Example of dumb management?

AARRRGH

Why do so many companies have great issues giving people raises (when deserved) yet have no problem spending money on stupid things?

By stupid things I mean paying way over the odds for things or spending lots of money on things which will not increase the companies profits/sales/etc.

I find this is a common problem in lots of companies.

magpie

Because thanks to years of carfeul marketing by people like the IT Industry companies now have enormous budgets for replacing equipment biannually to ensure that secretaries who use Word and Email have machines capable of designing, building and flying a rocket to the moon. And if they don't spend their full budget every year it gets cut. Staff on the other hand... keep paying them as little as you can get away with is the rule.

WhiteWashMan

dublindude wrote:

Why do so many companies have great issues giving people raises (when deserved) yet have no problem spending money on stupid things?

By stupid things I mean paying way over the odds for things or spending lots of money on things which will not increase the companies profits/sales/etc.

I find this is a common problem in lots of companies.

give me some great examples of these stupid things?

i mean, i know projects that have cost millions, yet have yielded very little in return. on the other hand, im sure there are things other than obvious benefits which you may not see...

sovtek

Look on the desktop of anyone in upper management. The moron that barely knows how to use Word will probably have the latest processor, video card, a gig of memory...etc etc
Next...any machine running Windows 2000/2003 server

WhiteWashMan

sovtek wrote:

Look on the desktop of anyone in upper management. The moron that barely knows how to use Word will probably have the latest processor, video card, a gig of memory...etc etc
Next...any machine running Windows 2000/2003 server

yes, im sure that powerful machine will bring the business to its knees...

nesf

WhiteWashMan wrote:

give me some great examples of these stupid things?

i mean, i know projects that have cost millions, yet have yielded very little in return. on the other hand, im sure there are things other than obvious benefits which you may not see...

I agree, 90% of what I hear people complain about makes complete sense from a management/financial/future looking point of veiw.

Yes there are some bad decisions made, but you cannot expect to be given raises at the drop of a hat.

Companies can't get away with just giving one guy raises every time he does something right. Anyone on a par with him work wise will also expect a raise, and then his sub-ordinates will expect one, and then if you don't give his manager a raise he'll feel he's underpaid. So instead of costing 5 grand a year that raise could cost 50K in other raises or replacing people who don't get a raise to soothe their ego. Then you have to consider the knock-on effect in the industry as a whole if there is a large scale wage increase.

There are very good reasons why people don't get raises very often. They aren't much comfort to anyone except upper management. But they are good reasons nonetheless. If it really bugs you go work for yourself. Alot of people, including myself, believe that in order to make serious money you need to work for yourself. The problem with that is, it's not as stable, and if you pick up a long term illness you could be completely screwed.

magpie

Alot of people, including myself, believe that in order to make serious money you need to work for yourself. The problem with that is, it's not as stable, and if you pick up a long term illness you could be completely screwed.

I concur.

If you work for yourself amke sure you have a good pension, life insurance and serious illness protection cover in place. The good news is you can claim tax relief at 42%.

AARRRGH

OK, in my situation, I deserve a lot more than I am paid (I am well - nearly 50% - below the average wage for my position.) And a big part of my job is reviewing all expenses. Obviously, I can't reject expenses from senior management, but a lot of these are money down the drain (i.e. paid for and then forgotten about.)

I am only looking for a small raise.

It makes no sense to me. If an important staff member spends his days worrying about paying his bills because of his **** wage, and the company has lots of money, a raise is reasonable and intelligent thing to do.

galwaydude

Do you have a preformance review coming up in the near future ? If not then go to your boss and find out what he/she thinks ?

themole

dublindude wrote:

OK, in my situation, I deserve a lot more than I am paid (I am well - nearly 50% - below the average wage for my position.)

if thats the real situation then quit and get another job.

why should they pay you more if they don't have to?, your still there aren't you?

WhiteWashMan

dublindude wrote:

OK, in my situation, I deserve a lot more than I am paid (I am well - nearly 50% - below the average wage for my position.)

you see, thats the problem.

YOU think you deserve it, but in someone elses eyes, you may not.
hell, i *think* i deserve a ferrari and beach house in mali, but my boss has told be to pss off.
/shrug

dublindude wrote:

OAnd a big part of my job is reviewing all expenses. Obviously, I can't reject expenses from senior management, but a lot of these are money down the drain (i.e. paid for and then forgotten about.)
It makes no sense to me. .

so you do your job. you ant a raise for that? and what your superiours expense, is not your business, so theres no point in making comparisons.

dublindude wrote:

I am only looking for a small raise.
.

arent we all?

dublindude wrote:

It makes no sense to me. If an important staff member spends his days worrying about paying his bills because of his **** wage, and the company has lots of money, a raise is reasonable and intelligent thing to do.

you are replacable. if you feel youa re underpaid, get a job where you arent.
or do you just feel that you should get paid for doing your job?
i mean, if you came to me with those arguments, youd probably get short shrift.
if you came to me with a list of how you have improved the business, how wonderful you actually are (not how wonderful you think you are) and you have a business case for how much money you have saved the company through all the changes you have made, id happily give youa pay raise.

if you tell meyou deserve one becasue you are you, you'll get something in your review at the end of the year, like all the others.

AARRRGH

themole wrote:

if thats the real situation then quit and get another job.

why should they pay you more if they don't have to?, your still there aren't you?

There's a couple of issues.

1. I like the company I work for. There are lots of perks.
2. I recently had a performance review. I got excellent all round. There was talk of a raise with the words, "Don't worry, we'll look after you" being quoted. Since then, they avoid the topic with me, yet continue to praise. They also changed my job title to a senior management one. But still the same ****ty wage. Yes, I know, I am holding my end of the bargain and they aren't holding theirs. It's wrong.
3. I live about 2 minutes from my job.

1 + 3 are big factors for me.

I guess I should force them to either admit they were bull****ting when they said they'd "look after me" or just leave and let them realise what a mistake they've made. Obviously they think I'm here for life.

Thank you for your replies.

seamus

dublindude wrote:

I guess I should force them to either admit they were bull****ting when they said they'd "look after me" or just leave and let them realise what a mistake they've made. Obviously they think I'm here for life.

Perhaps they're looking at you for a promotion in the near future but don't want to say anything to you just yet because it's hush-hush at the moment, or they're not sure if HR will go with it. How recent was this performance review? Would other reviews still be taking place at the moment?

WhiteWashMan

then i think you need a full and frank discussion with the person who did your review.

but, it will teach you that in future, its all nice and good to get lovely things said about you, but unless you get it in writing, that they will 'look after you', you may end up with nothing at all.

i take it then that this unhappiness with your current situation is the reason for the unhappiness at companies as a whoel for wasting everyones money?

you see how objections can be hidden behind other factors?
there todays sales lesson kids