55. The Structure, Function, and Operations of Intellectual Property Service Providers
B. Methods of Operation (continued)
Models of Operation
Service providers are frequently categorized by various structural, business, or management models such as brokers, collectives, or resellers,18 categories that often mask the variation and complexity in intellectual property management organizations. The increasing trend for service providers to perform roles that are traditionally aligned with different models (e.g., collectives that also serve as brokers, brokers that serve as resellers) suggests that the picture is not so clear-cut as categorizations might imply. Moreover, the inconsistent usage of typological distinctions and terminology among authors (e.g., one person’s "broker" is another person’s "locator service") creates more confusion than clarity.
At best, classifying service providers by organizational models provides a general sense of the underpinnings of an organization’s setup, but not of its operations. An extensive study of collecting societies in Australia, and a comparison with their counterparts around the world, revealed that organizations defined under the model of a "collective" differed in everything from the way they undertake similar tasks, to their organizational and legal structures.19
In the United States, the music performing rights organizations offer a good example of how the collective model can vary in the area of governance. While all three providers (ASCAP, BMI, and SESAC) are universally referred to as collectives, only ASCAP is a collective in the sense that it is a member-run organization, with a member board and membership-wide voting. SESAC is a privately held family corporation. BMI is a corporation owned by broadcasters: Composers, writers, and other members have no voice in its management.20 All "collectively" administer the performing rights of their rightsholders’ works, but do so through differing governance and operating structures.
Management Traditions by Genre