{"type":"rich","version":"1.0","provider_name":"Transistor","provider_url":"https://transistor.fm","author_name":"Creating the Perfect Company","title":"Ep. 20: Compensation – The ONLY Way to World-Class (6 of 6)","html":"<iframe width=\"100%\" height=\"180\" frameborder=\"no\" scrolling=\"no\" seamless src=\"https://share.transistor.fm/e/811a497c\"></iframe>","width":"100%","height":180,"duration":2476,"description":"In this FINAL episode of this Compensation series, Andrew covers many of the Recommendations and Important Points When Creating Compensation Methodologies, including: bringing people Close to Revenue, getting rid of Annual Bonuses, pay Frequently & Immediately so checks teach Cause-and-Effect, wire Objectivity into the system, and keep the model Simple so it Self-Regulates. He lays out Percentage Splits that actually motivate, creates Acid Tests for ROI, eliminate COLA/Annual Raises (make it rich so no one asks), moves costs Variable from Fixed, and codifies Principles for Raises/Promotions (listen to the What Are You Willing to Throw Your Life Away On? Podcast Episode #7). He also covers Cross-Training, an Economy of Codes, Fewer Standards (five), and a warning: Overpaying DAMAGES people— as all compensation should be EARNED so people can understand their true Value in the marketplace… as well as helping a person be truly Happy and Content. Chapter Markers(00:00) Intro(01:52) Close to Revenue — Sensitize everyone to ups/downs like owners(03:52) Kill Annual Bonuses — Pay frequently so checks teach behavior(05:42) Timeliness Matters — Pay now or breed contempt(07:13) Make It Objective — Systems, not squishy relationships(08:23) Tight Accounting — Accuracy, speed, and fewer errors(09:46) Splits That Motivate — Model 50/50 vs 30/70; avoid “excessive pay”(11:07) Taxes & Reality — Company share isn’t the “whole wad”(12:03) Acid Tests for ROI — Simple unit math to cut through fuzz(15:27) Volunteers & Value — Karma dollars and executive-level leadership(16:35) No COLA, No Annual Raises — Make it rich; retention proves it(17:46) Mileage & Variability — Flex with real costs (AAA, trucking inputs)(18:58) Principles for Raises/Promotions — More value, not longevity(22:25) Risk Reversal — Proof of concept, then share in savings(24:22) Not All Paid the Same — Pay by value; everyone can learn to sell(26:05) Cross-Training (Ten-Two) — Redundancy, anti-fraud, school,...","thumbnail_url":"https://img.transistorcdn.com/PUD-OLN3VcaNaSIwd5H8AQDJa8pTyZj6SNLJquiuhQQ/rs:fill:0:0:1/w:400/h:400/q:60/mb:500000/aHR0cHM6Ly9pbWct/dXBsb2FkLXByb2R1/Y3Rpb24udHJhbnNp/c3Rvci5mbS8zN2Fk/M2VmNDZmNTUyNjg3/MGYxNjVlY2ZiNzgx/ZGI5Ni5qcGc.webp","thumbnail_width":300,"thumbnail_height":300}