“It’s not personal,
it’s just business.” It’s usually
not true in life generally, and it’s true even less in family businesses.
Family businesses have
many competitive advantages: strength of relationships, cultural fit of family
members, shared faith and values, strong commitment of those involved, strong work
ethic of family members, patient capital, and flexibility in hard times.
However, at times, family
relationships and the needs of the business can come into conflict. The
personal relationships of families in business bring an added level of
complexity. It is during those times that the business leadership and the
family leadership must understand what is to be accomplished and why. Each
stakeholder may want to accomplish something different, either from a business
perspective or from a family perspective. In navigating these situations, individuals
play different roles at different times: parent, child, cousin, founder, owner,
president, shareholder, employee.
It is important to understand
which role is being played in which context. The contexts vary, such as how
will the next generation of leadership be developed? Will the leadership of the
business stay in the family? If so, which branch of the family? Should a
certain family member be hired (or promoted)? Individuals in different roles
may have different understandings of the goals and objectives. The ability to
know through which lens one is approaching an issue requires sensitivity to the
perspectives of different roles.
Many business families
try to navigate these complexities on their own. Many times that works, but there are also times when support
from a neutral third party with expertise in organizational and interpersonal
dynamics can be invaluable. Someone to provide unbiased feedback and to
approach the issues objectively. Someone to help lay a framework for
stakeholders to have positive and healthy communication.
In a business family, it’s almost always
personal, too. To maintain
business prosperity and family harmony, assistance from an impartial third
party can be invaluable. Tough
times don’t need to be divisive for the family or the business. Keeping it a family affair should be
fun and rewarding.
SKM Associates
advising and supporting Families in Business as they build their legacy
Contact SKM Associates
Email: skmoyer@comcast.net
Phone: 215.256.5997
