Wednesday, July 27, 2011

Organizational Incentives and Responsibilities: An Observation

In a large organization, properly aligning incentives and responsibilities is always a challenge. However, sometimes it all comes together like a grand plan. Saw a situation today that demonstrated this. A year ago, a particular facility was very undesirable:  old paint, old carpets, intermittent wireless, worn furniture, etc. In a large organization, fixing mundane issues like this can be a royal challenge: forms, approvals, policy, and more. By chance (at least to a distant observer), the machinery of the organization moved people responsible for facilities into the area. One year later… new paint, new carpets, new furniture. The other groups in the area had their productivity and satisfaction improved. Responsibilities met incentives and action was taken.

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