Strategic planning is an essential process within any organization, guiding decision-making and allowing necessary actions aimed at growth and sustainability to be clearly defined. In family businesses, it enables continuity. However, it can also be a challenge.
In many companies where there is a transition of the business from one generation to another, there is noticeable discord among family members and management. Rational decisions mix with emotional issues, generating conflicts and disorganization. Differences in interests among family members, the lack of separation between personal and business assets, the lack of professionalization, and resistance to change are common.
The absence of clear rules about roles, responsibilities, rights, and duties also generates internal disputes. This—combined with the lack of guidelines regarding remuneration and participation in profits and results—can lead to stagnation and loss of competitiveness, resulting in serious financial problems and even closure. Certain local retail businesses are often examples of this issue ethat cannot adapt to competition from large chains precisely due to a lack of prediction, forecasting, and projection.
Another serious problem is poorly planned succession. The absence of a clear succession plan compromises stability. Regardless of personal issues, there should be clear criteria, with evaluations of potential successors’ skills, establishment of competencies, provision of training, and definition of timelines for a gradual transition. It is important to establish oversight boards and document each step of the process.
Well-structured strategic planning ensures that the company’s identity is maintained over time, mitigating risks. It guides decision-making and aligns values and resources, allowing market opportunities to be well leveraged. It is a differentiator to ensure that the family business not only survives but thrives for generations.
If you don’t know where to start planning for your organization, the first step is to seek a good professional specialized in the subject. Often, the owners or main leaders of the company are not qualified to take on the responsibility. In these cases, even in small companies, external support from a consultant, CEO, or Chief Strategy Officer (CSO) should be sought. Development by multidisciplinary teams—composed, for example, of marketing, sales, finance, and legal department personnel—can also be a good option to ensure an integrated vision.
