John Lewis Partnership Model - Case Study Example

The core founder of the company (John Lewis) believed that employees are part of the company and therefore they should act as owners of the company (Benson, 2011). From John Lewis’s partnership model, we can identify that relationship among the employees influences the performance of an organization.

Overview of the John Lewis partnership model

Every team member of the company is a partner and is entitled to share the profits earned by the company. In general terms, all employees are owners of the company, and just like normal stockholders of a company, they are entitled to sharing dividends. The strategy employed in running John Lewis Partnership offers the company several competitive advantages as listed below.

• Intrinsic employees’ motivation. Since the employers are partners of the company, they usually feel motivated to engage in activities that bring promising returns for the company (Thomas, 2010).
• A variety of talents. The company has a huge number of employees who have different talents. In this regard, the company competes favorably with its rivals since it has a team of competent owners.
• Full employment of resources. The partnership enjoys the privilege of sufficient utilization of human resources (Great Britain, 2010). Each partner to the company has a role to play, and this makes the employees passionate about duties assigned to them.
• Easy access to market information since every employee is a partner, any information gathered in the field regarding the competition, or probable development is conveniently shared with the management (Ellwood & Shekar, 2008).In this regard, the company stands several miles away from its competitors in terms of development and quality maintenance (Parker et al., 2014)

Cameron, (2006) states that the partnership offers attractive opportunities to its partners. For instance, the partnership subsidizes the education cost of partners wishing to continue with studies. In addition, the partnership provides life insurance schemes for the partners to ensure that they work without stress.  According to McManners (2014), the partnership enhances the security of the financial position of all partners. In an event of any financial challenge, a partner can request for a loan or grant all partners are treated with utmost respect since the partnership is found on the grounds of enhancement of comfortable lifestyle for partners.

Conclusion

John Lewis Partnership has emerged as a successive business concern that is owned by employees. The strategy for business employed by the partnership has facilitated distinguished performance despite the stiff competition posed by competitors when employees are made owners of the company, intrinsic motivation compels them to perform excellently. Companies must adopt unique business techniques to boost profit generation. It is crucial to identify that employees are the engine for a company’s success and, therefore, should be treated with paramount care and esteem. Research has shown that the improvement of employees’ welfare by the company boosts performance. In this regard, business concerns should focus on promoting employee welfare.