Harvard Business

AUGUST 8, 2018

And companion bills developed to enable the U.S. On their own merits, worker-owned businesses can show policy makers, investors, managers, and advisers that companies with democratic ownership values and structures are operated with the same profit motivation as other companies. Some businesses with employee stock ownership plans (ESOPs) are converting into structures that more closely resemble worker co-ops. Klaus Meinhardt/Getty Images.

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ESOP IAM Cooper Finance 44

Harvard Business Review

SEPTEMBER 24, 2015

At Huawei’s inception, Zhengfei designed the Employee Stock Ownership Plan (ESOP). At the time, Zhengfei had no idea what a stock option system was – not being familiar at that time with the types of incentives systems developed in the West. The structure of the ESOP is based on two important premises. Huawei’s ESOP can satisfy both human needs. The gaps between what CEOs earn and what workers do are startlingly large around the world.

ESOP 12

ESOP Case Study Incentives PR 12

Harvard Business Review

DECEMBER 8, 2015

And companies — except for the very smallest — can implement an employee stock ownership plan (ESOP), often funded through borrowing. Then, last summer, they launched an initiative to reduce COGS, cutting food waste, reconfiguring some dishes, and coming up with ways to operate more efficiently. Operating profit rose by more than 10 percentage points in just four months and has stayed in the 18% to 20% range, compared with a restaurant-industry average of less than 4%.

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ESOP Norton Open-book Loyalty 12