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HIGHLIGHTS
DOCUMENT DESCRIPTION
Governance of Family Businesses must include the concerns of the numerous and diverse third generation. Establishing a set of councils and boards is essential in addressing critical transition issues. With a Governance Model, Family Businesses can address acute short-term challenges and prepare the business for subsequent generations.
Kickstarting the change process is sometimes the most difficult part of the sibling-to-cousin transition. Ideally, aunts and uncles call the cousins together and say, “What has worked so well for us and makes us proud of what we have achieved will not work for you. You must go out and find your own model.” When siblings are wise enough to give such a mandate, the cousin generation has a greater chance of enlisting support from the earlier generation and being successful. However, many sibling groups avoid or delay dealing with the issue, leaving it up to the cousins to organize themselves. In most cases, highly educated and qualified cousins leave the business once they find the barriers to establishing Governance Structures so high.
This Presentation provides a good understanding of the 7 Core Elements of the Governance Model. The 7 core elements are the Family Business’ guideposts to structuring an effective Governance Model.
1. Shareholders' Assembly
2. Family Assembly
3. Shareholders' Council
4. Holding Board
5. Family Council
6. Investment Office
7. Foundation
Given the way that Family Businesses tend to become more complex over time, it is often up to the third-generation owners to redefine the role of the family and set the direction of the business. Setting up an effective Governance Model puts the Family Business on a new trajectory for success.
This deck also includes slide templates for you to use in your own business presentations.
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Source: Best Practices in Family Business, Governance PowerPoint Slides: Family Business: Governance PowerPoint (PPT) Presentation, LearnPPT
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DETAILS
This business document is categorized under: Business Framework Primers
File Type: PowerPoint (ppt)
Tag(s): Family Business Governance
Number of Slides: 22 (includes cover, transition, & marketing slides)
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Upload date (first version): May 8, 2019
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