Yahoo’s New HR Policy: Ranking Workers on a Curve

Recently, a new policy is released by Yahoo. The policy forces managers to rank employees on a bell curve, then those who at the low end will be a tragic. They will get fired by Yahoo. This new policy, as part of Yahoo’s human resources management, has exerted great pressure to Yahoo’s employees.

However, from my perspective, the ranking system is a risky human resource tactic. Employee performance can not be simply evaluated by a curve. Sometimes it does not even follow a bell curve at all. Outcomes vary from different criteria. Though a bit pressure can motivate employees, constantly putting people under great pressure will lower their motivation as well as productivity. In reality, well-performing companies are less likely to evaluate their employees via ranking. They tend to evaluate employee performance comprehensively, which is also more fair to them. Thus, corporate as Yahoo should aim to create its own organizational culture to motivate its employees rather than take advantage of a ranking system which has fallen out of favor.

article source: http://www.businessweek.com/articles/2013-11-12/yahoos-latest-hr-disaster-ranking-workers-on-a-curve#r=most%20popular

Motivated by Power or Individual Achievement?

According to David McClelland and David Burnham, managers fall to three motivational groups: affiliative managers, managers motivated by the need to achieve, and institutional managers. People in the first group aim to increase their popularity rather than achieve their individual goals. Those in the second group desire to reach their goals and obtain their own recognitions, regardless of what people think of them. However, those in the third group are motivated by power. People in the third group are the most effective and productive. They realize that the fundament of leadership is building power through influence people.

But why are managers motivated most by power? A successful manager usually has a greater need to influence others than a need to achieve personal goal or a need to be liked. Managers are those who lead a team to achieve a team goal. This is why they do not have a strong need to achieve individual goal. In addition, a successful manager should be capable to arrange his subordinates’s work properly. They have to be responsible, focusing on the entire team rather than individual. Thus, those who are motivated by power are more influential.

article source:http://hbr.org/2003/01/power-is-the-great-motivator/ar/1

Puma’s Environmental Accounting

The sportswear company, Puma, has become the first company in the world to put a value on the eco services is uses in its production processes. Its first economic valuation of environmental impacts includes costs on greenhouse gas emissions, water consumption, and land usage along its entire supply chain. Additionally, Puma has promised that within four years, half its international will be produced according to its internal sustainability standard, using recycled materials, as well as ensuring its suppliers use more sustainable materials.
 

By costing its impact on the environment, Puma redefines its productivity in the value chain, which creates corporate shared value (CSV). This assists Puma to build a sustainable competitive advantage in the long run, which guarantees it a stable market share. Moreover, the innovative accounting system helps Puma gain a better understanding of scarce natural source, which allows the company to build a more resilient and sustainable business model and better manage its impact on the environment.

article source:http://www.theguardian.com/sustainable-business/puma-value-environmental-impact-biodiversity

 

 

The Leaking Information

In January 2008, WikiLeaks posted stolen documents from Julius Baer, a Swiss bank, with bank records of approximate 1,600 clients. Later in September 2009, WikiLeaks posted an internal report from Trafigura, discussing a hazardous waste spill in Côte d’lvoire. These two cases exerted a tremendous negative impact not only on society, but also the corporate world. Business secrets are not safe enough if only collected by information systems.

The third technology revolution in the 1990’s has brought technology information to the business world. Corporates used to keep their information lived on paper about 50 years ago, which were much easier to manage and protect than they are today. Nowadays, most corporation have their own information systems, which aim to collect and protect all the data of the company. Though it is convenient for companies to use such a information system, business secrets are easy to leak. WikiLeaks is a case in point. This turns out to be a vital issue. Corporations may suffer a giant loss due to the leak of their information. Thus, companies should not over-dependent on their information systems. Security departments and protective systems should be set up to protect the information, in order to decrease the incidence of information leaking.

article source:

-http://www.economist.com/node/18226961

-http://www.economist.com/node/17680643

The Creative Partnership: Creating Shared Values

                                     

Adidas has partnered with Grameen Bank, a micro-finance organization, to manufacture low-cost shoes for the poor in Bangladesh. The creative partnership produces affordable footwear for the poor in Bangladesh, which prevent them from hookworm and other parasitic illness. In addition, these shoes are manufactured in developing countries, which also creates job opportunities for the poor. This partnership between Adidas and Grameen Bank are aiming to serve the poor rather than make profits.

                                 

By doing so, Adidas and Grameen Bank create a social business model that hold a sustainable economical strategy. They make great contribution to society by providing essential access to health to the poor in developing countries. This innovative partnership is a perfect example that illustrate shared value and corporate social responsibility (CSR). The social business project are catering for social need, not just conventional economic needs. Firms create economic values by creating social values. Thus, by reconceiving products and markets, Adidas succeeded to build a social responsible image towards the public. Moreover, it supports Bangladesh’s local economy indirectly by enabling local cluster development.

However, critics worry that CSR and CSV will become tools for companies that just want to greenwash themselves and enhance their social impacts.

article sources:

-http://knowledge.asb.unsw.edu.au/printer_friendly.cfm?articleid=1208

-http://news.xinhuanet.com/english/2009-11/18/content_12485466.htm

The best workplace in the world: Google

Google is regarded as the best workplace in the world by Fortune’s 100 Best companies to work for. To create a homelike working environment, Google provides its employees with organic food, comfortable offices, child center, and so on. Moreover, it offers mentoring programs and TED talk show to each of its employees. Besides, Google also has its famous 20percent rule which allows its employees get 20 percent of their time to work on their own project.

These are Google’s organizational culture. It represents Google’s values, characteristics and beliefs, all of which shaped the company’s image towards the public. A company’s organizational culture has both internal and external impacts. By providing its employees with a homelike atmosphere and daycare facilities, their motivation are highly improved, which enhances the entire firm’s productivity and its customer satisfaction. In addition, all engineers in Google are allowed to get 20 percent of their time to work on their own project. Thus, the flexibility and freedom provided by Google motivate the workers and keep them in the company. Another vital value of Google is expressed via a motto: “Don’t be evil”. Most of the company’s decisions are made based on this motto, which creates a brand image towards the public. Therefore, organizational culture is also part of marketing.

article source: http://smallbusiness.chron.com/googles-business-leadership-organizational-culture-58108.html

video source:https://www.youtube.com/watch?v=wsnSBhWEyK4