Profits are related to customer retention. Customer retention is related to employee retention. Employee retention may or may not be related to benefits, but benefits could be part of the package that causes people to stay and -- by the way -- engage in discretionary effort. .. If you go into any organization that's customer-facing, you can tell in five minutes when the employees are feeling abused. They retaliate on the customers.
So, the three qualities of a workplace that would develop people would be information sharing, investing in the training of the workforce, and giving employees the ability to use their training and information to make decisions.
Trust is about keeping commitments, but in many instances, circumstances change and organizations therefore shed commitments, things such as retiree medical benefits, pension obligations, and even employees without much remorse or maybe even hesitation.
While it is almost certainly true that leaders ought to eat last, the evidence on the ever-widening difference between CEO and average employee pay and the enormous severance packages leaders obtain even as front-line workers see their economic well-being eviscerated makes a mockery of the idea that leaders do anything other than take care of themselves.
We need to reexamine and reassess the purpose of the corporation, and go back to the idea that senior leadership has responsibilities not just to shareholders but also to customers and employees.
Typical pay increases are not enough to motivate employees, but they are enough to irritate them. … Even when companies create seemingly significant pay differentiation between low and high performers, the actual cash increase is insufficient to sustain performance – or it drives the wrong behaviors. … Effective management is a system, not a pay plan. The mistake is that companies try to solve all their problems with pay.
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