s culture. Is culture a manifestation of “how we do things around here” or does culture set the tone for actions that follow? Do we change culture by tackling it directly, or do we start elsewhere and allow culture to evolve? You might ask “what difference does it make?”, but with so much business literature dedicated to defining and shaping culture and corporate culture gurus speaking at global conferences, the matter of culture is perceived to be very important.
When I became a first-time dog owner, I went out and bought a dog training book. One of the things I learned was just because a dog is small, and maybe even cute, doesn’t mean it should be allowed to jump on furniture and people at will. Pet owners are usually more conscientious about training large dogs because it’s an obvious no-no for a 100-pound canine to jump on small children and frail adults. But small dogs often get away with bad manners because they don’t really hurt anyone; they just come across as rude or pesky.
Recently, a client asked for guidance regarding how to incorporate new employees into a workplace where employees have worked together for years and treat one another like family. Many of the employees in this company have spent years working side by side, attending each other’s weddings, watching each other’s kids grow up, and supporting one another through illnesses. The culture of this organization is one of the intangibles that creates employee loyalty and results in low employee turnover.
Memphis barbeque is nationally recognized as a culinary delight. Just having the word “Memphis” associated with an eating establishment’s name and/or menu inspires a sense of anticipation. The smoky flavor and special sauce, a vinegar-based concoction that pleases the pallet, defines the taste.
For barbeque, the secret combination of flavors captured in the name “Memphis” will help ensure an establishment’s success. But what is the secret sauce found in many of today’s best leaders and companies that helps achieve long term success? The answer is Performance with Purpose.
Will you be hiring this year? If so, you must understand that expectations, benefits and the employee/employer relationship are changing. Companies are evolving their compensation packages to attract the best talent.
You have heard about Costco. And you’ve probably heard of Sam’s Club. But, have you heard of Boxed Wholesale? The company has been dubbed the “The Costco for Millennials” by Forbes.
As we wind up the gift-giving season and approach year-end, many organizational leaders are cloistered in their offices deciding how to allocate year-end, discretionary bonuses. Considerations for making bonus decisions might include:
Numerous Fortune 50 companies have abandoned traditional, accountability-oriented, annual performance appraisal systems. This trend has gained momentum over the past five years. Many early adapters have continued with alternative approaches while others have reinstated some elements of traditional plans.