Inequality in the U.S. has been getting worse for decades: The richest 1% own a majority of all business wealth, and the top 10% own more than 90%. It has become clear that companies need to address the problem. One place to start is by expanding employees’ ownership stakes in companies, giving workers a path … Read More
In this article, Zak reviews his research and that of others to link trust, the production of oxytocin in the brain, and performance. Furthermore, he identifies eight managerial behaviors that lead to building a culture of trust. By doing so the organization lowers stress sick days, and burnout; and increases productivity, engagement, and collaboration among … Read More
Profit-sharing plans are one way to address the global issues of income inequality and uneven wealth distribution while increasing employee engagement. One company, the Chinese telecom Huawei, has a successful employee stock ownership plan (ESOP) that demonstrates such incentives can be good for both employees and the business.
The Wawa associates have an ESOP which plays a key role in Wawa’s culture of ownership. This case explores the role of incentives and levers of control to create a successful retail chain.
This article spells out five proven practices to help you keep your most talented employees.
Study after study proves that broad-based ownership, when done right, leads to higher productivity, lower workforce turnover, better recruits, and bigger profits. ‘Done right’ is the key.
The Athenian model of organizational democracy offers a window into how sizable groups of people can, in an atmosphere of dignity and trust, successfully govern themselves without resorting to a stifling bureaucracy.
The authors argue that properly applied, a VBM program will put your company’s profitability firmly on track.
Though only five years old, employee-owned St. Luke’s Communications has become one of the most talked about advertising agencies in the United Kingdom, increasing its profits eightfold.
In order to solve high-tech’s employee retention problems, Bill Gross, the chairman and founder of Idealab, proposes a radical solution: give all workers a significant equity stake.
Nine years ago, the author bought a small manufacturing company with marginal profits, poor union relations, nit-picking work rules, and high labor costs. After a year of bickering, Frey decided he wanted to implement profit sharing.
In global competition, where investment increasingly determines a company’s capacity to upgrade and innovate, the U.S. system does not measure up.
With ESOPs performing so well more American managers should consider adopting this approach.