Rule of 7
When people ask me how many people work at Lemarco, I’m actually quite proud to say that w’re only 2 fixed employees and 2 freelancers. Many people know that I’m very sceptical about the efficiency of large organizations.
Having worked at Philips, Compaq and Microsoft before, my experience is that in that large companies employees often dedicate one third of their time to internal meetings, one third on reading emails and one third on executing tactical career moves.
Actually I think companies should be valued for doing more revenue with fewer employees, rather than to be judged by the increase in personnel. Fewer employees mean that you spend less time on internal organizational matters and more time on the customer.
Recently I attended a presentation by Erik Portier, CEO of Google Belgium. Google has 11 employees now in Belgium. And in people management matters, Google applies a rule which I like a lot: the rule of 7. It means a new slot for a people manager is only created if there will be at least 7 people reporting to him. Maximum efficiency.