What is your competitive advantage?

Each business needs to have a competitive advantage to survive long-term.

Michael Porter’s book, Competitive Advantage, shares generic strategies, and they can be applied to products or services in all industries and to organizations of all sizes.

"Cost Leadership" - no frills

"Differentiation" - creating uniquely desirable products and services

"Focus" - offering a specialized service in a niche market

You must have the right talent on your team in order to execute your competitive advantage.

Getting the right people on the bus is your priority. (Yes, I’m thinking of Good to Great by Jim Collins.) And you need to keep them there and focused on the right results.

How much you pay, what you pay for, and when it is delivered to employees matters. It is foundational to your competitive advantage.

And too often employers don’t spend enough time being intentional about their compensation philosophy and pay programs.

Compensation = Communication

Is what you are paying your employees supporting your long-term success? What does it tell your employees?

And if you’ve never thought of it this way. Don’t worry. Your employees have.

#compensation #pay #rewards #humanresources #competitiveadvantage #leadership