CESJ -
Justice Based Management (JBM)
A System
for Building an Ownership Culture
Article Summary
Center for Economic
and Social Justice. Building new economic vision of the future called the
"Just Third Way." CESJ has an open and positive view towards Justice Based
Management (JBM). "Justice-Based Management" or "JBM" is rooted in the
principles of economic justice developed in chapter 5 of The Capitalist
Manifesto, a 1958 book co-authored by the lawyer-economist-investment
banker-ESOP inventor Louis O. Kelso and the noted Aristotelian/Thomist
scholar Mortimer J. Adler, supplemented by the theory and practical
principles of social justice developed in the writings of the Marianist
scholar William J. Ferree, a world renowned expert on the social encyclicals
of the Catholic Church.
What are the benefits of JBM for
management?
By moving from an autocratic to a more participatory, value-based mode, a
company's leadership can spread around some of management's typical
operational "headaches." This gives managers more time to focus on the
company's long-range, strategic needs, rather than spending most of their
time putting out brush fires.
What are the benefits of JBM for employees?
A workplace that operates according to the principles of Value-Based
Management empowers employees as workers and as owners. JBM creates a
corporate culture where work can be more satisfying and economically
rewarding.
What are the benefits of JBM for labor
unions?
Just as JBM involves a transformation of the modern corporation, it also
involves the transformation of labor unions within JBM companies, offering
labor representatives new and more important roles than they have played
within the present adversarial system of labor-management relations. Unions
can help deliver a higher degree of economic justice and far greater rights
for their members than the false security and wage system "crumbs" now
bargained for within today's labor-management framework.
What are the benefits of JBM for the
company as a whole?
Experience within a growing number of companies indicates that the more that
people's self interests are unified within a management system reflecting
the principles of Value-Based Management, the greater will be customer and
employee satisfaction. From this can flow increased cost savings, increased
sales, and increased profits.
By offering solid principles and a logic for building an ongoing ownership
culture, Value-Based Management helps to create an environment which
respects the dignity of all forms of productive work. JBM recognizes that,
regardless of a person's function or role in the company, we are all
workers. The success of Value-Based Management comes when
each person-from
the CEO and supervisor to the machine operator and receptionist-feels that
they own and benefit from the JBM process and share in the results as full
participants in their company and its culture.
Read the full
article, visit CESJ site
Also view:
Kennedy, The End of Shareholder Value
Freeman,
Corporate Strategy and the Search for Ethics
OECD
corporate governance sustainable development measuring industrial
performance
Business Roundtable - Corporate Governance responsibilities accounting standards
Global Corporate
Governance Forum standards governance
corporations, enterprise accountability fairness transparency responsibility
CSR Europe corporate social responsibility stakeholder dialogue
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