Category Archives: Strategic Planning

The Board’s Role in Strategic Development

Most organizations with fiduciary boards have a tradition of management presenting a prepared strategic plan to the board for approval. Management’s role has been to complete the plan before discussing it with the board. There is a clear distinction (and … Continue reading

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Innovation and Risk Taking – Everything in Moderation

Family businesses tend to pursue incremental opportunities rather than radical new innovations.  Growing by incremental innovation steps has proven to be more sustainable than giant leaps of change.  This incremental approach is prevalent partly because family businesses are less prone … Continue reading

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Risk Taking in a Family Business

Research indicates that family firms take fewer risks compared to non-family firms. This lower risk-taking viewpoint has led to the myth that family firms are risk adverse.   Another conclusion is that family businesses take “safer” risks that are closely associated … Continue reading

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Setting a Date

In reflecting further about this month’s Family Business Advisor article entitled, “Must the Prince Kill the King?” by Albert Jan Thomassen, I am struck by how easy it sounds to have the senior leader “set a date” for the final … Continue reading

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Parallel Planning for Family Business

Planning for the business and family in an interrelated and systematic way can seem artificial and uncaring from a family perspective.  Planning structures, decision processes, policies and procedures for family relationships in the way you would design business relationships may … Continue reading

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What’s on the minds of 2nd generation business leaders?

  Recently, 2nd generation family business leaders weighed in on the family business issues that they find toughest to resolve.  The top three on their list were: creating an effective board, addressing performance issues within the business, and infusing long-range … Continue reading

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Posted in Governance & Boards, Next Generation Development, Strategic Planning | 1 Comment

Should we encourage family employment?

In a recent study of large successful family businesses, I noticed an interesting trend.  Families businesses that have spent generations discouraging family members from entering the business are now developing programs to pull them back into the fold.  They have … Continue reading

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Loose and tight controls

Family businesses often pride themselves on maintaining a strong and consistent culture built on the family legacy and values.  While this adherence to a strong culture can be one of the greatest strengths of a family business, it can be … Continue reading

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Partnering: a strategy for expanding your core competencies

In Tuesday’s entry, I talked about the value of sticking to what you know.  But, if you follow that tack forever, how do you ever grow?  The answer is by building your institutional skills and experience.  Companies can build their … Continue reading

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Innovation vs. sticking to your knitting: another family business paradox

In a yesterday’s post, I shared a lesson from a study of large, old, successful family businesses – innovation is a key to success.  But, while companies in this study demonstrated an ability to innovate, they also clearly recognize their core … Continue reading

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