Forums: Discussions for entrepreneurs and small business.

Ok so your employee brings you a new idea, and in a matter of months after implementation, it generates $1 mil of net profits for your company. How do you reward the employee? DO you reward him/her?

http://www.themcompanies.com/blog/how-to-reward-a-million-dollar-idea



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THE M COMPANIES - BUSINESS DEVELOPMENT BLOG

Reminds me a few times in my career with a few different companies. they all seem to handle it different, the first company I designed a circuit for a contest, and made it to the top 5, the top prize was 50k a trip to Hawaii and be published in a technical book. when I made the top five for the final round the contest contacted the company I worked for, they disqualified me from the contest based on a nondisclosure contract and said they could (and did) use the circuit for their product.The president of the company called my in his office and gave me a check for 250.00, asked me if I wanted to work on the project to implement this circuit (which I did).
another company paid a 25.00 bonus (which after taxes and ssi was just about 12.50), but they had an awards dinner once per year for the select few.
And another company simply made an anoucement at the weekly town meetings after the implementation walking all the other employees through the process, and finally a small cash bonus at the end of the presentation with all hands clapping.
I think the last way was the best and worst way, personally I get embarrassed in front of that many people, and being put on a pedestal for doing my job, but the other side is everyone in the business knew the contribution. and everyone raised the bar of their own contribution.

One large corporation use to give the employee a check for 10 percent of what the idea saved or made the company in the first year of implementation.  Company made hundreds of thousands of dollars off the program by encouraging employee involvement in the company.


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The older we get, the more excuses we make for not chasing after our dreams. But truth is, goals are attainable at any age.

In a moral world, yes.

In today`s world, probably not.

The question is whether or not a business owner or executive leader cares at all about morality.

if you litterally netted $1MM then i would cut the guy a check for $100K