According to a EY survey, conducted on more than 100 family business and published on November 2015, the successful generational transitions are directly run by the CdA, the family Board or the chief executive officer.
The majority of businesses plans the succession, rather than procrastinate it: 88% of interviewees had clearly identified the person in charge within the CdA process (44%), the family Board (23%) or as the chief executive officer (22%). The CdA delegation goes from 44% to 51% if the businesses sample is only limited to the rising countries.
The survey did not highlight any correlation between the success of a generational transition and the heirs’ experience in other companies, although the majority of families encourages a professional career outside the family business.
According to the survey, planning a generational transition requires the identification of someone in charge of the following activities:
- identification of the process phases and time planning
- formalization of an emergency plan
- training of all the involved parts
- pursuing integrity and inner trust, in order to avoid defection during the transition
- engaging the outgoing management in order to obtain its partnership
- reinforcing the family support in favor of the heirs who will take over the company