WILD ARTIST All about LIFE

18May/10

Rules to make things better or worse

Recently, I heard of somebody's exclaiming against the rule of imposing penalty on lateness. I know that being late for work is not right but I wondered that this kind of remedy would go in positive way. However, asking employees directly about new rule leads to a lopsided result and the effect of the rule itself should be considered, so I was stuck in dilemma. How could I do know the effect clearly?

Let's think about the rule which benefits the workers like an incentive. That would motivate the workers to achieve their goal (or not). Then, how about removing the incentive? Demotivation would be the crucial return. In perspective of executives, incentive is not must-be matter but is just a tool for high-performance. This kind distinct of view on rules delivers collision sometimes.

Beneficial rules would be greeted. On the other hand, these rules cannot be ceased easily because of the effect I wrote in the middle. It does not mean that incentive-like useful rules should be eliminated. Rule-maker should be considerable for both the positive-side and the negative-side when making new rule. I'd summarize the methodology here to check out before proclaiming the rule in public.

  1. List the advantages of the rule (score it from -10 to 10).
  2. List the disadvantages (score it from -10 to 10) when it is suspended .
  3. Let's set advantages as A = { a1, a2, ..., an } and disadvantages as D = { d1, d2, ..., dn }.
  4. Let's set the weight of advantages and disadvantages as W = { w1, w2, ..., wn }.
  5. Calculate the total effect of advantage and disadvantage.
    That is, Ea = (A*W) / W, Ed = (D*W) / W.
  6. Let P be a period of day which the effect lasts.
  7. Then, check out that Ea > Ed / log(10, P).

Then setting an example would help to understand. Let's think about INCENTIVE again. Here are the lists of advantages and disadvantages with weight.

  • It will motivate people to work hard. (advantage 8, weight 6)
  • It will raise the loyalty to the company. (advantage 2, weight 5)
  • The expense would be increased. (advantage -4, weight 2)
  • It will demotivate people if incentive has gone. (disadvantage 9, weight 6)
  • They will think that the company is in a hard time and may lose their loyalty. (disadvantage 5, weight 5)
  • The expense would be decreased. (disadvantage -4, weight 2)

Suppose that the incentive would affect people for 3 months. Then P = 90. Finally, the following is the result.

Ea = (a1*w1 + a2*w2 + a3*w3) / (w1 + w2 + w3) = (8*6 + 2*5 + (-4)*2) / 13 = 3.84
Ed = (d1*w1 + d2*w2 + d3*w3)/ (w1 + w2 + w3) = (9*6 + 5*5 + (-4)*2) / 13 = 5.46
Ea is bigger than Ed / log(10, P) = 5.46 / 1.95 = 2.8.
Then, this incentive should not be deprecated.

About WILD ARTIST

WILD ARTIST is originated from passion and creativity. And they can be described as innovation so as to operate the business and play the life. New ideas for my opinion and discussion on them are always welcome.
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