How Families Can Run Their Businesses With Both Head and Heart
Category: Interviews
Author: Mat Hughes and R. Adam Smith
Tags: Family Business • Succession • compensation frameworks • Help with a family business • Running a family business tips • Successful family businesses
Published: October 12, 2023
Updated: November 4, 2024
Downloads: Full Article PDF
FamilyBusiness.org Senior Editor Mat Hughes recently appeared on R. Adam Smith’s LinkedIn channel to talk about a challenge that all family businesses face: the pull between the passions and priorities of multiple generations and the need to run the firm with discipline and a clear head. Among the enticing matters they discuss are the people involved in the family businesses -- from governing the business to embedding the next generation and compensating employees.
Adam is an expert in investment banking, alternative investing, and governance. Over a distinguished career, he has served as a strategic advisor, dealmaker, and financier to global private companies and as a trusted family business consultant. He's a managing director at Salomon Brothers, one of the world’s most respected Wall Street firms. He also founded Wisdom Board Inc., in 2020.
In their discussion, Mat and Adam cover:
The importance of corporate ownership and professional management practices in family enterprises, and how good boards play a role
The role of family offices in shaping the next generation
The generations’ different priorities for family philanthropy, and how investing in the community and charitable organizations helps family members identify with the business.
Employee compensation at family firms and the signals it sends about what’s important
How continuous operational enhancements help firms protect their legacies
The struggle of finding a balance between consistency and transformation
Listen to the audiocast here: https://app.fusebox.fm/embed/player/track/1Vx6a14WB9/8
