Generally, an equity stock is issued at a par value of $1 and the
market adjusts this number based on the amount of value created by the issuing
company. Things that add value include
profits, intellectual property, inventions, goodwill, products and inflation.
Not long ago, I posted a blog on understanding our individual
handling fee (the cost of having you on a team). Upon more thought, there is
more to this theme. If all leaders start
a new position with a par value of $1, then our immediate goal is to increase
that number. Over time, it is very possible
that our par value can drop. As we
transfer our skills and knowledge to our team, implement documented processes,
deploy performance metrics and recruit great talent, our personal value
decreases. We are no longer needed as
much. Once our handling fee is known, this too is subcontracted from your par
value.
We increase our value by taking on additional responsibility and
assignments, learning new skills, familiarizing ourselves with products and
markets, gaining additional degrees and certifications, exporting talent into
the organization and building strong peer relationships. We all need to know our value proposition and
its relationship to our handling fee and par value.
What is you value proposition?
Is it increasing or decreasing?
Are you taking action? Do you care?
2 comments:
A very meaningful value, thank you for sharing!
Hi thankks for sharing this
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