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Ownership Thinking

Book Description

It’s an insidious disease that is crippling companies, destroying our economy, and crushing potential. It’s infecting the very roots of business performance, and it’s spreading fast. It isn’t the recession, market volatility, scandal, or greed.

It’s entitlement.

And it may be killing your business.

In myriad ways, entitlement has been cultivated for decades. As a result, too many employees today believe that they are entitled to a paycheck simply because they show up. Brad Hams has proven that we are not doomed to a path of entitlement and dependence. After more than 15 years working with hundreds of companies, he knows that the vast majority of employees addicted to entitlement actually want to engage, want to contribute, and feel much better about themselves when they are in an environment that requires them to do so.

Now, with Ownership Thinking, Hams shares his strategy that will increase your company’s productivity, employee retention, and profitability:

The Right Education: Teach employees the fundamentals of business and finance, how their company makes money, and how they add—or take away—value.

The Right Measures: Identify the organization’s Key Performance Indicators and teach employees to forecast results in an environment of high visibility and accountability.

The Right Incentives: Create incentive plans that are self-funding and clearly align employees’ behavior to the organization’s business and financial objectives.

Your employees will learn to think and act like owners and will become active participants in the financial performance of the business. They will gain the self-esteem that is only possible through achievement and will reap rewards that are in alignment with the success of their organization. Meanwhile, you will enjoy your role more, sleep better at night, and leave a legacy that is far more inspiring and significant than you dreamed possible.

Praise for Ownership Thinking

“You would have to read a dozen other books to even come close to Ownership Thinking—a systematic and practical process for getting your employees to give that extra effort and brain power we know they possess.”

—Verne Harnish, CEO, Gazelles; author, Mastering the Rockefeller Habits

“Brad Hams tells it like it truly is: transparency creates trust; trust creates engagement; engagement creates a healthy enterprise. This thoughtful and practical book shows you how to achieve all of these things and more.”

—Chip Conley, founder and executive chair, Joie de Vivre; author, Peak

“Comprehensive and marvelously clear, Ownership Thinking’s techniques for creating change are focused, direct, and motivating. This is a wise book, unusually useful, and I recommend it most highly.”

—Judith M. Bardwick, Ph.D., author, Danger in the Comfort Zone and The Psychological Recession

“Brad Hams is one of the most persuasive and creative thinkers I know. His book is a specific guide you can (and should) implement now.”

—Corey Rosen, founder, National Center for Employee Ownership

“Hams is masterful at outlining the engagement practices that inspire people to care and to be deeply vested in business results.”

—Jim Haudan, CEO, Root Learning; author, The Art of Engagement

“Hams’ book is like a candid conversation with a wise friend. . . . A ‘must read’ for any business leader wanting to create a culture of ownership.”

—Dean Schroeder, author, Ideas Are Free

Table of Contents

  1. Title Page
  2. Copyright Page
  3. Dedication
  4. CONTENTS
  5. ACKNOWLEDGMENTS
  6. INTRODUCTION: This Is Not Your Typical Business Book
  7. CHAPTER ONE: Why Ownership Thinking Is Desperately Needed
    1. How Owners and Employees Think
    2. Entitlement
    3. The Good News
    4. The Paradox of Altruism
    5. Common Characteristics of Great Companies
    6. People
    7. The Financial Benefits of Ownership Thinking
    8. Share the Insomnia
  8. CHAPTER TWO: How to Create Incentive Plans . . . That Work!
    1. An Incentive Plan Must Be Self-Funding
    2. Elements of Poorly Designed Incentive Plans
    3. Elements of Well-Designed Incentive Plans
    4. Designing Your Plan
    5. Stock Appreciation Rights
    6. The Argument Against Incentive Plans
  9. CHAPTER THREE: Your Employees Think You Make Wheelbarrows of Money
    1. Advanced Financial Acumen
  10. CHAPTER FOUR: Measure Through the Windshield, Not the Rearview Mirror
    1. Why Financial Statements Are Not Enough
    2. Examples of Key Performance Indicators
    3. How to Identify Your Key Performance Indicators
    4. The Key Indicator Workshop
    5. Creating the Scoreboard
    6. Utilizing the Scoreboard
    7. Huddle Guidelines
    8. KPIs from Various Industries
    9. Departmental, Business Unit, and Location Scoreboards
  11. CHAPTER FIVE: Get RIP’d: Rapid Improvement Plans
    1. RIP Case Study
    2. RIP Example 1: No More Tears
    3. RIP Example 2: The Big Green Cash Cow
    4. RIP Example 3: Wash Away Warranty Work
    5. RIP Example 4: Grand Slam
    6. RIP Example 5: Yabba Dabba Doo
    7. RIP Example 6: Surf and Turf
    8. RIP Example 7: Double Your Pleasure, Double Your Fun
    9. RIPs in Action: Mercedes Medical
    10. RIP Tips
  12. CHAPTER SIX: Employee Stock Ownership Plans (ESOPs): Do Ownership Thinkers Have to Own?
    1. Technical Aspects of ESOPs
    2. Cultural Considerations of ESOPs
    3. Final Thoughts on ESOPs
  13. CHAPTER SEVEN: Ownership Thinking for the Long Term
    1. The Adult Contract
    2. Creating an Ownership Thinking Steering Committee
    3. The Role of the CEO
    4. Mission-Driven and Not-For-Profit Organizations
    5. Multilocation Organizations
    6. Dealing with Poor Performing Individuals, Departments, or Business Units
    7. Tapping Into the Ownership Thinking Community
    8. The Importance of Moving to Mexico
  14. CLOSING THOUGHTS
  15. FURTHER READING
  16. INDEX
  17. ABOUT THE AUTHOR