Sharing the spoils
Over recent years there has been a trend towards employee owned companies. There are some really great success stories – the most famous in the UK is probably John Lewis. Employee ownership helps develop an owner mentality. It’s not something that is just talked about. It’s real.
Employee ownership isn’t the only model that works – there are others, and they typically focus on how to develop a mentality of caring about the outcome and the economics.
Reward systems should give people the opportunity to grow within a company, continually learn, but also earn more as the company earns more. To make this work requires a team effort – it takes a shared understanding of how to manage money, maintain healthy margins and think ahead when planning to invest in customer success. Above all, it requires the business model to generate the right returns both now and into the future. It needs to ensure that profitability and growth that is shared throughout a company.
What might you be able to do differently to improve the profitability of your company?