Family Business.
In the context of a case involving a family business, former NBA star Shaquille O'Neal sent a message to his children: "I'm the millionaire. You're not." This refers to the fact that his fortune amounts to $1.4 billion. It doesn't mean that their children's lives are already sorted out.; He won't give anything to his children; he wants them to understand the culture of effort and work.
An entrepreneur who has built his career by investing 13 years or more to position his company in various industrial sectors, one of his goals being that one of his children will take charge of his company in the medium term, perhaps after finishing their university studies.
It has been relevant due to the frequency of similar cases that have been presented, and we consider it important to share it as a suggestion, starting with the following question:
What happens if, when the time comes, your child isn't interested?
Or perhaps, he has decided to stop studying and dedicate himself to another activity completely opposite to your business focus.
It's amazing how customs have changed and, since 2020, have adapted to new technologies, new ways of working, and different ways of "making money"; everything has evolved, and while one cannot move at the speed of light, one thing is certain: what used to take 5 or 10 years may now only take 6 or 12 months.
Perhaps your desire for your children stems from a desire to continue the family legacy, either because that's how it was done for you or because you want to begin your own legacy. At this point, it's wise to assess whether there's enough trust for your children to communicate with you, regardless of the topic or whether it's positive or negative, to understand their preferences and what they want to do with their personal and professional lives.
They probably have the skill and aptitude to develop in another industrial sector and already have an idea for a business plan that, for fear of sharing it with you, to avoid disappointing you, they have kept secret.
Ask yourself this question: Does my son come to work at the company by choice or because I ask him to?
Whatever the answer, it's always advisable to consider several factors that can either add to or detract from the decisions you make regarding:
- My son is coming to the company because he wants to come, and he has asked me to start from the bottom, learning shoulder to shoulder alongside the people who have been with the company longer and who have shown loyalty all these years, so that, like you (Father and Owner of the company), he can earn the respect and trust of people and thus, with effort and dedication, gradually rise to a position within the company where he can learn the strategy and the "touch" that you put into your company, and with all the experience acquired, master the art of managing money and generating more.
- My son is joining the company because I asked him to, because I want him to take my place, and I've already let him make decisions in different areas of the business. Everyone will listen to him and respect him because he's my son. The important thing is that he learns the business. I'm the owner, and I want the best for my son.
If your company has achieved success, you have definitely invested time, dedication, and money, and probably sacrificed some important aspects of your personal and family life. Therefore, it is important to consider that to reach this level, your company has had to comply with processes, audits, permits, and government policies, and above all: you have had the loyalty and dedication of your employees for several years, who have also sacrificed some of their lives for the success of the company and their "boss.".
We have contributed in some cases, for example: A client directly assigned his son a management position at one of his branches, confident that he had the knowledge and authority to fulfill the duties of the position. When the weekend arrived and he tried to contact his son by phone the following Monday at noon, the assistant told him he wasn't there. Finding this odd, he began to try to locate him. His son was out of the country, attending a music festival from Friday through the weekend. There were no repercussions or sanctions.
Any decision you make regarding the direction of your company, and if you have a "Quality Management System" (QMS) and a group of strategic collaborators, it is recommended that any position you want to offer or give to your child be formal and in compliance with your QMS; out of respect for yourself, your company, and your collaborators.
You can find additional information at: https://www.singulari.com.mx/home/2022/02/24/plan-de-sucesion/
Consultant and Operations Management Specialist. With over 25 years of experience in the industrial and energy sectors, he has collaborated with business owners in the analysis, planning, negotiation, marketing, administration, and execution of service and maintenance projects.
He has provided executive consulting to board presidents and senior management for strategic decision-making in participating in bidding projects, as well as in the analysis and improvement of their management, operations and industrial safety processes.
If you want to improve and optimize your projects, together we can find the best solution for your industrial needs and ensure your projects are a success.