Michael Dell advice

The best way I know to establish and maintain a healthy, competitive culture is to partner with your people.

Michael Dell

Dell Inc.

 

 

"At Dell, the vast majority of our employees are owners as well, a result of employee stock purchase plans, stock option grants, and a 401(k) plan in which we match employee contributions not with cash but with company stock," says Michael Dell, Founder of Dell Inc. in his book Direct from Dell.

 

 

 

"Stock ownership in the computer systems business is nothing new. At Dell, though, it comes with another commitment. To be an owner, you have to think like one. The personal investment people feel when they think and act like owners manifests itself in a true commitment to the company. I'm surprised that most companies offering stock to their employees have missed this critical point." 

 

 

 

"We decided to reward employees around a matrix of Return on Invested Capital (ROIC), and growth; higher performance directly correlated to higher ROIC, which came back in the form of higher compensation. What was remarkable was that we took a concept that was both powerful and sophisticated and translated it so that it could be understood by every employee in the company."

 

 

 

"It wasn't something that benefited only senior executives. Every person who works at Dell from engineers to product managers to our support teams started thinking about what makes the business profitable and what she could do to improve ROIC."

 

Revolutionary Strategies

Disruptive Innovation

Customer-focused Culture

 

 

Michael Dell advice

You need to engender a sense of personal investment in all your employees which comes down to three things: responsibility, accountability, and shared success.

Michael Dell

Dell Inc.