Mogic thinks

We are using a combination of a small number of people + software + servers and robots.
We are promoting a new era of company management.
I hope to share some of the process in this section.

Representative Director Yoichi Yamane

2021.10.19

Separation of capital and management

One theme that must be considered in any stock company is the separation of capital and management.

I say "someday" because even if the person who provided the capital continues to run the business, it will need to be liquidated when he or she retires.

You can start a company with your own money (capital and management are the same) and let someone else take over as president once it gets going, or you can go public and have an unspecified number of people own shares.

When capital and management are integrated, it is easy to get an idea of the people who work there.

This is because the president is not the only one somewhere far away, but usually works with the employees.

However, if the shareholders are unspecified, it does not matter who is working and how they are working.

From someone else's point of view, transparency, numbers and governance will be the number one priority, so the atmosphere will probably be different than it was when we were integrated.

This is natural because it changes the logic that binds the organization together.

This seems to be the norm in a corporation, but I wondered what it would be like to replace it with a family.

Normally, all the money earned by the father and mother is the capital of the family, and how it is spent is the management.

However, what happens if more than half of the family's capital is invested by an unspecified number of people?

When we spend money, we feel that it is difficult to use it in some way.

If you spend too much and the returns are too low, they may dismiss you from the role of father or mother and send someone else in.

Goals are set every three months, and failure to reach them may result in an explanation and possibly removal from the family.

When I think about it in that way, I realize that "shifting rights (roles) according to capital ratios" is an invention that we don't think about in our daily lives.