1. Improve business results with all employees focused on a common performance metric that defines winning for your company.
2. In tough times, your company can avoid speculation about the company's future and more importantly, every employees' role in the company's future.
3. Employees come up with new ideas that improve profits. Your company is not limited by what executive team can think of; instead you leverage the ingenuity of the entire team.
4. Economic transparency reduces dysfunctional office politics. When everyone operates with same information, they can better focus on doing their jobs.
5. Open-book has been shown to radically improve employee morale and retention, as employees become trusted business partners.
6. Open-book creates a climate of trust and a forward looking organization, quickly identifying and capitalizing on emerging opportunities. This creates a structural competitive advantage, with a company whose employees think and act like owners.
Bill has found that both the end destination, as well as the steps that you take to get there, make a difference. To that end, Bill recommends a process that will broadly involve all employees in your company. The implementation process consists of five steps:
1. Gathering data
2. Defining your organization's performance measure that defines winning in the current year
3. Making performance transparent with a scoreboard that is incorporated into your weekly staff meeting
4. Aligning incentives with an incentive plan integrated into the scoreboard
5. Rollout / driving results
Widely acknowledged as the "Open-Book Management Guru", Bill Fotsch was the head coach at Great Game of Business, he has spent over two decades applying open-book management principles to help businesses deliver outstanding results. Bill has helped more than 400 companies boost employee engagement and increase customer retention. He has worked with industry leaders such as Southwest Airlines, BHP-Billiton, Capital One, and coached small to medium-sized, privately owned businesses.
He and his partner John Case have written 5 Harvard Business Review and 20 Forbes articles. This Forbes article provides particularly useful background: http://www.forbes.com/sites/fotschcase/2016/05/31/engage-your-employees-in-making-money