How to build a family business and what is a prerequisite for its rush

Family businesses have their pros and cons. It works in us. Building and starting a family business may not be easy. Psychologist Jan Urban explains what a prerequisite for their haste and how to deal with the problems of such a company.

Family companies are historically the oldest form of business, and to this day they are an important source of economic stability and continuity in many countries. Although most of them are small and medium-sized enterprises, the worldwide operation of a large company is no exception, and it has been family-owned for generations.

In most countries, more than half of all companies account for it, and more than half of the total production of their economy. In many countries, such as Germany, they are also the largest employers. The successful construction and management of family businesses, however, usually requires respect for certain principles.

The benefits of family businesses

The suitability of family businesses is a common goal, it only unites the family, their mutual knowledge and the doors of their children, and the effort to keep the business in family ownership will continue, so he gave it to the generation.

Their strengths often include the customer’s court, resulting from the visibility of the company’s owners (at least, their name is borne by the company in its name), as well as their own work involvement. Evidence of this is the practice known from Austria, where some of the hotels are not family-owned and which are only a significant name, trying to find out that they are family businesses.

The suitability of family companies includes the less formal nature of their women and simple internal communication. If it is possible to maintain among the family members of the court, it is not necessary to create costly control mechanisms and complex and often not functional tools to support the motivation, loyalty and stability of managers and other employees.

For the time of running a family business, what one of the world’s leading pharmaceutical companies, Roche, said, paid a quarter of a generation of its family owners, and what is good for the company is good for the family, it is its own.

With the benefit of family companies, it is possible to gradually, as well as sow on the march, to present the knowledge and experience of the next generation. And if there is a consensus within the family on the use of corporate profits, family businesses can often devote more resources to investment and innovation within their profits.

In countries that monitor the satisfaction of employees of various types of companies, there is also a majority that medium-sized family companies offer their employees a better working atmosphere and difficulty to work independently compared to large companies. The reason is less tendency to create hierarchies and specializations of job cities, but also more frequent occurrence of cooperative style.

How to family dit

Building and starting a family business doesn’t have to be easy. Especially because some of the suitable family companies can become, especially with their growth, and their problems.

The prerequisite for their hurry is not only the court, it is within the family, but also a general agreement on the company’s vision and business strategy. Family members should understand and understand the idea of ​​what the main competitive advantage of the company is based on.

For small companies, this is often a more attentive and friendly relationship with customers and knowledge of the location in which the company operates. It can also be a loophole, which the company found on the market and which corresponds to the abilities of its pslunk. The success of small family companies often depends on the possibility and interest of their employees to take part in various, often different activities of the company.

With the growth of family businesses, the definition of the job roles of family members must become more important. In the optimal case, it should correspond to the abilities and skills of individual families only. However, the family business should keep the definition of jobs defined: they are one of its permanent advantages.

If the division and clear definition of jobs in the company becomes a source of conflict, then it usually requires that the hunter in the company be equipped with greater powers. You should, in order to preserve the suitability of the family business, rely on its natural authority.

If the company does not find employment for a certain member of the family at least temporarily, it should start well with it. Unlike the company, it is not possible to leave the family. The family should compensate him for leaving the company in some way, or only release the wall from the company. The revenues of the company and its branch can be affected in other ways, for example in the bodies of cities and municipalities, chambers of commerce, etc.

One of the rules of all family companies is that the final entry into the company should be with their members and sweat, when they have gained experience elsewhere. The family business should not arm them even in the possibility of studying, even in areas that are not directly related to its activities. It can be said that for their qualification in a growing company, two or later will definitely be used.

However, family businesses can sometimes save the succession problem even the general exchange. The founders who built the company may not always be willing to leave the management of the company in real time. It is necessary to determine the rules that the company will create in this direction, as well as the possibility of elderly families only to participate in its operation and beyond, preferably in a specialized and advisory position.

How to deal with employees

Even a large family will have the need to hire workers outside the family two or later. However, one of these employees should respect certain rules in family companies.

Although certain cities, especially in the management of the company, may (sometimes only temporarily) be reserved for family members, the company should not disadvantage its non-family employees in any way. In other words, if these employees in the company occupy the same city as just families, the claims on them should be the same as the claims on the family member.

In addition, the new style of the family business should also allow other employees to respect the members of the darkness. To me, write not only a measure of their independence, but also the ability to comment on the circumstances according to the development of the company. The good atmosphere of a family business is also contributed by the fact that the main owner and the leading representative of two show their interest in the company. Both of them also look at some of the company’s ordinary activities, which are not related to their main role. The aim is to ensure that other employees of the company do not respect themselves as second-class.

Applying this style of family business can help to loyalty and stability of external employees, but also to gradually contribute to its activities to other generations of families of its employees. In many cases, especially medium-sized family businesses, it is in the world that their employees also consider them family.

Vznam soudrnosti

The key prerequisite for a well-functioning family business is, however, mostly struck by the cohesion of the family as such. The prerequisite is not only agreement on the direction of corporate development and the wider circle of the family in joint decision-making, but also the delegated power of family members in everyday decision-making.

The cohesion of the family can, of course, be supported by the ownership of their members and the clear principles of compensation, based on the results of the company and the personal contribution of individual family members.

With the touchstone of family cohesion, the new family members will be involved in the company. That is, the people who frothed and married into the family. Their involvement in the company should not be left in the way of the family, and even from them, the bag is usually expected to gradually get used to the company, its principles and strategies.

The long-term stability of family companies presupposes the timely preparation of successions, especially in the management of the company. If such individuals are not in the family, it is good to run the company to a reliable employee outside the family and to maintain their controlling role in the supervisory and administrative bodies of the company.

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