The rate of change in business is so rapid that a single business strategy may not be relevant beyond a generation. The successors who take over must not only run the business but also re-visit the business strategy several times to ensure that the triumphant streak is sustained. Added to this, the timeless challenge of following the footsteps of successful and dominant business leader makes the job even more daunting for the successor.
Preparing the next gen to take on the responsibility for stewardship of family business is a critical task for a seamless successful transition when the time comes. The next gen member, apart from imbibing the purpose, vision and values of the business, has to master Leadership Skills, Financial Management, Communication and Management Skills, Ethics and Accountability.
The transition would be successful if the next gen member is provided relevant guidance, training, feedback and support.
The other critical activities to be carried out before inducting the next gen into the Family Business would be Laying down the criteria for entry into business.
- Mandatory and relevant training and educational program
Prior Exposure to financial, commercial, governance and other key aspects of business leadership
- Skills and traits assessment
- Objective assessment of their performance and feedback
- Arrange for mentorship and personal coaching for next gen members