Have a look at this example of a family advisory services firm in action.
This family business has changed its ownership structure to include employees.
This is one small part in a spectrum of advisory services available to family businesses! What will your family-business need in terms of an advisory service over the coming 5-10 years, if any at all? Why?
Click on image for the article
The article supports my view (benefit of counseling and meditation and involvement of outer executives) which I have discussed in previous paradoxes as well. I completely agree with the growth it can provide to the company, just the initialization of the process in my family business will be the hardest part. The professional support will contribute greatly to the growth and will help my future vision for the business.
The hiring of non-family employees can be difficult for the company because it is difficult for some employees to handle family problems in the workplace, minimal promotion options, and often preferential care for family members. In 5-10 years, our company might need to hire non-family employees into the company. This will be ensured that the employees are experienced and skilled in their fields and that they will not enforce their own rules and ideas into the company or manipulate the decisions of the family members. We will make sure that our position in the company will not be threatened by these employees.
-This is very interesting because I always perceived the inclusion of employees in the ownership of the company would jeopardize the survival of the family business. This way of thinking was influenced the assumption that each employee will have children or family members who may inherit his shares when she/he desires. Hence, it will the founding families may find itself challenged as the business also because others' family business.
-As for Congo Challenge, I believe that the advisories needed in the upcoming five years will be focused on the trans-generational transition. As I mentioned in my report, each owner of the company has a strong character and idea of ways to improve the performance of the company. However, the more our voices are suppressed by the active-owner, the less likely we are to be willing to take over.
-I think that in 10 years, it is possible that we give the opportunity to certain employees who have spent more than a decade in the company to be owners. However, I think that we may consider how their ownership does not put into jeopardy our place within the company. For, it is possible that they outnumber us and remove us. This will not necessarily mean that the companies as well dies, rather it could just mean that our family name is no longer associated with it.