Below are some really useful documents about employee ownership.
Time for Social Enterprise, a report from the Social Enterprise Coalition which was published in February 2011 includes interviews with people from the public, private and social enterprise sector and looks at what more needs to be done to enable social entrepreneurship in the UK. It has a particular focus on the issue of social value, and how this can be incorporated more into public procurement and society’s mindset more widely.
Model Growth, Do employee owned businesses deliver sustainable growth? is a research report looking at whether employee owned businesses deliver greater benefits than other business ownership models. The conclusions include the view that small- and medium-sized employee owned businesses (EOBs) do significantly better than non-EOBs; the profitability of EOBs correlates with giving employees greater autonomy in decision-making; and that EOBs are better employers not only in consistently recruiting more employees but also by rewarding them with higher wages. On the more negative side, EOBs confront more regulatory and policy challenges than non-EOBs, and they can have difficulties obtaining favourable financing from institutions that are more accustomed to dealing with listed companies.
The All Party Parliamentary Group (APPG) on employee ownership produced a report in 2008 on how employee ownership is changing the face on business in the UK, including in relation to public services. Their conclusions in that regard are “that whilst the evidence base is currently, and inevitably, scanty with regard to the contribution of the co-owned sector to public service provision, it strongly suggests that coownership offers real potential as one model for public service provision, with some notable and powerful points of differentiation compared to other models, which underscore both performance improvement and public support and confidence.”
Some interesting food for thought. Enjoy!