What I said certainly applies to large companies -- that is, my diagnosis of
the problem, not necessarily the fact that I tried to implement a solution.
The "bonus" factors you describe certainly come into play also.
One of the mantras I had to learn was "employees do what they are rewarded for.
If your employees are doing the wrong things, look at your reward structure."
How many of you who have ever been close to a sales operation have seen
salesmen get in trouble for "structuring" deals or their timing so as to
maximize their commissions? Well, duh, Mr. VP of Sales, you set up the
commission structure the way you did -- they're just following it in the way
most optimal for them.
So yeah, if you incent managers for short-term profits, as of course many
companies do, then yes, you will get employee behaviors that lead to short-term
profits.
I would think that replacing and training a new employee would hit a manager's
budget pretty hard, but perhaps some managers are too foresight-challenged to
foresee that.
Charles
-----Original Message-----
From: IBM Mainframe Discussion List [mailto:[email protected]] On Behalf
Of John McKown
Sent: Friday, February 10, 2017 11:27 AM
To: [email protected]
Subject: Re: Job Loyalty
On Fri, Feb 10, 2017 at 1:15 PM, Charles Mills <[email protected]> wrote:
> > "No company will pay you as much to STAY as another will pay you to GO"
>
> As an entrepreneur interested in employee retention I gave this a lot
> of thought. Why should this be? After all, one would think you should
> be more valuable where you already are: you're all trained, there is
> no need for a reference check, your co-workers are used to working with you,
> etc., etc.
>
I think the OP was talking more about large companies. Why is it? Well, as
best as I can tell, it's all about the bonus that a manager will get by keeping
costs down. About 23 years ago, I mentioned that a release of critical software
was becoming unsupported (CICS) and we needed to upgrade to the current
version to be supported. His reply (honest!) was that the current version ran
fine; upgrading would cost money; increasing the budget would decrease his
bonus; so it was not going to happen. People do what is "measured" and
"honored". That also why a CEO will fire low level workers and take a bonus for
doing so. At least, that is this grunt's opinion.
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