Skip to comments.Propping Up Least-Productive 10% Is A Recipe For Economic Decline
Posted on 03/02/2009 6:43:53 PM PST by Kaslin
It's a rule of thumb among many well-run U.S. companies that they must routinely make redundant the 5% to 10% of their least-productive employees. One obvious reason for doing so is to keep costs down. But there are many other reasons unrelated to cost.
For one, just as bad apples in sports tend to ruin chemistry such that total team performance declines, subpar performers in an office setting tend to worsen the performance of the most productive for wasting resources, all the while giving the productive an unworthy benchmark of success that allows them to become needlessly satisfied.
To shed the least effective is to infuse a more competitive atmosphere among the survivors that aids the bottom line, plus the departed are a flashing signal to the survivors of their fate should they stop working hard.
But most important for an economy very much reliant on the efficient deployment of what is precious human capital, it's frequently the case among those made redundant that they were misapplying their talents.
Layoffs and the feeling of failure they engender are remarkable for focusing the minds of those let go on the kind of work that best suits them, not to mention that while painful, failure is a wonderful teacher that focuses its beneficiaries on mistakes to avoid in the future.
(Excerpt) Read more at ibdeditorials.com ...
It’s almost like ‘the One’ wants US to fail??????
As long as everyone is more than earning their keep, this may not be the best method of motivation and team building. Besides, in some endeavors it may take multiple years of effort before the big payoff.
He's pushing us down the failure road as fast as he can get his minions in congress to legislate more disaster. His cabinet full of tax cheats isn't helping the situation either.
Excellent article. Songbun—to be avoided, not embraced.
Actually, my friend, I believe you are correct. I do believe this is intentional.
“5% to 10% of their least-productive employees” are layed off
Total bulshit. The list of layoffs is usually highly political. Suck-ups are usually safe and those with new ideas are trashed. I’ve seen it so many times in large companies.
Wonder if Obama is like one of those opportunists in every company who has figured how to to play the system, but never figured out that there is actually a real world out there that the company competes in? Eventually people catch on and throw a party when the bum gets fired.
Sure Bambi, make everyone wards of the state...but where is the money going to come from when everyone is on the dole? When no one is foolish enough to start a business or to invest in one? When investors are tired of being punished and pull out? When new technologies go straight to other counties? When an aging Japan or China decide to support their retirement by cashing in, not buying, bonds?
Obama is a darn good leader of the parasite class, so good he may just kill the host.
Do we apply that to the 22.00/hr folks in Bangalore? And if so, HOW?
I would think the answer would be obvious - we outsource it!
Are you looking for a job?
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