Be the Preferred Employer
To be able to select and hire the best people, they first have to apply for a job with you
and then accept your job offer in preference to offers. That means a firm has to first
compete for talent market share, or as global consulting firm McKinsey & Company
calls it, “the war for talent.”15 In order to effectively compete in the labor market,
a firm has to be attractive for potential employees. This includes having a good
image in the community as a place to work, and delivering high quality products
and services that make employees feel proud to be part of the team. Top people
expect above-average packages. In our experience, it takes a salary in the range of
the 60th to 80th percentile of the market to attract top performers to top companies
(Figure 11.13). See Service Insights 11.2 on how Google has managed, for the last
Figure 11.13 A firm does not few years, to remain one of the best companies in the world to work for.