Wednesday, October 31, 2012
About Fidelity National Title Insurance Company
On November 21, 2009 I also copied the following from www.fntic.com - again the portions in red and bold are my emphasis:
With origins that can be traced back 150 years, Fidelity National Title Insurance Company, through its underwriting subsidiaries, is one of the nation's premier real estate service companies, providing title insurance and other real estate-related products and services.
Fidelity employees are committed to providing our customers with a level of satisfaction that is unparalleled in the title insurance industry. Based on our experience and expertise, we are confident that you'll appreciate the Fidelity Difference.
THE FIDELITY COMMITMENT
At Fidelity, commitment is not just a word--it's a conviction. We take pride in our desire to serve our customers to the best of our ability. The quality of Fidelity's customer service and the level of employee loyalty and commitment are enhanced by our employee stock ownership. Stock ownership serves as a motivational force for Fidelity employees who recognize the Company's success is dependent upon their efforts and contributions.
Fidelity employees uphold the six corporate precepts upon which the Company was founded:
· Bias For Action
· Autonomy and Entrepreneurship
· Employee Ownership
· Minimal Bureaucracy
· Close Customer Relationships
· Highest Standard of Conduct"
The part of this statement I do not understand is that the company has employee stock ownership and this "stock ownership serves as a motivational force for Fidelity employees who recognize the Company's success is dependent upon their efforts and contributions." I do not understand their definition of success. Would the company's success be measured in the profit and the payment of stock dividends to the stock holders (employees)? Or would success be measured by customer (the insured) satisfaction by the payment of insurance claims? This is confusing as it seems that the success of the company if measured by profits is in conflict with the payment of insurance claims to the insured which would reduce the profitability of the company.