Entry in the business
Isabel, a businesswoman, manages a well known insurance company and has got a problem regarding the entry of her eldest daughter, Caludia (21 years old), who has just finished a course to become an insurance broker.
The mother describes her as mature, determined and creative, however she also defines as a person with low self esteem, inconstant and emotionally vulnerable.
Isabel is not keen in handing over the reins of the business to her daughter. She hides the real reasons of this feeling with self-justifying thoughts (the mother is divorced) such as: “it’s a hard work that will make her give up family and emotions”. In reality she does not believe in her daughter’s skills and entrepreneurial spirit.
On the other hand, Claudia is experiencing an excellent performance thank to her entrepreneurial skills, and this is the key factor that will allow the entry in the family business.
IURCOVICH has assisted the entry process of Claudia in the family business using an organisational pre – diagnosis covering this type of service: “Entry in the family business: is it doable?” and “How to enter the family business”.
Conflict within the family
Giovanni (80 years old) and Maria (75 years old) had founded their first activity (coffee roasting) in the early 50’s, to then create an important business with a presence in different venues (bars, corner shops, libraries).
Within the family group, they are still managing some activities. Their daughter and two sons entered the business, and now they are all married and have kids too (Giovanni’s grandchildren). They all work in the business, with unclear and undefined roles.
The eldest son, according to the father’s will, became CEO, and wants to restructure the organisational management of the siblings. This causes conflict within the family with negative effects on the management and growth of the company. The siblings argue in front of the employees, and the image that is produced is wearing out the whole performance of the business.
IURCOVICH has assisted the business carrying out individual meetings with the family group on the following typology of service: “Feelings, Emotions and Business” and “Organisational structure and family management”.
Two sisters, Sandra (46 years old) and Mariella (57 years old) manage jointly their business founded by their father (87 years old) with whom they still work together. Mariella is the General Director, Sandra is the Administrative Manager.
In the past years, the business has build up an international reputation in the designing and production of tripods, trolleys and base for cinema cameras.
When thinking about the generational change and the business continuity, some clashes have started to emerge within the family, to which a solution is necessary.
The founder of the business (the father) is a creative person and is not easy to substitute, also because he is struggling to find someone to which hand over the “craft”. Moreover, his creativity clashes with the organisational and managerial structure undertaken by Mariella who is setting up the company towards a process of considerable growth.
The two sisters desire to integrate Sandra’s two sons and Mariella’s daughter in the company (whose ages vary between 22 and 24 years old). However, they are not sure neither about the roles that they could cover or the process to undertake. Mariella is concerned about the future, about the timing for the kids entry, about the process to undertake, if conflict situations could emerge within the family members or with the relationship with the other employees and whether this could slow down the strategy of growth.
IURCOVICH has helped the business using and organisational pre – diagnosis covering this type of services: “Family and business division” and “Parent/heir contrast management”.
Luigi’s joiner was born after the second World War and survived to changes in market. The management of the business and of the activities still relies on his third generation heirs (two grandchildren of his), whom, recognising and respecting the tradition, are trying to respond to the growing and diversified requirements of modern customers.
So far the different generational changes have taken place in the respect of the tradition and avoiding breaking up with the past. The management styles approached by the different directors of the three generations have always been characterised by cultural aspects such as trust, familiarity and relational integration.
Today the business is approaching the fourth generation: its heirs, very young and mainly females, don’t have any interest in taking over the activity. The two managers are wondering about the future of the business: shall they sell or transfer the business?
IURCOVICH has helped the business using and organisational pre – diagnosis covering this type of services: “Sale of the activity” and “From management to ownership”.