This document summarizes a presentation about using Employee Share Ownership Plans (ESOPs) to maximize business value and legacy when exiting a company. It discusses that ESOPs can help with succession planning and employee retention. Key factors for a successful ESOP include owner and employee support of the plan, an effective leadership team to implement it, and properly valuing and structuring the employee ownership. Statistics show companies with engaged workforces through ESOPs can benefit from increased productivity, recruitment and reduced turnover.
41. About ESOP and SEDA Contact SEDA for an ESOP Start-up Kit and a copy of the EIP Procedures Manual. http://www.seda.sk.ca/employeeshareownership/
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Hinweis der Redaktion
This amounts to Trillions of $ of net worth exchanging hands over the next 10 to 15 years.
- Gives you an idea of the mix that would be ideal for the ESOP route
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Before we start today, we are going to take a look at a the Ownership Thinking business model. In today’s competitive business environment, the companies that “win” are those that create true “businesses of business people.” In other words, they create a workforce of people who drive the success of the business by thinking and acting like owners. To do this, they provide their employees with three things. First, they educate organization members about the rules of business. How does a company make money? How do we as individuals and teams contribute to this financial success? Next, they provide their employees with ways to utilize their financial acumen and to measure their success. Most companies measure success (or keep score, if you will) with financial statements. There are several problems with this: 1) financial statements are historical documents (too late to do anything about them), 2) Most people don’t understand them, and 3) they focus only on lagging, financial indicators. In Ownership Thinking companies, we focus on leading, activity based measures, and we do so in a proactive manner using scoreboards and Rapid Improvement Plans. Finally, they provide employees with incentive plans that really work. Companies that are successful at creating “businesses of business people” offer short term rewards to employees that assist in building a successful company. At (CLIENT), these rewards will be in the form of a quarterly bonus program (explain the program). This training session will assist you in finding the money that will fund your plan. NEXT SLIDE