In the next four years, Twiga foods will see 156 of their permanent employees get a percentage of the company shares. The company has rolled out this reward plan for its dedicated employees, where they are expected to get 10% of the company’s value. The company value is calculated based on the future exit value, which refers to the sales proceeds from the sale of assets or business.
Peter Njonjo, the company’s CEO, said the implementation of the plan would attract and increase the retention of highly talented and best-performing employees, reducing employee turnover. With minimal employee turnover, the company is expected to experience favorable growth and success.
The employee share ownership plan(ESOP) implementation will motivate the employees to offer their best innovative ideas for the company’s success. The strategy is one of the moves that touch individual stakeholders directly and enhance the company’s overall performance and success.
The company’s primary stakeholders include informal retailers who are also the customers, the government, the farmers who are the suppliers, and the employees. Since its inception, the top leadership has been looking for ways to create value for its stakeholders. By offering value to its stakeholders, the company will have a better business environment to grow.