Thursday, September 26, 2013

The Performance Gap

There is an ever widening gap in the work place between job proficiency and job productivity.

During the time of America’s industrial revolution in the early 20th century there was a clear standard the existed with regard to the wages to be earned and the work to be performed.

There was a profound performance protocol that linked job proficiency with job productivity that made them virtually inseparable. The accepted standard for compensation in America’s burgeoning industrial organizations was known as “piecework”. 

Wage incentives in the form of piecework were intended to successfully boost worker efficiency, effectiveness and output. In turn, industrial workers were self motivated to increase their personal competency, skill proficiency and productivity. The end result was a win-win scenario for both the organization and the worker.

The piecework concept was straight forward and simple. Moreover, it provided a clear and resounding answer to the worker’s #1 concern when it came to their job -- The proverbial W.I.I.F.M question… “What’s In It For Me?”

As we fast forward to present time, the 21st century post industrial period offers little in the way of wage incentives. Even in the once lucrative sales business, most sales people find that their supposed sales bonuses and awards are always just beyond their performance reach. Their incentives are more theoretical than reality, because the organization itself is the one that is creating the set points for the bonuses and awards which are based on the organization’s revenue requirements as opposed to the respective capabilities of their sales force.

In our current age of information technology the relationship between “proficiency” and “productivity has become virtually nonexistent. 100 years ago piecework ruled the roost and salaried positions were few and far between. Today, the vast majority of job positions are either fixed salary or a flat hourly wage with little or no option for overtime -- As a high percentage of employers have adopted a stringent no overtime policy as a result of the Great Recession.

With rare exception, other than a few remaining trades, the piecework model has become an antiquated dinosaur. True productivity has become severely impaired as a direct result of the lack of achievable wage incentives and worker motivation.

As adolescents, your workers received scholastic based proficiency testing to determine what they had learned (what they know). In contrast, as adults the real world focus shifted to what can they “do”?

The reality is that adult workers in mass are not fully utilizing the skills that they have already acquired. This is attributable to a variety of contributing causes that include a lack of personal motivation, work ethic, incentives and the inadequacy of their leadership to engage them.

Authentic leadership bears the responsibility of bringing out the best in people by helping the organization and its people to use their talents, abilities, skills, education and professional training more often, more effectively and more successfully. This will ultimately enhance worker proficiency while increasing organizational productivity.

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Copyright © 2013 Developing Forward | Thomas H. Swank, CBC | All Rights Reserved.

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