Showing posts with label metric. Show all posts
Showing posts with label metric. Show all posts

Tuesday, October 24, 2017

Demise of the Corporate Dinosaur

As more and more corporations implement these ridiculous metrics; it will be interesting to see how well they do when they have no more employees. What will happen when their automation isn't able to meet these metrics either. When you have a formula dictating what can and should be met. These businesses will quickly fall apart.

The only saving grace for these companies will be if they finally buy back all their shares and dump the share holders. They need to learn how to budget a company this large to weather all types of economy. Without these skills these companies will go the way of the dinosaur.

Small businesses that are family run will be in a better position to maneuver. They have learned their business from the ground up. Unlike their counter parts that have only learned to run a company but know nothing about the actual product or the challenges that a plant might face with equipment challenges.

Large corporations are not designed to be flexible. They try their best to maneuver in a changing economy and instead show how truly dated they really are. Until each part of a large corporation is made to actually run each section like an individual business they won't succeed. Each part of the organization needs to be creative and learn how to pull its own weight. It needs realistic standards and not some made up metrics that look great on paper but aren't achievable by human or machine.

By constantly chasing these insane unrealistic goals they are costing their companies more money by not investing in better equipment and not passing the costs on to their consumers. This like a dog chasing its tail. When you penalize your employees for not making goals that are truly designed for 5-6 people. You will eventually cost yourself more money as you fall further and further behind. This perpetual rat race can only go on for so long. The profits soon erode under the share holders demands for more money.

While the smaller businesses may be capital challenged at first glance. They will eventually win because they are like the tortoise in the race betwee the tortoise and the hair. Because they pay attention to the economy and have reserves put into place. They will be able to determine the changes in the consumer faster than a larger corporation. They have employees that have a vested interest in keeping not only their jobs but in the health of the company.

Smaller companies are usually more open to listening to their employees for suggestions. They have worked in some cases side by side in building the company. Large corporations look at their employees as a number. Smaller companies actually have a relationship with their employees and their customers. It's a more personal relationship that will win in the long run. This is what will keep the loyalty of a costomer versus that of a large corporation. Larger corporations have loyalty from their customers to a certain degree but even that can erode over time.

Penny J. (MN, USA)
Raven Hawke, Llc
www.ravenhawke.net
info@ravenhawke.net