Torvald Klaveness, Essay Example

Shareholders are very significant for an organization, in fact, they are the one who have the highest level of risk association with an organization. There are two different types of shareholders in a firm those that work within and those that work outside the firm. Internal shareholders are the shareholders who will manage the company from the inside such as employees and the upper management. On the other hand, the external shareholders are the one who holds the company from outsiders such as investors and creditors. According to the case study, it is found that Torvald Klaveness is trying to have significant changes on the managerial staff by incorporating his children in the management of the organization. He has three sons and three daughters from two different wives. Torvald Klaveness wants his children to have special consideration in the company that’s why he put his three sons in the business when he started to recruit them in managerial positions for their organization. In addition, he included the daughters in the management of the firm.The primary rationale behind this move was to distribute the shares of the company among the family member. He wants family members to have a special focus on the running entity, and should have the consideration of all the revenue generated through the same. This particular action can be of particular significance for he has distributed the income in his children with utmost care. The sheer importance of this criteria can be extremely powerful and efficient for Torvald Klaveness, as it will enable the company to take care of each and every stakeholder in a perfect and organized manner. His management philosophy is very useful, and it will remain in the same jurisdiction for a longer time unless the factor of business and favoritism crops in between them.

Even though he has included both his sons and daughters in the business, he gives special consideration to his boys. This is seen where he recruits the sons early enough than the daughters in the same positions. This injustice of nepotism is clearly observed in the hiring of the employees of the firm. This brings down the business and needs to be resolved in the future generation. A sort of businesses found among distributing the rights to the children by Torvald Klaveness. In this particular aspect, the company has to maintain a healthy level of effectiveness in the market to move freely and significantly. The current family of TK comprises of six children should realize this thing, and has to take measures to educate their children about the future implication. The family can change this view, and can give equal rights to their future generation for the sake of the entity.Proper communication is a key, and family members should have a strong level of communication among the employees of the company and their counterparts. This will increase their standard of awareness of each other so that proper actions can be taken by them in a definite period for the future betterment of the company.