OD Tools for Family Businesses
In addition to more action research and cases, OD practitioners also need practical tools in engaging in family businesses. Five tools are described below.
1. Where is Who?
One of the most important issue in dealing with family business is where is who where. This has two dimensions.
First where is who in the family? A geni (for genealogy or geneagram) simple tool to trace the family would be useful in this regard specially for family businesses in the third or fourth generations. It is a more wholistic organigram for family business. It is an enhanced family tree showing the lineage, family events like births, deaths, etc. and the relationships (close, conflicted, cut-off, etc.) among individuals in the …show more content…
The Push-Pull Model. Suggested by Lucio Dana, the Push-Pull Model is a qualitative framework that lists pull factors to act on existing push factors for timely voluntary succession (Dana, 2005). Push forces “persuade” the incumbent family business leaders to 'let go' and pass on management and ownership control to their successors. They are external in nature and generated by the possible successors, other family members, peers, employees, or by third party advisers including legal, accountants, bankers and even OD practitioners. They all believe that a well-ordered and timely succession is in the best interests of the family and the …show more content…
These forces make the incumbent feels that it is on their interest to let go and engage in: (a) an involving hobby or other interest; (b) a concern to spend more time with loved ones; (c) a desire to travel or to write a book; (d) a desire to serve the community; or (e) the need to do things that they have not had the opportunity, the time, or the money to be able to do. OD practitioners can use interviews and research materials to extract the pull forces from the incumbents.
The OD Challenges
The OD practitioners faces these challenges in family businesses:
1. Values. Understanding the family business include examining the family values, leading and stewarding, and promoting inter-generational sustainability. 2. Governance. Handling conflicts proactively and creating family governance. Communications and team working and creating functional boards and protocols and creating responsible ownership.
3. Performance. Stimulating and maintaining inter-generational entrepreneurship, maximising social capital, use of OD advisers, succession plans, and human resource management.
4. Succession. Includes areas like building the next generation, planning succession, and maintaining the business wealth through estate planning and risk management or even selling the
In addition to more action research and cases, OD practitioners also need practical tools in engaging in family businesses. Five tools are described below.
1. Where is Who?
One of the most important issue in dealing with family business is where is who where. This has two dimensions.
First where is who in the family? A geni (for genealogy or geneagram) simple tool to trace the family would be useful in this regard specially for family businesses in the third or fourth generations. It is a more wholistic organigram for family business. It is an enhanced family tree showing the lineage, family events like births, deaths, etc. and the relationships (close, conflicted, cut-off, etc.) among individuals in the …show more content…
The Push-Pull Model. Suggested by Lucio Dana, the Push-Pull Model is a qualitative framework that lists pull factors to act on existing push factors for timely voluntary succession (Dana, 2005). Push forces “persuade” the incumbent family business leaders to 'let go' and pass on management and ownership control to their successors. They are external in nature and generated by the possible successors, other family members, peers, employees, or by third party advisers including legal, accountants, bankers and even OD practitioners. They all believe that a well-ordered and timely succession is in the best interests of the family and the …show more content…
These forces make the incumbent feels that it is on their interest to let go and engage in: (a) an involving hobby or other interest; (b) a concern to spend more time with loved ones; (c) a desire to travel or to write a book; (d) a desire to serve the community; or (e) the need to do things that they have not had the opportunity, the time, or the money to be able to do. OD practitioners can use interviews and research materials to extract the pull forces from the incumbents.
The OD Challenges
The OD practitioners faces these challenges in family businesses:
1. Values. Understanding the family business include examining the family values, leading and stewarding, and promoting inter-generational sustainability. 2. Governance. Handling conflicts proactively and creating family governance. Communications and team working and creating functional boards and protocols and creating responsible ownership.
3. Performance. Stimulating and maintaining inter-generational entrepreneurship, maximising social capital, use of OD advisers, succession plans, and human resource management.
4. Succession. Includes areas like building the next generation, planning succession, and maintaining the business wealth through estate planning and risk management or even selling the