Monday, April 11, 2005

Ownership versus possession: a strategic management perspective?

Good: Employees see the connection between their livelihood and the success of the business.

Good: Employees see that if they take ownership in the company by investing themselves in it by doing what it takes to attract and keep customers (by their own volition) their own livelihood will improve.

Bad: Employees see that if the company gets more business, that just means more business for them.

Bad: Employees see that they can’t treat customers with disdain and the company will still have more business than it can handle.

Bad: Employees see that they possess the customers.

Bad: Group A of employees see that if they are to justify their jobs the easiest way to do that is to make Group B look bad, or make it difficult for Group B to compete for the same customers.

Bad: Protectionism

Bad: Barriers to trade

Good: Open competition

Bad: Protecting competitors

Good: Protecting competition

Good: Giving customers choices between which employees will serve them.

Bad: Denying customers choice.

Bad: Environment which is viewed as zero sum and the incentives are to fight for possession of a slice of pie.

Good: Environment which encourages creation of value.

Good: Making the livelihood of Group A and Group B depend on the number of customers they can attract.

Recommendation: From an organizational perspective, creating internal competition – barring scope for sabotage – is likely to be a good thing.

Result: Happy employees and happy customers.

Failure to do so results in minimalist attitudes by employees. Discontented customers. Long term damage to reputation of the organization.

Disclaimer: Any similarities to real persons or organizations is purely in the imagination of the reader.

Question to author: This applies to both your blogs. Where will you post it?
Answer: One, with a link to in the other.

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