Friday, June 22, 2012

The Overlap of the Family and the Business and Its Effect on the Entire Family Business System...

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As family businesses develop the next generation of leadership, they must recognize the overlap of the family and the business and its effect on the entire family business system. Although this effect may become more visible overtime, it begins when children are young and parents are trying to find an appropriate work/life balance. Being mindful of parenting styles and how they affect future family business leaders is important. 

“Parenting affects the future of family businesses as it teaches the capacity to communicate, to think outside one’s own interest, to make decisions, to seek consensus and to want fairness and justice for others,” (timesofmalta.com). 

The close emotional bond between parents and children seems to be responsible for the way they apply leadership roles according to attachment theorists. Children apply previous patterns of interaction within their own family to subsequent leadership roles. 

It is thought that consistent parenting during childhood is associated with secure adults with high self-esteem. Inconsistent parenting, on the other hand, is thought to engender adults with low self-esteem who have less confidence in their performance. 

Family business owners are faced with “ultimate challenge” of building their company while simultaneously raising their children, who ultimately may lead their company. It is a juggling act that takes a sense of purpose, balance and some luck to keep all the balls in the air. 

Is your family business worried about parenting the next generation leaders in your family business? Let us know on the Continuity Family Business Consulting Facebook Wall, linked HERE.

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