I’ve been thinking about this for quite some time. Short-term thinking is the one big bad effect of modern turbo capitalism. Since we cannot have nice things, and are stuck with the current shitty system, could we at least come up with a way to make people in positions of power interested in the long term? Like, monthly payment in stocks that they are forced to hold for ten years or so? You can get a credit against those stocks, but at the end of the day, you would need to care that the company still exists and has worth in ten years.
Shifting the bonus compensation to long-term performance instead of “this year or even this quarter” is surprisingly very difficult. People are trained to game the system. It’s how sales forces operate in most companies.
It doesn’t matter what system you implement, somebody is constantly attempting to figure out how to maximize their profit at the cost of everyone else.
The more money involved, the more convoluted the games are.
I’ve been thinking about this for quite some time. Short-term thinking is the one big bad effect of modern turbo capitalism. Since we cannot have nice things, and are stuck with the current shitty system, could we at least come up with a way to make people in positions of power interested in the long term? Like, monthly payment in stocks that they are forced to hold for ten years or so? You can get a credit against those stocks, but at the end of the day, you would need to care that the company still exists and has worth in ten years.
Shifting the bonus compensation to long-term performance instead of “this year or even this quarter” is surprisingly very difficult. People are trained to game the system. It’s how sales forces operate in most companies.
It doesn’t matter what system you implement, somebody is constantly attempting to figure out how to maximize their profit at the cost of everyone else.
The more money involved, the more convoluted the games are.