Patagonia founder and owner Yvon Chouinard argued that meaningful work depends on what one does, in terms of daily tasks, but also on the larger issues that a company stands for" He writes. "Regardless of ow talent or educa-tion: our preference for working with words, numbers, or our hands ... we have meaningful work at Patagonia because our company does its best to be responsible to nature and people. Out daily gestures—on the one hand, mundane and often tedious—are, on the other hand. infused with the effort to give something useful and enjoyable to society without bringing undue harm to nature, the commons, or other workers. Tedium is easier to take when it has meaning." In an effort to encourage other companies to be more "responsible to nature and people," Chouinard includes a responsible company checklist in the book. and as a download on Patagonia's website (www.patagonia.com/pdf/en_US/checklist.zip). The checklist includes sections on being responsible to (a) the financial health of the company. (b) its employees. (c) its customers. (d) the local community. and (e) nature. The employee checklist is excerpted below:

• Determine whether your company pays above-market. at-market. or below-market rates. Paying below market means your competitors will attract the best talent, including your own.
• Calculate the multiple by which the company's highest-paid employee compares to its lowest-paid full-time worker. Set a goal over a specific period of time to narrow the gap to a specific multiple, appropriate to your industry.
• Calculate your average annual attrition rate and compare with that of other employers in your business. If your number doesn't look good. figure out why. Set a benchmark for improvement.
• Calculate the internal hire rate for open positions. If you have to hire outside too often, are you training properly and allowing people to grow in their jobs?
• Include as many employees as possible in the company's bonus plan to secure broad-based support for company goals.
• Diversity and gender balance, at all levels of the workforce. are strong virtues in a work-force: discourage both management myopia and provincialism.
• Provide stock options or equivalent forms of company ownership to as broad a base of employees as possible.
• Allow part-time and flextime and telecommuting opportunities as appropriate.
• Install showers so employees can exercise at lunch or bike to work.
• Provide a company café or kitchen or, if not practical, a dedicated space to let employees eat and/or rest.
• Provide on-site day care if possible (or establish a relationship with a local provider).
• Share financial information with all employees: no one should be innumerate.
• Incorporate into the mission statement a commitment to reducing social and environmental ham).
• Provide employee training to reduce social and environmental harm.
• Provide paid sabbatical leave for long-term managerial and creative staff to help prevent burnout.
• Get rid of dehumanizing cubicles; let there be natural light.
• On an annual basis, conduct a job-satisfaction survey of all employees; quantify and share the results.
• Require that supervisors write an annual performance appraisal for their staff. Supervi-sors should consult employees' co-workers and key contacts within the company. set goals (including social and environmental performance goals) for the corning year. and determine training needs.

1.1 Which checklist ingredients would you value most as an employee Which would you value least? Do some suggestions seem debatable?

1.2 Which checklist ingredients do you think are most uncommon in organizations? Do those ingredients seem to be promising avenues for creating sustained competitive advantage?

1.3 Chouinard argues that "tedium is easier to take when it has meaning." Which checklist ingredients seem most promising for creating meaning? Would you add any additional suggestions to increase meaning further?

Answer rating: 100% (QA)

PATAGONIA CASE 11 Determine whether your company pays abovemarket atmarket or belowmarket rates Payi... View the full answer