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Family business and Governance

The global context

The family business is the model that predominates in Italy.
Any careful examination of family businesses reveals their tremendous worth and myriad positive aspects, as well as the numerous difficulties they face over time.
Here are some examples of these difficulties:

  • ownership structures that often create obstacles, rather than facilitate leadership and governance of the company
  • lack of criteria, rules and procedures agreed upon between members of the owning family aimed at optimizing the family/business relationship
  • the need to safeguard expertise and professionalism, which are not hereditary. Only ownership may be inherited, not skills. For this reason, the roles of director or manager must be earned through years of experience and on the basis of the skills acquired.

Unfortunately, in many cases, failure to adopt and implement suitable methods and procedures at the right time causes family businesses to degenerate into ones that are run by a single individual without heirs in the next generation competent to carry the business forward.

P.I. 11850730158

© The European House — Ambrosetti S.p.A. 2015