Parfetts: UK EO Award Winner Case Study
Model of EO: Indirect
Percentage of shares owned by employees: 100%
How it is operated: 7 elected representatives have formed monthly Voice Groups which include employees from all levels of the business to input to both the operational and strategic direction of the business. This feeds into an elected employee representative that sits on the Board of Trustees known as PETL. The employees, every two years, vote two employee representatives to sit on the PETL board from their central voice group. This board is made up of the two employee representatives, both Company Managing Directors and an independent Chair. This board feeds into the main company board.
Parfetts’ journey: Parfetts, established as a family business in 1980, and became employee owned in 2008. The Cash & Carry business, which has over 600 employee owners has been able to drive success through well executed engagement and reward, including an annual dividend plus sales target bonus which has seen the team get two bonus payments for the last 3 years after surpassing targets.
Parfetts, which operates out of 7 depots, 4 retails shops and its head office in Stockport, serving more than 5,000 customers a week – mainly independent retailers and catering businesses – across the North of England and North Wales, has a 90+% customer satisfaction rate against key KPIs. Its recent growth has seen it buy its seventh depot in Middlesbrough and develop its “virtual” cash and carry with next day delivery, the latter adding an extra 600 customers.
Parfetts credits its EO structure and culture as giving it a competitive advantage through its Voice Groups, which include employees from all areas and levels of the business to input to both the operational and strategic direction of the business. With a focus on continuous improvement in employee satisfaction through personal growth and good leadership and management, the business sports a lower than average employee turnover rate of 15%.