1/ Phil Fisher's 15 points to look for in potential investments, from the classic investment book, COMMON STOCKS AND UNCOMMON PROFITS.
Point #7: Does the company have outstanding labor and personnel relations?
Point #7: Does the company have outstanding labor and personnel relations?
2/ Fisher quickly points out that the cost of bad labor relations extends far past than the direct cost of strikes.
Employee churn is a very real cost caused by bad relations and good relations can lead to far higher employee productivity.
Employee churn is a very real cost caused by bad relations and good relations can lead to far higher employee productivity.
3/ There's no metric to look up to evaluate labor relations, but we can look at how disputes are resolved, esp complaints made to HR.
e.g. This story was a red flag that something was amiss at $UBER pre-IPO. If co doesn't clean house after this, beware.
engadget.com/2017-02-20-ube…
e.g. This story was a red flag that something was amiss at $UBER pre-IPO. If co doesn't clean house after this, beware.
engadget.com/2017-02-20-ube…
4/ Another thing to look at is how company pays its employees compared to other players in its industry.
$COST is a shining example of this, for years it has been recognized for paying employees above average wages and decent benefits.
$COST is a shining example of this, for years it has been recognized for paying employees above average wages and decent benefits.
5/ When companies do nothing to value their employees do not be surprised when the investment does not turn out the way you think it will. Whether cashiers, warehouse workers, engineers, or developers, how a company treats its employees matter.
6/ One tool I have found invaluable is @Glassdoor.
Just make sure you're comparing apples to apples when using Glassdoor. Software company engineers are more likely to feel better about their job than an army of retail workers. So compare companies to others in same industry.
Just make sure you're comparing apples to apples when using Glassdoor. Software company engineers are more likely to feel better about their job than an army of retail workers. So compare companies to others in same industry.
7/ This is one of Fisher's point relating to company culture. And don't be mistaken: Culture matters. How a company treats its employees is one of the most important aspects of its culture and will significantly impact its top- and bottom-lines.
gethppy.com/company-cultur…
gethppy.com/company-cultur…
