"I'm about to have a contest between our workers to spur productivity. Any
ideas?" - Harvey G.
Let the following story be a warning.
"We're about to have some exciting competition," said the manager of a steel
plant in Ohio. "We have three eight-hour shifts and I'm going to issue this
challenge. The shift that produces the most steel with the highest quality over
the next thirty days will receive a substantial bonus for every worker."
For the first few days, there was a lot of bantering between the workers as they
changed shifts. "You just wait. We're going to win this thing," one night
supervisor said to the incoming morning employees. It began as a friendly
rivalry.
As time passed, however, what the manager thought was a great motivational
device proved to be a disaster. Just a few days after the competition began,
discord surfaced between the teams. For example, as one shift was about to leave
the plant they would turn off the power so that the next group would have to
re-fire the furnaces - losing precious time and producing less steel.
Workers in another shift, dumped foreign materials into the furnace that would
lower the quality of the steel for the next team.
At the end of the month, management was stunned. There had been a decrease in
output.
Internal competition rarely works. It pits worker against worker, resulting in
lower morale, diminished production and friction in the organization. The lesson
learned in that Ohio plant is one we all must discover sooner or later. We win
through cooperation, not competition.
Neil Eskelin
jumpstartlist@neileskelin.com
www.neileskelin.com
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