Jack D. Deal's Free and Inquiring Mind Applied; Change before you have to...831-457-8806

Win the Battle but Lose The War and Why That Strategy Really Doesn't Make You Feel Any Better

	when we Demos, led by Burton and Axelrod, attack guns, babies, mothers, God and war heroes; we win in the Bay Area but lose the Midwest... 22 minutes ago from web
	if Ron Owen and others feel attacking God is smart; just remember there are schools in the Midwest that have prayers and no one complains... 24 minutes ago from web
	amazingly some of my Demo pals still think there is no way we can lose; no matter what, Obama will win...duh 24 minutes ago from web
	now Burton and Axelrod are forced to alter stategy and get off course all because Burton and Axlelrod hated Hillary...groan... 26 minutes ago from web
	where in the whole Sarah roll out have we Demos been able to realistically counter her? nowhere, zero, zip, nada and advantage McCain... 27 minutes ago from web
	somebody in the McCain campaign set the trap for Burton and Axelrod and they blindly fell right in...attacking mothers and God is crazy... 28 minutes ago from web
	folks in the Midwest see things a bit differently than here in the Bay Area and by attacking God, guns, mothers and babies we Demos lose big 30 minutes ago from web
	the truth is, Sarah has stolen Obama's media show and Burton et al better figure out a strategy instead of 'countering' her...groan and duh 31 minutes ago from web
	go ahead Burton, keep belittling Sarah and see if she doesn't ace the soccer mom vote in Western Pennsylvania, and Ohio, and Michigan...duh 32 minutes ago from web

Compensation: Do You Have the Right Plan? Formulas, Package, Incentives, Performance Indicators, Base Salary, Improve Company Loyalty

        Like the rat in the cage we are driven by rewards.  When compensation becomes stagnant so does productivity.   If like rats we are paid by the time we spend in the cage then the expected level of productivity is simple compliance.   By focusing on minimum standards employees tend to get there and stay there.   Is that where you want to be?  What does your company need?  What should you look for when reviewing your compensation plan?   Below are some important points to consider:

• If you need to make changes, be wary of copying formulas.   The best plan is the one that works best for your unique circumstances.   
• Don't forget to look outside your industry when looking for the right compensation plan. 
• Sometimes combinations of plans work the best.   
• Don't forget to include non-compensation benefits in your overall package. 
• Look first at what your 'drivers' or key performance indicators are and make certain to base your compensation plan on those factors. 
• Tell your employees you are developing a compensation plan with incentives and you would like their input.   That way, once the plan is in place, there should be no complaints.   
• Talk about the new plan in your business, group and team meetings.   You could start by using small gifts or cash rewards for top performance which helps employees get accustomed to the idea.
• Use spreadsheets to work out the ranges of possible plans.   
• Be wary of straight commission as it can often create internal friction.
• Once you have a plan you can test backwards to see how it would work.   
• Depending on your plan, you can do a trial run and see how employees react.
• Make certain that poor performance is not rewarded.   Establish a minimum performance level and make it the low end of your compensation scale. 
• Under ideal circumstances top performers should get at least  two or three times more than minimal  performers. 
• "Skew" the better rewards toward top performance.   
• Avoid straight hourly or straight salary plans as they provide little incentive.   
• Make sure your plan is easily trackable by both you and your employees. 
• It is better to have a low base wage/salary with a large incentive component.  If the base is too high there is little incentive to perform at higher levels. 
• Expect minimal employees to whine, complain and quit after the plan is in place.
• Expect to see more qualified and motivated  employees wanting to join your company. 
• Expect your better employees to become more loyal.

     A well designed compensation plan can give your company a strong competitive advantage.   Your competitors may find it impossible to compete directly with you for the best employees. 

Jack D. Deal

      

Breakthrough Employees

There are employees and then there are breakthrough employees. Once in a blue moon the average company hires someone that can make a dramatic difference in the business. This is usually done in the routine hiring process – someone retires, quits or is fired and a person is hired to take their place.

Sometimes the company acknowledges the presence of a breakthrough employee but very often does not. Co-workers and micromanagers will drive off a breakthrough employee by considering them a threat to the status quo and their own narrow self-interests.

There is no doubt that the right kind of employee can bring huge value to a company. Highly successful companies often build their success around this type of employee. The breakthrough employee:

1. Can help a company make a 'quantum' leap. This means that this type of employee can help a company reach the next level of its strategy.
2. Wants to work in an environment where their skills and knowledge are appreciated and used.
3. Constantly speaks of improvement, opportunity and what is possible. They will 'jump ship' quickly if the company does not meet their needs. Breakthrough employees will tend to go toward opportunities and a good opportunity goes a long way toward keeping them.
4. Considers mere compliance to standards a bad joke that does not apply to them.
5. Has little sympathy with those that just do enough to get a paycheck.
6. Can quickly raise standards. This is another reason co-workers may resent their presence. Envious co-workers often conspire to make it difficult to co-exist.
7. Brings experience and new ideas and are not afraid to share them. Their feeling is –"if we can do it a better way, why not?"
8. Has ambition and thrives on a sense of accomplishment. They have the 'fire in the belly'.
9. Looks for ways to learn new skills and gain knowledge.
10. Can add freshness and zip into a dulled, compliant staff.
11. Can come 'out of the blue' in search of opportunity and employment.
12. Is generally optimistic that positive results can occur.
13. Is open to innovation and sees change as a way to grow.
14. Knows their true value to a company and knows they should be well treated and well compensated.
15. Dislikes anything, including micromanagers that get in their way. If enough obstacles are present they will perceive a lack of opportunity and go elsewhere.

Breakthrough employees are one of the quickest ways to get rapid improvement and growth in a company. Awareness of the breakthrough employee is paramount. Many companies discover breakthrough employees yet let them slip through the cracks to competitors. Although uncommon, the breakthrough employee is not extinct or even rare. But like the value of an uncut diamond, someone has to see the potential!

Jack D. Deal

Personal Balance and Superior Performance

Jack D. Deal

Peter Drucker, arguably the most knowledgeable management expert on earth, made the following statement: "The single greatest challenge facing managers in the developed countries of the world is to raise the productivity of knowledge and service workers. This challenge, which will dominate the management agenda for several decades, will ultimately determine the competitive performance of companies."

In other words, Drucker is saying that knowledge, service and skill may not be enough - the key is how to transform these aptitudes and skills into production. In recent years management students have attributed a strong influence on superior performance to what may loosely be called 'personal balance'. The premise is those owners, managers and employees with personal balance in their lives are more productive. The implication is that if an individual has their personal life under a certain degree of 'control', it allows them to be optimally effective in the workplace. The flip side of the equation is the workplace allows employees to, in the vernacular, 'have a life'.

Accurately defining personal balance is about as easy as defining attitude or personality. In the Silicon Valley area where I live personal balance means successfully juggling home and work. As with any balancing act there are two sides of the equation. The simplest way to view this is a personal life and work life.

For example, on the personal side, if a manager or employee is a severe alcoholic then the alcohol will eventually effect work performance. Hangovers, the urge for a drink, memory loss, etc., will all contribute to a reduced performance. Given enough drink and enough time, brain function will be impaired. Drinking on the job will be a probable result if treatment is not sought. Most of us have seen the devastating effects of alcohol and intuitively know something is very wrong with the individual. Obviously the personal balance is out of whack and productivity diminished.

Another example... on the work side, some managers and employees can be classified as 'workaholics'. The implication is they come early, stay late and if given the keys may in fact be found at work anytime. Workaholics feel their self worth is defined by work. (How many of us describe ourselves as the work we do? "I am a lawyer, teacher, business consultant.") When work is badly skewed in one's life then the balance goes awry. When we look at workaholics we often find miserable personal lives - hence the individual's perception they are their work. Their personal life is miserable and they often do not want to go home. If the work allows them to afford a bigger house then it often comes at the expense of a broken home.

Alcoholism and workaholism are extremes but they help us get a sense of what is balance. Unless you are a workaholic or alcoholic it is easy to see and understand these extremes - don't work too much and don't drink too much. If only personal balance were that easy.

Unfortunately it is not. We are complex beings with complex sets of attitudes and behaviors. This diversity is the spice of life but it also makes living complex and at times a priorities juggling act. While we can say that too much alcohol and too much work are obvious negatives, we run into gray areas quickly once we get beyond the obvious.

Unfortunately there is no easy way - others may give their input but they cannot ultimately know 'what makes us tick'. And since we are complex individuals we cannot just copy what others do. It does not work. For instance, some people like to go to work, punch a clock, do a repetitive task, punch a clock and go home. Many employees - perhaps more than we think - feel this way. Others need a sense of satisfaction, challenge and accomplishment. The Yerkes psychological study showed that many people need an 'edge', something that stimulates and challenges.

The key is understanding your own dynamics and developing your own personal balance. For instance, some of my personal balance dynamics are: work early, work hard, go for what is challenging, create and innovate, accomplish difficult goals and learn at every possible moment. I like to quit mid to late afternoon, go home, be with my family and forget work as much as possible. Take at least one day a week off and go hiking, watch a movie, eat out, etc. These are my dynamics. When I noticed several months back that my balance was still out of whack I took a vacation.

Is my balance perfect? Of course not. Does it work for me? Usually. I remain highly productive with a satisfying personal life.

Will my formula work for you? Probably not. But like Drucker said if you are responsible for the competitive performance of your company you have to be interested in raising productivity. Once you have figured out your own personal balance you will notice a positive change. If you are managing others, encourage them to do the same.

The productivity and future of your company may well depend on it!

Jack D. Deal