Why Employees At Apple And Google Are More Productive

Companies like Apple, Netflix, Google, and Dell are 40% more productive than the average company, according to research from the leadership consulting firm Bain & Company. You might think that it’s because these companies attract top-tier employees–high performers who are naturally gifted at productivity–but that’s not the case, says Bain & Company partner Michael Mankins. “Our research found that these companies have 16% star players, while other companies have 15%,” he says. “They start with about the same mix of star players, but they are able to produce dramatically more output.” It’s what they do with these high performers. Executives from large companies across 12 industry sectors worldwide said three components of human capital impact productivity more than anything else: time, talent, and energy. And the top quartile organized its business processes in a way that they’re 40% more productive than the rest and consequently have profit margins that are 30%-50% higher than industry averages. “They get more done by 10 a.m. Thursday morning than the others do in a week, but they don’t stop working,” says Mankins. “This difference compounds every year; over a decade, they can produce 30 times more than the rest, with the same number of employees.” Mankins explores their methods and mindsets in his new book TIME | TALENT | ENERGY: Overcome Organizational Drag and Unleash Your Team’s Productive Power . Here’s what he found: The average company follows a method of unintentional egalitarianism, spreading star talent across all of the roles, says Mankins. Companies like Google and Apple, however, follow an intentionally nonegalitarian method. “They select a handful of roles that are business critical, affecting the success of the company’s strategy and execution, and they fill 95% of these roles with A-level quality,” says Mankins. “The rest of the roles have fewer star […]