Equity: Why Employee Ownership Is Good For Business

210 Pages·2005·6.936 MB·English

by  Corey Rosen, John Case, Martin Staubus

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PAROTN EA:D IFFEKRIENNODTFC OMPANY
1.OwnerTshhPeie pr:fo rmAadndciet ive 3
2.ThEeq uMiotdye l 19
PARTTW OO:R IGINS
3.LouKiesla snotd h Ien venotfEi mopnl oOywenee rshi4p5
4.ThQeu efosrCt o operation
69
PARTTH REBEU:I LDAIS NUGC CESESQFUUILT Y-CBOAMSPEADN Y
5.TakiOnwgn erSsehriipo usly 97
6.AD iffeKriennodtfW orkplace 121
7.RunntihnBegu siness 145
8.ChangaCi onmgp any 165
Appendix: 183
PlafonrBs r oad-EBmapsleoOdyw enee rship
Notes 187
Acknowledgments 197
Index 203
AbotuhAteu thors 213
AD IFFEKRIENNDT
OFC OMPANY
Ownership:
ThPee rforAmdadnictei ve
StonCeo nstrEuqcutiipoimnse nt
noatc ompaynowyuo ualudt omaptiicfckoas rlu lryv lieavtla oln,e
prospientr oidtmayay,r' kse tplace.
Thceo mpraensyii ntd hepesl eabsuantno ettx abcotolmyti onwgn
ofH oneoiynwe e,s tNeerwYn o rSkt aatl ei,ts toluoetfR h o cheIstt er.
isi na m etal-bbeansdiicn-gm,a nbuufsaictntheukesri sint,ndh g a t
harse gubleaerfnll ye Aemienrgi schaonfor rel so wera-nwldae gses ­
restrcilcitmDieivscNe.ki sbSetto,nv eip'crsee siodfme anntu factur­
inwga,n ttobs es utrheaa v ti suintdoerr sjtuhasontwud ns ushuiasl
emplosyietru'hasatb sie ocno" mIoenu. ir n duwsetu rsyet,doh avfiev e
ors idxi rceocmtp etiintt hUoe.r tSsh. ha atv neo wb eesnc oouppe,d
bouguhpat,n mdo vteMode xi1cN ois.ib"ases tt oplliadi,n smpaonk en
inh ifisf taiS etsov,ne et ewrhasonh ahkiehsse aadsh er atotfflt ehse
namoeftsh sec ooapnetddh m eo ve"dM.u ltbioquuguihpptt hE es sick
litnheWe,h itetmraonlw ieTnlhe e.e yn duepdb uyitnhSget olwi ne.
Thomsiex leirna entsdr olwienwlee sra elm la dietn h Ue. Sa.nAnd.o ,w
themya'drieenM exiMcuol:t'i iqassu uibps talnatrcigoaemlrpl ayn y,
Califobransiteahd ga,ot it ts st airmtp orJtaipnagen qeusiep Imte nt.
wawsh eMnu ltibqouuigSpht tos wa,Ny iss btehttah,tre e aolfti htey
situhaitStit ooCnno en strEuqcutiipomtnew nhotu 'nsde rmepdl oy­
ee"sT.h esye'tevhneSe t omwi xleirfn reoB mi nghaNmetYwoo nrg,ke ,t
4
AD IFFERKEINNOTDF C OMPANY
bouugpha tnm do veWde'.tr ael 1k8im0ni gld eoswt nhr eo haedrT eh.a t's
cloAsnedb! yt hwea yS,t owwaa sfo rmidcaobmlpee otfoi utrfoosrr
twentyye-afiWrvhsee.w n et alakytee da rm-eeentdai bnogcusot m pe­
titiiwtoa Snst, o twhg,eu dyo wtnh eWreelt.lh g,au tyg 'osnA elh.lie sm ­
ployaerneeols o ntgheerTr hea.gt o'ntseoM exiScoio ta.r' esa lity."
ExctehpSattt o Cnoen strEuqcutiipomrnee naitlds'ii stff ye Arse nt.
thbiosog ko teosp retshcseo, m piansno yjt u ssutr viivtais' nusgc ,c ess
stoIrstyt .ei mlpll tohyosts weho u ndpreeodop vleterh rseheii fnat s
lonlgofa,wc toonrH yo neobyreom'aasdi s nt rAeseifrtdo.em t hceo n­
strudcotwinotnau ftre9nr/1 1i,ht a bse egnr owsitnegaI dhtia mlsoy r.e
thahne lidto sw na gailnasrctgo emrp etnioottno lrMysu ,l tibquuti p
ab iGge rmcaonm pnaanmyWe adc kIeitrrs .e gucloamriolnuywgt i th
nepwr odauncidtit scs ,o ntempaml aajtpoiurnsi ghn Ltaot Aimne ri­
camna rkIeittms sa .k imnogn ey.
Stosneec'irsse ontb' vti frooumasc ursgolraaynr coeuT nhdpe.l ant
isnne'wtT. h mea chiinnesasir dneeo t th lea taeustto mmaotdeedl s.
Theem ploayreeeve esr cyidtaioyzft e hrneus rc aolu natrioeuHsno dn ­
eoyneor,te ciemnmti gdreasnptfoesrr aj a otabeat n wya gNei.s sbaeyts
thaotna, v erSatgoenp,er 'osdc uocbstetst w5ep eenr caen1ndt0 p er­
cenmtor teh atnh oosfce o mpetBiutttho perr sid.ci eff erheansttn i'al
seemteohd u trhtbe u siCnuesstso.bm uemyri sl loifdo onlslw aorrst'h
ofSt ocneem'esmn itx ebrusg,gv iiebsr,ca otmoprasca,nt cdoo rnsc,r ete­
finisehqiunigp emveemnrotyn tAhs.ki en2d 0 0w3h ethhicesor m pany
couclodn ttiocn oumep weittoehv erasneMdae sx ipcraond uca tion,
shop-eflmopolron yaemeeS dt anGleeryhg arritn" nLeecdtu.t't ots h e
chahseer ,e"p l"iTehedec. o niosmgnyo' otWd e.' freee tlhipeni gn ch
samaese veryebloBsdueoyt.u otft hbiusi lidnaib nagc,k wtaotwenr
inu pstNaetYweo rwke,'g reet tthileni gos nh'aosrfw e h abte'issn ogl d.
Wem usbted oisnogm etrhiignhgt ."
Thset oorfSy t oCnoen strEuqcutiipoimnase t nytp oiftc oadla y's
treannda sn,o mianals yeo afs hutptlearanentdsds t rugcgolmipnag­
nieBsut.th eSnt oinasen a typoircgaaln iIztsaset nilioeonar.d ers­
chieexfe couffitciBevoreFb i ecnhi,oe pfe roaffitciLenyrgn W noeo dworth,
Nisabneodtt ,h erst-hbreuu sni anleolsnisgnt ehasar tde i ffefrroemn t
mosAtm ericcoamnp aTnhieeeyxs p.Se tcoten mep'ls otyobe eae cst ive
partinnte hreesn ternporjtiu hssietr, he adn Tdhse.ey x pweocrtk ers
throutghhoeor ugta nitzoua ntdieornas ntrdae nsdp tootn hdr eats
Ownership
anodp portiuntn himeta irekse tcpolmaiucnpweg i, tn hei wd eaansd
betwtaeyorsf d oitnhgi tnokg ese cpo sltosaw n cdu stohmaeprpsy .
Mosotfa ltlh,ee xyp eemcptl otyolee eatsrh bneu sidniesscsit phlaitn es
arteh kee tyoS tonseu'csca enstdso u, s teh odsies citpodl riinvees
growatnphdr ofitaAcb oimlpiiatnwny hy.i aclthlh etsheih nagpsp en,
thaeryg wuienl,el v hearvt eofo l udp i ttsei nntt h faec oefl ower-wage
competition.
Emploaytael eoostfc ompamniigedhsit s mailtslhs oh siege hx ­
pectaatssi omo uncmsha nagheoratiiB arul.Gt e rhaanrhdti cs o work­
erasr Set oCnoen strEuqcutiipomonew nntea'rfa ssc t,th cahta nges
mattceornss idTehrehayab valse yi .z satbalikente h c eo mpalnoyn'gs­
terpmr ospTehreaiyrth eye .al cdc ounfotrta hbeplieerr formnaontc e
onlbyyt hhei ghebru-btuyo p nsae n otThheegrye.t t hi en formation
thenye etdom aksem adretc iosnit ohjneos ab n,td h heayv teha eu ­
thotroimt aykt eh eAmsw. e s'lellea tientr hb ioso Skt,oi nasen e xem­
ploafran emwo doeflo wnerasnhmdia pn agemmeondtte-hlaa t
habse coamk ei nodfh otboefwd o rkpilnancoeva anttdih osanet e ms
uniqsuueilttyote hdte u rbutloepnstvy,ym- atrukretopftl heaeac rel y
twentcye-nftiurrsyt.
THNEE WE QUIMTOYD EL
Emplooywenee rssuhricepol uyna tsos n oef t hmeo rpea radoxical
phenoimnte hnbeau siwnoerstlsod d Iaityas .s toniwsihdiensgplrye ad
anedn jcooynss idseurpapyboelmrteat n,by u sinesrsepgieaetori pd­l e
thaesar no ddoirta ysap otednitsiaaIslttt y epri.bc oaolaslc tyos m ­
pangyr'oswa tnphdr ofitaybetithml eyi ttphye ,r stihisacttta s nw 'otr k
ort hiastto mehhouwre tmsp loWyheeeinsit .ts a kseenr iaosua stl y,
StoCnoen strEuqcutiipoomnwe nnetr,cs ahlnii pt emraaktlehld eyi f­
ferebnectewg eoeiunnn gd aenrsd u rvgio,vrb i entwjeuebsnat r geelty­
tibnyga nddo minaam tairnkngei tcY heeet.v epne owphlseoh ould
knobwe tter-rheusmoaupnrr ocfeess asnisdot noaclkcs-o pnlsaunl t­
antfosre, x amplev--ioeoftwwe nne rosfsh hiapor rse tso ocpkt iaosn s
juasnto tthoeiorntl h ekiibrta o gfb eneafintsdsp ,et nhdet iirmw eo r­
ryianbgot uetc hniscuacalhsai ctcioeusrn utliTenhsgeh. ya veunn'­t
dersjtuohsootdpw o wearn fuolt oiwonne risoshrh i opiw it cs a pable
oft ransfoarc moimnpga ny.
h
AD IFFERKEINNOTDF C OMPANY
Thakti nodft ransforimtsah steui bojnoe ftc htbi oso Wke.w ill
shohwo wS toannedd o zeonfos t hceorm pawniiteehxs t eenms­ive
plooywenee rhsahvbieup ib luts inceaspsaoebfpsl r eo spuenrdienrg
neaarnlcyyo ndiWtei'tolrntly.ou ntatnhgelsieer c rreetpwsoh,ra tt
thdeiyad n hdo twh deiyid ta ,ne dx ttrhalece ts sfooron tshc eorm pa­
niWees'.dl els carm iobdoeefo l w nerasnhmdia pn agemecnatil-tlw e
theeq umiotdye l-atnhcyao tm pacnalyne aarnntd,h caaten n able
itpsr actittoai cohniewerhvsaSe tt oannetd h oet hhearvsae l ready
achiTehveeeq du.mi otdybe uli ilnnd osot n "lsyo ofbtj"e cstuicavhse s,
as piorfci oto perbauhttai rodn-,nd oasye-dta,oc- cdoauyn fotra bility
perforImetan nacbcelo.em sp atnosi uecscw eheeodrt eh faeirblse cause
evyeornieos n t hsea mpea gfoel,l owtihsneag mp el aybwooorkk,i ng
towatrhsdea meen dTsh.bi oso wkis lhlo ywo wuh aittta kfoercs o m­
pantiore esa tchhha atp jpuyn cItwtui ralell.ss hoo ywo wuh adtr a­
matiimcp rovesmuecatnh rt asn sforcmabanrt iianobgno ut.
Wet hinkw-eac nedr thaoipnel-ytt hhaeau td ifoernt cheel sees ­
soinbssr oTaendso. ft housoafcn odmsp aanloilve teshr we o rhladv e
somkei nodfe mplosyheaoerw en erpslhaMinop.so tft heamrfa ec ed
wiethv er-csotmipffeetfrrio tmai loolvn te hrge l oabnewd,o udleda rly
lotvhee eimrp lotyote heisan nkad c lti pkaer tinnte hreesn terprise.
Indemeodsw,to uplrdo bsaebtllhlyefi igru rfiartsitvcbeho irlnfod rr en
thkei nodfi nitainaedtff iosvrheto ownns hospt,oa rneod,ffi cfel oor
byt heem plooyweneey rosum 'eleiltnt hbioso Bku.mt a nhya vefing'­t
ureoduwt h aittta kteoesn getnhdoeasrte t iatnubdde ehsa vAiswo er s.
wislelie ta,l' osjn ogu rneeym-palnoodyw enee risthsiioespnl tlfhy e
starptoiinngt .
is
Busti nictte h set arptoiinngt -isittis hn iecn ed ispfoeunns­able
datfoiroe nv eryetlhtsihewna egtb' ele lx ploribnegt-btweeegbr'iy dn
dispeslolmoieftn hcgeo nfusainmodin s conctehpsatutir orniostu .nd
Ubiquity
Emplooywenee risnsho li opn agr earr iintt hyUe n itSetdaT thees .
giaPnutb SluipxMe arr kcehta'foisrn e ,x amiposlw en,be dyi tosn e
hundtrweedn ttyh-oounseeam npdl oSyoae remesa .n oyt hseurp er­
markceotm parnainegisins,ni frgzo ema f edwo zeemnp lotyfoe oerst y
thousIanfan cdatp. ,e rcsoounel aadtn ddr ipnrkew tetblyypl a troniz­
inogn foloyd c ompawniietexhst eenmspilvooewy neeer Vsehrimpo.n t