Family businesses always have an owner family as the shareholder of reference. This is the family that defines the company’s purpose and transforms family values into corporate values. This is the family that serves as a beacon of unity and commitment, transmitting a sense of corporate stability and long-term continuity. Hence, the importance of developing, […]
10 reasons why we need family businesses
Family-owned firms play a vital role in the global economy, an undisputed and internationally recognized fact. Going a step further, I would like to highlight 10 ways in which family firms positively impact the world based on my firsthand observations of how they operate and confront challenges. 1 – They drive and sustain employment I’m […]
Family members in leadership roles: when emotions eclipse meritocracy
The roles that family members want, can and should play in the family business is a central issue that firms need to address as they evolve and new generations enter their leadership ranks. Yet emotions can blur objectivity and unduly influence the decision-making process. Emotions can also run high in families, which makes decisions in […]
Shared vision: it’s not just sticking together, it’s thinking together
Among the core characteristics of family-owned businesses is the desire to leave a legacy for future generations. To achieve this objective, the owner family must share a long-term vision and the resolve to ensure the firm’s continuity. In the firm’s initial stages, cultivating this commitment is relatively straightforward, since the founder is on the front […]
Family council: preventative medicine or surgical intervention?
If we were to apply medical terminology to the realm of family-owned firms, our first observation would be that all families run the risk of contracting “diseases” and sustaining “injuries.” When the family also owns a business, however, these risks are substantially higher. No business family is “immune” to these risks, which when left unchecked, […]