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Thumbnail image for product with reference number W93C40
Published by: WDI Publishing, William Davidson Institute (EDI), University of Michigan
Originally published in: 2013
Version: 5 October 2013
Length: 32 pages
Data source: Published sources

Abstract

Inc Magazine's 'coolest small company in America', Zingerman's Community of Businesses (ZCoB), is an exemplar positive organization known for its culture and award-winning food. This case covers the ZCoB's decision in 2013 to migrate toward broad-based employee ownership and the iterative, inclusive process by which Zingerman's Partners Group researched and crafted a new ownership design for the ZCoB. Should they use an ESOP, equity compensation, become a cooperative, or create their own model? As students learn about Zingerman's culture (eg, its progressive views on sustainability, commitment to open book finance, decision-making by consensus) and evaluate which model might be the best match, they grapple with questions that are top-of-mind for the partners: Who will own the ZCoB, and how will it be run when the founders (who own 30-67% of each Zingerman's business) are no longer living? How can it foster a positive, thriving workforce that is the driving force behind a sustainable business?

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Abstract

Inc Magazine's 'coolest small company in America', Zingerman's Community of Businesses (ZCoB), is an exemplar positive organization known for its culture and award-winning food. This case covers the ZCoB's decision in 2013 to migrate toward broad-based employee ownership and the iterative, inclusive process by which Zingerman's Partners Group researched and crafted a new ownership design for the ZCoB. Should they use an ESOP, equity compensation, become a cooperative, or create their own model? As students learn about Zingerman's culture (eg, its progressive views on sustainability, commitment to open book finance, decision-making by consensus) and evaluate which model might be the best match, they grapple with questions that are top-of-mind for the partners: Who will own the ZCoB, and how will it be run when the founders (who own 30-67% of each Zingerman's business) are no longer living? How can it foster a positive, thriving workforce that is the driving force behind a sustainable business?

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