
Like I noted earlier, the trickle of friends who have left my company seems to be turning into a torrent (perhaps it just feels that way). This leads me to wonder why people leave companies in the first place.
Like any good consultant, I will present this in the form of a two x two. All you MBAs can relax and feel at home reading this note! ;-)
You'll need to click once on the attached picture to see a larger (and clearer) picture.
My hypothesis is that there is a constant tussle between net-worth and self-worth.
Honeymoon phase: So when people are doing well in a company, and the job is financially rewarding, both net worth and self worth are growing. There's no real reason to leave. Self worth continues increasing as one's capabilities are utilized and extended, and one's social network continues to expand. Companies that give stock options, of course, give a nice little kicker to net-worth too.
"Love my job, the pay sucks" phase: This happens to people who are lucky enough to be in jobs that are intellectually and socially stimulating. You're, like, "I'm lucky that they pay me to do my job". The pay/stocks are in steep decline but, hey, you're learning so much and having so much fun that you don't care. After a while, if the difference between net-worth and self-worth becomes too large, one might consider "being in the market".
Golden Handcuffs phase: The job's a dog, but the money's too good to leave. You might know this tribe as the "retired on the job" brigade. Very popular in bureaucratic companies where incompetence and demotivation can be hidden away for long years. You're not employable elsewhere, and you're too bored to want to leave anyway.
The Dog ate my Job phase: The pay's bad, the stocks are under-water, you hate your colleagues, and you haven't learnt anything in years. You're probably too demotivated to leave, and your self esteem is lower than Radiohead doing "Creep" (lyrics: "I'm a creep, I'm a loser, What the hell am I doing here, I don't belong here." See what I'm saying?!)
Here's the story in the form of a line chart for the visual thinkers.