Paying people more is seldom the most important factor in attracting and

Paying people more is seldom the most important

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Paying people more is seldom the most important factor in attracting and retaining human capital. 68  Most  surveys show that money is not the most important reason why people take or leave jobs and that money, in some surveys, is not even in the top 10. Consistent with these findings, Tandem Computers (part of  Hewlett-Packard) typically doesn't tell people being recruited what their salaries would be. People who  asked were told that Tandem's salaries were competitive. If they persisted along this line of questioning,  they would not be offered a position. Why? Tandem realized a rather simple idea: People who come for  money will leave for money. Page 121 Another nonfinancial reward is accommodating working families with children. Balancing demands of  family and work is a problem at some point for virtually all employees. Below we discuss how Google attracts and retains talent through financial and nonfinancial incentives. Its  unique “Google culture,” a huge attraction to potential employees, transforms a traditional workspace into  a fun, feel-at-home, and flexible place to work. 69 Googlers do not merely work but have a great time doing it. The Mountain View, California, headquarters  includes on-site medical and dental facilities, oil change and bike repair, foosball, pool tables, volleyball  courts, and free breakfast, lunch, and dinner on a daily basis at 11 gourmet restaurants. Googlers have  access to training programs and receive tuition reimbursement while they take a leave of absence to  pursue higher education. Google states on its website, “Though Google has grown a lot since it opened in 1998, we still maintain a small company feel.” Enhancing Human Capital: Redefining Jobs and Managing Diversity Before moving on to our discussion of social capital, it is important to point out that companies are  increasingly realizing that the payoff from enhancing their human capital can be substantial. Firms have  found that redefining jobs and leveraging the benefits of a diverse workforce can go a long way in  improving their performance. Enhancing Human Capital: Redefining Jobs    Recent research by McKinsey Global Institute suggests  that by 2020, the worldwide shortage of highly skilled, college-educated workers could reach 38 to 40  million, or about 13 percent of demand. 70  In response, some firms are taking steps to expand their talent  pool, for example, by investing in apprenticeships and other training programs. However, some are going 
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further: They are redefining the jobs of their experts and transferring some of their tasks to lower-skilled 
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