show me the money compensation strategy for managers
DESCRIPTION
All managers must decide how much to invest in each individual in their team. This decks proposes one strategy, given finite resources.TRANSCRIPT
![Page 1: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/1.jpg)
SHOW
COMPENSATION
ME THE MONEY
STRATEGIES FOR PEOPLE MANAGERS
![Page 2: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/2.jpg)
all managers must decide how much to invest in each
individual on their team
![Page 3: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/3.jpg)
you can invest a fixed amount of money and/or time
MONEY TIMECompensation, promotion, benefits, etc…
Coaching, mentorship, training, etc…
![Page 4: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/4.jpg)
so, as a practical example, if you have 10 members on your team, $100,000 in comp, and 30 hours per week to support them, how
will you invest?
![Page 5: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/5.jpg)
how much of your time & money do you invest in your top talent?
![Page 6: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/6.jpg)
what about your weaker members?
![Page 7: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/7.jpg)
what about everyone else?
![Page 8: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/8.jpg)
what is fair? what is right?
![Page 9: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/9.jpg)
what gets you and the firm the highest return on those
investments?
![Page 10: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/10.jpg)
remember
![Page 11: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/11.jpg)
it is a fixed pie that you have to work with, so you need to make
hard choices
![Page 12: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/12.jpg)
start by dividing your workforce into 4 categories
![Page 13: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/13.jpg)
CATEGORY OF WORKERSTARS
POTENTIALS
WORK HORSES
UNDER ACHIEVERS
![Page 14: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/14.jpg)
and, since people fall roughly into standard deviations
![Page 15: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/15.jpg)
it’s a good bet that your team will distribute roughly as follows
![Page 16: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/16.jpg)
CATEGORY OF WORKER
% OF YOUR TEAM IN THIS CATEGORY OUTPUT AS A GROUP
STARS 10% 40%
POTENTIALS 30% 30%
WORK HORSES 50% 20%
UNDER ACHIEVERS 10% 10%
in your team of 10, you’ll have 1 star, 3 potentials, 5 work horses and 1 under
achiever
the star and potentials will add a vastly disproportionate value to your goals
![Page 17: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/17.jpg)
here is my recommended investment strategy
![Page 18: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/18.jpg)
CATEGORY OF WORKER
% OF YOUR TEAM IN THIS CATEGORY
YOUR BUDGET
YOUR TIME
STARS 10% 50% 10%POTENTIALS 30% 30% 50%WORK HORSES 50% 20% 20%UNDER ACHIEVERS 10% 0% 20%
![Page 19: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/19.jpg)
why this distribution?
![Page 20: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/20.jpg)
RULE ONEcomp your stars extremely well so
that they stay, and then get out of the way so that they can achieve
these guys don’t need much time. they are well trained already. all they
need are goals and air cover
![Page 21: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/21.jpg)
RULE TWOPotentials have the highest return
on time
comp them above market, but invest a much greater relative
percentage of your time so that they become stars
![Page 22: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/22.jpg)
RULE THREEComp your Work Horses fairly and
spend some time helping them understand & achieve their goals
But signal that while it is OK to, "just get the job done," if they stretch themselves towards the Potential
category, you'll respond with greater investments
![Page 23: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/23.jpg)
RULE FOURDo not comp your under achievers
Instead, spend a disproportionate amount of time to help them retrain
and/or move out of the function where they are under performing and into another function where they can
become a star
![Page 24: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/24.jpg)
SHARE THIS DECK & FOLLOW ME(please-oh-please-oh-please-oh-please)
stay up to date with my future slideshare posts
http://www.slideshare.net/selenasol/presentationshttps://twitter.com/eric_tachibana
http://www.linkedin.com/pub/eric-tachibana/0/33/b53
Please note that all content & opinions expressed in this deck are my own and
don’t necessarily represent the position of my current, or any previous, employers
![Page 25: Show me the Money compensation strategy for managers](https://reader036.vdocuments.mx/reader036/viewer/2022062513/555844efd8b42acb078b52e4/html5/thumbnails/25.jpg)
CLICK HERE FOR MORE!!!!