The Reward Should Fit the Act
by Miki SaxonAre you familiar with the saying “let the punishment fit the crime?”
It’s a valid approach, but it’s just as true that the reward should fit the action.
A friend of mine works for a Fortune 1000 company in a tech support role. He’s well respected lead tech in his group.
Last year he developed an idea on his own time and gave it to his company.
As a result, he was flown to annual dinner and presented with an award and a $5000 bonus.
Sound impressive?
His idea will save his company $5 million or more each year.
Still impressed?
My friend isn’t.
He has a friend who is very impressed, but that’s because his company doe nothing; no recognition whatsoever.
My friend feels that a $5K reward for saving the company $5M or more every year, while being better than nothing, is still just short of an insult.
Other than being disappointed what’s the fallout?
He likes his job and his boss, so he’s not planning on leaving, but…
He has another idea that he’s not going to bother developing.
He’s still one of the most productive people they have, but that extra edge is gone.
What do you think his employer should have done?
Join me tomorrow for another look at how, to quote another old saying, companies keep cutting off their noses to spite their faces.
Stock.xchng image credit: dinny
August 13th, 2012 at 1:55 pm
Reading about that low “reward” just made me sad! If it had been the CEO that came up with that idea I bet he would have gotten a million dollar bonus!
August 13th, 2012 at 2:08 pm
If not more! If they hadn’t been so cheap and gone with .01 instead of .001% of the first 5 million they would already have another tool and more savings, not to mention an unbelievably motivated workforce.