FOR THOSE OF YOU WHO ENJOY GREAT BUSINESS
BOOKS >
Joy At Work has crossed into that territory. In fact, it was recently named
the #6 Business Week Bestseller. Checkout:
http://www.businessweek.com/pdfs/2005/0519_bestsell.pdf
WANT TO HELP PROMOTE JOY AT WORK?>
Click here to download Water Cooler Wisdom, and place it somewhere the whole
office can see it.
http://www.DennisBakke.com/pages/watercoolerwisdom
JOY AT WORK SIGHTINGS >
We want to hear from you. Let us know when you see a boss giving others the
chance to make an important decision, or when you see someone embracing a random
act of responsibility. Share your stories with us at joysightings@dennisbakke.com
FORWARD TO A FRIEND >
Get your friends and coworkers involved in the Joy at Work revolution! Forward
them this e-Journal, or direct them to http://www.adrenalinebiz.com/dennisbakke/moreinfo.asp where
they can sign-up for the monthly e-newsletter today.
DENNISBAKKE.COM >
Don't forget to check out all the Joy at Work resources online at http://www.DennisBakke.com There
you will find information on Dennis Bakke, his revolutionary ideas and Joy
at Work.
1. When given the opportunity to use our ability to reason, make decisions,
and take responsibility for our actions, we experience joy at work.
2. The purpose of business is not to maximize profits for shareholders
but to steward our resources to serve the world in an economically sustainable
way.
3. Attempt to create the most fun workplace in the history of the world.
4. Eliminate management, organization charts, job descriptions, and hourly wages.
5. Fairness means treating everybody differently.
6. Principles and values must guide all decisions.
7. Put other stakeholders (shareholders, customers, suppliers, etc.) equal to
or above yourself.
8. Everyone must get advice before making a decision. If you don’t seek
advice, “you’re fired.”
9. A “good” decision should make all the stakeholders unhappy
because no individual or group got all they wanted.
10. Lead with passion, humility, and love.
How do you know when you’ve made a good decision? Who benefits from its
outcome—the shareholders, the employees, the customers, the government?
This month we’ll take a look at rule #9, that defines a good decision
as one that doesn't completely satisfy all stakeholders. Dennis Bakke expands
upon this idea in Joy at Work:
Profits should have the same priority as paying interest to financial institutions,
salaries to employees, taxes to governments, and discounts to customers.
Why should enriching shareholders be more important than producing quality
products and selling them to customers at fair prices? What logic says
that a company should put creating value for shareholders ahead of the
economic well-being of its employees? The legendary lawyer Clarence Darrow
reinforced this view when he said, “The employer puts his money
into ... business and the workman his life. The one has as much right
as the other to regulate the business.” Employees should share in
the value they create.
As “individual citizens” of the state, corporations are given
certain rights and responsibilities in order to serve society. Most modern corporations
rely on various groups and institutions to help them meet this goal.
Classical economics suggests that all “residuals” (profits) should
go to shareholders or owners. Some students of the modern corporation have used
this economic theory as the basis for suggestingthat making money for shareholders
is the primary goal of investorowned corporations. Some legal scholars also
support this theory, although the courts have not consistently held that
the “shareholder is king.”
Margaret M. Blair, the Sloan visiting professor at the Georgetown University
Law Center and a nonresident senior fellow at the Brookings Institution, analyzes
the legal, economic, historical, and practical issues in Ownership and Control:
Rethinking Corporate Governance for the Twenty-First Century. Her book
supports the idea that shareholders are only one of many important stakeholders
in corporations. “What troubles me most about the shareholder primacy
argument is the glibness of it all,” she wrote in The Financial
Times in 2002. “Anyone who runs a business on the basis of fundamentals
knows that they have to pay attention to human capital, their suppliers,
franchise operators, all the different parties involved.” During the
past two decades, several states, including Illinois, Massachusetts, New
Jersey, New York, and Pennsylvania, have added language to their laws
of incorporation that give expanded rights and other considerations to
these stakeholders. The shift was evident even in the conservative Board
Alert newsletter, which in February 2003 published an article titled “Board
Focus Shifts From Shareholders to Stakeholders: Employees, Customers,
Communities Become More Important to Directors.” The article stated:
“Corporate boards are rethinking whom they represent as they draft
governance principles required by new regulations.”
Regardless of the economic and legal issues, however, most CEOs of large
organizations know that the classical economic view and a strict legal
interpretation of corporate ownership have little relevance to how the
modern organization does and should work in reality. Each stakeholder
is crucial to a company’s success. Obviously, the company depends on investor
capital, but it also needs lenders, customers, productive employees, rights
and protections provided by government, and products and services from
suppliers. The value created is the sum of the contributions of all these stakeholders.
In return, each stakeholder deserves a portion of the value created.
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FREE DOWNLOAD
- Water Cooler Wisdom - Rule #9 printable 8.5 x 11 pdf document
-------------------------------------------------
Want to start a dialogue in your office about Bakke's Top 10? You can download
a printable version of Rule #9 and stick it up somewhere it will be seen.
(Suggestions - the boss's chair, underneath windshield wipers, inside the
box of donuts, or next to the inspirational posters in the cafeteria)
Check out the statistics related to overall workplace satisfaction and employment
trends. To some, these figures might seem normal; to others, they might come
across as alarming. Whatever your case may be, imagine what these figures could
look like if managers became leaders, if leaders gave up decision making power,
and employees chose to embrace random acts of responsibility.
Fact #1 - Half of all Americans today say they are satisfied
with their jobs, down from nearly 60 percent in 1995. But among the 50 percent
who say they are content, only 14 percent say they are "very satisfied."
Fact #2 - Job satisfaction has declined across all income brackets
in the last nine years. While 55 percent of workers earning more than $50,000
are satisfied with their jobs, only 14 percent claim they are very satisfied.
Fact #3 - The largest decline in overall job satisfaction,
from 60.9% to 49.2%, occurred among workers 35-44. This is also the worker group
next in line for management and leadership positions.
Fact #4 - The second largest decline took place among workers
aged 45-54, with the satisfaction level dropping from 57.3% to 47.7%.
Fact #5 - 40% of workers feel disconnected from their employers.
Fact #6 - Two out of every three workers do not identify with
or feel motivated to drive their employer's business goals and objectives.
Fact #7 - 25% of employees are just 'showing up to collect
a paycheck.' (Source: TNS)
Fact #8 - Less than one-third of all supervisors and managers
are perceived to be strong leaders.
Fact #9 - 39 percent of the workforce now has worked for six
or more employers, up from 27 percent in 1999.
Fact #10 - 45 percent of workers want to change jobs at least
every three to five years, up from 26 percent in 1999.
(Sources: TNS; The Conference Board, 2005; and Spherion's 2003 Emerging Workforce
Study)
For additional facts check out the following sites:
http://hrblog.typepad.com/hrblog/2005/03/more_facts_abou.html
http://perfectlaborstorm.com/facts.html
Each month Dennis will answer a variety of work-related questions. Please send
your questions to: askdennis@dennisbakke.com
> If taking ownership and making decisions is key to experiencing joy at
work, what do you do when people like me are stuck in jobs that don’t
allow the freedom to make significant decisions? — Seattle, WA
I suggest random acts of responsibility. What that means is that we need to
break out of the organizational box—that tight job description—and
take on new responsibilities even if its not requested by your boss. It’s
essential to earn trust, and teach the boss that you are a human being capable
of making decisions, taking responsibility and holding yourself accountable.
— DB
> It seems to me that my boss is paid more to make substantial decisions.
He welcomes the responsibility. Sometimes I question whether I would really
want some of my coworkers to make such important decisions. Is your approach
really for everybody? — Hinsdale, IL
No, it’s not for everybody; it’s for human beings. It’s true
that many bosses think they are paid more to make decisions, but in a joy filled
workplace you are paid more to be leaders—and leadership is a much tougher
standard. Leadership involves acting in such a way that allows others to soar;
that other people can fulfill their destiny to reason, take action, make decisions,
and then hold themselves accountable. — DB
> What is the purpose of business? On March 14th, in front
of a group of students and faculty at the University of Pennsylvania’s
Wharton School, Dennis shared his belief that the purpose of business "was
never meant to maximize shareholder value."
To read the article in full click here:
http://www.whartonjournal.com/news/2005/03/28/News/Dennis.Bakke.And.The.General.Management.Club-904163.shtml
> What do you consider when applying for a job? Dennis recommends
that you look beyond the 401K, payroll and other benefits, and see if the employees
are happy—can they make decisions; do they smile?
To read the article in full click here:
http://seattlepi.nwsource.com/business/218596_careers04.html
> On March 21st, Dennis spoke at the University of Michigan’s
Ross School of Business, where he spoke of starting the Joy at Work Revolution.
While addressing an audience of students, Dennis urged them to employ themselves
in jobs where they have a chance to use their skills to make a difference in
their organizations.
To read the article in full click here:
http://www.bus.umich.edu/NewsRoom/ArticleDisplay.asp?news_id=5206
Contact Us:
Questions for Dennis Bakke: askdennis@dennisbakke.com
Joy Sightings: joysightings@dennisbakke.com
General Inquiries: info@dennisbakke.com
