Publications
Publications
- February 2024
- HBS Case Collection
JTC: Stronger Together with Shared Ownership: What JTC Did and Its Impact
By: Ethan Bernstein
Abstract
Nigel Le Quesne, CEO of Jersey-based financial services firm JTC, firmly believed that "shared ownership" was at the heart of his company’s successful track record. The firm had seen its revenues, profits, and number of clients and staff grow steadily throughout its over 30-year history, and management attributed much of its competitive edge to its culture in which engaged employee owners had fully aligned interests and collaborated for the greater good of the firm. Le Quesne had seeded the first employee benefit trust with some of his own equity when becoming CEO in 1998, making all employees—from the receptionists to top executives—direct shareholders in the firm. Over time, the employee-owned equity had grown from 5% to 23% and the trusts created significant value that had already been directly distributed to employees in two past pay-out events. In 2018, after JTC’s successful IPO, Le Quesne and his leadership team have to decide if and how to adjust the shared ownership tools to their new public markets environment.
Keywords
Employee Stock Ownership Plan; Leadership Style; Organizational Culture; Going Public; Employee Ownership; Financial Services Industry
Citation
Bernstein, Ethan. "JTC: Stronger Together with Shared Ownership: What JTC Did and Its Impact." Harvard Business School Multimedia/Video Supplement 424-707, February 2024.