Small Change

Discussion in 'The Okie Corral' started by security79, Feb 23, 2010.

  1. security79

    security79 Gene Frenkle

    Messages:
    931
    Likes Received:
    0
    Joined:
    Apr 13, 2006
    Location:
    Shermer, Illinois
    I saw a documentary called small change on current recently about Argentina and what happened to the economy in 2001. Most say it is destined to happen here at some point. But anyway, they showed how alot of the factories, that have closed, have been and are being bought by the employees and are doing far better then when they were run by big management. They share the profits and all decisions are made as a collective. When you think about it it makes sense because what do these high up over paid managers really do. I was thinking why could this not be done here or has it been tried already?
     
  2. devildog2067

    devildog2067

    Messages:
    16,623
    Likes Received:
    1,872
    Joined:
    Apr 20, 2005
    Location:
    Chicago
    Anyone who thinks that management isn't work has never been a manager.
     

  3. devildog2067

    devildog2067

    Messages:
    16,623
    Likes Received:
    1,872
    Joined:
    Apr 20, 2005
    Location:
    Chicago
    That was a bit flip. Let me give a more complete answer:

    Free market wages are set by market forces. Managers are paid based on how their activities produce profits for the company. If they were not worth their salaries, someone would come along and do their jobs for cheaper, and the "overpaid" managers would be out of a job. In the free market, no one is ever over- or under-paid.
     
    Last edited: Feb 23, 2010
  4. SheepleNoMore

    SheepleNoMore

    Messages:
    2,515
    Likes Received:
    0
    Joined:
    Dec 26, 2007
    Location:
    Mid America
    Only true in theory. In practice and reality: crooks, thieves, bums, slackers, liars, scoundrels, and strikers become greedy and take more than their fair share. Also, nepotism and empire builders divert funds with limited if any benefit to the company. Then there is the fiction of financial accounting that permits deception and deceit under the guise of Generally Accepted Accounting Principles.
     
    Last edited: Feb 23, 2010
  5. Palouse

    Palouse The Resistance Lifetime Member

    Messages:
    4,058
    Likes Received:
    1
    Joined:
    Feb 27, 2006
    Location:
    Washington State
    Perhaps, but it's true.
     
  6. Palouse

    Palouse The Resistance Lifetime Member

    Messages:
    4,058
    Likes Received:
    1
    Joined:
    Feb 27, 2006
    Location:
    Washington State
    That's a pretty broad brush. True enough for some, but not all.
     
  7. Jon_R

    Jon_R

    Messages:
    6,303
    Likes Received:
    1,075
    Joined:
    May 3, 2009
    Location:
    Central Florida
    Then another company sees an opportunity to take their market share and produce a better value product and the entire under performing company fails. General Motors might have been a good example if the natural course of business was not interfered with by the federal government.

    If employees want to ban together and own and run a company go for it. I assume it would be a privately owned company and would not issue common stock but I supposed they could. As long as a free market is left alone they will either survive and prosper or not. With the way it was described I would become concerned about flexibility and time to market if every decision has to be debated and put forth to a committee but heck give it a try and see if it will work or not. That is the great thing about free market with little government involvement. Get an idea, test it in theory, then try and make it work. If it does work you make lots of money. If not then try again.
     
  8. security79

    security79 Gene Frenkle

    Messages:
    931
    Likes Received:
    0
    Joined:
    Apr 13, 2006
    Location:
    Shermer, Illinois
    I guess maybe I shouldn't have generalized and included every manager. I'm sure there are some good ones. It's just been my experience that they are so quick to make an employees life worse to make theirs better. Case in point would be my old security manager. The big wigs at the plant would give her a cost savings bonus every year on the money she was able save the company. This is all well and good but made it a chore for us to get equipment, uniforms, ammo for training, etc. At the end of my time there we voted in a union and from what I've heard pay has increased and morale has improved. Like I said I'm sure there are some good ones but most could give a crap less about their people.
     
    Last edited: Feb 23, 2010