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The curious case of hybrid companies

An investigation by the University of Catania highlights both their complexities and potential

 

Making a profit, but not just that – striking the best possible balance, also in terms of social and territorial responsibilities. These are the goals that hybrid organisations, characterised by a higher number of functional domains and the coexistence of different value systems, set for themselves. These are enterprises to be studied with care, just as Rosaria Ferlito and Rosario Faraci (post-doc researcher the former, professor of Business Economic and Management the latter, both at the University of Catania) do in their research paper “Sostenibilità e sistemi di Corporate Governance delle società benefit: il caso Illycaffè” (“Sustainability and corporate governance systems in benefit companies: the case study of Illycaffè”): a kind of exploration of this theme, first looking at the theory and then how it works in practice, through an concrete example of governance.

Hybrid companies, so the argument begins, represent a model of wider corporate governance that requires assuming responsibility not only in terms of ownership but also of stakeholders. Three aspects (real ones, of course) are investigated: balancing different principles, monitoring actions and results, and external communication, that is, how information is presented to public and stakeholders.

To achieve an accurate analysis, Ferlito and Faraci begin by looking at the theory, with an overall examination of benefit companies that, as well as pursuing profit, also focus on one or more common good goals, and then explore the case study of company Illycaffè.

The main point arising from this investigation is that human aspects as related to production management and organisation are crucial. This not only entail choosing the “right” people, but also their proper organisation into work teams, as well as clear operational guidelines, awareness of the goals to be achieved, and the notion of working for the sake of a group of people, not just for one’s own.

Ferlito and Faraci’s paper is an important one, because it strives to rationalise a difficult and constantly evolving theme.

Sostenibilità e sistemi di Corporate Governance delle società benefit: il caso Illycaffè (“Sustainability and corporate governance systems in benefit companies: the case study of Illycaffè”)

Rosaria Ferlito, Rosario Faraci

Corporate Governance and Research & Development Studies – Open Access, (2, 2021)

An investigation by the University of Catania highlights both their complexities and potential

 

Making a profit, but not just that – striking the best possible balance, also in terms of social and territorial responsibilities. These are the goals that hybrid organisations, characterised by a higher number of functional domains and the coexistence of different value systems, set for themselves. These are enterprises to be studied with care, just as Rosaria Ferlito and Rosario Faraci (post-doc researcher the former, professor of Business Economic and Management the latter, both at the University of Catania) do in their research paper “Sostenibilità e sistemi di Corporate Governance delle società benefit: il caso Illycaffè” (“Sustainability and corporate governance systems in benefit companies: the case study of Illycaffè”): a kind of exploration of this theme, first looking at the theory and then how it works in practice, through an concrete example of governance.

Hybrid companies, so the argument begins, represent a model of wider corporate governance that requires assuming responsibility not only in terms of ownership but also of stakeholders. Three aspects (real ones, of course) are investigated: balancing different principles, monitoring actions and results, and external communication, that is, how information is presented to public and stakeholders.

To achieve an accurate analysis, Ferlito and Faraci begin by looking at the theory, with an overall examination of benefit companies that, as well as pursuing profit, also focus on one or more common good goals, and then explore the case study of company Illycaffè.

The main point arising from this investigation is that human aspects as related to production management and organisation are crucial. This not only entail choosing the “right” people, but also their proper organisation into work teams, as well as clear operational guidelines, awareness of the goals to be achieved, and the notion of working for the sake of a group of people, not just for one’s own.

Ferlito and Faraci’s paper is an important one, because it strives to rationalise a difficult and constantly evolving theme.

Sostenibilità e sistemi di Corporate Governance delle società benefit: il caso Illycaffè (“Sustainability and corporate governance systems in benefit companies: the case study of Illycaffè”)

Rosaria Ferlito, Rosario Faraci

Corporate Governance and Research & Development Studies – Open Access, (2, 2021)