by D. Kevin Berchelmann | Mar 8, 2008 | Executive Improvement, Kevin Berchelmann
Regardless of what you hear about compensation largesse, CEO’s lead a precarious existence. In my mind, though there are always exceptions, they generally earn every penny. And are held accountable for everything. Some examples, all from just this past week:
FedEx Corp’s CEO Ken May will resign effective March 31, to “refocus <his> energy on my family, friends and other personal interests.” Yeah, right.
Reality? FedEx stupidly bought Kinko’s in 2004, and has struggled to make money with it. Unsuccessfully, obviously, and someone’s got to pay. Thanks, Ken.
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by Triangle Performance Staff | Mar 4, 2008 | Kevin Berchelmann, Organizational Effectiveness
Had a previous client ask about negotiating with a potential high-level employee. Said it seemed like it was “just about the money,” and he was becoming disillusioned with this candidate because of that feeling.
Negotiations are just that — negotiations. They aren’t always a single exchange.
The same argument could be made about companies — if they won’t pay more, is it just about money, then?? Shouldn’t the company’s motivation be something greater than the short-term salary cost?
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by Triangle Performance Staff | Feb 28, 2008 | Kevin Berchelmann, Organizational Effectiveness
Most “Cost of Living Increases” are woefully mismanaged.
I get questions frequently on annual payroll increases. This year, 2008, the national average is hovering around 3.9%. You can see my article, same subject, for more detail.
A company, however, simply cannot continue to increase payroll in a vacuum.
All businesses can increase prices. And frankly, all businesses must do so on a regular basis. “Readily” and “successfully?” Depends on how they’ve been managed to that point.
Prices must rise, or companies go out of business. No organization can — successfully — continue to give pay raises each year, and absorb other inflationary costs, without raising prices, or finding a corresponding (or greater) reduction in operating costs.
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by Triangle Performance Staff | Feb 23, 2008 | Kevin Berchelmann, Organizational Effectiveness
So, Starbucks, the “evil empire,” is having a training day.
Actually, it’s more like a training half-day, but its the principle that’s so interesting.
Starbucks Coffee is shutting down all 7,100 (yes, that’s seven thousand) of its stores, keeping all 135,000 “baristas” on the clock, to do some necessary, in-house employee training.
I can’t begin to calculate the real costs; it must certainly approach or exceed $10,000,000. Easily.
And you’re agonizing over a few thousand dollars to provide some sorely-needed development to some key managers???
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by Triangle Performance Staff | Feb 12, 2008 | Kevin Berchelmann, Organizational Effectiveness
I was recently asked by a junior colleague about how to make some required (read: “sleep-inducing”) training “more fun.” As someone who facilitates leadership development, I get this sort of thing frequently.
Unfortunately, the answer is NOT clown noses, gag gifts, and kooshie balls (is that how you spell that??).
Fun CAN be part of training, but it takes a highly skilled trainer to have both sufficient subject knowledge and adequate facilitation skills to pull it off effectively. “Being funny” in front of a room doesn’t equate to making a training event meaningful. (more…)
by Triangle Performance Staff | Feb 8, 2008 | Kevin Berchelmann, Organizational Effectiveness
Nestling warm and sleepy in your company, like the asp in Cleopatra’s bosom, is a department whose employees spend 80% of their time on routine administrative tasks.
Nearly every function of this department can be performed more expertly for less by others.
Chances are its leaders are unable to describe their contribution to value-added except in trendy, unquantifiable and wanna-be terms – yet, like a serpent unaffected by its own venom, the department frequently dispenses to others advice on how to eliminate work that does not add value. (more…)
