Boyden: The Role of Governance in Family Business Leadership Succession
According to a Special Report released by Boyden, many experts and executives say family-owned businesses often lack succession plans and sound governance, with too few independent directors in place for proper oversight, risking the companies’ legacies in the next generation.
The report explores the journey of family businesses and focuses on the following themes:
• Family businesses are significant contributors to national and global economies, fuelling innovation, employment and new job creation
• Few family businesses have adequate CEO and senior executive succession plans in place, leading to vulnerabilities in the transition from one generation to the next
• The importance of having enough independent directors to bring fresh experience and challenge family monopolies when doing so is critical for business growth and continuity
Boyden's Special Report, titled The Role of Governance in Family Business Leadership Succession, examines the leadership succession challenges unique to family businesses and the benefits associated with independent oversight, noting the steps and considerations involved in assembling a team of independent directors.
The report is supported by interviews with Boyden partners, top executives and expert consultants including Laurence Odfjell, Chairman, Odfjell SE; Daniel Hatzenbuehler, Former Chairman and CEO, E. Ritter & Company; and Rob Ferguson, President and Principal, CEO Advisor of Ferguson Interests. The report also discusses the work of James Hertlein and Thomas Zay, Managing Partners of Boyden United States, who specialize in placing independent directors for large family-owned concerns.
Thought leadership category