Competitive Advantage1 book · 3 highlights

Pay What You're Worth, No Salary Schedule

Books Teaching This Pattern

Evidence

  1. "sheet, but one indication is salary. CA’s average annual salary of $48,000 is at least a third higher than that of highly stratified companies like IBM. Unlike IBM, CA does not bother with a salary schedule—you get what you’re worth. A rookie program- mer starting at $30,000 may see his salary double in a year. And CA is almost certainly the only company in the world willing to pay an engineer not yet out of his twenties a salary, before bonuses, of close to $200,000."

  2. "“Stars, we're always looking for stars. ‘Where are the stars?’ We're always asking this question, and always looking.’’ Con- sidering that a pro quarterback’s value diminishes rapidly after about six years, and considering as well that a star programmer becomes more valuable every day for up to forty years, the CA programmer makes and earns far more. Charles: “You've got"

  1. "Not only do people who have been quickly moved into positions of authority grow as individuals, but the company becomes much better at what it must do, which is produce, market, and sell its products. In the driest economic terms, it is getting more out of its assets. Ina company whose single significant asset is people, there is no other way. And in a twenty-first century in which every asset that is not people—machines, real estate, money, credit—is merely a commodity, the same principle will apply across the board and in spades."

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