Structuring Pay for a Team LO15483

EBUDD (EBUDD@aol.com)
Wed, 22 Oct 1997 00:15:10 EDT

Replying to LO15445 --

Replying to LO15445

" While managing domestic and international sales operations (direct and
distributor), I annually removed the bottom 20% of individual contributors
(sales staff). "

I continue to be amazed at the ability of some managers to create a system
and then act as if they have absolutely nothing to do with the results
that are generated. Something is terribly wrong when 20% of the people in
an organization need to be removed annually--and the fault lies not with
the people being removed.

A manager who thinks s/he is doing the organization a service by treating
people this way would do well to consider a different line of work. As a
manager, the fact the 20% of your people are failing annually is an
indictment of *your* performance, not of theirs. To repeatedly make other
people pay the price for a system of your making--a system which
intentionally generates failures--borders on the treacherous.

I am utterly flabbergasted by this example. There are many areas of
knowledge of which the sales manager appears to be ignorant. At the least
he is lacking:

- an appreciation for the dignity of people,
- an understanding of systems,
- a knowledge of data and it uses,
- an understanding of sources of variation,
- an ability to learn so that results are improved from one year to the next.

This is a case where it would have been useful for the sales manager to
report to a manager just like him. Having 20% of his people wash out every
year would be enough reason to ask the sales manager to find another
job--one where he might do less damage.

Eric Budd
Rochester, MI
(248) 656-8617
ebudd@aol.com

-- 

EBUDD <EBUDD@aol.com>

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