The Value of ESOPs in Engineering Firms
While all kinds of businesses become employee stock ownership plan (ESOP) companies, there is a large percentage of engineering firms that have chosen the ESOP structure. Why so?
Level Headed – ESOP of Sundt Construction, Inc.
J. Doug Pruitt talks about the Sundt ESOP program.
Five Myths of Employee Ownership
This presentation discusses five myths surrounding employee ownership…
Distressed ESOP Sales Presentation for Sellers
Developed in 1989, these slides are placed on CLEO for researchers to use to ascertain some of the perceived motivations behind the types of transactions that were being discussed and closed during this period of ESOP history when many of the big, union-oriented ESOPs were being formed.
Mud Bay’s Good Jobs Journey
This 2019 MIT Sloan case by Zeynep Ton and Katie Bach describes how the executive team at Mud Bay, a privately held pet store chain based in Olympia, Washington, implemented a good jobs strategy by offering better wages and benefits and seeking to recoup the costs by increasing sales growth and lowering other expenses.
Making a Case (and Chairs, and Desks) for Employee Ownership: KI Furniture
Employee-owned businesses tend to outperform their competitors, a growing body of research shows. According to the National Center of Employee Ownership, businesses with employee ownership models grow sales and employment at a faster rate than businesses without such programs. Employee-owned firms also perform better than their counterparts during recessions, per research from Georgetown University. For … Read More
CoopGateway
CoopGateway is the world’s largest digital library on cooperatives and mutuals. Created by the Alphonse and Dorimène Desjardins International Institute for Cooperatives of HEC Montréal, CoopGateway aims to promote access, development and sharing of knowledge on cooperatives and mutuals in the digital age.
Beyond Dichotomy: The Curvilinear Impact of Employee Ownership on CEO Entrenchment
Employee stock ownership gives employees a voice and therefore may have a major impact on corporate governance. Thus, employee stock ownership may be a powerful mean to protect CEOs from both market for corporate control and dismissal threat. In this paper, we examine the relationship between employee stock ownership and CEO entrenchment. Following the recent … Read More
The ESOP Communications Sourcebook, 7th Edition
This book from the National Center for Employee Ownership shows ESOP companies how to communicate the plan to employees as well as customers.
An Introduction to ESOPs, 18th edition
This short book from the National Center for Employee Ownership explains how ESOPs work in a clear and concise manner.
Stock-Based Compensation at Twitter
Olivia Nash, an analyst at leading hedge fund BlueShark Capital Management, had just finished listening to the hour-long earnings call for Twitter’s Q4 2017 results. Was Twitter doing well? That depended on which numbers she chose to believe. According to Generally Accepted Accounting Principles (GAAP), Twitter had recorded a $108M net loss for 2017. But … Read More
Do Consumers Value Employee Ownership? Evidence from an Experimental Auction
Purpose The purpose of this paper is to evaluate how the public at large perceives employee ownership, and how public perceptions of employee ownership translate into consumer valuation of goods and/or services produced by employee-owned firms. To the extent that consumer interest regarding the governance and ownership structure of firms matters in their purchasing decision, … Read More
Using an Employee Stock Ownership Plan (ESOP) for Business Continuity in a Closely Held Company
Congress designed ESOPs to be the most cost-effective means for both owners and companies to provide for business transition. One of the most difficult problems for owners of closely-held businesses is finding a way to turn their equity in a business into cash for retirement or other purposes. The decision to sell is more than … Read More
Shared Capitalism, Social Capital, and Intra-Organizational Dynamics
The purpose of this paper is to explore employee participation in ownership and control in a modern corporation and its impacts on intra-organizational social capital and workplace dynamics.
Is Profit Sharing Good for the Environment? Positive Evidence From French Firms
Purpose The purpose of this paper is to look at the effect of profit sharing (PS) on the ability of the firm to take care of the environment. Design/methodology/approach In a large cross-section of French firms, the authors find strong associations between PS and various innovations with environmental benefits. With cross-sectional data from the Community … Read More
Mondragon’s Amorphous Network Structure: “Making the Whole Truly Greater than the Sum of Its Parts”
This article focuses on the unique organizational structure, ownership model, and decision-making process at Mondragon Corporation, the world’s largest consortium of worker-owned cooperatives.
Shareholder Concerns with Equity Compensation – Concept of Fairness
This PowerPoint presentation is Class 5 from the Course: Topics in Corporate Governance: Techniques of Equity Compensation. The session explores shareholders concerns regarding equity, building a culture of ownership, and effective leadership in an engaged company. This presentation is part of the Teaching Module: Topics in Corporate Governance: Techniques of Equity Compensation.
Guest Interview: Topics in Corporate Governance
This PowerPoint presentation is Class 4 from the Course: Topics in Corporate Governance: Techniques of Equity Compensation. The session explores two employee-owned business, ATA Engineering, Inc. and Chatsworth Products, Inc. Case Study #1: ATA Engineering, Inc. Case Study #2: Chatsworth Products, Inc. This presentation is part of the Teaching Module: Topics in Corporate Governance: Techniques … Read More
Legal Implications and Future Trends
This PowerPoint presentation is Class 3 from the Course: Topics in Corporate Governance: Techniques of Equity Compensation. The session explores the legal implications of equity compensation covering tax law and labor considerations; as well as future trends. This presentation is part of the Teaching Module: Topics in Corporate Governance: Techniques of Equity Compensation.
Overview of Techniques – Non-Qualified Plans and Synthetic Equity
This PowerPoint presentation is Class 2 from the Course: Topics in Corporate Governance: Techniques of Equity Compensation. The session explores what non-qualified plans are covering legal factors, basic types, direct and indirect ownership tools, stock options and settlement choices. The session also explores synthetic equity. This presentation is part of the Teaching Module: Topics in … Read More
Equity Compensation and the US Tax Consequences
This technical note explores the many different forms of equity compensation. Equity compensation, defined as compensation that provides for the delivery of equity securities, aligns employees’ incentives with shareholder value driven by a company’s stock price. Equity compensation is used extensively to attract and retain key employees. However, the types of equity compensation differ in … Read More
Topics in Corporate Governance: Techniques of Equity Compensation (Teaching Module)
This Teaching Module, designed by Anthony Mathews, covers the techniques used in equity compensation. The module consists of the course syllabus, five class sessions, two case studies and an Equity Compensation Cheat Sheet. Topics include qualified and non-qualified plans, legal implications, shareholders concerns regarding equity, building a culture of ownership, and effective leadership in an … Read More
Equity as a Currency of Business – Qualified Plans
This PowerPoint presentation is Class 1 from the Course: Topics in Corporate Governance: Techniques of Equity Compensation. The session explores the notion of equity as a currency of business; and explores the most “tax favored” techniques, qualified plans. This presentation is part of the Teaching Module: Topics in Corporate Governance: Techniques of Equity Compensation.
Fostering Ownership Attitudes: Creative Equity Compensation Plans for Employees
In a chart format, offers summaries of common equity compensation instruments, categorized with type of plan, benefits, tax and accounting treatment, and drawbacks. Also provides guidance on implementing equity compensation.
Wawa: Retailing Reinvented Through Blue Ocean Strategy
This case study focuses on Wawa, the convenience store, gas station and restaurant company. Founded in 1803, Wawa morphed over time from an iron foundry to a textile mill, to a dairy farm, dairy delivery business, grocery store, then convenience store. Dark clouds descended with the 2008 financial crisis. As competitors converged on Wawa, management … Read More