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Employees Matter: Maximizing Company Value Through Workforce Engagement

Anne Claire Broughton | June, 2011

Increasing numbers of businesses view their employees not as a mere cost but as invaluable contributors for business success. These firms are implementing strategies to fully engage employees at all levels. The Employees Matter report identifies sixteen fast growing entrepreneurial firms that employ employee ownership and engagement strategies which they perceive as directly linked with improved business performance. Eight other notable companies with key lessons to share are included as sidebar profiles. 

Inclusive Capitalism for the American Workforce: Reaping the Rewards of Economic Growth through Broad-based Employee Ownership and Profit Sharing 

Douglas Kruse, Joseph Blasi, Richard B. Freeman | March, 2011

What can be done to reverse the economic disparity in our nation and restore prosperity for all? This paper lays out a policy reform that will help restore the link between economic growth and the earnings of workers so that the recovery re-establishes a prosperous middle class. The reform encourages firms to develop broad-based incentive compensation systems that link employee earnings to the performance of the firm. This reform would give employees access to the capital-related earnings of their companies comparable to that of the senior executives who run these firms. 

Science Applications International Corporation (SAIC) (A, B) 

Moses Lee, William Hall | January, 2011

At the start, Dr. Beyster made the decision that SAIC would be employee owned and that ownership would be based on merit and contribution to the company, not tenure. Using employee ownership as a selling point to prospective hires, Dr. Beyster was able to recruit talented employees and build a successful organizational culture. However, changes made after Dr. Beyster stepped down would have implications for SAIC’s company culture…  

More than Merely Sustainable 

Anthony Mathews | December, 2010

The sustainability debate continues in the employee-ownership community. The fear that employee-owned companies will not be strong enough to survive without significant outside capital, which will end their employee ownership, is still very widespread… 

Employee-owned Company Marks 100-year Milestone 

Cathryn Atkinson | July, 2010

The way the McElhanney Group is organized has helped foster a positive, profitable culture. Forty per cent of the key staff, around 320 staff members, own 100 per cent of the shares. Mr. Newcomb says this drives the success of the company collectively. 

Challenges of Growth at Protegra 

Bob Travica | April, 2010

Protegra is a small company established in 1998 in Winnipeg, Manitoba. The company specializes in the area of computer software development and business performance consulting. Protegra features a unique organizational design, characterized by a lack of hierarchy and a collegial, professional culture centred on employee and customer values. Various information systems support Protegra’s design. In the process of expanding into foreign markets and enlarging staff, Protegra has been concerned with preserving its way.  

CHART Rehabilitation of Hawaii 

Ozge Tekin, Shirley J. Daniel | March, 2010

Frieda Takaki took a deep breath, filling her senses. She was about to make a very difficult decision. She took off her shoes, placed them next to her desk and started pacing her office barefoot as she was thinking aloud. “I can’t let this business close down,” she whispered. “I have to do something about it.” The answer was now abundantly clear: why wouldn’t the employees buy the business from the owners? 

Maui Divers of Hawaii 

Ozge Tekin, Shirley J. Daniel | March, 2010

Maui Divers established its employee ownership plan in 1997. Maui Divers store managers/employee owners embrace the business as their own. Although the final decision belongs to the company management team, store managers excel in increasing sales and they continuously come up with business plans in order to make the business better.  

Perpetuating an Ownership Culture 

David Binns | January, 2010

In its summer, 2003 issue, Business Ethics magazine highlighted ‘The Legacy Problem’ whereby the culture and vision of a number of socially conscious corporations was being lost when the companies were acquired by larger firms. 

Diamond Foods 

David E. Bell, Mary Shelman | December, 2009

CEO Michael Mendes has transformed a grower-owned cooperative into a publicly traded top marketer of snack foods. Diamond’s organization, culture, product development process, advertising and promotion strategy, and specifically its marketing department have been built ‘from the ground up’ to address fundamental changes in retail structure and consumer behavior. Can the Diamond model be successfully applied to other food categories?  

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