How does a business go about transitioning —“converting”— to a worker-owned cooperative? This report provides illustrations with case studies of businesses that have converted and highlights key lessons from those companies’ experiences. The report categorizes conversions into four types: Type I: Owner sells to existing employees with the intention of remaining with the company; Type … Read More
J. Doug Pruitt talks about the Sundt ESOP program.
This case illustrates the rationale for adopting employee ownership, and difficulties in implementing employee empowerment beyond investment. In the beginning it focuses on why Jerry Pritchett, one of the co-founders of Pritchett Controls, decided to convert it to an employee-owned company. In the body of the case, it details the efforts of the company to … Read More
In this podcast Anthony Mathews discusses succession planning, exploring questions including: What type of company sets up an ESOP? What is the process of establishing an ESOP? What are some of the challenges companies face? What makes an ESOP different than a 401k or other plan? What are the tax advantages? How does having many … Read More
CH2M Hill was an employee-owned and controlled professional engineering services firm providing engineering, construction, consulting, design and design-build, procurement, engineering-procurement-construction (EPC), operations and maintenance, program management and technical services to customers all over the world. A large portion of the company’s project business was funded by governments. With 5.9 billion in sales in 2015 and … Read More
Two of the most common industries to have established ESOPs are construction and manufacturing, combining to make up 35 percent of the 1,600 companies represented by the ESOP Association…
Harrell Remodeling, Inc. (HRI) is the result of a young woman’s belief in the ideas that good fortune comes from hard work; that anything is possible with enough commitment; that listening to and serving the needs of others is the only correct business model and that thoughtful, methodical planning is a good thing – not a handicap.
This film tells the little known stories of employee-owned businesses that compete successfully in today’s economy while providing secure, dignified jobs in democratic workplaces. The film highlights examples including Mondragon in the Basque Country in Spain and the Evergreen Cooperatives in Cleveland, Ohio, as well as smaller businesses including coffee shops and bakeries.
Sundt had its share of ups and downs, but in 1992 when J. Doug Pruitt took over as the company’s COO, the company was headed toward bankruptcy. Today, the 100 percent ESOP-owned company operates out of eight offices located in Arizona, California, Texas, and North Carolina, and works on large construction projects in both the public and private sectors…
KCI, a multi-disciplined engineering firm, has undergone a number of transformations over the last several decades. It started as a basement dream, was acquired and sold-off by a larger firm, and has emerged as a multi-million dollar employee-owned organization.
Although the Evergreen Cooperative Laundry will be a small enterprise within the multibillion dollar initiative to redevelop Cleveland’s Greater University Circle area, its many creators have launched it with the expectation that it will play a very large role in establishing a new generation of worker cooperatives in Cleveland.
Lincoln Electric (LE) has been sharing leadership and ownership with its employees for over 80 years. It has also become the global market leader in electric arc welding equipment with multiple factories overseas. This case begins by discussing how this has been done. The issue under consideration is if LE should expand into India and … Read More
Is it true that small businesses are just big businesses that haven’t succeeded yet? John Abrams’ company pursues conscious growth not maximum growth.
This case covers the strategy and management practices of the world’s largest manufacturer of welding equipment. Discusses the compensation system and company culture, and the leadership style of management.