The management of family enterprise separation crossroads: ownership VS

Family business is made up of one or more people with its vision and values to lay the cornerstone of the enterprise.
Family enterprises is the most special way family relationship and business relationship, throughout Europe successful family businesses, after one hundred years spread to children for many generations, common feature is to find the balance of the family and the enterprise separation.So, the family business can achieve and how to realize the separation of ownership and control?

Professor Dr. From Germany Hermut Kormann in technology-oriented enterprises for forty years;Including 20 years as in the famous family businesses voith non-family executives,.He led at the port of Frederick university professor emeritus, is also a family business management expert at the university of leipzig.After years of working with the family business and research in the process of family business, professor Kormann for family enterprise professional management has the original opinion.


Family enterprises to realize the separation of operation right and ownership is the best time in the second generation during the in charge of planning, should be completed before the second generation as the latest.Its continued family businesses in Europe, after a few family businesses to enter the third generation is still only one shareholder;While if shareholders of many in the family business, the best way is by a minority shareholder as a regular member of the management committee.


Keep control of the family
When family business growing should gradually form a reasonable governance mechanisms, such as by building support rules of the board of supervisors, good transmission of values and enterprise culture, and by members of the family and non-family experts as an external directors of board of supervisors.Supervisory board's function is to ensure that family businesses dual-track decisions independently can get effective supervision and execution mechanism of strong, but with the enlargement of the family, whether must set up a family council or family directors will be?It is generally believed that only in the family after more than seven or more shareholders, just need to set up a family committee or the board of directors, or the best way is to let the family members in the role of the board of supervisors, and don't scatter power and responsibility, regulations, enterprise's major decisions need to accept the authorization of the board of supervisors of qualified.In this way, members of the family can be ensured for the control of the enterprise, and can effectively bring in outside professional opinion, to achieve the development of checks and balances.


So, the board of supervisors of African members of the family, it is crucial to choose.First to choose the right industry and enterprise development with professional spirit;Second note can not blindly use only profit related high short-term incentives to reward professional managers, so that tends to produce not conducive to enterprise long-term development of myopic problem;But to give them based on the type of formula of long-term development contribution recognition awards, and talk about it to their family's principle.In this way can effectively avoid the myopia of professional managers and the problem.


In addition, for working for professional managers in family businesses, the ability to work and loyalty has always been a matter of let the boss needs careful consideration.For family business owners must clear loyalty is always more important than the ability.Appropriate professional managers should be for services are more interested in sustainable development prospects of enterprises.


The role of the members of the family
As the family intergenerational inheritance and the growing development of the enterprise, the location of the family members in the enterprise is mainly not do senior management, but the management of the board of directors, or supervision.And the most important is not the "three generations" of the third generation, but from the first generation to the second generation of inheritance.In the hands of two generations of family enterprises will increase if survival to the founding of stable size 8 to 10 times.At the time of the second generation of succession enterprise may increase 6% 7%, become very powerful.Family businesses do large-scale high-level must be a relatively big team, instead of letting a person to manage, so the key is to put the family management idea rooted in each of these top managers.


There are two family successor to do so, the first point is clear family member's position is supervision.If family members to join the board of supervisors, participation in the board of directors resolution, the family idea rooted in top management layer, can effectively guarantee the family for the concept and development of the enterprise control, at the same time to empower more professional managers to carry out enterprise management.The second point is also very important is communication, also known as the members of the family of directors to professional managers to communicate, to let them know the family values and ideas, and this is the duty of members of the family.


The responsibility of the successor
As a family business successor, must have a value in the future and to have the prospects of an enterprise, and the appropriate position in the management system.For the generation of succession or consider possessions down the second generation, bring up the owner's competence should be planning as early as possible.At the same time, as the head of the family, must through the reasonable selection mechanism and incentive mechanism, under the company structure of reasonable offer professional managers play a platform, to win the loyalty by hiring managers.Only the basis of trust each other to well carry out the family values and management concept, make professional managers to maximize the value of the used and well integrated into the culture development of family business.Only both goals, can together development of enterprises.In addition, in family relations, to related transaction processing enterprises with professional spirit, fulfill the responsibility of the owner.


Spiritual value heritage value parents continue representing the achievements, the second generation to understand that the family business management is the foundation of many people, can provide some useful goods and services for the society, is also in the creation can go beyond our own lives, and creating wealth for ourselves and future generations, have enterprise is the only way to maintain sustainable wealth handed down from generation to generation.


Family tradition has a long way for every business owners.First of all, please trust and develop your own children;Secondly, please help them to find and establish a suitable, good and reliable team