Bonus - I Don't Think So!
I don't like bonuses. Sorry, all you employees out there.
Bonuses remind me of Clark Griswold in Christmas Vacation, dejectedly plinking the diving board of his miniature pool, hoping against hope that his Christmas bonus, which he's gotten every year, will come to cover the down payment on his real-size pool.
The reason I don't like bonuses is that they become an expectation rather than a reward. No matter how you do, many businesses give bonuses at a programmed time each year - usually cash, usually related to your level in the company.
How about this - don't pay for breathing and not getting fired, pay for success! Scheme bullet points for employees that, if met, help both the employee and the business. It can be as simple as reading a book on business (any of the Patrick Lencioni books will do!). But they don't have to be that specific. Give a smart person a general, yet worthy goal, such as "Increasing revenue to X dollars this six months" and they'll figure out a way to do it. Whether its improving their customers' satisfaction, working more efficiently, staying longer when needed - whatever it takes, they'll do it to create success for the business and, in turn, for themselves.
If some of these goals require more than one employee or more than one department to accomplish, it creates an entirely different dynamic. Get everyone to create success for the business as a team and life is sweeter for the employees and the owner.
And don't call it a bonus!
Bonuses remind me of Clark Griswold in Christmas Vacation, dejectedly plinking the diving board of his miniature pool, hoping against hope that his Christmas bonus, which he's gotten every year, will come to cover the down payment on his real-size pool.
The reason I don't like bonuses is that they become an expectation rather than a reward. No matter how you do, many businesses give bonuses at a programmed time each year - usually cash, usually related to your level in the company.
How about this - don't pay for breathing and not getting fired, pay for success! Scheme bullet points for employees that, if met, help both the employee and the business. It can be as simple as reading a book on business (any of the Patrick Lencioni books will do!). But they don't have to be that specific. Give a smart person a general, yet worthy goal, such as "Increasing revenue to X dollars this six months" and they'll figure out a way to do it. Whether its improving their customers' satisfaction, working more efficiently, staying longer when needed - whatever it takes, they'll do it to create success for the business and, in turn, for themselves.
If some of these goals require more than one employee or more than one department to accomplish, it creates an entirely different dynamic. Get everyone to create success for the business as a team and life is sweeter for the employees and the owner.
And don't call it a bonus!


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