question archive Johnson is a fully black-owned and controlled company focusing on the UK and European financial services industry and businesses
Johnson is a fully black-owned and controlled company focusing on the UK and European financial services industry and businesses
Subject:Operations ManagementPrice: Bought3
Johnson is a fully black-owned and controlled company focusing on the UK and European financial services industry and businesses. It is an investment company that seeks to utilise its empowerment credentials, balance sheet strength, the business track record of its leadership team and brand to invest in financial services distribution businesses, to take strategic equity stakes in underlying financial services product providers and to acquire majority or significant minority interests in non-financial services businesses. To ensure that Johnson Investments is permanently black-controlled, Johnson holds a voting-only B share in Johnson Investments. The structure ensures that new and existing investee companies treat the ownership from the Johnson Fund as if the ownership were held by black investors.
When considering investments, they seek significant minority stakes with strong minority protections, subscription for primary capital into each new investment, synergies and cross-selling opportunities within existing investments, and early-stage businesses with significant capital growth potential.
Johnson Fund (an en commandite partnership) has been established in the UK as an evergreen (open-ended) investment vehicle. Johnson Investments holds a diversified portfolio of high-quality investments valued at $4.5 billion. They focus on unlisted, attractive financial services platform assets. The strong pipeline of investment opportunities is an opportunity to create significant scale and portfolio diversification.
A culture of good corporate governance is instilled at the board level and applies to the entire organisation. They engage their stakeholders with transparency, honesty and respect and conduct their business ethically. It is not sufficient to just follow codes, rules and policies, but rather that those charged with oversight, by their nature, are trustworthy and ambitious to act in the best interest of the company and its stakeholders.
ARC's business philosophy has dual aims - benefitting its stakeholders and positively contributing to the lives of UK citizens. Johnson makes a difference on a much broader front by supporting deserving communities and causes through wide-ranging social and corporate investment initiatives.
Its vision is to be a leading provider of financial services, covering the full spectrum of fiscal needs, such as life insurance, health care, asset management, general financial services, short-term insurance, property and banking. They acheive this by building strategic partnerships, both in the UK and further afield, by obtaining equity stakes in product providers. Astute capital management is used to create.
Question 1. Discuss the organisational structure that can mostly be associated with how ARC has been structured.
In your answer, you need to identify (1 mark) and explain (3 marks) the organisational structure. Substantiate your choice (1 mark). (5)
Question 2. Responsible strategic leadership is the art of building and sustaining morally sound relationships with all relevant stakeholders of an organisation.
Identify (4 marks) and explain (4 marks) four stakeholders that have been covered by the information in the case study and provide one example from the case study for each stakeholder (4 marks).
