Are you a Matt Damon or a Russell Crowe?
Here’s an exerpt from today’s ERE.net ezine:
“Let’s look at an example to illustrate the ROI of top actors. If you were going to hire a well-known actor for an upcoming action movie you could pick from many obvious choices like Russell Crowe, Tom Cruise, Johnny Depp, Brad Pitt, Matt Damon, and Angelina Jolie, or you could hire “Joe Nobody.”
Each of the well-known actors will cost you significantly more than hiring an unknown newcomer, but each also has a demonstrated ability to attract a greater return. Forbes.com recently completed a calculation of the ROI of top actors and what it found was:
- Matt Damon returned $29 in gross movie revenue for every dollar that he was paid (29X or 29 times his salary).
- Brad Pitt returned $24 for every dollar that he was paid.
- Tom Cruise returned only $12 for every dollar in pay.
- Russell Crowe returned only $5 for every dollar in pay (five times his salary).
It doesn’t take a rocket scientist to do these calculations. The results, even to an untrained eye, are startling. If you hire Matt Damon, he will return nearly six times more per dollar invested than Russell Crowe. That’s not a 6% difference; it’s a 600% difference! If the comparison was made broader to include the comparison of hiring “Joe Nobody” as a lead actor (instead of a noted star), the difference in the ROI would simply be mind-blowing.
The lesson to be learned here is that the “on-the-job performance” of the hire (often called quality of hire) can be quantified and converted into dollars in the sports and the entertainment industry and that the same calculation needs to be done by the recruiting function in the corporate world.” (Author: Dr. John Sullivan)
So, you’re not an actor, why is this important? It is essential to know how employers look at you when hiring. Next time you are on an interview, think about what you bring to the table that no one else does.
Calculate your ROI – on a per project basis. Take a look at your performance over the past few years. Is there a project you worked on where the resulting savings was more than your salary? If so, how much more? Or if you add up all the projects, ideas, suggestions, enhancements, improvements you made to the organization over the term you were employed, how much money did you save the company? How much – in terms of revenue – did you bring in through yours (or your team’s) sales efforts? By what percentage did you improve the company’s bottom line?
When you calculate these numbers against your salary, are you a Matt Damon or a Russell Crowe? Be sure to convey your star ROI in terms of results on your next interview.