Verne Harnish is the Founder of the world-renowned Entrepreneurs’ Organization (EO), an establishment with over 16,000 members worldwide. Verne has been chairing EO’s premiere CEO program held at MIT for 15 years and counting.
He’s also the Founder and CEO of Scaling Up, a global executive education and coaching company with over 200 partners in six continents. Verne has spent the past four decades helping companies scale.
He is the author of multiple books, including the best-seller, Mastering the Rockefeller Habits, The Greatest Business Decisions of All Time, Scaling Up, and his latest book, Scaling Up Compensation: 5 Design Principles for Turning Your Largest Expense Into a Strategic Advantage.
Here’s a glimpse of what you’ll learn:
- Why Verne Harnish wrote the book about compensation
- Mistakes leaders make in setting up compensation plans — and what to do about it
- How to compensate fairly based on an employee’s actual contributions
- Can perks replace compensation?
- Gamifying your compensation plan
- Structuring compensation for risk-taking
- The impact of going against the culture of your industry
- Selection effect of compensation
- Compensation for independent contractors
In this episode…
With brands taking new routes in their compensation plans and workers wanting to get the most value for their work, your compensation scheme can become a strategic advantage when done right. Unfortunately, many business leaders wrongly set up their compensation plans, so their most considerable expense has become a downer.
How then do you craft a fair compensation plan that attracts and motivates the right people for your company? What do you do about compensating management staff fairly when their contributions are hard to measure, especially for a service business where people ‘eat what they kill?’
Listen to this episode of the Inspired Insider Podcast with Dr. Jeremy Weisz featuring the Owner of Scaling Up, Verne Harnish. They discuss why compensation is top of mind for businesses today, mistakes leaders make when setting up compensation plans — and what to do about it, the best ways to structure compensation, and more!
Resources mentioned in this episode:
- Verne Harnish on LinkedIn
- Email Verne Harnish: [email protected]
- Scaling Up
- Entrepreneurs’ Organization
- Elise Holtzman on LinkedIn
- The Lawyer’s Edge Podcast
- Joshua Chin on LinkedIn
- eCommerce Profits Podcast
- Adi Klevit on LinkedIn
- Systems Simplified podcast
- Scaling Up Compensation: 5 Design Principles for Turning Your Largest Expense into a Strategic Advantage by Verne Harnish and Sebastian Ross
- Mastering the Rockefeller Habits: What You Must Do to Increase the Value of Your Growing Firm by Verne Harnish
- The Heart of Business: Leadership Principles for the Next Era of Capitalism by Hubert Joly
- The Innovation Stack: Building an Unbeatable Business One Crazy Idea at a Time by Jim McKelvey
- Play Nice But Win: A CEO’s Journey from Founder to Leader by Michael Dell and James Kaplan
- Books by Michael E. Porter
Sponsor for this episode
At Rise25, we’re committed to helping you connect with your Dream 100 referral partners, clients, and strategic partners through our done-for-you podcast solution.
We’re a professional podcast production agency that makes creating a podcast effortless. Since 2009, our proven system has helped thousands of B2B businesses build strong relationships with referral partners, clients, and audiences without doing the hard work.
When you use our proven system, all you need is an idea and a voice. We handle the strategy, production, and distribution – you just need to show up and talk.
The Rise25 podcasting solution is designed to help you build a profitable podcast. This requires a specific strategy, and we’ve got that down pat. We focus on making sure you have a direct path to ROI, which is the most important component. Plus, our podcast production company takes any heavy lifting of production and distribution off your plate.
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We’ll distribute each episode across more than 11 unique channels, including iTunes, Spotify, and Google Podcasts. We’ll also create copy for each episode and promote your show across social media.
Cofounders Dr. Jeremy Weisz and John Corcoran credit podcasting as being the best thing they have ever done for their businesses. Podcasting connected them with the founders/CEOs of P90x, Atari, Einstein Bagels, Mattel, Rx Bars, YPO, EO, Lending Tree, Freshdesk, and many more.
The relationships you form through podcasting run deep. Jeremy and John became business partners through podcasting. They have even gone on family vacations and attended weddings of guests who have been on the podcast.
Podcast production has a lot of moving parts and is a big commitment on our end; we only want to work with people who are committed to their business and to cultivating amazing relationships.
Rise25 Cofounders, Dr. Jeremy Weisz and John Corcoran, have been podcasting and advising about podcasting since 2008.
Insider Stories from Top Leaders & Entrepreneurs…
John Corcoran 0:00
Alright, welcome everyone. John Corcoran here, you know we have a little different format here today. So I’m the moderator for this discussion along with an all star group of CO hosts. We got my Co-founder, Dr. Jeremy Weisz here, who I’ll introduce in a moment. I’m also the Co-founder with Jeremy of Rise25, where we help connect b2b business owners to their ideal referral partners and prospects using done free podcasts and content marketing. But first, our guest today is Verne Harnish. Verne is the Founder of the world renowned Entrepreneurs Organization known as EO, which I belong to it’s amazing organization over 16,000 members worldwide. And he chaired for 15 years EO’s premiere CEO program held at MIT, a program which he still teaches today. He’s also the Founder and CEO of Scaling Up, a global executive education and coaching company with over 200 partners in six continents. And Verne has spent the past four decades helping companies to scale up. He is also the author of multiple books, including the bestseller Mastering, Mastering the Rockefeller Habits, The Greatest Business Decisions of All Time, with a foreword by Jim Collins, and Scaling Up Rockefeller Habits 2.0, which has been my personal business Bible, and it’s never farther than an arm’s length away at all times. And his latest book, Scaling Up Compensation rocketed to number one HR book on Amazon. And that’s what we’re gonna be focusing on today in this discussion. Now I’ll turn it over to my co founder, Jeremy, who will introduce our CO hosts,
Jeremy Weisz 1:39
Verne, this is gonna be amazing. You know, I was listening to you for two hours last night with Joe Polish and some other ones. So I want to introduce the panel of CO hosts firsts in this episode is gonna be published across all of our podcasts. I’m Dr. Jeremy Weisz, I run InspiredInsider.com. And we have Elise Holtzman, founder of Lawyers Edge which provides coaching consulting and training programs to law firms. She’s also the host of The Lawyers Edge Podcast. say Hi Elise, so people know it takes Joshua Chin, CEO of Chronos Agency, which helps e-commerce brands increase revenue with email and SMS, and he’s the host of the e-commerce profits podcast, Josh, thanks for being with us. A D club. It is a process consultant and productivity expert, and is the host of the system’s simplified podcast, buddy. Thanks for being now. John, you devoured scaling up compensation. So I’m gonna let you start. I know you have a abundance of questions. So start us off.
John Corcoran 2:38
Yeah, I just thought we’d start with a really broad topic. So first of all, I mean, Verne, I joked about it being the business Bible, but there’s so many different topics that you’ve touched on. And what I wanted to know, for starters, is, you know, why zero in on this topic? Why compensation? Why now?
Verne Harnish 2:55
Well, why now is the great resignation. And what’s interesting, you know, compensation, does, John always spent four or five on the list, as long as you’ve got some of the other good stuff in your culture, but it has gone to number one. And I think people coming through the pandemic are like, you know, I want to have some resources. And I want to be rich like everybody else. And they’re seeing what’s happening with crypto and all of that. So people have said, Hey, in, by the way, it’s an interesting, original definition of compensation, which is compensation for injury that you’ve received at work. And, and I actually think that a lot of folks see it as, hey, you’re just having to bribe me to stay in this situation. And then a couple of things happen, you saw, Google made the decision that they were going to lower the pay of workers who chose to remain remote, instead of coming back to the office. So that really opened up the conversation. And then I thought it was even interesting, more interesting, Harley Davidson decided this year, that they’re going to grant all 4500 of their workers equity in the company. And so it’s a new day relative to compensation. And workers wanting to get compensated for the work that they’re doing,