Entrepreneurial Insanity - Why good Is the Enemy of the Great

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Entrepreneurial Insanity - Why good Is the Enemy of the Great
Shared by: Jason Calacanis
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views:
5945
posted:
5/20/2009
language:
English
pages:
17
Entrepreneurial Insanity

Why good is the enemy of the great



The World

average



Below



Above



Poor



Great



Bad



Excellent



Contribution

average



1 Below 0

Poor



2 Above 3

Great



-1

Bad



4

Excellent



Average Contribution = 1.5

(9 units of work / six people)

average



1 Below 0

Poor



2 Above 3

Great



-1

Bad



4

Excellent



Removing bad & poor people and replacing with average people Average Contribution = 2.16 (up 67%)

(13 units of work / six people)

average



2 Below



2



2 Above



4



3

1 Great



4

1 Excellent



Removing Average people and replacing with great & excellent people Average Contribution = 3.5 (up 233% & 62%)

(21 units of work / six people)



9

3 Great



12

3 Excellent



The Bottom Line

Units produced Yearly raises Year end compensation (Starting at 100 units)



Average co.



9 13

(67% gain)



1 - 2.5% 2 - 5% 6 - 12%



102.5 105 112



Above Average co.



Excellent co.



21

(233% gain)




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