John Lewis's constitution now states that the company's ultimate purpose is “the happiness of all its members, through their worthwhile and satisfying employment in a successful business”. Partners “share the responsibilities of ownership as well as its rewards – profit, knowledge and power.”
The John Lewis Partnership, as the company is known, also has innovative mechanisms in place to encourage employee participation in the business. Parallel to the normal management structures is a separate system of democratic partnership bodies, one for each main operating unit.
All partners are represented through the group-wide Partnership Council which appoints five non-executive employee directors to the main Board and which has the power to sack the Chairman.
At the day-to-day level, staff can also demand responses by management to anonymous criticisms and comments, via the in-house magazine.
Click here to see more details:
A culture of ownership
The John Lewis Partnership is well known in Britain for its innovative structure, but because it was originally created through the philanthropy of its former owner, it has often been disregarded as relevant as a model for other businesses.
However, a new report from Job Ownership Ltd (JOL), the association of employee-owned businesses in Britain, suggests that employee ownership and participation improves productivity and company performance. What is needed to achieve this, the report Shared Company says, is a 'culture of ownership'.
International Labour Organization
marketing@alchempro.com
