Question 1) If this kind of system is so profitable and useful then why isn’t it more widely used? 2) What a?

[simplicitus]

I know nothing about the details of the system or the company, but treating your employees well does improve the bottom line:
http://www.alternet.org/story/148975/hig...m_line_too
http[://www.portfolio.com/business-news/2010/05/19/harvard-publishes-study-that-shows-treating-workers-well-boosts-bottom-line

On the other hand, in most U.S. companies, the executives don't care about the bottom line; they care what is good for themselves rather than anyone else, including the company:
http://www.propublica.org/article/the-su...r-own-firm
which is exactly what economics predicts would happen:
http://www.economyandsociety.org/events/..._Elite.pdf
http://en.wikipedia.org/wiki/Principal%E...nt_problem

In some other countries, where there is less manager turnover, the interests of the management are more aligned with those of the company as a whole and so companies treat their employees better, there is less employee turnover, and workers are more productive.
http://economix.blogs.nytimes.com/2011/0...americans/

You can see this when Japanese corporations open plants in the U.S. and Europe and the Japanese owned plants are more productive than those owned by the Americans or the Europeans:
http://ja-jp.facebook.com/note.php?note_id=64668829737
http://www.thisamericanlife.org/radio-ar.../403/nummi
http://wardsauto.com/ar/nissan_most_productive/