Japanese companies manage to continue their activity at good standards mostly due to 20 percent of their employees, who are high performers. About 60 percent have average results, while 20 percent are almost worthless for the companies, according to Musashi Suga, business management consultant and representative of HR company Suga Office in Yokohama.
This 2-6-2 paradigm is a force of nature and it applies to any company, it makes no difference if it is an elite one or the most insignificant, Suga said after analyzing in-depth organizational changes in business management in the Japanese corporate workplace.
Although companies hire people considered to be the best choice and hope for those employees to improve their activity as the years go by, the 2-6-2 ratio is actually maintaining.
The explanation is in the hierarchical structure of the company that naturally yields this ratio. In any organized group of people, it is natural for 20 percent to be the best elements of the group, while other 20 percent would fall to the bottom.
If a company wants to break this ratio rule, it will have to restructure the whole institution, to change the power structure and the group dynamics of the firm. It should change the entire hierarchical system, Suga thinks. In order for a company to work properly, the firm’s management should take into consideration “the well-being each and every company worker”, he added.