A Team Production Model of Corporate Governance Revisited

2003 ◽  
Author(s):  
Allen Kaufman ◽  
Ernie Englander ◽  
Craig H. Wood
Keyword(s):  
Corporate Governance ◽  
Production Model ◽  
Team Production

A team production model of corporate governance

2005 ◽  
Vol 19 (3) ◽  
pp. 9-22 ◽  
Author(s):  
Allen Kaufman ◽  
Ernie Englander
Keyword(s):  
Corporate Governance ◽  
Production Model ◽  
Team Production

scholarly journals The financial system reform in China: The lesson learnt from the global financial crisis

2011 ◽  
Vol 8 (4) ◽  
pp. 56-63
Author(s):  
Jessica Hong Yang ◽  
Nada Kakabadse
Keyword(s):  
Corporate Governance ◽  
Financial Crisis ◽  
Global Financial Crisis ◽  
Financial System ◽  
Production Model ◽  
Financial Reform ◽  
Social Market Economy ◽  
System Reform ◽  
The Global Financial Crisis ◽  
The Impact

This paper reviews the impact of the global financial crisis on financial system reform in China. Scholars and practitioners have critically questioned the efficiencies of the Anglo-American principal-agent model of corporate governance which promotes shareholder-value maximisation. Should China continue to follow the U.K.-U.S. path in relation to financial reform? This conceptual paper provides an insightful review of the corporate governance literature, regulatory reports and news articles from the financial press. After examining the fundamental limitations of the laissez-faire philosophy that underpins the neo-liberal model of capitalism, the paper considers the risks in opening up China’s financial markets and relaxing monetary and fiscal policies. The paper outlines a critique of shareholder-capitalism in relation to the German team-production model of corporate governance, promoting a “social market economy” styled capitalism. Through such analysis, the paper explores numerous implications for China to consider in terms of developing a new and sustainable corporate governance model. China needs to follow its own financial reform through understanding its particular economy. The global financial crisis might help China rethink the nature of corporate governance, identify its weakness and assess the current reform agenda.

Co-Production, Polycentricity, and Value Heterogeneity: The Ostroms’ Public Choice Institutionalism Revisited

2013 ◽  
Vol 107 (4) ◽  
pp. 726-741 ◽  
Author(s):  
PAUL DRAGOS ALIGICA ◽  
VLAD TARKO
Keyword(s):  
Public Choice ◽  
Social Choice ◽  
Market Failure ◽  
Production Model ◽  
Team Production ◽  
Theoretical Assumption ◽  
Private And Public ◽  
Theory Of Value

Revisiting the theory of institutional hybridity and diversity developed by Vincent and Elinor Ostrom to cope with the challenge of the “neither states nor markets” institutional domain, this article reconstructs the Ostromian system along the “value heterogeneity–co-production–polycentricity” axis. It articulates the elements of a theory of value heterogeneity and of the fuzzy boundaries between private and public. It rebuilds the model of co-production, clarifying the ambiguity surrounding a key technical public choice theoretical assumption, and it demonstrates (a) why it should not be confused with the Alchian-Demsetz team production model and (b) how co-production engenders a type of market failure that has been neglected so far. In light of this analysis, the article reconsiders polycentricity, the capstone of the Ostromian system, explaining why polycentricity may be seen as a solution both to this co-production market failure problem and to the problems of social choice in conditions of deep heterogeneity. It also discusses further normative corollaries.

From Hired Hands to Co-Owners: Compensation, Team Production, and the Role of the CEO

2009 ◽  
Vol 19 (4) ◽  
pp. 471-496 ◽  
Author(s):  
John R. Boatright
Keyword(s):  
Financial Crisis ◽  
Stock Options ◽  
Chief Executive ◽  
Production Model ◽  
Competitive Environment ◽  
Team Production ◽  
Current Financial Crisis ◽  
And Control ◽  
Standard Agent

ABSTRACT:In the 1990s, the role of the chief executive officer (CEO) of major United States corporations underwent a profound transformation in which CEOs went from being bureaucrats or technocrats to shareholder partisans who acted more like proprietors or entrepreneurs. This transformation occurred in response to changes in the competitive environment of U.S. corporations and also to the agency theory argument that high levels of compensation by means of stock options helped to overcome the agency problem inherent in the separation of ownership and control. Some critics charge that this new CEO role is objectionable for a variety of reasons, which may also be applicable to the current financial crisis in which CEO misconduct may have played a part. These objections are based largely on a team production model of corporate governance, which is held by these critics to be superior to the standard agent-principal model. This article examines the objections offered by critics of the changed role of the CEO and argues that their negative assessment of this development and their use of the team production model to support their conclusions are not warranted. CEOs have changed from hired hands to co-owners, and this change may have contributed in some measure to the current financial crisis. However, in determining the morally preferable role of the CEO, care must be taken not to discard what is sound in the changed role.

scholarly journals MULTINATIONAL CORPORATE RELATIONS IN JAPANESE COMPANY TOYOTA WITH OVERLOOK ON COOPERATION WITH PHILIPPINES

Bastina ◽  
2020 ◽  
Vol 31 (53) ◽  
Author(s):  
Milica D. Jotov
Keyword(s):  
Corporate Governance ◽  
The Philippines ◽  
Production Model ◽  
Asia Pacific ◽  
Asia Pacific Region ◽  
Japanese Company ◽  
Global Context ◽  
Doing Business ◽  
The World ◽  
Business Philosophy

This paper aims to consider the issue of the special management and production model developed at Toyota, and its contribution to the development of other economies in the world, with special reference to production in the Philippines. Japan was the first country in Asia to embark on a path of modernization and as such, became a model for the surrounding countries. The Philippines is one of the countries in the Asia-Pacific region that followed the path of change and adopted the Kaizen philosophy. Japan has influenced more widely, globally, all companies in the world that strive to conduct this way of doing business in their own environment. Toyota's business philosophy and the application of kaizen as a new model of corporate governance has become synonymous with quality corporate governance around the world and has influenced the establishment of new laws in the field of economy, culture and society, in a global context.

scholarly journals Walmart and Guns: A Case Study in Modern Corporate Governance

2021 ◽  
Vol 2020 (3) ◽  
Author(s):  
Clare Curran
Keyword(s):  
Corporate Governance ◽  
Production Theory ◽  
Team Production ◽  
Shareholder Primacy ◽  
Decisionmaking Process ◽  
Stakeholder Interests ◽  
Mass Shooting ◽  
Business Roundtable ◽  
And Control

In August 2019, the Business Roundtable issued a new Statement on the Purpose of a Corporation. The statement, signed by 181 CEOs, including Doug McMillon of Walmart, declared that corporations should seek to serve the interests of all stakeholders—a marked departure from the Roundtable’s prior embrace of shareholder primacy. This shift in position reinvigorated debate among business and legal scholars about the proper purpose of a corporation. Using Walmart as a case study, this Note argues that corporations are indeed adopting a more flexible and responsive conception of corporate purpose. This Note begins with a discussion of corporate governance theories, detailing four distinct visions of corporate purpose and control. It then examines Walmart’s decisionmaking process regarding ammunition and firearm sales in the wake of a tragic mass shooting at one of its stores. Finally, it concludes by reconciling Walmart’s conduct with the prevailing theories of corporate governance, ultimately finding team production theory— which calls for the balancing stakeholder interests—to be most applicable.

Corporate Governance in Small and Medium Enterprises

2020 ◽  
pp. 82-110
Author(s):  
Jonas Gabrielsson ◽  
Morten Huse ◽  
Carl Åberg
Keyword(s):  
Corporate Governance ◽  
Value Creation ◽  
Small And Medium Enterprises ◽  
Full Range ◽  
Production Model ◽  
Regulatory Environment ◽  
Medium Size ◽  
Corporate Governance Codes ◽  
Medium Enterprises ◽  
Governance Arrangements

The objective of this chapter is to discuss corporate governance in relation to small and medium size enterprises (SMEs). We examine the regulatory environment by reviewing corporate governance codes developed for SMEs as well as literature and research on corporate governance in SMEs. From this stance, we discuss the specificities of SMEs, including the multiple ideologies that often co-exist in these firms. Finally, the extended team production model of corporate governance is introduced. The model offers a balanced perspective on the full range of value-adding stakeholders in SMEs, and provides a set of guiding principles to improve the value creation potential of their corporate governance arrangements.

Changes in Corporate Governance of German Corporations: Convergence to the Anglo-American Model?

2003 ◽  
Vol 7 (2-3) ◽  
pp. 79-100 ◽  
Author(s):  
Christel Lane
Keyword(s):  
Corporate Governance ◽  
Capital Markets ◽  
Industrial Relations ◽  
Production Model ◽  
Pharmaceutical Chemical ◽  
System Transformation ◽  
Strategic Decisions ◽  
Institutional Complementarity ◽  
American Model ◽  
Anglo American

This paper examines the many changes which have transformed the German system of corporate governance during the last seven odd years. It concludes that it is in the process of converging towards the Anglo-American model and that this has fundamentally affected the way strategic decisions are made in firms. Convergence is not seen as a functional necessity, nor is it viewed as inevitable. The paper offers both a theoretical exploration of institutional and system transformation and an empirical study which substantiates the theoretical position taken with evidence about recent trends in capital markets, banks, government and firms. Empirical evidence from the pharmaceutical/chemical industry is supplemented by data on firms in other sectors, including the financial sector. The theoretical examination of institutional change focuses on the notions of system logic, institutional complementarity, functional conversion and hybridisation. It examines both external sources of change and internal powerful actors who promote the process of transformation. The notions of hybridisation of the German business system, as well as claims about functional conversion and the evolution of a new complementarity between institutions, are rejected in favour of a trend towards convergence. The transformation in capital markets and the rise to dominance of the notion of shareholder value is particularly affecting large international and quoted firms, but is gradually spreading also to other parts of the economy. This transformation is affecting labour and industrial relations in negative ways, as well as posing a threat to the German production model of diversified quality production.

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