keys to family business success
DESCRIPTION
Keys to Family Business Success presents a framework of understandings and agreements which drive shared responsibility and commitment for achieving business success and family harmony.TRANSCRIPT
Family Business:
KEYS to Success
“I want the business to stay
successful… I want us to have
Thanksgiving together…” (client Goal)
Shem Cohen, MSOD Change Events, Inc.
Copyright © 2013 All Right Reserved
Family Business Success…
FAMILY HARMONY
SHARED, PROMISING
FUTURE
BUSINESS SUCCESS
Shem Cohen, MSOD Change Events, Inc. Copyright © 2013 All Rights Reserved
…can be a tricky proposition:
Creating/maintaining a
successful business is, most
often, challenging…
Family/work
relationships can
get… ‘complicated’
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
&
What family-business concerns
are keeping you up at night?
The Person
Family
Business
• Performance
• Market Strength
• People
• Focus
• Skills
• Work Climate
• Commitment
• Culture
• Work Relations
• Personal Relations
• Workplace Role Clarity
• Employee Relations
• Ownership/Rewards
• Shared Future
• Performance
• Leadership/Management Skills
• Technical Skills
• Soft Skills
• Attitude
• Focus
• Commitment
Shem Cohen, MSOD Change Events, Inc. Copyright © 2013 All Rights Reserved
CURRENT COST
of concerns to the Business?
The Family?
FUTURE COSTS if
we do nothing? FUTURE COSTS if
we do nothing?
Once the business framework is
stands on own strategic merit, (not still in the business of manufacturing telephone booths)
SUCCESS
is ALL ABOUT PEOPLE:
- Understandings
- Agreements
- Shared Values
- Commitment
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All rights Reserved
Family businesses need manage the
same challenges as any other business
requiring the same sound strategic
thinking, decisions & positioning…
- but, also with the added complexities
of family/workplace culture, life-long
relationships and the negotiations/trade-
offs required to both stay competitive
and to maintain harmony
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
KEY to Successful Family Business
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
Relationships
Systems
Roles
Goals
Values
Governance
Ownership
Most Problems
Here
(lack of”
clarity, agreement,
effective systems,
business process
&/or, a current or
desired change in
status quo)
Some problems
here, but can
be significant
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The Path to Family Business Success…
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
Relationships
Systems
Roles
Goals
Values
Governance
Ownership
People engage each other in meaningful &
productive ways to:
• Establish Clear Ownership Agreement
• Anchor Clarity of Mission, Goals & Roles
• Create a Framework of Shared Values
• Co-create (as appropriate) Business
Direction, Strategy & Improvement
• Establish Process for Major Decisions
• Shape Agreements for Managing Conflict
• Create Streamlined, Value-Add Systems
and Processes
• Improve Relationships
• Engender Commitment, Personal Best
=
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“Family Business” is a very broad
category with a range of priorities
and concerns…
Shem Cohen, MSOD Change Events, Inc. Copyright 2013
Established, high-net worth families
must successfully navigate concerns
related to wealth management/distribution,
spouse policies, governance and decision-
making, shape clarity re: shared values –
and, at times, best manage ‘bad actors’.
Establishing a Family Council, Advisory
Board, Trustees and holding an annual
Family Assembly are best practices to
shape the understandings, agreements and
buy-in needed for business success and
family harmony
Relationships
Systems
Roles
Goals
Values
Governance
Ownership
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
“Family Business” is a very broad category
with a range of priorities and concerns…
Relationships
Systems
Roles
Goals
Values
Governance
Ownership
Family businesses ‘making a living
together’ often face concerns related to
business performance, leadership,
individual performance, professional skills,
rewards, succession/ownership and
employee relationships (and also, from
time to time, how to best manage ‘bad
actors’)
Holding collaborative dialogues where
members participate in creating solutions
and driving clarity/agreement around
Goals, Roles, Performance and
Leadership expectations sets a framework
in place for future success
When Relationships ‘Go South’
Shem Cohen, MSOD Change Events, Inc. Copyright 2013
Is most often related to unclear agreements around ownership, goals, roles, performance standards or lack of effective systems, processes or accountabilities
Can be related to significant style differences
Is best managed through agreements shaped through dialogue, within context of the business and with orientation to the future
The Difference Between
‘Problems’ and ‘Dilemmas’
Problems are solvable – is a binary
equation… O’s and 1’s…
Dilemmas can never be solved – will keep
re-appearing over time…
-- Dilemmas can only be managed.
Style differences, cultural dynamics,
relationship histories, etc. – when are of
concern – are dilemmas that need
managing well (versus problems ‘solved’)
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
Managing Dilemmas Well Takes:
Recognizing the Dilemma
Seeing the polarities involved
Co-creating strategies to manage
towards the ‘sweet spot’ to desired
outcomes
Crafting Agreements
Taking Responsibility for the Future
On-going check-ins and corrections
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
KEY to Successful Family Business
Shem Cohen, MSOD Change Events, Inc. Copyright 2013 All Rights Reserved
Relationships
Systems
Roles
Goals
Values
Governance
Ownership
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Open Communication:
- Strategic & Business Planning
- Clear Expectations
- Shared Vision and Values
- Shared Decision Making (as
most appropriate)
- Shared Stake in Improvement
- Shared Hope
Shem Cohen, MSOD Change Events, Inc. Copyright 2013
Strategic & Business Planning Facilitation
Change Management
Conflict Resolution:
• Diplomacy
• Mediation
• Crisis Intervention
Shem Cohen, M.S.O.D.
www.changeevents.com
http://www.linkedin.com/in/shemcohen
Meet Shem Cohen