Employee co-ownership is the model in which the share capital of a business is partly owned by its workforce either through:
- direct (individual) share ownership
- shares held in foundation on behalf of and for the benefit of employees
The popularity of employee co-ownership is based on the growing evidence of its benefits and are characterised by their higher productivity, greater levels of innovation essential impact on organizational performance and individual wellbeing.
Employee co-ownership is an incredibly effective ownership model that works around the world, across a whole range of sectors and at any stage in the life of a business from start up to mature businesses seeking a viable succession route.
Employee co-ownership can be implemented easily and can be readily tailored to the circumstances of an individual organisation.
A Board of Directors - a group of individuals that are elected as representatives of the stockholders - is a legal requirement almost for every company. For the privately owned company, the Board usually consists of the shareholders and/or a few family members and trusted persons.
As a business grows, the need for information and knowledge sharing, planning and delegation increases. A properly constituted Board is one body the shareholder can turn to for advice and assistance. A Board can offer the shareholder a much needed source of guidance in developing a long-term strategy.
In general, the Board makes decisions on shareholders' behalf, determines the strategic orientations of the company's activities and ensures their implementation. The issues that also fall under Board's control include the hiring and firing of executives, dividend policies, options policies, and executive compensation.
Certain responsibilities are delegated to Board Committees, which assist the Board in carrying out its functions and ensure that there is independent oversight of management and control. Usually, a Board may or should have at least three committees: nomination, audit and remuneration.The Board may appoint further committees if necessary.
We help shareholders in corporate governance by define Board constitution and setup decision-making process.
Improve the Board's overall effectiveness and efficiency by:
- Setup/review Board structure, clarify roles and responsibilities
- Develop governance policies
- Design Board processes in recruitment, evaluation and succession planning
- Develop annual work plans for the Board and its committees