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Compensation Compression

The figure below shows the salary trends for a typical corpricracy comprised of DICs, BOOGLs, SCOLs, and CGHs. Notice that the sky’s the limit for manager types and compression occurs for the DICforce. Is that the way it should be? In theory, probably yes. In practice, most likely no.

The most frequent reason given by the mainstream management guild for rationalizing the curve is that managers have more responsibility and greater impact on an org than any “induhvidual contributor” DIC. That is true, but are they fulfilling their responsibility? Is their impact positive or negative? Oh sure, every viable org has at least a handful of PHOR managers that fulfill their responsibilities and positively impact the org, but all mediocracies are filled with BOOGLs, SCOLs, and CGHs who don’t fulfill their responsibility and negatively impact the corpricracy.

When the inequity in compensation becomes blatantly obvious and intolerable, a handful of underappreciated DICs usually break off and form their own startup where everyone starts out as either a CABBIE or PHOR. Ironically, as the startup grows and allegedly matures:

  • The majority of PHORs transform into BOOGLs, SCOLs, and CGHs while retaining the mindset that they’re still PHORs.
  • The BOOGLs, SCOLs, and CGHs start perceiving the CABBIEs as DICs; a cost to be minimized.

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