[wdm_image_effects effect=”no_effect” animation=”bounce” shape=”no_shape” color=”#000″ social=”” title=”customer-s” description=”customer-satisfactio” id=”3157″ show=”hover” counter=”0″ size=”thumbnail”\/]<\/p>\n
How about employees all the way down the line and through the corporation? How do we align them to the goals and strategies of the enterprise?\u00a0 Obviously for the appropriate individuals, a bonus program aligned to the department\u2019s goals is appropriate. But how about awarding stock options for all employees?<\/p>\n
I discovered the power of ownership early in my management career, establishing an employee stock ownership plan (ESOP), once popular as incentive compensation as well as a tax write-off for corporations and even a way to slowly transfer ownership of a company from the founders to the employees.\u00a0 These plans are not as popular today because of their complexity and difficulty to manage, lost in favor of simple stock option plans.<\/p>\n
Each month, at the monthly company lunch for all, I\u2019d greet everyone with \u201cHello shareholders\u201d, and proceed to show the assembled throng slides of high level financial statements, pointing out progress against plan.\u00a0 That form of open book management surprises many, but if the employees are stakeholders with a taste of equity, why not underscore the value of that equity by treating them as cohorts?\u00a0 Yes, sometimes the news is not good.\u00a0 They should know this, and from you not from the rumor mill.<\/p>\n
[Email readers, continue here…]<\/em><\/span>\u00a0 Your fear that the confidential information may get out to the industry competitors should be tempered by the fact that you are not giving out the secret sauce, just the results of the past period\u2019s performance.\u00a0 All public companies including your public competitors must do this in greater detail each quarter, and it rarely damages their ability to sell into the marketplace.\u00a0 Would bad news drive your best employees out the door?\u00a0 Perhaps. But it is my experience with many companies that empowered employees, treated with respect and shared knowledge, will go far beyond expectation in remaining loyal to their associates and their employer.<\/p>\n And think of the time saved around the virtual water cooler if there are far fewer rumors to pass among your employees.<\/p>\n","protected":false},"excerpt":{"rendered":" [wdm_image_effects effect=”no_effect” animation=”bounce” shape=”no_shape” color=”#000″ social=”” title=”customer-s” description=”customer-satisfactio” id=”3157″ show=”hover” counter=”0″ size=”thumbnail”\/] How about employees all the way down the line and through the corporation? How do we align them to the goals and strategies of the enterprise?\u00a0 Obviously for … Continue reading