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Since you studied accounting, can you translate the combination of expense and profit per employee into return-on-investment (ROI) per employee?

• indiejade 17y ago
  Managerial accounting was my area of specialty; I was simply pointing out that there is also a cost associated with treating employees well. I think Google's numbers may be a bit high because it has so many people who work for it for free. Now, if we could get some metrics about salaries, this could become even more interesting.
• byrneseyeview 17y ago
  It's not the appropriate number. Profit margin makes more sense. ROI is useful in a case where you make an expenditure now, and get back money (or savings) in the future. For example, you automate shipping for $1 million, and save $300,000 a year, for an ROI of 30%. It doesn't work for employees, except to the extent that you're taking an up-front hit ("We paid for her to get a Master's degree") in exchange for something else ("Now she's more productive").