“A successful man is one who can lay a firm foundation with the bricks others have thrown at him.”
~ David Brinkley
Below are several great examples of using “reverse logic” in paying employees more to increase profits.
The Container Store has just one employee for every three their competitors have. But, they pay their employees double the industry average and spend 160 hours training them.
What is the result of this strategy? The Container Store employees are better trained and happier, and thus provide superior service. All this at a 33% lower cost than competitors.
Interestingly, when The Container Store opened in New York City, it had 100 times more applications than available positions. With numbers like that, they can hire the best of the best each time.
Similarly, Harry Seifert, CEO of Winter Garden Salads gives employees bonuses just before Memorial Day, when demand for its products peak. The bonuses boost morale and cause the company’s productivity to jump 50% during the busy period.
Paying employees more to improve performance and boost company-wide profits is a historically proven tactic. In fact, back in 1913, Henry Ford doubled employee wages from $2.50 to $5.00 per day. The move boosted employee morale and productivity and caused thousands of potential new workers to move to Detroit.
Your employees can and should be a source of your competitive advantage. Recruit them slowly and wisely. Train them well. Give them a voice in your company and respect them. And pay them well. When you do this, you’ll have employees that perform at three times the level of your competition. And even if you pay them double the industry average, you’ll still have huge profits and outperform your competitors.
Are You Working Too Hard?
If you’ve been working really hard but your business still isn’t growing fast enough, then I’m sure you already know there’s a problem.
To build a truly successful business, you simply can’t do it all yourself…
Instead, you need to build your “Dream Team.”
With the right team in place, you’ll multiply your efforts and grow your business faster (while avoiding burnout). Building a team (the right way) is the only answer for long-term sustainable, profitable business growth.
And I created this training to show you step-by-step how to do it right, so you avoid all the common mistakes.
Today’s Question: What donut-making chain is the center of attraction of many world-class food courts?
Previous Question: Who, in 1879, was superintendent of the Battle Creek Sanitarium which practiced ‘biologic living’ and ‘natural medicine’? He was a well-known surgeon, and in the 1890s he and his brother developed a dry wheat flake that would soon become a popular breakfast cereal?
Previous Answer: John Kellogg.
John’s brother, Will, eventually took over the business. Charles Post was actually once a patient at Kellogg’s sanitarium.
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