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For example, it might be that we’ve hired more salespeople, who help us sell more, but that we are not selling enough to cover the additional costs of the added people’s salaries. These examples should help you see the point about using the right measure. Extending the prior example, you would want to be sure that you set employee and customer satisfaction control targets appropriately.
This is the tendency to underestimate our performance and capabilities and to see events in a way that puts ourselves in a more negative light. We may expect that people with low self-esteem may be particularly prone to making this error. These tendencies have real consequences for behavior in organizations. Is our behavior in organizations dependent on our personality?
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Investing in our people is the cornerstone of our storied 50-year history and tradition informative post . And these investments continue to deliver real measurable value to our partners, our customers and our shareholders. I’ll be providing granularity around the incremental partner investments we made beginning last year and the additional partner investments we will be making in fiscal ’22 in a moment.
Because of political reasons, self-interest, or habits, managers may create powerful resistance to change efforts. In such cases, replacing these positions with employees and managers giving visible support to the change effort may increase the likelihood that the change effort succeeds. For example, when Robert Iger replaced Michael Eisner as CEO of the Walt Disney Company, one of the first things he did was to abolish the central planning unit, which was staffed by people close to ex-CEO Eisner. This department was viewed as a barrier to creativity at Disney and its removal from the company was helpful in ensuring the innovativeness of the company culture (McGregor, et. al., 2007). For the change effort to be successful, it is important to communicate the need for change to employees.
Chapter 16: Strategic Human Resource Management
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Anything you can do to help provide some visibility on that path would be great. Accelerating our growth in shared fuel for future margin expansion as sales leverage is one of the most meaningful expansion opportunities we have. So while we will see an impact to operating margin in fiscal 2022 resulting from these investments, increasing our share of customers now will drive long-term earnings and value for all Starbucks stakeholders.
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