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Does Opening the Books Mean Sharing Everything?

Jul 16, 2020 by Great Game Team 0 Comments

 

 

 

Does opening the books mean sharing salaries

One of the main concerns business owners have when first introduced to open-book management is related to what information will be shared. They fear that revealing details of the company’s financial picture will create stress and tension within the organization. For example, owners are often concerned about whether employee salary information is to be revealed. They even worry about the competition gaining access to their financials.

Salary Information Remains Confidential

The goal of the open-book strategy is to create accountability and responsibility in staff members by showing them their impact on numbers that are important to your organization. Financial information such as salary and bonuses paid to individuals is not relevant to that goal, nor to the financial literacy training, and consequently is not shared with employees.

Awareness Breeds Engagement

The GGOB approach isn’t about finger pointing. Instead, it’s about reflecting on past failures and successes, as well as present-day challenges. This helps staff members understand what they can do to improve results in the future. The focus of The Game is squarely on the “why” and the “how” rather than the “what.”

Scorecards Benefit Only Your Organization

If a competitor gets access to a scorecard it really has nothing more than raw data. Without knowledge of the processes and procedures behind the numbers, there is no way for an organization to capitalize on those stats.

Explaining Your Critical Numbers

The focus of The Great Game® is the data that matters most to your organization. We refer to these as your Critical Number. We help you use those metrics to teach your staff about your business from the perspective of a manager or owner. They become intimately familiar with this data and aware of how their efforts impact the company’s results. Numbers that can’t be used to help achieve this goal aren’t shared.


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Topics: Open-Book Management, Transparency

Written by Great Game Team

About The Great Game of Business

Our approach to running a company was developed to help close one of the biggest gaps in business: the gap between managers and employees. We call our open-book approach The Great Game of Business. What lies at the heart of The Game is a very simple proposition: The best, most efficient, most profitable way to operate a business is to give everybody in the company a voice in saying how the company is run and a stake in the outcome. Let us teach you how to develop a culture of ownership, where employees think, act and feel like owners.