Sooner or later, all family businesses face succession processes. Ideally, these are founded on professional criteria and approved by both predecessors and successors. The lack thereof is an all too frequent mistake and the most common source of conflict in family-owned firms. Movie: YES. Ongoing series: NO A generational handover should be framed as a […]
Balancing socioemotional wealth and financial goals in family business
Family firms are integral to the global economy, driving positive change by pursuing both financial objectives and the generation of socioemotional wealth (SEW). Developed by Prof. Luis Gómez-Mejía, socioemotional wealth in family firms encompasses a number of non-economic factors including family control, values, legacy, transgenerational vision, pride of belonging and emotional connection. The dual role […]
Times of change and opportunity are coming for Spain’s family-owned firms
* This article originally appeared in the newspaper “Expansión” on May 4, 2024 under the title “Llegan tiempos de mudanza y oportunidad para la empresa familiar.” Family firms require solid corporate governance in order to maintain their relevance as engines of growth and employment. Spain’s corporate world has garnered global media attention in recent weeks […]
How changes in the family can benefit the family firm
Family-owned firms must navigate continuous change in both the external business environment and their own family sphere, shaped by births, deaths, married-ins and the evolving values and objectives of each new generation. As this Forbes article explores, changes in the family–while challenging–can also be a wellspring of new energy, capabilities and ideas. How Changes in […]
Five ways to get the most out of family assemblies
Shareholders often span different generations in long-consolidated family firms, and not all play an active role in the business. In these cases, family assemblies are a vital conduit to bringing people together and up to date on the company’s activity and strategy. Family assemblies aim to bridge the divide between family members on the front […]
Pension priorities: the impact of family ties on ethical decision making
With corporate responsibility gaining traction around the world, more and more business leaders are considering the ethical dimensions of management. Among global scholars, pension funding is one of the hot-button topics under review. Employee pension schemes are common in the U.S. and might soon expand in Europe, where governments are considering hybrid models to solve […]
7 ways to alleviate tension in the family council
The family council is the ideal forum for owner families to reach consensus on the core decisions regarding their business. It is the preventive mechanism par excellence to analyze, discuss and debate critical issues, and make solid decisions based on shared criteria and commitment. In this way, family councils serve as firewalls, preventing conflicts from […]
5 tips for working in your family business
After years of working alongside her parents, Parima Ijaz founded her own company as an extension of the original business. In this Forbes article, she offers five insights for people who are contemplating joining the family firm, including the importance of confidence, humility and a collaborative approach. Tips For Working With Family and Continuing Your […]
8 pillars of a professional board of directors
Robust corporate governance systems in family firms shouldn’t be any different than those in well-managed non-family firms – at least in theory. In practice, it’s another story. Boards of directors in family businesses have adjacent psychological and psychosocial dimensions, and disregarding these dynamics can easily lead to tensions among board members. During my tenure as […]
Seven communication insights for entrepreneurial families
At the start of a new academic year, let me first extend a warm welcome to everyone! The Chair of Family Business team is back, with our batteries fully charged and ready to continue offering you new insights and ideas to boost your firm’s performance. For my first article of 2023-24, I would like to […]
