The hour of business

The new president of Sofofa, Richard Von Appen, expressed a clear message a few days ago about the need to listen more to the interior of companies and increase wages to improve productivity.

This is not a very common practice in large Chilean companies. However, as he points out, we have repeatedly verified that these are paths that must be embraced not only because of the need for a new social contract, but also because they effectively contribute, as a virtuous circle, to taking steps towards better financial results that can be achieved even between 20 % and 40% higher Ebitda margin, transforming into collections that benefit everyone.

It is definitely time for the business community to accept the harangue, because this is the path that the country needs to capture enough value, from where the funds are obtained, so that, in one way or another, the social policies that urgently in Chile. Focusing, you can. But they should not be isolated advances, but processes with a methodology that makes them sustainable and that always considers the human side of productivity, as the OECD has recommended.

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Francisco Ortuzar

Orca Business Consulting Partner

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Original Text on The Counter

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