Ownership Culture: Moving Beyond Committees
Building a strong ownership culture is essential for the long-term success of employee-owned companies. While ESOP communication committees can play a valuable role, they are only one part of a much broader effort. In her presentation, Jennie Msall, Director at Ventura Trust Company, explored what ownership culture truly means, how it’s developed, and how companies can go beyond committees to create a deeply engaged and responsible workforce.
Culture, at its core, is the collective behavior of an organization—essentially, “the way we do things around here.” It’s shaped by how people act, how leaders lead, what is celebrated or tolerated, and how communication flows. It’s also influenced by the systems in place—how departments collaborate, how performance is measured, and whether teamwork is encouraged and rewarded. Who gets promoted and how resources are allocated send powerful messages about what the organization values.
Ownership culture is a workplace environment where employees think and act like owners. This means taking responsibility, going the extra mile, supporting colleagues, focusing on customer satisfaction and quality, and committing to the company’s long-term success. It’s about fostering a mindset where employees feel personally invested in the outcomes of their work and the health of the business.
To foster this kind of culture, companies need more than just a culture or communications committee. They need a management approach that includes training and professional development, meaningful rewards and incentives, open information sharing, and opportunities for participation. These elements help employees feel empowered and connected to the company’s mission.
While ESOP communication committees are helpful, they have limitations. They often focus narrowly on ESOP education and may lack the authority to address broader leadership or cultural issues. They typically involve only a small group of employees and can be mistakenly viewed as a quick fix rather than part of a long-term strategy.
To truly build an ownership culture, companies must go further. This starts with training managers to lead effectively in an ESOP environment. It also involves providing financial education so employees understand how the company makes money, how their actions affect profitability, and how they benefit when the company succeeds. Regularly sharing financial information—such as monthly, quarterly, and annual results, as well as valuation updates—helps reinforce transparency and trust.
Encouraging continuous improvement is another key strategy. Employees should be empowered to identify challenges in their work, propose solutions, and collaborate on implementation. This not only improves operations but also strengthens the sense of ownership and accountability.
Ultimately, the goal is not to create ESOP plan rule experts, but to cultivate employee-owners who take responsibility for the company’s success. Ownership culture is about embedding a mindset of initiative, accountability, and shared purpose throughout the organization.
In conclusion, ownership culture isn’t built overnight, and it can’t be sustained by communication committees alone. It requires a deliberate investment in leadership, education, communication, and systems that reinforce ownership behaviors. By moving beyond committees and embracing a holistic approach, companies can unlock the full potential of employee ownership.