1. Financial Participation in a European Perspective
Kees Vos
President EFES

2. Six Statements
Social innovation is the key to a successful knowledge economy
Social innovation requires new management
ESO can be an ultimate form of social innovation
ESO is not yet sufficiently practiced
The knowledge economy is challenged
It is time for action!

3. Social innovation and the knowledge economy
employment in knowledge based industries (EU 15): 40%
Employees = main asset
The battle for brain power
75% of company success by social innovation

4. Social innovation and management
Liberal market economy: high management ratio
Coordinated market economy: low management ratio
Coordinated market economy: more commitment and motivation
More commitment and motivation: higher productivity growth and faster technological progress

5. Employee share ownership
New forms of management: policies of accommodation
Basics of ownership unchanged: employment contract = hierarchical relation
But: 40% knowledge workers
Co-ownership/employee share ownership as the ultimate form of social innovation

6. ESO not sufficiently practiced (yet?)
Low incidence of FP, especially ESO
More in larger companies
Multinationals: more barriers, more resources
Contradictory data
Much ado about nothing or: growing interest?

7. Incidence of ESO: contradictory data
EF 100%
Cranet 100+
EFES IE 6 34 61 UK 3 18 54 FI 1 4 53 FR 5 19 51 DA 7 33 AT 28 DE 8 24 NL 12 21 IT 20 BE 11

8. EU economy successful, but…..
GDP per capita
Economic growth: 1 – 2% per year
Unemployment decreasing (7%)

9. …..but challenged! World economy growth 4- 5% per year
Off shoring: 25% of EU companies
Mergers and take overs
Private equity and hedge funds: pay off within 5 years
OECD: workers in the global economy increasingly vulnerable

10. It is time for action! EU and national level
Support social innovation by ESO
Special attention to SME’s
To be competitive and to stay competitive
Let’s blow the whistle not burst the bubble!

11. Don’t give up!
It’s a long way to success!