NanoGene Technologies, Inc - Case Study Example

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The main focus of this research paper is on the CEO and the founders of the NanoGene Technologies as the founders have important decisions that need to be made regarding the split equity and compensation level. Each founder is a creator of the company…
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NanoGene Technologies, Inc
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Download file to see previous pages Without the founders the company would never exist and no one would receive equity or compensation. In the case it is described that typical founders only receive a certain percentage and salary. It is obvious that the founders have decided to make equity and compensation levels equal to avoid confrontation down the road. All though this may have been the idea, confrontation can still arise.
When creating the company the founders were likely unaware that they may need to hire other employees. These other employees would likely require a percentage of equity and different salary than expected. For this reason, the founders should have kept with the idea of splitting the equity but allowing at least 20% of equity to go to outside sources. This would have allowed for the necessary hiring of other employees that may be needed. The founders were not prepared for further hiring and equity shares.
The compensation level is said to be higher than normal for other scientist and lower than that of the average CEO. The difference in compensation is likely because the employee is not a typical employee but an actual founder. The CEO and scientist are all satisfied with the level of salaries and equity. Tompkins assumed the role of CEO because his abilities closely fit the description of a CEO over the other founders. Tompkins role was quite different than the other founders and each founder had an important role. Deciding to equally split was likely a fast and satisfying decision that was made so that other issues could be addressed. 2) Evaluate the size and composition of the founding team. What is the difference between being a founder and an early employee? The founding team is made up of five founders. Will Tompkins, Don Rupert, Mark Masterson, Ravi Rhoota, and Gary Garfield are the original founders of NanoGene Technologies, Inc. Having 5 founders is larger than usual for most. The teams came from AMSL and were all fellow scientists. Each had to quit their job in order to get NanoGene Technologies, Inc. where it needed to be. Will Tompkins new CEO of NanoGene was a former AMSL employee. The co founders equally agreed that Will Tompkins take on the role of becoming CEO since he had the strongest leadership capabilities. Don Rupert was an expert substrate surface tension and would be an important asset if NanoGene wanted to succeed. Don had many contacts to get the business moving and only wanted to work one day each week. Mark Masterson was a senior biophysics scientist. Ravi Rhoota was a general scientist and Gary was a post-doctoral fellow. Each founder had a different area of expertise and a good asset to the company. It was also important that each founder was willing to quit their current position and try to build NanoGene. Being a founder and being an employee has its differences. A founder is part of the creation of the company. A founder is with the company since the very beginning stages. Founders have the original say in the way the company should operate. An early employee such as the one Paige would be is there amongst the early stages of the company. Early employees can be just as important as founders but are not the original creators of the company. 3) Evaluate Paige Miller as an addition to the team, and assess her compensation demands. Would you hire her on the terms she seeks? Paige Miller appears to be strong women that can be a great addition to NanoGene. Paige has an impressive background with the ability to move a company to the level it needs to be. Paige seems to have the drive it takes to get where she needs to be and seems firm in her compensation demands. Each of the original founders does not have the level of experience that Paige has. Paige’s experience can organize the company in a way to make the ...Download file to see next pagesRead More
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NanoGene Technologies,Inc
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