In the fast changing Internet era, the whole society is full of Internet thinking, subverting many traditional industries.
However, there is still a company that not only hasn't been subverted, but also keeps the spirit of the tortoise and hare race. Every year, it keeps growing continuously and successfully surpasses its competitors. One of the key secrets is to promote incremental performance management in jogging.
This is the famous Huawei Company. So what is Huawei's unique approach to incremental performance management?
Let a company reduce the number of employees by 50%, increase per capita labor by 80%, and increase sales revenue by 20%. In fact, the method is very simple, the core of which is to "reduce people, increase efficiency and raise salary". Enterprises must keep these six words in mind.
1、 Backward task from salary
When many companies make budgets, they always arrange tasks for subordinates, which is equal to "forcing" subordinates to do them.
Huawei's approach is the opposite. There is only one rule: first, give him a salary package, how much he wants to get, and then push out his tasks in proportion. For example, if you give him a salary package of 5 million yuan and the salary he gets is 300000 yuan, then he must find a way to complete the performance for the 300000 yuan.
The core management problem of the company is to associate the organizational performance of the enterprise with the expenses of the Department and the income of the employees. Only in this way, the most important thing is to increase the income of the core employees, and to increase the salary of the core employees can force their ability to grow.
The company should consider how the employees live and the quality of life of the employees. Employees have money but no time to spend, which is the happiest thing in the enterprise. What is the most painful thing for enterprises? There are many low wage people, but everyone has nothing to do. A group of employees have time all day but no money.
So in Huawei, it is mandatory to increase the salary of core employees, so as to push back how much income they want to complete. For each year's tasks, 20% of the top 20 employees and 10% of the middle 20 employees will be paid. For every 10% over completion, add another 10% of the employees. In addition, even if the Department does badly, it will raise wages, but it can reduce the number of people.
Many enterprises often make a mistake: the worse the performance of the Department, the less they will pay their employees. If the salary doesn't go up, the excellent employees must go, and the rest are relatively poor. For small and medium-sized enterprises, the salary of every employee cannot be as high as that of Huawei, but you can make the salary of core employees high. In this case, it is necessary to increase the salary of core output positions.
In a word, to keep the core employees and raise the salary of a few excellent employees, to push your task backward, this is incremental performance management.
2、 Increase per capita gross profit
However, many employees will not work hard for the promotion of sales revenue, so they must have gross profit, which is basically 30 to 100 times.
Huawei first divides the gross profit into six packages: R & D expense package, market product management expense package, technical support expense package, sales expense package, management support expense package and company strategic investment expense package. And to find out the "owner" of these six packages, let the "owner" match the following people according to the gross profit.
Per capita gross profit is the only survival index for any enterprise. The per capita gross profit is 350000 yuan, which is the lowest income level of an enterprise. If the per capita gross profit is 350000 yuan, 60% or 210000 yuan is labor cost, 35% is business expense and 15% is net profit. At present, in the first tier cities of beishangguangshen, if the employees in the enterprise can't get 8000 yuan salary in a month, they can't live.
The reason why Huawei must achieve the goal of 1 million yuan per capita gross profit is that Huawei stipulates that employees must get a fixed salary of 280000 yuan.
This problem is also applicable to small and medium-sized enterprises. We must pay attention to raising the per capita gross profit. The growth of per capita gross profit rate determines the growth of wage package. If the salary package of small and medium-sized enterprises can not go up, they will certainly become Whampoa Military Academy of large enterprises, and the talents with excellent skills will be poached by others.
3、 Reduce people and increase efficiency
The best state of an enterprise is to let a person do a lot of things without supporting idle people. For example: four people's work, by two people to do, can get three times the wage.
This involves one problem: reducing people and increasing efficiency. This is the primary goal of performance management.
Therefore, when Huawei's human resources department often sets recruitment requirements, the first is to find out why it should recruit this person? Second, what is his unique contribution? Third, can we give this position to others and increase their salaries?
In Huawei, a department manager can only work for three years. In the first year, the task is to streamline personnel and merge many positions. Enterprises must keep these points in mind: the more management positions and functional positions are combined, the better the more functions of a position are, and the finer the output positions are.
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